MEGADATA CORP

CIK:0000225628|SEC Filings

Consolidated Statement of Operations - USD ($)	3 Months Ended		9 Months Ended
Consolidated Statement of Operations - USD ($)	Jul. 31, 2022	Jul. 31, 2021	Jul. 31, 2022	Jul. 31, 2021
Details
Revenues	$ 1,483,960	$ 1,509,808	$ 4,340,577	$ 4,669,573
Operating expenses
Cost of revenues	1,227,394	579,491	3,111,778	1,714,615
Research and development expenses	91,050	55,802	247,977	156,685
Selling, general, and administrative expenses	1,353,213	672,399	3,441,903	1,987,183
Operating Expenses	2,671,657	1,307,692	6,801,658	3,858,483
Income/(Loss) from operations	(1,187,697)	202,116	(2,461,081)	811,090
Interest expense - related party	301,608	266,400	832,762	790,513
Income/(Loss) before income taxes	(1,489,305)	(64,284)	(3,293,843)	20,577
Provision for income taxes	0	0	0	0
Net Income/(Loss)	$ (1,489,305)	$ (64,284)	$ (3,293,843)	$ 20,577
Net income/(loss) per common share - basic	$ (0.19)	$ (0.01)	$ (0.43)	$ 0.00
Net income/(loss) per common share - diluted	$ (0.19)	$ (0.01)	$ (0.43)	$ 0.00
Weighted average number of common shares outstanding - basic	7,712,091	7,712,091	7,712,091	7,712,091
Weighted average number of common shares outstanding - diluted	7,712,091	7,712,091	7,712,091	7,748,451

Consolidated Statements of Cash Flows - USD ($)	9 Months Ended
Consolidated Statements of Cash Flows - USD ($)	Jul. 31, 2022	Jul. 31, 2021
Cash flows from operating activities
Net Income/(Loss)	$ (3,293,843)	$ 20,577
Adjustments to reconcile net (loss)/income to net cash used in operating activities
Depreciation and amortization	442,681	539,066
Recovery of doubtful accounts	(86,325)	(43,905)
Federal Stimulus credits utilized	(789,108)	(3,377,105)
Stock-based compensation	252,314	178,148
Operating lease assets and liabilities, net	5,024	(92,536)
Changes in operating assets and liabilities
Accounts receivable	(16,259)	200,278
Prepaid expenses and other current assets	(52,131)	(61,955)
Other assets	0	550
Accounts payable	(6,137)	(712,419)
Accrued expenses and other current liabilities	796,862	95,499
Deferred revenue	(406,095)	88,419
Total adjustments	140,826	(3,185,960)
Net cash used in operating activities	(3,153,017)	(3,165,383)
Cash flows used in investing activities
Property and equipment	0	(61,014)
Net cash used in investing activities	0	(61,014)
Cash flows from financing activities
Proceeds under Federal Stimulus grant program	0	3,494,392
Proceeds from notes payable - related party	1,800,000	0
Net cash provided by financing activities	1,800,000	3,494,392
(Decrease)/Increase in cash	(1,353,017)	267,995
Cash - beginning of period	1,569,587	2,748,066
Cash - end of period	216,570	3,016,061
Supplemental cash flow information
Interest - related party	0	790,512
Income taxes	$ 0	$ 0

Consolidated Balance Sheets - USD ($)	Jul. 31, 2022	Oct. 31, 2021
Current assets
Cash	$ 216,570	$ 1,569,587
Accounts receivable, net	911,195	808,611
Prepaid expenses and other current assets	299,530	247,940
Total current assets	1,427,295	2,626,138
Capitalized software development costs, net	373,250	737,600
Property and equipment, net	15,115	92,905
Operating lease right-of-use assets	273,533	334,866
Other assets	45,719	45,719
Total assets	2,134,912	3,837,228
Current liabilities
Accounts payable	725,630	731,767
Accrued liabilities - Stimulus funding	0	866,560
Accrued expenses and other current liabilities	1,552,377	678,063
Operating lease liabilities, current portion	89,701	86,195
Deferred revenue, current portion	951,572	1,319,859
Total current liabilities	3,319,280	3,682,444
Deferred revenue, long term portion	136,131	173,939
Note payable - related party	12,491,625	10,691,625
Operating lease liabilities, non-current	271,353	331,168
Total liabilities	16,218,389	14,879,176
Stockholders' deficit
Preferred shares - authorized 5,000,000 shares, par value $0.01 per share; none issued or outstanding	0	0
Common shares - authorized 20,000,000 shares, respectively, par value $0.01 per share; issued 8,496,526 at July 31, 2022 and October 31, 2021	84,964	84,964
Additional paid-in capital	18,923,283	18,670,969
Accumulated deficit	(31,158,046)	(27,864,203)
Stockholders' Equity before Treasury Stock	(12,149,799)	(9,108,270)
Treasury stock, at cost	(1,933,678)	(1,933,678)
Stockholders' Equity Attributable to Parent	(14,083,477)	(11,041,948)
Total liabilities and stockholders' deficit	$ 2,134,912	$ 3,837,228