Thu, Aug 15, 8:11 PM (152 days ago)
Reborn Coffee, Inc. reported a revenue increase from approximately $3.2 million in 2022 to $5.5 million in 2023, although it incurred a net loss of $4.7 million, reflecting a net loss margin of -82.5%. Adjusted EBITDA also worsened, showing a loss of $4.3 million and an adjusted EBITDA margin of -77.7%. The company has 14 retail locations in California and plans to open 20 additional corporate and franchise locations by the end of 2024. This 10-K/A amendment primarily addresses immaterial corrections to previously reported financial statements and includes the independent auditor's report, which had been omitted from the original filing. The company faces significant risks, including recurring losses, challenges in competition, supply chain disruptions, and potential non-compliance with Nasdaq listing requirements, which could lead to delisting. The ongoing reliance on debt financing and the need for additional capital raise concerns regarding liquidity and operational continuity. The future outlook hinges on successful expansion and effective management of growth, alongside addressing operational risks and maintaining brand reputation.