Digital Brands Group, Inc., (DGBI) is an e-commerce driven company that provides apparel under various brands on a direct-to-consumer and wholesale basis. The company sources products from third-party manufacturers and sells directly to consumers through its website. The company offers denims under the DSTLD brand and luxury men’s suiting under the ACE studio brand.
The regular trading session of December 9, 2021, observed the stock price of DBGI to be $2.63 with a decline of 6.72%. While at the time of writing, the pre-market showed a slight increase of 5.51%.
Events and Happenings
On December 9, 2021, DBGI announced that it is launching an exclusive branded offer on the Google Pay App; which was just recently relaunched with all new features. The Google Pay app is consistently used by approximately 150 million people every month across forty countries. So, through this venture, the company will get exposure to a wider range of consumers across the globe.
On November 11, 2021, reported financial results for its third quarter ended September 30, 2021. Some of the key financials are
Net Revenue and Total Assets
Third-quarter 2021 net revenue increased 75% year over year to $2.2 million versus $1.2 million a year ago. the total assets increased from $16.3 million in Q3 2020 to $40.6 million during the third quarter of 2021.
Earnings per share
Net loss per diluted share for Q3 2021 was $0.76 versus a net loss of $5.89 per diluted share during the same quarter of 2020, an improvement of 677% over the year.
Hil Davis, CEO of Digital Brands Group was satisfied with the performance of the company for the third quarter of 2021. He stated Q3 2021 as another quarter of meaningful improvement in the company’s business results from the first and second-quarter results. He mentioned that the company was able to benefit from the cash inflows from its IPO in the middle of May.
On November 4, 2021, DBGI announced that it will start accepting cryptocurrencies as a form of payment across all its brands. The management of DBGI was hopeful that this form of payment will continue to grow as a potential currency in the apparel industry.
The stock of DBGI dropped significantly (40.8%) during the past month. Although the company announced some new and groundbreaking launches to attract potential investors, yet the investors are still reluctant to invest.