Company: IPST
Filing Date: 2025-10-16
Form Type: S-1/A
Source: 0001213900-25-099309
Chunk: 156

Company: Heritage Distilling Holding Company, Inc.
Filing Date: 2025-10-16
Form: S-1/A
Chunk 156
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,000 |     |   |      — |     |   |   730,000 |
| General and Administrative                     |     |                          | 2,414,000 |     |   |  6,000 |     |   | 2,408,000 |
| Subtotal Employee Compensation                 |     |                          | 3,322,000 |     |   |  6,000 |     |   | 3,316,000 |
| Professional Fees (General and Administrative) |     |                          | 1,570,000 |     |   | 13,000 |     |   | 1,557,000 |
| Total Non-Cash Share-Based Compensation        |     | $                        | 4,892,000 |     | $ | 19,000 |     | $ | 4,873,000 |

91

Netting out the non -cashshare -basedcompensation from the Total Operating Expenses results in cash based Operating Expenses for 2024 of approximately $12,178,000 for 2024, which is approximately $1,238,000 less than the Operating Expenses for 2023. Net Sales Net sales were approximately $8,402,000 and $7,971,000 for the years ended December 31, 2024 and 2023, respectively, an increase of approximately $431,000, or 5.4%, period over period. The increase in net sales resulted primarily from: •an increase in product sales of approximately $1,479,000, or 28.8%, to approximately $6,615,000 for the year ended December31, 2024, compared to approximately $5,136,000 for the year ended December31, 2023, due mainly to the launch of the Special Operations Servicesproduct line in November 2023 (with sales of associated with that new product line of approximately $1,635,000 and $465,000 for the years ended December31, 2024 and 2023, respectively). The year over year change in product sales also included lesser impacts as a result of: reduced sales following the closure of our Ballard, Washington retail location in late March 2023 (which generated almost a full quarter of retail tasting room revenue in early 2023); offset by increased sales as a result of our acquisition of Thinking Tree Spirits (“TTS”) in February 2024 (and the resulting increase from sales of TTS products and revenue from