Stran & Company, Inc. ("Stran" or the
"Company") (NASDAQ: SWAG) (NASDAQ: SWAGW), a leading
outsourced marketing solutions provider that leverages its
promotional products and loyalty incentive expertise, today
provided the following business update from the Company’s CEO, Andy
Shape.
“As we enter 2023 and conclude a very busy and
growth-oriented 2022, I’d like to take time to reflect on our
achievements and plans moving into the new year. During the year,
we achieved a number of important milestones that we believe
further solidified our foundation for ongoing success in the $23
billion promotional products industry. Specifically, we secured
several meaningful multi-year contracts, completed complementary
acquisitions, expanded our experienced executive
team, advanced our technology offerings, and launched
initiatives to further accelerate growth-culminating in 50%
year-over-year revenue growth for the nine months ended 2022
compared to the same period in 2021.
We started 2022 by securing a multi-year
contract with a large national healthcare company. This contract
demonstrated our ability to shape consumer behavior by providing
incentive products and literature to consumers, which, in turn may
allow us to expand our business within the healthcare industry. The
healthcare industry is among the industries with the largest
budgets for utilizing promotional products as a marketing tool to
increase brand awareness and engage with consumers. More recently,
we secured a significant contract with a leading North American
infrastructure services company to provide promotional products and
services. We were selected by this company due to our solid
reputation in the industry and ability to provide exceptional
products, while assisting them in reaching their goal of increasing
their market awareness and customer loyalty. I’d like to note that
this contract came as a referral from an existing customer, which
we believe validates our ability to execute efficiently and
effectively. Furthermore, we have secured additional contracts
throughout the year that support our ongoing operations and allow
us to increase our presence within existing markets as well as
enter new markets.
In addition to the contracts mentioned above, we
also expanded our customer-facing technology offerings by launching
more than 35 online stores for various customers throughout the
year. These online stores provide long-term value to our
customers and help us develop them into repeat programmatic
customers. We also continue to make investments into the
full implementation and adoption of Oracle’s NetSuite as our
enterprise resource planning system that we believe will create
internal efficiencies and visibility into our business processes
and operations.
On the M&A front, we continue to execute on
our strategy and have completed meaningful and complementary
acquisitions. In February, we completed the acquisition of G.A.P.
Promotions, LLC (GAP Promo). This acquisition aligned seamlessly
with our strategy to enhance our expertise in additional verticals.
Specifically, with GAP Promo, we improved our capabilities within
the beverage market and added an impressive roster of top-tier
beverage and consumer packaged good clients to our portfolio. GAP
Promo has been profitable since inception and has provided us with
a revenue stream that we intend to enhance over time. In September,
we acquired Houston area-based Trend Promotional Marketing
Corporation (d/b/a Trend Brand Solutions) (Trend), a leading
global brand solutions company, which strategically broadened our
geographic reach in the southern United States. Given Trend’s brand
recognition and ideal location, we have gained further access to
the Texas market, especially the Houston area, which is home to two
dozen Fortune 500 companies, and ranks third among metro areas in
Fortune 500 headquarters locations. And lastly, in December, we
successfully completed our third acquisition of 2022 with Premier
Business Services (Premier NYC), an established promotional
products business located in Larchmont, New York. With over 30
years of experience in the promotional products industry, Premier
NYC has developed a number of long-term client relationships with
large law firms and other elite customers, which we intend to
leverage by enhancing their solutions through implementation of our
proven technologies.
Looking ahead, we strive to be a leader in the
promotional products industry and intend to do this by promoting
brand awareness and affecting behavior through visual, creative and
technology solutions. Given our ability to effectively execute on
our business strategy, including securing meaningful contracts and
completing accretive acquisitions that increase our geographic
footprint, while complementing our capabilities, we believe we have
positioned the company for continued success.
2022 was our first full reporting year as a
public company, and within that year we set goals and put
initiatives into place that may strengthen our position for
accelerated growth in 2023 and beyond. Demonstrating our confidence
in the business, we implemented and executed a stock buyback
program and have repurchased approximately 1.7 million common
shares, which we believe will help drive long-term shareholder
value. We remain committed to our growth strategy and are
encouraged by the outlook for the business. We are excited to see
what 2023 has in store for Stran and look forward to announcing
additional developments as they unfold.”
About Stran
Over the past 27 years, Stran has grown to
become a leader in the promotional products industry, specializing
in complex marketing programs to help recognize the value of
promotional products, branded merchandise, and loyalty incentive
programs as a tool to drive awareness, build brands and impact
sales. Stran is the chosen promotional programs manager of many
Fortune 500 companies, across a variety of industries, to execute
their promotional marketing, loyalty and incentive, sponsorship
activation, recruitment, retention, and wellness campaigns. Stran
provides world-class customer service and utilizes cutting-edge
technology, including efficient ordering and logistics technology
to provide order processing, warehousing and fulfillment functions.
The Company’s mission is to develop long-term relationships with
its clients, enabling them to connect with both their customers and
employees in order to build lasting brand loyalty. Additional
information about the Company is available
at: www.stran.com.
Forward Looking Statements
This press release contains “forward-looking
statements” that are subject to substantial risks and
uncertainties. All statements, other than statements of historical
fact, contained in this press release are forward-looking
statements. Forward-looking statements contained in this press
release may be identified by the use of words such as “anticipate,”
“believe,” “contemplate,” “could,” “estimate,” “expect,” “intend,”
“seek,” “may,” “might,” “plan,” “potential,” “predict,” “project,”
“target,” “aim,” “should,” "will” “would,” or the negative of these
words or other similar expressions, although not all
forward-looking statements contain these words. Forward-looking
statements are based on the Company’s current expectations and are
subject to inherent uncertainties, risks and assumptions that are
difficult to predict. Further, certain forward-looking statements
are based on assumptions as to future events that may not prove to
be accurate. These and other risks and uncertainties are described
more fully in the section titled “Risk Factors” in the Company’s
periodic reports which are filed with the Securities and Exchange
Commission. Forward-looking statements contained in this
announcement are made as of this date, and the Company undertakes
no duty to update such information except as required under
applicable law.
Contacts:
Investor Relations
Contact:Crescendo Communications, LLCTel: (212)
671-1021SWAG@crescendo-ir.com
Press Contact:Howie
Turkenkopf press@stran.com
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