Fri, Oct 11, 5:55 PM (83 days ago)
Lingerie Fighting Championships, Inc. (LFC) reported mixed financial results for the quarter ended June 30, 2024. Revenue increased by 11% to $34,480, reflecting growth in advertising, while costs surged 46% to $23,340, leading to a gross profit decline of 26% to $11,140. Operating expenses more than doubled to $111,346, primarily due to rising audit and advertising fees. Despite these challenges, the company reported net income of $1,389,365, up 60% year-over-year, largely driven by other income from derivative liabilities. For the six-month period, revenues rose 41% to $79,508, but net loss deepened to $840,435 from a profit of $795,711 in the prior year, attributed to increased operating and other expenses. Current liabilities grew by 20%, resulting in a working capital deficiency of $5,019,842 and an accumulated deficit of $10,143,044, raising substantial doubt about the company's ability to continue as a going concern. Management plans to seek additional financing to support operations. Overall, LFC's financial health indicates significant operational challenges and reliance on external funding to sustain its business model.