Unique Logistics International Reports Financial Results for Fiscal 2021 highlighted by 223% Growth in Revenue

NEW YORK, Sept. 1, 2021 /PRNewswire/ — Unique Logistics International, Inc. (the “Company or “UNQL”) (OTC Markets: UNQL) a global logistics and freight forwarding company, today announced results for its fiscal year ended May 31, 2021.

Unique_final_logo__002_Logo

Unique_final_logo__002_Logo

Key Financial Results

For the Year Ended

For the Period October 28, 2019 (Inception) through

For the Year Ended

May 31,

May 31,

May 31,

2021

2020

2020 (Proforma)

(1)

USD millions

(Audited)

(Audited)

(Unaudited)

Total revenues

$371.9

$1.1

$115.1

Income (loss) from operations

$3.5

($0.4)

($2.1)

Net income (loss)

$1.7

($0.4)

($2.1)

Adjusted EBITDA

$8.9

($0.4)

n/a

Total assets

$69.5

$34.0

n/a

Total Stockholders’ Equity

$6.6

$1.1

n/a

(1) Pro-forma financials present combined results of operations of the Company, if all the acquired entities were combined on June 1, 2019

UNQL announces 223% growth in revenue

“We are proud to present the first full year results of UNQL and believe that we have met shareholder expectations.” said Sunandan Ray, Chief Executive Officer. “We have taken the three companies we acquired and delivered revenues that are 223% higher comparing the current reporting year versus the comparative period before acquisition for the same entities combined. We have achieved these results through the loyalty of our customers, the hard work and dedication of our management and staff and the support of our business partners. At the end of the first full reporting year, I am confident that the Company is ready to build on the base we have established in our market. We are ready to accelerate our growth strategy.

Key Business Highlights:

Revenue Environment:

  • Management anticipates continuing strong demand for international logistics services in the year ahead.

  • The reported revenue for the year ended May 31, 2021 of $371.9 million represents growth of 223% based on revenue of $115.1 million (proforma) reported by the acquired companies in the prior year before acquisition by the Company. The results represent Management’s success in combining the acquired entities and positioning them for growth.

  • Successful integration of the acquired companies along with the synergies achieved by Management puts the Company in a strong position to grow both organically and through acquisitions in strategic areas of our business.

Cost Performance:

  • The Company has a well-established procurement strategy for the next twelve months with airlines and shipping lines in order to secure additional capacities to cater for the expected growth in our business. The Company’s air cargo charter programs have added significant capacity for United States importers during a challenging period for logistics. Increasing domestic warehousing and distribution capabilities to support our international business is an integral part of the Company’s strategy as it prepares to actively pursue its growth in the year ahead.

  • The Company continues to expand its management expertise and team of employees to cater for its anticipated business growth. A new office in Houston planned for September 2021 will establish the Company’s initial footprint in the Texas market. The Company is aware of the need to continuously balance increasing amounts of business with our employees’ well-being and strongly believe that a happy employee is a productive team member.

*Non-GAAP Measurement of Business Performance:

This press release includes certain financial information not prepared in accordance with Generally Accepted Accounting Principles in the United States (“GAAP”), including Adjusted EBITDA. Adjusted EBITDA is defined by the Company, for the periods presented, to be earnings before interest, factoring fees, taxes, depreciation and amortization, accretion of debt discounts, loss on debt extinguishments, stock-based compensation, and certain other items. Pursuant to the requirements of Regulation G, the Company has provided a reconciliation, in the tables attached to this press release, of income from continuing operations calculated in accordance U.S. GAAP to Adjusted EBITDA. Adjusted EBITDA is not a measurement of financial performance under U.S. GAAP and may not be comparable to other similarly titled measures of other companies. The Company calculated and communicated Adjusted EBITDA in the tables because the Company’s management believes it is of importance to investors and lenders by providing additional information with respect to the performance of its fundamental business activities. Management presents Adjusted EBITDA because it believes that Adjusted EBITDA is a useful supplement to net income as an indicator of operating performance. Management also believes that Adjusted EBITDA is an industry-wide financial measure that is useful both to management and investors when evaluating the Company’s performance and comparing our performance with the performance of our competitors. Management also uses adjusted EBITDA for planning purposes, as well as to evaluate the Company’s performance because it believes that adjusted EBITDA more accurately reflects the Company’s results, as it excludes certain items, such as stock-based compensation charges, that management believes are not indicative of the Company’s operating performance. The Company believes that Adjusted EBITDA is a performance measure and not a liquidity measure. Adjusted EBITDA should not be considered as an alternative to operating or net income as an indicator of performance or as an alternative to cash flows from operating activities as an indicator of cash flows, in each case as determined in accordance with U.S. GAAP, or as a measure of liquidity. In addition, adjusted EBITDA does not take into account changes in certain assets and liabilities as well as interest and Adjusted EBITDA is defined by the Company for the periods presented to be earnings before interest, factoring fees, taxes, depreciation and amortization, accretion of debt discounts, loss on debt extinguishments, stock-based compensation, and certain other items. Pursuant to the requirements of Regulation G, the Company has provided a reconciliation in the tables attached to this release of loss from continuing operations calculated in accordance with U.S. GAAP to Adjusted EBITDA. Management presents Adjusted EBITDA because it believes that Adjusted EBITDA is a useful supplement to net loss as an indicator of operating performance. Adjusted EBITDA should not be considered as an alternative to operating or net loss as an indicator of performance or as an alternative to cash flows from operating activities as an indicator of cash flows, in each case as determined in accordance with GAAP, or as a measure of liquidity. In addition, adjusted EBITDA does not take into account changes in certain assets and liabilities as well as interest and income taxes that can affect cash flows.

The Company’s calculation of Adjusted EBITDA may or may not be consistent with the calculation of this measure by other companies in the same industry. Investors should not view Adjusted EBITDA as an alternative to the U.S. GAAP operating measure of net income (loss). In addition, Adjusted EBITDA does not take into account changes in certain assets and liabilities as well as interest and income taxes that can affect cash flows. Management does not intend the presentation of these non-GAAP measures to be considered in isolation or as a substitute for results prepared in accordance with U.S. GAAP. These non-GAAP measures should be read only in conjunction with the Company’s consolidated financial statements prepared in accordance with U.S. GAAP income taxes that can affect cash flows.

About Unique Logistics International, Inc.

Unique Logistics International, Inc. (OTC: UNQL) through its wholly owned operating subsidiaries, is a global logistics and freight forwarding company providing a range of international logistics services that enable its customers to outsource to the Company sections of their supply chain process. The services provided are seamlessly managed by its network of trained employees and integrated information systems.

Forward-Looking Statements

This press release does not constitute an offer to sell or a solicitation of offers to buy any securities of any entity. This news release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, that are intended to be covered by the “safe harbor” created by those sections. Forward-looking statements, which are based on certain assumptions and describe our future plans, strategies and expectations, can generally be identified by the use of forward- looking terms such as “believe,” “expect,” “may,” “should,” “could,” “seek,” “intend,” “plan,” “goal,” “estimate,” “anticipate” or other comparable terms. All statements other than statements of historical facts included in this news release regarding our strategies, prospects, financial condition, operations, costs, plans and objectives are forward-looking statements. Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on our current beliefs, expectations and assumptions regarding the future of our business, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of our control. Our actual results and financial condition may differ materially from those indicated in the forward-looking statements. Therefore, you should not rely on any of these forward-looking statements. Important factors that could cause our actual results and financial condition to differ materially from those indicated in the forward-looking statements include, among others, the following: our ability to successfully market our services; the acceptance of our services by customers; our continued ability to pay operating costs and ability to meet demand for our services; the amount and nature of competition from other logistics service providers; the effects of changes in the logistics market; our ability to comply with applicable regulations; and the other risks and uncertainties described in our prior filings with the Securities and Exchange Commission. We undertake no obligation to publicly update any forward-looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise.

FINANCIAL STATEMENTS (EXTRACT FROM 10-K)

UNIQUE LOGISTICS INTERNATIONAL, INC.

CONSOLIDATED BALANCE SHEETS

May 31, 2021

May 31, 2020

ASSETS

Current Assets:

Cash and cash equivalents

$

252,615

$

1,349,363

Accounts receivable – trade, net

20,369,747

7,932,310

Contract assets

23,423,314

4,837,008

Factoring reserve

7,593,665

970,724

Other prepaid expenses and current assets

761,458

91,671

Total current assets

52,400,799

15,181,076

Property and equipment – net

192,092

198,988

Other long-term assets:

Goodwill

4,463,129

4,773,584

Intangible assets – net

8,044,853

8,752,000

Operating lease right-of-use assets – net

3,797,527

4,770,280

Deposits and other assets

555,362

292,404

Other long-term assets

16,860,871

18,588,268

Total assets

$

69,453,762

$

33,968,332

Liabilities and Stockholders’ Equity

Current Liabilities:

Accounts payable – trade

$

38,992,846

$

9,591,780

Accrued expenses and other current liabilities

2,383,915

3,619,216

Accrued freight

10,403,430

3,477,380

Current portion of notes payable – net of discount

2,285,367

1,476,642

Current portion of long-term debt due to related parties

397,975

6,380,975

Current portion of operating lease liability

1,466,409

1,288,216

Total current liabilities

55,929,942

25,834,209

Other long-term liabilities

565,338

848,010

Long-term-debt due to related parties, net of current portion

715,948

193,328

Notes payable, net of current portion – net of discount

3,193,306

2,494,420

Operating lease liability, net of current portion

2,431,144

3,482,064

Total long-term liabilities

6,905,736

7,017,822

Total liabilities

62,835,678

32,852,031

Commitments and contingencies

Stockholders’ Equity:

Preferred Stock, $.001 par value: 5,000,000 shares authorized

Series A Convertible Preferred stock, $0.001 par value; 130,000 issued and outstanding as of May 31, 2021 and 2020

130

130

Series B Convertible Preferred stock, $0.001 par value; 840,000 and 870,000 shares issued and outstanding as of May 31, 2021 and 2020, respectively

840

870

Common stock, $0.001 par value; 800,000,000 shares authorized; 393,742,663 and 0 shares issued and outstanding as of May 31, 2021 and 2020, respectively

393,743

Additional paid-in capital

4,906,384

1,523,811

Retained earnings (accumulated deficit)

1,316,987

(408,510)

Total Stockholders’ Equity

6,618,084

1,116,301

Total Liabilities and Stockholders’ Equity

$

69,453,762

$

33,968,332

UNIQUE LOGISTICS INTERNATIONAL, INC.

CONSOLIDATED STATEMENTS OF OPERATIONS

For the
Year Ended
May 31, 2021

For the Period
October 28, 2019
(Inception) Through
May 31, 2020

Revenues:

Airfreight services

$

137,055,903

$

169,924

Ocean freight and ocean services

196,041,832

730,944

Contract logistics

3,093,626

18,126

Customs brokerage and other services

35,695,911

151,330

Total revenues

371,887,272

1,070,324

Costs and operating expenses:

Airfreight services

130,564,578

158,223

Ocean freight and ocean services

179,759,763

628,542

Contract logistics

1,267,360

3,497

Customs brokerage and other services

33,766,727

157,800

Acquisition expenses

239,350

Salaries and related costs

9,184,390

60,776

Professional fees

1,350,369

180,000

Rent and occupancy

1,815,194

21,086

Selling and promotion

4,535,373

5,720

Depreciation and amortization

765,532

Fees on factoring agreements

4,471,540

Other

877,458

19,682

Total costs and operating expenses

368,358,284

1,474,676

Income (loss) from operations

3,528,988

(404,352)

Other income (expenses)

Interest

(1,781,828)

(4,158)

Gain on forgiveness of promissory notes

1,646,062

Loss on extinguishment of convertible note

(1,147,856)

Total other income (expenses)

(1,283,622)

(4,158)

Net income (loss) before income taxes

2,245,366

(408,510)

Income tax expense

519,869

Net income (loss)

$

1,725,497

$

(408,510)

Net income (loss) per common share

– basic

$

$

(0.04)

– diluted

$

$

(0.04)

Weighted average common shares outstanding

– basic

1,408,941,722

10,000,000

– diluted

10,030,364,061

10,000,000

Adjusted EBITDA (Non-Gap Financial Measure)

For the Year Ended
May 31,
2021

For the Year Ended
May 31,
2020

Net income (loss)

$

1,725,497

$

(408,510)

Add Back:

Income tax expense

519,869

Depreciation and amortization

765,532

Stock-based compensation

91,666

Gain on forgiveness of promissory notes

1,147,856

Loss on extinguishment of convertible notes

(1,646,062)

Factoring fees

4,471,540

Interest expense (including accretion of debt discount)

1,781,828

Adjusted EBITDA

$

8,857,726

$

(408,510)

Cision

Cision

View original content:https://www.prnewswire.com/news-releases/unique-logistics-international-reports-financial-results-for-fiscal-2021-highlighted-by-223-growth-in-revenue-301366927.html

SOURCE Unique Logistics International, Inc.

Related Posts