In This Story
Exela Technologies, Inc. has submitted its 10-Q filing for the quarterly period ended September 30, 2024.
The filing outlines a revenue increase to $269.2 million from $253.1 million in the same quarter the previous year. The ITPS segment contributed significantly to this growth, while the HS and LLPS segments saw declines.
Cost of revenue rose to $214.9 million, representing 79.8% of revenue, compared to 78.4% in the previous year. This increase was mainly due to higher postage and operating costs.
Selling, general, and administrative expenses decreased slightly to $35.1 million from $35.4 million, reflecting lower legal fees and business interruption insurance recoveries.
Net loss for the quarter was reported at $24.9 million, compared to $23.1 million in the previous year. The loss was influenced by a $4.8 million income tax expense and $23.4 million in interest expenses.
Exela's liquidity position includes $45.6 million in cash and equivalents, with a working capital deficit of $262.8 million. The company continues to pursue debt reduction and refinancing strategies.
The company reported a goodwill impairment charge of $0.3 million related to assets held for sale. The filing also noted the delisting of Exela's common stock from Nasdaq (NDAQ-0.10%), with shares now trading on the OTC Pink market.
Exela's management has identified substantial doubt regarding the company's ability to continue as a going concern, citing net losses and cash flow challenges.
The filing details Exela's ongoing efforts to improve liquidity, including potential asset sales and cost-saving measures. The company is also exploring additional financing options.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Exela Technologies Inc. 6.00% Series B Cumulative Convertible Perpetual Preferred Stock quarterly 10-Q report dated November 14, 2024. To report an error, please email earnings@qz.com.