High Wire Networks Files Q2 2024 10-Q Report

TL;DR

HIGH WIRE NETWORKS (HWNI) FILED ITS 10-Q FOR Q2 2024. CHECK FINANCIALS.

AI Summary

High Wire Networks, Inc. filed its quarterly report for the period ending June 30, 2024. The company, formerly known as HWN, Inc., Spectrum Global Solutions, Inc., and Mantra Venture Group Ltd., is incorporated in Nevada and headquartered in Batavia, Illinois. The filing details its financial performance and business operations for the specified quarter.

Why It Matters

This filing provides investors and stakeholders with an update on High Wire Networks' financial health and operational status during the second quarter of 2024.

Risk Assessment

Risk Level: medium — As a 10-Q filing, it contains detailed financial information that requires careful analysis to assess the company's current financial health and future prospects.

Key Players & Entities

• HIGH WIRE NETWORKS, INC. (company) — Registrant
• 0001213900-24-072022 (other) — Accession Number
• 20240630 (date) — Conformed Period of Report
• 20240823 (date) — Filed as of Date
• HWN, INC. (company) — Former Company Name
• Spectrum Global Solutions, Inc. (company) — Former Company Name
• Mantra Venture Group Ltd. (company) — Former Company Name
• 30 N LINCOLN ST. (address) — Business Address
• BATAVIA (location) — Business City
• IL (location) — Business State

FAQ

Filing Documents

• ea0211527-10q_high.htm (10-Q) — 1214KB
• ea021152701ex31-1_high.htm (EX-31.1) — 10KB
• ea021152701ex31-2_high.htm (EX-31.2) — 9KB
• ea021152701ex32-1_high.htm (EX-32.1) — 3KB
• ea021152701ex32-2_high.htm (EX-32.2) — 3KB
• 0001213900-24-072022.txt ( ) — 8900KB
• hwni-20240630.xsd (EX-101.SCH) — 99KB
• hwni-20240630_cal.xml (EX-101.CAL) — 64KB
• hwni-20240630_def.xml (EX-101.DEF) — 441KB
• hwni-20240630_lab.xml (EX-101.LAB) — 789KB
• hwni-20240630_pre.xml (EX-101.PRE) — 448KB
• ea0211527-10q_high_htm.xml (XML) — 1147KB

- FINANCIAL INFORMATION

PART I - FINANCIAL INFORMATION 1 Item 1.

Financial Statements

Financial Statements 1 Item 2.

Management's Discussion and Analysis of Financial Condition

Management's Discussion and Analysis of Financial Condition and Results of Operations 38 Item 3.

Quantitative and Qualitative Disclosures About Market

Quantitative and Qualitative Disclosures About Market Risk 42 Item 4.

Controls and Procedures

Controls and Procedures 42

- OTHER INFORMATION

PART II - OTHER INFORMATION 43 Item 1.

Legal Proceedings

Legal Proceedings 43 Item 1A.

Risk Factors

Risk Factors 43 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 43 Item 3. Defaults Upon Senior Securities 43 Item 4. Mine Safety Disclosures 43 Item 5. Other Information 43 Item 6. Exhibits 43

SIGNATURES

SIGNATURES 44 i PART I – FINANCIAL INFORMATION Item 1.

Financial Statements

Financial Statements The unaudited interim condensed consolidated financial statements of our company have been prepared in accordance with generally accepted accounting principles in the United States of America and are presented in US dollars, unless otherwise noted. High Wire Networks, Inc. Page Number Condensed consolidated balance sheets as of June 30, 2024 (unaudited) and December 31, 2023 2 Condensed consolidated 3 Condensed consolidated 4 Condensed consolidated 5 Notes to unaudited condensed consolidated financial statements 6 1 High Wire Networks, Inc. Condensed consolidated balance sheets June 30, December 31, 2024 2023 (Unaudited) ASSETS Current assets: Cash $ 4,185,310 $ 328,282 Accounts receivable, net of allowances of $ 71,647 and $ 81,359 , respectively, and unbilled revenue of $ 73,000 and $ 99,916 , respectively 1,374,335 670,388 Prepaid expenses and other current assets 213,795 117,030 Current assets of discontinued operations - 1,629,011 Total current assets 5,773,440 2,744,711 Property and equipment, net of accumulated depreciation of $ 604,055 and $ 477,763 , respectively 913,325 1,026,293 Goodwill 1,812,818 3,162,499 Intangible assets, net of accumulated amortization of $ 1,236,885 and $ 2,350,059 , respectively 3,202,861 3,620,256 Operating lease right-of-use assets 226,763 277,995 Total assets $ 11,929,207 $ 10,831,754 LIABILITIES AND STOCKHOLDERS' DEFICIT Current liabilities: Accounts payable and accrued liabilities 5,685,998 5,189,996 Contract liabilities 364,930 80,819 Current portion of loans payable to related parties, net of debt discount of $ 0 and $ 10,968 , respectively 116,

Financial Statements

Financial Statements In the opinion of management, the accompanying unaudited condensed consolidated financial statements reflect all adjustments of a recurring nature considered necessary to present fairly the Company's financial position and the results of its operations and its cash flows for the periods shown. The preparation of financial statements in accordance with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect the amounts reported. Actual results could differ materially from those estimates. The results of operations and cash flows for the periods shown are not necessarily indicative of the results to be expected for the full year. Basis of Presentation/Principles of Consolidation These unaudited condensed consolidated financial statements and related notes are presented in accordance with accounting principles generally accepted in the United States. These unaudited condensed consolidated financial statements include the accounts of the Company as well as High Wire and its subsidiaries, SVC and OCL. All subsidiaries are wholly-owned. All inter-company balances and transactions have been eliminated. Use of Estimates The preparation of financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. The Company regularly evaluates estimates and assumptions related to allowance for doubtful accounts, the estimated useful lives and recoverability of long-lived assets, equity component of convertible debt, stock-based compensation, and deferred income tax asset valuation allowances. The Company bases its estimates and assumptions on current facts, historical experience,

View Full Filing

View this 10-Q filing on SEC EDGAR