Scheid Vineyards Inc. reports sales in the fiscal third quarter, ended Nov. 30, were $35.1 million, up 18% from $27.9 million a year earlier. The company posted a $1.8 million loss, compared to a $14.4 million profit a year earlier.
The Company's cased goods sales increased 26%, compared to a wine industry trend of flat sales growth. Winery processing and storage revenues increased 32%, bulk wine sales increased 23%, and grape sales decreased 45% from the previous year. Gross margins remained at 28% for each period, Mike Thomsen, CFO, said.
Scott Scheid, president/ceo, said: "The Company's 2022 grape harvest was completed on Nov. 1, 2022. Yields were down approximately 15% from the Company's five-year average and are generally consistent with wine grape yields from Monterey and other California coastal vineyard regions.
Mr. Scheid continued, "The recent storms in Northern California caused some flooding in the Salinas Valley. Fortunately, there was no flooding in our vineyards, and we experienced only minor erosion in several locations. The rainfall was beneficial to the soils and served to fill local reservoirs from their previous low levels."