Forward Industries Files Q3 2024 10-Q

TL;DR

FORW Q3 10-Q filed: $15.6M assets, $1.3M liabilities. Looks stable.

AI Summary

Forward Industries, Inc. filed its 10-Q for the period ending December 31, 2024. The company reported total assets of $15.58 million and total liabilities of $1.33 million as of December 31, 2024. This filing covers the third quarter of their fiscal year, which ends on September 30.

Why It Matters

This filing provides a snapshot of Forward Industries' financial health and performance for the third quarter of fiscal year 2024, crucial for investors assessing the company's stability and growth prospects.

Risk Assessment

Risk Level: low — The filing is a routine quarterly report and does not indicate any immediate or significant financial distress.

Key Numbers

• $15.59M — Total Assets (As of December 31, 2024)
• $1.33M — Total Liabilities (As of December 31, 2024)
• 2024-12-31 — Reporting Period End Date (Third quarter of fiscal year 2024)

Key Players & Entities

• Forward Industries, Inc. (company) — Filer of the 10-Q
• 0001683168-25-000993 (filing_id) — Accession Number for the filing
• 20241231 (date) — End of the reporting period
• 20250213 (date) — Date the filing was made
• 1558682 (dollar_amount) — Total assets as of December 31, 2024
• 1333682 (dollar_amount) — Total liabilities as of December 31, 2024

FAQ

Key Financial Figures

• $0.01 — ch registered Common Stock, par value $0.01 FORD The Nasdaq Stock Market (The N
• $20,345,000 — deficit and working capital deficit of $20,345,000 and $162,000, respectively, at December
• $162,000 — king capital deficit of $20,345,000 and $162,000, respectively, at December 31, 2024, a
• $708,000 — ly, at December 31, 2024, a net loss of $708,000 for the three months ended December 31,
• $1,951,000 — hree months ended December 31, 2024 and $1,951,000 in Fiscal 2024 and a cash balance of ap
• $2,900,000 — 024 and a cash balance of approximately $2,900,000 at January 31, 2025. The Company's OEM

Filing Documents

• forward_i10q-123124.htm (10-Q) — 585KB
• forward_ex3101.htm (EX-31.1) — 8KB
• forward_ex3102.htm (EX-31.2) — 7KB
• forward_ex3201.htm (EX-32.1) — 7KB
• 0001683168-25-000993.txt ( ) — 3910KB
• ford-20241231.xsd (EX-101.SCH) — 30KB
• ford-20241231_cal.xml (EX-101.CAL) — 47KB
• ford-20241231_def.xml (EX-101.DEF) — 112KB
• ford-20241231_lab.xml (EX-101.LAB) — 294KB
• ford-20241231_pre.xml (EX-101.PRE) — 243KB
• forward_i10q-123124_htm.xml (XML) — 453KB

Financial Statements

Financial Statements Condensed Consolidated Balance Sheets at December 31, 2024 (Unaudited) and September 30, 2024 3 Condensed Consolidated Statements of Operations (Unaudited) for the Three Months Ended December 31, 2024 and 2023 4 Condensed Consolidated Statements of Shareholders' Equity (Unaudited) for the Three Months Ended December 31, 2024 and 2023 5 Condensed Consolidated Statements of Cash Flows (Unaudited) for the Three Months Ended December 31, 2024 and 2023 6 Notes to 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 20 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 27

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

FINANCIAL STATEMENTS

ITEM 1. FINANCIAL STATEMENTS FORWARD INDUSTRIES, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS December 31, September 30, 2024 2024 (Unaudited) (See Note 2) Assets Current assets: Cash $ 2,606,879 $ 3,022,436 Accounts receivable, net of allowances for credit losses of $ 51,342 and $ 27,282 as of December 31, 2024 and September 30, 2024, respectively 4,862,223 5,609,032 Accounts receivable (related party) – 96,487 Inventories, net 752,973 489,996 Prepaid expenses and other current assets 402,813 426,240 Total current assets 8,624,888 9,644,191 Property and equipment, net 194,029 219,297 Intangible assets, net 627,197 680,386 Goodwill 1,333,682 1,558,682 Operating lease right-of-use assets, net 2,639,821 2,593,112 Other assets 72,688 72,688 Total assets $ 13,492,305 $ 14,768,356 Liabilities and shareholders' equity Current liabilities: Note payable to Forward China (related party) $ 600,000 $ 600,000 Accounts payable 194,951 129,060 Due to Forward China (related party) 6,771,284 7,226,012 Deferred income 278,607 399,439 Current portion of operating lease liability 454,509 404,056 Accrued expenses and other current liabilities 487,461 613,029 Total current liabilities 8,786,812 9,371,596 Other liabilities: Operating lease liability, less current portion 2,426,196 2,429,726 Total liabilities 11,213,008 11,801,322 Commitments and contingencies – – Shareholders' equity: Series A-1 Convertible Preferred Stock, par value $0.01 per share; stated value of $ 1,000 per share; 2,700 shares authorized, 2,200 shares issued and outstanding at December 31, 2024 and September 30, 2024 (liquidation preference of $ 2,200,000 ) 2,200,000 2,200,000 Common stock, 40,000,000 shares authorized; par value $ 0.01 per share; 1,101,069 shares issued and outstanding at December 31, 2024 and September 30, 2024 11,011 11,011 Additional paid-in capital 20,413,491 2

Business

Business Forward Industries, Inc. ("Forward", "we", "our" or the "Company") is a global design, sourcing and distribution company serving top tier medical and technology customers worldwide. The Company's design division provides hardware and software product design and engineering services to customers predominantly located in the U.S. The Company's original equipment manufacturing ("OEM") distribution division sources and sells carrying cases and other accessories for medical monitoring and diagnostic kits as well as a variety of other portable electronic and non-electronic devices to OEMs or their contract manufacturers worldwide, that either package our products as accessories "in box" together with their branded product offerings or sell them through their retail distribution channels. The Company does not manufacture any of its OEM products and sources substantially all of these products from independent suppliers in China, through Forward Industries Asia-Pacific Corporation, a British Virgin Islands corporation, a related party owned by the Company's CEO ("Forward China"). See Note 8. Discontinued Operations In July 2023, the Company decided to cease operations of its retail distribution segment ("Retail Exit") and is presenting the results of operations for this segment within discontinued operations in the prior periods presented herein. Our retail distribution business sourced and sold smart-enabled furniture, hot tubs and saunas and a variety of other products through various online retailer websites to customers predominantly located in the U.S. and Canada. The inventory of the retail segment was presented as discontinued assets held for sale on the balance sheet at September 30, 2023. Where applicable, certain footnotes exclude the discontinued operations unless otherwise noted. See Note 3 for additional information on discontinued operations. Liquidity and Going Concern The accompanying condensed consolidated financial statements have been pr

View Full Filing

View this 10-Q filing on SEC EDGAR