Innovative Designs Inc. reported significant financial improvements for the six-month period ending April 30, 2024, with revenues reaching $366,217, a substantial increase from $98,896 in the same period of 2023, representing a growth of 73.0%. For the three-month period ending April 30, 2024, revenues surged to $300,331, compared to $27,249 in the prior year, marking a remarkable increase of 90.9%. This revenue growth was primarily driven by the sales of the House Wrap product line, with only approximately $7,000 in apparel sales during the period.

Gross profit for the six-month period was $179,833, up from $68,537 in 2023, while for the three-month period, gross profit rose to $148,771 from $13,900. Despite these gains, the company reported a loss from operations of $(26,889) for the six-month period, an improvement from $(166,437) in the previous year. The three-month period saw a profit from operations of $27,731, a significant turnaround from a loss of $(107,191) in 2023.

Net income for the six-month period was $(41,164), a notable reduction from $(171,686) in the same period last year. For the three-month period, net income improved to $22,228, compared to a loss of $(112,591) in 2023. The company’s selling, general, and administrative (SG&A) expenses decreased to $206,722 for the six-month period, down from $234,974 in the previous year, indicating improved cost management.

As of April 30, 2024, the company reported a cash balance of $241,712, a significant increase from $65,007 a year earlier. The net cash used in operating activities was $(220,218), slightly better than $(226,505) in the prior year. The company also issued stock totaling $237,320 during the six-month period, compared to $115,940 in 2023.

Innovative Designs continues to manage its inventory effectively, with a total inventory value of $589,043 as of April 30, 2024, and a reserve against apparel inventory of $65,600. The company has also entered into a convertible promissory note for $50,000, secured by inventory, and maintains a separate agreement with the U.S. Small Business Association.

Overall, the company has shown resilience and strategic focus, particularly in its House Wrap product line, which has driven revenue growth and improved operational performance compared to the previous fiscal period.