Royalty Management Holding Corp

Previous wording

Our total operating revenues for the three and six months ended June 30, 2024, were $254,223 and 416,232 and $66,363 and $133,655 for the three and six months ended June 30, 2023. The increase was primarily due to an increase in RMC Environmental Services additional volume.

Current wording

Our total operating revenues for the three and nine months ended September 30, 2024, were $145,633 and 561,956, respectively and $122,816 and $354,685, respectively for the three and nine months ended September 30, 2023. The increase was primarily due to an increase in RMC Environmental Services additional volume.

Previous wording

Our total operating expenses for the three and six months ended June 30, 2024, were $320,218 and 417,864 and $113,080 and $274,788 for the three and six months ended June 30, 2023. The increase was primarily due to higher professional fees.

Current wording

Our total operating expenses for the three and nine months ended September 30, 2024, were $302,959 and 830,237, respectively and $186,532 and $556,292, respectively for the three and nine months ended September 30, 2023. The increase was primarily due to higher general & administrative expenses and professional fees.

Previous wording

Total other income and expenses for the three and six months ended June 30, 2024, were $16,044 and 154,840 and $-117,620 and $-237,548 for the three and six months ended June 30, 2023. The primary reasons for the increase were due to a positive gain on warrant fair value adjustment and less interest expense.

Current wording

Total other income and expenses for the three and nine months ended September 30, 2024, were $50,315 and 207,412, respectively and other loss of $184,189 and $593,836, respectively for the three and nine months ended September 30, 2023. The primary reasons for the increase were due to a positive gain on warrant fair value adjustment and less interest expense due to convertible debt being converted at time of business combination.

Previous wording

Total net loss for the three and six months ended June 30, 2024, were $-150,348 and $-14,757 and $-220,295 and $-494,640 for the three and six months ended June 30, 2023.

Current wording

Total net loss for the three and nine months ended September 30, 2024, were $112,471 and $82,400, respectively and $251,324 and $804,303, respectively for the three and nine months ended September 30, 2023.

Previous wording

Liquidity describes the ability of a company to generate sufficient cash flows in the short- and long-term to meet the cash requirements of its business operations, including working capital needs, debt service, acquisitions, other commitments and contractual obligations. We consider liquidity in terms of cash flows from operations and other sources, including availability under our credit facility, and their sufficiency to fund our operating and investing activities. Historically, we have financed our operations and acquisitions from a combination of cash generated from operations and periodic borrowings under the convertible note as well as non-convertible note offerings. Our primary cash needs are for day-to- day operations, to fund working capital requirements, to fund our growth strategy, including acquisitions, and to pay interest and principal on our indebtedness. Royalty currently has no contractual and other arrangement cash requirements.

Current wording

Liquidity describes the ability of a company to generate sufficient cash flows in the short- and long-term to meet the cash requirements of its business operations, including working capital needs, debt service, acquisitions, other commitments and contractual obligations. We consider liquidity in terms of cash flows from operations and other sources, including availability under our credit facility, and their sufficiency to fund our operating and investing activities. Historically, we have financed our operations and acquisitions from a combination of cash generated from operations and periodic borrowings under the convertible note as well as non-convertible note offerings. Our primary cash needs are for day-to- day operations, to fund working capital requirements, to fund our growth strategy, including acquisitions, and to pay interest and principal on our indebtedness. Royalty currently has no contractual and other arrangement cash requirements. We do not expect any issue with liquidity in the next 12 months.

Previous wording

***Class A Common Stock.***The Company is able to issue shares of Royalty Class A Common Stock for investments as well as services. As of June 30, 2024 and December 31, 2023 the Company has issued 14,954,504 and 14,270,761, respectively shares of Royalty Class A Common Stock for execution of Royalty’s business plan and services.

Current wording

***Class A Common Stock.***The Company is able to issue shares of Royalty Class A Common Stock for investments as well as services. As of September 30, 2024 and December 31, 2023 the Company has issued 14,932,918 and 14,270,761, respectively shares of Royalty Class A Common Stock for execution of Royalty’s business plan and services.

Previous wording

At June 30, 2024, cash and cash equivalents totaled $39,133.

Current wording

At September 30, 2024, cash and cash equivalents totaled $145,367.

Previous wording

We account for our common stock subject to possible conversion in accordance with the guidance in Accounting Standards Codification (“ASC”) Topic 480 “Distinguishing Liabilities from Equity.” Common stock subject to mandatory redemption is classified as a liability instrument and measured at fair value. Conditionally redeemable common stock (including common stock that features redemption rights that are either within the control of the holder or subject to redemption upon the occurrence of uncertain events not solely within our control) is classified as temporary equity. At all other times, common stock is classified as stockholders’ equity. Our common stock features certain redemption rights that are considered to be outside of our control and subject to occurrence of uncertain future events. Accordingly, common stock subject to possible redemption is presented at redemption value as temporary equity, outside of the stockholders’ equity section of our condensed balance sheets.

Current wording

We account for our common stock subject to possible conversion in accordance with the guidance in ASC 480 “Distinguishing Liabilities from Equity.” Common stock subject to mandatory redemption is classified as a liability instrument and measured at fair value. Conditionally redeemable common stock (including common stock that features redemption rights that are either within the control of the holder or subject to redemption upon the occurrence of uncertain events not solely within our control) is classified as temporary equity. At all other times, common stock is classified as stockholders’ equity. Our common stock features certain redemption rights that are considered to be outside of our control and subject to occurrence of uncertain future events. Accordingly, common stock subject to possible redemption is presented at redemption value as temporary equity, outside of the stockholders’ equity section of our condensed balance sheets.