NASDAQ$KUST

Kustom Entertainment Inc · Q4 2021 earnings

Q4 2021 earnings · · Investor relations

Briefing

Digital Ally reported its Q4 2021 operating results, marked by revenue growth and strategic acquisitions.

Digital Ally, Inc. announced a 103% increase in total annual revenues for 2021 compared to 2020. The company reported earnings per share of $0.51 for the year ended December 31, 2021, a significant improvement from the $0.12 loss per share in the previous year. The company's growth was driven by recent product announcements and acquisitions within the Digital Ally Healthcare venture and TicketSmarter.

  • Total revenue increased by 103.6% to approximately $21.4 million for the year ended December 31, 2021.
  • Earnings per share reached $0.51, a notable improvement from the prior year's loss of $0.12 per share.
  • Gross profit increased by 39% to $5,663,775 for the year ended December 31, 2021.
  • The company's healthcare venture, Nobility Healthcare, LLC, continues to complete acquisitions, contributing to revenue growth.

Headline financials

Total Revenue

$11.7M

Previous: $2.77M+324.3%
EPS (adj)

$0.40

Previous: -$1.60+125.0%
Capital Expenditures

$853K

No prior period
Free Cash Flow

-$6.45M

No prior period
Net Income

$25.5M

Previous: -$2.63M+1070.1%
Operating Income

-$14.8M

Previous: -$7.66M-92.6%
Gross Profit

$5.66M

Previous: $4.06M+39.4%
Cash & Equivalents

$32M

No prior period
Total Assets

$83M

No prior period
Stock-Based Comp

$458K

No prior period

Revenue & EPS history

Digital Ally · Revenue · Quarterly

$11.7M

Q4 2021+324.3%vs Q4 2020
Beat estimate in 5 of 16 quarters(31%)
ActualEstimate

Revenue by segment

Digital Ally · $4.31M total across 2 segments · Q1 2026

  • Entertainment
    $3.21M
  • Video Solutions
    $1.11M

Forward guidance

Digital Ally anticipates continued growth and expansion through strategic acquisitions and organic development of its existing business lines. The company expects its healthcare venture and TicketSmarter acquisition to drive future earnings, while remaining cautious in its approach to new opportunities given the current economic environment.

Tailwinds

  • Continued growth in Digital Ally Healthcare venture through acquisitions.
  • Potential synergies and opportunities from the TicketSmarter acquisition.
  • Substantial liquid resources available for organic expansion and acquisitions.
  • Excitement around new product announcements within legacy product lines.
  • Effective roll-up strategy in the medical billing industry.

Headwinds

  • Uncertainties in the current economic environment.
  • Potential challenges in integrating new acquisitions.
  • Dependence on successful execution of acquisition strategy.
  • Risks associated with expanding into new markets.
  • Impact of competition from larger, more established companies.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q4 2021

Historical avgQ4 2021

-1.2%

Avg return

Earnings day

-4.9%

Avg return

5 days after

+3.9%

Avg return

30 days after

44%

28 / 64 earnings

Positive

+41.8%

Q1 2013

Best reaction

-25.3%

Q2 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-5.0%-7.7%-50.7%
Q3 2025-4.6%-18.7%-27.1%
Q2 2025-0.6%+8.1%+16.2%
Q1 2025-19.8%-42.2%-46.3%
Q4 2024+1.0%-37.5%-39.7%
Q3 2024-0.5%+13.2%-54.7%
Q2 2024-25.3%-25.3%-22.6%
Q1 2024-3.5%-7.5%-13.5%
Q4 2023-6.0%-2.0%-3.6%
Q3 2023-13.5%-17.1%-24.2%
Q2 2023-6.7%-8.9%-21.0%
Q1 2023+6.8%+9.3%+42.2%
Q4 2022-14.7%-17.7%-29.2%
Q3 2022+0.0%+0.0%-24.3%
Q2 2022-11.2%-13.5%-39.3%
Q1 2022-4.0%-14.9%-20.8%
Q4 2021+4.6%+3.7%-10.1%
Q3 2021+3.2%-0.8%-13.5%
Q2 2021+0.8%+0.0%-0.8%
Q1 2021+1.8%+1.8%+9.0%
Q4 2020+0.0%-0.6%+4.0%
Q3 2020+5.0%+0.4%+8.3%
Q2 2020-24.9%-31.0%-34.0%
Q1 2020-4.8%-4.8%+435.7%
Q4 2019+0.0%+11.7%+13.0%
Q3 2019-0.8%-0.8%-3.4%
Q2 2019-14.3%-14.3%+20.2%
Q1 2019-10.1%-13.3%-21.0%
Q4 2018+2.4%+2.7%+15.3%
Q3 2018-1.8%-0.4%-7.4%
Q2 2018-3.8%+0.0%+62.3%
Q1 2018-7.4%+0.0%-4.4%
Q4 2017+17.4%+15.2%+13.0%
Q3 2017+8.0%+10.3%+31.5%
Q2 2017+1.7%+13.6%-1.7%
Q1 2017+2.7%-7.2%-7.2%
Q4 2016+2.2%+4.6%+3.4%
Q3 2016+3.0%+12.0%-4.4%
Q2 2016-9.0%-11.8%+3.2%
Q1 2016+1.3%
Q4 2015-12.1%
Q3 2015-1.0%
Q2 2015-17.9%
Q1 2015-7.8%
Q4 2014+19.2%
Q3 2014-11.5%
Q2 2014-19.2%
Q1 2014+3.7%
Q4 2013-22.0%
Q3 2013-17.0%
Q2 2013+6.7%
Q1 2013+41.8%
Q4 2012+3.4%
Q3 2012+13.3%
Q2 2012+5.1%
Q1 2011+11.1%
Q1 2012-10.4%
Q4 2011+40.0%
Q3 2010-3.3%
Q3 2011-3.3%
Q4 2010+10.7%
Q2 2010+10.7%
Q2 2011+10.7%
Q1 2010+2.9%

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