10-Q - Stemtech Corp (0001511820) (Filer)

Tue, Nov 19, 9:50 PM (55 days ago)

Stemtech Corporation (Ticker: STEM) reported a net loss of $1,171,405 for Q3 2024, compared to a loss of $1,040,093 in Q3 2023. Revenue decreased to $1,031,630 from $1,298,322 year-over-year, attributed to reduced inventory and a recent price increase amid economic uncertainty. Cost of goods sold rose significantly to $380,205, reflecting increased manufacturing costs. For the nine months ended September 30, 2024, revenue increased by 5% to $3,740,000, while net loss decreased to $3,376,121 from $3,565,449. Operating expenses decreased by 14% due to lower commissions and marketing costs, although general and administrative expenses rose slightly. As of September 30, 2024, current assets totaled $778,586 against current liabilities of $9,589,603, highlighting liquidity challenges. The company continues to rely on debt financing, with total notes payable increasing to $4,064,604. Management anticipates raising additional capital to support operations and growth initiatives, particularly in expanding its Independent Business Partner network. Future operations may be affected by ongoing market conditions and the ability to secure financing.