Mon, May 20, 9:40 PM (67 days ago)
Vivakor, Inc.'s quarterly financial report for the period ended March 31, 2024, highlights several key financial metrics and developments. The company reported revenues of $16.02 million, a 3.07% increase from the previous year, primarily driven by higher sales of oil and natural gas liquids. However, gross profit decreased by 29.41% to $1.07 million due to increased cost of goods sold. Operating expenses slightly increased by 1.78% to $2.69 million. The company faced a net loss of $1.91 million, an improvement from the $2.82 million loss in the same period last year. Significant factors included a reduction in interest expense by 63.17% and a gain of $177,550 from the deconsolidation of a subsidiary. Cash flow from operations showed a net outflow of $1.83 million, with additional investments in equipment totaling $1.03 million. Vivakor's liquidity remains a concern, with a working capital deficit of $37 million and substantial current liabilities of $20.4 million. Despite raising $3 million through debt financing, the company acknowledges substantial doubt about its ability to continue as a going concern. Future operations may be impacted by pending merger and acquisition agreements, which are expected to close in 2024.