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Quarterly Revenues Increased 87 Percent and Gross Profit Nearly Doubled
Hermitage, Tennessee, Oct. 07, 2024 (GLOBE NEWSWIRE) -- DEEP GREEN Waste & Recycling Inc. (OTCQB DGWR), a waste, recycling and remediation services company for commercial customers, today announces continuing top and bottom-line growth in its financial results for the quarter year ended June 30, 2024.
Revenue increased 87% to $653,354 for the six months ended June 30, 2024, compared to $348,603 in the same period last year. This growth was driven primarily by increased asbestos and radon remediation work within our Nashville operations. Gross profit nearly doubled to $508,579, up from $258,470 in the prior year period, representing a 97% year-over-year increase.
"We are pleased to see continued growth of our waste remediation operations ," said Bill Edmonds, CEO of DEEP GREEN. "Despite ongoing challenges in the broader economic environment, DEEP GREEN has continued to execute on our strategic priorities and deliver value for our shareholders."
Operating loss decreased to $255,777 for the six months ended June 30, 2024, compared to $1,115,401 for the same period in 2023, as the company benefited from increased revenues and improved operational efficiency. On a GAAP basis, net loss improved significantly to $42,700 from $1,273,589 in the prior year period. The 2024 results included a non-cash derivative liability income of $183,210. Even without this favorable non-cash item, our operational performance showed substantial improvement, driven by our 87% increase in revenues and effective cost management.
During the quarter, DEEP GREEN completed the sale of its AMWASTE subsidiary in Georgia for $175,000, allowing the Company to streamline operations and focus on expanding our asbestos and radon remediation services, with strong growth in our Nashville market. As well, the Company implemented a Gross Profit Incentive Plan to reward front-line supervisors and project managers at Lyell Environmental Services for exceeding gross profit margin targets.
In addition, the Company recently reduced its outstanding debt by $178,591 in exchange for issuing restricted shares of common stock to key management and board members. This action significantly improves our balance sheet, aligns management interests with shareholders, and preserves cash for operations.
DEEP GREEN’s management team is focused on accelerating Lyell Environmental Services’ geographic expansion into attractive metro markets across Tennessee, Alabama and Kentucky while adding complementary remediation services to drive growth. DEEP GREEN is also evaluating strategic acquisition opportunities to further accelerate the growth of DEEP GREEN’s revenues and net profits.