Business
Twin Vee PowerCats Co. Reports a 83% Increase in Revenue for First Quarter of 2022
FORT PIERCE, FL / ACCESSWIRE / May 12, 2022 / Twin Vee PowerCats Co. (NASDAQ:VEEE) ("Twin Vee" or the "Company"), a designer, manufacturer, distributor, and
About this update from Twin Vee Powercats Co.
[{"type":"text","content":"FORT PIERCE, FL / ACCESSWIRE / May 12, 2022 / Twin Vee PowerCats Co. (NASDAQ:VEEE) (\"Twin Vee\" or the \"Company\"), a designer, manufacturer, distributor, and marketer of power sport catamaran boats, today reported operational highlights and financial results for the three months ended March 31, 2022.\"We are pleased to report an 83% increase in net revenue for the three months ended March 31, 2022, compared to 2021,\" said Joseph Visconti, CEO of Twin Vee PowerCats Co. \"We continue to experience a strong demand for our products. Expanding our dealer network, adding new GFX models to our lineup and increased production are the main drivers for higher revenue. For the first three months ended March 31, 2022, our efforts continued to streamline our manufacturing process and work towards achieving a leaner organization, these measures brought our manufacturing throughput to an average of 4 boats a week, up from approximately 3.25 boats a week in the fourth quarter of 2021. Our increase in production resulted in us experiencing higher labor costs, these increased labor costs can be seen as a direct correlation to a larger number of Twin Vee's being shipped to our dealer network. We feel confident as our efforts to streamline our manufacturing processes, we should see labor come back in line.Our manufacturing process is labor-intensive, most aspects of our boats are made by hand and the addition of new models to our production lineup requires an overstaffing to train and teach new employees the art of upholstery, gel coating, composite training, finish work, and rigging the boats.\"\"Our goal continues to be escalating production to 5 boats per week, which has resulted in an increase in operating expenses. More specifically, our headcount has increased and is expected to continue to further increase. We have hired additional production employees and midlevel managers resulting in higher salaries and wages. We remain focused on hiring highly qualified production and administrative staff in order to strengthen our productivity, drive efficiencies, and maintain a high level of quality. To help meet our production objectives, we have also invested approximately $2.5 million in facility upgrades, capital equipment and molds.\"\"As we move forward into the second quarter of 2022, we anticipate our operating income to be moderate towards...