Electromedical Technologies: Q3 2024 10-Q Filed, Notes Converted

TL;DR

**EMED Q3 10-Q: Notes converted to stock Nov 13. Financials updated.**

AI Summary

Electromedical Technologies, Inc. filed its Q3 2024 10-Q report on November 19, 2024, for the period ending September 30, 2024. The company, based in Scottsdale, AZ, is involved in the surgical and medical instruments sector. A significant event noted is the conversion of promissory notes into common stock on November 13, 2024.

Why It Matters

This filing provides an update on Electromedical Technologies' financial status and corporate actions, including the conversion of debt into equity, which can impact shareholder value and the company's capital structure.

Risk Assessment

Risk Level: medium — The company's financial health and operational status are detailed in this 10-Q, which is crucial for assessing investment risk.

Key Numbers

• Q3 2024 — Reporting Period (Covers the third quarter of fiscal year 2024.)
• 2024-09-30 — Fiscal Year End (The report is for the period ending on this date.)

Key Players & Entities

• Electromedical Technologies, Inc. (company) — Filer of the 10-Q report
• 2024-09-30 (date) — End of the reporting period
• 2024-11-19 (date) — Filing date of the 10-Q
• Scottsdale, AZ (location) — Company's business address
• November 13, 2024 (date) — Date of conversion of promissory notes into common stock

FAQ

Filing Documents

• emed20240930_10q.htm (10-Q) — 1342KB
• ex_745767.htm (EX-31.1) — 9KB
• ex_745768.htm (EX-31.2) — 9KB
• ex_745769.htm (EX-32.1) — 5KB
• logo.jpg (GRAPHIC) — 15KB
• 0001437749-24-035746.txt ( ) — 5662KB
• emed-20240930.xsd (EX-101.SCH) — 51KB
• emed-20240930_def.xml (EX-101.DEF) — 354KB
• emed-20240930_lab.xml (EX-101.LAB) — 299KB
• emed-20240930_pre.xml (EX-101.PRE) — 378KB
• emed-20240930_cal.xml (EX-101.CAL) — 32KB
• emed20240930_10q_htm.xml (XML) — 817KB

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION Item 1. UNAUDITED FINANCIAL STATEMENTS: 3 BALANCE SHEETS AS OF S eptember 30, 2024 AND DECEMBER 31, 2023 3 4 5 7 NOTES TO THE UNAUDITED FINANCIAL STATEMENTS 8 Item 2.

MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS 18 Item 3.

QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK 23 Item 4.

CONTROLS AND PROCEDURES

CONTROLS AND PROCEDURES 23

OTHER INFORMATION

PART II. OTHER INFORMATION 25 Item 1.

LEGAL PROCEEDINGS

LEGAL PROCEEDINGS 25 Item 1A.

RISK FACTORS

RISK FACTORS 25 Item 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS 25 Item 3. DEFAULTS UPON SENIOR SECURITIES 44 Item 4. MINE SAFETY DISCLOSURE 44 Item 5. OTHER INFORMATION 44 Item 6. EXHIBITS 44

FINANCIAL STATEMENTS

ITEM 1. FINANCIAL STATEMENTS ELECTROMEDICAL TECHNOLOGIES, INC. BALANCE SHEETS (UNAUDITED) September 30, 2024 December 31, 2023 ASSETS Current assets: Cash and cash equivalents $ 34,809 $ 87,704 Accounts receivable 7,251 4,399 Inventories 24,256 68,517 Prepaid expenses and other current assets 239,045 288,565 Total current assets 305,361 449,185 Right of use asset 113,747 149,493 Property and equipment, net 149,705 149,705 Total assets $ 568,813 $ 748,383 LIABILITIES AND STOCKHOLDERS ' DEFICIT Current liabilities: Accounts payable $ 225,810 $ 239,481 Credit cards payable 31,780 28,097 Accrued expenses and other current liabilities 629,592 916,971 Customer deposits 764,125 197,325 Convertible promissory notes, net of discount of $ 8,868 and $ 0 , respectively 1,391,058 1,393,601 Lease liability, current portion 54,989 48,745 Derivative liabilities- convertible promissory notes 1,258,493 532,334 Total current liabilities $ 4,355,847 3,356,554 Long-term liabilities: Government debt, net of current portion 150,000 150,000 Lease liability, net of current portion 64,329 106,200 Other liabilities 3,399 8,416 Total liabilities 4,573,575 3,621,170 Commitments and contingencies (Note 10) Stockholders' deficit Series A Preferred Stock, $ .00001 par value, 1,000,000 shares authorized and outstanding 365,000 365,000 Series B Preferred Stock, $ .00001 par value, 1 share authorized and outstanding at September 30, 2024 and December 31, 2023 400,000 400,000 Common stock, $ .00001 par value, 5,000,000,000 shares authorized; 725,351,276 and 463,286,208 shares outstanding at September 30, 2024 and December 31, 2023, respectively 7,252 4,631 Additional paid-in-capital 24,022,415 23,827,330 Accumulated deficit ( 28,799,429 ) ( 27,469,748 ) Total stockholders' deficit ( 4,004,762 ) ( 2,872,787 ) Total liabilities and stockholders'

NOTES TO FINANCIAL STATEMENTS

NOTES TO FINANCIAL STATEMENTS (UNAUDITED) NOTE 1. ORGANIZATION AND NATURE OF BUSINESS ElectroMedical Technologies, LLC ("the Company"), was formed in November 2010 as an Arizona limited liability company. In August 2017, the Company converted to a Delaware C Corporation under Electromedical Technologies, Inc. The Company is a bioelectronic engineering company with medical device certifications in the United States (FDA) and Mexico (Cofepris). The Company engineers simple-to-use portable bioelectronics devices, which provide fast and long -lasting pain relief across a broad range of ailments. NOTE 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Accounting Method The accompanying unaudited financial statements of Electromedical Technologies, Inc. have been prepared in accordance with Accounting Principles Generally Accepted in the United States of America ("GAAP") for interim financial information and in accordance with Rule 8-03 of Regulation S-X. Certain information and disclosures normally included in the annual financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules and regulations. In the opinion of management, all adjustments, consisting of normal recurring adjustments considered necessary for a fair presentation, have been included. We have reclassified certain amounts in prior-period financial statements to conform to the current period's presentation. These interim financial statements should be read in conjunction with the audited annual financial statements of the Company as of and for the year ended December 31, 2023. The results of operations for the nine months ended September 30, 2024, are not necessarily indicative of the results that may be expected for the full year. Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of certain assets and liabilities, certain disclosures

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