In March Investor deck, they disclosed selling 2.1 million "units" in Q4 2023 , and did revenues of $9.5 Million
I think with 30 million unit capacity between in house and co packers by end of 24 revenues should be significantly higher than $38 million revenue, as they already had capacity of $9.5 million revenue last Q which is a run rate of $38 Million annualized.
Furthermore on the conference call SOWG outlined their capacity and translated it to $$revenues. They stated by the first Q of 24' they expect to double production capacity from $35 million revenue to $70 million revenue capacity. As 2024 carries onward and with capital raise expect further upward capacity investment so revenues could far exceed $100 million annualized rate exiting 2024. I think the $38 Million 2024 revenue estimate is not even in the ballpark and could be twice that or more
That's very interesting, let me try to dig into that. I did not see the disclosure of 2.1 million units in the 10-k filing and I cannot find it when searching. Mind linking the paragraph where they break that out?!
Your second comment is absolutely on point given that the 9m in revenues was only generated from 2.1 million units, but I just want to confirm that as I looked extensively at the 10-k and couldn't find that number mentioned.
Believe this statement was made in their Q4 earnings call. I believe revenues are likely to be closer to $75 million if they hit their capacity target.
Looking back at the history on otcmarkets.com. This was a former oil and gas company, that did a raise to become a SPAC that then bought this FDC company. Look at the returns on de-spac'd equities as a whole. And it was a SPAC that was OTC. I would be worried about wasting timing researching this further let alone investing in it. Why is the opportunity available?
Actually, after studying this again more deeply, this is also referring to a case study with Five Below and the units shipped may very well be only referring to Five Below and not the Company total for the Q. Tomorrow's Conf call hopefully will clarify units by Q as this should be a consistent metric KPI
Appreciate all this, I updated the post. I always thought they should break out unit sales by quarter and somehow I missed this in the IP where they actually do :)
And the great thing is as long as demand pull is full tilt, these numbers are still conservative and has material upside potential to these. Their longer term guidance (80 million units)suggests they expect a more mature run rate of $300- $350 Million in annual revenues
In March Investor deck, they disclosed selling 2.1 million "units" in Q4 2023 , and did revenues of $9.5 Million
I think with 30 million unit capacity between in house and co packers by end of 24 revenues should be significantly higher than $38 million revenue, as they already had capacity of $9.5 million revenue last Q which is a run rate of $38 Million annualized.
Furthermore on the conference call SOWG outlined their capacity and translated it to $$revenues. They stated by the first Q of 24' they expect to double production capacity from $35 million revenue to $70 million revenue capacity. As 2024 carries onward and with capital raise expect further upward capacity investment so revenues could far exceed $100 million annualized rate exiting 2024. I think the $38 Million 2024 revenue estimate is not even in the ballpark and could be twice that or more
That's very interesting, let me try to dig into that. I did not see the disclosure of 2.1 million units in the 10-k filing and I cannot find it when searching. Mind linking the paragraph where they break that out?!
Your second comment is absolutely on point given that the 9m in revenues was only generated from 2.1 million units, but I just want to confirm that as I looked extensively at the 10-k and couldn't find that number mentioned.
Believe this statement was made in their Q4 earnings call. I believe revenues are likely to be closer to $75 million if they hit their capacity target.
Thanks for these updates, I need to rerun my #s and update this post!
Looking back at the history on otcmarkets.com. This was a former oil and gas company, that did a raise to become a SPAC that then bought this FDC company. Look at the returns on de-spac'd equities as a whole. And it was a SPAC that was OTC. I would be worried about wasting timing researching this further let alone investing in it. Why is the opportunity available?
Actually sorry, not in 10K . It's in their March 2024 Investor Deck on page 12 under Total Units Sold by Quarter illustration.
Q2 2023 was 0.2 MM units, Q3 was 1.1 MM units and Q4 was 2.1 MM units
Actually, after studying this again more deeply, this is also referring to a case study with Five Below and the units shipped may very well be only referring to Five Below and not the Company total for the Q. Tomorrow's Conf call hopefully will clarify units by Q as this should be a consistent metric KPI
Their strategic goal is 80 million "UNITS" with undefined intermediate term. This is what they believe they'll ramp to within a couple/few years
Appreciate all this, I updated the post. I always thought they should break out unit sales by quarter and somehow I missed this in the IP where they actually do :)
And the great thing is as long as demand pull is full tilt, these numbers are still conservative and has material upside potential to these. Their longer term guidance (80 million units)suggests they expect a more mature run rate of $300- $350 Million in annual revenues