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Can B Corp (CANB+0.20%) has submitted its 10-Q filing for the quarterly period ended September 30, 2024.
The filing includes financial statements for the quarter, showing a decrease in revenues to $15,269 from $418,957 in the same quarter the previous year. The decrease is attributed to the discontinuation of certain products and the company's decision to cease its hemp operations.
Cost of revenues for the quarter was $415,816, resulting in a gross loss of $400,547, compared to a gross loss of $816,690 in the same quarter of the previous year.
Operating expenses for the quarter were $2,432,413, compared to $2,761,523 in the previous year, primarily due to decreased consulting fees and rent.
The company reported a net loss of $3,262,612 for the quarter, compared to a net loss of $4,165,377 in the previous year.
Can B Corp's cash and cash equivalents were $7,879 as of September 30, 2024, with negative working capital of $10,049,951.
The company is funding its operations through third-party loans and is focused on commercializing cannabis patents acquired by its subsidiary, Nascent Pharma, LLC.
The filing details various financial agreements, including convertible promissory notes and a forbearance agreement with Arena Special Opportunities Partners.
Can B Corp's ability to continue operations is dependent on executing management's plans, which include restructuring debt and raising capital.
The company does not anticipate cash dividend payments to common stockholders in the near future.
Can B Corp identified a material weakness in its internal controls over financial reporting due to a lack of segregation of duties.
The company continues to focus on protecting and commercializing its cannabis patents and reestablishing production of certain products.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Can B Corp quarterly 10-Q report dated November 19, 2024. To report an error, please email earnings@qz.com.