Company: ORBS
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001641172-25-004802
Chunk: 910

Company: Eightco Holdings Inc.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 5
Chunk 910
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 gain on forgiveness of earnout of $6,100,000. Net cash
(used in) operating activities was ($6,399,079) during the year ended December 31, 2023, which consisted primarily of a net loss of $68,320,414
offset by non-cash depreciation expense of $3,044,531, amortization of debt issuance costs of $8,109,078, impairment charges of $292,748,
share-based compensation of ($358,937), loss on issuance of warrants of $46,928,815 and changes in assets and liabilities of $3,899,203.

Investing
Activities

Net
cash provided by (used in) investing activities was ($70,098) during the year ended December 31, 2024 compared to ($295,150) for the
year ended December 31, 2023. The decrease was primarily due to lower purchases of property and equipment.

Financing
Activities

Net
cash provided by financing activities was $1,698,550 during the year ended December 31, 2024 compared to $2,989,800 for the year ended
December 31, 2023. This decrease was largely attributable to repayments of $4,915,000 under convertible notes payable, offset by
proceeds from the issuance of common stock of $3,064,067 and borrowings under lines of credit of $3,750,000 as compared to the year ended
December 31, 2023.

Eightco
Holdings Inc. has required funding from the Former Parent to launch operations. Ferguson Containers has historically had positive cash
flows from operations. Since inception, Ferguson Containers Inc.’s operations have been funded principally through its operations.

Going
Concern

The
financial statements have been prepared on a going concern basis which assumes the Company will be able to realize its assets and discharge
its liabilities in the normal course of business for the foreseeable future. The Company has incurred a loss since inception resulting
in an accumulated deficit of $112,570,049 as of December 31, 2024 and further losses are anticipated in the development of its business.
Further, the Company has current liabilities in excess of current assets and has a stockholders’ deficit at December 31, 2024.
These factors raise substantial doubt about the Company’s ability to continue as a going concern for a period of one year from
the issuance of these financial statements.

As
of December 31