Exhibit 99.1

 

 

PublicSq. Reports

Second Quarter 2023 Financial Results

 

In 13 months since its nationwide launch, PublicSq. Consumer Members and Businesses on Platform now exceed 1.4 million and 65,000, respectively, as of July 31st

 

This represents 272% and 98% growth since December 31, 2022, respectively

 

The Company’s first direct-to-consumer brand, EveryLife, launched on July 13th and generated estimated revenue of $300,000 in its first 19 days of sales

 

Roughly 60% of EveryLife orders were monthly auto-renew subscriptions

 

WEST PALM BEACH, Fla, August 9, 2023 — PSQ Holdings, Inc. (NYSE: PSQH) (“PublicSq.” pronounced “Public Square”), a leading marketplace of patriotic businesses and consumers, today provided financial results for the second quarter ended June 30, 2023.

 

Michael Seifert, Chairman and Chief Executive Officer of PublicSq., stated, “While so many companies are celebrating what is wrong, we choose to celebrate what is right. We support small businesses and brands rooted in American exceptionalism — companies that exist to serve hardworking people who still believe in the values that built this great nation and want to see it thrive. The growth of our community and the engagement of our network, particularly since the beginning of the year, has been extraordinary, and we are just getting started. With our July listing on the NYSE, we are now a public company by the people, for the people, and owned by, ‘We the People.’”

 

1H 2023 Through June 30, 2023 Financial & Business Highlights

 

The Company had 1.20 million consumer members at June 30, 2023, up 212% from 385,000 members as of December 31, 2022. 

 

The increase in consumer members is primarily driven by increased exposure, enhanced app performance, and the growth of the Company’s Outreach Program.

 

Consolidated revenue for 1H 2023 grew 1,144% versus 1H 2022.

 

Revenue for 1H23 was $908,000, reflecting $530,000 generated in the second quarter and $378,000 in the first quarter. First half revenue in 2022 was $73,000.

 

The Company had over 57,000 businesses as of quarter end.

 

 

 

 

Subsequent Events

 

Over 1.43 million consumer members as of July 31, 2023, up 271% from 385,000 members as of December 31, 2022.

 

There were over 65,000 businesses as of July 31, 2023, versus 32,851 as of December 31, 2022, representing 98% growth.

 

The Company launched EveryLife Inc. (“EveryLife”), a wholly-owned baby-care brand, on July 13, 2023. During the first 19 operating days to the end of July, EveryLife generated over 4,300 total orders, which created total estimated revenues of around $300,000. Roughly 60% of these orders were monthly auto-renew subscriptions. 

 

The Company has also experienced significant growth of average daily unique sessions, which refers to the average number of unique IP addresses accessing the app.publicsq.com platform on mobile and desktop devices in a single day. Since tracking this data, the average daily unique sessions have grown over 400% to an average of 453,225 per day for the month of July 2023, compared to an average of 89,843 unique sessions per day for the period from January 18, 2023 through January 31, 2023.

 

As of July 31, 2023, cash and cash equivalents were $32.6 million.

 

Prepared Remarks & Discussion

 

Management will host prepared remarks today at 9:00 am ET. The live webcast and replay can be accessed at https://publicsq.com/investors. PublicSq. has utilized the Say Technologies platform to allow shareholders to submit questions to management in advance of the webcast. Management will respond to previously submitted, top questions that pertain to PublicSq.’s strategic priorities, business operations, financial position and efforts to continue enhancing the business. To comply with U.S. securities laws and on the advice of counsel, the Company will not comment on other topics.

 

About PublicSq.

 

PublicSq. is an app and website that connects patriotic Americans to high-quality businesses that share their values, both online and in their local communities. The primary mission of the platform is to help consumers “shop their values” and put purpose behind their purchases. In just over one year since its nationwide launch, PublicSq. has seen tremendous growth and proven to the nation that the parallel, “patriotic” economy can be a major force in commerce. The platform has over 65,000 businesses from a variety of different industries and over 1.4 million consumer members. Additionally, PublicSq. leverages data and insights from the platform to assess its members’ needs and provide quality wholly-owned products, such as EveryLife diapers and wipes, to fill those needs. PublicSq. is free to join for both consumers and business owners alike, and to learn more, download the app on the App Store or Google Play, or visit PublicSq.com

 

About EveryLife Inc.

 

EveryLife Inc. began with a simple mission: to provide premium products for every baby, because every baby is a miracle from God who deserves to be loved, protected, and supported. At EveryLife, we believe in providing for — and protecting — the next generation. EveryLife Inc. was acquired by PublicSq. in February 2023 and launched on July 13, 2023 as a wholly owned baby-care brand selling diapers and wipes. To learn more, please visit everylife.com.

 

Contacts:

 

For Investors:

investment@publicsq.com

 

For Media:

pr@publicsq.com 

 

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PSQ HOLDINGS, INC (dba PublicSq.)

Condensed Consolidated Balance Sheets

 

   June 30, 2023   December 31, 2022 
   (Unaudited)     
Assets        
Current assets        
Cash and cash equivalents  $6,170,477   $2,330,405 
Short-term investments   10,049,870    - 
Prepaid expenses and other current assets   1,034,454    289,379 
Total current assets   17,254,801    2,619,784 
Intangible assets, net   2,439,451    1,267,673 
Operating lease right-of-use asset   210,847    293,520 
Property and equipment, net   137,353    26,723 
Deposits   38,165    7,963 
Total assets  $20,080,617   $4,215,663 
           
Liabilities and stockholders’(deficit) equity          
Current liabilities          
Accounts payable  $573,238   $424,065 
Accrued expenses   2,176,742    41,494 
Deferred revenue   113,521    49,654 
Current portion of operating lease liabilities   185,673    169,275 
Total current liabilities   3,049,174    684,488 
Convertible promissory notes   37,071,109    - 
Operating lease liabilities, non-current   33,293    129,762 
Total liabilities   40,153,576    814,250 
Commitments and contingencies (Note 14)          
Stockholders’ (deficit) equity          
Common stock, $0.001 par value; 1,100,000 authorized shares; 900,475 and 771,155 shares issued and outstanding as of June 30, 2023 and December 31, 2022, respectively   900    771 
Additional paid in capital   16,219,040    12,384,206 
Subscription receivable   -    (99,612)
Accumulated deficit   (36,292,899)   (8,883,952)
Total stockholders’ (deficit) equity   (20,072,959)   3,401,413 
Total liabilities and stockholders’ (deficit) equity  $20,080,617   $4,215,663 

 

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PSQ HOLDINGS, INC (dba PublicSq.)

Condensed Consolidated Statements of Operations (Unaudited)

 

   For the three months ended
June 30,
   For the six months ended
June 30,
 
   2023   2022   2023   2022 
Revenue  $529,707   $72,941   $907,741   $72,941 
Costs and expenses:                    
Cost of revenue (exclusive of depreciation and amortization shown separately below)   432,934    154,746    795,907    273,393 
General and administrative   3,837,946    857,579    7,987,317    1,327,784 
Sales and marketing   2,460,305    406,487    3,068,840    525,046 
Research and development   288,483    102,278    536,984    314,691 
Depreciation and amortization   699,237    166,083    1,244,574    273,916 
Total costs and expenses   7,718,905    1,687,173    13,633,622    2,714,830 
Operating loss   (7,189,198)   (1,614,232)   (12,725,881)   (2,641,889)
Other income:                    
Other income, net   48,549         53,687    7,846 
Changes in fair value of convertible promissory notes   (13,423,204)   -    (14,571,109)   - 
Interest expense   (155,854)   -    (163,855)   - 
Loss before income tax expense   (20,719,707)   (1,614,232)   (27,407,158)   (2,634,043)
Income tax expense   (1,600)   (713)   (1,789)   (713)
Net loss   (20,721,307)   (1,614,945)   (27,408,947)   (2,634,756)
                     
Net loss per common share, basic and diluted  $(23.01)  $(3.04)  $(31.52)  $(5.10)
Weighted-average shares outstanding, basic and diluted   900,475    532,087    869,488    516,321 

 

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PSQ HOLDINGS, INC (dba PublicSq.)

Condensed Consolidated Statements of Changes in Stockholders’ (Deficit) Equity (Unaudited)

 

       Additional           Total 
   Common Stock   Paid- In   Subscription   Accumulated   Stockholders’ 
   Shares   Amount   Capital   Receivable   Deficit   (Deficit) Equity 
Balance at December 31, 2022   771,155   $771   $12,384,206   $(99,612)  $(8,883,952)  $3,401,413 
Issuance of common stock for cash   74,320    74    2,500,039            2,500,113 
Receipt of subscription receivable               100,012        100,012 
Issuance of common stock for asset acquisition   55,000    55    1,334,795            1,334,850 
Net loss                   (6,687,640)   (6,687,640)
Balance at March 31, 2023   900,475   $900   $16,219,040   $400   $(15,571,592)  $648,748 
Repayment of subscription payable               (400)       (400)
Net loss                   (20,721,307)   (20,721,307)
Balance at June 30, 2023   900,475   $900   $16,219,040   $   $(36,292,899)  $(20,072,959)

 

           Additional           Total 
   Common Stock   Paid- In   Subscription   Accumulated   Stockholders’ 
   Shares   Amount   Capital   Receivable   Deficit   Equity 
Balance at December 31, 2021   485,731   $486   $2,799,994   $(34,600)  $(1,905,376)  $860,504 
Issuance of common stock for cash   25,845    26    810,219            810,245 
Receipt of subscription receivable               35,000        35,000 
Net loss                   (1,019,811)   (1,019,811)
Balance at March 31, 2022   511,576   $512   $3,610,213   $400   $(2,925,187)  $685,938 
Issuance of common stock for cash   40,285    40    1,455,060            1,455,100 
Net loss                   (1,614,945)   (1,614,945)
Balance at June 30, 2022   551,861   $552   $5,065,273   $400   $(4,540,132)  $526,093 

 

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PSQ HOLDINGS, INC (dba PublicSq.)

Condensed Consolidated Statements of Cash Flows (Unaudited)

 

   For the six months ended
June 30,
 
   2023   2022 
Cash Flows from Operating Activities        
Net loss  $(27,408,947)  $(2,634,756)
Adjustment to reconcile net loss to cash used in operating activities:          
Change in fair value of convertible promissory notes   14,571,109    - 
Depreciation and amortization   1,244,574    273,916 
Non-cash operating lease expense   82,673    - 
Changes in operating assets and liabilities:          
Prepaid expenses and other current assets   (745,075)   (90,614)
Deposits   (30,202)   (5,463)
Accounts payable   149,173    434,142 
Accrued expenses   2,135,248    61,240 
Deferred revenue   63,867    4,590 
Operating lease payments   (80,071)   - 
Net cash used in operating activities   (10,017,651)   (1,956,945)
           
Cash flows from Investing Activities          
Purchase of short-term investments   (10,049,870)   - 
Software development costs   (992,467)   (688,605)
Purchase of intangible assets   (86,601)   - 
Purchase of property and equipment   (113,064)   (21,465)
Net cash used in investing activities   (11,242,002)   (710,070)
           
Cash flows from Financing Activities          
Proceeds from the issuance of common stock   2,600,125    2,300,345 
Repayment of subscription payable   (400)   - 
Proceeds from issuance of convertible promissory notes   22,500,000    - 
Net cash provided by financing activities   25,099,725    2,300,345 
           
Net increase (decrease) in cash and cash equivalents   3,840,072    (366,670)
Cash and cash equivalents, beginning of period   2,330,405    399,403 
Cash and cash equivalents, end of the period  $6,170,477   $32,733 
           
Supplemental Non-Cash Investing and Financing Activity          
Brand intangible purchase for stock  $1,334,850   $- 
Subscription receivable (payable)  $-   $(400)

 

 

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