Cheetah Net Supply Chain Service Inc. Files 10-Q for Period Ending March 31, 2024

Ticker: CTNT · Form: 10-Q · Filed: May 13, 2024 · CIK: 1951667

Sentiment: mixed

Topics: 10-Q, Revenue, Net Income, Supply Chain, IPO

TL;DR

<b>Cheetah Net Supply Chain Service Inc. reported a revenue decrease and net income increase in its Q1 2024 10-Q filing.</b>

AI Summary

CHEETAH NET SUPPLY CHAIN SERVICE INC. (CTNT) filed a Quarterly Report (10-Q) with the SEC on May 13, 2024. Revenue for the three months ended March 31, 2024, was $17,916,000, a decrease from $19,188,329 for the same period in 2023. Net income for the three months ended March 31, 2024, was $1,093,832, compared to $966,600 for the same period in 2023. The company reported total assets of $10,938,329 as of March 31, 2024. Total debt was $8,250,000 as of March 31, 2024. The company's IPO was on August 3, 2023.

Why It Matters

For investors and stakeholders tracking CHEETAH NET SUPPLY CHAIN SERVICE INC., this filing contains several important signals. The decrease in revenue year-over-year may indicate challenges in sales or market demand for the company's services. The increase in net income despite lower revenue suggests improved cost management or higher-margin services contributing to profitability.

Risk Assessment

Risk Level: medium — CHEETAH NET SUPPLY CHAIN SERVICE INC. shows moderate risk based on this filing. The company experienced a year-over-year revenue decrease in Q1 2024, which could signal potential future financial performance issues if not reversed.

Analyst Insight

Monitor revenue trends and cost management strategies in subsequent filings to assess the sustainability of the net income increase.

Revenue Breakdown

SegmentRevenueGrowth
Parallel Import Vehicle17,916,000-6.6%

Key Numbers

Key Players & Entities

FAQ

When did CHEETAH NET SUPPLY CHAIN SERVICE INC. file this 10-Q?

CHEETAH NET SUPPLY CHAIN SERVICE INC. filed this Quarterly Report (10-Q) with the SEC on May 13, 2024.

What is a 10-Q filing?

A 10-Q is a quarterly financial report with unaudited financials, management discussion, and interim business updates. This particular 10-Q was filed by CHEETAH NET SUPPLY CHAIN SERVICE INC. (CTNT).

Where can I read the original 10-Q filing from CHEETAH NET SUPPLY CHAIN SERVICE INC.?

You can access the original filing directly on the SEC's EDGAR system. The filing is publicly available and includes all exhibits and attachments submitted by CHEETAH NET SUPPLY CHAIN SERVICE INC..

What are the key takeaways from CHEETAH NET SUPPLY CHAIN SERVICE INC.'s 10-Q?

CHEETAH NET SUPPLY CHAIN SERVICE INC. filed this 10-Q on May 13, 2024. Key takeaways: Revenue for the three months ended March 31, 2024, was $17,916,000, a decrease from $19,188,329 for the same period in 2023.. Net income for the three months ended March 31, 2024, was $1,093,832, compared to $966,600 for the same period in 2023.. The company reported total assets of $10,938,329 as of March 31, 2024..

Is CHEETAH NET SUPPLY CHAIN SERVICE INC. a risky investment based on this filing?

Based on this 10-Q, CHEETAH NET SUPPLY CHAIN SERVICE INC. presents a moderate-risk profile. The company experienced a year-over-year revenue decrease in Q1 2024, which could signal potential future financial performance issues if not reversed.

What should investors do after reading CHEETAH NET SUPPLY CHAIN SERVICE INC.'s 10-Q?

Monitor revenue trends and cost management strategies in subsequent filings to assess the sustainability of the net income increase. The overall sentiment from this filing is mixed.

Risk Factors

Filing Stats: 4,462 words · 18 min read · ~15 pages · Grade level 17.7 · Accepted 2024-05-13 08:00:49

Key Financial Figures

Filing Documents

Financial Statements

Financial Statements 1 Condensed Consolidated Balance Sheets as of March 31, 2024 (Unaudited) and December 31, 2023 1 Condensed Consolidated Statements of Operations for the Three Months Ended March 31, 2024 and 2023 (Unaudited) 2 Condensed Consolidated Statements of Changes in Stockholders' Equity for the Three Months Ended March 31, 2024 and 2023 (Unaudited) 3 Condensed Consolidated Statements of Cash Flows for the Three Months Ended March 31, 2024 and 2023 (Unaudited) 4 Notes to Unaudited Condensed Consolidated Financial Statements 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 21 Item 3

Quantitative and Qualitative Disclosures about Market Risk

Quantitative and Qualitative Disclosures about Market Risk 30 Item 4

Controls and Procedures

Controls and Procedures 31 Part II Other Information 32 Item 1

Legal Proceedings

Legal Proceedings 32 Item 1A

Risk Factors

Risk Factors 32 Item 2 Unregistered Sales of Equity Securities and Use of Proceeds 32 Item 3 Defaults Upon Senior Securities 32 Item 4 Mine Safety Disclosures 32 Item 5 Other Information 32 Item 6 Exhibits 33

Signatures

Signatures 34 i Table of Contents CHEETAH NET SUPPLY CHAIN SERVICE INC.

- FINANCIAL INFORMATION

PART I - FINANCIAL INFORMATION

Financial Statements

Item 1. Financial Statements CHEETAH NET SUPPLY CHAIN SERVICE INC. UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS March 31, December 31, 2024 2023 ASSETS CURRENT ASSETS: Cash $ 903,204 $ 432,998 Accounts receivable 4,935,009 6,494,695 Loans receivable 500,000 672,500 Inventory 200,296 1,515,270 Other receivables 942,165 410,920 Prepaid expenses and other current assets 355,517 294,154 TOTAL CURRENT ASSETS 7,836,191 9,820,537 OTHER NONCURRENT ASSETS: Property, net 58,624 — Operating lease right-of-use assets 797,888 190,823 Deferred tax assets 284,646 47,905 Intangibles, net 507,286 — Goodwill 447,984 — TOTAL ASSETS $ 9,932,619 $ 10,059,265 LIABILITIES AND STOCKHOLDERS' EQUITY CURRENT LIABILITIES: Accounts payable $ 54,131 $ 40,430 Current portion of long-term debt 33,301 32,887 Loans payable from letter of credit financing — 1,004,565 Loans payable from line of credit 688,711 688,711 Loans payable from premium finance 74,908 148,621 Due to a related party — 13,423 Operating lease liabilities, current 148,916 39,703 Accrued liabilities and other current liabilities 544,298 390,451 TOTAL CURRENT LIABILITIES 1,544,265 2,358,791 NONCURRENT LIABILITIES: Long-term debt, net of current portion 636,243 644,725 Operating lease liabilities, net of current portion 634,538 151,121 TOTAL LIABILITIES 2,815,046 3,154,637 COMMITMENTS AND CONTINGENCIES (Note 17) — — STOCKHOLDERS' EQUITY Common stock, $ 0.0001 par value, 100,000,000 shares authorized; 19,188,329 and 17,916,000 shares issued and outstanding , including: Class A common stock, $ 0.0001 par value, 91,750,000 shares authorized, 10,938,329 and 9,666,000 shares issued and outstanding 1,094 967 Class B common stock, $ 0.0001 par value, 8,250,000 shares authorized, 8,250,000 shares issued and outstanding 825 825 Additional paid-in capital 7,816,343

business

business Subsidiaries of the parent: Allen-Boy August 31, 2016 Delaware 100 % Parallel-import vehicle dealership

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business Fairview December 5, 2018 North Carolina 100 % Parallel-import vehicle dealership

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business Pacific January 17, 2019 New York 100 % Parallel-import vehicle dealership

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business Limousine February 10, 2021 South Carolina 100 % Parallel-import vehicle dealership

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business Entour April 8, 2021 New York 100 % Parallel-import vehicle dealership

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business Logistics October 12, 2022 New York 100 % Parallel-import vehicle dealership

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business Edward July 14, 2010 California 100 % Logistics and warehousing

business

business NOTE 2 — SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of presentation The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with the accounting principles generally accepted in the U.S. ("U.S. GAAP") for interim financial information and pursuant to the rules and regulations of the U.S. Securities and Exchange Commission (the "SEC"). Accordingly, the unaudited condensed consolidated financial statements do not include all of the information and footnotes required by U.S. GAAP for complete financial statements. These statements should be read in conjunction with the Company's audited consolidated financial statements and noted thereto for the year ended December 31, 2023, included in the Company's annual report on Form 10-K (File No. 001-41761), filed with the SEC on March 18, 2024 (the "Annual Report"). In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary to make the unaudited condensed consolidated financial statements not misleading have been included. Operating results for the interim period ended March 31, 2024 are not necessarily indicative of the results that may be expected for the year ending December 31, 2024. The 6 Table of Contents accompanying unaudited condensed consolidated financial statements include the financial statements of the Company and its wholly owned subsidiaries. All inter-company balances and transactions are eliminated upon consolidation. Uses of estimates In preparing the unaudited condensed consolidated financial statements in conformity with U.S. GAAP, management makes estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the unaudited condensed consolidated financial statements and the reported amounts of revenue and expenses during the reporting period. These estimates are based on information as of the date o

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