Fri, Mar 7, 9:16 PM (44 days ago)
Stran & Company, Inc. (SWAG) reported a challenging Q3 2024, with total sales of $20.1 million, reflecting a 2.4% increase year-over-year. However, the company experienced a net loss of approximately $2.0 million compared to a profit of $1.3 million in Q3 2023, primarily due to increased operating expenses and a decline in gross profit margin. The gross profit margin fell to 29.5%, down from 32.5% in the prior year, attributed to rising product costs. Stran's total assets stood at approximately $48.8 million, with stockholders' equity at $32.3 million. The company faced operational challenges, including a significant rise in general and administrative expenses, driven by the integration of recent acquisitions and technology upgrades. Cash flow from operations improved to $1.4 million, contrasting with cash used in the prior year, while investing activities generated $1.5 million, largely from asset sales. The company terminated its $7 million line of credit in August 2024, focusing on its new acquisition of Gander Group assets, which is expected to bolster future revenues.