LZG International Inc, dba FatBrain AI ($LZGI), Announces Fiscal Full-Year 2023 Operational Highlights and Results with Record Revenues.

NEW YORK: FatBrain AI (LZG International, Inc., OTCQB: LZGI) (the "Company," or "we"), the leader in powerful and easy-to-use AI solutions for enterprise stars of tomorrow, today announced fiscal 2023 full-year unaudited results.

Full Year Financial Highlights (Year ended 5/31/23, unaudited):

Revenue increased to $45.4 million for the Full-Year FY2023 up from $0.2 million in comparable period of 2022. This was driven by organic growth of existing operations, growth in number of customers, and acquisitions made during the year.

Gross Profits increased to $20.9 million in FY2023 up from $173,651 during FY2022. During the year the company completed a lower margin data alignment and engineering deal that projects to substantially reduce future expenses. A return to gross margins in the 80% range for FY2024 is anticipated.

Operating expenses, including $13.1 million in Research and Development, increased to $24.4 million compared to $1.1 million for FY2022. This was the result of the expansion of staff for sales, marketing, engineering and support. Expenses as a percentage of revenues decreased nine-fold during FY 2023, suggesting profitability in FY 2024.

Net loss was $13.7 million compared to $0.9 in 2022. The net loss comprised non-cash events such as amortization and depreciation, impairment charges and stock-based compensation. Total non-operating expenses, most non-recurring, totaled $10.1 million in 2023 versus $18,795 in FY2022.

The company is working diligently to file with the SEC as soon as practicable. Due to the complexities involved with the rapid growth and multiple world regions for both customers and operations, this process has taken longer than anticipated. Automated systems are being put into place to ensure that future filings will be timely. The company is confident in the financials as reported. Current business and customer acquisition is ongoing and year-over-year revenue growth acceleration continues to be robust.

FY 2023 Operational Highlights and Recent Developments:

The company increased revenue significantly during each quarter of the year, averaging over 130% quarter over quarter growth.

Integrated acquisition into a scalable platform.

Identified large pipeline of customers and accretive acquisitions. The company is in the process of signing and onboarding customers at a rapid rate.

Signed multiple strategic distribution agreements that sizeable...