Stran & Company Announces Completed Restatements of Financial Results for the 2022 and 2023 Fiscal Years

Company Overview - Stran & Company is a leading outsourced marketing solutions provider specializing in promotional products and loyalty incentive programs [1] - The company has over 30 years of experience and serves many Fortune 500 companies across various industries [6][7] - Stran provides complex marketing programs, branded merchandise, and loyalty incentive programs to drive awareness, build brands, and impact sales [6][7] Financial Performance - Sales increased 31.3% to $76.0 million in 2023 from $57.9 million in 2022, driven by higher spending from existing clients and new customers [3] - Gross profit increased 61.5% to $24.9 million in 2023, with gross profit margin improving to 32.7% from 26.6% in 2022 [4] - Net loss decreased to $0.4 million in 2023 from $3.5 million in 2022, primarily due to increased sales from acquisitions and organic growth [5] Business Developments - The company secured key contracts with a leading recreational watercraft manufacturer and a premier U.S. pet supply retailer in 2024 [2] - Stran expanded agreements with multiple existing clients across industries such as automotive, engineering, and oil and gas, each representing six-figure annual revenue potential [2] - In November 2024, Stran acquired the assets of Gander Group, strengthening its position in the casino continuity and loyalty sector [2] Acquisitions Impact - Acquisitions of G.A.P. Promotions, Trend Brand Solutions, Premier NYC, and T R Miller contributed approximately $15.1 million, or 19.9%, of sales in 2023 [3] - These acquisitions accounted for $6.8 million, or 11.7%, of sales in 2022 [3] Balance Sheet Highlights - Total assets decreased to $49.036 million in 2023 from $50.230 million in 2022 [10] - Total liabilities decreased to $13.386 million in 2023 from $14.511 million in 2022 [10] - Stockholders' equity remained relatively stable at $35.650 million in 2023 compared to $35.719 million in 2022 [10] Operational Metrics - General and administrative expenses increased to $25.310 million in 2023 from $17.789 million in 2022 [12] - Goodwill impairment decreased to $810,000 in 2023 from $1.182 million in 2022 [12] - Net loss per common share improved to $0.02 in 2023 from $0.18 in 2022 [12]