Thu, Sep 5, 10:26 AM (131 days ago)
For the quarter ended June 30, 2024, Kingfish Holding Corporation reported total revenues of $950,039, an increase from $793,503 in the same period last year, driven by higher sales volumes in scrap metal. However, the company faced a net loss of $85,619 compared to a net income of $42,567 in Q2 2023, mainly due to increased operating expenses, which surged to $505,266 from $237,534, influenced by higher professional fees, rent, and insurance costs. Year-to-date, revenues decreased to $2,652,443 from $3,029,556, with gross profit margins declining from 46% to 41%. The company’s total liabilities rose significantly to $2,704,185, primarily from increased related party loans and lease obligations, contributing to a stockholders' deficit of $(159,280). Cash reserves fell to $421,178 from $821,770, raising concerns about liquidity and ongoing operations. The recent merger with Renovo Resource Solutions has introduced uncertainties regarding integration and operational efficiency. Management acknowledges the need for additional financing to sustain operations, emphasizing risks related to commodity price fluctuations and market conditions affecting future profitability.