Core Viewpoint - Synergy CHC Corp. is set to release its financial results for Q4 and the full year of 2024 on March 31, 2025, before market trading begins [1]. Financial Results Announcement - The financial results will be discussed in a conference call at 9:00 a.m. ET / 6:00 a.m. PT, featuring CEO Jack Ross and CFO Jaime Fickett [2]. - A live webcast of the conference call will be available on the Investor Relations section of Synergy's website, with a replay accessible for a limited time [2]. Company Overview - Synergy CHC Corp. specializes in consumer health care and lifestyle products, with a brand portfolio that includes FOCUSfactor, a brain health supplement, and Flat Tummy, a wellness brand focused on nutritional products for weight management [3].

Company Overview - Synergy CHC Corp. is a provider of consumer health care and lifestyle products [2] - The company's brand portfolio includes FOCUSfactor, a clinically-tested brain health supplement, and Flat Tummy, a wellness brand focused on nutritional products for weight management [2] Upcoming Events - Synergy CHC Corp. will attend the 37th Annual ROTH Conference from March 16-18, 2025, in Dana Point, California [1] - Management will be available for one-on-one investor meetings during the conference [1]

Revenue Performance - For the three months ended September 30, 2024, the company reported revenue of $7,126,333, a decrease of 34.5% from $10,805,735 in the same period of 2023[223]. - For the nine months ended September 30, 2024, revenue was $24,563,036, down from $29,559,440 in 2023, a decrease of 16.8%[234]. Gross Profit - Gross profit for the three months ended September 30, 2024, was $4,790,432, representing 67% of revenue, down from $7,777,712 or 72% of revenue in 2023, a decrease of $2,987,280 or 38%[225]. - Gross profit for the nine months ended September 30, 2024, was $17,141,106, or 70% of revenue, compared to $21,207,795, or 72% of revenue in 2023, a decrease of $4,066,689 or 19%[236]. Net Income - Net income for the three months ended September 30, 2024, was $783,593, compared to $1,284,187 for the same period in 2023, reflecting lower revenue[231]. - Net income for the nine months ended September 30, 2024, was $2,019,309, down from $3,747,444 in 2023, attributed to lower revenue[243]. Expenses - Selling and marketing expenses for the three months ended September 30, 2024, were $2,509,440, a decrease from $4,302,034 in 2023, due to improved management of promotions[226]. - The company experienced a decrease in cost of revenue for the three months ended September 30, 2024, at $2,335,901, down from $3,028,023 in 2023, primarily due to decreased revenue[224]. EBITDA - EBITDA for the three months ended September 30, 2024, was $1,329,334, compared to $2,156,369 for the same period in 2023[220]. Cash Flow - For the nine months ended September 30, 2024, net cash used by operating activities decreased to $1,377,479 from $2,737,849 in the same period of 2023, a reduction of approximately 49.6%[245]. - Net cash provided by financing activities increased to $895,972 for the nine months ended September 30, 2024, compared to $553,490 in 2023, reflecting a growth of approximately 62%[249]. Related Party Transactions - Advances from related parties rose significantly to $3,395,587 in the nine months ended September 30, 2024, compared to $1,000,000 in the same period of 2023[250]. Strategic Plans - The company plans to grow its product lines and expand into new markets, specifically focusing on increased distribution for the recently launched ready-to-drink beverage under the FOCUSfactor brand[251]. - The company continues to evaluate strategic acquisition opportunities to enhance its brand portfolio[251]. Other Information - As of September 30, 2024, the company had $259,375 in cash on hand and $100,000 in restricted cash for credit card collateral[244]. - There were no off-balance sheet arrangements during the nine months ended September 30, 2024, or the year ended December 31, 2023[252]. - The impact of inflation on operating results was not significant for the nine months ended September 30, 2024, or 2023[253].

Financial Performance - Revenue for Q3 2024 was $7.1 million, down 34% from $10.8 million in Q3 2023[5] - Net income for Q3 2024 was $0.8 million, compared to $1.3 million in Q3 2023, reflecting a decline of 38%[10] - EBITDA for Q3 2024 was $1.3 million, down 38% from $2.2 million in Q3 2023[10] - Gross profit for the nine months ended September 30, 2024, was $17,141,106, compared to $21,207,795 for the same period last year, indicating a decrease of about 19.2%[22] - Net income after tax for the nine months ended September 30, 2024, was $2,019,309, down from $3,747,444 in the previous year, reflecting a decline of approximately 46.2%[22] - Net income per share – basic for the three months ended September 30, 2023, was $0.10, compared to $0.17 in the same period last year, a decline of approximately 41.2%[22] Margins and Expenses - Gross margin decreased to 67.2%, down 476 basis points from 72.0% in the same period last year[8] - Operating expenses for the three months ended September 30, 2023, totaled $3,739,557, compared to $5,628,898 in the same period last year, a reduction of about 33.5%[22] - Total operating expenses for the nine months ended September 30, 2024, were $12,698,310, down from $14,827,851 in the same period last year, a decrease of about 14.4%[22] - Interest expense, net for the three months ended September 30, 2023, was $704,707, compared to $885,548 in the same period last year, a decrease of about 20.4%[22] Cash and Debt Management - Cash and cash equivalents as of September 30, 2024, were approximately $259.4 thousand, down from $632.5 thousand at the end of 2023[11] - The company reduced outstanding debt by $1.1 million during Q3 2024 and an additional $3.1 million post-IPO[6] - Total liabilities decreased to $37.3 million as of September 30, 2024, from $39.5 million at the end of 2023[11] - Net cash used in operating activities for the nine months ended September 30, 2024, was $(1,377,479), an improvement from $(2,737,849) in the same period last year[25] - Cash and restricted cash at the end of the period was $359,375, compared to $337,827 at the end of the same period last year, showing a slight increase of approximately 6.5%[25] Strategic Initiatives - Synergy expanded partnerships with BJ's Wholesale Clubs and Publix, increasing distribution to 267 and 1,200 locations respectively[6] - The company aims to expand its brand distribution footprint and enter new geographical markets in 2025[3] - FOCUSfactor underwent its first re-branding since 2015, impacting sales due to retailer de-inventorying[7] Related Party Transactions - Advances from related party for the nine months ended September 30, 2024, amounted to $3,395,587, significantly higher than $1,000,000 in the previous year[25]

Financial Performance - For the three months ended March 31, 2020, the company reported revenue of $6,117,286, a decrease of 33% from $9,468,955 in the same period in 2019[150] - Gross profit for the same period was $4,619,507, representing a gross margin of 76%, compared to a gross profit of $6,928,505 and a margin of 73% in 2019[152] - Adjusted EBITDA for the three months ended March 31, 2020, was $847,193, reflecting the company's focus on evaluating operating performance[148] - The company experienced a net income of $262,303 for the three months ended March 31, 2020, down from $1,467,287 in the same period in 2019[157] - The company reported a decrease in operating expenses, with selling and marketing expenses at $2,253,956 compared to $3,311,867 in 2019[153] - The company had net cash used in operating activities of $(1,302,062) for the three months ended March 31, 2020, compared to net cash provided of $813,711 in 2019[163] Financial Position - The company's working capital deficit was $4,444,249 as of March 31, 2020, which includes loans payable to related parties of $5,486,377[166] - The company had cash on hand of $314,933 and restricted cash of $100,000 as of March 31, 2020[159] Future Plans and Strategies - The company plans to raise additional capital through a line of credit and/or loans for future mergers and acquisitions, which may be impacted by COVID-19[166] - The company intends to expand its online presence and develop new marketing campaigns for organic growth within its current product lines[171] Impact of COVID-19 - The COVID-19 pandemic has significantly impacted global economic activity, potentially disrupting the Company's operations and financial condition[172] - The Company may implement temporary precautionary measures, such as remote work for employees, which could negatively affect business operations[172] Other Considerations - The effect of inflation on the Company's operating results was not significant[176] - The preparation of financial statements requires management to make estimates and assumptions that affect reported amounts of assets, liabilities, revenue, and expenses[177] - The Company is classified as a "smaller reporting company" and is not required to provide certain market risk disclosures[179]

Revenue Composition - FOCUSfactor represents 64% of the company's revenue, while the Flat Tummy brand accounts for 32%[15][16]. - The company relies heavily on Costco and Walmart, which together comprise 78% of net revenue from retail sales[23]. Sales Strategy - The company plans to diversify its sales network and expand online sales channels to enhance market penetration[19][27]. Research and Development - The company outsources research and development to manufacturers experienced in product development[20]. - FOCUSfactor is the only product in its category with both a patent and clinical study supporting its claims[29]. - The company has a patent (U.S. Patent 8,329,227) for FOCUSfactor's formulation, which enhances mental function[25]. Workforce and Growth - The company had 36 full-time employees as of April 2020 and plans to grow its workforce in response to business demands[34]. - The company intends to continue developing product extensions and expanding into new markets[14]. Risk Factors - The COVID-19 pandemic poses risks that could disrupt business operations and impact financial conditions[35]. - The company is focused on compliance with applicable laws and regulations, which may impact future operations[30][33].

Financial Performance - For the three months ended September 30, 2019, the company reported revenue of $7,364,546, a decrease of 20% from $9,190,377 in the same period of 2018[140]. - The gross profit for the three months ended September 30, 2019, was $4,874,102, representing a gross margin of 66%, down from 68% in the same period of 2018[142]. - Adjusted EBITDA for the three months ended September 30, 2019, was $787,275, compared to $1,000,000 in the same period of 2018, indicating a decrease in operational performance[138]. - For the nine months ended September 30, 2019, the company reported revenue of $23,170,222, down 19% from $28,619,950 in the same period of 2018[149]. - The net income for the nine months ended September 30, 2019, was $1,893,613, a significant improvement compared to a net loss of $(493,296) for the same period in 2018[157]. Expenses and Costs - Selling and marketing expenses for the three months ended September 30, 2019, were $2,771,884, a decrease of 30% from $3,960,131 in the same period of 2018[143]. - The company's cost of revenue for the three months ended September 30, 2019, was $2,490,444, down from $2,945,389 in the same period of 2018, reflecting a decrease in product sales[141]. - The company experienced a decrease in depreciation and amortization expenses for the three months ended September 30, 2019, totaling $301,388, down from $455,579 in the same period of 2018[145]. Cash Flow and Working Capital - As of September 30, 2019, the company had cash on hand of $1,389,311 and a working capital deficit of $3,980,990, including a balloon payment on a loan of $4,500,000[158]. - Net cash provided by operating activities for the nine months ended September 30, 2019 was $2,529,885, an increase of 23.7% compared to $2,043,765 for the same period in 2018[160]. - The net income contributing to the cash flow was $1,893,613, with significant adjustments including a decrease in accounts receivable by $2,556,095 and a decrease in inventory by $437,155[161]. - Net cash used in investing activities was $0 for the nine months ended September 30, 2019, a decrease from $194,300 used in the same period in 2018[162]. - Net cash used in financing activities was $1,537,500, down 32.8% from $2,287,500 in the same period in 2018, primarily due to the payoff of a loan[163]. Strategic Plans - The company plans to grow both organically and through future acquisitions as part of its overall strategy[134]. - The company plans for organic growth by developing and launching new products and expanding its online presence[164]. - The company intends to grow further through additional acquisitions while also focusing on developing existing products[164]. Operational Updates - The technology center in Halifax, Nova Scotia is fully operational, providing marketing services to all brands[164]. - There were no significant contractual obligations or off-balance sheet arrangements reported[165][166]. - The effect of inflation on the company's operating results was not significant[167]. - Recent accounting pronouncements are detailed in the unaudited condensed consolidated financial statements[169].

Financial Performance - For the three months ended June 30, 2019, the company reported revenue of $6,336,721, a decrease of 35.5% from $9,728,712 in the same period in 2018[148]. - For the six months ended June 30, 2019, the company reported revenue of $15,805,676, down 18.5% from $19,429,573 in the same period in 2018[157]. - The company's net income for the three months ended June 30, 2019, was $318,462, a turnaround from a net loss of $783,393 in the same period in 2018[155]. - The net income for the company was $1,785,748, resulting in an adjusted total of $1,776,352 after accounting for various adjustments[169]. Profitability Metrics - The company's gross profit for the three months ended June 30, 2019, was $4,729,434, representing a gross profit margin of 75%, compared to 72% in the same period in 2018[150]. - Adjusted EBITDA for the three months ended June 30, 2019, was $1,185,681, reflecting a significant increase in operational performance[146]. Expenses Management - Selling and marketing expenses for the three months ended June 30, 2019, were $2,647,379, down 48.6% from $5,148,656 in the same period in 2018[151]. - The company's cost of revenue for the three months ended June 30, 2019, was $1,607,587, a decrease of 41.4% from $2,744,760 in the same period in 2018[149]. - The company experienced a decrease in general and administrative expenses to $1,072,705 for the three months ended June 30, 2019, from $1,475,289 in the same period in 2018, due to better management of operating costs[152]. Cash Flow - Net cash provided by operating activities for the six months ended June 30, 2019, was $1,776,352, compared to $712,546 for the same period in 2018, indicating improved cash flow[168]. - Net cash used in investing activities for the six months ended June 30, 2019, was $0, a decrease from $194,300 in the same period of 2018[170]. - Net cash used in financing activities for the six months ended June 30, 2019, was $1,025,000, down from $1,712,500 in the same period of 2018[171]. Company Operations - As of June 30, 2019, the company had cash on hand of $1,064,301 and a working capital deficit of $46,078[167]. - The company plans for organic growth by developing and launching new products and expanding its online presence[172]. - The technology center in Halifax, Nova Scotia, is fully operational, providing marketing services to all brands[172]. Accounting and Compliance - The company employs critical accounting estimates related to revenue recognition and accounts receivable allowances[177]. - Recent accounting pronouncements are detailed in the unaudited condensed consolidated financial statements[178]. - As a smaller reporting company, the company is not required to provide detailed market risk disclosures[179]. - There were no contractual obligations or off-balance sheet arrangements reported[174][175]. - The effect of inflation on the company's operating results was not significant[176].

Financial Performance - For the three months ended March 31, 2019, the company reported revenue of $9,468,955, a decrease of 2.4% from $9,700,861 in the same period of 2018[151]. - Gross profit for the same period was $6,928,505, representing a gross margin of 73%, up from 71% in 2018, indicating a slight improvement in product mix[154]. - Adjusted EBITDA for the three months ended March 31, 2019, was $2,273,420, reflecting the company's focus on core operating results[150]. - Net income for the three months ended March 31, 2019, was $1,467,287, a significant recovery from a net loss of $(55,493) in the same period of 2018[159]. Expenses Management - Selling and marketing expenses decreased to $3,311,867 in Q1 2019 from $4,252,703 in Q1 2018, primarily due to reduced personnel in advertising and marketing[155]. - General and administrative expenses were reduced to $1,487,107 in Q1 2019 from $1,760,856 in Q1 2018, attributed to better management of operating costs[156]. Strategic Focus - The company plans to focus on organic growth by developing and launching new products and expanding its online presence in 2019[166]. Cash Flow and Working Capital - As of March 31, 2019, the company had cash on hand of $688,836 and a working capital deficit of $155,476[161]. - Net cash provided by operating activities for Q1 2019 was $813,711, down from $944,647 in Q1 2018, mainly due to a decrease in accounts payable and accrued expenses[162]. - The company had no net cash used in investing activities for Q1 2019, compared to $136,725 in Q1 2018, indicating a shift in investment strategy[164].

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2018 Commission file number: 000-55098 Synergy CHC Corp. (Exact name of registrant as specified in its charter) | Nevada | 99-0379440 | | --- | --- | | (State or other jurisdiction of | (I.R.S. Employer | | incorporation or organization) | Identification No.) | | 865 Spring Street Westbrook, ME | 04092 | ...