SKYX Platforms (US:SKYX)2023-11-13 21:30Revenue and Income - For the three months ended September 30, 2023, revenue was $21,617,579, a significant increase from $8,556 in the same period of 2022, representing a growth of approximately 252,000%[17] - The company reported revenues of $21,617,579 for the three-month period and $60,649,120 for the nine-month period, compared to $20,803,141 and $66,457,914 for the same periods in 2022, respectively[82] - Revenues for the three-month period ended September 30, 2023, were $21,617,579, compared to $20,803,141 for the same period in 2022, representing an increase of approximately 3.9%[82] - For the nine-month period ended September 30, 2023, revenues were $60,649,120, down from $66,457,914 in the same period of 2022, reflecting a decrease of approximately 8.6%[82] - The company generates income primarily from lighting and heating products sold mainly in the United States[81] Gross and Net Income - Gross income for the three months ended September 30, 2023, was $6,700,086, compared to $2,642 in the same period of 2022, indicating a substantial increase[17] - The company reported a gross margin of approximately 31% for the three months ended September 30, 2023, compared to a gross margin of 30.8% in the same period of 2022[17] - The net loss for the three-month period ended September 30, 2023, was $7,183,776, compared to a net loss of $5,658,666 for the same period in 2022, reflecting an increase in losses[17] - For the nine months ended September 30, 2023, the net loss was $27,412,260, compared to a net loss of $22,162,767 for the same period in 2022, representing a 23% increase in losses year-over-year[22] - The net loss for the nine-month period ended September 30, 2023, was $(26,430,206), compared to $(23,061,755) for the same period in 2022, showing a worsening financial position[82] Assets and Liabilities - Total current assets as of September 30, 2023, were $28,339,609, up from $16,329,657 as of December 31, 2022, showing a growth of approximately 73%[13] - Total assets increased to $78,343,255 as of September 30, 2023, compared to $43,177,110 as of December 31, 2022, representing an increase of about 81%[14] - Total liabilities as of September 30, 2023, were $61,287,547, compared to $35,049,878 as of December 31, 2022, indicating an increase of approximately 75%[14] - Total current liabilities increased to $31,333,702 as of September 30, 2023, from $7,424,378 as of December 31, 2022[14] - The accumulated deficit increased to $(133,482,618) as of September 30, 2023, from $(106,070,358) as of December 31, 2022[14] Cash Flow and Financing Activities - Cash flows from operating activities resulted in a net cash used of $10,092,363 for the nine months ended September 30, 2023, compared to $9,726,987 for the same period in 2022, indicating a 4% increase in cash outflow[22] - Cash provided by financing activities totaled $19,631,924 for the nine months ended September 30, 2023, compared to $20,707,617 in the same period of 2022, indicating a 5% decrease[22] - The company raised $8,723,461 from the issuance of common stock through offerings during the nine months ended September 30, 2023, compared to $23,100,000 in the same period of 2022, showing a 62% decrease[22] - The company reported cash, cash equivalents, and restricted cash of $22,111,119 as of September 30, 2023, up from $9,461,597 at the end of 2022, reflecting a 134% increase[33] Stock and Equity - Total stockholders' equity increased to $17,055,708 as of September 30, 2023, up from $12,264,861 at the end of the same period in 2022, reflecting a 39% growth[22] - The weighted average number of common shares outstanding during the three months ended September 30, 2023, was 91,081,313, compared to 81,562,681 for the same period in 2022[17] - The company issued 2,238,668 shares of common stock for services provided, valued at $13,109,135, during the nine months ended September 30, 2023[69] - The company issued 592,150 shares of common stock during the three months ended September 30, 2023, as part of its capital raising efforts[20] Acquisitions and Goodwill - The Company acquired Belami, Inc. for a total consideration of $20,340,641, which includes $4,206,200 in cash outlay and $7,327,716 in common stock issued[31] - Goodwill recognized from the acquisition of Belami amounts to $15,799,725, primarily due to expected synergies and the assembled workforce[32] - Goodwill from the acquisition of Belami is tested for impairment annually, with the carrying amount exceeding fair value leading to potential impairment losses[41] Expenses - Operating expenses for the three months ended September 30, 2023, were $13,221,689, compared to $5,609,119 for the same period in 2022, reflecting an increase of approximately 135%[17] - The company reported a depreciation and amortization expense of $2,098,935 for the nine months ended September 30, 2023, significantly higher than $194,698 in the same period of 2022[22] - The amortization expense for intangible assets was $642,943 for the nine months ended September 30, 2023, compared to $37,753 for the same period in 2022[52] - Interest expense associated with debt for the nine months ended September 30, 2023, was $1,214,920, compared to $172,421 in 2022[55] Accounts Receivable and Payable - The company had one third-party payor accounts receivable balance representing 24% of total accounts receivable as of September 30, 2023[79] - The company recorded accrued interest of $523,796 and trade payables of $10,346,558 as of September 30, 2023, leading to total accounts payable and accrued expenses of $11,308,671[65] - The company’s allowance for doubtful accounts was $54,987 as of September 30, 2023, compared to $0 as of December 31, 2022, indicating the establishment of a reserve for potential credit losses[35] Subsequent Events - Management evaluated subsequent events through November 13, 2023, with no events requiring adjustment to the consolidated financial statements[83] - The company has not reported any subsequent events that required adjustment to or disclosure in the consolidated financial statements as of November 13, 2023[83]