NextPlat(NXPL) - 2024 Q3 - Quarterly Report

E-commerce Development - The company has embarked on a rollout of a state-of-the-art e-commerce platform, aiming to optimize online sales for businesses domestically and internationally [136]. - E-commerce transaction volumes at the company's owned and operated websites in the UK and the United States set monthly performance records during the third quarter [137]. Pharmacy Operations - Progressive Care operates five pharmacies, generating most of its pharmacy revenues from dispensing medications to patients [139]. - The focus on complex chronic diseases drives recurring revenue and sustainable growth for Progressive Care, with revenue growth stemming from service expansion and new drug indications [142]. Investment and Control Changes - On August 30, 2022, NextPlat invested an aggregate of $8.3 million into Progressive Care, purchasing 3,000 newly issued units valued at$6 million [144]. - As of July 1, 2023, NextPlat gained control of over 50% of Progressive Care's voting stock, leading to a change in accounting method from equity method investment to consolidation [153]. Merger and Acquisition - On April 12, 2024, NextPlat entered into a Merger Agreement with Progressive Care, which was approved by shareholders on September 13, 2024 [154][155]. - The merger became effective on October 1, 2024, with each share of Progressive Care common stock converted into 1.4865 shares of NextPlat common stock [156]. - The Company completed the acquisition of Outfitter Satellite, Inc. on April 1, 2024 [157]. - Outfitter provides advanced satellite-based connectivity solutions to consumers, commercial, and government customers [158].