PLEASANTON, CA /ACCESSWIRE / May 28 2019 / Jakroo Inc. (OTCQB: JKRO) ("Jakroo," or the "Company"), a company specializing in the custom design, manufacture and direct sale of customized technical endurance apparel for the Cycling, Triathlon, Active and Nordic Skiing markets, today reported it has released the financial results for the first quarter ended March 31, 2019.
For the quarter ended March 31, 2019 Financial Results
- Net revenue decreased approximately $190,000 or 7.2% to approximately $2.47million for the 3 months ended March 31, 2019.
- Net revenue from our North America operations decreased $162,809 or 10.2%
- Net revenue from our Chinese operations decreased $54,475 or 5.6%
- Net revenue from our European operations increased $26,719 or 30.8%
- Gross profit decreased by $67,450 or 4.9% to approximately $1.32 million, compared to $1.39 million during the three months ended March 31, 2018.
- Gross margin was 53.5%, an increase of 1.29% compared to the 3 months ended March 31, 2018.
- Cost of revenues was approximately $1.15 million or 46.5% of total revenues, compared to $1.27 million or 47.8% of total revenues in the same period in 2018.
- Net income decreased by $50,034, reflecting a loss of $33,850 for the 3 months ended March 31, 2019, compared to a net profit of $16,184 during the same period in 2018. Losses were attributed primarily to decreases in profits derived from our OEM segment across our North American and Chinese operating units.
- Selling and administrative expense slightly decreased by $16,430 or 1.2% to approximately $1.34 million. Decreases were primarily attributed to increases in professional fees in connection with the OTC listing. In addition, we have continued to invest in product development, technology infrastructure and our employees, the most valuable assets of the Company.
- Provisions for income taxes increased $9,761 to $15,710 compared with $5,949 during the same period in 2018. The increase was primarily due to income taxes paid in China and Canada during the three months ended March 31, 2019, compared to the same period in 2018.
- Inventories of finished goods and raw materials were approximately $1.75 million for the three months ended March 31, 2019, compared to $1.86 million during the same period in 2018.
- Cash and cash equivalents for the 3 months ended March 31, 2019 were $1.99 million, compared to $1.79 million during the same period in 2018.
About Jakroo Inc.
Jakroo, Inc. specializes in the design, manufacture and direct sale of customized technical endurance apparel for the cycling, triathlon, active and nordic skiing markets across Asia, Europe and North America. Our made-to-order, just-in-time (known as JIT) manufacturing process and vertical integration of design, sales and distribution minimizes risk, provides autonomous control of quality across all stages of our vertically integrated supply chain and maximizes value to our customers.
Our business model is based on the concept of leveraging the global resources across the organization to create and deliver a rich, collaborative, and highly customizable experience for each individual customer.
For more information about Jakroo, visit Jakroo's website ( https://www.jakroo.com/us ) or connect with us via:
Facebook: https://www.facebook.com/jakroo
Instagram: https://www.instagram.com/jakroousa/
Twitter: https://twitter.com/jakroousa
YouTube: https://www.youtube.com/user/jakroousa
The contents found at Jakroo's website address, Facebook, Instagram, Twitter, and YouTube accounts are not incorporated herein by reference and should not be considered part of this press release. The addresses for Jakroo's website, Facebook, Instagram, Twitter, and YouTube accounts are included in this document as inactive textual references only.
CONTACT:
Company Contact:
Jakroo Inc.
5906 Stoneridge Mall Road
Pleasanton, CA 94588
Tel: 800-485-7067
Investor Relations Contact:
Derek Wiseman
COO
Phone: (800) 485-7067 ext. 103
Email: [email protected]
Safe Harbor Statement
This press release and any statements of representatives and partners of Jakroo Inc. (the 'Company') related thereto contain, or may contain, among other things, certain 'forward-looking statements' within the meaning of the Private Securities Litigation Reform Act of 1995, section 27A of the Securities Act of 1933, as amended and section 21E of the Securities Act of 1934, as amended. Such forward-looking statements involve significant risks and uncertainties. Such statements may include, without limitation, statements with respect to the Company's plans, objectives, projections, expectations and intentions and other statements identified by words such as "projects," "may," "will," "could," "would," "should," "believes," "expects," "anticipates," "estimates," "intends," "plans," "potential" or similar expressions. These statements are based upon the current beliefs and expectations of the Company's management and are subject to significant risks and uncertainties, including those detailed in the Company's filings with the Securities and Exchange Commission. Actual future results (including, without limitation, the statements made in this press release as described herein) may differ significantly from those set forth or implied in the forward-looking statements. These forward-looking statements involve numerous risks and uncertainties that are subject to change based on various factors (many of which are beyond the Company's control). The Company undertakes no obligation to publicly update any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable law.
SOURCE: Jakroo, Inc.