Hour Loop, Inc. reported significant financial growth in its latest 10-Q filing for the quarter ending September 30, 2024. The company achieved revenues of $31.1 million for the third quarter, marking a 6.6% increase from $29.2 million in the same period of 2023. For the nine months ended September 30, 2024, total revenues reached $83.8 million, up 15.4% from $72.6 million year-over-year. This growth is attributed to an increase in orders, which rose by approximately 19.7% to 3.9 million for the nine-month period.

Gross profit also saw an increase, totaling $17.0 million for Q3 2024 compared to $15.3 million in Q3 2023. For the nine-month period, gross profit was $47.1 million, up from $36.3 million in the prior year. The company reported a net income of $469,647 for Q3 2024, a turnaround from a net loss of $15,056 in Q3 2023. For the nine months, net income was $2.2 million, contrasting with a net loss of $2.0 million in the same period last year.

Operating expenses for Q3 2024 increased by 6.9% to $16.3 million, driven primarily by higher platform and Amazon fees. Despite this rise in expenses, the company reported a substantial increase in income from operations, which reached $721,843 for Q3 2024, compared to $68,745 in Q3 2023.

As of September 30, 2024, Hour Loop's total assets increased to $32.4 million from $19.6 million at the end of 2023, while total liabilities rose to $25.7 million from $15.1 million. Total stockholders' equity improved to $6.7 million, up from $4.5 million at the end of the previous fiscal year.

The company continues to rely heavily on Amazon for its sales, with approximately 99% of revenue generated through the platform. Advertising and promotion expenses increased to $3.1 million for the nine months ended September 30, 2024, compared to $2.6 million in the same period of 2023.

In terms of cash flow, Hour Loop reported net cash used in operating activities of $1.2 million for the nine months ended September 30, 2024, a significant improvement from $3.9 million in the same period of 2023. Cash at the end of the period was $1.2 million, up from $562,612 a year earlier.

The company has also made strategic decisions regarding its inventory management, with total inventory rising to $29.1 million as of September 30, 2024, compared to $14.3 million at the end of 2023. This increase includes a significant rise in inventory-in-transit, reflecting the company's efforts to maintain product availability.