2023 Q2 Form 10-Q Financial Statement

#000147793223004911 Filed on June 29, 2023

View on sec.gov

Income Statement

Concept 2023 Q2 2023 Q1 2022 Q4
Revenue $2.015M $881.8K
YoY Change -50.21% -1.38%
Cost Of Revenue $1.124M $1.541M
YoY Change -49.02% -15.99%
Gross Profit $890.8K -$658.8K
YoY Change -51.63% -29.89%
Gross Profit Margin 44.21% -74.71%
Selling, General & Admin $3.286M $5.408M
YoY Change -26.31% 4.37%
% of Gross Profit 368.83%
Research & Development
YoY Change
% of Gross Profit
Depreciation & Amortization $316.1K $1.030M
YoY Change 303.43% -26.99%
% of Gross Profit 35.48%
Operating Expenses $3.286M $5.408M
YoY Change -31.7% 27.59%
Operating Profit -$2.395M -$6.067M
YoY Change -19.33% 17.16%
Interest Expense -$171.0K $7.046M
YoY Change -193.4% 3230.84%
% of Operating Profit
Other Income/Expense, Net $32.54K -$3.140K
YoY Change -117.77% -113.83%
Pretax Income -$2.533M -$21.64M
YoY Change -19.62% 395.71%
Income Tax
% Of Pretax Income
Net Earnings -$2.683M -$21.72M
YoY Change -14.88% 386.52%
Net Earnings / Revenue -133.14% -2462.58%
Basic Earnings Per Share
Diluted Earnings Per Share -$0.03 -$0.20
COMMON SHARES
Basic Shares Outstanding 107.9M shares 107.6M shares 107.9M shares
Diluted Shares Outstanding

Balance Sheet

Concept 2023 Q2 2023 Q1 2022 Q4
SHORT-TERM ASSETS
Cash & Short-Term Investments $212.6K $916.5K
YoY Change -97.2% -58.16%
Cash & Equivalents $212.6K $916.5K
Short-Term Investments
Other Short-Term Assets $545.6K $550.5K
YoY Change 3.31% 638.7%
Inventory $1.435M $1.555M
Prepaid Expenses
Receivables $1.058M $1.302M
Other Receivables $0.00 $0.00
Total Short-Term Assets $3.252M $4.324M
YoY Change -78.79% -0.51%
LONG-TERM ASSETS
Property, Plant & Equipment $12.54M $7.462M
YoY Change 71.54% 34.29%
Goodwill $0.00
YoY Change -100.0%
Intangibles $1.009M $1.085M
YoY Change -95.15% -94.98%
Long-Term Investments
YoY Change
Other Assets $398.1K $400.5K
YoY Change 77.89% 181.3%
Total Long-Term Assets $13.95M $14.03M
YoY Change -72.0% -69.73%
TOTAL ASSETS
Total Short-Term Assets $3.252M $4.324M
Total Long-Term Assets $13.95M $14.03M
Total Assets $17.20M $18.36M
YoY Change -73.59% -63.79%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $5.897M $5.111M
YoY Change 74.73% 273.68%
Accrued Expenses $2.454M $2.211M
YoY Change 336.44% 481.06%
Deferred Revenue
YoY Change
Short-Term Debt $0.00 $5.162M
YoY Change -100.0% 2.31%
Long-Term Debt Due $5.618M
YoY Change
Total Short-Term Liabilities $14.35M $12.98M
YoY Change 16.39% -22.05%
LONG-TERM LIABILITIES
Long-Term Debt $229.7K $262.8K
YoY Change 56.23% 78.75%
Other Long-Term Liabilities $4.592M $4.757M
YoY Change -81.94% -67.85%
Total Long-Term Liabilities $4.822M $5.019M
YoY Change -81.15% -66.41%
TOTAL LIABILITIES
Total Short-Term Liabilities $14.35M $12.98M
Total Long-Term Liabilities $4.822M $5.019M
Total Liabilities $18.52M $18.00M
YoY Change -51.14% -43.03%
SHAREHOLDERS EQUITY
Retained Earnings -$73.68M -$70.99M
YoY Change 92.07%
Common Stock $107.6K $107.3K
YoY Change 10.82% 18.48%
Preferred Stock
YoY Change
Treasury Stock (at cost)
YoY Change
Treasury Stock Shares
Shareholders Equity -$1.317M $360.2K
YoY Change
Total Liabilities & Shareholders Equity $17.20M $18.36M
YoY Change -73.59% -63.79%

Cashflow Statement

Concept 2023 Q2 2023 Q1 2022 Q4
OPERATING ACTIVITIES
Net Income -$2.683M -$21.72M
YoY Change -14.88% 386.52%
Depreciation, Depletion And Amortization $316.1K $1.030M
YoY Change 303.43% -26.99%
Cash From Operating Activities -$681.4K -$861.6K
YoY Change -88.1% -1659.44%
INVESTING ACTIVITIES
Capital Expenditures $399.6K $22.77K
YoY Change -121.8% -100.64%
Acquisitions
YoY Change
Other Investing Activities $0.00
YoY Change -100.0%
Cash From Investing Activities -$399.6K -$22.77K
YoY Change -78.2% -99.38%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net
YoY Change
Debt Paid & Issued, Net $93.25K
YoY Change
Cash From Financing Activities 377.1K -997.5K
YoY Change -97.09% -833.2%
NET CHANGE
Cash From Operating Activities -681.4K -861.6K
Cash From Investing Activities -399.6K -22.77K
Cash From Financing Activities 377.1K -997.5K
Net Change In Cash -703.9K -1.882M
YoY Change -109.73% -46.11%
FREE CASH FLOW
Cash From Operating Activities -$681.4K -$861.6K
Capital Expenditures $399.6K $22.77K
Free Cash Flow -$1.081M -$884.4K
YoY Change -72.24% -124.62%

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CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents
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CY2022Q1 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents
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CY2022Q1 us-gaap Interest Paid Net
InterestPaidNet
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CY2023Q1 us-gaap Operating Lease Cost
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CY2022Q1 us-gaap Operating Lease Cost
OperatingLeaseCost
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CY2023Q1 icnb Conversion Of Series A2 Preferred Stock For Common Stock
ConversionOfSeriesA2PreferredStockForCommonStock
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CY2022Q1 icnb Conversion Of Series A2 Preferred Stock For Common Stock
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2242 usd
CY2023Q1 us-gaap Nature Of Operations
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<p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;"><strong>1. ORGANIZATION AND NATURE OF BUSINESS</strong></p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;"> </p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;">Iconic Brands, Inc., (“the Company”, or “Iconic”), was incorporated in the State of Nevada on October 21, 2005. As of June 30, 2022, the subsidiaries of Iconic are wholly-owned TopPop LLC (“TopPop”) and United Spirits Inc., (“United”), 54% owned BiVi LLC (“BiVi”) and Bellissima Spirits LLC (“Bellissima”) and 60% owned Empire Wine and Spirits LLC (“Empire”) which was organized on February 4, 2022.</p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;"> </p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;">BiVi is the brand owner of “BiVi 100 percent Sicilian Vodka,” and Bellissima is the brand owner of Bellissima sparkling wines. BiVi was organized in Nevada on May 4, 2015. Bellissima was organized in Nevada on November 23, 2015.</p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;"> </p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;">On July 26, 2021, the Company acquired 100% of TopPop. TopPop is organized as a limited liability company in the State of New Jersey on September 5, 2019. TopPop’s primary operation is the manufacture and packaging of alcohol and non-alcohol single-serve, shelf-stable, ready-to-freeze ice pops. TopPop began operations in December 2019 (see note 3). On July 26, 2021, the company purchased all the outstanding stock of United.</p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;"> </p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;">Empire was organized in the State of Nevada on February 4, 2022. Since its formation, there has been no business activity or transactions. </p>
CY2023Q1 icnb Working Capital Deficiency
WorkingCapitalDeficiency
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CY2023Q1 us-gaap Retained Earnings Accumulated Deficit
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CY2023Q2 us-gaap Proceeds From Issuance Of Other Long Term Debt
ProceedsFromIssuanceOfOtherLongTermDebt
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CY2023Q2 us-gaap Cash
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359000 usd
CY2023Q1 us-gaap Use Of Estimates
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<p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;">The preparation of the consolidated financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the dates of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates.</p>
CY2023Q1 us-gaap Proceeds Accounts Receivable Previously Written Off Recovery
ProceedsAccountsReceivablePreviouslyWrittenOffRecovery
679141 usd
CY2023Q1 us-gaap Allowance For Doubtful Accounts Receivable
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68000 usd
CY2022Q4 us-gaap Allowance For Doubtful Accounts Receivable
AllowanceForDoubtfulAccountsReceivable
747141 usd
CY2023Q1 us-gaap Share Based Compensation
ShareBasedCompensation
204379 usd
CY2023Q1 icnb Net Of Forfeitures
NetOfForfeitures
95093 usd
CY2022Q1 us-gaap Share Based Compensation
ShareBasedCompensation
280798 usd
CY2023Q1 icnb Potentially Dilutive Shares
PotentiallyDilutiveShares
94962016 shares
CY2022Q1 icnb Potentially Dilutive Shares
PotentiallyDilutiveShares
25620245 shares
CY2023Q1 us-gaap Finite Lived Intangible Assets Gross
FiniteLivedIntangibleAssetsGross
5599267 usd
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FiniteLivedIntangibleAssetsGross
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CY2023Q1 us-gaap Finite Lived Intangible Assets Accumulated Amortization
FiniteLivedIntangibleAssetsAccumulatedAmortization
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CY2022Q4 us-gaap Finite Lived Intangible Assets Accumulated Amortization
FiniteLivedIntangibleAssetsAccumulatedAmortization
4514067 usd
CY2023Q1 us-gaap Intangible Assets Net Excluding Goodwill
IntangibleAssetsNetExcludingGoodwill
1009488 usd
CY2022Q4 us-gaap Intangible Assets Net Excluding Goodwill
IntangibleAssetsNetExcludingGoodwill
1085200 usd
CY2023Q1 us-gaap Amortization Of Intangible Assets
AmortizationOfIntangibleAssets
75712 usd
CY2022Q1 us-gaap Amortization Of Intangible Assets
AmortizationOfIntangibleAssets
796600 usd
CY2023Q1 us-gaap Finite Lived Intangible Assets Amortization Expense Next Twelve Months
FiniteLivedIntangibleAssetsAmortizationExpenseNextTwelveMonths
227134 usd
CY2023Q1 us-gaap Finite Lived Intangible Assets Amortization Expense Year Two
FiniteLivedIntangibleAssetsAmortizationExpenseYearTwo
302847 usd
CY2023Q1 us-gaap Finite Lived Intangible Assets Amortization Expense Year Three
FiniteLivedIntangibleAssetsAmortizationExpenseYearThree
302847 usd
CY2023Q1 us-gaap Finite Lived Intangible Assets Amortization Expense Year Four
FiniteLivedIntangibleAssetsAmortizationExpenseYearFour
176660 usd
CY2023Q1 us-gaap Finite Lived Intangible Assets Net
FiniteLivedIntangibleAssetsNet
1009488 usd
CY2023Q1 us-gaap Property Plant And Equipment Gross
PropertyPlantAndEquipmentGross
8774365 usd
CY2022Q4 us-gaap Property Plant And Equipment Gross
PropertyPlantAndEquipmentGross
8374753 usd
CY2023Q1 us-gaap Accumulated Depreciation Depletion And Amortization Property Plant And Equipment
AccumulatedDepreciationDepletionAndAmortizationPropertyPlantAndEquipment
1152900 usd
CY2022Q4 us-gaap Accumulated Depreciation Depletion And Amortization Property Plant And Equipment
AccumulatedDepreciationDepletionAndAmortizationPropertyPlantAndEquipment
912534 usd
CY2023Q1 us-gaap Property Plant And Equipment Net
PropertyPlantAndEquipmentNet
7621465 usd
CY2022Q4 us-gaap Property Plant And Equipment Net
PropertyPlantAndEquipmentNet
7462219 usd
CY2023Q1 us-gaap Depreciation
Depreciation
240366 usd
CY2022Q1 us-gaap Depreciation
Depreciation
78348 usd
CY2023Q1 us-gaap Inventory Net
InventoryNet
1435057 usd
CY2022Q4 us-gaap Inventory Net
InventoryNet
1554693 usd
CY2023Q1 us-gaap Accounts Payable Current
AccountsPayableCurrent
5699259 usd
CY2022Q4 us-gaap Accounts Payable Current
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5111079 usd
CY2023Q1 us-gaap Other Accrued Liabilities Current
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CY2023Q1 icnb Accrued Interest Current
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CY2022Q4 us-gaap Accounts Payable And Accrued Liabilities Current
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CY2022Q4 us-gaap Notes Payable
NotesPayable
5331674 usd
CY2023Q1 icnb Issuances Of Principal Net
IssuancesOfPrincipalNet
550000 usd
CY2023Q1 us-gaap Amortization Of Financing Costs And Discounts
AmortizationOfFinancingCostsAndDiscounts
-4688 usd
CY2023Q1 icnb Payments Toward Promissory Note
PaymentsTowardPromissoryNote
-29622 usd
CY2023Q1 us-gaap Notes Payable
NotesPayable
5847364 usd
CY2023Q1 icnb Notes Payable Description
NotesPayableDescription
Holders of approximately $3.55 million of these notes have agreed to extend the term until December 1, 2022, and have indicated that they will not seek cash settlement prior to August 2023
CY2023Q1 icnb Notes Payable Due One Year Or Less
NotesPayableDueOneYearOrLess
5609959 usd
CY2023Q1 icnb Notes Payable Due One To Two Years
NotesPayableDueOneToTwoYears
32077 usd
CY2023Q1 icnb Notes Payable Due Two To Three Years
NotesPayableDueTwoToThreeYears
35204 usd
CY2023Q1 icnb Notes Payable Due Three To Four Years
NotesPayableDueThreeToFourYears
32543 usd
CY2023Q1 icnb Notes Payable Due Four To Five Years
NotesPayableDueFourToFiveYears
3617 usd
CY2023Q1 icnb Notes Payable Due Five Years Or More
NotesPayableDueFiveYearsOrMore
133964 usd
CY2023Q1 us-gaap Notes Payable
NotesPayable
5847364 usd
CY2023Q1 us-gaap Debt Instrument Face Amount
DebtInstrumentFaceAmount
0 usd
CY2022Q4 us-gaap Debt Instrument Face Amount
DebtInstrumentFaceAmount
93249 usd
CY2023Q1 us-gaap Debt Instrument Increase Accrued Interest
DebtInstrumentIncreaseAccruedInterest
0 usd
CY2022 us-gaap Debt Instrument Increase Accrued Interest
DebtInstrumentIncreaseAccruedInterest
2273 usd
CY2022Q1 icnb Preferred Stock Shares Sold
PreferredStockSharesSold
12258 shares
CY2022Q1 icnb Preferred Stock Shares Designated
PreferredStockSharesDesignated
4301004 shares
CY2022Q1 icnb Warrants Issued To Purchase Shares Of Common Stock
WarrantsIssuedToPurchaseSharesOfCommonStock
40018583 shares
CY2022Q1 us-gaap Proceeds From Issuance Of Common Stock
ProceedsFromIssuanceOfCommonStock
12200000 usd
CY2022Q1 us-gaap Proceeds From Issuance Of Convertible Preferred Stock
ProceedsFromIssuanceOfConvertiblePreferredStock
10900000 usd
CY2023Q1 us-gaap Finance Lease Liability Payments Remainder Of Fiscal Year
FinanceLeaseLiabilityPaymentsRemainderOfFiscalYear
879348 usd
CY2023Q1 us-gaap Finance Lease Liability Payments Due Next Twelve Months
FinanceLeaseLiabilityPaymentsDueNextTwelveMonths
1201600 usd
CY2023Q1 us-gaap Finance Lease Liability Payments Due Year Two
FinanceLeaseLiabilityPaymentsDueYearTwo
1235886 usd
CY2023Q1 us-gaap Finance Lease Liability Payments Due Year Three
FinanceLeaseLiabilityPaymentsDueYearThree
1271201 usd
CY2023Q1 us-gaap Finance Lease Liability Payments Due Year Four
FinanceLeaseLiabilityPaymentsDueYearFour
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CY2023Q1 us-gaap Finance Lease Liability Payments Due Year Five
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CY2023Q1 us-gaap Finance Lease Liability Payments Due After Year Five
FinanceLeaseLiabilityPaymentsDueAfterYearFive
1099614 usd
CY2023Q1 us-gaap Finance Lease Liability Payments Due
FinanceLeaseLiabilityPaymentsDue
7261999 usd
CY2023Q1 icnb Imputed Interest
ImputedInterest
1989622 usd
CY2023Q1 us-gaap Finance Lease Liability
FinanceLeaseLiability
5272377 usd
CY2023Q1 us-gaap Operating Lease Liability
OperatingLeaseLiability
5272377 usd
CY2022Q4 us-gaap Operating Lease Liability
OperatingLeaseLiability
5426948 usd
CY2023Q1 us-gaap Subordinated Borrowing Interest Rate
SubordinatedBorrowingInterestRate
0.10 pure
CY2023Q1 icnb Weighted Average Remaining Lease Term
WeightedAverageRemainingLeaseTerm
P4Y10M20D
CY2023Q1 us-gaap Occupancy Net
OccupancyNet
320801 usd
CY2022Q1 us-gaap Occupancy Net
OccupancyNet
450138 usd
CY2023Q1 us-gaap Revenues
Revenues
2014919 usd
CY2022Q1 us-gaap Revenues
Revenues
4046797 usd
CY2019Q3 us-gaap Investment Company Fee Waiver Terms
InvestmentCompanyFeeWaiverTerms
the Company executed a Commission Agreement with CAA-GBA USA, LLC (“CAA-GBG”). The agreement provides CAA-GBG to receive 5% revenue generated with respect to the co-packing or related manufacturing deal for Anheuser-Busch, LLC. Additionally, CAA-GBG is also entitled to receive 5% of revenue for new business identified. The initial agreement expired on July 31, 2021 and automatically renews every year. No commissions were incurred under this agreement since the date of acquisition of TopPop (July 26, 2021) through March 31, 2023. On May 23, 2022,CAA-GBG received notice of termination and the Commission Agreement ended on July 31, 2022
CY2023Q1 icnb Consulting Expenses
ConsultingExpenses
27600 usd
CY2022Q1 icnb Consulting Expenses
ConsultingExpenses
45000 usd
CY2023Q1 us-gaap Assets
Assets
17202320 usd
CY2023Q1 us-gaap Liabilities
Liabilities
19170979 usd
CY2022Q4 us-gaap Assets
Assets
18358748 usd
CY2022Q4 us-gaap Liabilities
Liabilities
17998506 usd
CY2023Q1 us-gaap Revenues
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2014919 usd
CY2023Q1 us-gaap Costs And Expenses
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1124123 usd
CY2023Q1 us-gaap Operating Expenses
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3285576 usd
CY2023Q1 us-gaap Operating Income Loss
OperatingIncomeLoss
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CY2023Q1 us-gaap Interest Expense
InterestExpense
171040 usd
CY2023Q1 us-gaap Depreciation Depletion And Amortization
DepreciationDepletionAndAmortization
240366 usd
CY2022Q1 us-gaap Revenues
Revenues
4046797 usd
CY2022Q1 us-gaap Costs And Expenses
CostsAndExpenses
2205039 usd
CY2022Q1 us-gaap Operating Expenses
OperatingExpenses
4810364 usd
CY2022Q1 us-gaap Operating Income Loss
OperatingIncomeLoss
-2968606 usd
CY2022Q1 us-gaap Interest Expense
InterestExpense
183134 usd
CY2022Q1 us-gaap Depreciation Depletion And Amortization
DepreciationDepletionAndAmortization
78348 usd
CY2023Q1 icnb Short Term Debt Principal Amount
ShortTermDebtPrincipalAmount
550000 usd
CY2023Q1 us-gaap Debt Instrument Maturity Date
DebtInstrumentMaturityDate
2023-04-03
CY2023Q1 us-gaap Debt Default Longterm Debt Amount
DebtDefaultLongtermDebtAmount
564918 usd
CY2023Q1 us-gaap Preferred Stock Convertible Conversion Price Decrease
PreferredStockConvertibleConversionPriceDecrease
0.0001
CY2023Q2 us-gaap Preferred Stock Par Or Stated Value Per Share
PreferredStockParOrStatedValuePerShare
0.001
CY2023Q2 icnb Aggregate Principal Amount
AggregatePrincipalAmount
17446000 usd
CY2023Q2 us-gaap Short Term Debt Interest Rate Increase
ShortTermDebtInterestRateIncrease
0.12 pure
CY2023Q2 us-gaap Preferred Stock Convertible Conversion Price Decrease
PreferredStockConvertibleConversionPriceDecrease
0.0001
CY2022Q4 us-gaap Preferred Stock Par Or Stated Value Per Share
PreferredStockParOrStatedValuePerShare
0.001
CY2023Q2 us-gaap Debt Conversion Original Debt Amount1
DebtConversionOriginalDebtAmount1
17446000 usd

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