Slinger reported revenue of $5.4 million in the second quarter ended October 31 versus $2.6 million a year ago. The Baltimore-based parent of Slinger Bag predicted sales would reach $17 million to $18 million in its current fiscal year.
Gross profit in the second quarter was $2.1 million versus $1.0 million.
GAAP net loss and loss per share in the second quarter of $38.8 million and 95 cents compared to $2.5 million and 10 cents a year ago. The non-GAAP net loss and loss per share of $1.1 million and 3 cents a share compared with 200,000 and 1 cent, a year ago.
“This was a momentous quarter for Slinger as we announced two transformational acquisitions that will enable the development of our Watch, Play, Learn connected technology platform strategy, while also reporting our first $5 million quarter for revenue, driven by strong Slinger Bag sales,” said Mike Ballardie, Slinger CEO.
Second Quarter Fiscal 2021 Business Highlights:
- Announced the Watch, Play, Learn strategy driven by deals to acquire PlaySight Interactive, a sports video technology, data capture, analytics, and automated video production company and GameFace, an athletic performance AI company also building the analysis engine for the Slinger App;
- Foundation Tennis announced its partnership with Square;
- Expanded distribution into China and Brazil tennis markets;
- Partnered with the Mouratoglou Academy and its locations in Nice, Dubai and Greece.
“As we look to the second half of the fiscal year, we have several catalysts that will bring all the pieces together to enable our Watch, Play, Learn strategy. First, we expect to close our two transformational acquisitions in the weeks to come. Next, in early Spring, we anticipate introducing both the Slinger app with its AI-driven performance analytics and our unified, connected sports platform for tennis. Finally, we will bring our Watch, Play, Learn capabilities to new market segments, led by introducing Slinger Bag ball launchers for Pickleball and Padel Tennis after these product releases.
“Turning to our expected financial performance for the fiscal year 2021, we expect revenue, not including revenue from pending acquisitions, to be $17 million to $18 million, or an increase of 57 percent to 67 percent over the prior year’s revenue of $10.8 million. We anticipate our adjusted EBITDA run rate to be near break-even as we exit the year. Once the GameFace.AI and PlaySight deals are closed, we will update our consolidated guidance.
“In conclusion, I am excited about Slinger’s transformation into a sports tech business driven by recurring SaaS, subscription and content revenue. I believe the connected sports vision we are implementing will bring our platform’s unique value proposition to consumers and drive value for our shareholders in the years ahead,” Ballardie concluded.