Business
Naples Soap Company Reports Third Quarter Results
Naples Soap Company Reports Third Quarter Results.
About this update from Naples Soap Company Inc.
[{"type":"text","content":"\nNaples Soap Company, Inc (OTC PINK: NASO), a health and wellness brand that offers high-quality skin and hair care products, today reported third quarter financial results for the period ending September 30, 2022.\n\n\nTotal sales for the three months ended September 30, 2022 were approximately $2.31 million compared to approximately $2.26 million for the three months ended September 30, 2021, a 2% increase. Total sales for the nine months ended September 30, 2022 were approximately $8.08 million compared to approximately $7.52 million for the nine months ended September 30, 2021, a 7% increase.\n\n\nStore sales for the nine months ended September 30, 2022 have increased 12%, compared to the nine months ended September 30, 2021.\n\n\nGross profit for the nine months ended September 30, 2022 was approximately $5.81 million compared to $5.69 million for the nine months ended September 30, 2021, a 2% increase.\n\n\nOperating expenses for the three months ended September 30, 2022, increased approximately $303 thousand, or 17%, compared to the three months ended September 30, 2021. The increase was primarily driven by the following:\n\n\nThe Company incurred additional expenses with the March 2022, opening of its retail store in Kissimmee, Florida.\n\n\nThe Company relocated to a new warehouse space with administrative offices in September of 2022 and incurred expenses for both facilities, while the new space was under construction. In addition, the Company added additional warehouse and administrative personnel, in anticipation of the holiday season and expected growth.\n\n\n\n\nNet income for the nine months ended September 30, 2022 was a loss of approximately $130 thousand compared to net income of $1.1 million for the nine months ended September 30, 2021. It should be noted that in 2021, the Company received a PPP loan, ERTC refund and insurance proceeds totaling approximately $630 thousand.\n\n\nThe Company continues to experience an increase in costs for several expense categories and in cost of goods sold, as a result of the macroeconomic trends, including 40-year high inflation, rising interest rates and supply-chain pressures. These events are impacting consumer confidence and their respective spending patterns as consumers have become increasingly price-sensitive as the year has progressed. The Company has several ongoing...