Financial Performance - Revenues for the three months ended March 31, 2024, were $6,597,119, an increase of $1,365,785 or 26% compared to $5,231,334 in the prior year[330] - Cost of sales increased by $1,066,552 or 21% to $6,135,335 due to higher fuel sales and additional drivers hired in new markets[334] - Operating expenses decreased by $707,615 or 32% to $1,489,031, primarily due to reductions in payroll, stock-based compensation, and marketing expenses[335] - Net loss for the three months ended March 31, 2024, was $1,899,122, compared to a net loss of $2,348,771 in the prior year[330] - Adjusted EBITDA for the three months ended March 31, 2024, was $(1,162,140), an improvement from $(1,833,874) in the prior year[332] - Gallons delivered increased to 1,660,617, up from 1,313,962, reflecting a 26% increase[332] - Average fuel margin per gallon improved to $0.59 from $0.47[332] Cash Flow and Financial Position - Cash on hand as of March 31, 2024, was approximately $48,613, down from $504,581 at the same time last year[338] - The company had an accumulated deficit of $47,216,172 as of March 31, 2024[342] - The company generated $973,443 in cash flows from financing activities, including a $1,250,000 loan from a related party[341] Revenue Recognition and Accounting Policies - The Company recognizes membership revenues at the end of each month after services have been rendered, with no prepaid membership revenues[370] - Fuel sales are recognized each month after delivery has occurred[371] - Contract liabilities represent deposits made by customers before the satisfaction of performance obligations, which are relieved upon completion of the obligations[372] - The Company has evaluated recent accounting pronouncements and found no material impact on its consolidated financial statements[375] - ASU 2023-07, effective after December 15, 2023, will enhance reportable segment disclosure requirements, and the Company is evaluating its impact[376] - ASU 2023-09, effective after December 15, 2024, will improve income tax disclosures, and the Company is assessing its implications[377] - The Company does not have any off-balance sheet arrangements as defined in Regulation S-K Item 303(a)(4)[379] - All contract consideration is fixed and determinable at the initiation of the contract, with no returns, refunds, or warranties offered[369] - The Company applies judgment in determining the customer's ability and intention to pay based on various factors, including historical payment experience[361] - The Company has a distinct single performance obligation in its contractual arrangements, with no contracts containing variable consideration[366]
EzFill (EZFL) - 2024 Q1 - Quarterly Report