MIAMI BEACH, FL, June 13, 2022 (GLOBE NEWSWIRE) -- Home Bistro, Inc. (OTC PINK: HBIS), ("Home Bistro" or the "Company") a leading online meal delivery platform that offers celebrity chef-inspired, gourmet and lifestyle ready-made meals, today reported record revenue with its financial results for its second quarter ended April 30, 2022.
Zalmi Duchman, Home Bistro CEO, stated, “With more chefs coming online earlier this fiscal year, we are continuing to see record top line growth. As I have previously stated, our goal is to continue growing our revenue at a significant rate while eyeing profitability by 2023. To this end, over the past few months we have been taking significant steps to increase our profit margin and considerably decrease our general and administrative expenses.
He added, “In order to accomplish this, we have undertaken multiple initiatives. First, we have significantly reduced minimum guaranteed royalty payments to new celebrity chefs, and older, more costly guaranteed deals will begin to expire in 2023. Second, we have taken steps to simultaneously reduce our product costs and retail prices, which are expected to have a positive net effect on gross margin. In addition, our recently announced collaboration with public relations firm Alab Group should benefit us by offsetting more expensive online advertising costs with a less costly but equally, if not more effective, influencer-based strategy.”
Mr. Duchman concluded, “Further, we have grown as a publicly traded company over the past several years and, as we continue to work toward a potential Nasdaq up-listing, we will be significantly less reliant on costly external consultants and other professional service providers. Lastly, having just launched our subscription-based Model Meals program, we believe we can experience a much smoother path to a recurring revenue model, which we also plan to introduce for our Home Bistro and celebrity-chef brands in the near future.”
Second Quarter 2022 Financial Highlights:
Income Statement:
- Revenue: Product sales for the first quarter ended April 30, 2022 increased 127% to $743,263, as compared to revenues of $328,024 for the same period in 2021. The increase in first quarter sales is attributed to the integration of the Model Meals brand, continued product sales of celebrity chefs Cat Cora, Daina Falk, as well as the first quarter launch of Claudia Sandoval and Richard Blais. Three additional celebrity chefs and two add-on partnership offerings have been signed and currently are in que to onboard over the next couple of months.
- Operating Expenses: Excluding extraordinary non-cash charges totaling $1.9 million, operating expenses for the fiscal second quarter 2022 were $967,006 compared to $779,584 for same period in 2021. The increase in operating expenses is due predominately to enhanced legal, accounting and other services associated with operating as a publicly traded company.
- Net Loss: Fiscal year 2022 second quarter net loss totaled ($3.1) million or $(0.08) per basic and diluted share, which included approximately $2 million of non-cash expenses and $173,399 of interest expense. This compares to a net loss of $(1.0) million or $(0.05) per basic and diluted share for the fiscal year 2021 second quarter, which included interest expense of $452,571.
About Home Bistro, Inc.
Home Bistro is a leading online platform, www.homebistro.com, that provides for the creation, production, and distribution of direct-to-consumer, heat-to-eat, celebrity chef inspired gourmet meals, which currently include inspirations developed by "Iron Chef" Cat Cora, Ayesha Curry, "Hungry Fan" Chef Daina Falk, “Master Chef” Claudia Sandoval, “Top-Chef All-Star” Richard Blais, Celebrity Pastry and Dessert Chef Melanie Moss, and soon to launch celebrity chefs Roblé Ali and Priyanka Naik.
Home Bistro's Model Meals lifestyle brand www.modelmeals.com is a Whole30 and Paleo approved, ready-to-eat, meal prep service, offering a weekly rotating menu that is prepared by professional chefs, using only the highest quality ingredients available, sourced responsibly and locally, and delivered in sustainable, eco-friendly packaging.
Forward-Looking Information
This news release contains forward-looking statements and forward-looking information within the meaning of applicable securities laws. These statements relate to future events or future performance. All statements other than statements of historical fact may be forward-looking statements or information. Generally, forward-looking statements and information may be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "proposed", "is expected", "budgets", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases, or by the use of words or phrases which state that certain actions, events or results may, could, would, or might occur or be achieved. More particularly and without limitation, this news release contains forward-looking statements and information concerning the Company's growth objectives and industry outlook (as described herein). Forward-looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations or intentions regarding the future. These forward-looking statements include, among others, statements about the Company's future financial performance, the impact of management changes, any organizational restructuring and the sufficiency of capital resources to fund its ongoing operating requirements; statements about the Company's expectations regarding the capitalization, resources and ownership structure; and any other statements other than statements of historical fact. Actual results or events could differ materially from the plans, intentions and expectations disclosed in the forward-looking statements that the Company makes due to a number of important factors, including (i) risks related to the combined entity's access to existing capital and fundraising prospects to fund its ongoing operations, and (ii) other business effects, including the effects of industry, market, economic, political or regulatory conditions, future exchange and interest rates, and changes in tax and other laws, regulations, rates and policies, including the impact of COVID-19 on the broader market. Readers are cautioned not to place undue reliance on forward-looking statements, as there can be no assurance that the plans, intentions, or expectations upon which they are based will occur. By their nature, forward-looking statements involve numerous assumptions, known and unknown risks and uncertainties, both general and specific that contribute to the possibility that the predictions, estimates, forecasts, projections and other forward-looking statements will not occur.
The forward-looking statements contained in this press release are made as of the date of this press release. Except as required by law, the Company disclaims any intention and assumes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. Detailed information regarding factors that may cause actual results to differ materially from the results expressed or implied by statements in this press release relating to the Company may be found in the Company's periodic filings with the Securities and Exchange Commission, including the factors described in the sections entitled "Risk Factors", copies of which may be obtained from the SEC's website at www.sec.gov. Additionally, the Company undertakes no obligation to comment on the expectations of, or statements made by, third parties in respect of the matters discussed above.
Contact:
Zalmi Duchman, CEO
zalmi@homebistro.com
Ph: 631.694.1111
SOURCE: Home Bistro, Inc.
