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@ 3 CHARLES & COLVARD Charles & Colvard Reports First Quarter Fiscal Year 2022 Financial Results November 4 , 2021 - $ 10.3 Million in Net Sales and $ 949,000 in Income from Operations - $ 827,000 in Net Income or $ 0.03 Earnings Per Diluted Share - Strong Gross Margin of 51 % - Experienced Double - Digit Year - over - Year Net Sales Growth in Both Online and Traditional Channel Segments - Total Cash of $ 19.2 Million as of September 30 , 2021 - Conference Call with Accompanying Slide Presentation Scheduled Today at 4:30 PM ET RESEARCH TRIANGLE PARK , N.C. , Nov. 4 , 2021 / PRNewswire / -- Charles & Colvard . Ltd. ( Nasdaq : CTHR ) ( the " Company " ) , a globally recognized fine jewelry company specializing in lab created gemstones , reported financial results for the quarter ended September 30 , 2021 ( " First Quarter Fiscal 2022 " ) , with net sales of $ 10.3 million and net income of $ 827,000 , or $ 0.03 earnings per diluted share . 83 CHARLES & COLVARD Online Channels net sales were $ 5.4 million , which was a 20 % increase over the year - ago quarter . Traditional net sales were $ 4.9 million , which was a 42 % increase over the year - ago quarter . Finished jewelry net sales for the quarter were $ 5.7 million , which was an increase of 31 % to the year - ago quarter , and loose jewels net sales were $ 4.6 million , for a 28 % increase over the year - ago quarter . " The beginning of our new fiscal year proved to be pivotal in paving the way for new opportunities and continued growth heading into the holiday season , " said Don O'Connell , President and CEO of Charles & Colvard . " For the first time since the beginning of the COVID - 19 pandemic , we were able to attend JCK Las Vegas in person , which is one of the jewelry industry's largest trade shows . We amplified our presence at the show by showcasing the brand's updated look - and - feel with our largest booth at this trade show to date , and by focusing on our Forever One ™ moissanite product brand . This trade show gives us the opportunity to meet with key vendors and other strategic partners that are instrumental in future product development and new wholesale opportunities . " " We also expanded our digital marketing strategy to include additional Caydia® lab grown diamond awareness campaigns as we continue to expand our assortment and offerings to match what our customers are seeking . We believe capturing broader market share within the lab grown space ahead of the holiday season is critical to being considered a premier destination for gifting , bridal and fashion fine jewelry . " " Additionally , during our first fiscal quarter , we began the build - out of our Charles & Colvard Signature Showroom within our corporate headquarters . We believe that this type of curated retail environment aligns with our omnichannel approach to be everywhere the consumer transacts . The Signature Showroom allows us the opportunity to deepen relationships with our customers through a hands - on , immersive experience of both our Forever One ™ moissanite and Caydia® lab grown diamond product brands , " concluded Mr. O'Connell . Recent Corporate Highlights • Participated in a successful JCK show , one of the jewelry industry's leading annual events , with a renewed focus on expanding overall brand awareness and positioning Forever OneTM as the pinnacle moissanite product available in the market ; • Broke ground on the Company's first Charles & Colvard Signature Showroom retail location ; • Recycled precious metals utilization of 99 % for fiscal year 2021 ; • Formed strategic banking relationship with JPMorgan Chase , N.A. , providing a foundation for the Company to achieve its financial objectives and a basis to expand its financial capabilities going forward ;