MGO Global Inc. Common Stock (MGOL) 14 Aug 232023 Q2 Earnings call transcript

Good afternoon, everyone, and welcome to MGO Global's 2023 Second Quarter Results Webcast. Presenting on today's webcast are Maximiliano Ojeda, Co-Founder, Chairman and CEO; as well as MGO's Chief Financial Officer, Vincent Ottomanelli.

Before I turn the floor over to them, I remind you that during today's call statements that are not historical facts, including any projections, statements regarding future events or future financial performance or statements of intent or belief are forward-looking statements and are covered by the safe harbor disclaimers contained in the company's public filings with the SEC. Actual outcomes and results may differ materially from what is expressed in or implied by these forward-looking statements.

At this time, I'd now like to introduce the company's Chairman and CEO, Max Ojeda. Max?

Global. is we pleasure us thank your in It today's be and Karen. interest and webcast, you MGO you, a to great hosting for Thank for joining

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to Form SEC all the with the on you our After today, our important it other disclosed. filings or filed delighted section Investor closed ensure be report I'd XX-Q to business, our other via filed, information website quarter our full SEC read and Max. Relations' financial sec.gov on Form we market I under of may understanding it is XXXX the SEC. on filings. second have MGO's access encourage with XX-Q you a everyone and of results the to After

with the the begin surpassing the X,XXX% revenues income June revenue statement ended months increased of the months X year reported XXXX entire our and XXXX. Total substantially X the $XX,XXX for approximately $X.XX XX, in million, for from to prior of up for year same in operations. review total I'll booked

months the respectively. revenue XXXX, XXXX. XXX%, X X of which Store contributed $X.XX For Messi from the Sales both X-month homewares growth ended period Messi $XXX,XXX and rising half June ended XXX% offered for the revenue accessories substantially was and up million, of the the June X,XXX% to branded XX, notable XX, and increased through XXXX, for apparel, first Leo

$X.XX were totaling Flagpole for the Moreover, million year. line million Stand and the June ended of new for revenues XX, reporting X-month this indeed XXXX from period pronounced, products X months $X.XX our

certain rights we reminder, a exclusive Co licensed March late Stand XXXX. assets to of As in

business. new full quarter the this of the results for quarter first is second So

to to compared in approximately the in the QX a months million the This of this $XX,XXX of on of cost year, goods to which June months X of roughly comparable XXXX. for Moving XX, cost sold XXXX and goods compared profit sold gross of $XXX,XXX, in resulted $X.XX respectively. for totaled X,XXX% X ended up was XXXX, $XX,XXX periods

For the and the approximately first our months of ended was $XXX,XXX. of approximately goods increased for of $X.XX X months to X XXXX million. $XXX,XXX sold of gross profit substantially profit to compared cost gross June XXXX, This of XX, resulting in X,XXX% goods the $XX,XXX, cost sold

total roughly expenses months the ended XXX% for to XX, XXX% total XXXX. For This operating to $X.XX June which $XXX,XXX quarter. expenses XXXX, administrative general selling, during in increase X to and due ended months of the June a XX, X operating million, increase was the expenses primarily climbed compared

in Likewise, reported total total XXX% expenses X-month increased same to for period $X.XX the million the $X.XX for to months ended X compared expenses operating of June operating XXXX. XX, million XXXX,

general prior and first to The expansion, the first XXXX, first the in for for with and of $XXX,XXX of year. marketing million million expenses expenses of to was approximately sales X workforce well selling, compared to to first increased in as compared $X.XX as administrative X $XXX,XXX XXXX due the overall months XXXX the of increase half amounting the amounting largely expenses higher associated $X.XX in to company's the half operating approximately months

totaled January months June incurred The publicly the costs XX, $XXX,XXX XXXX, company ended X company for traded which a XXXX. of becoming also with associated in

non-controlling interest June moving $X.XX million the to loss of approximately interests after Net share. of per June per compared $XXX,XXX $X.XX This share XXXX. attributable X for attributable or net $X.XX ended X the to net to or loss a of XX, Now the the ended for factoring months XX% $XX,XXX months loss loss on our net to results XXXX. non-controlling loss XX, factoring after increased loss $XX,XXX to net

a For $X.X or net share for to interests of per non-controlling June $XXX,XXX. loss attributable loss million loss approximately a loss $X.XX or the for attributable compared to million $X.XX months loss XXXX, after accounting the of totaled first $X.XX factoring $XXX,XXX. net net ended X of non-controlling XXXX loss of roughly This per a XX, X months net to share after interest

in June million as debt XXXX, $X.XX long-term sheet $X.XX of had of we stockholders' and Switching on working million, of the over million, capital equity. to hand X cash of our total $X.XX balance end of

raising to continued because of with revenue December have from continued has our growth, will completing including MGO we realize efforts operations through costs IPO requirements of losses anticipated that XXXX. cash believe XXXX, to we and operating our coupled capital While to-date, January of capital meet our sufficient expenditure in

Now Max? that call I concludes my overview to turn back Max. of results, the will the financial and now

never We commerce excited future for more robust dynamic has Vincent. we more promising you, and be MGO. that been now, not the digital this could believe industry Thank than ahead about and

ability a especially interest economic overcome the to general successfully a work our small that uncertainty started challenges business inherent team to is growing breakneck and proud to cohesively rates I'm of speed. but building at rising navigate through

year, taking remainder in public capital presented opportunities us. that growth to continue vital since January believe favorable As changes we of to the keep we and good the in advantage actions growth a going we raising compelling of that and being look market position taking have ahead should been to decisive the us

with when the our generate deploying our shareholders. From a view, expect how capital to and positive most resources focusing can point MGO managing where, financial we of and you capital our expect to continue impact for discipline on working

enabling to across customer tangible our sales and metrics, AI-enabled conversion all into strategies creative business that marketing and are including engine optimization growth, MGO in key results Investments lean generating retention. in our are

quality commitment customer excellence. also customers which serve for and product We of service third-party to to high receiving valuation are review products, our provide our

serve had some perspective, an recently that From forward. well we as move should occur operations we developments MGO exciting

expect, the on and As Messi's growing decision American you our to and of channels, Inter social with fans. recent media Miami a Store to helping sign is Messi base Leo traffic particularly new Messi for lift awareness might to

on social in on XXX his beginning XXX In the fact, followers of X.X Instagram million media has Facebook, and on growth Store nearly XXX,XXX and rising personal million from million, after up Instagram to and on our up from June to Messi since Leo's of page have the year. X substantially also page jumped reached increased million, in million our announcement from million the respectively. following of followers XXX,XXX, January Facebook have XXX XXXX, XXX

posted X.XX Traffic the the ROSA/VIBE! similar Messi's our post post, new specifically Inter store the created of of on by followers liked July on to as and boomed when mobile XXX available his like MGO app to Leo our and collection the a late with result. mark another Instagram over million Miami promo exclusively Facebook. on messistore.com, In move to clicking

We market have as a and new to of addressable believe across attract new the quarters. the total to awareness strong expand categories per increase Store revenue that Messi continue for pipeline innovation customers customer applications, Messi styles our will and Store the brand we of coming we and drive

you Flagpoles helped one most business initially why also our all to many is which performance, that flagpoles. X-month Through should we impact wondering our the help to reporting were has in and financial appreciate Stand enter segment. e-commerce to immediate this period, business has logic residential Stand you announced a by of When our lifestyle financial Our of past build as around -- significant flagpoles our intention no, results. March, Flagpole brand demonstrated this firing

and global According scale to years. We the the by to fast Americans we latest for approaching choice witnessing patriotic other research exceed election greatly worldwide be to report and passions. express on fueled with expected apparel their and sales and sell is the flagpoles believe flags demand more over $X.XX next year billion for will political expansion from Dataintelo, a that flagpoles personal the products market other related significant products as X leanings

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team to our viability the time is brand assessing which other elect from we some might methodically end-to-end leadership ability brand-building platform. Our long-term new to of determine to also and benefit committing concepts, incubate

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new life through of process. concepts expand manage positive cash sustainable profitability continue we brands achieving revenue on we growth, we concentrating will environment, attaining and portfolio our our through ultimately, bring flow, and driving to as challenging As incubation the brand

who for be will today's again, website like close to listen you call available on today we those this at our Before www.mgoglobalinc.com. later call, today's replay to webcast found of of a

that back With wish everyone a you. good like Karen, I'd to afternoon. to said,