BusinessWire

iGo Reports Third Quarter Financial Results

NEW YORK--(BUSINESS WIRE)--iGo, Inc. (OTC PINK:IGOI) (the "Company") today announced operating results for the third quarter and nine months ended September 30, 2020.

Financial Overview

Third quarter of 2020 compared with third quarter of 2019

  • Revenue for the third quarter of 2020 was $15.8 million, as compared to revenue of $14.3 million in the same period of the prior year.
  • Net income was $1.7 million, or $0.22 per share, for the third quarter of 2020, as compared to net loss of $0.1 million, or $0.02 per share, in the same period of the prior year.

Nine months ended September 30, 2020 compared with nine months ended September 30, 2019

  • Revenue for the nine months ended September 30, 2020 was $46.4 million, as compared to revenue of $44.8 million in the same period of the prior year.
  • Net income was $3.0 million, or $0.38 per share, for the nine months ended September 30, 2020, as compared to net income of $0.4 million, or $0.04 per share, in the same period of the prior year.

The Company continues to evaluate the global risks and the slowdown in business activity related to COVID-19, including the potential impacts on its employees, customers, suppliers, and financial results. The impact on the Company's business for the remainder of 2020 and beyond will depend on a number of factors, including, but not limited to, the duration and severity of the pandemic, the disruption to the demand for our businesses' products and services, and the impact of the global business and economic environment on liquidity and the availability of capital, all of which are uncertain and cannot be predicted. To help mitigate the financial impact of the COVID-19 pandemic, the Company initiated cost reduction actions, including hiring freezes, staffing and force reductions, salary reductions, bonus payment deferrals, and temporary 401(k) match suspension. The Company has fully restored the prior salary reductions; however, management continues its focus on cash management and liquidity, which includes the elimination of discretionary spending, aggressive working capital management, and strict approvals for capital expenditures. The Company will evaluate further actions if circumstances warrant.

About the Company

The Company was previously a provider of mobile accessories and is evaluating alternative strategies for uses of its capital and the iGo brand. The Company's Kasco subsidiary (www.kasco.com) provides metallic blade products for the meat cutting, food cutting, and wood cutting industries to the global market. Its route distribution unit provides the U.S. and Canada retail grocery and retail food industries with quality butcher supplies, resupply products, and seasonings. Headquartered in St. Louis and founded in 1901, Kasco has manufacturing, sales, and warehouse operations in St. Louis, Canada, Mexico, Wales, and Germany.

Forward-Looking Statements

Certain information in this press release may constitute forward-looking statements that involve risks and uncertainties that could cause actual results to differ materially from those stated. Such forward-looking statements do not guaranty future performance and are subject to various factors that could cause actual results to differ materially. Undue reliance should not be placed on such forward-looking statements. Due to the continued uncertainty of the impact of COVID-19 on the global economy, it is difficult to predict the duration of the pandemic and its impact on the Company's business, operations, and financial condition. The Company undertakes no obligation to publicly update or revise any forward-looking statements, or any facts, events, or circumstances after the date hereof that may bear upon forward-looking statements. Additionally, the Company does not undertake any responsibility to provide updates on the occurrence of unanticipated events which may cause actual results to differ from those expressed or implied by these forward-looking statements.

(Financial Tables Follow)

iGo, Inc.

Consolidated Balance Sheets

(in thousands, except share and per share amounts)

 

 

 

 

 

 

 

(Unaudited)
September 30, 2020

 

December 31, 2019

ASSETS

 

 

 

 

Current assets:

 

 

 

 

Cash and cash equivalents

 

$

1,942

 

 

$

1,687

 

Accounts receivable, net

 

7,867

 

 

7,731

 

Inventories

 

5,580

 

 

4,844

 

Prepaid expenses and other current assets

 

1,073

 

 

1,012

 

Total current assets

 

16,462

 

 

15,274

 

Property, plant and equipment, net

 

11,440

 

 

11,498

 

Operating lease right-of-use assets

 

869

 

 

1,225

 

Intangible assets, net

 

986

 

 

1,070

 

Deferred tax assets

 

953

 

 

1,408

 

Total Assets

 

$

30,710

 

 

$

30,475

 

LIABILITIES AND STOCKHOLDERS' EQUITY

 

 

 

 

Current liabilities:

 

 

 

 

Accounts payable

 

$

3,417

 

 

$

2,974

 

Accrued expenses

 

4,324

 

 

3,051

 

Short-term debt

 

 

 

570

 

Payable to related parties

 

388

 

 

301

 

Operating lease liabilities

 

465

 

 

478

 

Total current liabilities

 

8,594

 

 

7,374

 

Long-term debt

 

4,500

 

 

7,600

 

Long-term operating lease liabilities

 

393

 

 

734

 

Deferred tax liabilities

 

173

 

 

 

Other non-current liabilities

 

1,424

 

 

1,928

 

Total Liabilities

 

15,084

 

 

17,636

 

Commitments and Contingencies

 

 

 

 

Stockholders' equity:

 

 

 

 

Common stock, $0.01 par value: authorized 10,000,000 shares; 7,877,278 shares issued and outstanding

 

79

 

 

79

 

Accumulated other comprehensive loss

 

(1,060

)

 

(867

)

Capital deficit

 

(20,608

)

 

(20,608

)

Retained earnings

 

37,215

 

 

34,235

 

Total Stockholders' Equity

 

15,626

 

 

12,839

 

Total Liabilities and Stockholders' Equity

 

$

30,710

 

 

$

30,475

 

iGo, Inc.

Consolidated Statements of Operations

(unaudited)

(in thousands, except share and per share amounts)

 

 

 

 

 

 

 

Three Months Ended

 

Nine Months Ended

 

 

September 30,

 

September 30,

 

 

2020

 

2019

 

2020

 

2019

Revenue

 

$

15,798

 

 

$

14,280

 

 

$

46,360

 

 

$

44,828

 

 

 

 

 

 

 

 

 

 

Costs and expenses

 

 

 

 

 

 

 

 

Cost of goods sold

 

8,158

 

 

7,270

 

 

23,930

 

 

22,732

 

Selling, general and administrative expenses

 

6,206

 

 

6,330

 

 

19,003

 

 

19,878

 

Asset impairment charges

 

 

 

659

 

 

 

 

659

 

Restructuring charges

 

 

 

117

 

 

(28

)

 

693

 

Interest expense

 

24

 

 

106

 

 

171

 

 

357

 

Gains from asset dispositions

 

(27

)

 

(52

)

 

(89

)

 

(185

)

Other income, net

 

(50

)

 

(40

)

 

(159

)

 

(11

)

Total costs and expenses

 

14,311

 

 

14,390

 

 

42,828

 

 

44,123

 

Income (loss) before income taxes

 

1,487

 

 

(110

)

 

3,532

 

 

705

 

Income tax (benefit) provision

 

(236

)

 

10

 

 

553

 

 

352

 

Net income (loss)

 

$

1,723

 

 

$

(120

)

 

$

2,979

 

 

$

353

 

Net income (loss) per common share - basic and diluted

 

$

0.22

 

 

$

(0.02

)

 

$

0.38

 

 

$

0.04

 

Weighted average common shares outstanding - basic and diluted

 

7,877,278

 

 

7,877,278

 

 

7,877,278

 

 

7,877,278

 

 


Contacts

Investors
Jennifer Golembeske, jgolembeske@steelpartners.com
212-520-2300