Tue, Feb 4, 4:58 PM (7 days ago)
Midnight Gaming Corporation (MHGI) reported significant financial challenges for the quarter ended September 30, 2022. The company recorded no revenue, maintaining a net loss of $845,576, an increase from the prior year's loss of $362,219. Operating expenses surged to $821,053, primarily due to media production costs of $520,000 related to a documentary. As of September 30, 2022, total assets rose to $503,682, compared to $1,860 at the end of 2021, driven by increased cash holdings. However, total liabilities also increased significantly to $520,653, from $429,254, reflecting higher notes payable and accrued interest. The company’s cash flow from operations remained negative, with no cash generated from investing activities and a net increase in cash of $286,448 from financing activities. The accumulated deficit grew to $2,216,272, raising substantial doubt about the company’s ability to continue as a going concern without additional capital. Midnight Gaming is still in the development stage, focusing on acquiring income-producing entities. Future operations may be impacted by the need for significant capital to fund ongoing projects, as no commitments for financing are currently in place.