Fri, Aug 30, 9:06 PM (137 days ago)
For the fiscal year ended August 31, 2023, Nitches, Inc. reported revenues of $4,224, a significant increase from $710 in the prior year, driven by the launch of a Miles Davis clothing line. However, the company incurred a gross loss of $17,130, compared to a loss of $4,369 in 2022. Operating expenses decreased to $426,070 from $833,743 due to reduced selling and administrative costs. The net loss was $827,018, slightly improved from $834,134 in 2022. As of August 31, 2023, Nitches had a working capital deficit of $391,316 and only $344 in cash, raising substantial doubt about its ability to continue as a going concern. The company relies on external funding to sustain operations amidst ongoing losses and an accumulated deficit of $30,924,986. Strategically, Nitches aims to leverage partnerships with social media influencers for product marketing while focusing on sustainable practices. However, risks include reliance on influencer partnerships and market volatility. The company’s future outlook hinges on successful revenue generation and securing additional financing, which may dilute existing shareholders.