Tue, Apr 15, 9:01 PM (12 days ago)
**Yuengling’s Ice Cream Corporation (OTC: YCRM) Annual Report Summary** **Financial Performance:** - **Revenue:** $4,811,040 (2024) vs. $3,775,142 (2023) - **Net Income:** $4,395,134 (2024) vs. Net Loss: $22,906,015 (2023) - **Earnings per Share:** $0.01 (2024) vs. $(0.07) (2023) **Strategic Overview:** - Transitioning into a diversified technology holding company. - Flagship operating company: ReachOut, focusing on cybersecurity solutions. - Expansion into blockchain-based identity management with TRUSTLESS. **Future Outlook:** - Aiming to emulate Berkshire Hathaway and Alphabet models. - Building a national brand in cybersecurity and IT for SMBs. - High-velocity, high-margin rollups and disruptive platform launches. **Risk Factors:** - Integration and scalability risks from acquisitions. - Market volatility and capital availability impacts. - Public scrutiny due to high-growth profile. **Financial Condition:** - Working capital deficit, stockholders’ deficit, and accumulated deficit raise substantial doubt about the ability to continue as a going concern. - Dependent on generating sufficient cash flows from operations. **Market Position Changes:** - Positioning as a national leader in cybersecurity for SMBs. - Competitive landscape: fragmented market with regional providers and enterprise-focused firms. **Legal Proceedings:** - Lawsuits related to acquisitions and contract breaches. - Potential material impact on financial position and operations. **Market Information:** - Traded on OTC Markets Pink Current Information under the symbol “YCRM.” - Share price range: $0.0009 to $0.0067 (2024). **Recent Issuances of Unregistered Securities:** - Convertible notes issued to Frondeur Partners LLC. - Convertible notes and warrants issued to Trillium Partners, L.P. **Management’s Discussion and Analysis:** - Revenue increase due to acquisitions. - Cost of goods sold decrease due to improved efficiency. - Intangibles impairment and general administrative expenses. - Significant other income (expense) due to derivative liabilities. **Liquidity and Capital Resources:** - Cash used in operating activities: $927,998 (2024) vs. $762,097 (2023). - Cash used in investing activities: $121,413 (2024) vs. $1,181,514 (2023). - Cash provided by financing activities: $964,030 (2024) vs. $1,732,706 (2023). **Critical Accounting Policies:** - Revenue recognition, valuation of inventory, impairment of goodwill, allowance for doubtful accounts, deferred tax assets, stock-based compensation, convertible notes, derivative financial instruments, business combinations, related party transactions, and fair value measurements. **Quantitative and Qualitative Disclosures About Market Risk:** - Not applicable to smaller reporting companies. **Financial Statements and Supplementary Data:** - Audited financial statements present fairly the financial position and results of operations. - Going concern basis with substantial doubt about the ability to continue as a going concern. **Controls and Procedures:** - Disclosure controls and procedures not effective as of December 31, 2024. - Internal control over financial reporting not effective at a reasonable assurance level. **Subsequent Events:** - Sale of subsidiaries and related financial restructuring. - Default on RedGear purchase note and issuance of convertible notes.