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MINNEAPOLIS,MN – November 17, 2021 – iMedia Brands, Inc. (the “Company” or “IMBIL”) (NASDAQ:IMBI) today announced results for the third quarter ended October 30, 2021.
“Our mission is to capitalize on the accelerating marketplace convergence of entertainment, ecommerce and advertising,” said Tim Peterman, CEO of IMBI. “Our strong third quarter performance and the successful closing of our 123tv acquisition are tangible examples that our progress continues.”
Third Quarter 2021 Summary & Recent Highlights
· Net sales were $130.7 million, an increase of 20% compared to the same prior-year period and the best year-over-year quarterly revenue growth in over ten years. During the quarter, the Company launched 25+ new brands across its televisionnet works ShopHQ, ShopBulldogTV and ShopHQHealth.
· Year-to-date net sales were $357.3 million, which was 8% growth compared to the same prior year period and represent the strongest year-over-year net sales growth in the Company's first three fiscal quarters in eight years. This success was driven primarily by the 90+ new merchandise brand launches occurring year-to-date plus the accretive impact of the Christopher &Banks and iMDS net sales.
· Our 12-month rolling active customers grew by 20% compared to same prior-year period, driven by 65% growth in new customers which was the best new customer growth in over ten years.
· Gross margin was 41.6%, a 420-basis point improvement over the same prior-year period. Year-to-date gross margin was 41.5%, a 430-basis point improvement over the same prior-year period.
· Net loss attributable to stockholders was $(9.5) million, a $4.7 million increase over the same prior-year period, largely driven by $4.5 million in one-time transaction and transition costs and $713,000 in interest costs relating to the bond offering in the third quarter
· Adjusted EBITDA was $10.1 million, a $3.7 million improvement over the same prior-year period. Year-to-date adjusted EBITDA was $26.5 million, an $11.0 million increase, or 71% improvement, over the same prior-year period and the highest Q3 year-to date adjusted EBITDA in the Company's history.
· As previously announced, on November 5, 2021, the Company completed its acquisition of 123tv. On September 28, 2021, the Company closed on its offering of $80 million in 8.50% Senior Secured Notes due 2026 and used all the net proceeds to fund the closing cash payment for the acquisition of the 123tv.