Innovative Solutions & Support Inc. Files 10-Q for Period Ending December 31, 2023

TL;DR

<b>Innovative Solutions & Support Inc. (ISSC) filed its quarterly report (10-Q) for the period ending December 31, 2023, detailing financial components and operational data.</b>

AI Summary

INNOVATIVE SOLUTIONS & SUPPORT INC (ISSC) filed a Quarterly Report (10-Q) with the SEC on February 14, 2024. Innovative Solutions & Support Inc. filed a 10-Q report for the period ending December 31, 2023. The filing includes data related to common stock, treasury stock, retained earnings, and additional paid-in capital as of various dates in 2022 and 2023. Property, plant, and equipment details are provided, including categories like manufacturing facilities, land, and computer equipment. Information on stock-based incentive compensation plans and revolving credit facilities with PNC Bank is present. The company's principal owner, AML Global Eclipse LLC, is mentioned in relation to the period of October 1, 2023, to December 31, 2023.

Why It Matters

For investors and stakeholders tracking INNOVATIVE SOLUTIONS & SUPPORT INC, this filing contains several important signals. This 10-Q filing provides a snapshot of ISSC's financial health and equity structure as of the end of the third quarter of fiscal year 2024, offering insights into its capital accounts and asset base. The inclusion of specific asset and liability details, along with information on credit facilities and ownership, is crucial for investors to assess the company's financial stability and operational capacity.

Risk Assessment

Risk Level: low — INNOVATIVE SOLUTIONS & SUPPORT INC shows low risk based on this filing. The filing is a standard 10-Q report, which typically contains routine financial disclosures and does not indicate any immediate or significant new risks.

Analyst Insight

Review the detailed breakdown of property, plant, and equipment, as well as the terms of the revolving credit facility with PNC Bank, to understand the company's asset utilization and financing structure.

Key Numbers

• 2023-12-31 — Report Period End Date (CONFORMED PERIOD OF REPORT)
• 2024-02-14 — Filing Date (FILED AS OF DATE)
• 09-30 — Fiscal Year End (FISCAL YEAR END)

Key Players & Entities

• INNOVATIVE SOLUTIONS & SUPPORT INC (company) — COMPANY CONFORMED NAME
• ISSC (company) — Ticker Symbol
• 20231231 (date) — CONFORMED PERIOD OF REPORT
• 20240214 (date) — FILED AS OF DATE
• AML Global Eclipse LLC (company) — Principal Owner
• PNC Bank (company) — Revolving Credit Facility Provider

FAQ

Industry Context

Innovative Solutions & Support Inc. operates within the computer programming services industry, providing specialized solutions.

Regulatory Implications

The filing is a standard 10-Q, adhering to SEC regulations for quarterly financial reporting under the Securities Exchange Act of 1934.

What Investors Should Do

1. Analyze the balance sheet details for changes in assets and liabilities compared to previous periods.
2. Review disclosures related to stock-based compensation and treasury stock for insights into equity management.
3. Examine any notes or supplementary information regarding credit facilities and principal ownership.

Key Dates

• 2023-12-31: Period End Date — End of the reporting quarter for the 10-Q filing.
• 2024-02-14: Filing Date — Date the 10-Q report was officially submitted to the SEC.

Year-Over-Year Comparison

This filing represents the quarterly update for the period ending December 31, 2023, providing the latest financial data for Innovative Solutions & Support Inc.

Key Financial Figures

• $0.001 — ich registered Common Stock, par value $0.001 per share ISSC Nasdaq Stock Market

Filing Documents

• issc-20231231x10q.htm (10-Q) — 1246KB
• issc-20231231xex31d1.htm (EX-31.1) — 14KB
• issc-20231231xex31d2.htm (EX-31.2) — 14KB
• issc-20231231xex32d1.htm (EX-32.1) — 10KB
• 0001558370-24-001167.txt (&nbsp;) — 6480KB
• issc-20231231.xsd (EX-101.SCH) — 37KB
• issc-20231231_cal.xml (EX-101.CAL) — 57KB
• issc-20231231_def.xml (EX-101.DEF) — 198KB
• issc-20231231_lab.xml (EX-101.LAB) — 436KB
• issc-20231231_pre.xml (EX-101.PRE) — 320KB
• issc-20231231x10q_htm.xml (XML) — 1115KB

Financial Statements

Financial Statements Co ndensed C onsolidated Balance Sheets – December 31, 2023 (unaudited) and September 30, 2023 1 Co ndensed C onsolidated Statements of Operations – Three Months Ended December 31, 2 023 and 2022 (unaudited) 2 Co ndensed C onsolidated Statements of Shareholders' Equity – Three Months Ended December 31, 2 023 and 2022 (unaudited) 3 - 3 Co ndensed C onsolidated Statements of Cash Flows –Three Months Ended D ecember 31, 2023 and 2022 (unaudited) 5 Notes to Condensed Consolidated Financial Statements (unaudited) 6 - 22 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 24 - 33 Item 3.

Quantitative and Qualitative Disclosures about Market Risk

Quantitative and Qualitative Disclosures about Market Risk 33 Item 4.

Controls and Procedures

Controls and Procedures 33 PART II. OTHER INFORMATION Item 1.

Legal Proceedings

Legal Proceedings 34 Item 1A.

Risk Factors

Risk Factors 34 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 34 Item 3. Defaults upon Senior Securities 34 Item 4. Mine Safety Disclosures 34 Item 5. Other Information 34 Item 6. Exhibits 35

SIGNATURES

SIGNATURES 37 Table of Contents

—FINANCIAL INFORMATION

PART I—FINANCIAL INFORMATION

- Financial Statements

Item 1 - Financial Statements INNOVATIVE SOLUTIONS AND SUPPORT, INC. CONDENSED CONSOLIDATED BALANCE SHEETS December 31, September 30, 2023 2023 (Unaudited) ASSETS Current assets Cash and cash equivalents $ 467,334 $ 3,097,193 Accounts receivable 5,583,593 9,743,714 Contract assets 647,644 487,139 Inventories 7,799,935 6,139,713 Prepaid inventory 11,509,067 12,069,114 Prepaid expenses and other current assets 919,639 1,073,012 Assets held for sale — 2,063,818 Total current assets 26,927,212 34,673,703 Goodwill 3,557,886 3,557,886 Intangible assets, net 15,916,821 16,185,321 Property and equipment, net 7,931,009 7,892,427 Deferred income taxes 1,141,048 456,392 Other assets 224,221 191,722 Total assets $ 55,698,197 $ 62,957,451 LIABILITIES AND SHAREHOLDERS' EQUITY Current liabilities Current portion of long-term debt $ 10,611,514 $ 2,000,000 Accounts payable 1,545,799 1,337,275 Accrued expenses 2,984,947 2,918,325 Contract liability 228,306 143,359 Total current liabilities 15,370,566 6,398,959 Long-term debt — 17,500,000 Other liabilities 427,581 421,508 Total liabilities 15,798,147 24,320,467 Commitments and contingencies (See Note 6) Shareholders' equity Preferred stock, 10,000,000 shares authorized, $ .001 par value, of which 200,000 shares are authorized as Class A Convertible stock. No shares issued and outstanding at December 31, 2023 and September 30, 2023 — — Common stock, $ .001 par value: 75,000,000 shares authorized, 19,550,184 and 19,543,441 issued at December 31, 2023 and September 30, 2023, respectively 19,549 19,543 Additional paid-in capital 54,522,975 54,317,265 Retained earnings (accumulated deficit) 6,726,063 5,668,713 Treasury stock, at cost, 2,096,451 shares at December 31, 2023 and at September 30, 2023 ( 21,368,537 ) ( 21,368,537 ) Total shareholders' equity 39,900,050 38,636,984 T

View Full Filing

View this 10-Q filing on SEC EDGAR