RYU Apparel Inc., based in Vancouver, reported revenue in the third quarter of 2018 was $1.22 million, 64 percent higher than the same period in 2017. The urban apparel specialist also earned a gross margin of 58 percent in the period.
Marcello Leone, CEO, commented: “We are encouraged with our eleventh consecutive quarter of growth. This is a confirmation that our brand, in its early stage, continues to gain traction. With nine stores operating by the end of this fiscal year and potentially more to follow in 2019, we hope our shareholders take the time to experience the RYU brand, whether in-store or online, and continue to build the community of Respect Your Universe.”
During the nine months ended September 30, 2018, the company achieved the following milestones:
- The company raised $20 million, strengthened its balance sheet and created a solid foundation for growth.
- The company was able to normalize its supply chain and invest strategically in its omni-channel retail and e-commerce platforms for growth. The new RYU.com is slated to open in the fourth quarter of 2018.
- The company’s first US retail store location opened on August 2, 2018 in Venice, California.
- RYU’s expansion plan is on target to have nine stores by the end of 2018. Construction continues at its retail stores in Brooklyn, New York, Newport Beach, California and Sherway Gardens in Toronto.
- The company significantly invested in world-class talent to design, innovate and expand its product categories for growth.
- RYU secured new strategic wholesale accounts with Nordstrom, Equinox Canada, Rise by We, and Steve Nash Fitness World & Sports Club that align with its brand value proposition.
- RYU was selected as a finalist for the World Retail Awards in two categories: Retail Start Up of the Year and Social Media Campaign of the Year (#RYUOneMoreRep). The company was honoured to be one of only two Canadian companies that qualified as finalists at the World Retail Awards.
- The company’s new global advertising and branding campaign orchestrated by THRSXTY/Exposure, ‘#YourUniverse’, launched in August 2018 in conjunction with RYU’s first US store opening in Venice, California.
- On October 8th, 2018, RYU’s common shares started trading on the OTCQB Marketplace under the trading symbol OTCQB: RYPPF. The company provided this platform to its existing and prospective US shareholders to align its corporate structure with its business expansion in the US retail marketplace.
- The company implemented a new point of sale system at all retail store locations in September 2018. This investment enables scalable growth over the next several years.
Outlook for the rest of 2018:
- The company will see its business infrastructure come together through a series of IT integrations from the design stage of its products through to the end user experience.
- The company is preparing to launch a number of new product categories over the next 12 to 18 months to complement RYU’s existing ‘hero’ and ‘core’ programs.