Business
Stran & Company, Inc. Reports 31% Growth in Revenue, 72% Increase in Gross Profit and Expanded Margins for the Third Quarter of 2021
QUINCY, Mass., Dec. 07, 2021 (GLOBE NEWSWIRE) -- Stran & Company, Inc. ("Stran" or the "Company") (NASDAQ: STRN) (NASDAQ: STRNW), a leading outsourced
About this update from Stran & Company, Inc.
[{"type":"text","content":"QUINCY, Mass., Dec. 07, 2021 (GLOBE NEWSWIRE) -- Stran & Company, Inc. (\"Stran\" or the \"Company\") (NASDAQ: STRN) (NASDAQ: STRNW), a leading outsourced marketing solutions provider that leverages its promotional products and loyalty incentive expertise, today provided a business update and reported financial results for the third quarter ended September 30, 2021. Q3 2021 financial highlights: Revenue increased 30.9% to $10.9 million vs. $8.4 million for Q3 2020Gross profit increased 72.0% to $3.7 million vs. $2.2 million for Q3 2020Gross margin increased to 34.0% vs. 25.9% for Q3 2020Operating income increased to $1.0 million vs. $0.1 million for Q3 2020Net income increased to $0.7 million vs. a loss of $0.2 million for Q3 2020 Andy Shape, President and CEO of Stran, commented, “Our strong financial performance reflects the successful execution of our business strategy. We achieved 31% revenue growth from increased sales to existing clients and recently-acquired customers, despite the loss of significant, non-recurring sales related to the U.S. census in 2020 and personal protective equipment, such as surgical masks, for the same period last year. At the same time, our gross margins increased to 34.0% compared to 25.9% for the same period last year. Overall, the outlook for the business is extremely bright. Not only do we anticipate continued organic revenue growth in 2022, but we are also exploring opportunistic acquisitions that we believe would be accretive and highly synergistic with our existing business.” “Following our recent IPO, we are well positioned to expand our market position as a leading provider of outsourced marketing solutions. In addition to branded products, we offer clients custom sourcing capabilities; a flexible and customizable e-commerce solution; creative and merchandising services; warehousing/fulfillment and distribution; print-on-demand; kitting/assembly services; point of sale displays; and loyalty and incentive programs. Importantly, we are undergoing a shift from largely transactional customers to recurring program offerings, whereby we are able to leverage our inventory management capabilities, technology platform, warehousing, and creative services, leading to long-term recurring revenue streams. With a larger sales force and other resources, we believe we can now convert more of our customer...