Sadly, this is all short term volume building at best. Exporting...

Sadly, this is all short term volume building at best. Exporting under a house brand Aldi label does absolutely nothing for the brand. Absolutely nothing.
Sure, there will be a short term blip in sales and operating profit but it is unsustainable.
The way Aldi, and other retailers work, is to ‘auction’ their house brand categories to manufacturers. Towards the end of this contract the bidding will go out to the market again.
If OJC win the bid again, then great, but they are just kicking the inevitable down the road.
When Aldi finally walk away, and they will because they like variety for their shoppers, then the crunch happens. Remarkably, everyone scratches their heads and asks what has happened…?? ‘We didn’t see this coming’.
If this was being sold under the famous OJC label then that would be a great thing…..Brand building internationally…!!!
If you’re a trader, this could be a good thing to sell on the spike, but for an investor this is a disaster…..selling low margin no name juice to a fickle retailer. It doesn’t get any worse..
I like Jeff, (I don’t know him personally, but an observer of him) but if he knew the business dynamics better he wouldn’t have signed this grammatically poor announcement.

Despite all the other brands they have, OJC is a juice company, first and foremost, with a trusted brand. Everything they do should be focused on building this brand. Anything else is superfluous to a correct strategy. I would bet that 95% of their operating profit comes from the Original Juice…everything else is OP negative.

This company has been through so many ups and downs, changes of management etc….etc..,I honestly believe it is on the cusp of modest success. In all of my posts over the last few years I have maintained the same position. (Before you whack me, read them )

Focus on the core business model, establish a strong (stronger) base business (OJC) and this will fund growth into other segments and categories.

But moreover, stay away from non sustainable projects….ie hand sanitizer and now house brand in China. My gosh.

These are my thoughts based on 30 year’s experience at Managing Director level in a fortune 100 company.

I still hold this stock because I am so far underwater it’s better just to bottom drawer it.

But I remind myself, ‘hope is not a strategy’…,