Ann: Business Operations Update, page-12

Hi @8horse,
Valid comment, the P&L information provided isn't enough to arrive to a conclusion so you really need to have a good knowledge of food manufacturing, on-line and start-up businesses. 
In general terms having 60% Gross Margin in food is the standard in mature retail companies such as McDonald's or Burger King that have spent a lot of time reducing costs, however deserts/sweets can have a very broad variance in GM% which can go from 70% to 10% depending on company's strategy (e.g. McD's using the soft serve  cone at 80c to increase traffic). In summary Candy Club GM of 51% is telling me that they still have room for improvement once volume increases.
In terms of how much volume they need to become profitable, that would be dependant on how much they want to spend pushing sales, normally the first few years of any start up on-line business take significant effort/investment in building the brand which is later relaxed. What is important to mention is that the selling expenditure in an on-line business is very flexible so they can adjust it according to their necessities, it is a large portion of non-fixed component. Keep in mind that the company is currently working in building the B2B segment which will be much much bigger than D2C.
Regards,
Rod