Q1 delivered a strong performance of $865,000 in cash receipts from customers – a slight 3% decrease from the same quarter in 2022, which was when the Fly 12 Sport was first launched to the market.
What they mean: Sales are declining even though we have released a new and improved product. We are genuinelyworried about this.
This quarter, we allocated a portion of our substantial cash reserves to enhance our stock holdings and production capabilities, specifically gearing up for the Black Friday sales and the anticipated holiday season demand. As a result, our manufacturing and operational expenditure saw an 85% increase compared to Q1 2022.
What they mean: We desperate and at this stage in the game have one last roll of the dice so we're putting it all on red and going for broke.
The Company continued its rigorous quality and control testing on its upcoming “Hero” product. Following the identification and incorporation of further product enhancements, the product launch will take place after the holiday season. This allows the Company to optimise current stock levels and permit greater sell-through of existing product lines.What they mean: We quality of the new Hero product is crap! We can't release it to market cos it stinks. By the time we work out if we can fix it the holiday sales period will be over so if and when we do release it there won't be any demand .
Opportunities and OutlookQ2 2024 is set to be a busy period for Cycliq - highlighted by significant events such as Black Friday and Cyber November. To maximise this opportunity, we've launched advertising campaigns in the US to amplify our brand's presence and attract potential customers during the holiday season.
What they mean: We literally are torching our dwindling cash reserves to try and at least slow the decline in sales.
Public sentiment towards the Cycliq brand continues to grow positively. As of the end of the quarter, our brand trustworthiness is evident, showcasing a 3.7-star rating on Trust Pilot, improved from a 2.4- star rating at Q4 2022.
What they mean: Our star rating has gone from very poor to mediocre.
We're optimistic about our upcoming “Hero” product, which is progressing well through its development and production stages. Its market debut slated for Q3 2024.Additionally, the UpRide cycling awareness platform is gaining traction. There's been a significant increase in user engagement, with total viewership surpassing 36,000 minutes per month.
What they mean: We hoping for a miracleCorporate
During the quarter, on 19 September 2023, the Company announced the receipt of a $244,000 cash refund under the Federal Governments Research and Development Tax incentive Scheme.What they mean: Without this one off refund our result would have not been just really bad but it would have been a complete train wreck.
