Dr. Thilo Senst reports

GBLT ANNOUNCES SECOND QUARTER 2023 FINANCIAL RESULTS

GBLT Corp. has released its results for the three- and six-month period ended June 30, 2023.

"The first half of the year was faced with economic turmoil in Germany as macro headwinds caused a major slowdown with the large retailers and their spending; however, we begin to see signs of recovery in the second half of the year as purchasing activities and preorders have increased significantly since the end of Q2, and we continue to be well positioned to capitalize financially from this recovery," said Dr. Thilo Senst, chief executive officer of GBLT. "We are following our corporate goals to expand geographical through established sales channels while simultaneously leveraging our existing relationships with international distributors. Additionally, we have been focused on improving our overall margins by expanding our health care product line and solar business, as well as scaling our business through establishing on-line presence to create more high-margin opportunities and provide an alternative distribution channel to the traditional large retail vendors. Through the strategic combination of increased geographic distribution, on-line visibility and launched of comprehensive solar solutions, even in the face of an economic slowdown, we are bullish on the second half of the year."

Three and six months ended June 30, 2023, compared with the three and six months ended June 30, 2022:

• Revenue for the three-month period ended June 30, 2023, was 4.12 million euros ($6.1-million) compared with 10.06 million euros ($14.79-million) for the same period in 2022. Revenue for the six-month period ended June 30, 2023, was 9.24 million euros ($13.6-million) compared with 18.10 million euros ($26.6-million) in the same period in 2022. The decrease in revenue is due to the Germany economy falling into a recession in early 2023 with household spending decreasing as a result.
• Gross margin for the three- and six-month period ended June 30, 2023, were 16 per cent and 11 per cent, respectively, compared with 18 per cent and 14 per cent in the same period in 2022. GBLT continues to focus on increasing margin through pricing flexibility and a focus on selling higher-margin products.
• Gross profit for the three- and six-month period ended June 30, 2023, were 640,000 euros ($940,000) and 1.04 million euros ($1.53-million) compared with 1.83 million euros ($2.69-million) and 2.48 million euros ($3.65-million) for the same period in 2022.
• Operating expenses for the three and six months ended June 30, 2023, was 830,000 euros ($1.22-million) and 1.60 million euros ($2.35-million) compared with 1.05 million euros ($1.54-million) and 1.71 million euros ($2.51-million).
• Net income (loss) for the three- and six-month period ended June 30, 2023, was (190,000) euros ($270,000) and (560,000) euros ($820,000) compared with 780,000 euros ($1.15-million) and 760,000 euros ($1.12-million) for the same period in 2022.
• EBITDA (earnings before interest, taxes, depreciation and amortization) for the three- and six-month period ended June 30, 2023, was (80,000) euros ($120,000) and (360,000) euros ($530,000) compared with 910,000 euros ($1.33-million) and 980,000 euros ($1.44-million) for the same period in 2022.
• Adjusted EBITDA for the three- and six-month period ended June 30, 2023, was (40,000) euros ($60,000) and (300,000) euros ($440,000) compared with 970,000 euros ($1.43-million) and 1.04 million euros ($1.52-million) for the same period in 2022.

Source: Bank of Canada exchange rate at Aug. 28, 2023, rate of 1.47 euros per $1.

About GBLT Corp.

GBLT, through its operating company, GBT GmbH, designs, manufactures and supplies mobile storage and battery solutions. GBLT is also a leading provider of renewable energy solutions via its solar division, participating in the rapidly growing solar energy market. In addition, the company offers consumer health care and wellness products to some of the largest retail chains across the globe. GBT is also an official licensee for Agfaphoto mobile energy products. The company's branded health care and well-being products are primarily sold throughout Europe under Dr. Senst brand.

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