Tue, May 14, 8:37 PM (73 days ago)
DSS, Inc.'s Q1 2024 financial performance reveals significant challenges. Revenue plummeted by 68% year-over-year to $3.87 million, primarily due to declines in printed products and rental income, and the deconsolidation of Sharing Services Global Corporation (SHRG). Cost of revenue fell by 42%, reflecting lower sales volumes. Operating expenses decreased by 51%, driven by reductions in sales, general and administrative expenses, and the deconsolidation of SHRG. The company reported a net loss of $5.1 million, an improvement from the $8.6 million loss in Q1 2023. This reduction in net loss is attributed to lower operating expenses and cost management. Cash flow from operating activities improved, showing a reduction in cash usage from $14.2 million to $2.2 million year-over-year. However, cash flow from investing activities decreased significantly due to lower proceeds from the sale of marketable securities. DSS, Inc. has taken steps to improve liquidity, including selling assets and reducing expenses. Despite these efforts, the company faces ongoing financial challenges and uncertainties, particularly in its commercial lending and securities segments. The management remains focused on cost control and asset sales to sustain operations.