Sugarmade Inc (SGMD)

[K1ng]

This hydroponics play moves like a beast.

The Company is extremely pleased with the seasonality trends relative to both revenues and gross margins. Despite a normal peak sales season in the agricultural sectors centering around late Spring as cultivators prepare for peak planting season, the Company has been able to maintain sequential monthly revenue growth over the past few months with revenue production for each of the months of October and November equaling or exceeding all other months, except for the expected peak planting month of May. Combined gross margins for the months of August, September and October at nearly 36% easily exceeded the average for the first seven months of the calendar year, reflecting both revenue strength and an increasingly favorable product mix of newly introduced products, which are increasingly being accepted by the Company’s customers.