Rest EZ Inc. reported its financial results for the three and six months ended September 30, 2024, revealing a net loss of $33 for both periods. This marks a significant reduction in losses compared to the same periods in the previous fiscal year, where the company reported a net loss of $16,555 for the three months and $22,339 for the six months ended September 30, 2023. The company did not generate any revenue during the current reporting period, maintaining a consistent trend from the previous year, which also saw no sales.
Operating expenses for the three and six months ended September 30, 2024, totaled $33, a decrease from $12,961 and $16,671 for the same periods in 2023. The reduction in operating expenses is attributed to the company's ongoing efforts to streamline operations and manage costs effectively. Interest expenses related to loans from related parties were recorded as $0 for the current period, compared to $3,594 and $5,668 in the previous year, indicating a shift in financial management strategies.
The company continues to focus on its sole product, the Rest EZ Sleep Aid Supplement, which is a liquid gel capsule manufactured by an external provider. Despite being in full production and distribution, Rest EZ has not yet achieved significant market penetration, with no sales reported during the latest quarter. The company has sold a total of 77,694 bottles for $664,943 since its inception, but the lack of recent sales raises concerns about its market share and product adoption rates.
As of September 30, 2024, Rest EZ Inc. reported an accumulated deficit of $321,612 and a net working capital deficit of $36,838. The company has expressed substantial doubt about its ability to continue as a going concern without additional capital. Management has indicated that future operations depend on securing further investment opportunities and generating profits, which are critical for sustaining business operations.
Looking ahead, Rest EZ Inc. plans to enhance its marketing efforts and expand its reach to wholesalers and retailers. The company aims to build its reputation and increase sales through direct marketing strategies led by its President, Brandon Sosa. However, the company acknowledges that its success is contingent upon its ability to raise necessary capital and navigate competitive pressures in the dietary supplement market.