Hour Loop Reports Full Year 2024 Results
Hour Loop (NASDAQ: HOUR) reported its full year 2024 financial results, showing continued profitability despite economic challenges. Net revenues increased 4.6% to $138.3 million, compared to $132.1 million in 2023. The company achieved a net income of $0.66 million, reversing from a net loss of $2.43 million in 2023.
Key metrics include improved gross margin of 52.1% (up 1.8%) and reduced operating expenses as a percentage of revenue to 51.6% (down 1%). Cash position stood at $2.1 million, with inventory levels stable at $14.6 million.
For 2025 guidance, Hour Loop projects net revenue between $145-160 million (5-15% growth) and net income ranging from $0.5-2 million.
Hour Loop (NASDAQ: HOUR) ha riportato i risultati finanziari per l'intero anno 2024, evidenziando una continua redditività nonostante le sfide economiche. Le entrate nette sono aumentate del 4,6% a 138,3 milioni di dollari, rispetto ai 132,1 milioni di dollari del 2023. L'azienda ha registrato un utile netto di 0,66 milioni di dollari, invertendo una perdita netta di 2,43 milioni di dollari nel 2023.
I principali indicatori includono un miglioramento del margine lordo del 52,1% (in aumento dell'1,8%) e una riduzione delle spese operative come percentuale delle entrate al 51,6% (in diminuzione dell'1%). La posizione di cassa si attesta a 2,1 milioni di dollari, con livelli di inventario stabili a 14,6 milioni di dollari.
Per le previsioni del 2025, Hour Loop prevede entrate nette comprese tra 145 e 160 milioni di dollari (crescita del 5-15%) e un utile netto compreso tra 0,5 e 2 milioni di dollari.
Hour Loop (NASDAQ: HOUR) reportó sus resultados financieros del año completo 2024, mostrando una rentabilidad continua a pesar de los desafíos económicos. Los ingresos netos aumentaron un 4.6% a 138.3 millones de dólares, en comparación con 132.1 millones de dólares en 2023. La compañía logró un ingreso neto de 0.66 millones de dólares, revertiendo una pérdida neta de 2.43 millones de dólares en 2023.
Las métricas clave incluyen un margen bruto mejorado del 52.1% (aumento del 1.8%) y una reducción de los gastos operativos como porcentaje de los ingresos al 51.6% (disminución del 1%). La posición de efectivo se situó en 2.1 millones de dólares, con niveles de inventario estables en 14.6 millones de dólares.
Para la guía de 2025, Hour Loop proyecta ingresos netos entre 145 y 160 millones de dólares (crecimiento del 5-15%) y un ingreso neto que oscila entre 0.5 y 2 millones de dólares.
Hour Loop (NASDAQ: HOUR)는 2024년 전체 재무 결과를 보고하며 경제적 도전에도 불구하고 지속적인 수익성을 보여주었습니다. 순수익은 4.6% 증가하여 1억 3,830만 달러에 달했으며, 2023년의 1억 3,210만 달러와 비교됩니다. 회사는 2023년 243만 달러의 순손실에서 벗어나 66만 달러의 순이익을 기록했습니다.
주요 지표로는 52.1%의 총 마진 개선(1.8% 증가)과 매출 대비 운영비 비율이 51.6%로 감소(1% 감소)한 것이 포함됩니다. 현금 보유액은 210만 달러로, 재고 수준은 1,460만 달러로 안정적입니다.
2025년 전망에 따르면, Hour Loop는 순수익을 1억 4,500만에서 1억 6,000만 달러(5-15% 성장)로 예상하며, 순이익은 50만에서 200만 달러로 예상하고 있습니다.
Hour Loop (NASDAQ: HOUR) a publié ses résultats financiers pour l'année complète 2024, montrant une rentabilité continue malgré les défis économiques. Les revenus nets ont augmenté de 4,6% pour atteindre 138,3 millions de dollars, contre 132,1 millions de dollars en 2023. L'entreprise a réalisé un bénéfice net de 0,66 million de dollars, inversant une perte nette de 2,43 millions de dollars en 2023.
Les indicateurs clés comprennent une marge brute améliorée de 52,1% (en hausse de 1,8%) et une réduction des dépenses d'exploitation en pourcentage des revenus à 51,6% (en baisse de 1%). La position de trésorerie s'élevait à 2,1 millions de dollars, avec des niveaux de stocks stables à 14,6 millions de dollars.
Pour les prévisions 2025, Hour Loop projette des revenus nets compris entre 145 et 160 millions de dollars (croissance de 5-15%) et un bénéfice net oscillant entre 0,5 et 2 millions de dollars.
Hour Loop (NASDAQ: HOUR) hat seine finanziellen Ergebnisse für das gesamte Jahr 2024 veröffentlicht und zeigt trotz wirtschaftlicher Herausforderungen eine anhaltende Rentabilität. Die Nettoumsätze stiegen um 4,6% auf 138,3 Millionen Dollar, verglichen mit 132,1 Millionen Dollar im Jahr 2023. Das Unternehmen erzielte einen Nettoertrag von 0,66 Millionen Dollar und kehrte damit von einem Nettoverlust von 2,43 Millionen Dollar im Jahr 2023 zurück.
Wichtige Kennzahlen sind eine verbesserte Bruttomarge von 52,1% (ein Anstieg von 1,8%) und reduzierte Betriebskosten als Prozentsatz des Umsatzes von 51,6% (ein Rückgang um 1%). Die Liquiditätsposition betrug 2,1 Millionen Dollar, während die Lagerbestände stabil bei 14,6 Millionen Dollar lagen.
Für die Prognose 2025 rechnet Hour Loop mit Nettoumsätzen zwischen 145 und 160 Millionen Dollar (Wachstum von 5-15%) und einem Nettoergebnis zwischen 0,5 und 2 Millionen Dollar.
- Returned to profitability with $0.66M net income vs $2.43M loss in 2023
- Revenue growth of 4.6% to $138.3M
- Gross margin improved by 1.8% to 52.1%
- Operating expenses decreased by 1% to 51.6% of revenue
- Positive operating cash flow of $0.3M vs -$2.1M in 2023
- Projects 5-15% revenue growth for 2025
- Cash position decreased to $2.1M from $2.5M in 2023
- Faced challenges from e-commerce traffic slowdown
- Experienced congested inbound logistics in Q4
- Significant increase in inbound placement fees
Insights
Hour Loop's return to profitability marks a significant turnaround after posting a
The
Their cash position declined slightly to
The 2025 guidance projects revenue growth of
Hour Loop has navigated a challenging e-commerce landscape effectively, focusing on operational efficiency to drive profitability in a competitive market. The company specifically mentioned "congested inbound logistics in the 4th quarter" and "overall e-commerce traffic slowdown" - common challenges facing online retailers in 2024.
Their approach to improving gross margins through "enhanced inventory quality and efficiency" represents the kind of operational discipline essential for survival in the low-margin online retail space. The reduction in normal and long-term storage fees despite increased inbound placement fees shows sophisticated inventory management practices.
For a smaller online retailer with a market cap of just
The cautiously optimistic outlook for 2025 aligns with current e-commerce trends where established players with operational discipline can continue growing despite broader market uncertainties. Hour Loop's ability to maintain stable inventory levels while growing revenue indicates they're making intelligent purchasing decisions rather than simply expanding selection indiscriminately.
Profitability Continues Despite Challenges for the Overall Economy
Provides Full Year 2025 Revenue and Net Income Guidance
Redmond, WA, March 27, 2025 (GLOBE NEWSWIRE) -- Hour Loop, Inc. (NASDAQ: HOUR) (“Hour Loop”), a leading online retailer, announces its financial and operational results for the year ended December 31, 2024.
Financial Highlights for 2024:
- Net revenues increased
4.6% to$138.3 million , compared to$132.1 million in 2023; - Net income totaled
$0.66 million , compared to net loss of$2.43 million in 2023; and - Cash provided by operating activities was
$0.3 million , compared with cash used in operating activities$2.1 million for the year ended December 31, 2024 and 2023, respectively.
Management Commentary
“We are pleased to report our full year 2024 results, in which we continued to deliver good revenue growth, despite challenges for the overall economy and congested inbound logistics in the 4th quarter,” said Sam Lai, CEO and interim CFO of Hour Loop. “The revenue growth rate for 2024 was
“Our gross margin and operating margin were both improved, compared with the year-ago period, because of efforts made for inventory quality and efficiency enhancement, operation efficiency improvement, as well as expenses management. Overall, we believe we’ve built a solid foundation to continue generating satisfactory growth while maintaining profitability.”
“Looking forward, we’re cautiously optimistic. Despite an uncertain economy, we continue to see good demand for our products so far in 2025. We are confident in our ability to continue delivering value to our vendors, customers, and shareholders.”
Full Year 2024 Financial Results
Net revenues in 2024 were
Gross profit percentage increased
Operating expenses as a percentage of net revenues in 2024 decreased by
Net income in 2024 was
As of December 31, 2024, the Company had
Inventories as of December 31, 2024, were
Full Year 2025 Financial Outlook
For the full year 2025, Hour Loop is providing guidance for net revenue to be in the range of
About Hour Loop, Inc.
Hour Loop is an online retailer engaged in e-commerce retailing in the U.S. market. It has operated as a third-party seller on www.amazon.com and has sold merchandise on its website at www.hourloop.com since 2013. Hour Loop further expanded its operations to other marketplaces such as Walmart, eBay, and Etsy. To date, Hour Loop has generated practically all its revenue as a third-party seller on www.amazon.com and only a negligible amount of revenue from its own website and other marketplaces. Hour Loop manages more than 100,000 stock-keeping units (“SKUs”). Product categories include home/garden décor, toys, kitchenware, apparel, and electronics. Hour Loop’s primary strategy is to bring most of its vendors’ product selections to the customers. It has advanced software that assists Hour Loop in identifying product gaps so it can keep such products in stock year-round including the entirety of the last quarter (holiday season) of the calendar year. In upcoming years, Hour Loop plans to expand its business rapidly by increasing the number of business managers, vendors, and SKUs.
Forward-Looking Statements
This press release contains statements that constitute "forward-looking statements," including with respect to Hour Loop’s business strategy, product development and industry trends. Forward-looking statements are subject to numerous conditions, many of which are beyond the control of Hour Loop. While Hour Loop believes these forward-looking statements are reasonable, undue reliance should not be placed on any such forward-looking statements, which are based on information available to Hour Loop on the date of this release. These forward-looking statements are based upon current estimates and assumptions and are subject to various risks and uncertainties, including, without limitation, those set forth in Hour Loop’s filings with the Securities and Exchange Commission, as the same may be updated from time to time. Thus, actual results could be materially different. Hour Loop undertakes no obligation to update these statements whether as a result of new information, future events or otherwise, after the date of this release, except as required by law.
Investor Contact
Finance Department, Hour Loop, Inc.
finance@hourloop.com
HOUR LOOP, INC.
CONSOLIDATED BALANCE SHEETS
(In U.S. Dollars, except for share and per share data)
As of December 31, 2024 and 2023
| December 31, 2024 | December 31, 2023 | ||||||||
| ASSETS | |||||||||
| Current assets | |||||||||
| Cash | $ | 2,119,581 | $ | 2,484,153 | |||||
| Accounts receivable, net | 1,650,547 | 747,650 | |||||||
| Inventory, net | 14,640,632 | 14,276,555 | |||||||
| Prepaid expenses and other current assets | 327,894 | 504,973 | |||||||
| Total current assets | 18,738,654 | 18,013,331 | |||||||
| Property and equipment, net | 56,797 | 148,788 | |||||||
| Deferred tax assets | 1,060,104 | 1,304,215 | |||||||
| Operating lease right-of-use lease assets | 111,409 | 83,946 | |||||||
| Total non-current assets | 1,228,310 | 1,536,949 | |||||||
| TOTAL ASSETS | $ | 19,966,964 | $ | 19,550,280 | |||||
| LIABILITIES AND STOCKHOLDERS’ EQUITY | |||||||||
| Current liabilities | |||||||||
| Accounts payable | $ | 4,176,305 | $ | 3,812,954 | |||||
| Credit cards payable | 3,389,880 | 4,404,445 | |||||||
| Short-term loan | 610,967 | 652,422 | |||||||
| Operating lease liabilities-current | 114,540 | 82,269 | |||||||
| Accrued expenses and other current liabilities | 2,322,535 | 1,972,512 | |||||||
| Due to related parties | 4,192,995 | - | |||||||
| Total current liabilities | 14,807,222 | 10,924,602 | |||||||
| Non-current liabilities | |||||||||
| Operating lease liabilities-non-current | - | 2,363 | |||||||
| Due to related parties | - | 4,170,418 | |||||||
| Total non-current liabilities | - | 4,172,781 | |||||||
| Total liabilities | 14,807,222 | 15,097,383 | |||||||
| Commitments and contingencies | - | ||||||||
| Stockholders’ equity | |||||||||
| Preferred stock: | - | - | |||||||
| Common stock: | 3,514 | 3,508 | |||||||
| Additional paid-in capital | 5,802,686 | 5,727,650 | |||||||
| Accumulated deficit | (595,175 | ) | (1,252,622 | ) | |||||
| Accumulated other comprehensive loss | (51,283 | ) | (25,639 | ) | |||||
| Total stockholders’ equity | 5,159,742 | 4,452,897 | |||||||
| TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY | $ | 19,966,964 | $ | 19,550,280 | |||||
The accompanying notes are an integral part of these consolidated financial statements.
HOUR LOOP, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS)
(In U.S. Dollars, except for share and per share data)
For the Years Ended December 31, 2024 and 2023
| 2024 | 2023 | |||||||
| Revenues, net | $ | 138,252,861 | $ | 132,124,202 | ||||
| Cost of revenues | (66,242,153 | ) | (65,606,947 | ) | ||||
| Gross profit | 72,010,708 | 66,517,255 | ||||||
| Operating expenses | ||||||||
| Selling and marketing | 61,808,979 | 61,135,227 | ||||||
| General and administrative | 9,470,789 | 8,385,451 | ||||||
| Total operating expenses | 71,279,768 | 69,520,678 | ||||||
| Income (loss) from operations | 730,940 | (3,003,423 | ) | |||||
| Other (expenses) income | ||||||||
| Other expense | (12,695 | ) | (9,542 | ) | ||||
| Interest expense | (249,587 | ) | (248,779 | ) | ||||
| Other income | 490,903 | 101,290 | ||||||
| Total other expenses, net | 228,621 | (157,031 | ) | |||||
| Income (loss) before income taxes | 959,561 | (3,160,454 | ) | |||||
| Income tax (expense) benefit | (302,114 | ) | 730,760 | |||||
| Net income (loss) | 657,447 | (2,429,694 | ) | |||||
| Other comprehensive loss | ||||||||
| Foreign currency translation adjustments | (25,644 | ) | (2,597 | ) | ||||
| Total comprehensive income (loss) | $ | 631,803 | (2,432,291 | ) | ||||
| Basic and diluted income (loss) per common share | $ | 0.02 | (0.07 | ) | ||||
| Weighted-average number of common shares outstanding | 35,119,761 | 35,066,592 | ||||||
The accompanying notes are an integral part of these consolidated financial statements.
HOUR LOOP, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(In U.S. Dollars)
For the Years Ended December 31, 2024 and 2023
| 2024 | 2023 | |||||||
| Cash flows from operating activities | ||||||||
| Net income (loss) | $ | 657,447 | $ | (2,429,694 | ) | |||
| Reconciliation of net income (loss) to net cash used in operating activities: | ||||||||
| Depreciation expenses | 119,064 | 138,001 | ||||||
| Amortization of operating lease right-of-use lease assets | 211,348 | 387,446 | ||||||
| Deferred tax assets | 244,111 | (754,895 | ) | |||||
| Stock-based compensation | 75,042 | 52,332 | ||||||
| Inventory allowance | 560,293 | 675,886 | ||||||
| Unrealized Foreign Exchange Gain | (87,520 | ) | - | |||||
| Changes in operating assets and liabilities: | ||||||||
| Accounts receivable | (902,897 | ) | (395,271 | ) | ||||
| Inventory | (924,370 | ) | 3,849,088 | |||||
| Prepaid expenses and other current assets | 177,079 | 236,270 | ||||||
| Accounts payable | 363,351 | (2,838,767 | ) | |||||
| Credit cards payable | (1,014,565 | ) | (827,087 | ) | ||||
| Accrued expenses and other current liabilities | 1,043,600 | 229,540 | ||||||
| Operating lease liabilities | (208,843 | ) | (386,224 | ) | ||||
| Net cash provided by (used in) operating activities | 313,140 | (2,063,375 | ) | |||||
| Cash flows from investing activities: | ||||||||
| Purchases of property and equipment | (35,996 | ) | (14,823 | ) | ||||
| Net cash used in investing activities | (35,996 | ) | (14,823 | ) | ||||
| Cash flows from financing activities: | ||||||||
| Payments to related parties | (671,000 | ) | - | |||||
| Net cash used in financing activities | (671,000 | ) | - | |||||
| Effect of changes in foreign currency exchange rates | 29,284 | (238 | ) | |||||
| Net change in cash | (364,572 | ) | (2,078,436 | ) | ||||
| Cash at beginning of year | 2,484,153 | 4,562,589 | ||||||
| Cash at end of year | $ | 2,119,581 | $ | 2,484,153 | ||||
| Supplemental disclosures of cash flow information: | ||||||||
| Cash paid for interest | $ | 249,296 | $ | 406,103 | ||||
| Cash paid for income tax | $ | 211,911 | $ | 1,696 | ||||
| Noncash investing and financing activities: | ||||||||
| Operating lease right-of-use of assets and operating lease liabilities recognized | $ | 248,716 | $ | 27,249 | ||||
The accompanying notes are an integral part of these consolidated financial statements.
FAQ
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