Leverage Shares MANGOS ETF

Good afternoon, everyone, and thank you for participating in MGO Global's webcast. Joining us from MGO are Maximiliano Ojeda, co-founder, chairman, and CEO of MGO's Chief Financial Officer, Vincent Adamanelli. Before I turn the floor over to them, I remind you that today's call, statements that are not historical facts, including any projections, statements regarding future events or future financial performance or statements of intent or belief, are forward-looking statements and are covered by the safe harbor disclaimers contained in the company's public filing with the SEC. Actual outcomes and results may differ materially from what is expressed or implied by these forward-looking statements. With that said, I would now like to introduce Max. Max, the floor is yours.

Thank you, Kat, and thank you everyone who is listening in on the webcast. On behalf of everyone at MGO Global, we sincerely appreciate your interest in our company and hope we succeed today at providing you with meaningful insights into our recently reported financial performance for the year ended December 31st, 2022, and to provide you with some perspective on what exciting things might be ahead for us as we progress through 2023. I would like to begin today's discussion beginning with having Vincent Dottomanelli providing a summary of MGO's 2022 financial results announced via press release yesterday morning and provide everyone with some additional code of the numbers. Vincent, the floor is yours.

Thanks, Max. I, too, would like to thank everyone for taking their valuable time to listen in. Everyone at MGO has been working very hard to ensure that we are a company that will continue to earn and retain your support and fidelity as we continue to build MGO into a powerhouse brand building company. I'll start by first directing your attention to our income statements for the full years ended December 31st, 2022 and 2021. For the first 12-month period ended December 31st, 2022. net revenues increased 19%, rising to $1.5 million from $880,000 from the prior year. The increase is attributable to a couple of key drivers. One, the strong consumer demand for the Messi-branded produce fueled by Leo's winning performance at the 2022 FIFA World Cup Games held in November and December 2022. coupled with end-of-year holiday shopping. We also achieved a notable increase in gross profit on revenues, which climbed 46% to $710,000 from $487,000 on a comparable year-over-year basis. And as a consequence, our gross profit margin also improved, rising to 68% from 55%. This improvement was largely due to the decrease in cost of goods sold during 22 when compared to the previous year, which declined 14% to $338,000 from $392,000. The primary reasons for the lower cost of goods were an increase on the retail pricing for many of the messy products in our offerings. coupled with strategic expansion of our network of suppliers and manufacturers outside of China with whom we've negotiated better volume production pricing for our goods. Now, moving down our income statement, the total operating expenses for the year ended December 31st, 2022 increased 138% to $3.35 million, which compared to $1.41 million for the prior year. Operating expenses were higher because of the significant increase in royalty expense paid to the Leo Messi management during 2022 year, coupled with higher professional costs associated with the lead-up and preparation for our initial public offering, which closed January 18th of 23. Total other expenses included costs associated with foreign currency conversions into U.S. dollars, and non-cash finance charges associated with accounting for imputed interests in connection with a series of interest-free personal loans made to the company by our officers. After factoring these total other expenses, which amounted to $238,000 in 2022 and $67,000 in 2021, and after accounting for the net loss attributable to non-controlling interest of $294,000, and $80,000 in 2022 and 2021, respectively, our 2022 net loss increased 192% to $2.58 million, or $0.25 loss per share for the 12 months ended December 31, 2022, compared to $906,000, or $0.09 loss per share for the prior year. Now turning to our balance sheet. As of December 31st, 2022, our cash position was $114,000 compared to $88,000 as of December 31st, 2021. However, as everyone is aware, in January of this year, we successfully completed our IPO, adding an additional $7.24 million in cash to our balance sheet. And that's after deducting operating expenses of $1.39 million. Because of the IPO, we believe that our existing working capital and future cash flows from operating activities will provide sufficient cash to enable MGO to meet our operating needs and to meet our debt requirements for the next 12 months. With that, I've concluded my overview of the financial highlights and will now invite Max to resume the floor. Max?