The announcement of a company’s financial results can often have a positive influence on its stock and that is what happened with the US Lighting Group Inc (OTCMKTS:USLG) stock on Wednesday.
Market Action
On Wednesday, USLG stock soared 15.25% at $0.0635 with more than 1.2k shares, compared to its average volume of 6K shares. The stock has moved within a range of $0.0635 – 0.0635 after opening trade at $0.635.
Q3 Earnings Recap
Yesterday, the stock rallied strongly and went up by as much as 15% after the company announced its financial results for third fiscal quarter as well as the nine month period, both of which ended on September 30, 2021. In this situation, it could be a good move to take a closer look at some of the highlights from the company’s financial results.
In the nine month period, the company managed to generate net sales to the tune of $23,000 and that proved to be a significant jump from the $2000 in net sales in the prior year period. It should be noted that the numbers don’t include the $2.5 million in sales that were generated from Intellitronix operations, which had been discontinued.
On the other hand, the net profits for the period soared to $3.1 million from only $440,000 in the prior year period. In the third quarter, the net sales came in at $21,000 and that was significantly higher than the $1000 in sales that had been clocked in the prior year period. US Lighting Group suffered a net loss of $149,000 in the quarter.
Key Quote
Anthony Corpora, Chief Executive Officer of US Lighting Group, Inc., stated, “Our strategic decision to sell certain Intellitronix assets has not only strengthened our balance sheet, but allowed us the unique opportunity to rebrand and expand our operations. In January, we formed a new subsidiary called Cortes Campers, LLC. Cortes Campers was created to market and distribute tow behind travel campers for the rapidly growing recreational vehicle market. In April, we created Fusion X Marine, LLC. Fusion X Marine plans to sell boats and other related products to the recreational marine market. And we continue to leverage our expertise in automotive electronics by developing new proprietary products for OEM and RV segments.”
Traders Note
USLG stock is trading above the 10-Day and 20-Day Moving averages of $0.0640 and $0.0717. Moreover, the stock is trading is the oversold zone with RSI stands at 31.
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