– Revenues Nearly Double, Stockholders’ Equity Continues to Rise Over Prior Year –
San Clemente, Calif., February 16, 2021—Concierge Technologies, Inc. (OTCQB: CNCG), a diversified global holding firm, today announced financial results for the second fiscal quarter ended December 31, 2020, with strong performances in revenues, net income and stockholders’ equity.
The Company reported that for the three months ended December 31, 2020, revenues continued their increase to $10.0 million from $5.8 million for the comparable prior year period. For the six months ended December 31, 2020, revenues advanced to $20.7 million from $11.8 million for the same period last year. Net income for the most recent three-month period rose to $1.4 million, equal to $0.04 per share, from a net loss of $75,000, equal to breakeven per share, for the comparable prior year period. Year-to-date net income advanced to $3.6 million, equal to $.09 per share on a fully diluted basis, from a net loss of $20,000, or breakeven per share, a year ago.
Concierge said the primary driver for the fiscal 2021 improvement was an increase in assets under management (AUM) at the Company’s Wainwright Holdings funds management subsidiary to approximately $4.8 billion as of December 31, 2020, compared with $2.0 billion at the same time a year ago. Wainwright, which operates under the name, USCF Investments, currently manages nine commodity-oriented exchange-traded products (ETPs) that are listed on the New York Stock Exchange.
The Company’s “Other” business segment, which comprised approximately 38% of total revenues in the most recent quarter, versus 51% of revenues in last year’s second quarter, were up approximately $1 million year-over-year. The increase was due, in part, to the acquisition of Printstock Products Limited by the Company’s New Zealand-based wholly owned subsidiary, Gourmet Foods. The Other segment is comprised of Gourmet Foods, Brigadier Security Systems and Original Sprout.
Concierge’s balance sheet further strengthened at the end of the second fiscal quarter. Cash and cash equivalents grew to $13.3 million from $9.8 million at June 30, 2020. Total stockholders’ equity increased to $23.1 million at December 31, 2020 from $19.1 million at the end of fiscal 2020. The company has essentially no debt.
“The increase in AUM notwithstanding, the performance of our Other subsidiaries also accounted for a significant portion of our revenue stream and operating income,” said David Neibert, Chief Operations Officer. “Regardless of the expected variations within the financial sector, we have proven that our model of diversification and decentralized management structure can, and does, produce a sustainable income with significant growth potential. This has become all the more apparent in today’s altered world because of the pandemic.”
“I am more than pleased with the performance of the management teams at each subsidiary, along with the support of our corporate staff during this difficult calendar year of lock downs, virtual meetings, work-from-home routines and a host of other hurdles,” added Nicholas Gerber, Chief Executive Officer. “During this time, we have managed to acquire yet another profitable company in New Zealand, and to further develop an exciting fintech app at our wholly owned subsidiary, Marygold & Co, which we hope to launch later in the year. All this, while continuing to post profits and build value for our shareholders. I look forward, as I’m sure everyone does, to a return to normalcy and using our new-found strengths to continuing growing our company and adding shareholder value in the future.”
Gourmet Foods, https://gourmetfoodsltd.co.nz/, acquired in August 2015, is a commercial-scale bakery that produces and distributes iconic meat pies and pastries throughout New Zealand under the brand names Pat’s Pantry and Ponsonby Pies. Gourmet Foods also owns Printstock Products Limited, acquired July 1, 2020, https://www.printstocknz.com/ , who is a commercial printer of specialized wrappers for food products manufactured in New Zealand and Australia.
Brigadier Security Systems, www.brigadiersecurity.com, acquired in June 2016 and headquartered in Saskatoon, Canada, provides comprehensive security solutions to homes and businesses, government offices, schools and other public buildings throughout the province.
The company’s USCF Investments operation, www.uscfinvestments.com, acquired as part of the Wainwright Holdings transaction in December 2016 and based in Walnut Creek, Calif., serves as manager, operator or investment adviser to 10 exchange traded products, structured as limited partnerships or investment trusts that issue shares trading on the NYSE Arca.
Acquired by Concierge at the end of 2017, California-based Original Sprout, www.originalsprout.com, produces and distributes a full line of vegan, safe, non-toxic hair and skin care products, including a “reef safe” sun screen, in the U.S. and its territories, the U.K., E.U., Turkey, Middle East, Africa, Taiwan, Singapore, Hong Kong, Malaysia, New Zealand, Australia, Canada and at various online outlets worldwide.
Marygold & Co, https://marygoldandco.com formed in November 2019 as a development stage corporation headquartered in Denver, CO, seeking to explore opportunities in the Fintech space. Marygold plans to launch a proprietary Fintech mobile app later in the current year.
About Concierge Technologies, Inc.
Concierge Technologies, originally founded in 1996, was repositioned as a global holding firm in 2015, and currently has operating subsidiaries in financial services, food manufacturing, security systems and beauty products. Offices and manufacturing operations are in the U.S., New Zealand and Canada. For more information, visit www.conciergetechnology.net.
This press release may contain “forward-looking statements” that include information relating to Concierge Technologies’ future events and future financial and operating performance. Such forward-looking statements, including, but not limited to, the launch of a new fintech venture, continue growing the company and adding shareholder value, should not be read as a guarantee of future performance or results, and will not necessarily be accurate indications of the times at, or by, which that performance or those results will be achieved. Forward-looking statements are based on information available at the time they are made and/or management’s good faith belief as of that time with respect to future events and are subject to risks and uncertainties that could cause actual performance or results to differ materially from those expressed in or suggested by the forward-looking statements.
For a more detailed description of the risk factors and uncertainties affecting Concierge Technologies or its subsidiary companies, and more detailed information about the individual operating entities, please refer to the Company’s Securities and Exchange Commission filings, which are available on the Company’s website, (http://www.conciergetechnology.net), or at www.sec.gov.
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Concierge Technologies, Inc.