SHAREHOLDER UPDATE — JANUARY 16, 2024
Digital Brand Media & Marketing Group, Inc. (“The Company” and “DBMM”), and its brand, Digital Clarity (“DC”) filed its 10-Q with the Securities & Exchange Commission via EDGAR on Tuesday, January 16, 2024.
Following a comprehensive update after the company filing of its successful 10-K on November 29, 2023, which included the SEC’s Final Order of Dismissal on June 2, 2023. It is important to highlight that the Company returned to normal business coincidently on the same date in the 4th and last quarter of the 2023 fiscal year. This point is important as shareholders need to understand that the company and its trading flagship brand, Digital Clarity, could not outreach until the albatross was removed. Every new client has some sort of compliance group, particularly for BOD consultancies. That issue concluded, that the competitive advantage provided by DC is now being shared and leveraged. The Management’s relationships are resulting in welcoming open doors with business discussions taking place and finalizing one by one as the foundation is being established.
Metrics are increasing and the Company’s initiatives, infrastructures in multiple geographies and staffing required will be obvious quarter to quarter. There will be an exponential effect — that is how a business is built. To be clear, the blueprint is step-by-step and word of mouth as well is being organized and implemented. Year on year, 1Q24 compared to 1Q23, the Company’s revenues increased 54%.
In addition, aged debt will be settled and ancillary costs canceled. All to be accomplished in a very organized manner as has taken place historically.
DBMM through its flagship Digital Clarity has had its management consultancy blueprint post-dismissal ready to go and has been putting together the building blocks of growth. All of the moving parts and steps referenced in the last 10-K to implement the growth plan have been taking place as the plan moves forward.
As an example, we encourage shareholders to refer to Note 11 in Financial Statements and also read the MD&A section under the Financial Outlook. It describes the company’s intent for 2024 and beyond. To reiterate, ongoing capital infusion by long-term investors (LTI’s) will allow the company “to light the touch paper for exponential growth, across various geographies, with particular emphasis on the United States. “ To that end, shareholders will note that the 10-Q shows 35% of Digital Clarity’s revenues for 1Q24 in the United States in the first quarter, solidifying the company’s direction of becoming a major player in the B2B tech space in several geographies. There will be a knock-on effect as the fiscal year continues.
With B2B undergoing a renaissance as business models and buyers evolve dramatically from decades prior, while improving significantly. The results are impacting some of the most profitable companies across the globe, which now are B2B companies.
Reggie James, the Founder and Managing Director of Digital Clarity and the Chief Operating Officer of DBMM, said, “Moving forward, the company has been re-establishing its return to the normal operating business, and as mentioned in earlier updates is underway.” Linda Perry, DBMM’s Principal Executive Officer, was in London last month to meet with RJ on implementation plan speed, as well as to meet with prospective new clients. James will be traveling to the US for a similar purpose shortly.
Growth must be managed. How quickly can new clients be assessed and acclimated in a labor-intensive consultancy? The future is further enhanced by the Company’s access to cashflow financing, a favorite of the digital industry and LTI’s. The result is successful growth, increasing the value add for investors, shareholders and supporters who value commitment to ROI as a long-term proposition and ensure sustainability.
In addition, the DBMM website is being revitalized and will be launched shortly. It is being designed to be welcoming to clients, investors and shareholders . A management consultancy is a strategic contract after extensive analysis to make certain the client is able to achieve maximum return. The process is sophisticated and intended to attain competitive advantage. It is not a contract for “x” like manufacturing widgets, it is advice ,design and execution to optimize digital landscape and ROI.
The dynamics will work together to ultimately result in exponential growth —organic and by acquisition.
Supporters understand the future and the components, clients and staff leveraging and increasing step by step. Everything is working according to plan.
Linda Perry and Reggie James
SAFE HARBOR PROVISIONS:
The foregoing contains certain predictive statements that relate to future events or future business and financial performance. Such statements can only be predictions, and the actual events or results may differ from those discussed due to, among other things, those risks described in DBMM’s reports filed with the SEC. Opinions expressed herein are subject to change without notice. This document is published solely for information purposes and is not to be construed as an offer to sell or the solicitation of an offer to buy any securities in any state. Past performance does not guarantee future performance. Additional information is available upon request.