Goldenwell Biotech Reports No Sales and Continued Net Losses in Q3 2024

Goldenwell Biotech, Inc. reported its financial results for the third quarter ending September 30, 2024, revealing a continued trend of minimal revenue generation and ongoing net losses. The company recorded no sales during the quarter, a decrease from $382,297 in the same period last year. For the nine months ended September 30, 2024, revenues totaled $297, down from $2,080 in the prior year. The net loss for the quarter was $23,065, compared to a loss of $35,406 in the third quarter of 2023. Cumulatively, the company has incurred a net loss of $103,962 for the first nine months of 2024, compared to $96,096 for the same period in 2023.

In terms of operational expenses, Goldenwell Biotech reported a reduction in general and administrative expenses, which totaled $23,065 for the third quarter of 2024, down from $35,406 in the previous year. However, for the nine-month period, these expenses increased to $104,111 from $97,131, primarily due to higher interest and accounting costs. The company’s total liabilities as of September 30, 2024, stood at $198,671, while stockholders' equity was reported at $(19,239), indicating a negative equity position.

The company continues to face significant challenges in scaling its operations and generating revenue. As of the end of September 2024, Goldenwell Biotech had a cash balance of $4,755 and a working capital deficit of $19,239. The management has indicated that substantial capital is required to establish manufacturing facilities and train personnel, estimating a need for approximately $5 million to complete these activities. The company plans to pursue additional funding through debt or equity offerings, although it has not secured any financing arrangements to date.

Goldenwell Biotech remains classified as a smaller reporting company and has been subject to the filing requirements of the Securities Exchange Act of 1934. The company has indicated that it is an emerging growth company and has not opted to use the extended transition period for complying with new or revised financial accounting standards. The management has expressed concerns regarding the company's ability to continue as a going concern, emphasizing the need for capital to fund operations and achieve profitability.

Looking ahead, Goldenwell Biotech's management has acknowledged the critical need to increase sales of its nutraceutical and dietary supplement products. The company is focused on overcoming operational hurdles, including the construction of manufacturing facilities and workforce training, to enhance its market presence. However, the ability to execute this plan is contingent upon securing adequate financing, which remains uncertain.