Fri, Nov 15, 12:22 PM (92 days ago)
CFN Enterprises Inc. (Ticker: CFN) reported significant financial improvements for Q3 2024 compared to the same period in 2023. Revenues surged to $6,772,000 from $1,679,000, driven primarily by the integration of its Ranco subsidiary, which generated substantial revenue from white label manufacturing and co-packing services. The company's gross profit increased to $4,377,000, reflecting improved margins as Ranco managed to acquire inventory at lower costs. Operating expenses rose to $2,740,000, correlating with increased headcount and operational activities. Despite higher interest expenses of $664,000, CFN achieved a net income of $973,000, a stark contrast to the $1.91 million loss in Q3 2023. For the nine months ending September 30, 2024, the company reported revenues of $16.51 million and a net loss of $926,000, showcasing a marked recovery. However, CFN faces a working capital deficit of $14.86 million and an accumulated deficit of $75.53 million, raising concerns about its ability to continue as a going concern. Management plans to pursue additional capital through debt or equity to support operations and growth initiatives. Cash flow from operations improved to $313,000, indicating a positive trend in liquidity.