Business
BRAVADA International Releases its Fiscal Year 2020 Financial Results
BRAVADA International Releases its Fiscal Year 2020 Financial Results.
About this update from Bravada International, Ltd.
[{"type":"text","content":"\nBRAVADA International Ltd (https://www.Bravada.com) (Pink Sheets: BRAV) announced today its full year financial results for fiscal year 2020. Highlights of the Company’s financial results are as follows:\n\n\nGross revenue for 2020 was $4,088,966.\n\n\nNet income for 2020 was $399,752.\n\n\nIncreased inventory in Q4 by $233,372 - Website and product line expansion\n\n\nPaid off $63,070 of debt.\n\n\nReturn rate of 1.4% - The average return rate for online purchases is 20 - 30%. The highest is in the clothing and footwear categories, according to data from GlobalData.\n\n\nThe Cost of Goods for the 4th quarter came in higher than previous quarters as higher cost face masks and PPE acquired earlier in the year were sold during Q4. The cost of goods (COGS) are expected to drop significantly in the first quarter of 2021 as new lower priced inventory replaced the Company’s high volume products at lower costs levels.\n\nFourth Quarter Highlights\n\nThe Company saw a noticeable sales drop at the conclusion of the federal elections on November 3. It impacted all of the Company’s websites and product categories. October was fairly robust although it was still slightly weaker than anticipated. The Company believes that this was due to the pre-election media hype that consumed much of the country. November and December were noticeably weaker across all categories with a noticeable drop on November 3 and beyond.\n\nThe Company had exceptional success with its PPE and face mask business having many high-profile customers that included professional sports teams in the NFL, MLB, NBA, and NHL, in addition to a number of nationally recognized TV shows on various cable channels and Hollywood production companies. The Company believes that this business will continue into 2021 however, we expect that the PPE and face mask business will continue to decline with time.\n\nFiscal Year 2021\n\nThe Company is not providing any guidance for the fiscal year 2021 given the uncertainties associated with its new website launches and their potential performance. The Company is not forecasting any major revenue from its new websites in fiscal year 2021 as the process of SEO will most certainly be longer given the crowded sectors that they are in: pet supplies and women’s fashion. BRAVADA has had significant success in developing its w...