Sow Good Inc. Files Q2 2024 10-Q

TL;DR

Sow Good Inc. 10-Q filed. IPO May 6, 2024. Formerly Black Ridge Oil & Gas.

AI Summary

Sow Good Inc. filed its 10-Q for the period ending June 30, 2024. The company, formerly known as Black Ridge Oil & Gas, Inc., is in the food products industry. Key dates mentioned include the IPO on May 6, 2024, and the name change from Black Ridge Oil & Gas, Inc. on April 3, 2012. The filing also references financial data related to employee stock options and additional paid-in capital.

Why It Matters

This filing provides investors with Sow Good Inc.'s financial performance and operational updates for the second quarter of 2024, crucial for understanding the company's current standing and future prospects.

Risk Assessment

Risk Level: medium — As a recently public company with a history of name changes, Sow Good Inc. may present higher investment risks due to its evolving business and financial track record.

Key Numbers

• 2024-06-30 — Reporting Period End (This is the end date for the financial data presented in the 10-Q.)
• 2024-08-14 — Filing Date (The date the 10-Q was officially submitted to the SEC.)
• 2024-05-06 — IPO Date (Indicates the company's Initial Public Offering date.)

Key Players & Entities

• Sow Good Inc. (company) — Filer
• Black Ridge Oil & Gas, Inc. (company) — Former company name
• 20240630 (date) — Reporting period end date
• 20240814 (date) — Filing date
• 001-42037 (dollar_amount) — SEC file number
• 2024-05-06 (date) — IPO date
• 2012-04-03 (date) — Date of name change from Black Ridge Oil & Gas, Inc.

FAQ

Key Financial Figures

• $0.001 — ch registered Common stock, par value $0.001 per share SOWG NASDAQ Indicate by

Filing Documents

• sowg-20240630.htm (10-Q) — 2257KB
• sowg-ex31_1.htm (EX-31.1) — 13KB
• sowg-ex31_2.htm (EX-31.2) — 13KB
• sowg-ex32_1.htm (EX-32.1) — 7KB
• sowg-ex32_2.htm (EX-32.2) — 7KB
• img137451108_0.jpg (GRAPHIC) — 10KB
• 0000950170-24-097195.txt ( ) — 10461KB
• sowg-20240630.xsd (EX-101.SCH) — 1471KB
• sowg-20240630_htm.xml (XML) — 2005KB

Financial Statements (Unaudited)

Financial Statements (Unaudited) 4 Condensed Balance Sheets as of June 30, 2024 (Unaudited) and December 31, 2023 4 Unaudited Condensed Statements of Operations for the Three and Six Months Ended June 30, 2024 and 2023 5 Unaudited Statements of Changes in Stockholders' Equity for the Three and Six Months Ended June 30, 2024 and 2023 6 Unaudited Condensed Statements of Cash Flows for the Six Months Ended June 30, 2024 and 2023 7 Notes to the Condensed Financial Statements (Unaudited) 8 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 29 Item 3.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 39 Item 4.

Controls and Procedures

Controls and Procedures 39 PART II. OTHER INFORMATION 41 Item 1.

Legal Proceedings

Legal Proceedings 41 Item 1A.

Risk Factors

Risk Factors 41 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 41 Item 3. Defaults Upon Senior Securities 42 Item 4. Mine Safety Disclosures 42 Item 5. Other Information 42 Item 6. Exhibits 43

Signatures

Signatures 44 2 CAUTIONARY STATEMENT CONCERNING FORWARD-LOOKING STATEMENTS We are including the following discussion to inform our existing and potential security holders generally of some of the risks and uncertainties that can affect our company and to take advantage of the "safe harbor" protection for forward-looking statements that applicable federal securities law affords. From time to time, our management or persons acting on our behalf may make forward-looking statements to inform existing and potential security holders about our company. All statements other than statements of historical facts included in this report regarding our financial position, business strategy, plans and objectives of management for future operations and industry conditions are forward-looking statements. When used in this report, forward-looking statements are generally accompanied by terms or phrases such as "estimate," "project," "predict," "believe," "expect," "anticipate," "target," "plan," "intend," "seek," "goal," "will," "should," "may" or other words and similar expressions that convey the uncertainty of future events or outcomes. Items making assumptions regarding actual or potential future sales, market size, collaborations, trends or operating results also constitute such forward-looking statements. Forward-looking statements involve inherent risks and uncertainties, and important factors (many of which are beyond our control) that could cause actual results to differ materially from those set forth in the forward-looking statements include the following: our ability to compete successfully in the highly competitive industry in which we operate; our ability to maintain and enhance our brand; our ability to successfully implement our growth strategies related to launching new products; the effectiveness and efficiency of our marketing programs; our ability to manage current operations and to manage future growth effectively; our future operating per

—FINANCIAL INFO RMATION

PART I—FINANCIAL INFO RMATION

Finan cial Statements

Item 1. Finan cial Statements. SOW GOOD INC. CONDENSED BALANCE SHEETS June 30, December 31, 2024 2023 ASSETS (Unaudited) Current assets: Cash and cash equivalents $ 14,373,035 $ 2,410,037 Accounts receivable, net 6,197,037 2,578,259 Inventory 10,319,489 4,123,246 Prepaid inventory 1,150,132 563,131 Prepaid expenses 170,081 563,164 Total current assets 32,209,774 10,237,837 Property and equipment: Construction in progress 1,886,721 1,522,465 Property and equipment 8,151,216 6,287,422 Less accumulated depreciation ( 1,334,386 ) ( 967,602 ) Total property and equipment, net 8,703,551 6,842,285 Security deposit 1,357,956 346,616 Right-of-use asset 17,918,843 4,061,820 Total assets $ 60,190,124 $ 21,488,558 LIABILITIES AND STOCKHOLDERS' EQUITY Current liabilities: Accounts payable $ 1,781,925 $ 853,535 Accrued interest 330,894 860,693 Accrued expenses 1,378,807 648,947 Income tax payable - current 257,918 - Current portion of operating lease liabilities 1,701,079 550,941 Current maturities of notes payable, related parties, net of $ 47,053 and $ 431,854 of debt discounts at June 30, 2024 and December 31, 2023, respectively 632,084 2,543,146 Current maturities of notes payable, net of $ 38,558 and $ 86,062 of debt discounts as of June 30, 2024 and December 31, 2023, respectively 200,692 313,938 Total current liabilities 6,283,399 5,771,200 Operating lease liabilities 16,783,997 3,671,729 Notes payable, related parties, net of $ 542,918 and $ 1,448,858 of debt discounts as of June 30, 2024 and December 31, 2023, respectively 1,957,082 4,171,142 Notes payable, net of $ 0 and $ 135,962 of debt discounts as of June 30, 2024 and December 31, 2023, respectively 150,000 594,038 Total liabilities 25,174,478 14,208,109 Commitments and contingencies Stockholders' equity: Preferred stock, $

View Full Filing

View this 10-Q filing on SEC EDGAR