While many in the hemp-derived THC industry are lashing out at the federal ban and vowing to fight the newly passed legislation, Jones Soda seems to be taking a more defensive stance.
The beverage company, which runs adjacent THC drink brand named Mary Jones, released its third-quarter earnings on Monday. CEO Scott Harvey warned that when the new language takes effect next year, it could seriously impact Jones' business.
"While we believe that provisions in recent federal legislation passed to reopen the U.S. Federal government, which altered the federal treatment of hemp-derived products by prohibiting the unregulated sale of intoxicating hemp-based or hemp-derived products (including HD9 products), may ultimately require us to overhaul or phase out our current hemp-derived HD9 product lines, noting the law does not take effect until November 2026 and its practical enforcement remains uncertain, we do not believe that it will materially impact expected sales of our HD9 products in both the fourth quarter of 2025 and early 2026," he said in a statement.
It's bad news for Jones since hemp-derived delta-9 beverages played a big role in the company's third-quarter net revenue climbing 15% to $4.5 million, compared to $3.9 million during the year-ago quarter.
Jones Soda CFO Brian Meadows said during the company's earning call that he and Harvey would carefully manage inventory levels and keep its hemp THC drink stock as low as possible to avoid exposure.
Jones does have its Spiked Jones line of alcoholic sodas to fall back on and Harvey told investors that the company could easily switch over its 800 deployed coolers from Mary Jones to Spiked Jones.
