US soft drinks firm Jones Soda said sales and profits were down in its second quarter, as the group navigates a transition period in its strategy.

Net revenue for the second quarter ended 30 June fell from US$13m to $11.7m, Jones announced yesterday. The firm also reported a net loss of $2.7m for the period.

CEO Stephen Jones said the group was in a transition period in a tough economic climate.

"We launched several Jones brand building programs including Campaign Cola, which generated more than $2.5m in media value and drove awareness of our new Jones Pure Cane Sugar Cola product," said Jones. He added the group had improved its distribution network.

There will be a focus on new brands, including Jones Cola, Jones Sugar Free Cola, and Jones Lemon Lime.

Weakness in Jones' core bottle business also hampered the group's second quarter performance, it said.

"While we are pleased with progress on many fronts, we increased promotion allowances and slotting fees in order to support the new can presence and bolster the bottle business. This had a negative impact on our net sales and profitability. We believe these key expenditures will result in greater awareness of our beverages and a stronger market position for our Company."