DSG Global Inc. Files its Form 10-Q and Announces Financial Results for Q2 2021 Including Revenue Growth of 299% from Q2 2020

Rhea-AI Summary

DSG Global, Inc. (OTCQB: DSGT) reported remarkable revenue growth of 299% for Q2 2021, totaling $494,838 compared to $123,955 in Q2 2020. The growth is attributed to new installations of its Infinity, Tag and Text GPS systems. Gross profit also surged 299% to $293,684, reflecting strong sales momentum. However, the company faced a net loss of $1,076,258 but improved from a loss of $3,166,895 in the same quarter last year. Total assets declined to $2,042,050 from $2,434,354, driven by reductions in cash and an increase in inventory.

Positive

• Q2 2021 revenue rose 299% to $494,838 from $123,955 in Q2 2020.
• Q2 gross profit increased by 299%, reaching $293,684 compared to $73,870 in Q2 2020.
• Signed contracts totaling over $1.8 million in gross sales as of June 30, 2021.
• Total liabilities decreased to $1,964,074 from $2,051,843 during the quarter.

Negative

• Net loss of $1,076,258 for Q2 2021, despite being an improvement from $3,166,895 in Q2 2020.
• Total assets declined to $2,042,050, down from $2,434,354 reported on March 31, 2021.

SURREY, British Columbia, Aug. 16, 2021 (GLOBE NEWSWIRE) -- DSG Global, Inc. (OTCQB: DSGT) ("DSGT" or the "Company") is pleased announced today that it has filed its Form 10-Q for the quarter ended June 30, 2021, and announced financial results, including revenue growth of 299% in the second quarter of 2021, ended June 30, 2021, compared to the second quarter of 2020.

Second Quarter 2021 Financial Highlights

• Sales for Q2 2021 totaled $494,838 compared to $123,955 for Q2 2020, an increase of $370,883 or 299%. The increase was a result of new installations of Infinity, Tag and Text GPS system. As of June 30, 2021, the Company had additional signed contracts which it is working to fulfill during Q3.
• Gross profit for Q2 2021 totaled $293,684, compared to $73,870 for Q2 2020, an increase of $219,814 or 299%. Gross Profit Margins for the quarter were 59.3% compared to 59.6% during Q2 2020.
• Total inventory increased $738,973, primarily the result of Electric vehicles delivered to Imperium Motors.
• Total Assets decreased from $2,434,354 on 3/31/21 to $2,042,050 on June 30, 2021. This was attributable to a decrease in cash as the company readies for the launch and delivery of Electric Vehicles as well as increased inventory.
• Total Liabilities decreased from $2,051,843 to $1,964,074 during the quarter.
• Loss from operations for Q1 2021 amounted to $1,055,978 compared to $1,148,446 for Q2 2020, a decrease of 8.1%.
• Net Loss of $1,076,258 or .01 Earnings per Share compared to $3,166,895 for Q2 2020, a decrease of 66%.
• Share Count remained relatively constant, increasing from 110,639,913 upon the Q1 10Q filing to 120,495,186 as of August 13, 2021. This was primarily the result of previously issued restricted stock for consultants whose shares had vested, and were converted, not newly issued shares.

Second Half 2021 Financial Highlights

• Sales for the first six months of 2021 totaled $881,944 compared to $274,167 for Q2 2020, an increase of $607,777 or 222%.
• Gross profit for Q2 2021 totaled $550,098 compared to $195,516 for Q2 2020, an increase of $354,582 or 181%.
• Total Assets decreased from $2,103,562 on 12/31/20 to $2,042,050 on June 30, 2021.
• Total Liabilities decreased from $2,912.745 to $1,964,074 during the quarter.
• Net Loss of $2,427,829 or .02 Earnings per Share compared to $6,124,854 for Q2 2020,
• As of June 30, 2021, the Company had signed contracts totaling over $1.8 million in gross sales, inclusive of recurring revenue. Due to delays related to manufacturing and shipping, fulfilment was not yet satisfied and only $881,944 was recognizable as a revenue stream for the six months ended June 30, 2021

Second Quarter 2021 Operational Highlights

-         Introduced and delivered to the United States new Electric Vehicle models and the new 12 Meter Class Bus

-        Imperium Motor Corp. hire skilled industry executive Christian Dubois to help lead Global Electric Vehicle sales.        

-         Imperium Motor Corp. build on successful Grand Opening with arrival of the Skywell 12 meter all electric City Bus and Terra Trucks

-         Anticipating approval for 18.3 million Euro/$22 million USD Bus Contract

-        Closed the Acquisition of MTG for integration of MTG’s customer base and multimillion dollar monthly sales flow into a new wholesale division 

“We have set the foundation though personnel, partnerships and acquisitions to become a leader in the industry. We fully anticipate revenue increasing multiple fold each quarter in 2021 and for the foreseeable future. All segments of our business including the Infinity HD, 4G Tags, Pacer golf carts, E-Bikes and Electric Vehicles are growing. During the current quarter we expect to attend numerous trade shows in NA, identifying our EV dealer network, begin ramping EV sales and start delivering vehicles to end customers and dealers on a large scale during Q4 2021," said Robert Silzer, CEO of DSG Global, Inc.

About DSG Global

DSG Global is an emerging global technology company with an array of interconnecting businesses in some of the fastest growing market sectors. With roots in the golf industry in which it specializes in fleet management with patented analytics, mobile touch screen engagement and electric golf carts under the Vantage Tag Systems (VTS) brand, the company is moving quickly with road-ready electric vehicles for sale in the first quarter of 2021 through its Imperium Motor Company subsidiary.

About Vantage Tag Systems

Vantage Tag Systems (VTS) provides patented electronic tracking systems and fleet management solutions to golf courses and other avenues that allow for remote management of the course's fleet of golf carts, turf equipment and utility vehicles. Its clients use VTS's unique technology to significantly reduce operational costs, improve the efficiency plus profitability of their fleet operations, increase safety, and enhance customer satisfaction. VTS has grown to become a leader in the category of Fleet Management in the golf industry, with their technology installed in over vehicles worldwide. VTS is now branching into several new streams of revenue, through programmatic advertising, licensing, and distribution, as well as expanding into Commercial Fleet Management, PACER single rider golf carts, and Agricultural applications. Additional information is available at http://vantage-tag.com/

About Imperium Motor Company

Imperium Motor Company (IMC) is an EV sales and marketing company that offers a wide variety of affordable vehicles equipped for the North American market with emphasis on great design, a green mindset, performance, and functionality. Vehicles will include high speed, mid-speed, and low speed electric vehicles including cars, trucks, SUVs, vans, buses, and scooters. For additional information about Imperium Motors' product lines, please visit www.imperiummotorcompany.com.

Company Contact:

Brokers and Analysts:
Chesapeake Group
+1-410-825-3930
info@chesapeakegp.com

Safe Harbor for Forward-Looking Statements

This news release contains forward-looking information. Such forward-looking statements or information are provided for the purpose of providing information about management's current expectations and plans relating to the future. Readers are cautioned that reliance on such information may not be appropriate for other purposes. Any such forward-looking information may be identified by words such as "anticipated", "proposed", "expects", "intends", "may", "will", and similar expressions. Forward-looking information contained or referred to in this news release includes but is not limited to the Company's ability to secure manufacturing facilities and supply chains, the benefits the Company expects to derive from existing and planned products, and the Company's ability to achieve production and sales targets, generally.

Forward-looking statements or information are based on a number of factors and assumptions which have been used to develop such statements and information, but which may prove to be incorrect. Although the Company believes that the expectations reflected in such forward-looking statements or information are reasonable, undue reliance should not be placed on forward-looking statements because the Company can give no assurance that such expectations will prove to be correct. Factors which could cause actual results to differ materially from those described in such forward-looking information include, but are not limited to: negative cash flow and future financing requirements to sustain operations, dilution, limited history of operations and revenues and no history of earnings or dividends, competition, economic changes, delays in the Company's expansion plans, regulatory changes, and the impact of and risks associated with the ongoing COVID-19 pandemic including the risk of disruption at the Company's facilities or in its supply and distribution channels. The forward-looking information in this news release reflects the current expectations, assumptions and/or beliefs of the Company based on information currently available to the Company.

Additional factors that could cause actual results to differ materially from those anticipated by our forward-looking statements are described under the captions "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" in our Annual Report on Form 10-K for the fiscal year 2020 and our subsequent Quarterly Reports on Form 10-Q and Current Reports on Form 8-K, all filed with the Securities and Exchange Commission. Forward-looking statements are made as of the date of this release, and we expressly disclaim any obligation or undertaking to update forward-looking statements. The forward-looking statements or information contained in this news release are expressly qualified by this cautionary statement.

FAQ

What were the revenue results for DSGT in Q2 2021?

DSGT reported a revenue of $494,838 for Q2 2021, reflecting a 299% increase compared to Q2 2020.

How did DSGT's net loss change in Q2 2021?

DSGT reported a net loss of $1,076,258 in Q2 2021, a decrease of 66% from a net loss of $3,166,895 in Q2 2020.

What is the latest guidance for DSGT's sales?

DSGT anticipates revenue increasing multiple fold each quarter through 2021, supported by signed contracts totaling over $1.8 million.

What were the gross profit margins for DSGT in Q2 2021?

DSGT's gross profit margins for Q2 2021 were 59.3%, slightly down from 59.6% in Q2 2020.