Tue, Jul 9, 10:03 AM (60 days ago)
Upexi, Inc. reported its financial results for the quarter ended March 31, 2024. Key points include: - **Revenue**: Down 34% YoY to $14.4M, primarily due to a decline in recommerce sales on Amazon and wholesale channels. - **Cost of Revenue**: Decreased 19% YoY to $11.6M, correlating with the drop in recommerce revenue. - **Gross Profit**: Decreased significantly due to substantial inventory write-offs related to obsolete and unsellable recommerce products. - **Operating Expenses**: Sales and marketing expenses dropped 32% YoY, while general and administrative expenses decreased 8% YoY. - **Net Loss**: Increased to $4.1M from $1.6M in the same period last year, attributed to lower sales, inventory write-offs, and consolidation costs. - **Cash Flow**: Operating activities used $2.8M, investing activities used $0.4M, and financing activities used $0.6M. Cash decreased by $4M to $0.5M. - **Future Plans**: The company is focusing on restructuring to improve sales consistency and profitability, including consolidating facilities and reducing high-interest debt. This report indicates challenges in the recommerce segment and efforts to streamline operations and improve financial health.