Company: ORBS
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001641172-25-004802
Chunk: 664

Company: Eightco Holdings Inc.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 3
Chunk 664
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 costs,
internal labor costs and related benefits, subcontractor costs, depreciation, overhead and shipping and handling costs. In 2022, we incurred
costs related to the purchase and resale of Bitcoin mining equipment through CW Machines, LLC. We no longer anticipate purchasing and
reselling Bitcoin mining equipment.

34

Selling,
General and Administrative Expenses

Selling,
general and administrative expenses consist of selling, marketing, advertising, payroll, administrative, finance and professional expenses.

Restructuring and Severance
Expenses

Restructuring and severance
expenses include costs related to workforce reductions, facility closures, and strategic realignments intended to improve operational
efficiency and reduce future costs. These expenses may fluctuate based on the scope and timing of restructuring initiatives.

Interest
Expense and Income, Net

Interest
expense includes the cost of our borrowings under our debt arrangements. Interest income includes the interest earned under our notes
receivable.

Other
Income

Other
income includes the gain on disposal of the building located in Washington, New Jersey.

Results
of Operations

Year
Ended December 31, 2024 versus the Year Ended December 31, 2023

Continuing
Operations

The
following table sets forth information comparing the components of net (loss) income from continuing operations for the years ended December
31, 2024 and 2023:

    Year Ended December 31,  
    Period over Period Change 

    2024  
    2023  
    $  
    % 

    Revenues, net: 

    Inventory Management Solutions 
    $39,621,272  
    $67,568,353  
    $(27,947,081) 
     -41.36%

    Cost of revenues: 

    Inventory Management Solutions 
     33,639,274  
     61,308,561  
     (27,669,287) 
     -45.13%

    Gross profit: 

    Inventory Management Solutions 
     5,981,998  
     6,259,792  
     (277,794) 
     -4.44%

    Operating expenses: 

    Selling, general and administrative 
     12,759,719  
     14,805,627  
     (2,045,908) 
     -13.82%
  
    Restructuring and severance