Tue, Feb 4, 8:42 PM (10 days ago)
Nitches Inc. (NICH) reported a challenging quarter ending November 30, 2023, with significant financial losses and ongoing operational uncertainties. The company generated no revenue compared to $1,750 in the same quarter last year, leading to a gross loss of $2,140. Operating expenses were $71,891, resulting in a loss from operations of $69,751, an improvement from a $95,398 loss in Q3 2022. The net loss for the quarter was $198,002, equating to a net loss per share of $51.23. Total assets increased to $201,417, primarily due to a rise in current assets. However, total liabilities surged to $756,006, largely from derivative liabilities linked to convertible notes. The working capital deficit stood at $611,103, raising concerns about the company’s liquidity and ability to sustain operations without additional funding. Management acknowledged the need for immediate capital to support ongoing operations and a shift towards a diversified lifestyle brand strategy. Future operations depend heavily on securing external financing, with no committed sources currently in place. The company continues to face risks related to its limited cash reserves and evolving business model.