Wed, Aug 21, 9:24 PM (146 days ago)
For the quarter ended June 30, 2024, One World Products, Inc. reported revenues of $1,254, significantly up from $75 in the same period last year, driven by CBD product sales. However, total revenues for the first half of 2024 decreased to $1,536 from $2,176. The company incurred a net loss of $865,059 for Q2 2024, up 58% from $547,130 in Q2 2023, primarily due to increased interest expenses and stock-based compensation. Operating expenses dropped by 64% to $374,452, reflecting management changes and cost-cutting measures. The gross profit margin improved to 82%, compared to a negative margin in the prior year, indicating better cost management in transitioning to CBD sales. However, the company's financial health remains precarious, with negative working capital of $2,506,932 and an accumulated deficit of $29,495,767 as of June 30, 2024. Cash flow from operations was negative at $729,707, although financing activities provided $1,208,500. The ongoing restructuring efforts in Colombia add uncertainty, as the company navigates insolvency proceedings for its subsidiary OWP SAS, impacting future operations and cash flow.