Versus Systems Inc (VS) Quarterly 10-Q Report

The report was filed on November 14, 2024

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Versus Systems Inc. (VS+1.45%) 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 revenue to $3,848 from $22,950 in the same quarter the previous year. The decrease is attributed to a reduction in the number of clients.

Cost of revenues for the quarter was none, compared to $23,570 in the same quarter of the previous year. This decrease aligns with the reduction in revenue.

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Research and development expenses decreased to $11,462 from $272,111, primarily due to reductions in staff related to company restructuring.

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Selling, general, and administrative expenses decreased to $521,410 from $1,617,161, primarily due to a decrease in payroll and professional fees.

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Net loss for the quarter was $528,951, down from $1,535,787 in the previous year, reflecting decreased spending on professional fees and payroll.

Cash used in operating activities was $4,255,345 for the nine months ended September 30, 2024, compared to $4,355,723 in the previous year.

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Versus Systems had cash of $471,248 and a working capital surplus of $1,215,990 as of September 30, 2024, compared to $4,689,007 and $4,546,227, respectively, as of December 31, 2023.

The filing notes substantial doubt about the company's ability to continue as a going concern, citing the need for additional funding to meet obligations.

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Versus Systems entered into a $2,500,000 funding agreement with ASPIS Cyber Technologies in October 2024, with $500,000 delivered and $2,000,000 deferred pending Nasdaq's review of the company's plan.

The company also entered into a Technology License and Software Development Agreement with ASPIS, granting a license to use Versus' technology in ASPIS's cybersecurity business.

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The filing highlights the company's efforts to regain compliance with Nasdaq listing requirements, including potential actions like a reverse stock split.

This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Versus Systems Inc. quarterly 10-Q report dated November 14, 2024. To report an error, please email earnings@qz.com.