DALLAS, TX / ACCESSWIRE / November 5, 2020 / Envela Corporation (NYSE American:ELA) ("Envela" or the "Company") today announced its financial results for the third quarter of 2020, with record revenue of $38.8 million and record net income of $3.0 million. This quarterly profit exceeded the Company's total annual profit for 2019.
Beating Consensus Estimates:
Envela's 2020 third-quarter earnings per share rose to $0.11, compared to 2019's third-quarter earnings of $0.04 per share. And after only 9-months, Envela has posted $0.18 per share, compared with analysts' estimates of $0.17 for the entire 2020 year.
The Company's record performance for the third quarter is even more notable since it was reached in a volatile macro environment during the global pandemic.
Financial Highlights for Q3 2020:
- Total Revenue was $38,810,884 for the period ending September 30, 2020, representing a 69.8% increase compared to the same quarter in 2019.
- Net Income was $2,984,824 for the period ending September 30, 2020, marking a 188% increase compared to the same quarter in 2019.
- Earnings per share for the period ending September 30, 2020 was $.11, compared to $.04 during the same quarter last year.
- Earnings per share for the nine-months ending September 30, 2020 was $.18, compared to $.08 during the same period last year.
- Consolidated Gross Profit was $7,163,397 for the three months ended September 30, 2020.
- DGSE Gross Profit was $3,432,960; Resale Gross Profit was $3,139,884; and Recycled Gross Profit was $293,076.
- ECHG Gross Profit was $3,730,437; Resale Gross Profit was $2,376,406; and Recycled Gross Profit was $1,354,031.
- Revenues related to DGSE's continuing operations were $28,137,174.
- Resale revenue, including bullion, jewelry, watches and rare coins, was $27,101,477, or 96.3% of total sales.
- Recycled-material sales were $1,035,697, or 3.7% of total sales.
- Revenues related to ECHG for the three months ended September 30, 2020 were $10,673,710.
▪ Resale revenue at ECHG accounted for 73.2% of its total sales, at $7,812,553.
▪ Recycled-material sales at ECHG accounted for 26.8% of its total sales, at $2,861,157.
"Despite the precarious macro environment caused by the ongoing pandemic, we've kept focus on our customers and stuck to our recommerce business model. The Company's third-quarter acceleration suggests that we're on the right track," said John Loftus, Envela's Chairman and CEO. "And this exceptional third quarter positions us well for a strong year's end, " added Loftus.
Envela and its subsidiaries engage in diverse business activities within the recommerce sector. These include recommercializing luxury hard assets, consumer electronics and IT equipment; and end-of-life recycling solutions. Envela assesses its inventory of recommerce purchases for their potential to be refurbished and resold as whole goods or to be recycled for component parts or precious-metal value. Envela also offers comprehensive recycling solutions for a variety of other companies seeking responsibly to dispose of end-of-life products. Envela operates primarily via two business segments. Through DGSE, LLC the Company recommercializes luxury hard assets via Dallas Gold and Silver Exchange, Charleston Gold & Diamond Exchange, and Bullion Express brands. Through ECHG, LLC, the Company operates Echo Environmental Holdings, ITAD USA Holdings, and Teladvance, which recommercialize primarily consumer electronics and IT equipment and provide end-of-life recycling services for various companies across many industries. Envela operates at the retail and wholesale levels, through distributors, resellers, dedicated stores and online. Envela is a Nevada corporation, headquartered in Dallas, Texas.
Additional information about Envela is available at its investor-relations website, Envela.com.
This press release includes statements that may constitute "forward-looking" statements, including statements regarding the Company's potential future growth, the success of its business lines and strategies, and the impacts that the COVID-19 pandemic may have on our future operations. These statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements inherently involve risks and uncertainties that could cause actual results to differ materially from the forward-looking statements. Factors that would cause or contribute to such differences include, but are not limited to, market conditions and other risks detailed in the Company's periodic report filings with the Securities and Exchange Commission. By making these statements, the Company undertakes no obligation to update these statements for revisions or changes after the date of this release except as required by law.
Investor Relations Contact:
Head of Investor Relations
13022 Preston Rd Dallas, TX 75240
SOURCE: Envela Corporation