1847 Holdings Announces First Quarter 2022 Financial Results with Revenue Up 153% to $12.1 Million
NEW YORK, May 19, 2022 (GLOBE NEWSWIRE) – 1847 Holdings LLC (OTCQB: EFSH) ( “1847 Holdings”), a holding company publicly traded platform that combines the attractive attributes of private enterprises of the lower middle market with liquidity and the transparency of a listed company, today announced financial results for its first quarter ended March 31, 2022.
First Quarter Highlights
Generated $12.1 million in revenue, up 153% from Q1 2021
Declared second quarterly cash dividend in March 2022
“An important part of 1847 Holdings’ vision is to share our success with our shareholders, and I am extremely pleased that our continued performance enabled us to declare our second quarterly cash dividend in March,” commented Ellery W. Roberts, CEO from 1847. Holdings. “With the conditional approval of the listing of our shares on the NYSE American issued after the end of the quarter, which is subject to the completion of our public offering in 1847 Holdings is now about to cross the next milestone. J look forward to sharing our other successes with our shareholders in the months and quarters to come.”
Our total GAAP revenue was $12,073,878 for the quarter ended March 31, 2022, compared to $4,780,275 for the quarter ended March 31, 2021.
Revenues from our Retail and Appliance segment decreased by $743,582, or 22.8%, to $2,520,784 for the three months ended March 31, 2022, compared to $3,264,366 for the quarter ended March 31, 2021. This decrease is primarily due to continued supply chain delays in manufactures and the increased time it takes to receive products.
Revenue from our construction segment increased by $6,395,194, or 421.9%, to $7,911,103 for the quarter ended March 31, 2022, from $1,515,909 for the quarter ended March 31, 2021. This increase is primarily due to the acquisitions of High Mountain Door & Trim Inc. (“High Mountain”) and Sierra Homes, LLC d/b/a Innovative Cabinets & Design (“Innovative Cabinets”), which were acquired in the fourth quarter of 2021. Excluding these acquisitions, construction segment revenues increased by $145,845, or 9.6%. This increase is mainly explained by the increase in the average customer contract in the construction sector.
Revenues from our automotive supplies business, which was acquired on March 30, 2021, were $1,641,991 for the quarter ended March 31, 2022.
Our total cost of sales was $7,749,130 for the quarter ended March 31, 2022, compared to $3,260,682 for the quarter ended March 31, 2021.
Cost of sales for our retail and appliance segment decreased by $635,202, or 25.3%, to $1,871,450 for the three months ended March 31, 2022 from $2,506,652 $ for the three months ended March 31, 2021. This decrease is mainly attributable to the corresponding decrease in revenues from the retail and appliance segment. As a percentage of revenues from retail sales and household appliances, the cost of sales for the segment of the retail and household appliances was 74.2% and 76.8% for the three months ended March 31 2022 and 2021, respectively.
Cost of sales for our construction segment increased by $4,125,561, or 547.1%, to $4,879,591 for the three months ended March 31, 2022 from $754,030 for the three months ended on March 31, 2021. This increase is mainly attributable to the acquisitions of High Mountain and Innovative Cabinets, which were acquired in the fourth quarter of 2021. Excluding these acquisitions, the cost of sales for the construction segment increased by $151,350, or 20.1%. This increase is mainly due to the corresponding increase in construction segment revenues, as well as higher product and delivery costs. As a percentage of construction revenue, cost of sales for the construction segment was 54.5% and 49.7% for the three months ended March 31, 2022 and 2021, respectively.
The cost of sales of our auto supplies sector amounted to $ 998,089 for the quarter ended March 31, 2022. As a percentage of auto supplies revenue, cost of auto supplies industry sales was 60.8% for the quarter ended March 31, 2022.
Our total general and administrative expenses were $2,166,207 for the quarter ended March 31, 2022, compared to $1,324,196 for the quarter ended March 31, 2021.
Net loss from continuing operations was $927,208 for the three months ended March 31, 2022, compared to a net loss of $853,992 for the three months ended March 31, 2021.
About 1847 Holdings LLC
1847 Holdings LLC (OTCQB: EFSH), a holding company listed diversified acquisition on the stock exchange, was founded by Ellery W. Roberts, former partner of Parallel Investment Partners, Saunders Karp & Megrue and Director of Lazard Freres Strategic Realty Investors. 1847 Holdings’ investment thesis is that capital market inefficiencies have left founders and/or stakeholders of many small or lower middle market companies with limited exit options despite the intrinsic value of their business. Given this dynamic, 1847 Holdings can systematically acquire businesses that it considers “strong” for reasonable multiples of cash flow, and then deploy resources to strengthen those businesses’ infrastructure and systems to improve operations. These improvements may lead to the sale or IPO of an operating subsidiary at valuations above the purchase price and/or alternatively, an operating subsidiary may be held in perpetuity and contribute to 1847 Holdings’ ability to pay regular and special dividends to shareholders.
This press release may contain information about 1847 Holdings’ views on its future expectations, plans and prospects that constitute forward-looking statements. All forward-looking statements are based on our management’s beliefs, assumptions and expectations regarding our future economic performance, taking into account information currently available to it. These statements are not statements of historical fact. Forward-looking statements are subject to a number of factors, risks and uncertainties, some of which are not currently known to us, that could cause our actual results, performance or financial condition to be materially different from expectations regarding future results, performance or performance. financial situation. Our actual results may differ materially from the results discussed in the forward-looking statements. Factors that could cause such a difference include, but are not limited to, the risks set forth in the “Risk Factors” section included in our filings with the SEC.
Ellery W. Roberts, Founder and CEO
1847 Holdings LLC
Dave Gentry, CEO
Office: 1.800.RED.CHIP (733.2447)