Revenue growth remains highly erratic, ranging from a 95.2% surge in 2025Q2 to a 4.1% contraction in 2024Q2, while operating margins frequently dip into negative territory.
| Sales/Revenue | 118.75M | 116.19M | 82.65M | 76M | 57.88M | 39.7M | 37.75M | 30.32M |
| Revenue Growth % | 28.34% | 40.58% | 8.76% | 31.31% | 45.78% | 5.17% | 24.53% | - |
| Cost of Goods Sold | 83.36M | 81.96M | 56.84M | 51.15M | 42.49M | 27.87M | 26.27M | 21.36M |
| COGS % of Revenue | - | 70.54% | 68.77% | 67.3% | 73.42% | 70.19% | 69.58% | 70.44% |
| Gross Profit | 35.39M | 34.23M | 25.81M | 24.85M | 15.38M | 11.84M | 11.48M | 8.96M |
| Gross Margin % | 29.8% | 29.46% | 31.23% | 32.7% | 26.58% | 29.81% | 30.42% | 29.56% |
| Gross Profit Growth % | - | 32.6% | 3.87% | 61.53% | 29.98% | 3.06% | 28.18% | - |
| Operating Expenses | 36.17M | 36.19M | 30.71M | 26.12M | 18.97M | 12.27M | 9.99M | 8.37M |
| OpEx % of Revenue | - | 31.14% | 37.15% | 34.37% | 32.78% | 30.91% | 26.47% | 27.6% |
| Selling, General & Admin | 36.17M | 36.19M | 30.71M | 25.31M | 17.79M | 12.27M | 9.99M | 8.23M |
| SG&A % of Revenue | - | 31.14% | 37.15% | 33.3% | 30.74% | 30.91% | 26.47% | 27.13% |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | - | - | - | - | - | - | - |
| Other Operating Expenses | 0 | 0 | 0 | 810K | 1.18M | 0 | 0 | 140.29K |
| Operating Income | -777K | -1.96M | -4.89M | -1.27M | -3.59M | -437.88K | 1.49M | 593.75K |
| Operating Margin % | -0.65% | -1.68% | -5.92% | -1.67% | -6.2% | -1.1% | 3.95% | 1.96% |
| Operating Income Growth % | - | 60.01% | -285.96% | 64.64% | -718.95% | -129.39% | 150.94% | - |
| EBITDA | 352K | -850K | -4.07M | -496K | -3.17M | 8.83K | 1.71M | 768.13K |
| EBITDA Margin % | 0.3% | -0.73% | -4.92% | -0.65% | -5.47% | 0.02% | 4.54% | 2.53% |
| EBITDA Growth % | 109.28% | 79.12% | -720.56% | 84.33% | -35938.8% | -99.48% | 122.89% | - |
| D&A (Non-Cash Add-back) | 1.13M | 1.11M | 824K | 772K | 420K | 446.71K | 222.09K | 174.38K |
| EBIT | -415K | -1.96M | -4.89M | -458K | -2.4M | -437.88K | 1.49M | 670.73K |
| Net Interest Income | 234K | 296K | 305K | 570K | 94.68K | -136.66K | -49.46K | -108.14K |
| Interest Income | 234K | 296K | 305K | 570K | 94.68K | 0 | 0 | 977 |
| Interest Expense | 0 | 0 | 0 | 0 | 0 | 136.66K | 49.46K | 109.12K |
| Other Income/Expense | 1.37M | 1.33M | 759K | 924K | 308K | 565.62K | -39.46K | -32.14K |
| Pretax Income | 594K | -627K | -4.13M | -344K | -3.28M | 127.74K | 1.45M | 561.61K |
| Pretax Margin % | 0.5% | -0.54% | -5% | -0.45% | -5.66% | 0.32% | 3.84% | 1.85% |
| Income Tax | 204K | 120K | 5K | 41K | 222K | -107.5K | 422.24K | 171.75K |
| Effective Tax Rate % | 34.34% | -19.14% | -0.12% | -11.92% | -6.77% | -84.16% | 29.11% | 30.58% |
| Net Income | 390K | -747K | -4.14M | -385K | -3.5M | 235.24K | 1.03M | 389.86K |
| Net Margin % | 0.33% | -0.64% | -5.01% | -0.51% | -6.05% | 0.59% | 2.72% | 1.29% |
| Net Income Growth % | 109.65% | 81.96% | -975.32% | 89% | -1587.84% | -77.12% | 163.75% | - |
| Net Income (Continuing) | 390K | -747K | -4.14M | -385K | -3.5M | 235.24K | 1.03M | 389.86K |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | 0.02 | -0.04 | -0.22 | -0.02 | -0.18 | 0.01 | 0.10 | 0.04 |
| EPS Growth % | 109.32% | 81.59% | -957.69% | 88.44% | -1707.14% | -88.8% | 156.41% | - |
| EPS (Basic) | - | -0.04 | -0.22 | -0.02 | -0.18 | 0.02 | 0.10 | 0.00 |
| Diluted Shares Outstanding | 18.66M | 18.46M | 18.59M | 18.52M | 19.2M | 21.02M | 14.99M | 14.99M |
| Basic Shares Outstanding | 18.63M | 18.46M | 18.59M | 18.52M | 19.2M | 10.93M | 10M | 14.99M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - |
Operating margin volatility
As reported in recent financial filings, Stran & Company's revenue growth has exhibited significant volatility, ranging from a 95.2% surge in 2025Q2 to a 4.1% contraction in 2024Q2, suggesting that the company's top-line expansion is heavily dependent on episodic program wins rather than steady organic demand.
The erratic nature of quarterly revenue growth indicates that the firm's business model remains sensitive to the timing of large-scale corporate marketing initiatives. Investors should monitor whether the company can transition from acquisition-led growth to a more predictable, recurring revenue stream within its program segment.
Based on historical income statements, Stran has maintained a relatively stable gross margin profile hovering near 30%, yet this consistency fails to translate into bottom-line profitability, indicating that the company's pricing power is insufficient to offset the rising costs of its fulfillment-heavy operational model.
While a 30% gross margin is respectable for a promotional products distributor, the inability to expand this metric suggests limited leverage over suppliers or a reliance on lower-margin transactional business. The lack of margin expansion implies that the company may be sacrificing profitability to secure market share in a competitive landscape.
According to the provided quarterly data, SG&A expenses frequently exceed gross profit, resulting in negative operating margins in six of the last ten quarters, which suggests that the company has yet to achieve the necessary scale to cover its fixed administrative and technology-related overhead costs.
The persistent disconnect between revenue growth and operating income indicates that every incremental dollar of revenue is currently being consumed by the cost of servicing that growth. This pattern warrants further investigation into whether the company's technology investments will eventually yield the operating leverage required for sustainable GAAP profitability.
As evidenced by the recent financial results, the company's reliance on high-variable cost structures leaves it vulnerable to inflationary pressures, as the inability to consistently generate positive operating income may force management to reconsider its aggressive expansion strategy if liquidity constraints begin to emerge over time.
Short-term observers might argue that the company's failure to achieve consistent profitability despite significant revenue growth points to a structural flaw in its business model. If the company cannot demonstrate a clear path to positive operating margins, the market may begin to discount the value of its program-based moat.
Quick answers to the most common questions about buying SWAG stock.
For fiscal year 2025, Stran & Company, Inc. (SWAG) reported total revenue of $116.2M. This represents a 283.3% increase compared to $30.3M in 2019.
Stran & Company, Inc. (SWAG) reported a net loss of $0.7M for the fiscal year ending 2025.
Stran & Company, Inc. (SWAG) reported an operating income of $-2.0M, resulting in an operating profit margin of -1.7%. This margin reflects the operational efficiency of the business before interest and taxes.
Stran & Company, Inc. (SWAG) generated $34.2M in gross profit for the year, representing a gross profit margin of 29.5%. This demonstrates the company's core pricing power and production efficiency.