AUSTIN,
Texas, Feb. 13, 2024 /PRNewswire/ -- Digital
Brands Group, Inc. ("we", "us", "DBG" or the "Company")
(NASDAQ: DBGI), a curated collection of luxury lifestyle,
digital-first brands, announced today that it is re-affirming its
fiscal year 2024 forecast of $27
million to $30 million in
revenue, $6 million to $7 million in internal free cash flow and
$1.5 million to $2.0 million in ebitda.
Additionally, the Company commits to no equity offerings for
2024.
The Company has achieved revenue scale with its Sundry
acquisition, while it also reduced operating costs by an additional
$1 million for 2024.
"We are excited to showcase our commitment to shareholder growth
in 2024, which includes (1) the commitment of no equity offerings
for 2024 and (2) our continued review of strategic alternatives,
especially given our assets and operating forecast relative to our
public market value. We have several options to maximize
shareholder value, which we will pursue if this
dislocation remains," said Hil
Davis, Chief Executive Officer of Digital Brands Group.
About Digital Brands
Group
We offer a wide variety of apparel through
numerous brands on a both direct-to-consumer and wholesale basis.
We have created a business model derived from our founding as a
digitally native-first vertical brand. Digital native first brands
are brands founded as e-commerce driven businesses, where online
sales constitute a meaningful percentage of net sales, although
they often subsequently also expand into wholesale or direct retail
channels., Unlike typical e-commerce brands, as a digitally native
vertical brand we control our own distribution, sourcing products
directly from our third-party manufacturers and selling directly to
the end consumer. We focus on owning the customer's "closet share"
by leveraging their data and purchase history to create
personalized targeted content and looks for that specific customer
cohort. We have strategically expanded into an omnichannel brand
offering these styles and content not only on-line but at selected
wholesale and retail storefronts. We believe this approach allows
us opportunities to successfully drive Lifetime Value ("LTV") while
increasing new customer growth.
Forward-looking Statements
Certain statements included in this release are "forward-looking
statements" within the meaning of the federal securities laws,
including statements regarding the acquisition and the ability to
meet the closing conditions required to complete the acquisition.
Forward-looking statements are made based on our expectations and
beliefs concerning future events impacting DBG and therefore
involve several risks and uncertainties. You can identify these
statements by the fact that they use words such as "will,"
"anticipate," "estimate," "expect," "should," and "may" and other
words and terms of similar meaning or use of future dates, however,
the absence of these words or similar expressions does not mean
that a statement is not forward-looking. We caution that
forward-looking statements are not guarantees and that actual
results could differ materially from those expressed or implied in
the forward-looking statements. DBG undertakes no obligation to
publicly update or revise any forward-looking statements, whether
as a result of new information, future events or otherwise, except
as required by law. Potential risks and uncertainties that could
cause the actual results to differ materially from those expressed
or implied by forward-looking statements include, but are not
limited to: (I) the
ability to implement business plans and
forecasts and
to identify and realize additional opportunities,
(ii)risks arising from the widespread outbreak of an illness or any
other communicable disease, or any other public health crisis,
including the coronavirus (COVID-19) global pandemic; (iii)the
level of consumer demand for apparel and accessories; disruption to
DBGs distribution system; the financial strength of DBG's
customers; fluctuations in the price, availability and quality of
raw materials and contracted products; disruption and volatility in
the global capital and credit markets and global supply chain;
(iv) DBG's response to changing fashion trends, evolving
consumer preferences and changing patterns of consumer behavior;
intense competition from online retailers; manufacturing and
product innovation; increasing pressure on margins; DBG's ability
to implement its business strategy; (vii) DBG's ability to grow its
wholesale and direct-to-consumer businesses; retail industry
changes and challenges; (viii) DBG's and its vendors' ability to
maintain the strength and security of information technology
systems; the risk that DBG's facilities and systems and those of
our third-party service providers may be vulnerable to and unable
to anticipate or detect data security breaches and data or
financial loss; (ix) DBG's ability to properly collect, use, manage
and secure consumer and employee data; (x) stability of DBG's
manufacturing facilities and foreign suppliers; continued use by
DBG's suppliers of ethical business practices; DBG's ability to
accurately forecast demand for products; continuity of members of
DBG's management; (xi) DBG's ability to protect trademarks and
other intellectual property rights; possible goodwill and other
asset impairment; (xii) DBG's ability to execute and integrate
acquisitions; changes in tax laws and liabilities; legal,
regulatory, political and economic risks; (xiii) adverse or
unexpected weather conditions; (xiv) DBG's indebtedness and
its ability to obtain financing on favorable terms,; and (xv)
climate change and increased focus on sustainability issues. More
information on potential factors that could affect DBG's financial
results is included from time to time in DBG's public reports filed
with the SEC, including DBG's Annual Report on Form 10-K, and
Quarterly Reports on Form 10-Q, and Forms 8-K filed or furnished
with the SEC.
Digital Brands Group, Inc. Company Contact
Hil Davis, CEO
Email: invest@digitalbrandsgroup.co
Phone: (800) 593-1047
Related Links
https://ir.digitalbrandsgroup.co
View original
content:https://www.prnewswire.com/news-releases/dbgi-reaffirms-its-2024-guidance-and-commits-to-no-equity-offerings-for-2024-302060320.html
SOURCE Digital Brands Group, Inc.
