DBG Reports First Quarter 2022 Financial Results
Digital Brands Group Reports First Quarter 2022 Financial Results
First quarter 2022 net revenue was $3.4 million versus $0.4 million a year ago, an increase of 740% year over year. Our gross profit margin increased 94% year over year to 42.9% from negative 50.8% a year ago, an increase of $1.7 million in gross profit dollars
Our net loss per diluted share was $0.59 versus a net loss of $4.55 per diluted share a year ago, an improvement of 671% year over year. Our net loss attributable to common stockholders was $7.8 million versus a net loss of $3.0 million a year ago. The net loss included non-cash expenses associated with a change in the fair value of contingent liabilities and amortization of loan discount and fees of $3.0 million.
"Our first quarter 2022 results reflect another quarter of meaningful improvement in our business results," said Hil Davis, Chief Executive Officer of Digital Brands Group.
"We continue to drive significant revenue growth year-over-year. In fact, based on our current wholesale orders for this summer and fall, we believe that we will continue to experience strong year-over-year revenue growth. This revenue growth is creating leverage on our fixed costs. We believe that we will benefit from this revenue growth in the fall to fully leverage our fixed costs," concluded Davis.
First Quarter 2022 Highlights
Net Sales were $3.4 million versus $0.4 million in the year ago quarter, an increase of 740% year over year. The increase in net sales was driven by an increase in revenue across all our brands.
Our gross profit margin increased 671% year over year to 42.9% from negative 50.8%. Gross profit increased by $1.7 million due to improved gross margins at all our brands.
Net loss attributable to common stockholders was $7.8 million, or $0.59 per diluted share, compared to net loss attributable to common stockholders of $3.0 million, or $4.55 per diluted share, in the prior year period.
Net loss in the first quarter of 2022 included non-cash expenses associated with a change in the fair value of contingent liabilities and amortization of loan discount and fees of $3.0 million.