iPower Inc. (NASDAQ:IPW) Q3 2023 Earnings Conference Call May 15, 2023 4:30 PM ET

Company Participants

Lawrence Tan - Chairman and Chief Executive Officer

Kevin Vassily - Chief Financial Officer

Conference Call Participants

Scott Fortune - ROTH

Operator

Good afternoon, everyone and thank you for participating in today’s conference call to discuss iPower’s financial results for its Fiscal Third Quarter 2023 ended March 31, 2023. Joining us today are iPower’s Chairman and CEO, Mr. Lawrence Tan and the company’s CFO, Mr. Kevin Vassily. Mr. Vassily, please go ahead.

Kevin Vassily

Thank you, operator, and good afternoon, everyone. By now, everyone should have access to our fiscal third quarter earnings press release, which was issued earlier today at approximately 4:05 p.m. Eastern Time. The release is available in the Investor Relations section of our website at meetipower.com. This call will also be available for webcast replay on our website. Following our prepared remarks, we’ll open the call for your questions.

Before I introduce Lawrence, I’d like to remind listeners that certain comments made on this conference call and webcast are considered forward-looking statements under the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to certain known and unknown risks and uncertainties as well as assumptions that could cause actual results to differ materially from those reflected in these forward-looking statements. These forward-looking statements are also subject to other risks and uncertainties that are described from time to time in the company’s filings with the SEC. Do not place undue reliance on any forward-looking statements, which are being made only as of the date of this call. Except as required by law, the company undertakes no obligation to revise or publicly release the results of any revision to forward-looking statements.

With that, I’d like to turn the call now over to iPower’s Chairman and CEO, Lawrence Tan. Lawrence?

Lawrence Tan

Thank you, Kevin, and good afternoon, everyone. We had a challenging comp this quarter, given the record 74% revenue growth we achieved in fiscal Q3 2022. Nonetheless, we demonstrated continued momentum in selling through inventory buildup from prior periods, as reflected by our 16% reduction of inventory from last quarter, and 36% reduction from our fiscal year-end. Throughout the quarter, we continued to emphasize our in-house brand, which made up of more than 90% of the revenue, underscoring the consistent demand for our market-leading products. Some of our strongest brand sales come from several of our newer products, most notably in our shopping category. Consumer feedback for our product remains strong, and we expect those categories to grow further as we add new in-demand products to our catalog.