iPower Inc. (NASDAQ:IPW) Q1 2024 Earnings Call Transcript

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Lawrence Tan: Sure. During working with the supply chain partners on the SuperSuite business side. We – as we are successfully launching a couple of partners, we started to learn through the data, how the supply chain partner operates are functioning within their organization, how they react with the market. So, it’s more on the partnership side, like the supply chain behavior and how they react with the external environment that facilitating us to work with them better so that we can utilize our strengths to help each other to success in different fields. Those are the data points we collected and formed the internal model where we can expand this side of the business in the future more successfully.

Thierry Wuilloud: Great. And you mentioned the products that are selling well on TikTok. I am curious if it’s – is it push or pull? Are you are you identifying products in your portfolio and reaching out to influencers, or is it influencers who are selecting products? How does that process work?

Lawrence Tan: Initially, we placed the products based on our understanding of the market and based on very limited data sets we can find on the platform. And then we launched – after we launched the product for a while and some products become very successful on their category and become the top performer. And initially, we look out for the influencers. Now, we have influenced actively contacting us. So, I feel like that process has become both way now, instead of like we already passed the very initial cold-start period.

Thierry Wuilloud: Okay. And then finally, you mentioned the SuperSuite is on a $7 million annualized run rate. But are you planning on adding more partners this year, or can you give us any thoughts there?

Lawrence Tan: Yes. There are pipelines of prospective partners to add on. It’s our plan to continue to expand that category. And naturally, if we made success in that services business, we will attract more partners to work with us. And these partners will be very high-quality partners to work with.

Thierry Wuilloud: Okay. So, we might end up higher than $7 million for this year from that business?

Lawrence Tan: I will – I think we will only go growth, probably – it won’t go down.

Thierry Wuilloud: Yes. Okay. Great. That does it for me. Thank you very much. Good quarter.

Lawrence Tan: Thank you.

Kevin Vassily: Thanks Thierry.

Operator: Thank you. This concludes the Q&A session. I would like to turn the call back over to Kevin for closing remarks.

Kevin Vassily: Okay. Thank you, operator. Thank you everyone for dialing in and participating on our Q1 earnings release. We look forward to speaking to you all again when Q2 rolls around. Thank you.

Operator: Thank you for joining today’s conference call. You may all disconnect.

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