The company ended the year with sales doubling, along with significant improvements in gross margin and net income.
Fort Lauderdale, Fla., April 19, 2024 (Globe Newswire) — via NewMediaWire — VPR brand LP (OTCQB: VPRB), a leader in intellectual property innovation and monetization in the e-cigarette and vaporizer space, today announced its financial results for the year ended December 31, 2023. The company demonstrated significant growth and improved operational efficiency and concluded: Sales doubled that year, and gross profit margins and net profits improved significantly.
Annual financial highlights:
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Revenue: A significant increase from $4,927,616 to $9,853,825 in 2022. This growth can be attributed to increased customer sales and the introduction of new royalty revenue streams.
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Net income: Net income was reported at $3,812,605, reversing a net loss of $203,697 in 2022, demonstrating the company's effective strategy and operational execution.
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Cost of sales: Revenue increased to $4,972,497, reflecting increased sales volume, and gross profit margin increased from 33% in 2022 to 50.3% in 2023 due to high-margin direct-to-consumer online sales and higher wholesale margins. It has expanded to %.
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Operating expenses: Increased from $1,828,195 to $2,210,072 in 2022 due to enhanced advertising efforts and additional advertising to support growing sales and revenue base.
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Operating cash flow: It improved from a negative $312,423 in 2022 to a positive $3,481,356 in 2023, demonstrating solid business soundness and strengthened cash management.
Liquidity and capital resources:
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Total assets: Increased from $1,632,528 in 2022 to $3,191,246 due to increased cash, inventory and accounts receivable due to increased sales.
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Total debt: decreased from $3,951,020 to $2,576,936 in 2022, significantly reducing the company's debt profile and improving its financial stability.
Other financial information:
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Other income/income: Other income for 2023 was $1,141,350. This was primarily due to litigation settlements, which contributed $2,400,172.
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Fundraising activities: Net cash used in financing activities was $1,706,517 in 2023, a significant increase from net cash provided in 2022 of $332,254, reflecting a strategic debt level reduction.
Management comments:
“2023 was a pivotal year for VPR Brands. We successfully optimized our patent and trademark portfolio and expanded our market presence,” said Kevin Frija, CEO of VPR Brands LP. As a result, we have delivered historic revenue levels and profitability. Our strategic focus is intellectual property.” The monetization of real estate, including licenses, has given us a strong position within the competitive environment. ”
COO Dan Hoff added, “Our business results this year reflect our commitment to excellence and innovation. New products are in the pipeline and we are rapidly expanding into new segments through licensing. As we expand, we are poised for continued growth and diversification, with a focus on service delivery.” Delivering sustainable value for shareholders. ”
About VPR Brand LP:
VPR Brands is a technology company and IP holding company engaged in various monetization strategies for U.S. patents covering e-cigarettes, vaporizer technology, and related accessories. The company designs, develops, markets and distributes products for the cannabis market, including ELF and HONEYSTICK branded vaporizers and his DISSIM lighters. VPR Brands aggressively enforces its patents and seeks and monetizes licensing opportunities.
For more information about VPR Brands, please visit www.vprbrands.com.
Forward-looking statements:
This news release contains statements regarding the expectations, plans, intentions and other factors discussed from time to time in the Company's filings with the Securities and Exchange Commission. These statements are forward-looking and are subject to risks and uncertainties that could cause actual results to differ materially. The Company cautions readers not to place undue reliance on forward-looking statements. These statements speak only as of the date on which they are made. The Company undertakes no obligation to subsequently revise forward-looking statements to reflect events or circumstances after the date of the forward-looking statements or to reflect the occurrence of anticipated or unanticipated events.
Corporate communications:
For more information, please contact Kevin Frija at kevin.frija@vprbrands.com.
