Mon, Aug 19, 9:06 PM (148 days ago)
Bantec, Inc. reported a net loss of $574,869 for Q3 2024, compared to $643,383 in Q3 2023, reflecting a slight improvement in financial performance. Total revenues increased to $751,035, up 27% year-over-year, driven by sales growth to a major customer. However, cost of goods sold rose by 31% to $643,511, leading to a gross margin decline from 17% to 14%. For the nine months ending June 30, 2024, the company incurred a net loss of $1,997,461, an improvement from $2,255,726 in the prior year. Current assets decreased to $302,264, with cash dropping to $9,962. Current liabilities increased to $10,133,987, reflecting rising debts, including a significant increase in accrued expenses and notes payable. The company faces liquidity challenges, with a working capital deficit of $9,831,723 and substantial debts. Management indicated that ongoing defaults on loans and pressures from creditors raise substantial doubt about the company's ability to continue as a going concern. Future operations depend on successful capital raises and strategic restructuring efforts.