Company: LIFD
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001096906-25-000346
Chunk: 285

Company: LFTD PARTNERS INC.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 1
Chunk 285
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 installment of Merger Consideration was paid, and the stock component of the second installment of Merger Consideration was issued.

In prior years, the Company’s payables have been greater than its cash on hand. Prior to the Company’s acquisition of Lifted, the Company had inconsistent income-generating ability and was therefore reliant on raising money from loans or stock sales.

The Company had an accumulated deficit of $3,967,708 and $2,096,780 as of December 31, 2024 and December 31, 2023, respectively.

Comparison of Operations During the Years Ended December 31, 2024, 2023, and 2022

During the year ended December 31, 2024, the Company recognized net sales of $37,325,228. During the year ended December 31, 2023, the Company recognized net sales of $51,610,562. During the year ended December 31, 2022, the Company recognized net sales of $57,416,535. Reasons for the decrease in net sales from 2023 to 2024 include, but are not limited to: prohibition of, or tighter regulation of, intoxicating hemp-derived products has been adopted or proposed in many states that are significant markets for Lifted, such as in Illinois and California; greater competition in the marketplace for branded hemp-derived and psychoactive products that are similar to those that Lifted sells; more distributors creating their own brands and selling their own branded products at a lower price than Lifted’s products; increased competition for products containing more milligrams of cannabinoids or active ingredients per unit at a lower price point; and other competing brands paying distributors and wholesalers more than what Lifted is willing to pay, for valuable shelf space.

Lifted has launched several initiatives in order to attempt to increase net sales, including: the launch of hemp-free brands Rebel Energy Gummy and Mielos (wellness gummies); increasing spending on SEO; online advertising and marketing; and sending sales teams to certain cities to attempt to increase direct-to-retailer sales. In 2024, the Company had also hired Zuanic & Associates to initiate coverage of the Company’s common stock; however, any opinions, estimates, valuation projections or forecasts regarding the Company’s performance made by analysts, including Zuanic & Associates, are theirs alone and do not represent opinions, forecasts or predictions of the Company or its management. The Company does not by its reference or distribution imply its endorsement