Third Quarter Outlook: Envela Expects to Shatter Last Year's Record 3Q Revenues

Rhea-AI Summary

Envela Corporation (ELA) projects revenue exceeding $33 million for Q3 2020, reflecting over a 50% increase from Q3 2019. CEO John Loftus expressed optimism about their recommercing business model, citing strong performance across all divisions while acknowledging COVID-19 uncertainties. Envela operates in diverse recommerce sectors, focusing on luxury assets, consumer electronics, and recycling. This growth expectation underscores the company's resilience and strategic growth plans amidst the ongoing pandemic.

Positive

• Projected revenue exceeding $33 million for Q3 2020, up over 50% year-over-year.
• Strong performance across all divisions indicates business resilience.
• Company's strategic growth plans are positioned to leverage market opportunities.

Negative

• None.

DALLAS, TX / ACCESSWIRE / September 15, 2020 / Envela Corporation (NYSE American:ELA) ("Envela" or the "Company") announced its outlook for the quarter ending September 30, 2020. Based on quarter-to-date trends for the third quarter of 2020, the Company expects its revenue will exceed $33 million for the quarter, which would represent more than a 50% increase compared to the same quarter ended September 30, 2019.

Management Commentary

We are encouraged by the strength of our business and comparable sales across all divisions during the third quarter," said John Loftus, Envela's Chairman and CEO. "While we can't control uncertainties related to COVID-19 or associated economic stimuli, we believe our performance demonstrates the wisdom and resiliency of our business model. We're optimistic about our long-term opportunities as we continue to leverage the agility of our unique recommerce business model and execute our strategic-growth plans," added Loftus.

About Envela

Envela and its subsidiaries engage in diverse business activities within the recommerce sector. These include recommercializing luxury hard assets, consumer electronics and IT equipment; and end-of-life recycling solutions. Envela assesses its inventory of recommerce purchases for their potential to be refurbished and resold as whole goods or to be recycled for component parts or precious-metal value. Envela also offers comprehensive recycling solutions for a variety of other companies seeking responsibly to dispose of end-of-life products. Envela operates primarily via two business segments. Through DGSE, LLC the Company recommercializes luxury hard assets via Dallas Gold and Silver Exchange, Charleston Gold & Diamond Exchange, and Bullion Express brands. Through ECHG, LLC, the Company operates Echo Environmental Holdings, ITAD USA Holdings, and Teladvance, which recommercialize primarily consumer electronics and IT equipment and provide end-of-life recycling services for various companies across many industries. Envela operates at the retail and wholesale levels, through distributors, resellers, dedicated stores and online. Envela is a Nevada corporation, headquartered in Dallas, Texas.

Additional information about Envela is available at its investor-relations website, Envela.com.

Forward-Looking Statements

This press release includes statements that may constitute "forward-looking" statements, including statements regarding the Company's anticipated revenues, potential future growth, the success of its business lines and strategies, and impacts that the COVID-19 pandemic may have on our future operations and revenues. These statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements inherently involve risks and uncertainties that could cause actual results to differ materially from the forward-looking statements. Factors that would cause or contribute to such differences include, but are not limited to, market conditions and other risks detailed in the Company's periodic report filings with the Securities and Exchange Commission. By making these statements, the Company undertakes no obligation to update these statements for revisions or changes after the date of this release except as required by law.

Investor Relations Contact:
David Vadala
Head of Investor Relations
Envela Corporation
13022 Preston Rd Dallas, TX 75240
972.587.4030

SOURCE: Envela Corporation

View source version on accesswire.com:
https://www.accesswire.com/606126/Third-Quarter-Outlook-Envela-Expects-to-Shatter-Last-Years-Record-3Q-Revenues

FAQ

What is Envela Corporation's revenue expectation for Q3 2020?

Envela Corporation expects its revenue to exceed $33 million for Q3 2020.

How much has Envela Corporation's revenue increased compared to Q3 2019?

Envela's revenue is projected to increase by more than 50% compared to Q3 2019.

What business sectors does Envela Corporation operate in?

Envela operates in diverse sectors within the recommerce market, including luxury hard assets, consumer electronics, and recycling services.

Who is the CEO of Envela Corporation?

The CEO of Envela Corporation is John Loftus.

What challenges does Envela Corporation face related to COVID-19?

Envela acknowledges uncertainties related to COVID-19 that may impact future operations and revenues.