The Singing Machine Company, Inc. (OTCQB: SMDM) is the North American leader in consumer karaoke products. The company offers the industry’s widest selection of consumer-oriented karaoke systems, youth electronics and related accessories under The Singing Machine®, SoundX®, Home™ and SMDigital™ brands. SMDM’s proven reputation for customer satisfaction has helped it establish a distribution network of more than 10,000 brick-and-mortar stores throughout North America, in addition to an increasingly expansive online presence.
In recent months, SMDM has leveraged its extensive retail network to post strong financial growth. During the company’s 2015 fiscal year, it realized a 25 percent increase in annual net sales, recording $39.3 million for the 12-month period. Additionally, the company reported $8.3 million in gross profit, which was an improvement of approximately $1.2 million over the previous year. By expanding its distribution reach internationally into Australian and European markets, SMDM will look to build upon this progress in the months to come.
“Singing Machine has now recorded profits for four consecutive years and shown the ability to continue to grow sales,” Gary Atkinson, chief executive officer of SMDM, stated in a news release. “As we grow our sales and market share, we intend to also incorporate strategies to improve gross profits and earnings to benefit our shareholders.”
Last December, the company provided both investors and consumers with a demonstration of the versatility of its product portfolio when it announced the release of the Home 2.0. This product, an upgraded version of SMDM’s original Bluetooth speaker entertainment system, combines the classic karaoke experience with a modern technological twist that makes it appealing to consumers in a variety of demographics. Using an internet connection, Home 2.0 streams HD quality sing-along videos that are perfect for get-togethers, and it can be easily linked with any Bluetooth-enabled device to provide crystal clear audio when not serving as a karaoke machine.
With an established presence in the consumer entertainment industry, SMDM is in a strong strategic position to continue building on its recent market success moving forward. For prospective shareholders, the company’s recent financial growth could foreshadow an opportunity for sustainable returns. Look for SMDM to lean on its considerable industry experience in order to promote more strong results in the years to come.
For more information, visit www.singingmachine.com
