The company, which makes the very popular Keurig single-serving coffee brewers, is preparing to launch a new Keurig machine — the Keurig BOLT Carafe Brewing System — capable to brewing full pots of coffee for multiple drinkers. The new machine will reach consumers this fall, the Wall Street Journal notes.
Rising competition in the single-cup coffee market is threatening Green Mountain’s earnings. The company derives about 90% of revenue from its K-Cup business.
Worries over the company’s reliance on the K-Cup date back to 2011, when activist investor David Einhorn sounded the alarm about lower cost versions of the K-Cup pods from rival coffee makers.
Green Mountain has been looking to expand its offering for larger public venues like restaurants and offices. It already makes coffee pouches for larger pots of coffee, but the new pot-brewing Keurig machine will be the first device to employ its pressurized brewing technology.
Shares of Green Mountain sank almost 1% in pre-market trading on Friday.