UCASU aims at over $1 million gross profit for year 2023

Rhea-AI Summary

UC Asset LP (OTCQB: UCASU) aims for over $1 million in gross profit for 2023, marking a 100% increase from previous highs. In prior years, the company reported gross profits of $491,000 in 2021, $103,000 in 2020, and $42,000 in 2019. With two deals expected to close in H1 2023, projected profits range from $600,000 to $800,000. Despite optimism, management warns of potential challenges in net income growth due to non-operating costs. Nonetheless, plans to reduce management payments may improve net margins and allow for increased dividends for shareholders.

Positive

• Projected gross profit of over $1 million represents a 100% growth from previous years.
• Reported gross profits of $491,000 in 2021 and steady growth in previous years.
• Two upcoming deals expected to contribute $600,000 - $800,000 in gross profits.
• Plans to reduce management payments may enhance net income margins.
• Potential for increased dividends if higher net income is realized.

Negative

• Management cautions that net income growth may not reflect gross profit increases due to non-operating costs.
• Possible challenges in realizing projected gross profit goals.

Atlanta, Jan. 09, 2023 (GLOBE NEWSWIRE) -- UC Asset LP (OTCQB: UCASU) management announces that the company aims to achieve over $1 million gross profit from its operation in the year of 2023, representing a 100% growth from its highest gross profit in previous years.

UC Asset had been operationally profitable in previous years, and it had managed to maintain steady growth of gross profit. According to its filings, the company reported gross profit of about $491,000 for the fiscal year of 2021, about $103,000 gross profit for the fiscal year of 2020, and about $42,000 gross profit for the fiscal year of 2019.

Later last year, UC Asset projected to close two deals which would have generated about $600,000 - $800,000 gross profits. UC Asset expects to close these two deals in the first half of 2023.

“With these two deals that we are very confident to close soon, and with a solid pipeline of deals we are developing and possibly closing in the second half of 2023, we are optimistic that our gross profit may break $1 million mark, for the first time of our operating history,” says Greg Bankston, managing partner of UC Asset. “This will be exciting, given that our annual gross profit has never reached half million in the previous years.”

Bankston cautions that the company may not be able to realize these goals, and even if it does, it may not report similar net income growth due to non-operating costs, including fees to be paid to its management team.

However, Bankston hints that the company has a plan to cut back the management team’s payment considerably for the year of 2023, and thus may increase the margin of net income.

Bankston also indicates that the company may distribute more dividend to its shareholders, if it reports higher net income.

Last year, the company completed distribution to its shareholders a cash dividend of $0.10 per share.

About UC Asset LP

UC Asset LP is a limited partnership formed for the purpose of investing in real estate with innovative strategies.  For more information about UC Asset, please visit: www.ucasset.com

Disclaimer:

This News Release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements involve known and unknown risks, uncertainties and other important factors that could cause our actual results, performance or achievements, or industry results, to differ materially from any these statements. You are cautioned not to place undue reliance on any those forward-looking statements. Except as otherwise required by the federal securities laws, we undertake no obligation to publicly update or revise any forward-looking statements after the date of this news release. None of such forward-looking statements should be regarded as a representation by us or any other person that the objectives and plans set forth in this News Release will be achieved or be executed. 

For More Information Contact: IR@UCasset.com

FAQ

What is UC Asset's gross profit target for 2023?

UC Asset aims for over $1 million in gross profit in 2023.

What were UC Asset's gross profits in previous years?

In 2021, gross profit was approximately $491,000, $103,000 in 2020, and $42,000 in 2019.

What deals is UC Asset expecting to close in 2023?

UC Asset anticipates closing two deals that may generate $600,000 - $800,000 in gross profits.

Will UC Asset distribute dividends in 2023?

Yes, if net income increases, UC Asset may distribute more dividends to shareholders.

What are potential risks mentioned by UC Asset management?

Management warned about the possibility of not achieving gross profit goals and challenges in net income growth due to non-operating costs.