$SGMD $37M in forward sales and more from acquisit
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Posted On: 11/12/2019 12:58:10 PM
$SGMD $37M in forward sales and more from acquisition:
https://finance.yahoo.com/news/sugarmade-rele...00554.html
Sugarmade Releases H1 2019 Data for Recent Acquisition, BZRTH: Over $15M Sales on 25% Sequential Revenue Growth
GlobeNewswire GlobeNewswireNovember 12, 2019
NEW YORK, Nov. 12, 2019 (GLOBE NEWSWIRE) -- via NetworkWire – Sugarmade, Inc. (SGMD) (“Sugarmade”, “SGMD”, or the “Company”), a major supplier to the hydroponic cultivation and hemp sectors, is pleased to provide full financial performance data for its recent acquisition, BZRTH, LLC (“BZRTH”), a leading hydroponics ecommerce supplier. Data for the six months ended June 30, 2019, reveal net profitability on sales exceeding $15 million, representing 25% revenue growth on a sequential six-month period basis.
Jimmy Chan, CEO of Sugarmade, commented, “We are very happy to present our shareholders and current and prospective investors with a quantitative overview of the financial performance we are integrating as we assimilate BZRTH into Sugarmade. If any doubts remained about the strategic merits of this transaction, hopefully they will be soundly put to bed by the top and bottom line performance we are revealing today.”
BZRTH Financial Data Highlights for the Six Months Ended June 30, 2019:
Total Sales above $15 million
Gross Profit above $5 million
Sequential Decline in Cost of Goods Sold as a Percent of Total Sales
Overall Sales growth of 25% Sequentially
Net Profitability generating Net Income of $749K
Management notes that the powerful positive trends in both growth rate and operational efficiency, as well as the nominal scale of operations, define an extremely desirable trajectory as BZRTH assets are integrated into Sugarmade operations. The Company also believes that inherent synergies between the two companies will capture and improve upon BZRTH standalone trends in the quarters ahead.
“BZRTH fits into Sugarmade like a hand in a glove,” continued Mr. Chan. “We didn’t just buy ourselves $37 million in forward sales. We bought ourselves a ton of synergy that will elevate the impact of everything we do. Moreover, this data represents a strong affirmation of our core strategic thesis: the center of gravity in terms of overall growth in the hemp and hemp-related boom has shifted from primary producers to ancillary industries that enable greater productive efficiency, with hydroponics sitting right at the heart of that dynamic. With this acquisition, Sugarmade has now assumed a central leadership position in that ascendant theme.”
The Company plans to release further BZRTH financial data for quarter ended September 30, 2019 along with projections for current quarter performance in the very near future.
About Sugarmade, Inc.
Sugarmade, Inc. (SGMD) is a product and branding marketing company investing in operations and technologies with disruptive potential. The Company is becoming a leading supplier to the growing hemp industry and is benefitting from the growth of the hydroponic marketplace. The Company is in the process of acquiring several leading hydroponic and agricultural supply companies that are currently producing in excess of $70 million in annual revenues. Sugarmade is also an investor in fast growing Hempistry, Inc., a Kentucky-based and operates Carryoutsupplies.com a leader provider to the quick service restaurant industry.
https://finance.yahoo.com/news/sugarmade-rele...00554.html
Sugarmade Releases H1 2019 Data for Recent Acquisition, BZRTH: Over $15M Sales on 25% Sequential Revenue Growth
GlobeNewswire GlobeNewswireNovember 12, 2019
NEW YORK, Nov. 12, 2019 (GLOBE NEWSWIRE) -- via NetworkWire – Sugarmade, Inc. (SGMD) (“Sugarmade”, “SGMD”, or the “Company”), a major supplier to the hydroponic cultivation and hemp sectors, is pleased to provide full financial performance data for its recent acquisition, BZRTH, LLC (“BZRTH”), a leading hydroponics ecommerce supplier. Data for the six months ended June 30, 2019, reveal net profitability on sales exceeding $15 million, representing 25% revenue growth on a sequential six-month period basis.
Jimmy Chan, CEO of Sugarmade, commented, “We are very happy to present our shareholders and current and prospective investors with a quantitative overview of the financial performance we are integrating as we assimilate BZRTH into Sugarmade. If any doubts remained about the strategic merits of this transaction, hopefully they will be soundly put to bed by the top and bottom line performance we are revealing today.”
BZRTH Financial Data Highlights for the Six Months Ended June 30, 2019:
Total Sales above $15 million
Gross Profit above $5 million
Sequential Decline in Cost of Goods Sold as a Percent of Total Sales
Overall Sales growth of 25% Sequentially
Net Profitability generating Net Income of $749K
Management notes that the powerful positive trends in both growth rate and operational efficiency, as well as the nominal scale of operations, define an extremely desirable trajectory as BZRTH assets are integrated into Sugarmade operations. The Company also believes that inherent synergies between the two companies will capture and improve upon BZRTH standalone trends in the quarters ahead.
“BZRTH fits into Sugarmade like a hand in a glove,” continued Mr. Chan. “We didn’t just buy ourselves $37 million in forward sales. We bought ourselves a ton of synergy that will elevate the impact of everything we do. Moreover, this data represents a strong affirmation of our core strategic thesis: the center of gravity in terms of overall growth in the hemp and hemp-related boom has shifted from primary producers to ancillary industries that enable greater productive efficiency, with hydroponics sitting right at the heart of that dynamic. With this acquisition, Sugarmade has now assumed a central leadership position in that ascendant theme.”
The Company plans to release further BZRTH financial data for quarter ended September 30, 2019 along with projections for current quarter performance in the very near future.
About Sugarmade, Inc.
Sugarmade, Inc. (SGMD) is a product and branding marketing company investing in operations and technologies with disruptive potential. The Company is becoming a leading supplier to the growing hemp industry and is benefitting from the growth of the hydroponic marketplace. The Company is in the process of acquiring several leading hydroponic and agricultural supply companies that are currently producing in excess of $70 million in annual revenues. Sugarmade is also an investor in fast growing Hempistry, Inc., a Kentucky-based and operates Carryoutsupplies.com a leader provider to the quick service restaurant industry.
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