Tue, Oct 1, 1:48 PM (80 days ago)
Japan Food Tech Holdings, Inc. reported a significant increase in revenue for the quarter ended June 30, 2024, totaling $5,524,000, up from $616,000 in the same quarter of 2023, driven by enhanced food product sales. However, the company incurred a net loss of $81,311,000 compared to a loss of $68,362,000 the previous year, primarily due to rising general and administrative expenses. Cash flow from operating activities was negative at $75,921,000, worsening from $18,330,000 in the prior year. The company’s cash reserves decreased to $8,116,000 from $8,741,000. Notably, total liabilities were $49,347,000, and stockholders' equity reflected a deficit of $32,023,000. The company's future remains uncertain, with ongoing reliance on related party funding. Management indicated that without successful fundraising, operations may need to be suspended. Additionally, the acquisition of Mama Foods Co., Ltd. remains unlikely due to unmet audit requirements. The company continues to face significant operational and financial challenges, raising concerns about its ability to continue as a going concern.