10-Q Quarterly Financials 8/21/2017
Results of Operations
Three Months Ended June 30, 2017 Compared to Three Months Ended June 30, 2016
Revenue. The Company had no revenues in the quarters ended June 30, 2017 and June 30, 2016.
Gross Profit. In the quarters ended June 30, 2017 and 2016, the company has no gross profit.
Operating Expenses.
Operating expenses incurred for the quarter ended June 30, 2017 were $282,542 as compared to $234,595 for the same period in the previous year, an increase of $47,947 or 20%. The majority of the variance was due to higher General and Administrative expenses of $24,938 (13%) from consulting and professional fees, and higher R&D expenses of $ 17,085 (44%) from increased staffing.
Operating Loss. The operating losses for the quarters ended June 30, 2017 and 2016 were $282,542 and $234,595, respectively, a variance of $47,947 or 20%, due to the factors outlined above.
Other Expense. Other expense for the quarter ended June 30, 2017 was $220,049 versus $42,627 for the same period in the prior year, an increase of $177,422 or 416%.
The 2017 other expenses include: $50,431 of interest expense, $85,618 of non cash derivative interest expense and $84,000 of non cash derivative fair value accounting related charges. The 2016 other expenses included $29,614 of interest expense, a $57,383 loss on the settlement of a liability pursuant to payment in common stock, net of a $44,000 gain on the sale of the Q2 Power investment.
Net Loss and Loss per Share. The net loss for the quarter ended June 30, 2017 was $502,591, compared to a net loss of $277,222 for the same period in the previous year. The increased loss of $225,369 or 81% is related to the other factors outlined above. The net loss per weighted average share was $0.00 for both the current quarter and the comparable quarter of the prior year.
