BOCA RATON, May 18, 2021 — Grom Social Enterprises, Inc. (OTCQB: GRMM) (“Grom” or the Company”), today reported operating and financial results for the first quarter period ending March 31, 2021. Investors are encouraged to read the Company’s quarterly report on Form 10-Q when it is filed with the Securities and Exchange Commission, (the “SEC”), which will contain additional details, and will be posted at www.gromsocial.com


  • Revenues for the first quarter were $1.87 million compared to $1.29 million in the 2020 first quarter period, a 45% increase.
  • Gross profit for the first quarter was $1.07 million, compared to $0.68 million in the prior year period, a 58% increase.
  • Loss from operations narrowed to $710,849 compared to a loss of $1.06 million in the prior year period, a 33% improvement.
  • Net loss for the first quarter was $2.31 million compared to $1.34 million in the prior year period.  The losses in the first quarter of 2021 were driven largely by non-cash charges related to the settlement of debt and amortization charges categorized as interest expense.
  • On March 31, 2021, total stockholders’ equity was $10.73 million, compared to $8.59 million on December 31, 2020, a 24.8% increase.

Commenting on the results, Darren Marks, Chairman and Chief Executive Officer of Grom said, “We’re very pleased with our performance in the first quarter.  As we exit the Covid-19 pandemic, we’re showing substantial improvement in a number of important areas and continue to grow the enterprise.  The 45% increase in sales is a dramatic rebound and brings us almost entirely back to where revenues were just prior to the March 2020 shutdowns related to Covid-19.  In addition to the increase in revenues, we saw a 17.7% increase in new users and more than an 11% increase in online duration of visits and these KPIs continue to show recent improvement. Our net loss included a non-cash charge of nearly $950,000 related to the conversion of note holders, a move that enhanced our capital position despite the contribution to net loss.  In addition, a large portion of the increased interest expense in the first quarter was also non-cash and was related to the amortization of certain debt discounts.  Absent these non-cash charges, our net loss for the first quarter would have reflected a considerably smaller loss than that of the prior year period and highlights our improving financial performance.”

Marks continued, “We have added key personnel and now boast an enhanced, industry savvy management team.  We recently announced our intention to acquire Curiosity Ink Media.  While the acquisition has not closed just yet, the company has already begun to generate positive momentum with the anticipated debut of Santa.com., an online hub where kids and adults can experience classic holiday joy in a one-stop, modern digital holiday venue.  Our improved financial results, the optimism arising from opening economies and other initiatives to improve our visibility with the investment community are all a result of management’s focus on executing our business plan and building shareholder value.”

About Grom Social Enterprises, Inc.

Grom Social Enterprises, Inc. is a growing social media platform and original content provider of entertainment for children under 13 years of age, which provides safe and secure digital environments for kids that can be monitored by their parents or guardians. The Company has several operating subsidiaries, including Grom Social, which delivers its content through mobile and desktop environments (web portal and apps) that entertain children, let them interact with friends, access relevant news, and play proprietary games while teaching them about being good digital citizens. The Company owns and operates Top Draw Animation,, which produces award-winning animation content for some of the largest international media companies in the world. Grom also includes Grom Educational Services, which has provided web filtering services for K-12 schools, government and private businesses. For more information, please visit.gromsocial.com.

Forward-Looking Statements

This press release contains statements, which may constitute “forward-looking statements.”. Those statements include statements regarding the intent, belief, or current expectations of Grom and members of its management team as well as the assumptions on which such statements are based. Such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, and that actual results may differ materially from those contemplated by such forward-looking statements. Important factors currently known to management that may cause actual results to differ from those anticipated are discussed throughout the Company’s reports filed with Securities and Exchange Commission which are available at www.sec.gov as well as the Company’s web site at www.gromsocial.com. The Company undertakes no obligation to update or revise forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events or changes to future operating results.


This website is a wholly owned subsidiary of Salesparq, LLC, herein referred to as Salesparq, LLC. Our publications are a commercial advertisement and are for general information purposes ONLY. We are engaged in the business of marketing and advertising companies for monetary compensation. We may receive compensation for this article on a PPC basis as an affiliate. Never invest in any stock featured on our site or emails unless you can afford to lose your entire investment. The disclaimer is to be read and fully understood before using our services, joining our site or our email/blog list as well as any social networking platforms we may use.PLEASE NOTE WELL: Salesparq, LLC and its employees are not a Registered Investment Advisor, Broker Dealer or a member of any association for other research providers in any jurisdiction whatsoever.Release of Liability: Through use of this website viewing or using you agree to hold Salesparq, LLC, its operators owners and employees harmless and to completely release them from any and all liability due to any and all loss (monetary or otherwise), damage (monetary or otherwise), or injury (monetary or otherwise) that you may incur. The information contained herein is based on sources which we believe to be reliable but is not guaranteed by us as being accurate and does not purport to be a complete statement or summary of the available data. Salesparq, LLC encourages readers and investors to supplement the information in these reports with independent research and other professional advice. All information on featured companies is provided by the companies profiled, or is available from public sources and Salesparq, LLC makes no representations, warranties or guarantees as to the accuracy or completeness of the disclosure by the profiled companies. None of the materials or advertisements herein constitute offers or solicitations to purchase or sell securities of the companies profiled herein and any decision to invest in any such company or other financial decisions should not be made based upon the information provided herein. Instead Salesparq, LLC strongly urges you conduct a complete and independent investigation of the respective companies and consideration of all pertinent risks. Readers are advised to review SEC periodic reports: Forms 10-Q, 10K, Form 8-K, insider reports, Forms 3, 4, 5 Schedule 13D. Salesparq, LLC is compliant with the Can Spam Act of 2003. Salesparq, LLC does not offer such advice or analysis, and Salesparq, LLC further urges you to consult your own independent tax, business, financial and investment advisors. Investing in micro-cap and growth securities is highly speculative and carries and extremely high degree of risk. It is possible that an investors investment may be lost or impaired due to the speculative nature of the companies profiled. The Private Securities Litigation Reform Act of 1995 provides investors a safe harbor in regard to forward-looking statements. Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, goals, assumptions or future events or performance are not statements of historical fact may be forward looking statements. Forward looking statements are based on expectations, estimates, and projections at the time the statements are made that involve a number of risks and uncertainties which could cause actual results or events to differ materially from those presently anticipated. Forward looking statements in this action may be identified through use of words such as projects, foresee, expects, will, anticipates, estimates, believes, understands, or that by statements indicating certain actions & quote; may, could, or might occur. Understand there is no guarantee past performance will be indicative of future results.In preparing this publication, Salesparq, LLC has relied upon information supplied by its customers, publicly available information and press releases which it believes to be reliable; however, such reliability cannot be guaranteed. Investors should not rely on the information contained in this website. Rather, investors should use the information contained in this website as a starting point for doing additional independent research on the featured companies. Salesparq, LLC has not been compensated for this article. The advertisements in this website are believed to be reliable, however, Salesparq, LLC and its owners, affiliates, subsidiaries, officers, directors, representatives and agents disclaim any liability as to the completeness or accuracy of the information contained in any advertisement and for any omissions of materials facts from such advertisement. Salesparq, LLC is not responsible for any claims made by the companies advertised herein, nor is Salesparq, LLC responsible for any other promotional firm, its program or its structure. Salesparq, LLC is not affiliated with any exchange, electronic quotation system, the Securities Exchange Commission or FINRA.
Show More

Related Articles

Back to top button