Brownie’s Marine Group Announces 49.8% Increase in Revenues for Q1-2021 vs. Q1-2020
Brownie’s Marine Group (OTCQB: BWMG) reported a 49.8% year-over-year revenue increase for Q1 2021, totaling $0.95 million, compared to $0.63 million in Q1 2020. The company reduced its adjusted net loss by 50.7% to $(97.5K). Highlights include significant growth in direct-to-consumer sales (162%) and notable performance from its subsidiaries, with Brownie’s Third Lung and BLU3 achieving year-over-year increases of 58% and 134%, respectively. Cash and equivalents stand at $343.9K, showing a working capital surplus of $733.7K.
- Revenue for Q1 2021 increased 49.8% to $0.95 million compared to $0.63 million in Q1 2020.
- Adjusted net loss reduced by 50.7%, from $(197.8K) to $(97.5K).
- Brownie’s Third Lung division saw a 58% increase in revenue.
- BLU3 reported a 134% increase in revenue.
- 162% increase in direct-to-consumer sales for Brownie’s Third Lung.
- 154% increase in direct-to-consumer revenues for BLU3.
- Net income loss increased from $(296.7K) to $(441K).
- Operating loss increased from $(290.8K) to $(447.2K).
- Revenue from High Pressure Gas Systems decreased by 24.27%.
Pompano Beach, FL, May 17, 2021 (GLOBE NEWSWIRE) -- Brownie’s Marine Group, Inc. (OTCQB: BWMG), a leading developer, manufacturer and distributor of tankless dive equipment and high-pressure air and industrial compressors in the marine industry, today announced results for the fiscal first quarter and three months ending March 31, 2021.
Chris Constable, CEO of Brownie’s Marine Group, Inc. stated, “Brownie’s Marine Group continued its strong performance in the first quarter with revenue increasing
1st Fiscal Quarter and YTD Highlights
- Net Revenues increased
49.8% to$0.95 million versus$0.63 million last year; - Adjusted Net loss for Q1-2021 was reduced by
50.7% as compared to the same quarter last year; and - At the close of the first quarter, cash and cash equivalents totaled
$343,900 , and the Company had a working capital surplus of$733,700.
Select Financial Metrics: Fiscal 1st Quarter and Three Months Ended March 31, 2021 Comparisons
| (in thousands) | Q1-21 | Q1-20 | Change | |||||||||
| Total Net Revenues | $ | 950.8 | $ | 634.80 | 49.78 | % | ||||||
| Legacy SSA Products – Brownies Third Lung | $ | 466.10 | $ | 294.10 | 58.48 | % | ||||||
| High Pressure Gas Systems – LW America’s | $ | 150.10 | $ | 198.20 | -24.27 | % | ||||||
| Ultra-Portable Tankless Dive Systems – Blu3 | $ | 334.60 | $ | 142.50 | 134.81 | % | ||||||
| Operating Income (loss) | $ | (447.20 | ) | $ | (290.80 | ) | 53.78 | % | ||||
| Net Income (loss) | $ | (441.00 | ) | $ | (296.70 | ) | 48.63 | % | ||||
| Adjusted Net Income (loss) | $ | (97.50 | ) | $ | (197.80 | ) | -50.71 | % | ||||
| NM = not measurable/meaningful | ||||||||||||
Select Segment Metrics: Fiscal 1st Quarter and Three Months Ended March 31, 2021 Comparisons
| Percentage Change Q1-21 vs Q1-20 | ||||||||||||
| Legacy SSA Products – Brownie’s Third Lung | Ultra-Portable Tankless Dive Systems – Blu3 | Total Company | ||||||||||
| Total Net Revenues | 58.5 | % | 134.9 | % | 49.8 | % | ||||||
| Direct to Consumer Revenue-Website & Amazon | 162.3 | % | 138.6 | % | 75.7 | % | ||||||
| Dealer Revenue | 25.6 | % | 127.7 | % | 46.7 | % | ||||||
Robert M. Carmichael, President and Chairman of the Board added, “We are anticipating a very busy summer for Brownie’s Marine Group, as COVID restrictions ease and families make returning to water activities a priority. Our family of subsidiaries will continue to innovate and bring best in class products to the marketplace. We look forward to BLU3’s introduction of the Nomad this year and anticipate significant traction in the marketplace around launch.”
Non-GAAP Financial Measures
This press release includes certain financial measures that exclude the impact of certain items and therefore have not been calculated in accordance with U.S. generally accepted accounting principles (“GAAP”). We report adjusted net income (loss) to measure our overall results because we believe it better reflects our net results by excluding the impact of non-cash equity-based compensation. We believe the presentation of adjusted net income (loss) enhances our investors’ overall understanding of the financial performance of our business.
We believe that investors should have access to the same set of tools that we use in analyzing our results. This non-GAAP measure should be considered in addition to results prepared in accordance with GAAP but should not be considered a substitute for or superior to GAAP results.
The following is an unaudited reconciliation of adjusted net income (loss) to net income (loss) for the periods presented:
| Three Months Ended March 31, | ||||||||
| 2021 | 2020 | |||||||
| Net income (loss) | $ | (440,981 | ) | $ | (296,693 | ) | ||
| plus: | ||||||||
| Stock issued for services | $ | 125,000 | $ | 97,570 | ||||
| Stock-based compensation incentive bonus shares issued to CEO and employees | - | $ | 1,280 | |||||
| Stock-based compensation – options | $ | 218,505 | ||||||
| Adjusted net income (loss) | $ | (97,476 | ) | $ | (197,843 | ) | ||
About Brownie’s Marine Group
Brownie’s Marine Group, Inc., is the parent company to a family of innovative brands with a unique concentration in the industrial, and recreational diving industry. The Company, together with its subsidiaries, designs, tests, manufactures, and distributes recreational hookah diving, yacht-based scuba air compressors and nitrox generation systems, and scuba and water safety products in the United States and internationally. The Company has three subsidiaries: Trebor Industries, Inc., founded in 1981, dba as “Brownie’s Third Lung”; BLU3, Inc.; and Brownie’s High-Pressure Services, Inc., dba LW Americas. The Company is headquartered in Pompano Beach, Florida.
For more information, visit: www.BrowniesMarineGroup.com.
Safe Harbor Statement
This press release may contain forward looking statements which are based on current expectations, forecasts, and assumptions that involve risks and uncertainties that could cause actual outcomes and results to differ materially from those anticipated or expected. Actual results and the timing of certain events could differ materially from those projected in or contemplated by the forward-looking statements due to a number of factors. Stockholders and potential investors should not place undue reliance on these forward-looking statements. Although we believe that our plans, intentions and expectations reflected in or suggested by the forward-looking statements in this report are reasonable, we cannot assure stockholders and potential investors that these plans, intentions or expectations will be achieved. These forward-looking statements are not guarantees of future performance and are subject to risks, uncertainties, and other factors, some of which are beyond our control and difficult to predict and could cause actual results to differ materially from those expressed or forecasted in the forward-looking statements. Except to the extent required by law, we undertake no obligation to update or revise any forward-looking statements, whether as a result of new information, future events, a change in events, conditions, circumstances or assumptions underlying such statements, or otherwise. You are urged to carefully review and consider any cautionary statements and other disclosures, including the statements made under the heading “Risk Factors” in the Company’s Annual Report on Form 10-K for the year ended December 31, 2020 as filed with the Securities and Exchange Commission (the “SEC”) on March 31, 2021, and our other periodic and quarterly filings with the SEC.
Source: Brownie’s Marine Group, Inc.
Contact Information: (954)-462-5570
investors@browniesmarinegroup.com
Investor Relations: Hayden IR
Contact: Brett Maas (646)536-7331
brett@haydenir.com
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