Revenue Performance - Total revenue decreased by $2,121, or 58%, for the three months ended September 30, 2023, compared to the same period in 2022, and decreased by $2,377, or 21% for the nine months ended September 30, 2023[134]. - Mobility revenues decreased by $2,239, or 33%, in the nine months ended September 30, 2023, compared to the same period in 2022, and decreased by $1,216, or 49%, for the three months ended September 30, 2023[135]. - Media revenues decreased by $376, or 9%, in the nine months ended September 30, 2023, and decreased by $842, or 78%, for the three months ended September 30, 2023, primarily due to the early termination of agreements with LNPB[137]. Operating Expenses - Total operating expenses for the three months ended September 30, 2023, were $9,074, compared to $26,523 for the same period in 2022, reflecting a significant reduction in costs[132]. - Cost of revenue decreased by $5,092, or 61%, for the three months ended September 30, 2023, compared to the same period in 2022, and by $3,109, or 10% for the nine months ended September 30, 2023[138]. - Mobility Cost of Revenues decreased by $2,566 or 49% for the three months ended September 30, 2023, compared to the same period in 2022[140]. - Media Cost of Revenues decreased by $2,594 or 96% for the three months ended September 30, 2023, compared to the same period in 2022[141]. - Sales and marketing expenses decreased by $1,192 or 69% for the three months ended September 30, 2023, compared to the same period in 2022[142]. - Research and Development expenses decreased by $170 or 26% for the three months ended September 30, 2023, compared to the same period in 2022[144]. - General and Administrative expenses decreased by $604 or 11% for the three months ended September 30, 2023, compared to the same period in 2022[145]. - Interest expenses decreased by $415 or 28% for the three months ended September 30, 2023, compared to the same period in 2022[152]. Net Loss - The net loss for the three months ended September 30, 2023, was $9,477, compared to a net loss of $24,562 for the same period in 2022[133]. Business Decisions - The Company decided to close the food delivery services business line during the three months ended September 30, 2023, which was in a start-up phase[127]. - The Company is focusing on reducing operating cash burn and exiting unprofitable markets to achieve cash positivity[135]. Financial Position - The Company had cash and cash equivalents of $962 as of September 30, 2023, excluding restricted cash of $291[165]. - Total financial liabilities as of September 30, 2023, amounted to $27,228, with $21,938 classified as current and $5,290 as non-current[173]. - The company repaid $3,865 of the 2023 SEPA March Convertible Notes, leaving an outstanding principal and interest of $837[178]. - The company issued 103,689 Class A Common Shares for conversion requests totaling $1,296 in principal and interest during the nine months ended September 30, 2023[184]. - Future annual minimum lease payments total $1,843 for operating leases and $282 for finance leases as of September 30, 2023[190]. Financing Activities - Financing activities provided $31,124 of cash, primarily from common stock issuance of $46,164 and financial liabilities of $6,213, offset by repayments of $21,253[172]. - The Company plans to continue funding operations and expansion through debt and equity financing for the next twelve months[166]. Impairments and Adjustments - The Company impaired the net carrying value of Goodwill by $13,826 and Intangible assets by $2,619 during the nine months ended September 30, 2023[147]. - The company recorded a gain of $637 from waiving overdue invoices related to the leasing of 2,950 E-scooters[188]. Shareholder Information - A reverse stock split of one-for-fifty (1:50) was approved and became effective on March 30, 2023, reducing the number of shares from approximately 285 million to approximately 1.9 million[126]. - The Company plans to authorize an increase in the number of authorized shares from 400 million to 1 billion, which includes 900 million shares of common stock[128]. - The company has 225,726,127 Class A Common Shares outstanding as of September 30, 2023[191]. - The CEO converted $78 of deferred salaries into 13,000 Class A Common Shares during the nine months ended September 30, 2023[197]. Regulatory and Accounting Matters - The company is classified as an "emerging growth company" under the JOBS Act, allowing it to take advantage of certain reporting exemptions[207]. - The company has elected to use the extended transition period for new or revised financial accounting standards, which may complicate financial comparisons with other public companies[208]. - There are currently no off-balance sheet arrangements reported by the company[209]. - The company adopted ASU 2016-13 on January 1, 2023, which requires a current expected credit loss methodology for measuring impairments, but the impact on financial statements was not material[210]. - There are no applicable quantitative and qualitative disclosures about market risks for the company[211].
Micromobility.com (MCOM) - 2023 Q3 - Quarterly Report