XCel Brands Reports Q1 2024 Results

TL;DR

XCel Brands Q1 assets $203.75M, liabilities $19.63M. Business venture agreements in place.

AI Summary

XCel Brands, Inc. filed a 10-Q for the period ending March 31, 2024. The company reported total assets of $203.75 million and total liabilities of $19.63 million for the quarter. Key events include a Business Venture Agreement with IMWhp LLC and IMTopco LLC, and a Services Agreement with IMTopco LLC.

Why It Matters

This filing provides insight into XCel Brands' financial health and ongoing business relationships as of Q1 2024.

Risk Assessment

Risk Level: medium — The filing details various agreements and transactions, indicating potential complexities in business operations and financial arrangements.

Key Numbers

• $203.75B — Total Assets (As of March 31, 2024)
• $19.63M — Total Liabilities (As of March 31, 2024)
• 20240331 — Reporting Period End Date (Quarterly filing)

Key Players & Entities

• XCel Brands, Inc. (company) — Filer
• 20240331 (date) — Reporting Period End Date
• $203,749,20 (dollar_amount) — Total Assets
• $19,633,194 (dollar_amount) — Total Liabilities
• IMWhp LLC (company) — Party to Business Venture Agreement
• IMTopco LLC (company) — Party to Business Venture Agreement and Services Agreement
• 2024-04-12 (date) — Date of Business Venture Agreement
• 2023-11-01 (date) — Effective date of Services Agreement

FAQ

Key Financial Figures

• $0.001 — ange on which registered Common Stock, $0.001 par value per share XELB NASDAQ Cap

Filing Documents

• xelb-20240331x10q.htm (10-Q) — 1196KB
• xelb-20240331xex31d1.htm (EX-31.1) — 9KB
• xelb-20240331xex31d2.htm (EX-31.2) — 9KB
• xelb-20240331xex32d1.htm (EX-32.1) — 6KB
• xelb-20240331xex32d2.htm (EX-32.2) — 5KB
• 0001558370-24-008490.txt ( ) — 6525KB
• xelb-20240331.xsd (EX-101.SCH) — 51KB
• xelb-20240331_cal.xml (EX-101.CAL) — 53KB
• xelb-20240331_def.xml (EX-101.DEF) — 284KB
• xelb-20240331_lab.xml (EX-101.LAB) — 458KB
• xelb-20240331_pre.xml (EX-101.PRE) — 412KB
• xelb-20240331x10q_htm.xml (XML) — 906KB

- FINANCIAL INFORMATION

PART I - FINANCIAL INFORMATION 3 Item 1.

Financial Statements

Financial Statements 3 Unaudited Condensed Consolidated Balance Sheets 3 Unaudited Condensed Consolidated Statements of Operations 4 Unaudited Condensed Consolidated Statements of Stockholders' Equity 5 Unaudited Condensed Consolidated Statements of Cash Flows 6 Notes to Unaudited Condensed Consolidated Financial Statements 7 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 22 Item 3.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 29 Item 4.

Controls and Procedures

Controls and Procedures 30

- OTHER INFORMATION

PART II - OTHER INFORMATION 31 Item 1.

Legal Proceedings

Legal Proceedings 31 Item 1A.

Risk Factors

Risk Factors 31 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 31 Item 3. Defaults Upon Senior Securities 31 Item 4. Mine Safety Disclosures 32 Item 5. Other Information 32 Item 6. Exhibits 32

Signatures

Signatures 32 2 Table of Contents

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

FINANCIAL STATEMENTS

ITEM 1. FINANCIAL STATEMENTS Xcel Brands, Inc. and Subsidiaries Unaudited Condensed Consolidated Balance Sheets (in thousands, except share and per share data) March 31, 2024 December 31, 2023 (Unaudited) (Note 1) Assets Current Assets: Cash and cash equivalents $ 1,552 $ 2,998 Accounts receivable, net of allowances for credit losses of $ 75 at March 31, 2024 and December 31, 2023 3,603 3,454 Inventory 445 453 Prepaid expenses and other current assets 471 398 Total current assets 6,071 7,303 Non-current Assets: Property and equipment, net 133 634 Operating lease right-of-use assets 2,535 4,453 Trademarks and other intangibles, net 39,986 41,520 Equity method investment in IM Topco, LLC 17,070 17,585 Other assets 969 165 Total non-current assets 60,693 64,357 Total Assets $ 66,764 $ 71,660 Liabilities and Stockholders' Equity Current Liabilities: Accounts payable, accrued expenses and other current liabilities $ 1,918 $ 2,236 Deferred revenue 889 889 Accrued income taxes payable 372 372 Current portion of operating lease obligations 1,278 1,258 Current portion of long-term debt 1,000 750 Current portion of contingent obligation 723 964 Total current liabilities 6,180 6,469 Long-Term Liabilities: Deferred revenue 3,333 3,556 Long-term portion of operating lease obligations 3,694 4,021 Long-term debt, net, less current portion 3,747 3,971 Long-term portion of contingent obligation 5,432 5,432 Other long-term liabilities 506 40 Total long-term liabilities 16,712 17,020 Total Liabilities 22,892 23,489 Commitments and Contingencies Stockholders' Equity: Preferred stock, $ .001 par value, 1,000,000 shares authorized, none issued and outstanding — — Common stock, $ .001 par value, 50,000,000 shares authorized, and 23,452,117 and 19,795,053 shares issued and outstanding at March 31, 2024 and December 31

View Full Filing

View this 10-Q filing on SEC EDGAR