- Creatd announces revenue guidance of $2M for Fiscal Year 2023, with expectations for significant growth in FY2024, subject to its upcoming strategic plan
- Creatd's core operational business is nearly cash flow positive
- Creatd has extended the deadline for finalizing the TAMI Ventures/Bettaverse definitive agreements to 4/23/2024
- The release of Creatd's 10-K is expected mid-May 2024 to be promptly filed by Q1 2024 financial filings, reflecting the extensive work and audit efforts that are been undertaken to strengthen the company's balance sheet and position it for future acquisitions and eliminate all discontinued operations
- Following the 10-K release, Creatd will promptly proceed with the release of the OG Collection, Inc. audit
- As part of its ongoing M&A strategy, Creatd is actively engaged in several acquisition-oriented discussions and will keep the market updated
- The company is currently interviewing underwriters in preparation for its potential uplisting to a national exchange later this year
NEW YORK, April 10, 2024 /PRNewswire/ -- Creatd, Inc. (OTCQB: $CRTD) is pleased to provide several important updates regarding its strategic plans, financial reporting, and ongoing merger and acquisition activities.
Financial highlights include:
- The Company significantly reduced its cost of revenue to $1 million from $6 million in the previous year, achieving an 83% decrease.
- Creatd successfully decreased its operating expenses 63% to $8.6 million, down from $23.5 million in 2022, after adjusting for stock-based compensation.
- The Company experienced a historic improvement in gross margins, turning positive to $900K in 2023 from a negative $1.3 million in 2022.
- The net cash used in operating activities was significantly reduced to $3.4 million in 2023, marking a 131% decrease from $16.6 million in 2022.
Chairman and CEO Jeremy Frommer shared insights, stating, "First and foremost, I want to apologize for the delayed financial filings. Unfortunately, our ambitious timeline outweighs available resources and it is important to meticulously prepare prior to any attempt at an uplisting to a national exchange. We anticipate the release of our 10-K report in mid-May 2024, promptly followed by Q1 financial filings. The necessary delay is a direct result of our in-depth audit process, aimed at fortifying Creatd's balance sheet. This step underscores our dedication to transparency and maintaining a robust financial foundation. Despite the challenges presented by the current economic climate, I am extremely encouraged by our performance and the resilience we have demonstrated."
Frommer added, "Looking ahead, our focus will pivot to strategic acquisitions, enhancing net equity, bolstering our cash reserves, and achieving what I have said before uplisting to a national exchange. These initiatives are critical for our continued success in the upcoming year. I extend my deepest gratitude to our investors for their steadfast support. We eagerly anticipate discussing our progress and outlook in a forthcoming conference call later this month."
Forward Looking Statements
This statement includes forward-looking statements, which are based on current expectations, beliefs, and assumptions about future events and are subject to uncertainties and risks that could cause actual results to differ materially. These statements often contain terms like "expected," "anticipated," and "estimated." Factors influencing future outcomes are unpredictable and may emerge over time. We do not commit to updating any forward-looking statement post its publication date. Our SEC filings provide further details and risk disclosures.
SOURCE Creatd, Inc.
