Back in March I put out an article highlighting a unique story called American Aires (CSE:WIFI). At the time of publishing, the stock was trading around $1.00 per share. Fast forward to today, the stock is trading at $1.50 and is back in an uptrend. First, let me take a quick second here to say congratulations to everybody who took our advice and got in early. Secondly, for those who are still on the sidelines, there has never been a better time to jump in.

Since my initial article, the company has ramped up news flow heavily and has also put out an impressive set of annual financial statements from FY2023… so I have decided to do a quick breakdown and recap of the financial statements.

RECORD BREAKING FINANCIAL STATEMENTS

About two weeks ago, American Aires (CSE:WIFI) put out their annual financial statements from last year and they were very impressive.  They broke records in both quarterly and annual sales and also reported a positive adjusted EBITDA.

Here are the latest sales figures for American Aires, whose products have now reached Kim Kardashian, Maycee Barber (UFC fighter), Tiki Barber (NFL legend), Gary Brecka and Ben Greenfield, as well as 61,000 clients in dozens of countries:

• Full Year 2021 revenues: C$2.55M
• Full Year 2022 revenues: C$5.82M (more than 100% growth)
• Full Year 2023 revenues: C$10.4M (more than 79% growth) This is 4x the 2021, when CEO Josh Bruni joined.
• Q4 2023 – Record quarterly order volume of $3.7 million & first significant adjusted quarterly EBITDA profitability

What is most impressive about these figures is that they were achieved prior to the close of a $4 million financing round. Due to the lack of working capital throughout last year, the company faced significant inventory headwinds, especially during Q4. They ran out of inventory multiple times as they kept selling out of product. As a result, they left about $2-3M in sales on the table for the year.

Moving forward, the inventory situation has been resolved with the recently closed financing and improved supplier payment terms.

So considering they pulled off these huge numbers last year on a tight budget with minimal cash reserves and inventory issues, I can only imagine what these guys will be capable of doing now that they have a war chest of $4 million cash at their disposal and those issues are no longer in play.

I have spoken with management and was told they are targeting 80-100% growth again this year, so about $18-20 million in sales.

For me, the biggest takeaway from the financials is that after increasing 128% YOY in 2022, 2023 revenue was up $4.6 million but advertising spend was up only $1.3 million – this is a factor of 3.4x.

In simpler terms, the company was able to generate an additional $3.4 in revenue for every $1 spent.

This is a crucial metric as it demonstrates that the company is able to scale revenues efficiently. It also demonstrates the effectiveness and ROI of the Company’s revamped advertising and promotions approach, which includes expanded spending on social media platforms and further spending on developing affiliate relationships to promote American Aires products.

In short, the marketing machine is fine-tuned and ready to scale.

PARTNERSHIP WITH WILLIAM MORRIS ENDEAVOR ENTERTAINMENT

On March 18th, American Aires Inc. announced a strategic partnership with William Morris Endeavor Entertainment, LLC (WME), a leader in entertainment, sports, and fashion. This partnership leverages WME’s vast network of artists, athletes, and content creators to amplify Aires’ market presence and brand engagement. Some of WME’s sports clients: Venus & Serena Williams, Novak Djokovic, Joel Embiid, Christian Mcaffrey, Joe Burrow, Luka Doncic, Kylian Mbappe.

The collaboration is beneficial for American Aires as it builds on the momentum of the AiresAthletes campaign and the company’s appeal among elite athletes, like UFC star Maycee Barber. With WME’s support, Aires aims to enhance its visibility and credibility within the elite performance sphere, presenting its products as essential tools for athletes aiming for peak physiological function. This partnership is expected to accelerate the adoption of Aires technology, not only among high-performance individuals but also in broader markets sensitive to electromagnetic radiation and health optimization. It strategically positions Aires to use WME’s capabilities in driving trends and amplifying messages, thus enhancing Aires’ role as a leader in EMF protection and performance optimization on a global scale.

ADDITION OF JAMIE COCHRAN TO BOARD OF DIRECTORS

On March 20th, Jamie Cochran joined the Board of Directors of American Aires Inc. Cochran brings a robust background in e-commerce, especially within the health and wellness sector, and holds substantial shares and warrants in the company. His experience includes over 15 years of leading online ventures, driving about US$1 billion in sales, and roles like President of WoofWell and advisor at MD Medica, where he has demonstrated significant expertise and leadership. His expected role at American Aires will involve leveraging his connections with public figures and celebrities to foster strategic partnerships, complementing the company’s #airesathletes program that targets professional athletes and elite performers.

PARTNERSHIP WITH RUMBLE  & LAUNCH OF ADVERTISING CAMPAIGN WITH RUSSELL BRAND

On April 24th, American Aires announced the launch of a pilot test ad campaign on Rumble, a platform with 67 million monthly active users. This strategic move involves collaboration with one of Rumble’s top influencers, Russell Brand, who will feature Aires in his show, which enjoys a following of 1.87 million. The campaign will also include pre-roll ads on Brand’s show segments. This initiative is part of Aires’ broader marketing strategy to explore and utilize new channels for reaching potential customers efficiently.

The benefit of this campaign for American Aires is significant. Featuring Russell Brand, who is not only popular but also well-aligned with the Aires brand, provides a potent means of engaging with a vast and growing global audience. This exposure is expected to drive increased sales and enhance brand visibility. Additionally, the partnership with Rumble allows Aires to test and possibly scale their marketing efforts on a platform that has proven its ability to attract and engage a large user base, thereby potentially boosting the company’s performance standards and sales globally.

OTCQB LISTING

On April 30th, the company announced that they would be trading on the OTCQB market, effective May 2nd. This move is seen as a significant step for American Aires, as it facilitates easier trading of its shares and broadens its exposure to U.S. investors. This follows a series of strategic initiatives including a successful $4 million financing, partnerships with high-profile figures, and promotional campaigns, all aimed at scaling their business and increasing shareholder value in the U.S. The OTCQB listing and DTC eligibility are beneficial for American Aires because they enable the company to tap into the larger U.S. market, increasing awareness and potentially enhancing stock liquidity.

INVITED TO APPEAR ON NATIONAL TV WITH DR. DREW

On May 2nd, American Aires Inc. announced that its CEO, Josh Bruni, would appear on the national TV series “Health Uncensored with Dr. Drew” on the FOX Business Network, set to air on May 5, 2024. The episode will feature Bruni discussing Aires’ innovative technology designed to protect against electromagnetic radiation. This appearance is part of a special segment focusing on “Breakthroughs in Medical Technology” and will also be available on YouTube and the show’s website, with Aires retaining full licensing rights to the segment and additional footage.

This exposure is highly beneficial for American Aires, as it aligns with the company’s goals of increasing brand awareness and credibility. Appearing on a show hosted by Dr. Drew Pinsky, a respected authority in health and wellness, provides Aires an opportunity to reach a broad audience that includes health professionals and consumers interested in new, scientifically validated health solutions. This platform will help Aires connect with a larger audience, similar to its previous successful collaborations with influential figures like Russell Brand, thus enhancing its reputation and market presence by associating with widely recognized experts and celebrities in health and wellness.

THE BOTTOM LINE

American Aires has made significant strides in enhancing its market position and financial health through strategic partnerships, innovative marketing strategies, and financial achievements. From record-breaking financial results and strategic alliances with industry leaders like WME and high-profile influencers to the adoption of innovative marketing platforms and gaining prominent exposure on national television, American Aires is clearly on an upward trajectory. These concerted efforts are not only increasing the company’s visibility and credibility but also solidifying its reputation as a leader in EMF protection and health optimization technology. Looking forward, the combination of smart partnerships, effective marketing, and robust financial health positions American Aires for continued success and influence in the health and wellness sector. The recent developments underscore a bright future, where increased market penetration and brand recognition seem not just possible, but likely, marking an exciting phase of growth and innovation for the company.