Maison Solutions Inc. Files Q3 2024 10-Q Report
Ticker: MSS · Form: 10-Q · Filed: Sep 23, 2024 · CIK: 1892292
Sentiment: neutral
Topics: 10-Q, quarterly-report, retail
TL;DR
Maison Solutions Inc. filed its 10-Q for Q3 2024, showing operational updates for the grocery retail sector.
AI Summary
Maison Solutions Inc. filed its quarterly report on Form 10-Q for the period ended July 31, 2024. The company, incorporated in Delaware, operates in the grocery store retail sector. Its principal executive offices are located at 127 N Garfield Ave, Monterey Park, California.
Why It Matters
This filing provides investors with an update on Maison Solutions Inc.'s financial performance and operational status for the third quarter of 2024.
Risk Assessment
Risk Level: low — This is a routine quarterly filing providing standard financial and operational information.
Key Players & Entities
- Maison Solutions Inc. (company) — Registrant
- July 31, 2024 (date) — Quarterly period end date
- 127 N Garfield Ave, Monterey Park, California (location) — Principal Executive Offices
- Delaware (location) — State of incorporation
FAQ
What is the primary business of Maison Solutions Inc.?
Maison Solutions Inc. operates in the RETAIL-GROCERY STORES sector, as indicated by its Standard Industrial Classification code [5411].
When is the fiscal year end for Maison Solutions Inc.?
The fiscal year end for Maison Solutions Inc. is April 30.
What is the SEC file number for Maison Solutions Inc.?
The SEC file number for Maison Solutions Inc. is 001-41720.
What is the telephone number for Maison Solutions Inc.'s principal executive offices?
The telephone number for Maison Solutions Inc.'s principal executive offices is (626) 737-5888.
In which state is Maison Solutions Inc. incorporated?
Maison Solutions Inc. is incorporated in Delaware.
Filing Stats: 4,400 words · 18 min read · ~15 pages · Grade level 15.5 · Accepted 2024-09-23 16:00:38
Key Financial Figures
- $0.0001 — which registered Class A common stock, $0.0001 par value per share MSS The Nasdaq Stoc
Filing Documents
- ea0214677-10q_maison.htm (10-Q) — 942KB
- ea021467701ex31-1_maison.htm (EX-31.1) — 9KB
- ea021467701ex31-2_maison.htm (EX-31.2) — 9KB
- ea021467701ex32-1_maison.htm (EX-32.1) — 4KB
- ea021467701ex32-2_maison.htm (EX-32.2) — 4KB
- 0001213900-24-081017.txt ( ) — 7600KB
- mss-20240731.xsd (EX-101.SCH) — 83KB
- mss-20240731_cal.xml (EX-101.CAL) — 86KB
- mss-20240731_def.xml (EX-101.DEF) — 407KB
- mss-20240731_lab.xml (EX-101.LAB) — 698KB
- mss-20240731_pre.xml (EX-101.PRE) — 409KB
- ea0214677-10q_maison_htm.xml (XML) — 871KB
FINANCIAL INFORMATION
PART I. FINANCIAL INFORMATION 1 Item 1.
Financial Statements
Financial Statements 1 Consolidated Balance Sheets as of July 31, 2024 (Unaudited) and April 30, 2024 (Audited) 1 Consolidated Statements of Operations for the Three Months Ended July 31, 2024 and 2023 (Unaudited) 2 Consolidated Statements of Changes in Stockholders' Equity for the Three Months Ended July 31, 2024 and 2023 (Unaudited) 3 Consolidated Statements of Cash Flows for the Three Months Ended July 31, 2024 and 2023 (Unaudited) 4 Notes to Condensed Financial Statements (Unaudited) 5 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 31 Item 3.
Quantitative and Qualitative Disclosures about Market Risk
Quantitative and Qualitative Disclosures about Market Risk 44 Item 4.
Controls and Procedures
Controls and Procedures 44
OTHER INFORMATION
PART II. OTHER INFORMATION 46 Item 1.
Legal Proceedings
Legal Proceedings 46 Item 1A.
Risk Factors
Risk Factors 46 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 46 Item 3. Defaults Upon Senior Securities 46 Item 4. Mine Safety Disclosures 46 Item 5. Other Information 46 Item 6. Exhibits 47
FINANCIAL INFORMATION
PART I. FINANCIAL INFORMATION
FINANCIAL STATEMENTS
ITEM 1. FINANCIAL STATEMENTS MAISON SOLUTIONS INC. AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS July 31, 2024 (Unaudited) April 30, 2024 ASSETS CURRENT ASSETS Cash $ 588,896 $ — Accounts receivable 122,705 111,874 Accounts receivable - related parties 676,800 459,647 Inventories, net 7,350,755 6,802,255 Prepayments 3,368,802 3,263,711 Other receivables and other current assets 488,123 1,240,786 Other receivable - related parties 33,995 33,995 Total current assets 12,630,076 11,912,268 NON-CURRENT ASSETS Restricted cash — 1,101 Property and equipment, net 2,310,474 2,334,963 Intangible assets, net 7,839,136 7,978,911 Security deposits 946,208 946,208 Investment under cost method 75,000 75,000 Investment under cost method - related parties 162,665 203,440 Investment under equity method 1,095,430 1,261,458 Operating lease right-of-use assets, net 40,068,614 40,726,647 Goodwill 16,957,147 16,957,147 Total non-current assets 69,454,674 70,484,875 TOTAL ASSETS $ 82,084,750 $ 82,397,143 LIABILITIES AND STOCKHOLDERS' EQUITY CURRENT LIABILITIES Bank overdraft $ 1,804,818 $ 97,445 Accounts payable 7,486,265 5,394,423 Accounts payable - related parties 469,707 470,605 Accrued expenses and other payables 1,380,430 1,627,082 Other payables - related parties 905,324 491,586 Income tax payable 1,156,022 442,518 Contract liabilities 897,810 965,696 Operating lease liabilities, current 4,113,719 4,088,678 Loan payables, current 65,627 65,098 Notes payable, current 10,126,065 15,126,065 Total current liabilities 28,405,787 28,769,196 NON-CURRENT LIABILITIES Long-term loan payables 2,479,594 2,496,201 Security deposit from sub-tenants 140,546 125,114 Operating lease liabilities, non-current 38,467,075 39,015,252 Deferred tax liability, net 1,254,802 1,272,260 Total non-current liabilities 42,342,017 42,908,827 TOTAL LIABILITIE
FINANCIAL STATEMENTS
FINANCIAL STATEMENTS JULY 31, 2024 (UNAUDITED) AND APRIL 30, 2024 1. Organization Maison Solutions Inc. ("Maison", the "Company", and formerly known as "Maison International Inc.") was founded on July 24, 2019 as an Illinois corporation with its principal place of business in California. In September 2021, the Company was redomiciled in the State of Delaware as a corporation registered under the laws of the State of Delaware. Immediately upon formation, the Company acquired three retail Asian supermarkets with two brands (Good Fortune and Hong Kong Supermarkets) in Los Angeles, California and rebranded them as "HK Good Fortune Supermarkets." Upon completion of these acquisitions, these entities became controlled subsidiaries of the Company (hereafter collectively referred to as "Maison Group"). In July 2019, the Company purchased 91 % of the equity interests in Good Fortune Supermarket San Gabriel, LP ("Maison San Gabriel") and 85.25 % of the equity interests in Good Fortune Supermarket of Monrovia, LP ("Maison Monrovia"), each of which owns a Good Fortune Supermarket. In October 2019, the Company purchased 91.67 % of the equity interests in Super HK of El Monte, Inc. ("Maison El Monte"), which owns a Hong Kong Supermarket. On June 30, 2022, the Company purchased 100 % equity interest in GF Supermarket of MP, Inc. ("Maison Monterey Park"), the legal entity holding a supermarket in Monterey Park. On November 3, 2023, the Company incorporated a wholly-owned subsidiary, AZLL LLC ("AZLL"), in Arizona. On April 8, 2024, AZLL closed an acquisition transaction and purchased 100 % of the equity interests in Lee Lee Oriental Supermart, Inc. ("Lee Lee") for an aggregate purchase price of approximately $ 22.2 million, consisting of: (i) $ 7.0 million in cash paid immediately at the closing of the transaction, and (ii) a senior secured promissory note (the "Secured Note") with an original principal amount of approximately $ 15.2 million pursuant to a senior secu