Zacks Investment Research has recently initiated coverage of Inspire Veterinary Partners Inc. (IVP) with an Underperform rating, citing persistent financial headwinds and structural challenges that could limit shareholder returns in the near to medium term.Despite operating in the growing U.S. veterinary services market, Inspire Veterinary has struggled to convert expansion efforts into financial stability. As of the third quarter of 2025, the company reported year-to-date net losses of $8 million and an ac ...

Core Insights - Several companies have emerged as significant losers in the market, experiencing notable price drops and volatility [1][7] Company Summaries - **OneConstruction Group Limited (ONEG)**: The company's stock price fell to $2.35, a decrease of 54.18%. Revenue decreased by 16.2% to $53.2 million for the fiscal year ending March 31, 2025, raising concerns about market sentiment and operational challenges [2][8] - **SCHMID Group N.V. Warrants (SHMDW)**: The stock price decreased by 53.97% to $0.41. The decline from a year-high of $0.9651 to a low of $0.36 may reflect market reactions to company performance or broader industry trends [3][8] - **Taitron Components Incorporated (TAIT)**: The stock price dropped to $1.12, a 46.56% decrease. Despite this, the company declared a quarterly cash dividend of $0.035 per share, aiming for an annual dividend of $0.14 per share. The decline from a high of $5.1 to a low of $1.11 may be influenced by operational challenges or shifts in demand within the technology sector [4][8] - **Inspire Veterinary Partners, Inc. (IVP)**: The company's stock price decreased by 39.99% to $0.46. However, it reported a 7% increase in total revenues to $4.3 million and a 27% reduction in net losses for the third quarter of 2025. The downturn from a high of $6.3 to a low of $0.419 could be attributed to market sentiment or competitive pressures [5][8] - **Republic Power Group Limited Class A Ordinary Shares (RPGL)**: The stock price fell to $0.51, a 38.97% drop. The company closed its initial public offering on October 15, 2025, with shares priced at $4.00 each. The decline from a year-high of $5.19 to a low of $0.4551 suggests challenges that may include market competition or operational hurdles [6][8]

Core Insights - Inspire Veterinary Partners, Inc. reported a total revenue of $4.3 million for Q3 2025, reflecting a 7% increase compared to the same period last year and a 1% sequential increase from Q2 2025 [1] Financial Performance - Total revenues increased by 7% compared to the prior year period [1] - Net losses decreased by 27% compared to the prior year period [1] - Comparable clinic revenues increased by 9.2% versus the prior year period [1]

Company Operations and Growth Strategy - Inspire Veterinary Partners, Inc. operates 14 clinics across 9 states, focusing on small animal general practice and expanding into equine care and emergency services[201][206] - The company has acquired multiple veterinary practices, with transaction values ranging from $500,000 to $3,108,652, totaling significant investments in growth[213] - Future growth strategies include entering emergency care and mixed animal services, with a focus on acquiring multi-unit practices to enhance market presence[207][211] - The company plans to continue acquiring existing general practice and specialty hospitals, aiming for a mix of 2 to 6 hospitals in clusters to accelerate growth[211] - The company has developed metrics for assessing and integrating new hospitals, focusing on markets with large pet populations[206] Financial Performance - The Company reported total revenue of $12,238,875 for the nine months ended September 30, 2025, a decrease of 8% from $13,270,973 in 2024[230] - Service revenue decreased by 7% to $9,074,965, while product revenue fell by 11% to $3,163,910[231] - The net loss attributable to Class A and B common stockholders was $7,975,878 for the nine months ended September 30, 2025, compared to a loss of $10,518,389 in 2024[230] - Average Daily Service Revenue decreased to $31,979, down from $35,531 in the previous year, reflecting a decline of $3,552[231] - Net loss decreased by $2,321,661 or 23%, to $7,975,878 for the nine months ended September 30, 2025, compared to $10,297,539 for the same period in 2024[246] Acquisitions and Financing - The acquisition of Kauai Veterinary Clinic resulted in a gain of $467,049 in fiscal year 2024, recorded as "Gain on sale of business" in the Statements of Operations[215] - The total transaction value for the acquisition of Kauai Veterinary Clinic and its real estate was $2,805,000, financed through loans[214] - The Company acquired Dietz Family Pet Hospital for $500,000, financed by a loan of $382,500 from WealthSouth[222] - The acquisition of Aberdeen Veterinary Clinic was completed for $574,683, with financing of $445,981 from WealthSouth[223] - The Pony Express Veterinary Hospital acquisition cost $2,608,652, with an additional $500,000 for real estate, financed by loans totaling $2,853,314[225] Risks and Challenges - Staffing shortages and rising acquisition costs pose risks to the company's ability to integrate new hospitals effectively[208][209] - The company expects to incur additional costs and require additional capital as it continues to acquire veterinary hospitals, clinics, and practices[261] - The company has experienced recurring losses and had negative working capital of $5,894,301 as of September 30, 2025[264] Debt and Capital Structure - The company entered into a master line of credit loan agreement providing for a $2,000,000 revolving secured credit facility and an $8,000,000 closed-end line of credit[268] - A total of $7,623,235 in commercial loans was reported, with $2,961,673 due by September 30, 2025, and $3,361,618 due by December 31, 2024[283] - The company recorded a beneficial conversion feature of $1,569,395 based on the IPO price of $40 per share for the Convertible Debentures converted into common stock[288] - The company has a long-term portion of notes payable amounting to $8,254,408 as of September 30, 2025[286] - The Company reported total notes payable of $11,760,153 as of September 30, 2025, with unamortized debt issuance costs of $81,146[286] Cash Flow and Operating Activities - Cash used in operations was $3,598,738 during the nine months ended September 30, 2025[260] - For the nine months ended September 30, 2025, net cash used in operating activities was $3,555,276, a significant improvement from $9,328,339 in the same period of 2024[314] - The Company provided $5,334,147 in net cash from financing activities for the nine months ended September 30, 2025, compared to $10,036,732 in 2024[314] Customer Retention and Valuation - The annual sales retention rate for the customer base was reported at 74.0%, which is consistent with the Veterinary Services industry rate[329] - An increase in the retention rate by 6% to 80% would result in an increase of approximately $1.2 million to the client list and a decrease of approximately $1.2 million to goodwill[330] - The company utilized a discount rate of 19.6% to calculate the present value of prospective after-tax cash flows associated with the customer base[329] Economic Factors - The company does not believe inflation has had a material effect on its business, financial condition, or results of operations[336] - The company has not used any financial instruments to hedge potential fluctuations in interest rates, which could impact the valuation and profitability of acquired hospitals[335]

Core Insights - Inspire Veterinary Partners, Inc. is launching an online pet pharmacy to provide high-quality prescription and over-the-counter products for pet health starting in Q1 2026 [1] Company Overview - Inspire Veterinary Partners, Inc. operates as a provider of pet health care services across the U.S. [1] Industry Context - The online pharmacy aims to leverage extensive relationships within the veterinary medicine industry to enhance access to pet healthcare products [1]

Core Insights - Inspire Veterinary Partners, Inc. is experiencing positive client growth and momentum compared to previous years [1] - The company is positioned for success and has returned to a growth trajectory [1] Company Achievements - Inspire Veterinary Partners has highlighted key achievements that demonstrate progress year to date [1] - The leadership, including Chairman and CEO Kimball Carr, emphasizes the company's improved positioning for future success [1]

Company Overview - Inspire Veterinary Partners, Inc. operates 14 clinics across 9 states, focusing on small animal general practice and expanding into equine care and emergency services [167]. - The company utilizes a distributed leadership and support structure to facilitate acquisitions across various states [168]. Acquisition Strategy - The company has acquired multiple veterinary practices, with total transaction values including Kauai Veterinary Clinic at $1,505,000 and Pony Express Veterinary Hospital at $3,108,652 [180]. - The acquisition strategy emphasizes purchasing existing hospitals with strong financial track records and growth potential, aiming for clusters of 2 to 6 hospitals to accelerate growth [178]. - Future growth plans include entering emergency care and mixed animal services, with a focus on markets with large pet populations [174]. - The acquisition method requires measuring identifiable assets and liabilities at fair values on the closing date, impacting financial reporting [179]. - The Company acquired Dietz Family Pet Hospital for $500,000, financed by a loan of $382,500 from WealthSouth [189]. - The acquisition of Aberdeen Veterinary Clinic was completed for $574,683, with financing of $445,981 from WealthSouth [190]. - All Breed Pet Care Veterinary Clinic was acquired for $952,000, alongside real estate for $1,200,000, totaling $1,945,450 in loans from WealthSouth [191]. - The Pony Express Veterinary Hospital acquisition cost $2,608,652, with an additional $500,000 for real estate, financed by loans totaling $2,853,314 [192]. - Williamsburg Animal Clinic was acquired for $850,000, financed by a loan of $637,500 from WealthSouth [193]. - The Old 41 Animal Hospital acquisition totaled $1,465,000, financed by loans of $1,208,000 from First Southern National Bank [194]. - Valley Veterinary Service was acquired for $800,000 in cash, with a holdback of $200,000 and $400,000 in restricted shares, alongside real estate for $590,000 [195]. - The DeBary animal clinic was acquired in Q2 2025, contributing to service revenue despite the exclusion of KVC [206][219]. Financial Performance - The Company reported total revenue of $7,922,743 for the six months ended June 30, 2025, a decrease of 14% from $9,221,948 in 2024 [197]. - Service revenue decreased by 12% to $5,936,295, while product revenue fell by 19% to $1,986,448 [198]. - The Company aims for service revenue to constitute 70% to 80% of gross revenue, currently at 75% for service and 25% for product revenue [202]. - Service revenue decreased by $24,972 or 1% to $3,195,266 for the three months ended June 30, 2025, compared to $3,220,238 for the same period in 2024, primarily due to the exclusion of KVC from 2025 results [219]. - Product revenue decreased by $81,875 or 7% to $1,088,268 for the three months ended June 30, 2025, compared to $1,170,143 for the same period in 2024 [215]. - Total revenue decreased by $106,847 or 2% to $4,283,534 for the three months ended June 30, 2025, compared to $4,390,381 for the same period in 2024 [215]. - Cost of service revenue decreased by $6,578 or 0.3% to $2,435,318 for the three months ended June 30, 2025, compared to $2,428,740 for the same period in 2024 [214]. - General and administrative expenses increased by $431,627 or 19% to $2,650,361 for the three months ended June 30, 2025, compared to $2,218,734 for the same period in 2024 [214]. - Net loss decreased by $351,853 or 10% to $3,034,568 for the three months ended June 30, 2025, compared to $3,386,421 for the same period in 2024 [214]. - The company had a total accumulated deficit of $41,799,885 as of June 30, 2025 [227]. Cash Flow and Financing - Cash used in operations during the six months ended June 30, 2025, was $2,272,581 [227]. - The company expects to incur additional costs and require additional capital as it continues to acquire veterinary hospitals and clinics [228]. - The company plans to raise additional capital through a combination of private or public equity offerings, debt financings, and strategic alliances [232]. - The Company entered into three commercial loans with First Southern National Bank (FSB) as part of the KVC acquisition, totaling $3,833,400 with interest rates ranging from 4.35% to 5.05% [241][242][243]. - A Forbearance Agreement extended the maturity dates of the first two loans to August 31, 2024, increasing their interest rates to 8.15% and monthly payments to $9,016 and $14,898 respectively [241][242]. - The Company secured three additional loans with FSB for the Pony Express Practice acquisition, totaling $3,186,921 with fixed interest rates of 5.97% and 6.75% [244][245][246]. - The Company also entered into two loans with FSB for the Old 41 Practice acquisition, totaling $1,208,000 at a fixed interest rate of 6.50% [247][248]. - A new commercial loan of $375,000 was secured from FSB for the Valley Vet acquisition, with a fixed interest rate of 8.5% and a maturity date of January 29, 2026 [250]. - As of June 30, 2025, total notes payable to FSB amounted to $3,021,096, with a total of $7,623,235 in commercial loans outstanding [251]. - The Company issued $2,102,500 in Convertible Debentures at a 6.00% interest rate, with an additional $1,612,000 issued in 2022 and $650,000 in March 2023 [255]. - Upon the IPO closing on August 31, 2023, $4,014,500 of Convertible Debentures were converted into 14,953 shares of Class A common stock at a conversion price of $30.00 per share [256]. - The Company entered into a Merchant Cash Advance Agreement for $1,050,000 with an effective interest rate of 49%, which was later amended to increase the borrowing amount and adjust repayment terms [257][258]. - The total notes payable as of June 30, 2025, amounted to $12,031,491, with a long-term portion of $8,455,473 [253]. - The Company amended its financing arrangement on December 24, 2024, borrowing an additional $513,650, increasing weekly payments to $71,995 over 41 weeks, with an effective interest rate of 43% [262]. - On May 20, 2025, the Company borrowed an additional $550,000, increasing weekly payments to $78,500 over 47 weeks, with an effective interest rate of 42% [263]. - As of June 30, 2025, the outstanding balance of the loan payable was $2,738,871, compared to $2,340,020 as of December 31, 2024 [265]. Intangible Assets and Client Retention - As of June 30, 2025, the client list intangible asset increased to $2,016,444 from $1,916,444 as of December 31, 2024, reflecting a growth of approximately 5.2% [291]. - The company acquired one animal clinic, resulting in a $100,000 increase in the client list intangible asset [292]. - The company uses a 74% annual sales retention rate for the customer base, which is based on the Veterinary Services industry rate [294]. - A discount rate of 19.6% was selected to calculate the present value of prospective after-tax cash flows associated with the customer base [294]. - An increase in the retention rate by 6% to 80% would result in an increase of approximately $1.2 million to the client list and a decrease of approximately $1.2 million to goodwill [291]. - The accumulated amortization for intangible assets increased from $1,774,445 to $2,081,926 between December 31, 2024, and June 30, 2025 [290]. Risk Factors and Economic Conditions - The company faces risks such as national staffing shortages and challenges in achieving post-acquisition growth targets [175]. - The company has not used any financial instruments to hedge potential fluctuations in interest rates [297]. - The company does not believe inflation has had a material effect on its business or financial condition [299]. - The company does not have any off-balance sheet arrangements [295].

Company Overview - Inspire Veterinary Partners, Inc. operates thirteen clinics across nine states, focusing on small animal general practice hospitals and expanding into equine care with the acquisition of The Pony Express Veterinary Hospital [141]. Acquisition Strategy - The company has acquired multiple veterinary practices, with transaction values ranging from $500,000 to $3,108,652, totaling significant investments in growth [153]. - The acquisition of Kauai Veterinary Clinic was completed for $1,505,000, with an additional $1,300,000 for the underlying real estate, financed by loans totaling $2,383,400 [157]. - The company plans to continue due diligence for acquisitions of general practice and specialty hospitals, aiming to expand services to include emergency care and complex surgeries [150]. - The company intends to maintain a focus on individual clinic acquisitions while also pursuing clusters of 2 to 6 hospitals to accelerate growth [151]. - The Company acquired Dietz Family Pet Hospital for $500,000, financed by a loan of $382,500 from WealthSouth [165]. - The acquisition of Aberdeen Veterinary Clinic was completed for $574,683, with financing of $445,981 from WealthSouth [166]. - All Breed Pet Care Veterinary Clinic was acquired for $952,000, alongside real estate for $1,200,000, financed by loans totaling $1,945,450 [167]. - The Pony Express Veterinary Hospital acquisition cost $2,608,652, with an additional $500,000 for real estate, financed by loans totaling $2,853,314 [168]. - Williamsburg Animal Clinic was acquired for $850,000, financed by a loan of $637,500 from WealthSouth [169]. - The Old 41 Animal Hospital acquisition totaled $1,465,000, financed by loans of $1,208,000 [170]. - Valley Veterinary Service was acquired for $800,000 in cash, with a holdback of $200,000 and $400,000 in restricted shares, alongside real estate for $590,000 [171]. Financial Performance - For the three months ended March 31, 2025, total revenue decreased by 25% to $3,639,209 compared to $4,831,567 in 2024 [172]. - Service revenue dropped by 23% to $2,741,029, while product revenue fell by 30% to $898,180 [174]. - The Company aims for service revenue to constitute 70% to 80% of gross revenue, currently at 75% for the reported period [177]. - Service revenue decreased by $804,571, or 23%, to $2,741,029 for the three months ended March 31, 2025, compared to $3,545,599 for the same period in 2024 [181]. - Product revenue decreased by $387,787, or 30%, to $898,180 for the three months ended March 31, 2025, compared to $1,285,968 for the same period in 2024 [182]. - Cost of service revenue decreased by $569,869, or 21%, to $2,139,278 for the three months ended March 31, 2025, compared to $2,709,147 for the same period in 2024 [183]. - Cost of product revenue decreased by $230,698, or 23%, to $785,409 for the three months ended March 31, 2025, compared to $1,016,107 for the same period in 2024 [184]. - General and administrative expenses decreased by $426,905, or 15%, to $2,446,438 for the three months ended March 31, 2025, compared to $2,873,343 for the same period in 2024 [185]. - Net loss decreased by $1,006,756, or 29%, to $2,415,036 for the three months ended March 31, 2025, compared to $3,421,792 for the same period in 2024 [188]. - The company had a total accumulated deficit of $38,765,317 as of March 31, 2025 [189]. - Cash used in operations was $1,374,297 for the three months ended March 31, 2025 [189]. Funding and Capital Structure - The company expects to incur additional costs and require additional capital as it continues to acquire additional veterinary hospitals, clinics, and practices [190]. - The company is seeking to raise additional funding through debt or equity financing during the next twelve months [192]. - As of March 31, 2025, total notes payable amounted to $11,523,821, a decrease from $11,983,137 as of December 31, 2024, reflecting a reduction of approximately 3.85% [212]. - The company entered into a commercial loan with FSB for $375,000 on November 8, 2023, with a fixed interest rate of 8.5% [210]. - The company issued a total of $2,102,500 in Convertible Debentures with a 6.00% interest rate between March 18 and December 28, 2021 [213]. - The total principal amount of FSB notes payable as of March 31, 2025, was $3,097,263, down from $3,361,618 as of December 31, 2024 [212]. - The company has a long-term portion of notes payable amounting to $8,283,910 as of March 31, 2025 [212]. - The company has incurred issuance costs of $40,000 for the Convertible Debenture, amortized over its life [213]. - The company entered into a Merchant Cash Advance Agreement for gross proceeds of $1,050,000 with an effective interest rate of 49% [215]. - The financing arrangement was amended on August 10, 2023, to borrow an additional $507,460, increasing weekly repayments to $76,071 over 28 weeks and decreasing the effective interest rate to 41% [216]. - As of March 31, 2025, the outstanding balance of the loan payable was $1,737,846, down from $2,340,020 as of December 31, 2024 [222]. - For the three months ended March 31, 2025, the Company reported net cash used in operating activities of $1,374,297, an improvement from $3,169,029 in the same period of 2024 [229]. - The cash provided by financing activities for the three months ended March 31, 2025, was $2,528,915, compared to $3,216,090 in the same period of 2024 [229]. Goodwill and Intangible Assets - The Company has entered into acquisitions primarily with existing veterinary hospitals throughout the United States, allocating purchase consideration based on estimated fair values [237]. - Goodwill is tested for impairment annually or when circumstances change, with the Company assessing qualitative factors to determine if an impairment test is necessary [239]. - As of March 31, 2025, the company's intangible assets totaled $1,481,352, with accumulated amortization of $1,927,020 [243]. - The client list is valued at $1,916,444, with a retention rate of 74% based on the Veterinary Services industry [243]. - An increase in the retention rate to 80% would increase the client list value by approximately $1.2 million and decrease goodwill by the same amount [243]. Risk Factors - Staffing shortages and rising talent acquisition costs pose risks to the company's ability to swiftly acquire and integrate new hospitals [148]. - The company has no off-balance sheet arrangements [246]. - As of March 31, 2025, the company's net borrowings under the Master Lending and Credit Facility were $11,523,820, exposing it to minimal interest rate fluctuations [248]. - The company has not used any financial instruments to hedge against interest rate fluctuations [248]. - Inflation has not materially affected the company's financial condition or results of operations [250]. Valuation and Financial Assumptions - The company selected a discount rate of 19.6% to calculate the present value of prospective after-tax cash flows associated with the customer base [245]. - Stock-based compensation is measured using the Black-Scholes Model, with assumptions that can significantly impact recorded expenses [244]. - The annual sales retention rate for the customer base is maintained at 74% [245].

Company Overview - Inspire Veterinary completed its initial public offering on August 31, 2023, with shares quoted on Nasdaq under the symbol "IVP" [233]. - As of the filing date, the company operates thirteen clinics across nine states, focusing on acquiring existing hospitals with strong financial track records and growth potential [234]. Acquisitions and Expansion Plans - The company has acquired multiple veterinary practices, with notable transactions including Pony Express Veterinary Hospital for $3,108,652 and Southern Kern Veterinary Clinic for $2,000,000 [245]. - The company aims to acquire multi-unit practices to facilitate growth and enhance internal referrals and career development opportunities [243]. - The company plans to expand into emergency care and mixed animal services, including equine care, in the coming years [239]. - The company intends to continue conducting due diligence for strategic acquisitions of general practices and specialty hospitals through 2025 and beyond [242]. - The Company acquired Pony Express Veterinary Hospital for $2,608,652 and real estate for $500,000 on October 31, 2022, financed by loans totaling $2,853,314 [259]. - Williamsburg Animal Clinic was acquired for $850,000 on December 9, 2022, financed by a loan of $637,500 [260]. - The Old 41 Animal Hospital was acquired for $665,000 and real estate for $800,000 on December 16, 2022, financed by loans totaling $1,208,000 [261]. - Valley Veterinary Service was acquired for $800,000 in cash, with a holdback of $200,000 and $400,000 in restricted shares on November 8, 2023 [262]. - The company has developed metrics for assessing and integrating new hospital acquisitions, focusing on markets with large pet populations [238]. Financial Performance - Total revenue for the year ended December 31, 2024, was $16,592,109, a decrease of $83,284 or 0% compared to 2023 [264]. - Service revenue increased by $308,592 or 3% to $12,188,526 for the year ended December 31, 2024, driven by acquisitions and price increases [271]. - Product revenue decreased by $391,876 or 8% to $4,403,583 for the year ended December 31, 2024, due to lower customer purchases per visit [272]. - General and administrative expenses rose by $1,663,815 or 18% to $11,421,352 for the year ended December 31, 2024 [264]. - The net loss attributable to Class A and B common stockholders was $14,485,111 for the year ended December 31, 2024, a decrease of $579,020 or 4% compared to 2023 [264]. - The company experienced a net loss of $14.3 million for the year ended December 31, 2024, an increase of $529 thousand compared to 2023 [335]. - Net loss decreased by $528,625, or 5%, to $14,264,261 for the year ended December 31, 2024, compared to $14,792,886 for 2023, attributed to the gain on the sale of KVC practice [279]. Costs and Expenses - Cost of service revenue increased by $35,319, or 0%, to $9,736,282 for the year ended December 31, 2024, compared to $9,700,963 for 2023, primarily driven by the acquisition of Valley Veterinary animal hospital [273]. - Cost of product revenue rose by $142,764, or 4%, to $3,563,279 for the year ended December 31, 2024, compared to $3,420,515 for 2023, mainly due to the acquisition of Valley Veterinary and increased payroll costs [275]. - General and administrative expenses increased by $1,945,065, or 21%, to $11,421,352 for the year ended December 31, 2024, compared to $9,476,287 for 2023, primarily due to expenses from the Valley Veterinary acquisition and new marketing agreements [276]. - Other expenses decreased by $2,380,752, or 31%, to $5,237,223 for the year ended December 31, 2024, compared to $7,617,975 for 2023, primarily due to a decrease in beneficial conversion [278]. - Depreciation and amortization expenses increased by $56,060, or 4%, to $1,308,619 for the year ended December 31, 2024, compared to $1,252,539 for 2023, mainly due to the acquisition of depreciable assets from Valley Veterinary [277]. Debt and Financing - The company plans to raise additional capital through a combination of private or public equity offerings, debt financings, and strategic alliances [286]. - The company has a repayment requirement of $3,416,965 due in 2025, with additional payments scheduled in subsequent years [305]. - The company entered into three commercial loans with First Southern National Bank (FSB) as part of the acquisition, with the first loan amounting to $1,105,000 at a fixed interest rate of 4.35% [293]. - The second commercial loan with FSB was for $1,278,400, also at a fixed interest rate of 4.35%, with a maturity date extended to August 31, 2024 [294]. - The company has a total of $7,623,235 in notes payable to FSB as of December 31, 2024, with a significant portion being long-term [303]. - As of December 31, 2024, total notes payable amounted to $11,983,137, a decrease from $15,076,588 in 2023, reflecting a reduction of approximately 20% [305]. - The FNBD notes payable decreased from $9,309,286 in 2023 to $8,621,519 in 2024, indicating a reduction of approximately 7.4% [305]. - The FSB notes payable also decreased from $5,767,302 in 2023 to $3,361,618 in 2024, representing a decline of approximately 41.6% [305]. - The Company recognized a debt extinguishment loss of $16,105 upon the IPO completion on August 31, 2023, and a beneficial conversion feature of $2,567,866 for the issuance of Series A preferred stock [314]. Cash Flow and Operations - The company reported a net cash used in operating activities of $(10,005,866) for the year ended December 31, 2024, compared to $(3,820,771) in 2023, indicating a significant increase in cash outflow [334]. - Financing activities generated $10,588,578 in cash for the year ended December 31, 2024, up from $5,625,009 in 2023, reflecting increased capital raising efforts [334]. - Future minimum lease payments required under operating leases total $2,127,468 as of December 31, 2024, with undiscounted cash flows amounting to $2,953,326 [333]. Intangible Assets and Goodwill - The company has intangible assets and goodwill totaling $11,430,454 as of December 31, 2024, with goodwill alone amounting to $8,022,082 [350]. - The company’s client list intangible asset is valued at $1,916,444, reflecting a conservative retention rate of 74% based on industry standards [350]. - The Company uses a 15-year useful life for client lists, with a discount rate of 19.6% applied to calculate present value of cash flows [349]. - Goodwill is tested for impairment annually or when significant changes occur that may reduce fair value [344]. - Intangible assets are amortized over a 5-year term for client lists and trademarks, and over a 2-year term for non-compete agreements [346]. - The Multi-Period Excess Earnings Method (MPEEM) is used to determine the fair market value of client list intangible assets [347].

Core Points - Inspire Veterinary completed a public offering raising $6 million by selling 6 million shares at $1 per share [3] - The funds will be used for working capital, corporate purposes, marketing services, strategic investments, and potential future acquisitions [1] - Following the public offering, IVP stock is down 25% as of Thursday morning, despite a previous rally of 110.2% [6][5] - The public offering has increased the total number of outstanding shares, leading to dilution of current investors' stakes, contributing to the stock's decline [8] Financial Impact - The public offering price was significantly below the closing price of IVP stock, which may have influenced the stock's downward movement [1] - The offering included pre-funded warrants for investors whose ownership would exceed 4.99% [3]