The Joint (US:JYNT)2024-11-07 21:17Financial Performance - Revenue for Q3 2024 increased by 2% to $30.2 million compared to $29.5 million in Q3 2023[3] - Net loss for Q3 2024 was $3.2 million, including a $3.8 million loss on disposition or impairment, compared to a net loss of $716,000 in Q3 2023[6] - Adjusted EBITDA for Q3 2024 was $2.4 million, down from $2.9 million in Q3 2023[6] - Total revenues for the three months ended September 30, 2024, were $30,198,490, compared to $29,473,949 for the same period in 2023, reflecting an increase of approximately 2.5%[28] - Net loss for the three months ended September 30, 2024, was $(3,165,139), compared to a loss of $(716,273) for the same period in 2023, indicating a significant increase in losses[28] - Net income for the nine months ended September 30, 2024, was a loss of $5,814,558 compared to a profit of $1,289,402 for the same period in 2023[29] - EBITDA for the nine months ended September 30, 2024, was a loss of $1,426,645, compared to $8,747,122 for the same period in 2023[30] - Adjusted EBITDA for the nine months ended September 30, 2024, was $8,065,873, slightly down from $8,165,066 in the same period of 2023[30] Sales and Growth - System-wide sales grew by 8% to $129.3 million, with system-wide comp sales reported at 4%[3] - The company expects system-wide sales for 2024 to be between $525 million and $535 million, adjusted from previous guidance[11] - System-wide comp sales for clinics open 13 months or more are projected to be between 3% and 4% for 2024[11] - New franchised clinic openings are expected to be between 55 and 60, adjusted from earlier estimates[11] Assets and Liabilities - Total current assets increased to $55,170,858 as of September 30, 2024, up from $44,335,538 as of December 31, 2023, representing a growth of approximately 24.5%[23] - Total liabilities decreased to $59,123,273 as of September 30, 2024, from $62,378,977 as of December 31, 2023, a reduction of about 5.4%[24] - Total assets decreased to $79,598,822 as of September 30, 2024, from $87,150,859 as of December 31, 2023, a decline of approximately 8.7%[25] - Goodwill decreased to $4,237,945 as of September 30, 2024, from $7,352,879 as of December 31, 2023, a reduction of about 42.5%[23] Cash Flow and Expenses - Unrestricted cash was $20.7 million at September 30, 2024, compared to $18.2 million at December 31, 2023[9] - Cash and cash equivalents rose to $20,737,769 as of September 30, 2024, compared to $18,153,609 as of December 31, 2023, marking an increase of about 14.2%[23] - Accounts receivable increased to $4,295,663 as of September 30, 2024, from $3,718,924 as of December 31, 2023, a rise of approximately 15.5%[23] - Selling, general, and administrative expenses totaled $26,755,892 for the three months ended September 30, 2024, slightly down from $26,862,973 in the same period of 2023[28] - The company reported a basic loss per share of $(0.05) for the three months ended September 30, 2024, compared to earnings of $0.09 for the same period in 2023[28] - Net cash provided by operating activities decreased to $5,284,936 for the nine months ended September 30, 2024, down from $11,294,757 in the prior year[29] - Net cash used in investing activities was $(527,294) for the nine months ended September 30, 2024, compared to $(4,883,148) in the previous year[29] - The company incurred stock compensation expense of $1,475,710 for the nine months ended September 30, 2024, compared to $1,209,296 in the prior year[30] - The company recognized deferred revenue of $(1,504,305) for the nine months ended September 30, 2024, compared to $(551,226) in the previous year[29] Strategic Initiatives - The company is committed to refranchising efforts and improving clinic economics to drive growth and profitability[3] - The company reported a significant increase in payroll liabilities to $2,621,327 for the nine months ended September 30, 2024, from $1,844,943 in the prior year[29] - The company reported a net loss on disposition or impairment of $5,602,641 for the nine months ended September 30, 2024, compared to $1,114,738 in the previous year[29]