Company: IPST
Filing Date: 2025-05-20
Form Type: 10-Q
Source: 0001788230-25-000062
Chunk: 94

Company: Heritage Distilling Holding Company, Inc.
Filing Date: 2025-05-20
Form: 10-Q
Item: Part I, Item 1
Chunk 94
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 (3,261,579)Income/(Loss) Before Income Taxes(3,033,047)452,839 (3,485,886)Income Taxes— Net Income / (Loss)$(3,033,047)$452,839 $(3,485,886)Net Income / (Loss) Per Share, Basic$(0.34)$1.12 $(1.46)Weighted Average Common Shares Outstanding, Basic9,662,201403,329$9,258,872 Net Income/(Loss) Per Share, Diluted$(0.34)$0.13 $(0.47)Weighted Average Common Shares Outstanding, Diluted9,662,2013,473,8326,188,369

47

Net Sales

Three Months Ended March 31, (rounded to $000’s)Total Sales20252024ChangeProducts$838,000 $1,232,000 $(394,000)Services254,000 474,000 (220,000)$1,092,000 $1,706,000 $(614,000)

Net sales were approximately $1,092,000 and $1,706,000 for the three months ended March 31, 2025 and 2024, respectively, a decrease of approximately $614,000, or 36.0%, period over period. 

The approximately $394,000 net decrease in products sales, period over period, included:

Products SalesThree Months Ended March 31, (rounded to $000’s) 20252024ChangeWholesale$269,000 $319,000 $(50,000)Retail569,000 742,000 (173,000)Third Party— 171,000 (171,000) $838,000 $1,232,000 $(394,000)

•The approximately $50,000 decrease in wholesale product sales was primarily the result of the timing of orders through the wholesale channel moved into second quarter 2025 that occurred in first quarter 2024 and the reduction of sales of low margin spirits as we continue to move our emphasis to higher margin items. 

•Retail products sales included the impact of sales from the launch of our Special Operations Salute product line in November 2023, with sales associated with that new product line of approximately $227,000 and $280,000 for the three months ended March 31, 2025 and 2024