iFabric (TSX: IFA) Price - $2.55 Market Cap - $76M
- iFabric Corp Reports Record Revenues and Earnings for Its Financial Year Ended September 30, 2021
- FY Revenue of $19.7M
- FY Gross profit of $7.76M
- FY Adj. EBITDA of $3.2M
- FY Net income of $2.36M
- Q4 Revenue $5.2M
- Q4 Gross profit of $1.66M
- Q4 Adj. EBITDA $354K
- Q4 Net income $203K
- Press Release https://tinyurl.com/5n9ytjzs
iFabric reported record year revenues and earnings with revenues up 72% from 2020 - The primary source of the increase in revenue in fiscal 2021 was increased sales in the Intelligent Fabrics operating segment. These numbers were slightly better than we expected. Shares of IFA are down 54% from their year high reached early in 2021. With record revenues and earnings and tax loss season now out of the way we believe that the stock offers a very bullish risk/reward opportunity at current levels.
Vitality Products (TSX.V: VPI) Price - $0.11 Market Cap - $4.5M
Vitality reported Q3 revenues below our expectations. The company continues to focus on building out its recently launched online subscriber service. The company is well financed and is increasing its marketing spend in an attempt to grow sales and launch new products. We note that there has been some insider buying recently. While we are disappointed with current sales levels we continue to hold our positions but want to see signs of revenue and online subscriber growth before changing our outlook.
