Lakeside Holding Reports Impressive 42% Revenue Growth for Fiscal Year 2024
Cross-Border Airfreight Solutions Surge by 117%, Driving Exceptional Financial Performance
ITASCA, Ill., Oct. 1, 2024 /PRNewswire/ -- Lakeside Holding Limited ("Lakeside" or the "Company") (NASDAQ:LSH), a U.S.-based integrated cross-border supply chain solution provider with a strategic focus on the Asian market operating under the brand American Bear Logistics ("ABL"), today reported financial results for the fiscal year ended June 30, 2024.
Fiscal Year 2024 Highlights:
Total revenues increased by 42.3% to $18.3 million, driven by a 117.6% rise in airfreight revenues to $10.4 million, partially offset by a 2.5% decrease in ocean freight revenues to $7.9 million.
Cost of revenues increased by 41.6% to $14.6 million, primarily due to higher transportation costs, up 27.6% to $7.5 million; warehouse service charges, up 107.5% to $2.9 million; and custom declaration fees, up 50.2% to $2.4 million, as well as overhead costs also rose by 29.6%.
Gross profit increased by 44.9% to $3.7 million, with the profit margin rising slightly from 19.9% to 20.3%. This was driven by higher sales and offering a wider range of services, such as warehousing, distribution, and customs clearance, with higher mark-ups.
General and administrative expenses rose by 77.5% to $4.1 million, driven by increased staffing costs and higher professional fees for audit and legal services.
Net loss for the year ended June 30, 2024 was $0.2 million, compared with a net income of $1.0 million for the year ended June 30, 2023.
Operational Achievements:
In July, the Company successfully closed an upsized IPO, raising $6.75 million in gross proceeds, underscoring strong investor confidence in its growth potential.
The Company entered into a one-year renewable agreement in July with a leading Asia-based e-commerce platform to provide advanced cross-border fulfillment services, enhancing supply chain visibility for sellers through API integration.
In August, a strategic partnership was announced with a major social media and e-commerce platform to enhance customs brokerage services, offering real-time logistics data and streamlining customs clearance processes.
In September, a Pick & Pack Fulfillment service was launched for a major Chinese logistics company, optimizing inventory management and order processing across U.S. hubs to enhance fulfillment efficiency.
The Company expanded its Dallas-Fort Worth operations in September, more than doubling facility space to 46,657 sq. ft. and increasing staffing to support growing demand, while incorporating advanced logistics technology.
Management Commentary
Henry Liu, Chairman and Chief Executive Officer of Lakeside, commented, "We are pleased to report strong financial performance for fiscal year 2024, highlighted by a 42.3% increase in revenue to $18.3 million. This growth was driven primarily by the 117.6% surge in our cross-border airfreight solutions, as we capitalized on rising demand from the e-commerce sector. Expanding this segment has proven to be a key strategic move, with the volume of air freight processed doubling to over 26,000 tons this year, compared to fiscal year 2023."
"We remain committed to providing flexible and competitive services that address the evolving needs of our customers. Our continued investment in workforce expansion and service capacity has allowed us to manage growing demand while maintaining exceptional service levels. With a 44.9% increase in gross profit and improvements in our gross margin, we are excited about the growth opportunities ahead. Our recent service launches, operational expansions, and partnerships with leading e-commerce platforms solidify our position as a trusted provider of seamless, technology-driven logistics solutions, setting the stage for continued success in fiscal year 2025 and beyond," concluded Mr. Liu.
Fiscal Year 2024 Conference Call Details
The Company has scheduled a conference call and live webcast to discuss its financial results at 8:00 A.M. Eastern Time (8:00 P.M. Beijing Time) on Friday, October 4, 2024. Management will deliver prepared remarks.
The dial-in details for the conference call are as follows:
Toll-free dial-in number: +1-877-407-9716
International dial-in number: + 1-201-493-6779
Webcast and replay: https://viavid.webcasts.com/starthere.jsp?ei=1691867&tp_key=a2ac91e949
The live audio webcast of the call can also be accessed by visiting Lakeside's Investor Relations page on the Company's website at https://lakeside-holding.com. An archive of the webcast will be available on the Company's website following the live call.
About Lakeside Holding Limited
Lakeside Holding Limited, based in Itasca, IL, is a U.S.-based integrated cross-border supply chain solution provider with a strategic focus on the Asian market, including China and South Korea. Operating under the brand American Bear Logistics, we primarily provide customized cross-border ocean freight solutions and airfreight solutions in the U.S. that specifically cater to our customers' requirements and needs in transporting goods into the U.S. We are an Asian American-owned business rooted in the U.S. with in-depth understanding of both the U.S. and Asian international trading and logistics service markets. Our customers are typically Asia- and U.S.-based logistics service companies serving large e-commerce platforms, social commerce platforms, and manufacturers to sell and transport consumer and industrial goods made in Asia into the U.S. For more information, please visit https://lakeside-holding.com.
Safe Harbor Statement
This press release contains forward-looking statements that reflect our current expectations and views of future events. Known and unknown risks, uncertainties and other factors may cause our actual results, performance or achievements to be materially different from those expressed or implied by the forward-looking statements. You can identify some of these forward-looking statements by words or phrases such as "may," "will," "expect," "anticipate," "aim," "estimate," "intend," "plan," "believe," "is/are likely to," "potential," "continue" or other similar expressions. We have based these forward-looking statements largely on our current expectations and projections about future events that we believe may affect our financial condition, results of operations, business strategy and financial needs. These forward-looking statements involve various risks and uncertainties. Except as required by law, we undertake no obligation to update or revise publicly any forward-looking statements, whether as a result of new information, future events or otherwise, after the date on which the statements are made or to reflect the occurrence of unanticipated events. We qualify all of our forward-looking statements by these cautionary statements.
Investor Relations Contact:
Matthew Abenante, IRCPresidentStrategic Investor Relations, LLCTel: 347-947-2093Email:
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LAKESIDE HOLDING LIMITED
CONSOLIDATED BALANCE SHEETS
As of
As of
June 30,
June 30,
2024
2023
ASSETS
CURRENT ASSETS
Cash
$
123,550
$
174,018
Accounts receivable – third parties, net
2,082,152
1,373,676
Accounts receivable – related party, net
763,285
44,627
Prepayment and other receivable
-
52,623
Contract assets
129,506
44,740
Due from related parties
441,279
746,130
Total current assets
3,539,772
2,435,814
NON-CURRENT ASSETS
Investment in other entity
15,741
—
Property and equipment at cost, net of accumulated depreciation
344,883
489,520
Right of use operating lease assets
3,471,172
2,271,070
Right of use financing lease assets
37,476
48,206
Deferred tax asset
89,581
—
Deferred offering costs
1,492,798
90,000
Prepayment, deposit and other receivable
202,336
137,336
Total non-current assets
5,653,987
3,036,132
TOTAL ASSETS
$
9,193,759
$
5,471,946
LIABILITIES AND EQUITY
CURRENT LIABILITIES
Accounts payables – third parties
$
1,161,858
$
462,214
Accounts payables – related parties
227,722
365,413
Accrued liabilities and other payables
1,335,804
325,701
Current portion of obligations under operating leases
1,186,809
769,782
Current portion of obligations under financing leases
37,619
42,889
Loans payable, current
746,962
586,688
Dividend payable
98,850
98,850
Tax payable
79,825
32,829
Due to shareholders
1,018,281
90,000
Total current liabilities
5,893,730
2,774,366
NON-CURRENT LIABILITIES
Loans payable, non-current
136,375
231,599
Deferred tax liability
-
24,752
Obligations under operating leases, non-current
2,506,402
1,564,633
Obligations under financing leases, non-current
17,460
21,836
Total non-current liabilities
2,660,237
1,842,820
TOTAL LIABILITIES
$
8,553,967
