Company: IPST
Filing Date: 2025-10-16
Form Type: S-1/A
Source: 0001213900-25-099309
Chunk: 22

Company: Heritage Distilling Holding Company, Inc.
Filing Date: 2025-10-16
Form: S-1/A
Chunk 22
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 the following risks could have a material and adverse effect on our business, reputation, financial condition, results of operations and future growth prospects, as well as our ability to accomplish our strategic objectives. As a result, the trading price of our securities could decline, and you could lose all or part of your investment. Additional risks and uncertainties not presently known to us or that we currently deem immaterial may also impair our business operations and stock price. Risks Related to Our Financial Position and Capital Needs We have a history of losses, anticipate increasing our operating expenses in the future and may not achieve or maintain profitability in the future. We have a history of operating losses, including operating losses of $6,648,961, $2,297,693, $14,918,810 and $11,264,559 for the six months ended June 30, 2025 and 2024 and the years ended December 31, 2024 and 2023, respectively, and have incurred net losses in each prior year since our inception other than in 2021, the year in which we sold a controlling interest in our B S B — B rown S ugar B ourbon (“ Flavored Bourbon”) brand. We had an accumulated deficit of $84,462,143 and total stockholders’ deficit of $2,886,599 at June 30, 2025 (after taking into account all convertible note conversions and the recognition of the associated fair value changes), and there can be no assurance if or when we will produce sufficient revenue from our operations to support our costs. We must generate and sustain higher revenue levels in future periods to become profitable, and, even if we do, we may not be able to maintain or increase our profitability. We expect to continue to incur losses for the foreseeable future as we expend substantial financial and other resources on, among other things: •sales and marketing, including expanding our direct sales organization and marketing programs, particularly for larger customers and for expanding our Tribal Beverage Network efforts; •investments in our distillation and production team, and the development of new formulations and enhancements of our existing brands; •expansion of our ready -to-drinkcanned cocktails into national distribution; •hiring additional personnel to add to our production teams if we can successfully increase our wholesale sales; and •general administration, including legal, accounting and other expenses related to being a public company. These expenditures may not result in additional revenue or the growth of our business. Accordingly, we may not be able to generate