Driveitaway Holdings Inc

Previous wording

Revenues for the three months ended December 31, 2023, increased $48,420 from $48,083 for the period ending December 31, 2022, to $96,503 for the period ending December 31, 2023. This was due to a $63,696 increase in rental revenue and $22,373 increase in insurance revenue, offset by an increase of $37,649 in insurance lender payback costs.

Current wording

Revenues for the three months ended March 31, 2024, increased $22,307 from $67,000 for the period ending March 31, 2023, to $89,307 for the period ending March 31, 2024. This was due to a $28,155 increase in rental revenue and $15,272 increase in insurance revenue, offset by an increase of $21,120 in insurance lender payback costs.

Previous wording

Cost of revenue for the three months ended December 31, 2023, increased $45,807, from $39,872 for the period ending December 31, 2022, to $85,679 for the period ending December 31, 2023. This was primarily due to DIA fleet payments which increased alongside an increase in revenue.

Current wording

Cost of revenue for the three months ended March 31, 2024, increased $30,398, from $46,678 for the period ending March 31, 2023, to $77,076 for the period ending March 31, 2024. This was primarily due to DIA fleet payments which increased alongside an increase in revenue.

Previous wording

Operating expenses for the three months ended December 31, 2023, decreased $17,634 as compared to the three months ended December 31, 2022. The decrease was primarily attributable to a decrease in salaries and payroll taxes of $15,250 and advertising and marketing expenses of $8,375, offset by an increase in professional fees of $6,585.

Current wording

Operating expenses for the three months ended March 31, 2024, decreased $89,285 as compared to the three months ended March 31, 2023. The decrease was primarily attributable to decreases in salaries and payroll taxes of $7,875, professional fees of $61,007, software development of $1,276 and advertising and marketing expenses of $28,007, offset by an increase in general and administrative of $8,880.

Previous wording

Loss from operations was $195,186 for the three months ended December 31, 2023, as compared to $215,433 for the three months ended December 31, 2022. The decrease of $20,247 was largely attributable to the change in operating expenses of $17,634 and an increase in gross profit of $2,613.

Current wording

Loss from operations was $118,494 for the three months ended March 31, 2024, as compared to $199,688 for the three months ended March 31, 2023. The decrease of $81,194 was largely attributable to the change in operating expenses of $89,285 and an decrease in gross profit of $8,091.

Previous wording

Other expenses for the three months ended December 31, 2023, were $520,243, as compared to $505,575 for the three months ended December 31, 2022. The increase of $14,668 is primarily attributable to increases in amortization of debt discount and interest expense of $21,987 and $112,059, respectively. The increases are partially offset by a decrease in loss on change in fair value of derivative liabilities of $119,378.

Current wording

Other expenses for the six months ended March 31, 2024, were $877,964, as compared to $125,266 for the six months ended March 31, 2023. The increase of $752,698 is primarily attributable to increases in loss on change in fair value of derivative liabilities of $506,222, interest expense of $126,400, and in amortization of debt discount of $120,076.

Previous wording

As of December 31, 2023, our working capital deficiency increased $875,435 as compared to September 30, 2023. This was primarily attributable to a $584,229 increase in derivative liabilities, a $230,093 increase in convertible notes payable, and a $129,791 increase to accounts payable and accrued liabilities.

Current wording

As of March 31, 2024, our working capital deficiency increased $1,335,504 as compared to September 30, 2023. This was primarily attributable to a $785,370 increase in derivative liabilities, a $426,655 increase in convertible notes payable, and a $155,585 increase in accounts payable and accrued liabilities.

Previous wording

During the three months ended December 31, 2023, we did not generate positive cash flows from operating activities. For the three months ended December 31, 2023, net cash flows used in operating activities was $104,496, consisting of a net loss of $715,429, reduced by a loss on change in fair value of derivative liability of $335,277, amortization debt discount of $35,407, depreciation and amortization of $9,471, a financing fee of $98,202, and a change in operating assets and liabilities of 132,576.

Current wording

During the six months ended March 31, 2024, we did not generate positive cash flows from operating activities. For the six months ended March 31, 2024, net cash flows used in operating activities was $248,617, consisting of a net loss of $1,191,644, reduced by a loss on change in fair value of derivative liability of $509,418, amortization debt discount of $162,051, depreciation and amortization of $18,779, a financing fee of $98,202, and a change in operating assets and liabilities of $154,577.

Previous wording

During the three months ended December 31, 2022, we did not generate positive cash flows from operating activities. For the three months ended December 31, 2022, net cash flows used in operating activities was $193,541, consisting of a net loss of $721,008, reduced by a loss on change in derivative liability of $454,655, stock-based compensation expenses of $15,000, amortization debt discount of $13,420, depreciation and amortization of $7,653, a change in operating assets and liabilities of $36,739.

Current wording

During the six months ended March 31, 2023, we did not generate positive cash flows from operating activities. For the six months ended March 31, 2023, net cash flows used in operating activities was $334,678, consisting of a net loss of $540,387, reduced by a loss on change in derivative liability of $3,196, stock-based compensation expenses of $15,000, amortization debt discount of $41,975, depreciation and amortization of $17,836, a change in operating assets and liabilities of $127,703.

Previous wording

During the three months ended December 31, 2023, the Company did not use or generate any cash from investing activities.

Current wording

During the six months ended March 31, 2024, the Company did not use or generate any cash from investing activities.

Previous wording

During the three months ended December 31, 2023, the Company generated $22,222 from the issuance of convertible notes, and $195,000 from the issuance of promissory notes, this was partially offset by $28,278 for repayment of promissory notes payable and payment for debt issuance costs of $46,472.

Current wording

During the six months ended March 31, 2024, the Company generated $357,222 from the issuance of convertible notes and $57,474 from the issuance of promissory notes which was partially offset by $59,988 for repayment of promissory notes and payment for debt issuance costs of $90,445.

Previous wording

As of December 31, 2023, the Company had a net loss of $715,429, accumulated deficit of $4,026,325 and did not have sufficient cash on hand to cover expenses for the next twelve (12) months. The Company intends to convert its convertible debt into common stock and to fund operations through equity financing arrangements, which may be insufficient to fund its capital expenditures, working capital and other cash requirements for the year ending December 31, 2024.

Current wording

As of March 31, 2024, the Company had a net loss of $1,191,644, accumulated deficit of $4,502,540 and did not have sufficient cash on hand to cover expenses for the next twelve (12) months. The Company intends to convert its convertible debt into common stock and to fund operations through equity financing arrangements, which may be insufficient to fund its capital expenditures, working capital and other cash requirements for the ensuing twelve months.