Business
Cosmos Health Reports First Quarter 2023 Financial Results; Delivers Positive Adjusted EBITDA and Significant Increase in Adjusted Net Income
CHICAGO, IL / ACCESSWIRE / May 17, 2023 / Cosmos Health Inc. ("Cosmos Health" or "the Company") (NASDAQ:COSM), a global healthcare group with proprietary
About this update from Cosmos Health Inc.
[{"type":"text","content":"CHICAGO, IL / ACCESSWIRE / May 17, 2023 / Cosmos Health Inc. (\"Cosmos Health\" or \"the Company\") (NASDAQ:COSM), a global healthcare group with proprietary lines of nutraceuticals and distributor of pharmaceuticals, branded generics, OTC medications and medical devices, today provided a business update and reported financial results for the first quarter ended March 31, 2023.First Quarter 2023 Financial HighlightsRevenues amounted to $12.35 million, compared to $13.07 million in Q1 2022. When considered on a constant currency basis, using quarterly average Q1 2022 exchange rates, revenues were virtually flat at $13.03 million, highlighting the stability of our platform.Adjusted EBITDA was $0.4 million, continuing the positive momentum from FY 2022.Adjusted Net Income increased 1270% from $0.03 million in Q1 2022 to $0.5 million.Total debt decreased from $16.6 million in Q1 2022 to $3.5 million, representing a 79% reduction.Due to the significant reduction in debt, interest expenses decreased from $0.58 million in Q1 2022 to $0.13 million, a 78% decline.Total assets remained virtually flat at $68 million compared to Q4 2022, with significant working capital of $32.1 million ensuring strong financial flexibility.Stockholders' Equity increased to $44 million, compared to $39.3 million in Q4 2022 and $5.2 million in Q1 2022, representing an increase of 12% and 746%, respectively.On March 20, 2023, the Company canceled a distribution agreement eliminating the obligation of $1.5 million as debt payment, and, as a result, recorded a gain.Management CommentaryGreg Siokas, Chief Executive Officer of Cosmos Health, stated: \"We are pleased with the progress we have made during this first quarter. We successfully executed strategic initiatives to advance the acquisition of Pharmaceutical Laboratories CANA S.A. (\"Cana\"), repay debts, recruit key personnel, boost our marketing efforts, and enhance product awareness through participation in three major exhibitions, as well as TV and Amazon advertisements. Additionally, we have made investments in our infrastructure to facilitate the expansion of our own branded nutraceuticals and accommodate the new phases of growth.Looking back, in 2022, we established a solid foundation by fortifying our balance sheet. This has carried over into 2023 as we continue to lay the groundwork for a promising ...