Franchisees earned $2 million in revenue; kiosk production is on steady pace
SAN DIEGO, May 21, 2019 (GLOBE NEWSWIRE) -- via NEWMEDIAWIRE -- Generation NEXT Franchise Brands, Inc. ( VEND) announced today that its flagship subsidiary and premium, robotic soft serve franchise, Reis & Irvy’s, sold its 400,000th cup of frozen yogurt on Saturday, May 18th.
To date, Reis & Irvy’s franchisees have sold in excess of 400,000 cups of frozen yogurt generating more than $2.0 million in retail sales, according to Generation Next. The company had announced its 300,000 cup sold just last month. Reis & Irvy's is the Company’s flagship brand which serves Dannon YoCream frozen yogurt through an unattended, robotic kiosk.
“New locations and location categories, an ever-expanding network of franchisees, new best practices, and improved software and hardware are accelerating our retail sales and our growth rate week-over-week and month-over-month,” said Nik Wright, the company’s Vice President of Operations.
“These numbers are impressive when we take into account that most of the kiosks that are in operation today have only recently come online – most are still in what I would call a ‘soft launch’ phase, and half of the kiosks in operation as we speak have come online within the last eight weeks,” Wright added.
“Helping franchisees achieve their potential is my primary responsibility, and as each new franchisee and kiosk comes online, they can count on the support of the company and the Reis & Irvy’s marketing team to drive sales and optimize performance in order to realize their full potential,” Wright said.
Wright, who is responsible for a number of the company’s recently-introduced Key Performance Indicators (“KPIs”), including “Sales per Kiosk” or SPK, added that he has been working with Dannon and the Reis & Irvy’s marketing team to develop product rotations and promotional materials designed to expand and foster brand awareness and demand in markets nationwide.
Nick Yates, Founder and CEO of Generation Next, expressed his satisfaction at the pace of recent milestones and thanked Mr. Wright for his hard work and dedication.
“Three-and-a-half years ago, when we were just starting out, I put Nik [Wright] in this role because of his experience operating frozen yogurt stores all over the world. His experience even includes operating one of the original prototypes that forms part of our company’s early history - the original Robofusion kiosks placed at the Salt Lake City Children’s hospital. At his core, he is a solutions-oriented, customer service driven professional with a passion for this product that is unlike anyone else. Nik is obsessed with data, kiosk production and the promotion of the Dannon YoCream product,” Yates said.
Manufacturing and Delivery on a Steady Pace
Generation Next said that manufacturing and delivery of Reis & Irvy’s kiosks appears to be on a steady pace after technical challenges led to delays late last year.
Manufacturing and delivery of Reis & Irvy’s robotic kiosks was paused in late 2018 to allow time for design improvements, retrofitting and repair of existing machines in the field and in the warehouse. Generation Next announced in February that it had entered into a manufacturing and engineering agreement with Stoelting Foodservice. Stoelting has played a key role in improving the engineering and technology used to build the first robots, providing both hardware retrofits for existing units and design changes for units in production, as well as a series of software upgrades that resolved earlier issues. The company is now consistently producing between 15 and 20 kiosks per week.
In April, Generation Next delivered 76 robots for $3.0 million in revenue and the company expects to deliver an additional 124 to 164 robots during the months of May and June combined, which would close the final quarter of the company’s fiscal year (ended June 30) with quarterly revenue of $8.2 to $9.8 million and full year revenue of between $16.0 and $17.6 million, according to the company.
For more information, visit Generation NEXT Website: www.gennextbrands.com or call Toll-Free (888) 902-7558.
About Generation NEXT Franchise Brands, Inc.
Generation NEXT Franchise Brands, Inc., based in San Diego, California, is a publicly traded company on the OTC Markets trading under the symbol OTCBB: VEND. Generation NEXT Franchise Brands, Inc. is parent company to Reis and Irvy’s Inc and 19 Degrees Corporate Service LLC.
About Reis & Irvy’s, Inc.
Reis & Irvy’s, Inc. is a subsidiary franchise concept of Generation NEXT Franchise Brands, Inc. (VEND, Financial). Launched in early 2016, the revolutionary Reis & Irvy’s Vending Robot serves seven different flavors of frozen yogurt, ice cream, sorbets and gelatos, a choice of up to six custom toppings and to customers within 60 seconds or less at the point of sale. The unique franchise opportunity has since established itself as a high-demand product and currently showcases a franchise network both domestically as well as internationally. Visit Reis & Irvy’s website - www.reisandirvys.com
This information is not intended as an offer to sell, or the solicitation of an offer to buy, a franchise. It is for information purposes only. No Reis & Irvy’s franchises will be sold to any resident of any state until the offering has been exempted from the requirements of, or duly registered in and declared effective by, such state and the required FDD (if any) has been delivered to the prospective franchisee before the sale in compliance with applicable law. Currently, the following states in the United States regulate the offer and sale of franchises: California, Hawaii, Illinois, Indiana, Maryland, Michigan, Minnesota, New York, North Dakota, Oregon, Rhode Island, South Dakota, Virginia, Washington, and Wisconsin. If you reside in one of these states, or even if you reside elsewhere, you may have certain rights under applicable franchise laws or regulations.
Cautionary note on forward-looking statements
This press release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements include, among others, statements concerning our future financial performance, including statements regarding: our ability to generate revenue and recognize deferred revenue; our ability to timely launch delivery and installation of our frozen yogurt robots; and our ability to grow our franchising and licensing divisions and launch our corporate-owned and direct sales platforms. The Company bases these forward-looking statements on its current expectations, estimates and projections about future events and the industry in which it operates using information currently available to it. Actual results could differ materially from those discussed in, or implied by, these forward-looking statements. Forward-looking statements are identified by words such as “believe,” “anticipate,” “propose,” “expect,” “intend,” “plan,” “will,” “may,” “estimates,” variations of such words and other similar expressions. In addition, any statements that refer to expectations, projections or other characterizations of future events or circumstances are forward-looking statements. Factors that could cause actual results to differ from those implied by the forward-looking statements contained in this press release are set forth in our filings with the Securities and Exchange Commission (SEC), including our most recent Annual Report on Form 10-K for the year ended June 30, 2018, our Quarterly Reports, and our Current Reports on Form 8-K. Be advised that developments subsequent to this press release are likely to cause these statements to become outdated and the Company is under no obligation (and expressly disclaims any such obligation) to update or revise any forward-looking statements whether as a result of new information, future events, or otherwise.
