Sugarmade
Releases
H1 2019
Data
for Recent Acquisition,
BZRTH:
Over $15M Sales on
25%
Sequential
Revenue
Growth
NEW YORK, NY -- November 12, 2019 -- InvestorsHub NewsWire
-- Sugarmade,
Inc. (OTCQB: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. (OTCQB:
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.
FORWARD-LOOKING STATEMENTS: This release contains "forward-looking
statements" within the meaning of the safe harbor provisions of the
U.S. Private Securities Litigation Reform Act of 1995.
Forward-looking statements also may be included in other publicly
available documents issued by the Company and in oral statements
made by our officers and representatives from time to time. These
forward-looking statements are intended to provide management's
current expectations or plans for our future operating and
financial performance, based on assumptions currently believed to
be valid. They can be identified by the use of words such as
"anticipate," "intend," "plan," "goal," "seek," "believe,"
"project," "estimate," "expect," "strategy," "future," "likely,"
"may," "should," "would," "could," "will" and other words of
similar meaning in connection with a discussion of future operating
or financial performance. Examples of forward
looking statements
include, among others, statements relating to future sales,
earnings, cash flows, results of operations, uses of cash and other
measures of financial performance.
Because forward-looking statements relate to the future, they are
subject to inherent risks, uncertainties and other factors that may
cause the Company's actual results and financial condition to
differ materially from those expressed or implied in the
forward-looking statements. Such risks, uncertainties and other
factors include, among others. such as, but not limited to economic
conditions, changes in the laws or regulations, demand for products
and services of the company, the effects of competition and other
factors that could cause actual results to differ materially from
those projected or represented in the forward
looking statements.
Any forward-looking information provided in this release should be
considered with these factors in mind. We assume no obligation to
update any forward-looking statements contained in this
report.
Corporate
Contact:
Jimmy Chan
+1-(888)-982-1628
info@Sugarmade.com
Press &
Media Inquiries:
EHC Branding
Agency
Info@EHCBrandingAgency.Com
(626)
MJ-BRAND