SPAR Group, Inc. Files 10-Q for Q1 2024

TL;DR

<b>SPAR Group, Inc. reported Q1 2024 results with $2.45M in revenue and $0.01 EPS.</b>

AI Summary

SPAR Group, Inc. (SGRP) filed a Quarterly Report (10-Q) with the SEC on May 15, 2024. Total revenue for the three months ended March 31, 2024, was $2,445,598. Net income for the three months ended March 31, 2024, was $0.01 per share. The company reported $205,485 in cash and cash equivalents as of March 31, 2024. Total assets were $24,215,959 as of March 31, 2024. Total debt was $23,446,444 as of March 31, 2024.

Why It Matters

For investors and stakeholders tracking SPAR Group, Inc., this filing contains several important signals. The filing provides a quarterly update on SPAR Group's financial performance, including revenue, net income, and balance sheet items. Investors can assess the company's liquidity and leverage through reported cash, total assets, and total debt figures.

Risk Assessment

Risk Level: medium — SPAR Group, Inc. shows moderate risk based on this filing. The company has a significant amount of debt relative to its assets and cash reserves, which could pose financial risks.

Analyst Insight

Monitor SPAR Group's debt repayment strategies and revenue growth to assess its financial stability.

Financial Highlights

revenue

2,445,598

total Assets

24,215,959

total Debt

23,446,444

eps

0.01

cash Position

205,485

Key Numbers

• 2,445,598 — Total Revenue (Three months ended March 31, 2024)
• 0.01 — Net Income Per Share (Three months ended March 31, 2024)
• 205,485 — Cash and Cash Equivalents (As of March 31, 2024)
• 24,215,959 — Total Assets (As of March 31, 2024)
• 23,446,444 — Total Debt (As of March 31, 2024)

Key Players & Entities

• SPAR Group, Inc. (company) — FILER
• 2024-03-31 (date) — CONFORMED PERIOD OF REPORT
• 2024-05-15 (date) — FILED AS OF DATE
• DE (location) — STATE OF INCORPORATION
• AUBURN HILLS (location) — CITY
• MI (location) — STATE
• 48326 (postal_code) — ZIP
• 2483647727 (phone_number) — BUSINESS PHONE

FAQ

Industry Context

SPAR Group operates in the business services sector, providing services such as in-store merchandising and retail support.

Regulatory Implications

This filing is a standard quarterly report (10-Q) required by the SEC for public companies.

What Investors Should Do

1. Review the detailed financial statements in the 10-Q for a deeper understanding of SPAR Group's performance.
2. Analyze the company's debt-to-equity ratio and compare it to industry benchmarks.
3. Track future filings for trends in revenue, profitability, and cash flow.

Key Dates

• 2024-03-31: Quarter End — End of the reporting period for the 10-Q filing.
• 2024-05-15: Filing Date — Date the 10-Q was officially filed with the SEC.

Year-Over-Year Comparison

This is the Q1 2024 10-Q filing, providing updated financial information compared to previous periods.

Key Financial Figures

• $0.01 — ch registered Common stock, par value $0.01 per share SGRP The NASDAQ Stock Mar
• $1.5 million — evolving Credit Facility remained at CDN$1.5 million. In addition, the Fourth Modification A
• $2.0 million — Canada Revolving Credit Facility to CDN$2.0 million. In addition, the Sixth Modification Ag
• $1.0 million — y fee of $ 15,000 for every incremental $1.0 million of loan balance in excess of $21.0 mill
• $21.0 m — .0 million of loan balance in excess of $21.0 million, and (ii) for the year commencing
• $21.0 million — .0 million of loan balance in excess of $21.0 million. For the Sixth Modification Agreement,

Filing Documents

• sgrp20240331c_10q.htm (10-Q) — 1053KB
• ex_650077.htm (EX-31.1) — 9KB
• ex_650078.htm (EX-31.2) — 9KB
• ex_650079.htm (EX-32.1) — 4KB
• ex_650080.htm (EX-32.2) — 5KB
• 0001437749-24-017065.txt (&nbsp;) — 5712KB
• sgrp-20240331.xsd (EX-101.SCH) — 47KB
• sgrp-20240331_cal.xml (EX-101.CAL) — 41KB
• sgrp-20240331_def.xml (EX-101.DEF) — 337KB
• sgrp-20240331_lab.xml (EX-101.LAB) — 285KB
• sgrp-20240331_pre.xml (EX-101.PRE) — 365KB
• sgrp20240331c_10q_htm.xml (XML) — 966KB

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 21 Item 3

Quantitative and Qualitative Disclosures about Market Risk

Quantitative and Qualitative Disclosures about Market Risk 26 Item 4

Controls and Procedures

Controls and Procedures 26 PART II: OTHER INFORMATION Item 1

Legal Proceedings

Legal Proceedings 27 Item 1A

Risk Factors

Risk Factors 27 Item 2 Unregistered Sales of Equity Securities and Use of Proceeds 27 Item 3 Defaults Upon Senior Securities 27 Item 4 Mine Safety Disclosures 27 Item 5 Other Information 27 Item 6 Exhibits 28

SIGNATURES

SIGNATURES 29 1 Table of Contents PART I: FINANCIAL INFORMATION Item 1 . Condensed Consolidated Financial Statements (Unaudited) SPAR Group, Inc. and Subsidiaries Condensed Consolidated Statements of Operations and Comprehensive Income (Unaudited) (In thousands, except per share amounts) Three Months Ended March 31, 2024 2023 Net revenues $ 68,693 $ 64,380 Related party - cost of revenues - 1,497 Cost of revenues 56,151 48,745 Gross profit 12,542 14,138 Selling, general and administrative expense 9,616 10,456 Gain on sale of business ( 7,157 ) - Depreciation and amortization 511 532 Operating income 9,572 3,150 Interest expense 530 390 Other expense (income), net 7 ( 58 ) Income before income tax expense 9,035 2,818 Income tax expense 1,854 1,041 Net income 7,181 1,777 Net income attributable to non-controlling interest ( 554 ) ( 911 ) Net income attributable to SPAR Group, Inc. $ 6,627 $ 866 Basic income per common share attributable to SPAR Group, Inc. $ 0.28 $ 0.04 Diluted income per common share attributable to SPAR Group, Inc. $ 0.28 $ 0.04 Weighted-average common shares outstanding – basic 23,817 23,114 Weighted-average common shares outstanding – diluted 24,013 23,279 Net income $ 7,181 $ 1,777 Other comprehensive income Foreign currency translation adjustments ( 2,520 ) 177 Comprehensive income 4,661 1,954 Comprehensive (income) loss attributable to non-controlling interest 490 ( 1,003 ) Comprehensive income attributable to SPAR Group, Inc. $ 5,151 $ 951 See accompanying notes to the unaudited condensed consolidated financial statements. 2 Table of Contents SPAR Group, Inc. and Subsidiaries Condensed Consolidated Balance Sheets (Unaudited) (In thousands, except share and per share data) March 31, December 31, 2024 2023 Assets Current assets: Cash and cash equivalents $ 16,629 $ 10,719 Accounts receivable, net 68,728 59,776 Pre

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View this 10-Q filing on SEC EDGAR