READ IT AGAIN. GOOD NEWS-
Not bad actually.
Keep in mind $144.4 mil(of net losses) was to upgrade and replenish inventory! They are GROWING BIG! And yes, expenses increase with growth. It's GOOD. They now have the global infrastructure in place. Wait until you see ECIG 2015 1st quarter results!
Full Year 2014 Results Overview
For the year ended December 31, 2014, adjusted revenue was $46.9 million, compared with $3.1 million in 2013. The increase was driven by growth in online sales to new and recurring customers, along with sales to retail and wholesale sources, as a result of an increase in distributors and in marketing efforts throughout 2014.
Cost of Goods Sold was $31.5 million in 2014, compared with $1.3 million in the previous year. The increase in cost of goods sold was driven by an increase in sales, as well as a change in product mix to higher distributor and wholesaler sales, which have lower gross margin than online sales to consumers.
Gross profit was $12.0 million in the year ended December 31, 2014, compared with $1.8 million in the previous year. Gross profit margin was 27.6% in fiscal year 2014.
Distribution, marketing and advertising expenses were $10.4 million in 2014, compared with $1.1 million in 2013. During 2014, the Company continued to increase various advertising campaigns to grow both online and point of sale brand awareness.
Selling, General and Administrative expenses were $56.5 million in 2014, compared with $3.0 million in 2013.
Net loss was $(381.6) million for the full year ended December 31, 2014. The net loss includes a goodwill impairment charge of $144.4 million related to the “FIN” and “Vapestick” reporting units.
Balance Sheet
As of December 31, 2014, the Company had $2.1 million of cash and equivalents
