Jones Soda Co has seen its first quarter revenue increase 18.5% to US$6,874,176 compared to US$5,802,247 for the first quarter of fiscal 2004. However, net earnings of US$16,928 or US$0.00 per basic diluted share, compared to net earnings of US$287,057, or US$0.01 per basic and diluted share, for the same period last year.
Gross margin for the first quarter fiscal ended March 31, 2005 was 32.5% compared to 33.0% for the quarter ended March 31, 2004. Operating expenses as a percentage of sales were 33.8% compared to 28.1% for the first quarter of 2004.

Peter van Stolk, president and CEO said: "We were pleased with our ability to drive strong top line gains, despite the comparison from a year ago due to the launch of Starbucks. During the quarter we continued to make investments in selling, general and administration expenses, as well as the creation of new products, to better position the company for the future. As we head into our key selling season, we are extremely optimistic about our prospects and remain committed to fully capitalizing on our growing position as a lifestyle brand."