Company: EHSI
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001437749-25-017141
Chunk: 29

Company: Elite Health Systems Inc.
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 1
Chunk 29
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 considered to be a variable interest entity of the Company. However, as the Company is not deemed to be the primary beneficiary of CBOP, since it does not have the power to direct the operating activities that most significantly affect CBOP’s economic performance, the entity is not consolidated, but certain disclosures are provided herein.

The Company was approached by one of the investors in CBOP where the investor would payoff the outstanding loan, releasing the Company of its guarantee in exchange for the Company’s ownership interest in CBOP. The Company has evaluated the proposal and in return wrote off the remaining value of amounts due the Company from CBOP of $525,000. The Company does not expect any further liability from the same.

12

The following table presents the summarized financial information of CBOP:

CBOP Condensed Income Statement Information

			Three Months Ended

			March 31,  

			2025

			2024

			Patient revenue

			$
			285,000

			$
			319,000

			Net (loss) income

			$
			(305,000
			)
			 
			$
			(360,000
			)

			EHSHI's equity in (loss) income of CBOP

			$
			(92,000
			)
			 
			$
			(103,000
			)

CBOP Condensed Balance Sheet Information

			March 31,

			December 31,

			2025

			2024

			Current assets

			$
			277,000

			$
			347,000

			Noncurrent assets

			1,636,000

			1,785,000

			Total assets

			$
			1,913,000

			$
			2,132,000

			Current liabilities

			$
			4,224,000

			$
			4,067,000

			Noncurrent liabilities

			3,500,000

			3,572,000

			Deficit

			(5,811,000
			)

			(5,507,000
			)

			Total liabilities and stockholder's deficit

			$
			1,913,000

			$
			2,132,000

13

Note D – Elite Health

Background