Revenues Increase 140 Percent and Operating Profits Increase
Saint Simons Island, Georgia, Dec. 12, 2023 (GLOBE NEWSWIRE) -- Deep Green Waste & Recycling Inc. (OTC PINK: DGWR), a waste, recycling and remediation services company for commercial customers, today announces strong top and bottom line growth in its financial results for the third quarter and nine months ended Sept. 30, 2023.
Revenues increased by 145 percent to a quarterly record of $902,987 compared to $368,512 in the third quarter 2022 based on robust organic growth and recent acquisitions. Impressive gross margins of 82 percent and prudent expense management led to substantial profitability growth.
"I am thrilled to report that the immense effort put forth by our dedicated team to methodically improve performance over the past year has resulted in an organization positioned to drive value for shareholders," commented Bill Edmonds, CEO of Deep Green. "Posting over $900,000 of quarterly revenue and achieving 82 percent gross margins proves we now have an efficient, high-quality operation with tremendous earnings potential moving forward."
Operating income in the third quarter was $327,751 compared to an operating loss of $74,506 in the third quarter last year. For the nine months ended September 30, 2023, Deep Green grew revenues by 65 percent to $1,315,097 and swung to positive gross margins of $1,026,167 from $495,615 last year.
On a GAAP basis, the company reported a net loss of $226,090 in the latest quarter primarily due to non-cash derivative liability expenses. Excluding the non-cash derivative liability expense, the company actually had an adjusted net income of $227,138 for the three months ended September 30, 2023.
Lyell Environmental Services, a wholly owned subsidiary of Deep Green, secured a $1.995 million contract for asbestos removal at Vanderbilt University Medical Center, adding to the company's operational successes. The 20-week remediation project follows a year of tremendous growth in which Deep Green increased quarterly revenues 145% along with 82% gross margins in its fiscal third quarter.
The Vanderbilt contract serves as an inflection point for several reasons. First, it provides validation from a premier institution that Deep Green performs superbly at large, complex remediation projects. Second, successfully executing this $2 million engagement is expected to open up significant new opportunities in the region.
Importantly, the project also accelerates Deep Green's Middle Tennessee expansion. The company sees room for over 40% organic revenue growth in the Nashville market alone by extending its asbestos and lead removal capabilities. "We intend to leverage our strong reputation and technical expertise to capture market share," said David Bradford, President of Deep Green Waste and Recycling.
Beyond Nashville, management has set its sights on other metro regions like Memphis, Knoxville, Chattanooga, and Huntsville to cultivate a deeper presence. Deep Green also continues developing service verticals, like lead remediation, to penetrate new markets. The combination of geographic and capability expansion provides several avenues to sustain the impressive profitable growth achieved this past year.
Deep Green shall continue to target additional acquisitions and add new remediation services to complement its existing capabilities in the waste, recycling and environmental remediation services markets.
About Lyell Environmental Services, Inc.
Lyell Environmental Services, Inc. is an established commercial environmental and ecological testing services company based in Nashville, Tennessee. For more information, visit: https://www.LyellEnvironmentalServices.com/
About Deep Green Waste & Recycling, Inc.
Deep Green Waste & Recycling, Inc. (OTC: DGWR) is a waste, recycling and remediation services which provides sustainable waste, recycling, and remediation services, and helps commercial customers realize cost-savings using streamlined processes that help manage, reduce, and recycle waste streams. For more information, visit: https://DeepGreenWaste.com.
SAFE HARBOR STATEMENT
This press release contains forward-looking statements that can be identified by terminology such as "believes," "expects," "potential," "plans," "suggests," "may," "should," "could," "intends," or similar expressions. Many forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause actual results to be materially different from any future results or implied by such statements. These factors include, but are not limited to, our ability to continue to enhance our products and systems to address industry changes, our ability to expand our customer base and retain existing customers, our ability to effectively compete in our market segment, the lack of public information on our company, our ability to raise sufficient capital to fund our business, operations, our ability to continue as a going concern, and a limited public market for our common stock, among other risks. Many factors are difficult to predict accurately and are generally beyond the company's control. Forward-looking statements speak only as to the date they are made, and we do not undertake to update forward-looking statements to reflect circumstances or events that occur after the date the forward-looking statements are made.
For information, please contact:
Bill Edmonds, President
Deep Green Waste & Recycling, Inc.
260 Edwards Plz #21266
Saint Simons Island, GA 31522
Phone: (833) 304-7336 / (833) 30-GREEN
Email: Investor@DeepGreenWaste.com
