Bergio International Reports 2019 Results

FAIRFIELD, NJ / ACCESSWIRE / May 15, 2020 / Bergio International, Inc. ("Bergio", or the "Company") (OTC PINK:BRGO), a leading designer, manufacturer and retail outlet for the Bergio Brand of designer jewelry, including exquisite collections of rings, necklaces, earrings, and other fine accessories, today reported its financial results for the year ended December 31, 2019.

Highlights for Year 2019

• Revenues were consistent on a year-to-year basis.
• Gross margin percentage improved to 63.2% versus 39.4% for the previous year.
• Operating expenses increased only 2.1% to $525k as compared to $515k in the prior year.
• Operating loss decreased to $146k as compared to $275k in 2018.
• Net loss was $3,035,043 for 2019 as compared to a net loss of $417,314 in 2018. The year 2019 was impacted by a number of non-cash items.
• Non-GAAP Adjusted EBITDA showed a loss of only $92,129 as compared to $173,706 in 2018 (see attached schedule).

Mr. Berge Abajian, President & CEO stated "our revenue remained consistent on a year-to-year basis despite the lackluster fourth quarter results attributed to slowdown across the jewelry industry. However, I am pleased with the increase in our margins as we have started to see the benefits of our strategy of opening retail stores."

He continues," Our vision for a new direction for Bergio has begun. Our new Silver Fashion Collection as well as The Bergio Handbag Collection, manufactured in Italy with top quality Italian leather, which were both introduced in 2019 appear to be attracting new customers. We will continue to implement our strategy of opening new retail stores while also expanding our on-line presence."

The Company's operations have been affected by the recent and ongoing outbreak of the coronavirus disease (COVID-19) which in March 2020, was declared a pandemic by the World Health Organization. The ultimate disruption which may be caused by the outbreak is uncertain; however, it may result in a material adverse impact on the Company's financial position, operations and cash flows. Possible areas that may be affected include, but are not limited to, disruption to the Company's customers and revenue, labor workforce, unavailability of products and supplies used in operations, and the decline in value of assets held by the Company, including property and equipment. We have been forced to close our stores, and our wholesale operations have also suffered. We were negotiating with major department stores to launch our product and testing the products, but this has also been delayed. However, we are strengthening our on-line presence and going directly to the consumer.

He added, " We believe that we will survive and comeback from the current situation. I appreciate all the support from our shareholders, and hope that all are healthy and safe during these most trying of times."

The Company encourages investors to read its full results of operations as contained in our Quarterly Report on Form 10-Q filed on May 15, 2020, at www.sec.gov.

About Bergio International, Inc.

The Bergio brand is our most important asset. The Bergio brand is associated with high-quality, handcrafted and individually designed pieces with European sensibility, Italian craftsmanship and a bold flair for the unexpected. Bergio, is one of the most coveted brands of fine jewelry. Established in 1995, Bergio's signature innovative design, coupled with extraordinary diamonds and precious stones, earned the company recognition as a highly sought-after purveyor of rare and exquisite treasures from around the globe. As President, CEO and Head Designer of Bergio, Berge Abajian performs a highly successful balancing act, accomplished with equal parts precision and passion. An informed and inspirational leader, Berge directs the company with the eye and soul of a designer and the mind of a businessman. The role that is perhaps closest to his heart, however, is that of designer. With family jewelry roots reaching back the 1930s, Berge is a third generation jeweler and a purist when it comes to design. Berge's understanding of every aspect, in both design and manufacturing, creates collections that are nothing short of peerless in craftsmanship and style. Berge creates a collection, he looks well beyond the drawing board. Berge focuses on the woman who will ultimately wear his pieces, bringing to creation a magnificent piece of jewelry that reflects the beauty and vitality a woman possesses. Bergio creations are a seamless blend of classic elegance and subtle flair, adding to a woman's charm while never overpowering her.

It is our intention to establish Bergio as a holding company for the purpose of establishing retails stores worldwide. Our branded product lines are products and/or collections designed by our designer and CEO Berge Abajian and will be the centerpiece of our retail stores. We also intend to complement our own quality-designed jewelry with other products and our own specially-designed handbags. This is in line with our strategy and belief that a brand name can create an association with innovation, design and quality which helps add value to the individual products as well as facilitate the introduction of new products.

For further information please visit our website at www.bergio.com.

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This press release includes statements that are not historical in nature and may be characterized as "forward-looking statements," including those related to future financial and operating results, benefits, and synergies of the combined companies, statements concerning the Company's outlook, pricing trends, and forces within the industry, the completion dates of capital projects, expected sales growth, cost reduction strategies, and their results, long-term goals of the Company and other statements of expectations, beliefs, future plans and strategies, anticipated events or trends, and similar expressions concerning matters that are not historical facts. All predictions as to future results contain a measure of uncertainty and, accordingly, actual results could differ materially. Among the factors which could cause a difference are: changes in the general economy; changes in demand for the Company's products or in the cost and availability of its raw materials; the actions of its competitors; the success of our customers; technological change; changes in employee relations; government regulations; litigation, including its inherent uncertainty; difficulties in plant operations and materials; transportation, environmental matters; and other unforeseen circumstances. A number of these factors are discussed in the Company's previous filings with the U.S. Securities and Exchange Commission. The Company disclaims any intention or obligation to update any forward-looking statements as a result of developments occurring after the date of this press release. The safe harbor for forward-looking statements contained in the Securities Litigation Reform Act of 1995 (the "Act") protects companies from liability for their forward-looking statements if they comply with the requirements of the Act.

Contact:

Berge Abajian
Bergio International, Inc.
(973) 227-3230
[email protected]

BERGIO INTERNATIONAL INC.
RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL INFORMATION
(Unaudited)

The term EBITDA consists of net income plus interest, taxes, depreciation and amortization, deferred financing charges, change in fair value of warrants, and non-cash stock-based compensation. EBITDA is not a measure of financial performance under generally accepted accounting principles, and should not be considered in isolation from, or as a substitute for net income or cash flow measures prepared in accordance with generally accepted accounting principles, or as a measure of profitability or liquidity. Additionally, EBITDA may not be comparable to other similarly titled measures of other companies. The Company has included EBITDA as a supplemental disclosure because its management believes that EBITDA provides useful information regarding our ability to service debt, and to fund capital expenditures, and provides investors a helpful measure for analyzing its operating performance. The table above sets forth a reconciliation of EBITDA to net income, which is the most directly comparable measure of financial performance, calculated under generally accepted accounting principles.

SOURCE: Bergio International, Inc.