Westrock Coffee Co. of Little Rock (Nasdaq: WEST) on Thursday announced the official opening of a new 525,000-SF manufacturing facility in Conway, adding capacity to meet growing demand for single-serve coffee products.
The announcement comes about a year after Westrock opened a $315 million, 570,000-SF factory in Conway dedicated to producing ready-to-drink coffee products. Westrock also has a 530,000-SF warehouse and distribution center in the area.
The new facility is capable of producing millions of single-serve cups daily. It will also support fulfillment and distribution, the company said in a news release.
When both Conway production facilities reach full capacity, they are expected to employ 900 people.
“This expansive new facility significantly enhances our capabilities in the U.S. market, and we are excited about the opportunities it will create for our existing and potential customers, employees, and the local community here in central Arkansas,” CEO Scott Ford said.
The single-serve coffee market grew to $35.3 billion in 2024, according to the release. The market is projected to more than double to $71.2 billion by 2034, fueled by consumers seeking fast, high-quality coffee with added convenience, according to the release.
Westrock said that as the market evolves, brands pursuing private label manufacturing are not only expanding in scale but also diversifying their system partnerships.
Ford mentioned the new facility in the company’s first-quarter earnings report in May, saying the startup was going “seamlessly.”
Westrock posted a $27.2 million loss in the quarter, wider than the loss of $23.7 million in the same quarter in 2024. Net sales increased 11.1% to $213.8 million.
“We remain convinced that consumer driven shifts taking place in the coffee and related beverage market are going to create immense return opportunities for a few companies while stagnating others,” Ford said.
Westrock is schedule to report second-quarter financial results on Aug. 7. Shares of the company were trading at $7.08 on Thursday morning. Over the past 12 months, shares were down 29%.
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