Mon, Oct 21, 5:33 PM (150 days ago)
In the quarterly report for Vystar Corporation (VYST), the company reported significant financial challenges for the period ending March 31, 2024. Revenue plummeted by 90.8% to $37.6 million from $409.9 million year-over-year, primarily due to internal restructuring and a shift in focus towards core products, RxAir and Vytex. Gross profit also decreased substantially, reflecting the drop in sales. Operating expenses decreased slightly by 6.9%, attributed to reduced revenues, but the company still reported a loss from operations of $337.2 million, a marked increase compared to the prior period. The net loss for the quarter was $374.7 million, a 70.7% reduction from the previous year, largely driven by a significant reduction in losses from discontinued operations. As of March 31, 2024, Vystar had cash reserves of $11.8 million and a working capital deficit of approximately $6 million. The company faces substantial doubt regarding its ability to continue as a going concern, emphasizing the need for additional financing and increased revenue generation to support operations moving forward. Management's strategies include leveraging cash on hand, enhancing sales from air purification products, and pursuing capital through stock issuances.