Verb Technology Company, Inc. (Nasdaq: VERB)
("VERB" or the "Company"), the company behind
MARKET.live, a leading livestream social shopping
platform, and
GO FUND YOURSELF!, a TV show and
innovative new platform disrupting the crowd funding industry,
today announced that on November 5, 2024, the Company filed its
Form 10-Q report for the quarter ending September 30, 2024
demonstrating substantial and continuing financial improvements.
In addition to the financial improvements, the report also
highlights significant strategic initiatives and operational
achievements.
Financial HighlightsThe Company reported
notable financial performance metrics for the quarter:
- Balance Sheet: $15.8 million in cash,
short-term investments, and pre-paid expenses
- Stockholders’ Equity: $18.03 million
- Debt Reduction: With exception of an unsecured
SBA loan of $123 thousand, 3.75% interest rate, the Company has
paid off all of its notes payable.
- Total Revenue: $0.128 million, representing an
increase of 341% over the same period last year, primarily due to
revenue from the partnership with TikTok and other services
packages within the MARKET.live business unit, and from its new Go
Fund Yourself business unit.
- Operating Loss from Continuing Operations:
$(2.31) million, an improvement of $1.1 million compared to the
same period last year.
- Net Loss from Continuing Operations: $(1.96)
million, representing an improvement of $1.58 million compared to
the same period last year.
- Net Loss: $(1.96) million, representing an
improvement of $1.74 million compared to the same period last
year.
- Net Loss to Common Stockholders: $(2.71)
million, representing an improvement of $0.993 million compared to
the same period last year.
- Loss per Share from Continuing Operations - Basic and
Diluted: $(3.82) million, representing an improvement from
$(130.64) million in the same period last year.
- Loss per Share from Discontinued Operations - Basic and
Diluted: $0.00, representing an improvement from $(6.20)
million in the same period last year.
- Clean Cap Table - Redeemed All Remaining Preferred
Shares: On October 14, 2024, the Company redeemed the
remaining 187 Series C Preferred Shares in exchange for 32,913
common shares to fully repay the amount accrued for preferred
dividends. The transaction was done at the Nasdaq at-the-market
price. No broker was involved in the transaction and no fees or
commissions were paid or incurred by the Company.
Business HighlightsThe Company's third quarter
business results demonstrate an acceleration in revenue generation
compared to prior quarters.
- Revenue Segments: The Company’s revenue for
the nine months ended September 30, 2024 was $172 thousand; 75% of
which, or $128 thousand, was generated in just the three months
ended September 30, 2024, driven primarily by the Company’s
MARKET.live and Go Fund Yourself business units. MARKET.live
generated $103 thousand, while Go Fund Yourself contributed $25
thousand.
- New Product Launches: The Company has been
focusing on its MARKET.live platform, a multi-vendor, livestream
social shopping destination. This platform allows brands,
retailers, and creators to broadcast livestream shopping events on
various social media channels.
- Expanded TikTok Partnership: The Company
announced an expanded strategic partnership with TikTok. This
partnership includes providing services to popular brands such as
onboarding to TikTok Shop, establishing TikTok stores, maintaining
the stores, and offering full creative , hosting, and production.
services.
- Technology Integrations: The Company completed
development work on a new MARKET.live ecommerce capabilities that
integrate deeper into popular social media platforms:
- TikTok Shop Integration: The
Company’s MARKET.live platform has released an enhanced integration
with TikTok Shop social media platform, allowing seamless shopping
experiences for TikTok users without leaving the platform.
- META Integration: The Company’s MARKET.live
platform has integrated with META, creating a seamless, native,
friction-free checkout process for Facebook and Instagram
users.
- Pinterest Integration: The Company announced a
technology integration with Pinterest, expanding the universe of
social platforms accessible through MARKET.live.
- GO FUND YOURSELF! The Company announced a
second business unit utilizing MARKET.live’s interactive video
technology capabilities called GO FUND YOURSELF!, a revolutionary
interactive social crowd funding platform for public and private
companies seeking broad-based exposure across numerous social media
channels for their crowd-funded Regulation CF and Regulation A
offerings. GO FUND YOURSELF! Generated $25 thousand in its first
month of operations.
- Regained NASDAQ Compliance: On October 23,
2024, the Company was notified by Nasdaq that the Company had
regained compliance with the bid price requirement as set forth in
Listing Rule 5550(a)(2), and that the Company is therefore in
compliance with the Nasdaq Capital Market’s listing requirements
and will remain listed on Nasdaq.
- Future Outlook: The Company has evolved,
leveraging its technology acumen by deploying its technology into
three business units, MARKET.live, GO FUND YOURSELF!, and a third
business unit currently operating in stealth mode while the Company
refines the user experience and ramps up sales, each of which is
experiencing rapid revenue growth.
Strategic InitiativesThe Company has undertaken
a series of successful initiatives to improve its cash position,
improve its balance sheet, ramp revenue, and diversify its
operations. In so doing, the Company has virtually eliminated its
debt, and secured a multi-year cash runway to ensure it minimizes
dilution to its stockholders. The Company sold its SaaS assets for
$6.5 million, allowing it to concentrate on MARKET.live and its Go
Fund Yourself business unit.
- The Company expanded its strategic relationship with TikTok,
becoming a TikTok Shop Partner, which is expected to drive
recurring fee revenue services.
- The Company announced a new interactive social crowdfunding
platform, Go Fund Yourself, aimed at public and private companies
seeking broad-based exposure for their crowd-funded offerings.
- The Company raised $18.6 million from the sale of common stock
offerings and issued shares to reduce outstanding debt.
- The Company redeemed 2,105 Series C Preferred Shares in
exchange for 145,816 common shares to reduce dividend
accruals.
- The Company implemented a 1-for-200 reverse stock split to
regain compliance with Nasdaq listing requirements.
- The Company accrued $240 thousand in preferred stock dividends
payable and issued restricted stock units as part of its
compensation strategy.
From the Company’s 2024 Q3 Form 10-Q:Our
business is currently comprised of three distinct, yet
complimentary business units, all three of which are currently
operating and generating revenue, and one of which is currently
operating in “stealth mode” as we continue to refine the user
experience for that business unit as we continue to ramp sales. The
first business unit is MARKET.live focused on interactive
video-based social commerce. Our MARKET.live platform is a
multi-vendor, livestream social shopping destination leveraging the
convergence of ecommerce and entertainment. Brands, retailers and
creators that join MARKET.live have the ability to broadcast
livestream shopping events simultaneously on numerous social media
channels, including TikTok, YouTube, LinkedIn, Facebook, Instagram,
Twitch, as well as on MARKET.live, reaching exponentially larger
audiences. The Company’s recent technological integrations with
META, created a seamless, native, friction-free checkout process
for Facebook and Instagram users to purchase MARKET.live vendors’
products within each of those popular apps. This integration allows
Facebook and Instagram users to browse products featured in
MARKET.live shoppable videos, place products in a native shopping
cart and checkout – all without leaving Facebook or Instagram. We
recently announced a technology integration with Pinterest, and we
will continue to expand the universe of social platforms our
clients can access through our platform.
Last year we completed development work on a new MARKET.live
capability that facilitated a deeper integration into the TikTok
Shop social media platform, designed to expose MARKET.live
shoppable programming to tens of millions of potential
viewers/purchasers. This capability allows shoppers watching a
MARKET.live stream on TikTok to stay on that site and check out
through that site, eliminating the friction or reluctance of TikTok
users to leave their TikTok feed in order to complete their
purchase on MARKET.live. Our technology integration allows the
purchase data to flow back through MARKET.live and to the
individual vendors and stores on MARKET.live seamlessly for
fulfillment of the orders.
Earlier this year, we announced an expanded strategic
relationship with TikTok evidenced by a formal partnership with
TikTok Shop pursuant to which MARKET.live became a service provider
for TikTok Shop and officially designated as a TikTok Shop Partner
(TSP) . Under the terms of the partnership, TikTok Shop refers
consumer brands, retailers, influencers and affiliates leads to
MARKET.live for a menu of MARKET.live contract-based recurring fee
revenue services that include, among other things, assistance in
onboarding to TikTok Shop and establishing a TikTok store, hosting
training sessions and webinars for prospective TikTok Shop sellers,
full creative services including content creation and full remote
and in-studio production services, host/influencer casting and
management, TikTok Shop maintenance and enhancements for existing
TikTok clients’ stores. The same services are currently provided to
consumer brands that contact us directly or through several brand
agencies with which we maintain affiliate relationships.
The second business unit is GO FUND YOURSELF!, a revolutionary
interactive social crowd funding platform for public and private
companies seeking broad-based exposure across numerous social media
channels for their crowd-funded Regulation CF and Regulation A
offerings. The platform combines a ground-breaking interactive TV
show with MARKET.live’s back-end capabilities allowing viewers to
tap on their screen to facilitate an investment, in real time, as
they watch companies presenting before the show’s panel of
“Titans”. Presenting companies that sell consumer products are able
to offer their products directly to viewers during the show in real
time through shoppable onscreen icons. The Go Fund Yourself
business unit generates revenue from cash fees we charge to issuers
to appear on the show and for marketing, ad, and content creation
and distribution services. For those issuers that sell products
during each airing of the show through our platform, we charge a
fee up to 25% of the gross sales revenue for all products sold.
Historically, and continuing up through June 13, 2023, we were a
Software-as-a-Service (“SaaS”) applications platform developer that
offered a SaaS platform for the direct sales industry comprised of
a suite of interactive video-based sales enablement business
software products marketed on a subscription basis, (the “SaaS
Assets”).
On June 13, 2023, the Company disposed of all of its operating
SaaS Assets pursuant to an asset purchase agreement in
consideration of the sum of $6.5 million, $4.75 million of which
was paid in cash by the buyer at the closing of the transaction
(the “Sale of the SaaS Assets”). Additional payments of $1.75
million will be paid by the buyer if certain profitability and
revenue targets are met within the two-year period following the
closing as set forth more particularly in the asset purchase
agreement. The sale of the SaaS Assets was undertaken to allow us
to focus our resources on MARKET.live, and the business verticals
that platform could support. We expect our burgeoning MARKET.live
business unit will, over time, create greater shareholder value
than we could have been created through the continued operation of
our SaaS Assets.
As of September 30, 2024, the Company had cash of $10.5 million
and short-term investments of $5.1 million.
Series C Preferred Shares Redeemed in Exchange for Common
Shares
On December 29, 2023, the Company issued 3,000 Series C
Preferred Shares to an institutional investor pursuant to a
securities purchase agreement and certificate of designation
previously filed. The Series C Preferred Shares carried a 10%
annual dividend.
Subsequent to September 30, 2024, the Company redeemed 895
Series C Preferred Shares in exchange for 196,856 common shares to
fully redeem the Series C Preferred Shares that were outstanding.
On October 14, 2024, the Company redeemed 187 Series C Preferred
Shares in exchange for 32,913 common shares to fully repay the
amount accrued for preferred dividends. The transaction was done at
the Nasdaq at-the-market price. No broker was involved in the
transaction and no fees or commissions were paid or incurred by the
Company.
VERB TECHNOLOGY COMPANY,
INC.CONDENSED CONSOLIDATED BALANCE
SHEETS(in thousands, except share and per share
data) |
|
September 30, 2024 |
|
|
December 31, 2023 |
|
|
(unaudited) |
|
|
|
|
ASSETS |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Current
assets |
|
|
|
|
|
|
|
Cash |
$ |
10,515 |
|
|
$ |
4,353 |
|
Short-term investments |
|
5,077 |
|
|
|
- |
|
Prepaid expenses and other current assets |
|
233 |
|
|
|
331 |
|
Total current assets |
|
15,825 |
|
|
|
4,684 |
|
|
|
|
|
|
|
|
|
Capitalized software development costs, net |
|
3,242 |
|
|
|
3,990 |
|
ERC receivable |
|
2,263 |
|
|
|
1,528 |
|
Property and equipment, net |
|
192 |
|
|
|
43 |
|
Operating lease right-of-use assets |
|
172 |
|
|
|
218 |
|
Intangible assets, net |
|
184 |
|
|
|
117 |
|
Other assets |
|
259 |
|
|
|
259 |
|
|
|
|
|
|
|
|
|
Total
assets |
$ |
22,137 |
|
|
$ |
10,839 |
|
|
|
|
|
|
|
|
|
LIABILITIES AND
STOCKHOLDERS’ EQUITY |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Current
liabilities |
|
|
|
|
|
|
|
Accounts payable |
$ |
956 |
|
|
$ |
1,408 |
|
Accrued expenses |
|
2,252 |
|
|
|
2,324 |
|
Accrued payroll |
|
360 |
|
|
|
420 |
|
Accrued officers’ compensation |
|
- |
|
|
|
648 |
|
Notes payable, current |
|
20 |
|
|
|
1,787 |
|
Accrued interest |
|
- |
|
|
|
533 |
|
Operating lease liabilities, current |
|
75 |
|
|
|
67 |
|
Preferred dividend payable |
|
240 |
|
|
|
- |
|
Derivative liability |
|
- |
|
|
|
1 |
|
|
|
|
|
|
|
|
|
Total current liabilities |
|
3,903 |
|
|
|
7,188 |
|
|
|
|
|
|
|
|
|
Long-term
liabilities |
|
|
|
|
|
|
|
Notes payable, non-current |
|
103 |
|
|
|
362 |
|
Operating lease liabilities, non-current |
|
102 |
|
|
|
164 |
|
Total liabilities |
|
4,108 |
|
|
|
7,714 |
|
|
|
|
|
|
|
|
|
Commitments and contingencies
(Note 13) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Stockholders’
equity |
|
|
|
|
|
|
|
Series C Preferred Stock, $0.0001 par value, 5,000 shares
authorized, 895 and 3,000 shares issued and outstanding as of
September 30, 2024 and December 31, 2023 |
|
895 |
|
|
|
2,980 |
|
Common stock, $0.0001 par value, 400,000,000 shares authorized,
763,230 and 106,157 shares issued and outstanding as of September
30, 2024 and December 31, 2023 |
|
1 |
|
|
|
1 |
|
|
|
|
|
|
|
|
|
Additional paid-in
capital |
|
200,788 |
|
|
|
175,766 |
|
Accumulated deficit |
|
(183,655 |
) |
|
|
(175,622 |
) |
|
|
|
|
|
|
|
|
Total stockholders’
equity |
|
18,029 |
|
|
|
3,125 |
|
|
|
|
|
|
|
|
|
Total liabilities and
stockholders’ equity |
$ |
22,137 |
|
|
$ |
10,839 |
|
See accompanying notes to the condensed
consolidated financial statements
About VERB Technology Company Verb
Technology Company, Inc. (NASDAQ: VERB), is the innovative force
behind interactive video-based social commerce. The Company’s
MARKET.live platform is a multi-vendor, livestream social shopping
destination at the forefront of the convergence of ecommerce and
entertainment, where brands, retailers, creators, and influencers
engage their customers, clients, fans, and followers across
multiple social media channels simultaneously. GO FUND YOURSELF!,
is a revolutionary interactive social crowd funding platform for
public and private companies seeking broad-based exposure across
social media channels for their crowd-funded Regulation CF and
Regulation A offerings. The platform combines a ground-breaking
interactive TV show with MARKET.live’s back-end capabilities
allowing viewers to tap on their screen to facilitate an
investment, in real time, as they watch companies presenting before
the show’s panel of “Titans”. Presenting companies that sell
consumer products are able to offer their products directly to
viewers during the show in real time through shoppable onscreen
icons. The Company is headquartered in Las Vegas, NV and operates
full-service production and creator studios in Los Alamitos,
California and Philadelphia, PA.
FORWARD-LOOKING STATEMENTSThis communication
contains “forward-looking statements” as that term is defined in
the Private Securities Litigation Reform Act of 1995.
Forward-looking statements involve risks and uncertainties and
include, without limitation, any statement that may predict,
forecast, indicate or imply future results, performance, or
achievements. Forward-looking statements are neither historical
facts nor assurances of future performance. Instead, they are based
only on our current beliefs, expectations and assumptions regarding
the future of our business, future plans and strategies,
projections, anticipated events and trends, the economy and other
future conditions. Because forward-looking statements relate to the
future, they are subject to inherent uncertainties, risks and
changes in circumstances that are difficult to predict and many of
which are outside of our control. Our actual results and financial
condition may differ materially from those indicated in the
forward-looking statements. Therefore, you should not rely on any
of these forward-looking statements. Important factors that could
cause our actual results and financial condition to differ
materially from those indicated in the forward-looking statements
include, among others, those identified in our filings with the
Securities and Exchange Commission (the “SEC”), including our
annual, quarterly and current reports filed with the SEC and the
risk factors included in our annual report on Form 10-K filed with
the SEC on April 1, 2024. Any forward-looking statement made by us
herein is based only on information currently available to us and
speaks only as of the date on which it is made. We undertake no
obligation to publicly update any forward-looking statement whether
as a result of new information, future developments or
otherwise.
Investor Relations:investors@verb.tech
Verb Technology (NASDAQ:VERB)
過去 株価チャート
から 11 2024 まで 12 2024
Verb Technology (NASDAQ:VERB)
過去 株価チャート
から 12 2023 まで 12 2024