Digital Brands Group's Q1 revenues decline

For the first quarter, Digital Brands Group reported net revenues for the quarter declined to 3.6 million dollars negatively impacted by wholesale shipments that slipped from the end of March to the first half of April.

“Despite a timing shift in our wholesale shipments, which shifted revenue from the first quarter to the second quarter, we experienced significant operating expense leverage. In fact, this operating leverage coupled with higher revenues will result in higher flow through to our operating and net income,” said Hil Davis, CEO of Digital Brands Group.

The company reported net operating loss of 225,000 dollars compared to 3.7 million dollars a year ago. Net loss for the quarter under review was 684,000 dollars or a loss of 46 cents per diluted share compared to 6.1 million dollars or a loss of 27.48 dollars per diluted share.

Gross profit margins increased to 48.1 percent, while gross profit was 1.7 million dollars in the first quarter.