Willamette Valley Vineyards Reports 33% Higher Loss Per Share on 6.5% Sales Decline
Willamette Valley Vineyards posted a net loss per common share of $0.64 for 2025, up 33.3% from $0.48 in 2024 on a loss applicable to shareholders of $3.17 million versus $2.37 million. Annual net sales fell 6.5% to $37.20 million while operating expenses rose 1.3% to $23.93 million.
1. Net Sales Decline
Willamette Valley Vineyards generated net sales revenues of $37,197,122 for 2025, down 6.5% from $39,782,442 in 2024. The decrease stemmed from a $1,013,762 drop in direct sales net of excise taxes and a $1,571,558 decline in distributor shipments.
2. Gross Profit and Expenses
Gross profit fell 7.0% to $22,492,520 in 2025, reflecting lower sales volumes. Selling, general and administrative expenses rose 1.3% to $23,928,692, driven primarily by higher selling costs.
3. Operating and Net Loss
Income from operations swung to a $1,436,172 loss in 2025 versus a $571,878 profit in 2024 due to lower sales and increased expenses. After net interest expense and a tax benefit, the company reported a pre-dividend net loss of $917,685 and a $3,170,626 loss applicable to common shareholders.
4. Management Response and Outlook
Management cited wholesaler challenges impacting shipments and noted distributor changes requiring inventory transfers and new sales team training. The company is also addressing a decline in retail visitations by enhancing customer experiences at its tasting rooms.