Financial Performance - Total revenues for Q3 2024 reached $5,451,975, a 39.4% increase from $3,911,379 in Q3 2023[20] - Net loss attributable to common stockholders for Q3 2024 was $3,932,221, compared to a loss of $2,774,206 in Q3 2023, reflecting a 41.7% increase in losses[20] - The company reported a loss from operations of $3,676,261 for Q3 2024, compared to a loss of $2,754,271 in Q3 2023[20] - The company experienced a net loss of $4,527,472 for the quarter ending September 30, 2024, with total stockholders' equity at $114,037,399[23] - For the nine months ended September 30, 2024, the net loss increased to $25.61 million compared to a net loss of $8.24 million in the same period of 2023, representing a 211% increase in losses[27] - The company reported a net loss of $(4,527,472) for the three months ended September 30, 2024, an increase of approximately 61% compared to $(2,807,913) in the prior-year period[163] - Net loss attributable to common stockholders for the nine months ended September 30, 2024, was $24,052,258, reflecting a 212% increase compared to the same period in 2023[167] Assets and Liabilities - Total assets as of September 30, 2024, were $166,597,802, up 100.5% from $83,223,707 at December 31, 2023[17] - Current assets increased to $38,565,664, a 87.0% rise from $20,596,065 at the end of 2023[17] - Total liabilities rose to $52,560,403, an increase of 147.8% from $21,244,022 at December 31, 2023[17] - Long-term debt, net of current portion, increased to $14,001,634, compared to $11,182,073 at December 31, 2023[17] - As of September 30, 2024, the company reported an accumulated deficit of $41,073,711, compared to $17,021,453 as of December 31, 2023, indicating a significant increase in losses[64] - The total long-term debt as of September 30, 2024, is $22,793,417, with current maturities of $8,791,785[124] Cash Flow - Net cash provided by operating activities was $13.34 million, a significant improvement from a net cash used of $6.52 million in the prior year[27] - The ending cash balance as of September 30, 2024, was $35.80 million, up from $22.61 million at the end of the same period in 2023, reflecting a 58% increase[27] - Net cash provided by operating activities improved to $13,336,007 for the nine months ended September 30, 2024, compared to a cash outflow of $(6,518,214) in the same period of 2023, reflecting a positive change of $19,854,221[200] - Net cash used in investing activities rose to $(61,541,682) for the nine months ended September 30, 2024, compared to $(19,190,024) in 2023, primarily due to increased property and equipment purchases[201] - Net cash provided by financing activities increased to $63,801,428 for the nine months ended September 30, 2024, compared to $24,851,531 in 2023, driven by share issuance and proceeds from a municipality promissory note[202] Share Issuance and Equity - The company issued 2,008,750 shares, raising $20,087,500 through share issuance[23] - The company issued 209,985 shares during the quarter, raising approximately $757,555[24] - The total number of shares outstanding increased by 526,250 shares due to the issuance for fixed asset acquisition[23] - The Company authorized a Class D common stock of up to 60,000,000 shares on March 5, 2024[129] - The Company issued 614,341 Class C shares and 3,149,341 Class C shares during the three and nine months ended September 30, 2024, respectively[128] - The company raised gross proceeds of $31,693,410 from the sale of 3,169,341 shares of Common Stock during a private placement offering[194] Operational Highlights - The company plans to open Roth's Seafood and Chophouse in May 2025, adjacent to the Ford Amphitheater, which opened in August 2024[48][49] - The Ford Amphitheater in Colorado Springs opened in August 2024, contributing to the company's revenue generation strategy[79] - Event Operations generated $1,104,991, or 21% of total revenue for the three months ended September 30, 2024, and $3,755,113, or 28% for the nine months ended September 30, 2024[155] - Restaurant Operations contributed $2,740,411, or 50% of total revenue for the three months ended September 30, 2024, and $8,144,605, or 60% for the nine months ended September 30, 2024[157] - Amphitheater Operations generated net revenues of $1,606,573, or 30% of total revenue for the three months ended September 30, 2024[158] Expenses and Costs - Operating costs for Q3 2024 totaled $9,128,236, up 37.0% from $6,665,650 in Q3 2023[20] - Total operating costs for the three months ended September 30, 2024, were $9,128,236, an increase of approximately 37% compared to $6,665,650 in the prior-year period[165] - Labor costs increased by $786,490, or 31%, for the nine months ended September 30, 2024, primarily driven by inflation and higher wages[173] - Depreciation and amortization costs increased by $1,040,003, an 81% rise for the nine months ended September 30, 2024, due to the operational status of new venues[176] - Interest expense for the nine months ended September 30, 2024, was $2,717,849, a significant increase of 1120% compared to $222,812 in the same period of 2023[180] Strategic Initiatives - The company plans to continue raising cash through private sales of membership interests and collaborative arrangements to fund venue construction[162] - The company is engaged in strategic transactions for future expansion, which is critical for its growth plan[65] - The company anticipates operational profits will not materialize until the new venues in Colorado, Oklahoma, and Texas are opened and operational[191] - The company is actively monitoring inflation and interest rates, seeking cost-saving measures to mitigate their impact on operations[190]
Venu Holding Corp(VENU) - 2024 Q3 - Quarterly Report