NextPlat(US:NXPL)2025-11-12 22:35Financial Performance - Revenue for the three months ended September 30, 2025, was $13,752,000, a decrease of 10.5% compared to $15,367,000 for the same period in 2024[17] - Net loss attributable to NextPlat Corp for the three months ended September 30, 2025, was $2,185,000, compared to a net loss of $4,216,000 for the same period in 2024, indicating an improvement of 48.0%[17] - Gross profit for the nine months ended September 30, 2025, was $9,076,000, down from $14,279,000 in the same period of 2024, reflecting a decrease of 36.5%[17] - The company reported a comprehensive loss of $2,167,000 for the three months ended September 30, 2025, compared to a comprehensive loss of $7,658,000 for the same period in 2024, indicating a significant reduction of 71.6%[17] - For the three months ended September 30, 2025, net revenues totaled $13.752 million, a decrease from $15.367 million in the same period of 2024, representing a decline of approximately 10.5%[64] - The net loss for the three months ended September 30, 2025, was $2.2 million, compared to a net loss of $7.7 million for the same period in 2024[101] - For the nine months ended September 30, 2025, total revenues reached $41.5 million, with e-Commerce contributing $10.8 million and Healthcare Operations $30.7 million[103] - The total expenses for the nine months ended September 30, 2025, were $46.8 million, resulting in a loss before income taxes of $5.3 million[103] - The net loss for the nine months ended September 30, 2025, was approximately $5.3 million, significantly improved from a net loss of $20.1 million in 2024[161] Assets and Liabilities - Total assets decreased to $30,013,000 as of September 30, 2025, down from $36,478,000 at December 31, 2024, representing a decline of approximately 17.6%[15] - Total current liabilities decreased to $7,363,000 as of September 30, 2025, from $8,210,000 at December 31, 2024, a reduction of approximately 10.4%[15] - Cash balance as of September 30, 2025, was $13,926,000, down from $19,960,000 at December 31, 2024, a decrease of 30.3%[15] - As of September 30, 2025, net accounts receivable was $4.018 million, down from $4.895 million as of December 31, 2024, reflecting a decrease of 17.9%[68] - Total accounts payable and accrued expenses decreased to $6.437 million as of September 30, 2025, from $7.230 million as of December 31, 2024, a reduction of 11%[76] - The long-term portion of notes payable as of September 30, 2025, was $907,000, down from $1.032 million as of December 31, 2024[77] Revenue Streams - e-Commerce revenue for the nine months ended September 30, 2025, was $10.828 million, compared to $10.210 million for the same period in 2024, reflecting an increase of about 6.1%[64] - Cash received from e-Commerce Operations revenue was $13,905,000, an increase from $9,862,000 in the same period of 2023, representing a growth of approximately 41.3%[22] - Cash received from Healthcare Operations revenue decreased to $30,002,000 from $43,162,000 year-over-year, reflecting a decline of about 30.5%[22] - Pharmacy prescription and other revenue, net of PBM fees, for the three months ended September 30, 2025, was $9.495 million, up from $9.076 million in the same period of 2024, indicating a growth of approximately 4.6%[64] - Pharmacy prescription revenue, net of PBM fees, decreased to approximately $27.8 million, down $3.2 million or 10% from $30.9 million in 2024, influenced by a decline in total prescriptions filled[149] Cost Management - Selling, general and administrative expenses for the three months ended September 30, 2025, were $1,510,000, a decrease of 12.6% from $1,728,000 in the same period of 2024[17] - Operating expenses for Q3 2025 were approximately $4.7 million, a significant decrease of $6.8 million or 59% from $11.6 million in Q3 2024[133] - Stock-based compensation for the nine months ended September 30, 2024, amounted to $216,000, a decrease from $1,637,000 in the same period of 2023[22] - Stock-based compensation expense for the nine months ended September 30, 2025, was approximately $0.2 million, significantly lower than $1.6 million for the same period in 2024, indicating an 87.5% decrease[84] - The company is implementing cost reduction measures to improve operational efficiency and preserve liquidity, including optimizing delivery processes and renegotiating vendor agreements[163] Acquisitions and Strategic Initiatives - The company completed the acquisition of Outfitter Satellite, Inc. on April 1, 2024, to enhance its satellite-enabled communication services in the U.S.[28] - The acquisition of Progressive Care Inc. was completed on October 1, 2024, with each outstanding share of Progressive Care common stock converted into 1.4865 shares of NextPlat common stock[41] - The Company acquired Outfitter Satellite, Inc. on April 1, 2024, enhancing its satellite-based connectivity solutions[43][44] - Management is exploring strategic alternatives to diversify business operations, including opportunities in additional services and joint ventures[163] Legal and Compliance - The Company is currently involved in a lawsuit related to a merger, with claims of breach of fiduciary duty, which it plans to vigorously defend[94][95] - The Company plans to vigorously defend against a putative class action suit related to a merger, asserting that the claims are not meritorious[180] - The Company has identified risks related to the current U.S.-China tariff environment that could adversely impact its financial condition and operations[184] - The Company does not expect any changes in internal controls over financial reporting that would materially affect its operations[176] - The Company is currently not involved in any pending legal proceedings that would materially affect its business[181] Shareholder Actions - The Board of Directors authorized a $2.0 million share repurchase program, with approximately $1.9 million remaining as of September 30, 2025[88] - The Company repurchased approximately $0.1 million of common stock during the nine months ended September 30, 2025[88] - The Company repurchased a total of 130,549 common shares at an average price of $0.77 per share during the quarter ended September 30, 2025[189] Miscellaneous - The Company early adopted ASU 2024-03 effective January 1, 2025, which did not impact the financial condition or results of operations[52] - The Company recorded a settlement of $250,000 related to a lawsuit, recognized as "Loss on settlement of litigation" in the financial statements for the three and nine months ended September 30, 2025[57] - The Company reached a settlement agreement for $250,000 related to a litigation case, which was fully covered by insurance[96] - The Company has paused certain initiatives within its e-Commerce development program due to increased tariffs impacting competitiveness[185] - The Company intends to continue selling products manufactured by OPKO Health Europe in China, which are not subject to additional tariffs[186] - The Company entered into an agreement to terminate its lease for office space, incurring approximately $120,000 in early termination fees[202]