Wed, Nov 13, 11:12 AM (237 days ago)
Yubo International Biotech Limited (YBGJ) reported significant financial challenges in its Q3 2024 10-Q, reflecting a continued decline in revenue and increased losses. For the three months ended September 30, 2024, the company recorded zero revenue, a stark contrast to $428,510 in the same period last year. Operating expenses surged to $532,764, primarily due to increased employee compensation and occupancy costs. Consequently, the net loss escalated to $621,053 from a modest profit of $6,293 a year prior. For the nine months, losses also intensified, totaling $1,628,906, up from $677,701 in 2023. Cash reserves were low at $8,034, with negative working capital of $3,765,630, raising substantial doubts about the company's ability to continue as a going concern. The report highlights ongoing risks associated with its variable interest entity structure in China, regulatory uncertainties, and potential impacts on future operations. Management plans to seek additional capital but faces significant challenges in doing so. The financial health indicates urgent need for strategic operational changes to reverse current trends and stabilize the business.