In This Story
Atlantic International Corp. (ATLN+1.73%) has submitted its 10-Q filing for the quarterly period ended September 30, 2024.
The filing details a merger transaction completed on June 18, 2024, where Atlantic International Corp. acquired Lyneer Investments LLC, resulting in the company changing its name from SeqLL Inc. to Atlantic International Corp.
The company's financial statements reflect a net loss of $7,049,629 for the quarter, with a net loss per share of $0.16. This is compared to a net loss of $3,920,952 and a net loss per share of $0.15 in the same quarter of the previous year.
Service revenue for the quarter increased to $107,803,843 from $97,785,156 in the previous year, driven by higher revenues from temporary placement services.
Cost of revenue was $95,918,373, leading to a gross profit of $11,885,470, a slight increase from the previous year's gross profit of $11,605,175.
Selling, general, and administrative expenses rose to $17,151,567 from $10,372,122, primarily due to higher transaction costs related to the merger.
The company reported a significant advisory fee expense of $43,000,000 related to the merger, impacting the overall net loss.
Interest expense decreased to $1,472,564 from $4,887,247 due to deconsolidation of certain debt obligations.
Cash provided by financing activities was $5,653,923, while cash used in operating activities was $5,558,718.
Atlantic International Corp. is working on refinancing its existing indebtedness and has received conditional approval for a new credit facility expected to close by the end of November 2024.
The company acknowledges its dependence on positive operating results and potential financing to meet future obligations.
The filing also discusses various legal proceedings, risk factors, and management's discussion on financial conditions and results of operations.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Atlantic International Corp. quarterly 10-Q report dated November 14, 2024. To report an error, please email earnings@qz.com.