UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM
For the quarterly period ended
OR
For the transition period from ____________ to ____________
Commission File Number:
(Exact name of registrant as specified in its charter)
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(State or other jurisdiction of |
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(I.R.S. Employer |
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incorporation or organization) |
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Identification No.) |
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(Address of principal executive offices) |
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(Zip Code) |
(Registrant’s telephone number, including area code)
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(Former name, former address and formal fiscal year, if changed since last report)
Securities registered pursuant to Section 12(b) of the Act:
| Title of each class | Trading Symbol(s) | Name of each exchange on which registered | ||
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The |
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.
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Large accelerated filer ☐ |
Accelerated filer ☐ |
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Smaller reporting company |
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Emerging growth company |
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Act). Yes
As of November 20, 2024 the issuer had a total of
SAFE & GREEN HOLDINGS CORP. AND SUBSIDIARIES
FORM 10-Q
TABLE OF CONTENTS
| 1 |
SAFE & GREEN HOLDINGS CORP. AND SUBSIDIARIES
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September 30, 2024 |
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December 31, 2023 |
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(Unaudited) |
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Assets |
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Current assets: |
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Cash and cash equivalents |
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$ |
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$ |
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Accounts receivable, net |
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Contract assets |
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| Inventories | ||||||||
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Prepaid expenses and other current assets |
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| Current assets of discontinued operations | ||||||||
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Total current assets |
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Property, plant and equipment, net |
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| Project development costs and other non-current assets | ||||||||
| Right-of-use asset | ||||||||
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Intangible assets, net |
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| Deferred contract costs, net | ||||||||
| Investment in and advances to equity affiliates | ||||||||
| Long-term assets of discontinued operations | ||||||||
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Total Assets |
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$ |
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$ |
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Liabilities and Stockholders’ Equity |
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Current liabilities: |
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Accounts payable and accrued expenses |
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$ |
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$ |
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Contract liabilities |
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| Lease liability, current maturities | ||||||||
| Due to affiliates | ||||||||
| Short-term notes payable, net | ||||||||
| Current liabilities of discontinued operations | ||||||||
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Total current liabilities |
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| Long-term notes payable, net | ||||||||
| Lease liability, net of current maturities | ||||||||
| Total liabilities |
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Stockholders’ equity: |
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Preferred stock, $ |
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Common stock, $ |
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Additional paid-in capital |
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| Treasury stock, at cost |
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Accumulated deficit |
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Non-controlling interest |
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| Total stockholders’ equity | ( |
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Total Liabilities and Stockholders’ Equity |
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$ |
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$ |
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The accompanying notes are an integral part of these condensed consolidated financial statements.
| 2 |
SAFE & GREEN HOLDINGS CORP. AND SUBSIDIARIES
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For the Three Months Ended September 30, |
For the Three Months Ended September 30, |
For the Nine Months Ended September 30, |
For the Nine Months Ended September 30, |
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2024 | 2023 | 2024 | 2023 | |||||||||||
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(Unaudited) | (Unaudited) | (Unaudited) | (Unaudited) | |||||||||||
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Revenue: |
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| Construction services | $ | $ | $ | $ | |||||||||||
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Total |
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Cost of revenue: |
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Construction services |
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Total |
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Gross (loss) profit |
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Operating expenses: |
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Payroll and related expenses |
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General and administrative expenses |
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Marketing and business development expenses |
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Total |
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Operating loss |
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Other income (expense): |
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Interest expense |
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Interest income |
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| Loss on disposition of equity-based investment | ( |
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Change in fair value of equity-based investment |
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| Other income | |||||||||||||||
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Total |
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Loss before income taxes |
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Income tax expense |
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Net loss |
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| Common stock deemed dividend – reduction in conversion rate | ( |
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| Common stock deemed dividend – inducement | ( |
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| Loss from continuing operations | ( |
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| Income (loss) from discontinued operations | ( |
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| Net loss attributable to common stockholders | $ | ( |
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Net loss per share |
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Basic and diluted – continued operations |
$ | ( |
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| Basic and diluted – discontinued operations | $ | $ | ( |
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Weighted average shares outstanding: |
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Basic and diluted |
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The accompanying notes are an integral part of these condensed consolidated financial statements.
SAFE & GREEN HOLDINGS CORP. AND SUBSIDIARIES
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$0.01 Par Value |
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Additional |
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Treasury |
Accumulated |
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Noncontrolling |
Total Stockholders’ |
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Shares |
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Amount |
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Capital |
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Stock |
Deficit |
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Interests |
Equity |
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Balance at June 30, 2024 |
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$ |
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$ |
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$ | ( |
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$ |
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| Fractional share adjustment | ( |
) | — | — | — | — | — | — | |||||||||||||||||||||
| Issuance of stock for accounts payable settlement |
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| Stock-based compensation and issuance of RSU’s | — | — | — | ||||||||||||||||||||||||||
| Prefunded warrant exercise | ( |
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Net loss |
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— |
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— |
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— |
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— |
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( |
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| Balance at September 30, 2024 | $ | $ | $ | ( |
) | $ | ( |
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Balance at December 31, 2023 |
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$ |
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$ |
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$ | ( |
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$ |
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| Stock-based compensation and issuance of RSU’s | — | — | — | ||||||||||||||||||||||||||
| Common stock deemed dividend – inducement | — | — | — | ( |
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| Common stock deemed dividend – reduction in conversion rate | — | — | — | ( |
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| Cashless warrant exercise | ( |
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| Prefunded warrant exercise | ( |
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| Issuance of stock upon inducement |
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| Issuance of common stock and warrants for debt issuance | — | — | — | ||||||||||||||||||||||||||
| Conversion of debt and interest | — | — | — | ||||||||||||||||||||||||||
| Factional share adjustment | ( |
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| Issuance of common stock under EP Agreement | — | — | — | ||||||||||||||||||||||||||
| Issuance of stock for accounts payable settlement | — | — | — | ||||||||||||||||||||||||||
| SG DevCorp equity transactions | — | — | — | — | |||||||||||||||||||||||||
| Deconsolidation of SG DevCorp | — | — | — | — | — | ( |
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| Issuance of common stock for cash | — | — | — | ||||||||||||||||||||||||||
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Net loss |
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— |
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— |
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— |
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( |
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Balance at September 30, 2024 |
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$ |
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$ |
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$ | ( |
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$ |
( |
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( |
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The accompanying notes are an integral part of these condensed consolidated financial statements.
SAFE & GREEN HOLDINGS CORP. AND SUBSIDIARIES
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$0.01 Par Value |
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Additional |
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Treasury |
Accumulated |
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Noncontrolling |
Total Stockholders’ |
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Shares |
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Amount |
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Capital |
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Stock |
Deficit |
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Interests |
Equity |
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Balance at June 30, 2023 |
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$ |
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$ |
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$ | ( |
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$ |
( |
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Distribution of SG DevCorp |
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— |
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— |
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| Conversion of short-term notes payable | — | — | — | |||||||||||||||||||||||||
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Net loss |
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( |
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| Balance at September 30, 2023 | $ | $ | $ | ( |
) | $ | ( |
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Balance at December 31, 2022 |
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$ |
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$ |
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$ | ( |
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$ |
( |
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| Stock-based compensation | — | — | — | — | — | |||||||||||||||||||||||
| Issuance of restricted common stock | — | — | — | |||||||||||||||||||||||||
| Issuance of restricted stock units | ( |
) | — | — | — | — | ||||||||||||||||||||||
| Common stock issued for services | — | — | — | |||||||||||||||||||||||||
| Issuance of warrants and restricted common stock | — | — | — | |||||||||||||||||||||||||
| Noncontrolling interest distribution | — | — | — | — | — | ( |
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| Treasury stock | — | — | — | ( |
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| Distribution of SG DevCorp | — | — | — | ( |
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| Conversion of short-term notes payable | — | — | — | |||||||||||||||||||||||||
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Net loss |
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— |
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— |
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— |
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( |
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Balance at September 30, 2023 |
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$ |
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$ |
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$ | ( |
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$ |
( |
) | $ | $ |
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SAFE & GREEN HOLDINGS CORP. AND SUBSIDIARIES
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For the Nine Months Ended |
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For the Nine Months Ended |
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(Unaudited) |
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(Unaudited) |
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Cash flows from operating activities: |
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Net loss |
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$ |
( |
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$ |
( |
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| Income (loss) from discontinued operations | ( |
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Adjustments to reconcile net loss to net cash used in operating activities: |
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Depreciation expense |
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Amortization of intangible assets |
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| Amortization of deferred license costs | ||||||||
| Amortization of debt issuance costs and debt discount | |
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| Amortization of right of use asset | ||||||||
| Gain on deconsolidation – SG DevCorp | ( |
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| Loss on disposition of equity-based investment | ||||||||
| Change in fair value of equity-based investment | ||||||||
| Common stock issued for services | ||||||||
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Interest income on long-term note receivable |
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( |
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Stock-based compensation |
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Changes in operating assets and liabilities: |
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Accounts receivable |
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Contract assets |
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( |
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| Inventories | ( |
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Prepaid expenses and other current assets |
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( |
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| Intangible assets | ( |
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Accounts payable and accrued expenses |
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Contract liabilities |
( |
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| Lease liability | ( |
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| Assumed liability | ||||||||
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Net cash used in operating activities by continuing operations |
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( |
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| Net cash used in operating activities by discontinued operations | ( |
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Cash flows from investing activities: |
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| Purchase of property, plant and equipment | ( |
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| Cash received from sale of equity-based investment | ||||||||
| Project development costs | ( |
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| Investment in and advances to equity affiliates | ||||||||
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Net cash used in investing activities by continuing operations |
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( |
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| Net cash used in investing activities by discontinued operations | ( |
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Cash flows from financing activities: |
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| Repurchase of common stock | ( |
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| Repayment of short term notes payable | ( |
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| Proceeds from short-term notes payable and warrants, net of debt issuance costs | ||||||||
| Proceeds from long-term notes payable | ||||||||
| Proceeds from warrant inducement | ||||||||
| Prefunded warrant exercise | ||||||||
| Issuance of common stock for cash | ||||||||
| Issuance of common stock under EP Agreement | ||||||||
| Distribution paid to non-controlling interest | ( |
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Net cash provided by financing activities by continuing operations |
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| Net cash provided by financing activities by discontinued operations | ||||||||
| Net increase in cash and cash equivalents | ||||||||
| Cash and cash equivalents - beginning of period | ||||||||
| Cash and cash equivalents - end of period | ||||||||
| Less: cash and cash equivalents – discontinued operations | |
( |
) | |||||
| $ | $ | |||||||