Staffing 360 Solutions Stock Pops After Q3, Q4 Outlook In Shareholder Letter

Staffing 360 Solutions Inc STAF released a letter to shareholders from Brendan Flood, Chairman, CEO, and President.
The management highlights improved Q2 results with revenue growth of 23% and gross profit grew 37% (excluding the disposed business) compared to last year.
It reduced non-receivables debt and redeemable preference shares from $72.3 million (81%) to $13.5 million - decreasing the interest burden by more than $3.6 million per annum.
The company's proceeds from the most recent financing are to be used for working capital purposes. In particular, a portion of these funds earmarked for expanding temporary contractor payroll from September onwards.
The management expects Q3 operating results to exceed Q2, and that Q4 should show further improvement over Q3. It also anticipates achieving positive net income by the end of Q4.
Organic growth in six operating brands is enhanced by expanding geographic footprint into new regions and increasing cross-sales between brands.
Staffing 360 Solutions' goal is to grow organically and through select accretive M&A transactions to achieve sustainable, profitable growth to a $500 million revenue company over the next two years.
Price Action: STAF shares traded higher by 9.79% at $2.02 on the last check Friday.