International Land Alliance Reports Significant Revenue Growth and Improved Financial Performance in Q3 2024

International Land Alliance, Inc. (ILA) reported significant financial developments in its 10-Q filing for the quarter ending September 30, 2024. The company, focused on residential land development in Baja California, Mexico, and Southern California, experienced a notable increase in net revenues and lease income. For the three months ended September 30, 2024, net revenues reached $1,303,271, a substantial rise from $358,129 in the same period of 2023. For the nine months, revenues totaled $7,134,240, compared to $1,084,641 in the prior year.

Gross profit also saw a dramatic increase, with $912,483 reported for the third quarter of 2024, up from $61,449 in 2023. For the nine-month period, gross profit was $6,141,126, compared to $783,961 in the previous year. Operating expenses decreased significantly, with total operating expenses for the third quarter of 2024 at $635,703, down from $1,019,030 in 2023. This reduction contributed to an income from operations of $276,779 for the third quarter, a turnaround from a loss of $957,581 in the same quarter of the previous year.

Despite these improvements, the company reported a net loss of $251,598 for the third quarter of 2024, although this was a marked improvement from a loss of $6,340,368 in the same period of 2023. For the nine months ended September 30, 2024, ILA achieved a net income of $3,492,250, contrasting with a net loss of $8,627,589 for the same period in 2023.

The company’s total current assets decreased to $1,326,035 as of September 30, 2024, from $1,809,148 at the end of 2023. However, total assets slightly increased to $30,491,132 from $30,353,831. Current liabilities also saw a significant reduction, dropping to $15,139,229 from $28,656,801, resulting in total stockholders’ equity rising to $14,748,403 from $1,093,530.

Strategically, ILA acquired a 75% interest in Rancho Costa Verde Development LLC (RCVD) for $13.5 million in January 2023, which has contributed to its revenue growth. The company is actively pursuing additional capital through debt and equity to enhance its liquidity, as it faces concerns regarding its ability to continue as a going concern due to a working capital deficit of approximately $13.8 million as of September 30, 2024.

Cash reserves dwindled to $3,339 by the end of September 2024, down from $140,247 at the end of 2023. The company’s operational focus remains on developing its portfolio, which includes significant projects like the Oasis Park Resort and Valle Divino, while addressing liquidity challenges and enhancing its financial reporting controls.