Something interesting...I've copied a page from the 10k, appears a bit confusing in ihub format, so those interested might find easier format at sgmd otcmarkets 10k filing..Anyway, deals with $1,510,645 gross profit number and mentioning of Indigo Dye Group..I highlighted in black..So, it appears that SGMD managed to incorporate Budcars into filing? I'm no accountant, but DD seemed to indicate that minority interest SGMD could tag 40% BC somehow through "Investments" or "Profits"..Did they?..Would appreciate more clarity.
Results of Operations
The following table sets forth the results of our operations for the years ended June 30, 2020 and 2019. Certain columns may not add due to rounding.
For the years ended June 30
2020 2019
Revenues, net 4,362,585 4,637,644
Cost of goods sold: 2,851,940 3,368,659
Gross margin 1,510,645 1,268,985
Operating Expense 13,636,211 6,184,062
Loss from operations (12,118,367 ) (4,915,077 )
Non-operating income (expense): (9,408,994 ) (7,314,073 )
Net Income (Loss) (21,534,562 ) (12,229,151 )
Less: net loss attributable to the noncontrolling interest (195,416 ) —
Net Loss attributable to SugarMade Inc. (21,339,146 ) (12,229,151 )
Revenues
For the years ended June 30, 2020 and 2019, revenues were $4,362,585 and $4,637,644 respectively. The decrease was primarily due to COVID 19 crisis which had significant impact on the restaurant supply industry.
Cost of goods sold
For the years ended June 30, 2020 and 2019, cost of goods sold were $2,851,940 and $3,368,659 respectively. The decrease was primarily due to COVID 19 crisis which had significant impact on the restaurant supply industry.
Gross Profit
For the years ended June 30, 2020 and 2019, gross profit was $1,510,645 and $1,268,985, respectively. The increase was primarily due to the higher margin from Indigo dye business. The gross profit margin was 34.63% and 27.36%, respectively, for the years ended June 30, 2020 and 2019.
Selling, general and administrative, expenses
For the years ended June 30, 2020 and 2019, selling, general and administrative expenses were $13,636,211 and $6,184,062 respectively. The increase was attributable to issuing of the common stock compensation expenses for employees, legal, and consulting fees.
