Tue, Dec 3, 11:05 AM (218 days ago)
**Limitless X Holdings, Inc. (Ticker: VYBE) - 10-K/A Summary** Limitless X Holdings, Inc. reported a significant decline in revenue for the fiscal year ending December 31, 2023, totaling $15.5 million, down 61.1% from $39.8 million in 2022. The net loss narrowed to $13.9 million from $18.9 million, reflecting strategic shifts in marketing from affiliate networks to in-house digital strategies. Operating expenses decreased by 60.7% to $17.2 million, primarily due to reduced advertising and marketing costs. The company faces substantial liquidity risks, with an accumulated deficit of $34.6 million and ongoing concerns about its ability to continue as a going concern, as highlighted in the independent auditor's report. The report also indicated material weaknesses in internal controls, prompting the need for enhanced governance measures. In a strategic move, the company converted $9.7 million in convertible debt into 10.3 million shares of Class B Preferred Stock, resulting in a loss on debt settlement of $6.6 million. The company terminated its licensing agreements with related parties, while total liabilities stood at approximately $13.2 million. Future outlook remains uncertain, with management indicating a need for additional capital to sustain operations amidst competitive pressures and market volatility. Key risks include dependency on the CEO's ownership of brands and potential legal challenges from ongoing litigation.