Sign In  |  Register  |  About Daly City  |  Contact Us

Daly City, CA
September 01, 2020 1:20pm
7-Day Forecast | Traffic
  • Search Hotels in Daly City

  • CHECK-IN:
  • CHECK-OUT:
  • ROOMS:

Upexi Reports Revenue of $24.2 Million for Fiscal 2023 Third Quarter, an Increase of 447% Year-Over-Year

CLEARWATER, FL / ACCESSWIRE / May 15, 2023 / Upexi, Inc. (NASDAQ:UPXI) (the "Company" or "Upexi"), a multi-faceted Amazon and Direct to Consumer brand owner and innovator in aggregation, today announced its financial results for the fiscal 2023 third quarter ending March 31, 2023.

Fiscal 2023 Third Quarter Financial Highlights:

  • Revenue totaled $24.2 million, an increase of 447%, as compared to $4.4 million for the same period the prior year.
  • Gross profit totaled $9.6 million, an increase of 189%, as compared to $3.3 million for the same period the prior year.
  • Adjusted EBITDA for the quarter totaled a positive $671,339 as compared to an adjusted EBITDA loss of $877,351 for the same period in the prior year.
  • Net loss attributable to Upexi, Inc. shareholders was $1.6 million as compared to a net loss of approximately $0.05 million for the same period in the prior year.
  • Shareholder equity increased by $7.7 million to $36.1 million as compared to $28.4 million for the same period in the prior year.
  • Cash and cash equivalents totaled $1.2 million as of March 31, 2023. Subsequent to quarter, Upexi announced a common-only financing of $7 million.

"We are pleased with the organic growth of our key brands during the quarter, driving 447% quarterly year-over-year growth to $24.2 million. We increased positive Adjusted EBITDA to $671,000 for the quarter on a lower revenue base from last quarter. This is encouraging progress in a short amount of time and due to our determined optimization strategy," stated Allan Marshall, Upexi's Chief Executive Officer. "Management expects this trend to continue throughout the remainder of calendar 2023. We anticipate that revenue will continue to grow and that we will meet or exceed our $100 million projection, as will Adjusted EBITDA. These projections do not include recent developments such as Disney or the Non-Binding LOI issued April 13, 2023. The Company will update guidance in the future as needed as the year progresses."

Fiscal 2023 Third Quarter and Subsequent Operational Highlights:

  • Tytan Tiles announced a licensing agreement with The Walt Disney Company, including such key brands as Frozen, The Lion King, Toy Story, and Cars.
  • Tytan Tiles announced expansion from 2,200 to over 3,900 Walmart locations.
  • Announced agreement to acquire remaining 45% interest in Cygnet Online, one year ahead of guidance.
  • Consolidated third party logistics locations to improve operating efficiencies and reduce distribution costs by $1 to $1.5 million.
  • Signed Letter of Intent to acquire Wellness and Nutrition Brand with trailing twelve-month revenue of $15 million.
  • Announced $7 Million common-only financing.

Financial Highlights for Fiscal 2023 Third Quarter

Revenue for the three months ended March 31, 2023, totaled $24.2 million, an increase of 447% as compared to $4.4 million for the same period the year prior. The revenue growth was primarily the result of the three acquisitions and was offset from the sale of Infusionz. Management believes that there is significant opportunity in the next 12 months for organic growth within the newly acquired business and will focus the acquisition targets on businesses that will enhance our current products or allow the business to accelerate growth.

Cost of revenue during the quarter totaled $14.6 million, compared to $1.1 million for the same period the prior year. The cost of revenue growth was primarily related to the acquisition of four companies and offset with the sale of Infusionz.

Gross profit for the quarter was $9.6 million, an increase of 190% as compared to $3.3 million for the same period in the prior year. Management will seek to improve the gross profit and the overall gross margin in the next 12 months as they are able to leverage the significant increase in our purchasing requirements and continue to consolidate operations.

General and administrative expenses were $2.9 million, an increase of $900,000 or 46% compared with the same period last year. As the Company has changed with the acquisitions and the sale of Infusionz, management has managed the general and administrative costs and will continue to implement strategies to decrease the percentage of general and administrative costs when compared to total sales.

The Company had a net loss from continued operations of $1.6 million for the three months ended March 31, 2023, compared to a net loss of $52,667 for the same period in the prior year.

As of March 31, 2023, the Company had cash of $1.2 million, a line of credit with $4.9 million available, and stockholders' equity attributed to Upexi stockholders of $36.1 million. On May 12, 2023, the Company announced a Registered Direct Offering of Common Stock for gross proceeds of approximately $7 million before deducting placement agent fees and other offering expenses. The closing of the offering is expected to occur on or about May 16, 2023, subject to the satisfaction of customary closing conditions.

As of today, May 15, 2023 there are 18,094,748 shares of common stock outstanding.

Financial Results Conference Call

Event: Fiscal 2023 Third Quarter Financial Results Conference Call
Date: Monday, May 15, 2023
Time: 4:30 p.m. Eastern Time
Live Call: 1-877-300-8521 (U.S. Toll-Free) or 1-412-317-6026 (International)
Webcast: https://viavid.webcasts.com/starthere.jsp?ei=1613123&tp_key=7d65f8a311

For those unable to join the conference call, a dial-in replay of the call will be available until May 29, 2023 and can be accessed by dialing +1-844-512-2921 (U.S. Toll Free) or +1-412-317-6671 (International) and entering replay pin number: 10178708.

Additional details are available under the Investor Relations section of the Company's website:https://upexi.com/investors.

About Upexi, Inc.:

Upexi is a multi-faceted brand owner with established brands in the health, wellness, pet, beauty and other growing markets. We operate in emerging industries with high growth trends and look to drive organic growth of our current brands. We focus on direct to consumer and Amazon brands that are scalable and have anticipated, high industry growth trends. Our goal is to continue to accumulate consumer data and build out a significant customer database across all industries we sell into. The growth of our current database has been key to the year over year gains in sales and profits. To drive additional growth, we have and will continue to acquire profitable Amazon and eCommerce businesses that can scale quickly and reduce costs through corporate synergies. We utilize our in-house, SaaS programmatic ad technology to help achieve a lower cost per acquisition and accumulate consumer data for increased cross-selling between our growing portfolio of brands.

FORWARD LOOKING STATEMENTS:

This news release contains "forward-looking statements" as that term is defined in Section 27A of the United States Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Statements in this press release which are not purely historical are forward-looking statements and include any statements regarding beliefs, plans, expectations or intentions regarding the future. Actual results could differ from those projected in any forward-looking statements due to numerous factors. Such factors include, among others, the inherent uncertainties associated with business strategy, potential acquisitions, revenue guidance, product development, integration and synergies of acquiring companies and personnel. These forward-looking statements are made as of the date of this news release, and we assume no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those projected in the forward-looking statements. Although we believe that the beliefs, plans, expectations and intentions contained in this press release are reasonable, there can be no assurance that such beliefs, plans, expectations or intentions will prove to be accurate. Investors should consult all of the information set forth herein and should also refer to the risk factors disclosure outlined in our annual report on Form 10-K and other periodic reports filed from time-to-time with the Securities and Exchange Commission.

Adjusted EBITDA

Three Months Ended
31-Mar-23 31-Mar-22
Net income (Net loss) GAAP
$ (1,643,883 ) $ (52,667 )
Interest expense, net
$ 154,999 $ 19,705
Depreciation and amortization
$ 1,923,735 $ 351,012
Income Tax
$ (496,880 ) $ (1,351,686 )
Stock Compensation
$ 1,146,299 $ 854,013
Gain on sale of asset
$ - $ (5,500 )
Change in derivative liability
$ - $ -
Loss from discontinued operations
$ (288,127 ) $ (147,583 )
Loss attributable to non-controlling interest
$ (124,804 ) $ -
$ 671,339 $ (332,706 )

Company Contact
Andrew Norstrud, Chief Financial Officer
Email: andrew.norstrud@upexi.com
Phone: (702) 332-5591

Investor Relations Contact
KCSA Strategic Communications
Valter Pinto or Jack Perkins
Email: Upexi@KCSA.com
Phone: (212) 896-1254

UPEXI, INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)

Three Months Ended March 31, Nine Months Ended March 31,
2023 2022 2023 2022
Revenue
Revenue
$ 24,219,445 $ 4,426,898 $ 62,863,128 $ 13,280,565
Cost of Revenue
14,614,754 1,098,137 36,904,527 3,081,112
Gross profit
9,604,691 3,328,761 25,958,601 10,199,453
Operating expenses
Sales and marketing
3,476,918 1,085,823 9,210,303 3,821,081
Distribution costs
2,578,180 605,368 8,641,559 1,538,830
General and administrative expenses
2,878,255 1,970,276 8,287,779 6,556,627
Share-based compensation
1,146,299 854,013 3,126,472 2,333,306
Amortization of acquired intangible assets
1,691,243 236,001 3,534,216 540,836
Depreciation
232,492 115,011 669,540 361,590
12,003,387 4,866,492 33,469,869 15,152,270
Loss from operations
(2,398,696 ) (1,537,731 ) (7,511,268 ) (4,952,817 )
Other income (expense), net
Interest (expense) income, net
(154,999 ) (19,705 ) (2,380,972 ) (61,699 )
Change in derivative liability
- - (1,770 ) -
Gain on sale of Infusionz and select assets
- - 7,564,363 -
Gain (loss) on sale of property and equipment
- 5,500 - 5,500
Gain on SBA PPP loan extinguishment
- - - 300,995
Other income (expense), net
(154,999 ) (14,205 ) 5,181,621 244,796
Net loss before income tax
(2,553,695 ) (1,551,936 ) (2,329,647 ) (4,708,021 )
Income tax benefit
496,880 1,351,686 449,828 1,116,653
Net loss from continuing operations
(2,056,815 ) (200,250 ) (1,879,819 ) (3,591,368 )
Loss (income) from discontinued operations
288,127 147,583 (50,291 ) 4,115,245
Net loss attributable to non-controlling interest
124,804 - 358,390 -
Net (loss) income attributable to Upexi, Inc.
$ (1,643,884 ) $ (52,667 ) $ (1,571,720 ) $ 523,877
Basic income (loss) per share:
Loss per share from continuing operations
$ (0.11 ) $ (0.01 ) $ (0.11 ) $ (0.22 )
Income (loss) per share from discontinued operations
$ 0.02 $ 0.01 $ (0.00 ) $ 0.26
Total (loss) income per share
$ (0.11 ) $ (0.00 ) $ (0.11 ) $ 0.03
Diluted (loss) income per share:
Loss per share from continuing operations
$ (0.11 ) $ (0.01 ) $ (0.11 ) $ (0.20 )
Income (loss) per share from discontinued operations
$ 0.02 $ 0.01 $ (0.00 ) $ 0.23
Total (loss) income per share
$ (0.11 ) $ (0.00 ) $ (0.11 ) $ 0.03
Basic weighted average shares outstanding
18,015,837 16,426,399 17,418,877 16,080,699
Fully diluted weighted average shares outstanding
18,015,837 17,821,810 17,418,877 17,586,030

UPEXI, INC.
CONDENSED CONSOLDIATED BALANCE SHEETS (UNAUDITED)

March 31, June 30,
2023 2022
ASSETS
Current assets
Cash
$ 1,181,042 $ 7,149,806
Accounts receivable
5,346,853 1,137,637
Inventory
10,140,644 4,725,685
Due from Bloomios
1,617,216 -
Deferred tax asset, current
- 462,070
Prepaid expenses and other receivables
1,809,730 840,193
Assets of discontinued operations, net
- 6,449,210
Total current assets
20,095,485 20,764,601
Property and equipment, net
7,618,148 7,343,783
Intangible assets, net
17,312,833 10,641,382
Goodwill
15,056,856 5,887,393
Deferred tax asset
2,979,918 2,002,759
Investments - Bloomios
9,955,450 -
Other assets
118,040 100,372
Right-of-use asset
678,145 926,570
Total other assets
53,719,390 26,902,259
Total assets
$ 73,814,875 $ 47,666,860
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities
Accounts payable
$ 2,635,876 $ 2,018,541
Accrued compensation
889,634 531,259
Deferred revenue
48,162 105,848
Accrued liabilities
4,172,455 955,327
Acquisition payable
500,000 -
Current portion of notes payable
9,164,189 5,424,752
Current portion of operating lease payable
272,116 267,029
Total current liabilities
17,682,429 9,302,756
Operating lease payable, net of current portion
449,874 700,411
Notes payable, net of current portion
18,951,762 8,876,949
Total long-term liabilities
19,401,636 9,577,360
Commitments and contingencies
Stockholders' equity
Preferred stock, $0.001 par value, 100,000,000 shares authorized, 500,000 and 500,000 shares issued and outstanding, respectively
500 500
Common stock, $0.001 par value, 100,000,000 shares authorized, 18,094,748 and 16,713,345 shares issued and outstanding, respectively
18,094 16,713
Additional paid in capital
44,858,392 34,985,597
Accumulated deficit
(7,842,606 ) (6,270,886 )
Total stockholders' equity attributable to Upexi, Inc.
37,034,380 28,731,924
Non-controlling interest in subsidiary
(303,570 ) 54,820
Total stockholders' equity
36,730,810 28,786,744
Total liabilities and stockholders' equity
$ 73,814,875 $ 47,666,860

SOURCE: Upexi, Inc.



View source version on accesswire.com:
https://www.accesswire.com/755026/Upexi-Reports-Revenue-of-242-Million-for-Fiscal-2023-Third-Quarter-an-Increase-of-447-Year-Over-Year

Data & News supplied by www.cloudquote.io
Stock quotes supplied by Barchart
Quotes delayed at least 20 minutes.
By accessing this page, you agree to the following
Privacy Policy and Terms and Conditions.
 
 
Copyright © 2010-2020 DalyCity.com & California Media Partners, LLC. All rights reserved.