Kaival Brands Innovations Group, Inc. Files 10-Q for Period Ending January 31, 2024

TL;DR

<b>Kaival Brands Innovations Group, Inc. filed its Q1 2024 10-Q on March 25, 2024, detailing financial performance for the quarter ending January 31, 2024.</b>

AI Summary

Kaival Brands Innovations Group, Inc. (KAVL) filed a Quarterly Report (10-Q) with the SEC on March 25, 2024. Kaival Brands Innovations Group, Inc. filed a 10-Q for the period ending January 31, 2024. The filing covers the first quarter of fiscal year 2024. The company's fiscal year ends on October 31st. The filing was made on March 25, 2024. The company was formerly known as Quick Start Holdings, Inc. and changed its name on December 18, 2018.

Why It Matters

For investors and stakeholders tracking Kaival Brands Innovations Group, Inc., this filing contains several important signals. This 10-Q filing provides investors with an updated view of Kaival Brands' financial health and operational performance for the most recent fiscal quarter. Understanding the details within this report is crucial for assessing the company's current financial standing, profitability, and any potential risks or opportunities.

Risk Assessment

Risk Level: low — Kaival Brands Innovations Group, Inc. shows low risk based on this filing. The filing is a standard quarterly report (10-Q) and does not contain immediate, significant negative financial disclosures or events.

Analyst Insight

Review the detailed financial statements and management's discussion and analysis within the 10-Q to understand the company's performance and outlook.

Key Numbers

• 2024-01-31 — Period End Date (Conformed period of report)
• 2024-03-25 — Filing Date (Filed as of date)
• 10-31 — Fiscal Year End (Fiscal year end)

Key Players & Entities

• Kaival Brands Innovations Group, Inc. (company) — Filer
• Quick Start Holdings, Inc. (company) — Former company name
• 2024-01-31 (date) — Conformed period of report
• 2024-03-25 (date) — Filed as of date
• 2018-12-18 (date) — Date of name change

FAQ

Industry Context

Kaival Brands Innovations Group, Inc. operates in the non-store retailers sector. This filing provides insights into their performance within this industry.

Regulatory Implications

The filing is a standard 10-Q, adhering to SEC regulations for quarterly financial reporting by public companies.

What Investors Should Do

1. Analyze the financial statements (balance sheet, income statement, cash flow) for the quarter ending January 31, 2024.
2. Review the Management's Discussion and Analysis (MD&A) section for insights into operational performance and future outlook.
3. Compare the current quarter's performance to previous periods and industry benchmarks.

Key Dates

• 2024-01-31: Quarterly Period End — End of the reporting period for the 10-Q filing.
• 2024-03-25: Filing Date — Date the 10-Q was officially filed with the SEC.

Year-Over-Year Comparison

This is the initial 10-Q filing for the fiscal year 2024, providing the first look at the company's performance in this period.

Key Financial Figures

• $0.001 — ch registered Common Stock, par value $0.001 per share KAVL The Nasdaq Stock Mar

Filing Documents

• e5504_10q.htm (10-Q) — 608KB
• e5504_ex31-1.htm (EX-31.1) — 8KB
• e5504_ex31-2.htm (EX-31.2) — 8KB
• e5504_ex32-1.htm (EX-32.1) — 6KB
• e5504_ex32-2.htm (EX-32.2) — 6KB
• 0001731122-24-000480.txt (&nbsp;) — 3993KB
• kavl-20240131.xsd (EX-101.SCH) — 36KB
• kavl-20240131_cal.xml (EX-101.CAL) — 45KB
• kavl-20240131_def.xml (EX-101.DEF) — 146KB
• kavl-20240131_lab.xml (EX-101.LAB) — 279KB
• kavl-20240131_pre.xml (EX-101.PRE) — 233KB
• e5504_10q_htm.xml (XML) — 508KB

Financial Statements

Financial Statements F-1 Unaudited Consolidated Balance Sheets F-1 Unaudited Consolidated Statements of Operations F-2 Unaudited Consolidated Statements of Changes in Stockholders' Equity F-3 Unaudited Consolidated Statements of Cash Flows F-5 Notes to Unaudited Consolidated Financial Statements F-6 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 1 Liquidity and Capital Resources 7 Results of Operations 8 Emerging Growth Company 9 Item 3

Quantitative and Qualitative Disclosures about Market Risk

Quantitative and Qualitative Disclosures about Market Risk 9 Item 4

Controls and Procedures

Controls and Procedures 9 PART II Other Information 1 0 Item 1.

Legal Proceedings

Legal Proceedings 10 Item 1A.

Risk Factors

Risk Factors 10 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 10 Item 3 Defaults Upon Senior Securities 10 Item 4 Mine Safety Disclosures 10 Item 5 Other Information 10 Item 6 Exhibits 11

Signatures

Signatures 12 i CAUTIONARY NOTE CONCERNING FORWARD-LOOKING Certain contain or may contain "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended (the "Securities Act"), Section 21 of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), and the Private Securities Litigation Reform Act of 1995. We generally use the words "may," "should," "believe," "expect," "intend," "plan," "anticipate," "likely," "estimate," "potential," "continue," "will," and similar expressions to identify forward-looking statements. Forward-looking statements are not statements of historical facts, but rather reflect our current expectations concerning future events and results, including, without limitation, statements related to: our substantial reliance on, and efforts to diversify our business from, the business of our affiliate Bidi Vapor, LLC ("Bidi"); our ability to raise required funding in the form of debt or equity both in the near and longer term; our ability to obtain from, and pay for, Bidi products we distribute; our ability to integrate and ultimately enter into licenses for or create products relating to the intellectual property assets we acquired from GoFire, Inc. on May 30, 2023; the impact of the August 2022 11th Circuit Court of Appeals decision overturning the U.S. Food and Drug Administration's ("FDA") previous denial of Bidi's Premarket Tobacco Product Application ("PMTA") for its non-tobacco flavored BIDI Stick electronic nicotine delivery system ("ENDS"), which we are permitted to distribute in the U.S. subject to FDA enforcement and maintenance of all state licenses and permits, and the outcome of the FDA's pending review of such PMTA, the denial of which could have a substantial adverse impact on our company; the impact of the FDA's marketing deni

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

Financial Statements

Item 1. Financial Statements. Kaival Brands Innovations Group, Inc. Consolidated Balance Sheets (Unaudited) January 31, 2024 October 31, 2023 ASSETS CURRENT ASSETS: Cash $ 591,293 $ 533,659 Accounts receivable, net 743,961 1,869,276 Inventories, net 2,058,070 4,071,824 Inventory deposit – related party 273,060 — Prepaid expenses 369,027 430,668 Total current assets 4,035,411 6,905,427 Fixed assets, net 2,668 2,842 Intangible assets, net 11,271,710 11,468,309 Right of use asset- operating lease 959,594 1,008,428 TOTAL ASSETS $ 16,269,383 $ 19,385,006 LIABILITIES AND STOCKHOLDERS' EQUITY CURRENT LIABILITIES: Accounts payable $ 304,595 $ 374,332 Accounts payable- related party 1,413,691 2,474,817 Loans payable, net 821,889 799,471 Accrued expenses 695,442 736,194 Customer deposits 50,000 — Customer refund due 229,548 392,406 Operating lease obligation – short term 189,329 184,568 Total current liabilities 3,704,494 4,961,788 LONG TERM LIABILITIES Operating lease obligation, net of current portion 817,106 866,207 TOTAL LIABILITIES 4,521,600 5,827,995 STOCKHOLDERS' EQUITY: Preferred stock; 5,000,000 shares authorized: Series A Convertible Preferred stock ($ 0.001 par value, 3,000,000 shares authorized, none issued and outstanding as of January 31, 2024, and October 31, 2023, respectively) — — Series B Convertible Preferred stock ($ 0.001 par value, 3,000,000 shares authorized, 900,000 issued and outstanding as of January 31, 2024, and October 31, 2023, respectively) 900 900 Common stock ($ 0.001 par value, 1,000,000,000 shares authorized, 2,863,002 and 2,793,386 issued and outstanding as of January 31, 2024, and October 31, 2023, respectively) 2,863 2,793 Additional paid-in capital 44,621,654 44,317,266 Accumulated deficit ( 32,877,634 ) ( 30,763,948 ) Total Stockholders' Equity 11,747,783 13,557,011 TOTAL LIABILITIES & STOCKHOLDERS' EQUITY $

View Full Filing

View this 10-Q filing on SEC EDGAR