Mon, Jun 17, 9:08 PM (82 days ago)
For the quarter ending April 30, 2024, Coffee Holding Co., Inc. reported a 24% increase in net sales to $18,996, driven by new private label customers. Cost of sales rose 22% to $15,292, resulting in a gross profit of $3,704, up from $2,832 the previous year. Operating expenses increased by 17% to $3,771, mainly due to higher payroll and professional fees. The company reported a net loss of $22, compared to a loss of $360 in the same quarter last year. For the six months ending April 30, 2024, net sales increased 15% to $38,536, and gross profit improved to 18.6% of sales from 15.3%. Operating expenses rose 5% to $6,634, with a net income of $329 compared to a loss of $892 in the prior year. The company’s line of credit, due June 30, 2024, was reduced to $3,000 from $9,620, raising concerns about its ability to continue as a going concern. The company is seeking to renew its credit line and has received a waiver for past covenant breaches. Future operations depend on securing this renewal. The merger with Delta Corp Holdings did not pass the shareholder vote in April 2024, with another vote expected before fiscal year-end.