Omnitek Engineering Corp
For the period ended Jun 30, 2024. Filed Aug 14, 2024.
View on SEC.govAbout this filing
A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Jun 30, 2024 · Filed Aug 14, 2024
OMTKStored price and day change unavailable
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2024-03-31; filed 2024-05-17.
0001096906-24-001175
Item 2. Management's Discussion and Analysis of the Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2024-06-30; filed 2024-08-14.
0001096906-24-001718
Item 2. Management's Discussion and Analysis of the Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 40 previous paragraphs and 51 current paragraphs.
26 unchanged; 11 reworded; 14 added; 3 removed; 0 previous and 0 current paragraphs rearranged.
Tables are not compared: 0 previous and 0 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (14)
Current report
Revenues were $266,971 for the three months period ended June 30, 2024 compared with $251,719 for the three months period ended June 30, 2023, an increase of $15,252. The increase in sales related primarily to the sale of higher margin products.
Current report
Total cost of goods sold was $156,170 for the three months period ended June 30, 2024 compared with $150,258 for the three months period ended June 30, 2023, an increase of $5,912. Gross margin as a percentage of sales was 41% for the three months period ended June 30, 2024, compared with 40% for the three months period ended June 30, 2023.
Current report
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Current report
For the six months ended June 30, 2024 and June 30, 2023
Current report
Revenues increased to $504,047 for the six months period ended June 30, 2024 from $476,925 for the six months period ended June 30, 2023, an increase of $6,364 or 6%.
Current report
Total cost of goods sold was $309,527 for the six months period ended June 30, 2024 and $280,675 for the six months period ended June 30, 2023, an increase of $28,852. Gross margin as a percentage of sales was 39% for the six months period ended June 30, 2024, and 41% for the six months period ended June 30, 2023.
Current report
Our operating expenses for the six months period ended June 30, 2024 were $320,498 compared to $320,658 the six months period ended June 30, 2023, a decrease of $160. General and administrative expense for the six months period ended June 30, 2024 were $282,997 compared with $286,649 for the six months period ended June 30, 2023. Major components of general and administrative expenses for the six months period ended June 30, 2024 were professional fees of $53,897, rent expense of $21,649 and salaries and wages of $114,133. This compares with professional fees of $62,971, rent expense of $21,918, and salaries and wages of $113,203 for the six months period ended June 30, 2023. Research and development outlays were $36,100 for the six months period ended June 30, 2024 compared to $33,136 for the six months period ended June 30, 2023.
Current report
Our net loss for the six months period ended June 30, 2024 was $174,814, or $0.01 per share, compared to a net loss of $136,756, or $0.01 per share, for the six months period ended June 30, 2023.
Current report
Results for the six months period ended June 30, 2024 reflect the impact of non-cash expenses, including the value of options granted in the amount of $4,657 and depreciation and amortization of $1,401. For the six-month period ended June 30, 2023, non-cash expenses included the value of options granted of $10,538 and depreciation and amortization of $873.
Current report
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Current report
Investing Activities
Current report
There was a negative cash from investing activities of $6,336 for the six month period ended June 20, 2024 compared with $0.00 cash flow from investing activities for the six month period ended June 30, 2023.
Current report
recorded when received.
Removed paragraphs (3)
Previous report
Revenues were $237,077 for the three months ended March 31, 2024, compared with $225,204 for the three months ended March 31, 2023, an increase of $11,873.
Previous report
For the three months ended March 31, 2024, total cost of goods sold was $153,358, for a gross margin of $83,719, compared with $130,418 and a gross margin of $94,786 for the three months ended March 31, 2023.
Previous report
Gross margin as a percentage of sales for the three months ended March 31, 2024, was 35%, compared with 42% for the three months ended March 31, 2023. The change in gross margin was primarily due to inventory adjustments impacting cost of goods sold.
Reworded paragraphs (11)
Previous wording
Operating expenses for the three months ended March 31, 2024, were $144,952 compared with $149,105 for the three months ended March 31, 2023, a decrease of $4,153. General and administrative expense for the three months ended March 31, 2024, was $126,045 compared with $130,730 for the three months ended March 31, 2023. Major components of general and administrative expenses for the three months ended March 31, 2024, were professional fees of $13,975, rent expense of $10,825, and salary and wages of $57,030. This compares with professional fees of $21,875, rent expense of $10,959, and salary and wages of $56,040 for the three months ended March 31, 2023. For the three months ended March 31, 2024, research and development outlays were $18,471, compared with $17,939 for the three months ended March 31, 2023.
Current wording
Operating expenses for the three months period ended June 30, 2024 were $175,546 compared with $171,550 for the three months period ended June 30, 2023, a decrease of $3,996. General and administrative expense for the three months period ended June 30, 2024 were $156,953 compared with $155,917 for the three months period ended June 30, 2023. Major components of general and administrative expenses for the three months period ended June 30, 2024 were professional fees of $39,922, rent expense of $10,825, and salaries and wages of $57,103. This compares with professional fees of $41,096, rent expense of $10,959 and salaries and wages of $57,163 for the three months period ended June 30, 2023. For the three months period ended June 30, 2024 research and development outlays were $17,629 compared with $15,197 for the three months period ended June 30, 2023.
Previous wording
Our net loss for the three months ended March 31, 2024, was $66,458, or ($0.00) per share, compared with a net loss of $59,850, or ($0.00) per share, for the three months ended March 31, 2023. The increased net loss was primarily due to increased cost of goods sold.
Current wording
Our net loss for the three months period ended June 30, 2024 was $108,356, or ($0.00) per share, compared with a net loss of $76,906, or ($0.00) per share, for the three months period ended June 30, 2023.
Previous wording
Results for the three months ended March 31, 2024, reflect the impact of non-cash expenses, including the value of options and warrants granted in the amount of $1,963, and depreciation and amortization of $436. For the three months period ended March 31, 2023, non-cash expenses included options and warrants granted in the amount of $2,562, and depreciation and amortization of $436.
Current wording
Results for the three months period ended June 30, 2024 reflect the impact of non-cash expenses, including the value of options granted in the amount of $2,694 and depreciation and amortization of $964. For the three month period ended June 30, 2023, non-cash expenses included options granted in the amount of $7,976, depreciation and amortization of $436.
Previous wording
At March 31, 2024, our current liabilities totaled $1,696,222 and our current assets totaled $526,725, resulting in negative working capital of $1,169,497.
Current wording
At June 30, 2024, our current liabilities totaled $1,770,942 and our current assets totaled $481,833, resulting in negative working capital of $1,289,109.
Previous wording
We have historically incurred significant losses, which have resulted in a total accumulated deficit of $21,926,805 at March 31, 2024.
Current wording
We have historically incurred significant losses, which have resulted in a total accumulated deficit of $22,035,161 at June 30, 2024.
Previous wording
We realized a negative cash flow from operations of $53,499 for the three months ended March 31, 2024 compared with a negative cash flow of $2,142 during the three months ended March 31, 2023.
Current wording
We realized a negative cash flow from operations of $29,514 for the six months period ended June 30, 2024 compared with a negative operating cash flow of $61,891 during the six months period ended June 30, 2023.
Previous wording
Included in the operating loss of $66,458 for the three months ended March 31, 2024, are non-cash expenses, which are not a drain on our capital resources. During the period, these non-cash expenses include the value of options and warrants granted in the amount of $1,963 and depreciation and amortization of $436. Additionally, the operating loss included general and administrative expenses of $126,045 and research and development expenses of $18,471.
Current wording
Included in the operating loss of $125,978 for the six months period ended June 30, 2024 are non-cash expenses, which are not a drain on our capital resources. During the period, these non-cash expenses include the value of options granted in the amount of $4,657 and depreciation and amortization of $1,401. Additionally, the operating loss included general and administrative expenses of $282,997 and research and development expenses of $36,100.
Previous wording
We realized $0.00 cash flow from financing activities for the three months ended March 31, 2024, compared to a positive cash flow of $17,084 for the three months ended March 31, 2023.
Current wording
The cash flow from financing activities was $0.00 for the six month period ended June 30, 2024 compared with a positive cash flow of $15,113 for the six month period ended June 30, 2023.
Previous wording
Trade receivables are carried at original invoice amount less an estimate made for doubtful receivables based on a review of all outstanding amounts on a monthly basis. Management determines the allowance for doubtful accounts by identifying troubled accounts and by using historical experience applied to an aging of accounts. Trade receivables are written off when deemed uncollectible. Recoveries of trade receivables previously written off are recorded when received.
Current wording
Trade receivables are carried at original invoice amount less an estimate made for doubtful receivables based on a review of all outstanding amounts on a monthly basis. Management determines the allowance for doubtful accounts by identifying troubled accounts and by using historical experience applied to an aging of accounts. Trade receivables are written off when deemed uncollectible. Recoveries of trade receivables previously written off are
Previous wording
Inventories are stated at the lower of cost or market value, cost determined on an average cost basis. Market value for raw materials is based on replacement costs. The Company reviews inventories on hand at least annually and records provisions for estimated excess, slow moving and obsolete inventory, as well as inventory with a carrying value in excess of net realizable value. The regular and systematic inventory valuation reviews include a current assessment of future product demand, historical experience and product expiration. Accordingly, the Company has established an allowance for the cost of such obsolete inventory.
Current wording
Inventories are stated at the lower of market or average cost basis. The Company reviews inventories on hand at least annually and records provisions for estimated excess, slow moving and obsolete inventory, as well as inventory with a carrying value in excess of net realizable value. The regular and systematic inventory valuation reviews include a current assessment of future product demand, historical experience and product expiration. Accordingly, the Company has established an allowance for the cost of such obsolete inventory.
Previous wording
The Company assesses the recoverability of its long-lived assets annually and whenever circumstances indicate that there may be an impairment. The Company compares the estimated undiscounted future cash flows to the carrying value of the long-lived assets to determine if an impairment has occurred. In the event that an impairment has occurred, the Company recognizes the impairment immediately.
Current wording
The Company assesses the recoverability of its long-lived assets annually and whenever circumstances indicate that there may be an impairment. The Company compares the estimated undiscounted future cash flows to the carrying value of the long-lived assets to determine if impairment has occurred. In the event that impairment has occurred, the Company recognizes the impairment immediately.