ANDOVER -
Fiscal First Quarter 2024 and Recent Operational Highlights
Continued successful partnerships with
Started advertising on cable, satellite, and over-the-top (OTT) television to reach new potential customers.
As a result of the celebrity endorsement program and television advertising, Byrna increased daily average web sessions to 33,468 in Q1 2024, a year-over-year increase of 33.4% from 25,093 in Q1 2023.
Secured a commitment from the
Added 25% more production workers at Byrna's Fort Wayne manufacturing facility, increasing launcher production capacity from 10,000 to 12,500 units per month during a single shift, in response to rising demand resulting from the Company's celebrity endorsement marketing campaign.
Introduced the Byrna Universal Kit (legal in all 50 states and
Fiscal First Quarter 2024 Financial Results
Results compare the 2024 fiscal first quarter ended
Net revenue for Q1 2024 was
Gross profit for Q1 2024 was
Operating expenses for Q1 2024 were
Net income (loss) for Q1 2024 was
Adjusted EBITDA1, a non-GAAP metric reconciled below, for Q1 2024 totaled
Cash and cash equivalents at
Management Commentary
Byrna CEO
'Most importantly, we are seeing strong improvement in all our key performance metrics including sessions, average order value, and conversion rate. Specifically, average daily sessions for the quarter came in at 33,468, up 33% from the same period last year. Our conversion rate also climbed, reaching 1.04%, compared to 0.80% in the prior year period. Finally, our average order value (AOV) of
'Another important metric is our first-time customer percentage. Mirroring the trend from the fourth quarter of 2023, over 70% of daily orders are from first-time customers versus 56% in Q1 of 2023. These first-time customers, who tend to have a higher average order value (AOV) than returning ones, also give us the opportunity to market additional ammo and accessories to them as they begin their Byrna journey. Our targeted email marketing campaigns for first-time buyers, offering special deals on ammo and accessories, continue to yield significant benefits.
'In addition to our digital efforts and celebrity endorsement channels, we recently started advertising on TV, targeting both cable and satellite audiences through smaller, yet well-known networks with millions of viewers. This new initiative is part of our broader strategy to increase brand awareness and reach, and we expect to increase our expenditures on television advertising in the coming year as we continue to amplify the Byrna message.
'To meet the increased demand and maintain our growth trajectory, we started ramping up our launcher production at the beginning of February, from 10,000 units a month to 12,500 units a month. Since this last announcement, Byrna continued to ramp production to 15,000 units a month on a single shift. In fact, during the month of
CFO Retirement
Byrna is announcing today that its Chief Financial Officer,
Under
To ensure a seamless transition, the Company has engaged a leading executive search firm to identify top-tier talent and secure a successor who will uphold
Byrna is committed to maintaining the financial stability and growth trajectory that
About
Byrna is a technology company specializing in the development, manufacture, and sale of innovative less-lethal personal security solutions. The Company is the manufacturer of the Byrna SD personal security device, a state-of-the-art handheld CO2 powered launcher designed to provide a less-lethal alternative to a firearm for the consumer, private security, and law enforcement markets.
Forward-Looking Statements
This news release contains 'forward-looking statements' within the meaning of the securities laws. All statements contained in this news release, other than statements of current and historical fact, are forward-looking. Often, but not always, forward-looking statements can be identified by the use of words such as 'plans,' 'expects,' 'intends,' 'anticipates,' and 'believes' and statements that certain actions, events or results 'may,' 'could,' 'would,' 'should,' 'might,' 'occur,' or 'be achieved,' or 'will be taken.' Forward-looking statements include descriptions of currently occurring matters which may continue in the future. Forward-looking statements in this news release include but are not limited to our statements related to our ability to continue to grow web traffic and sales as a result of our celebrity endorser marketing strategy, our ability to continue to expand our presence in the law enforcement market, our ability to further expand production capacity, our ability to pursue our growth plan with existing cash resources, our ability to appoint a successor Chief Financial Officer and to engage
Any number of risk factors could affect our actual results and cause them to differ materially from those expressed or implied by the forward-looking statements in this news release, including, but not limited to, disappointing market responses to current or future products or services; prolonged, new, or exacerbated disruption of our supply chain; the further or prolonged disruption of new product development; production or distribution disruption or delays in entry or penetration of sales channels due to inventory constraints, competitive factors, increased transportation costs or interruptions, including due to weather, flooding or fires; prototype, parts and material shortages, particularly of parts sourced from limited or sole source providers; determinations by third party controlled distribution channels, including Amazon, not to carry or reduce inventory of the Company's products; determinations by advertisers or social media platforms, or legislation that prevents or limits marketing of some or all Byrna products; the loss of marketing partners; increases in marketing expenditure may not yield expected revenue increases; potential cancellations of existing or future orders including as a result of any fulfillment delays, introduction of competing products, negative publicity, or other factors; product design or manufacturing defects or recalls; litigation, enforcement proceedings or other regulatory or legal developments; changes in consumer or political sentiment affecting product demand; regulatory factors including the impact of commerce and trade laws and regulations and future restrictions on the Company's cash resources, increased costs and other events that could potentially reduce demand for the Company's products or result in order cancellations. The order in which these factors appear should not be construed to indicate their relative importance or priority. We caution that these factors may not be exhaustive; accordingly, any forward-looking statements contained herein should not be relied upon as a prediction of actual results. Investors should carefully consider these and other relevant factors, including those risk factors in Part I, Item 1A, ('Risk Factors') in the Company's most recent Form 10-K and Part II, Item 1A ('Risk Factors') in the Company's most recent Form 10-Q, should understand it is impossible to predict or identify all such factors or risks, should not consider the foregoing list, or the risks identified in the Company's
Contact:
Tel: (949) 574-3860
Email: BYRN@gateway-grp.com
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