An introduction. Company overview 2 • Experienced Ecommerce Capabilities. iPower offers thousands of stock keeping units from its in-house brands as well as hundreds of other brands through its ecommerce channel partners websites, such as www.zenhydro.com and www.simpledeluxe.com • Extensive In-House Brands. The company offers a broad selection of high-quality products under its in-house brands, which represented ~80% of total sales in FY2022 | --- | --- | --- | |--------------|-------|-----------| | | | | ...

iPower Inc. (NASDAQ:IPW) Q2 2023 Results Conference Call February 14, 2023 4:30 PM ET Company Participants Lawrence Tan - Chairman and Chief Executive Officer Kevin Vassily - Chief Financial Officer Conference Call Participants Scott Fortune - ROTH Capital Partners Michael Baker - D.A. Davidson Operator Good afternoon, everyone and thank you for participating in today’s conference call to discuss iPower’s Financial Results for its Fiscal Second Quarter 2023 ended Decelerating 31, 2022. Joining us today are ...

Financial Performance - Revenues for the three months ended December 31, 2022 increased 12.43% to $19,254,590 compared to $17,125,663 for the same period in 2021[192]. - Cost of goods sold for the three months ended December 31, 2022 increased 17.95% to $11,285,064 compared to $9,568,051 for the same period in 2021[193]. - Gross profit for the three months ended December 31, 2022 was $7,969,526, with a gross profit margin of 41.39%, down from 44.13% in the same period of 2021[195]. - Revenues for the six months ended December 31, 2022 increased 31.27% to $45,277,263 compared to $34,492,428 for the same period in 2021[203]. - Cost of goods sold for the six months ended December 31, 2022 increased 39.25% to $27,322,021 compared to $19,621,114 for the same period in 2021[202]. - Gross profit was $17,955,242 for the six months ended December 31, 2022, with a gross profit ratio of 39.66%, down from 43.11% in the prior year[206]. Operating Expenses and Losses - Operating expenses for the three months ended December 31, 2022 increased 87.66% to $12,052,092 compared to $6,422,327 for the same period in 2021[196]. - Operating loss for the six months ended December 31, 2022 was ($8,675,872), a decrease from operating income of $2,425,600 for the same period in 2021[202]. - Operating expenses surged by 113.98% to $26,631,114 for the six months ended December 31, 2022, primarily due to increased selling and fulfillment expenses[207]. Net Income and Loss - Net loss attributable to iPower Inc. for the three months ended December 31, 2022 was ($3,290,439), a decrease of $4,088,300 compared to net income of $797,861 for the same period in 2021[199]. - Comprehensive loss attributable to iPower Inc. for the three months ended December 31, 2022 was ($3,243,290), compared to comprehensive income of $797,861 for the same period in 2021[200]. - Net loss attributable to iPower Inc. was ($7,472,815) for the six months ended December 31, 2022, a decrease of $9,158,204 compared to net income of $1,685,389 in the same period of 2021[210]. Cash and Working Capital - Cash and cash equivalents increased to $3,997,125 as of December 31, 2022, up by $2.2 million from $1,821,947 as of June 30, 2022[212]. - Net cash provided by operating activities was $7,778,208 for the six months ended December 31, 2022, compared to a net cash used of ($12,243,043) in the same period of 2021[216]. - Working capital was $22.96 million as of December 31, 2022, down from $32.3 million as of June 30, 2022[215]. Acquisitions and Goodwill - The company acquired 100% of Anivia Limited on February 15, 2022, consolidating its financial statements from that date[229]. - The Company recognized intangible assets from the acquisition of Anivia Limited, including a covenant not to compete (10 years), supplier relationships (6 years), and software (5 years) valued at fair value as of February 15, 2022[234]. - The company recognized a goodwill impairment loss of $3,060,034 as of September 30, 2022, due to a decrease in share price and net loss incurred[232]. - As of December 31, 2022, there were no indicators of impairment for long-lived assets, including intangible assets[234]. Accounting Policies and Tax Positions - The Company applies ASC No. 718 for stock-based compensation, measuring share-based payment transactions based on grant date fair value and recognizing it over the requisite service period[235]. - The Company will recognize forfeitures of equity-based compensation as they occur[236]. - Deferred tax assets and liabilities are recognized for future tax consequences, with valuation allowances recorded when necessary to reduce deferred tax assets to realizable amounts[237]. - The Company has adopted ASC 740 since inception, analyzing tax positions in major jurisdictions, including U.S. federal, Nevada, and California[239]. - The Company does not anticipate material changes to its financial position from its income tax filing positions and has not recorded reserves for uncertain income tax positions[240]. - The Company does not expect the adoption of recently issued accounting standards to have a material impact on its consolidated financial statements[241][242][243][244][246][247][248].

Financial Data and Key Metrics Changes - Total revenue increased by 50% to $26 million compared to $17.4 million in the same period last year, driven by increased demand for non-hydroponic products [16] - Gross profit rose by 37% to $10 million, with a gross margin of 38.4%, down from 42.1% in the previous year due to higher freight costs [17] - Operating expenses increased to $11.5 million from $6.0 million, with operating expenses as a percentage of revenue rising to 44.1% from 34.7% [18] - Net loss for the quarter was $4.3 million or $0.14 per share, compared to a net income of $0.9 million or $0.03 per share in the same period last year [19] - Cash and cash equivalents increased to $4.8 million from $1.8 million at the end of the previous quarter [21] Business Line Data and Key Metrics Changes - The in-house product mix accounted for over 90% of revenue, up from around 80% in fiscal Q1 2022, with non-hydroponics products making up over 65% of sales during the quarter [8] - The hydroponics and non-hydroponics product lines are roughly equal in revenue contribution, with non-hydroponics growing faster [26] Market Data and Key Metrics Changes - The company is experiencing improvements in supply chain costs, with expectations for continued decreases in overseas shipping costs and lead times [14][23] Company Strategy and Development Direction - The company plans to invest more in R&D to create higher value and higher margin products, aiming to roll out new products in 2023 [9] - A strategic decision was made to stockpile inventory to ensure availability of fast-moving products, which has impacted gross margins due to higher freight costs [11] - The company is revamping its branding to unify its diverse product portfolio and enhance customer experience [13] Management's Comments on Operating Environment and Future Outlook - Management acknowledges ongoing challenges from the supply chain but remains optimistic about improving conditions and expects to reduce inventory levels over the next few quarters [15][23] - The company is focused on capital allocation and returning to profitability while navigating the macroeconomic environment [22] Other Important Information - The company is working on diversifying its customer base beyond Amazon and expanding its non-hydroponics sales internationally [42][45] Q&A Session Summary Question: Can you quantify the top line results by business segments? - The hydroponics and non-hydroponics product lines are roughly equal, with non-hydroponics growing faster than hydroponics [26] Question: What are the gross margins for each business segment? - Gross margins for in-house products are relatively the same for both segments, with non-hydroponics contributing over half of total revenue [26] Question: Will R&D spending impact profitability? - Initial R&D spending may slightly impact gross margins, but over time, it is expected to improve margins by reducing co-engineering costs [40][41] Question: What is the status of the temporary warehouse costs? - The company expects to eliminate elevated warehouse costs during the fiscal year as inventory levels decrease [39] Question: Is there any diversification in the customer base? - The company is making progress in diversifying its customer base and is working with big box retailers to expand sales channels [45][46]

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2022 OR ☐ TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ______________ to ______________ Commission file number 001-40391 iPower Inc. (Exact name of registrant as specified in its charter) | Nevada | 5200 ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K (Mark One) ☒ ANNUAL REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Fiscal Year June 30, 2022 OR ☐ TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ______________ to ______________ Commission file number: 001-40391 iPower Inc. (Exact name of registrant as specified in its charter) | Nevada | 5200 | 82-5144171 | | ...

iPower Inc. (NASDAQ:IPW) Q4 2022 Results Conference Call September 27, 2022 4:30 PM ET Company Participants Kevin Vassily - Chief Financial Officer Lawrence Tan - Chairman, Chief Executive Officer, President & Secretary Conference Call Participants Scott Fortune - ROTH Capital Partners Michael Baker - DA Davidson Presentation Operator Good afternoon everyone, and thank you for participating in today's conference call to discuss iPower's Financial Results for its Fiscal Fourth Quarter and Full Year ended Jun ...

Financial Data and Key Metrics Changes - Total revenue increased by 74% year-over-year to $22.9 million, up from $13.1 million in the same quarter last year [6][17] - Gross profit rose by 59% to $9.2 million, with a gross margin of 40.3%, down from 43.9% in the previous year [17][18] - Net income for the quarter was $1.2 million, or $0.04 per share, compared to a net loss of $0.2 million, or a loss of $0.01 per share, in the same period last year [20] Business Line Data and Key Metrics Changes - In-house products accounted for approximately 82% of total revenue during the quarter [7][17] - Strong demand was noted for ventilation products, commercial fans, and new shelving products [17] Market Data and Key Metrics Changes - The company expanded its business into Europe and the UK, completing its first order for hydroponics-related products [10] - The European market is viewed as a significant medium to long-term opportunity as the consumer hydroponics market develops [10] Company Strategy and Development Direction - The company is focusing on expanding its product offerings and enhancing its supply chain capabilities through strategic acquisitions and joint ventures [11][13] - A rebranding initiative is underway to optimize market perception and marketing allocation [15] - The company plans to continue developing new in-house SKUs and expand into additional markets while strengthening existing ones [16] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in navigating supply chain challenges due to a robust network of supply partners [9] - The company anticipates continued growth and plans to mitigate supply chain impacts through strategic procurement and production [22] Other Important Information - Total long-term debt increased to $13.4 million from $0.5 million, attributed to timing and the use of a revolving credit facility [21] - Cash and cash equivalents were reported at $2.6 million, down from $6.7 million, primarily due to accounts receivable timing [20] Q&A Session Summary Question: Update on new sales channel initiatives with big box retailers - Management is actively working on this but does not expect large purchase orders before the end of the fiscal year [25] Question: Growth drivers amidst challenges in the hydroponic industry - Growth is attributed to an increasing share of in-house products, a strong supply network, and effective data analytics [27] Question: Addressing cash levels and inventory needs - Inventory was built up in anticipation of demand and to mitigate risks from potential COVID-related disruptions in China [35] - The company has sufficient capital and flexibility to support future initiatives [35]

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2022 OR ☐ TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ______________ to ______________ Commission file number 001-40391 iPower Inc. (Exact name of registrant as specified in its charter) | Nevada | 5200 | 8 ...

Call Start: 16:30 January 1, 0000 4:52 PM ET iPower Inc. (NASDAQ:IPW) Q2 2022 Earnings Conference Call February 14, 2022 16:30 ET Company Participants Kevin Vassily - Chief Financial Officer Chenlong Tan - Chairman, Chief Executive Officer, President & Secretary Conference Call Participants Jeffrey Walter - D.A. Davidson Scott Fortune - ROTH Capital Partners Operator Good afternoon, everyone and thank you for participating in today's conference call to discuss iPower's Financial Results for Fiscal Second Qu ...