Tue, Dec 31, 7:09 PM (15 days ago)
Kisses From Italy Inc. (KIS), in its 10-Q for Q3 2024, reported significant challenges with revenues dropping to $49,327 from $203,406 in Q3 2023, primarily due to the closure of locations. The company’s gross profit was negative at $(2,354) for the quarter, reflecting a sharp decline in food sales. Operating expenses decreased dramatically to $164,334 from $3,155,794 in the prior year, largely due to the cessation of operations and reduced stock-based compensation. The net loss for Q3 2024 was $32,201, a notable improvement compared to a loss of $2,248,332 in Q3 2023. Cash flow from operations showed a reduction in cash burn, with $56,448 used in operations in 2024 versus $708,065 in 2023. However, cash reserves dwindled to $810 by the end of September 2024, with negative working capital of $(974,517), raising substantial doubt about the company's ability to continue as a going concern. The management is exploring financing options to support ongoing operations amidst these financial uncertainties.