SurgePays, Inc. Files Q2 2024 10-Q Report

TL;DR

**SURG Q2 10-Q FILED: Check financials for latest performance.**

AI Summary

SurgePays, Inc. filed its 10-Q for the period ending June 30, 2024. The company reported its financial results for the second quarter of 2024. Key financial data and operational updates are detailed within the filing.

Why It Matters

This filing provides investors with an update on SurgePays' financial performance and operational status for the second quarter of 2024, crucial for assessing the company's current health and future prospects.

Risk Assessment

Risk Level: medium — As a publicly traded company, SurgePays, Inc. is subject to market fluctuations and regulatory requirements, making its risk level medium.

Key Numbers

• 20240630 — End of Reporting Period (Indicates the specific date for which financial data is reported.)
• 20240813 — Filing Date (The date the 10-Q was officially submitted to the SEC.)
• 2024-01-01 to 2024-06-30 — Q1-Q2 2024 Period (Covers the first six months of the fiscal year 2024.)

Key Players & Entities

• SurgePays, Inc. (company) — Filer of the 10-Q report
• 20240630 (date) — End of the reporting period
• 20240813 (date) — Filing date of the report
• 0001392694 (company) — Central Index Key for SurgePays, Inc.

FAQ

Filing Documents

• form10-q.htm (10-Q) — 2248KB
• ex31-1.htm (EX-31.1) — 23KB
• ex31-2.htm (EX-31.2) — 23KB
• ex32-1.htm (EX-32.1) — 12KB
• ex32-2.htm (EX-32.2) — 12KB
• 0001493152-24-031624.txt ( ) — 12208KB
• surg-20240630.xsd (EX-101.SCH) — 71KB
• surg-20240630_cal.xml (EX-101.CAL) — 85KB
• surg-20240630_def.xml (EX-101.DEF) — 340KB
• surg-20240630_lab.xml (EX-101.LAB) — 636KB
• surg-20240630_pre.xml (EX-101.PRE) — 490KB
• form10-q_htm.xml (XML) — 2683KB

Business

Business Combinations and Asset Acquisitions The Company accounts for acquisitions that qualify as business combinations by applying the acquisition method according to Accounting Standards Codification ("ASC") 805, Business Combinations ("ASC 805"). Transaction costs related to the acquisition of a business are expensed as incurred and excluded from the fair value of consideration transferred. The identifiable assets acquired, liabilities assumed, and noncontrolling interests in an acquired entity are recognized and measured at their estimated fair values. The excess of the fair value of consideration transferred over the fair values of identifiable assets acquired, liabilities assumed, and noncontrolling interests in an acquired entity, net of the fair value of any previously held interest in the acquired entity, is recorded as goodwill. Such valuations require management to make significant estimates and assumptions. Purchase price allocations may be preliminary, and, during the measurement period not to exceed one year from the date of acquisition, changes in assumptions and estimates that result in adjustments to the fair value of assets acquired and liabilities assumed are recorded in the period the adjustments are determined. Significant judgments are used in determining fair values of assets acquired and liabilities assumed, as well as intangibles. Fair value and useful life determinations are based on, among other factors, estimates of future expected cash flows, and appropriate discount rates used in computing present values. These judgments may materially impact the estimates used in allocating acquisition date fair values to assets acquired and liabilities assumed, as well as the Company's current and future operating results. Actual results may vary from these estimates which may result in adjustments to goodwill and acquisition date fair values of assets and liabilities during a measurement period or upon a final determination of asset and li

Business

Business Segments and Concentrations The Company uses the "management approach" to identify its reportable segments. The management approach requires companies to report segment financial information consistent with information used by management for making operating decisions and assessing performance as the basis for identifying the Company's reportable segments. The Company manages its business as multiple reportable segments. See Note 10 regarding segment disclosure. 14 SURGEPAYS, INC. AND SUBSIDIARIES NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS JUNE 30, 2024 The Mobile Virtual Network Operator (SurgePhone and Torch Wireless) business segment made up approximately 89 % and 83 % of total consolidated revenues for the six months ended June 30, 2024 and 2023, respectively. Revenues related to this business segment are 100 % derived from programs administered by the Federal Communications Commission (FCC), and all funds related to these programs are received directly from organizations under the direction of the FCC and subject to administrative rulings, statutory changes, and other funding restrictions that could impact the Company's operations in this segment. Accounts receivable related to these programs made up 94 % and 98 % of accounts receivable at June 30, 2024 and December 31, 2023, respectively. Customers in the United States accounted for 100 % of our revenues. We do not have any property or equipment outsid

View Full Filing

View this 10-Q filing on SEC EDGAR