Company: KAVL
Filing Date: 2025-02-10
Form Type: 10-K
Source: 0001731122-25-000185
Chunk: 293

Company: Kaival Brands Innovations Group, Inc.
Filing Date: 2025-02-10
Form: 10-K
Item: Item 1B
Chunk 293
---
950

10,828

Royalty revenue

1,040,759

780,929

Excise tax on products

(42,641
)

(99,873
)

Total revenues, net

6,886,665

13,087,018

Cost of revenues

Cost of revenue - related party

4,281,171

10,512,423

Total cost of revenue

4,281,171

10,512,423

Gross profit

2,605,494

2,574,595

Operating expenses

Advertising and promotion

686,292

2,450,721

General and administrative expenses

7,628,050

10,787,775

Total operating expenses

8,314,342

13,238,496

Other expense

Loss on extinguishment of debt

(98,432
)

—

Loss on settlement of payables

(142,786
)

—

Interest expense, net

(729,558
)

(466,523
)

Total other expense

(970,776
)

(466,523
)

Loss before income taxes provision

(6,679,624
)

(11,130,424
)

Provision for income taxes

19,658

2,348

Net loss
 
$
(6,699,282
)
 
$
(11,132,772
)

Preferred stock dividend

(270,000
)

(112,500
)

Net loss attributable to common shareholders
 
$
(6,969,282
)
 
$
(11,245,272
)

Net loss per common share - basic and diluted
 
$
(1.62
)
 
$
(4.13
)

Weighted average number of common shares outstanding - basic and diluted

4,313,900

2,721,080

The accompanying notes are an integral part of these
consolidated financial statements.

F-4

    Kaival
    Brands Innovations Group, Inc. 
  
    Consolidated
    Statements of Changes in Stockholders’ Equity 
  
    For
                                     the years ended October 31, 2024, and 2023

Convertible Preferred Shares   (Series B)
 
Par Value Convertible Preferred Shares   (Series B)
 
Common Shares
 
Par Value Common Shares
 
Additional Paid-in Capital
 
Accumulated Deficit
 
Total

Balances, October 31, 2022

—

$
—

2,674,718