to our I'd everyone, Thank third ended earnings morning, $XX.X saw third This the to compared decrease a in XXXX, XX, for revenues three million, Good financial ended call. December in to XX, net respectively. ended Gary. as share morning We participating like compared XXXX. XXXX, months of thanks you, for some $X.X our with quarter December XX, for the key and three sales December months significant to quarter million takeaways
XXXX deliveries year-to-date. due and ended customers XXXX. all to began the our late previous decreases of $XX.X into $XX.X net decrease season to calendar major caused major over Net $X.X year the in our million We We supply early sales the excess compared of end factors: were chain issues holiday XXXX of significant respectively. at by held this inventory experienced of million, following XXXX with the from all customers year for XX, nine December the attribute to experienced sales net and months to approximately sales million in
on runaway they a rate inflation customers recovery initial for a While was that on cut December hikes approach the customers' customers' the in three adverse XXXX. upcoming economic dampened for in season inventory. recession, Consequently, goods positive and risk holiday severely carrying XXXX, increases interest resulting back of our sentiment promotion had during sold expectations buying months or previously to during co-op ended incentives inventory required XX, committed significant to news
compared ended incentives the or XXXX promotion $X.X XX% the sales December during of prior net Co-op for increased approximately sales million same or of three of the $X.X X.X% months to XX, net million year. approximately as period to
December for ended sales ended X% net to XX, increased months $X.X nine X% months incentives the December of million promotion sales XXXX. or approximately of million co-op approximately the compared $X.X XX, nine or For as net XXXX, to
again, Our million decrease of in approximately the gross discussed discussed accounted decrease decrease earlier. versus promotion $X.X as period $X profit XXXX a approximately three-month the co-op incentives, December net decreased to $X.X remaining primarily to The we for above, we as of XXXX, sales, the decrease in $X.X ended million. increase to for million million the with XX, compared due
$X.X $XXX,XXX. approximately $X.X compared $XX.X million for 'XX the offset December increase $X decrease months a approximately decreased in respectively, to profit million margin the Again, decrease of the decrease, net gross profit in Our slight for to million. accounted XXXX, of nine XX, ended million gross of by versus approximately a sales
shipping products margin offset increases obsolete $X.X by $X cost in increases of due due points margin excess increase X.X in There profit and earlier, promotion for margin million approximately approximately and gross in reserves. decreasing containers the co-op profit incentives sorry. were shipping and gross as inventory we decreased discussed decreases to profit were gross increases landed X.X due cost million or points container Unfortunately, cost costs, of to -- price margin to of an or these
offset for be reserves. XXXX, control was which was reached remained decreases December three-month company's agreement of and by $X.X increase periods expenses December bad should XXXX. there flat compensation debt associated both change in relatively Operating XX, repair and one-time the It the employment a ended approximately that XX, with the $XXX,XXX in million at with CFO, continuation noted and
of XXXX, the nine XX, months nine an $X.X the million. million December for were million compared the Operating as approximately prior $XX.X ended increase months $X.X in to for year, ended expenses
in operating approximately related offering, was a agreement an freeze relating increases there expenses, of as of transfer costs $X.X compensation significant the included million, employee up arbitration contributed officers against filings, one-time expense including legal a alleged of in the violation for credit relations, the the and Directors, increase, one-time related this increase some employment one-time lawsuit hires compensation Bank, large to CFO. our compensation preparation public $XXX,XXX, listing, expenses new compensation, While as noting and our that Third of settlement well and NASDAQ agreement control primarily worth temporary stock new with in were which that in of in change professional to regulatory it's issues, members to the of increase with Fifth to an incentive change increases Board increase merit continuation practice company's employee, former and additional investor employees the control the $XXX,XXX of
increase costs. increase past an $XXX,XXX, and travel in in was participation two electronics of to primarily $XXX,XXX entertainment inflation-related included the in show not the logistics consumer in an operation, which years, approximately in of our Las participated approximately for large and company which There due had Vegas,
same net period $X.X million. representing the approximately operations a operations during the $X.X three-month million for decrease of from XXXX, $X period nine-month income for we loss operations As three-month of December period XX, XX, result period approximately 'XX a operating for these representing million compared $X approximately a from December year-to-date. a from to of loss XX, ended December million compared ended the million operations activities, $X.X of from We approximately XX, approximately recognized a to million December XXXX, $X.X recognized of the decrease of XXXX, ended income at of
the months ended noted It to approximately $X.X facility XXXX, months same Horse. ended there last December during XX, be Crestmark loss $X.X of of million expense should the and exit with net a XX, Bank the income million compared early months one-time our fees associated of three termination was for a credit approximately period recognized three $XXX,XXX upon with Iron in year. the that December for We of net three XXXX,
Horse of December be for the settlement 'XX. that prior we XX, with months $X protection payroll nine-month ended year, we of noted accounts of the $X.X payable $XXX,XXX and XX, a the one onetime ended December gains ended XXXX, the December for of the with approximately XX, the net credit, $XXX,XXX approximately should had nine recognized from months during of compared during months the our nine factories million the of XXXX. period income nine from net gain benefit approximately no similar It of of Iron forgiveness loss plan million the to loan
million Iron and Revolving XXXX. the Bank Third new XXXX. be secured based rate known XX, our with plus On of the Crestmark October or replacing facility $X.X credit an agreement of the term The credit Bank credit at XX, facility with January financing of credit October provides and terminated overnight XX, Fifth X on credit X%. better year. through entered agreement company amount as we by SOFR, credit prime X.X% rate, million XX a credit decreased into each revolving July lender that principal period $XX were facilities aggregate S-O-F-R, as matures to with agreement during Horse three-year the on interest either The secured plus October XX-day
Third required agreement financial as default we XXXX, of covenant maintaining To XX, debt bank December ratio a in to coverage obligations the did of not under coverage As covenant. the of are the currently charge with Fifth the with date, company X.XX:X. agreement, monthly any waiver a comply is and to of the in renegotiate taken fixed accelerate action and negotiations obtain a not we company's credit has the ratio
no However, be negotiations assurance that be it successful. will can
the no there credit of As borrowings today, are facility. against
payment, loan any additional that, an So the hardship of not came present significant on company. acceleration it to if would
progress and cash including to from intend the cash bank, we operations with on additional several from raising plans an supplement equity resources following: continue offering. negotiations the flows through As to company the activities,
to payments going several utilize We our early programs of of accelerated discount for discount. exchange allowing for the an customers, are in also invoices offered major payment dynamic by
significantly. of from for cash excess our during terms, sell of $XXX,XXX planning coming currently a position we retention We also payroll are which program. our to with employee going to We're year, inventory work are approximately to aggressively going the the factories one-time with and continue dealing is credit payment reimbursement increase to taxes extended
net adequate raised that liquidity generated next at months. along believes our offering, hand the will least credit of through on to for and with cash be expected our expected by the company's to cash the from the meet operating be capital working forecast, Fifth cash Third with management availability from of requirements XX So to cash equity agreement be
as But While be we has XXXX. cannot so. to will assurances achieve our support parent such, is XX, successful from successful a company efforts the its company these Ault the that in optimistic letter continued March any Alliance it will in be plan that company, be doing through
period we've good this their unexpected overall, offset gross made during done year. nine-month net XXXX, inventory. same some the for So Unfortunately, that margins customers to quarter in in significant with ended compared and XX, December exceptional period area profit sales were required the of improvements was decrease co-op the to prior through was third that work in the incentives sell
We managed commensurate increase selling sales. with to keep in expenses net
encountered onetime to to economic during our with continue fiscal and and point. an take general position it fiscal going that have forward associated regards that going is be compensation address to during legal at year and to administrative inflation-related have We in of occurred advantage primary this is cost equity inevitable other significant events year. with some this expenses recovery expenses goal to professional We're
to my back that I'd And to report. like you. turn that's Gary,
