SUPERCONDUCTOR TECHNOLOGIES INC

CIK:0000895665|SEC Filings

Condensed Consolidated Statements of Operations (Unaudited) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
REVENUES
Total revenues	$ 831,908	$ 3,057,302	$ 4,457,443	$ 9,403,072
OPERATING EXPENSES
Wages & general operating expenses	500,264	4,271,412	5,198,238	13,343,084
Selling, general and administrative expenses	565,766	1,569,129	2,088,601	3,016,870
Pre-merger related expenses	703,125		703,125
Insurance expense	291,782	108,687	486,313	1,046,749
Bad debt expense	325,787		485,437
Depreciation and amortization expense	228,988	178,654	755,061	550,913
Total operating expenses	2,615,712	6,127,883	9,716,775	17,957,616
Operating loss	(1,783,804)	(3,070,581)	(5,259,332)	(8,554,544)
Other (income) expenses
Interest expense	1,485,132	1,030,979	3,919,180	1,927,622
PPP loan forgiveness				(992,316)
Derivative financing costs			2,567,460
Fair value of derivative	(1,029,338)		(1,511,624)
Loss (gain) on extinguishment of debt		(1,642,476)	653,814	(1,642,476)
Loss on disposal of assets			100,542
Loss on impairment of debt	723,324		1,042,260
Gain on termination of lease			(4,336,886)
Other (income)/expenses	120,443	(1,782,887)	420,138	(2,205,787)
Total other (income)/expenses, net	1,299,561	(2,394,384)	2,854,884	(2,912,957)
Net loss from continuing operations	(3,083,363)	(676,197)	(8,114,216)	(5,641,588)
Loss from discontinued operations, net of tax		582,503		411,523
Net loss	(3,083,363)	(93,694)	(8,114,216)	(5,230,065)
Preferred stock dividend	(1,653,009)	(1,666,980)	(4,996,780)	(4,941,921)
Net loss attributable to common shareholders	(4,736,372)	(1,760,672)	(13,110,996)	(10,171,985)
Net loss attributable to non-controlling interest	(616,649)	(132,482)	(1,562,867)	(350,894)
Net loss attributable to Clearday, Inc. shareholders	$ (4,119,723)	$ (1,893,156)	$ (11,548,129)	$ (10,522,880)
Basic and diluted loss per share attributable to Clearday, Inc. shareholders
Net loss from continued operations, basic	$ (0.16)	$ (0.04)	$ (0.46)	$ (0.33)
Net loss from continued operations, diluted	(0.16)	(0.04)	(0.46)	(0.33)
Net loss/income from discontinued operations, basic	0.00	0.03	0.00	0.02
Net loss/income from discontinued operations, diluted	0.00	0.03	0.00	0.02
Net loss, basic	(0.16)	(0.01)	(0.46)	(0.31)
Net loss, diluted	$ (0.16)	$ (0.01)	$ (0.46)	$ (0.31)
Weighted average common shares basic	26,097,002	18,168,228	25,162,174	16,993,322
Weighted average common shares diluted	26,097,002	18,168,228	25,162,174	16,993,322
Resident Fee [Member]
REVENUES
Total revenues	$ 618,317	$ 2,946,690	$ 3,950,327	$ 9,139,921
Adult Day Care [Member]
REVENUES
Total revenues	190,789	66,803	439,596	215,423
Commercial Property Rental Revenue [Member]
REVENUES
Total revenues	$ 22,802	$ 43,809	$ 67,520	$ 47,728

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022	Dec. 31, 2022
CASH FLOWS FROM OPERATING ACTIVITIES
Net loss	$ (3,083,363)	$ (93,694)	$ (8,114,216)	$ (5,230,065)
Loss from discontinued operations, net of tax		(582,503)		(411,523)
Loss from continued operations	(3,083,363)	(676,197)	(8,114,216)	(5,641,588)	$ (14,462,738)
Adjustments required to reconcile net loss to cash flows used in operating activities
Depreciation and amortization	228,988	178,654	755,061	550,913
Shares issued for loan commitment			70,685
Shares issued for services			214,424	846,974
Financing costs from derivative liabilities			2,567,460
Gain on termination of lease			(4,336,886)
Series I preferred stock accumulated dividend			409,692
Change in fair value of derivatives			(1,511,624)
Amortization of debt discount related to derivatives			1,973,718
Amortization of debt issuance costs			170,919	966,052
Loss on extinguishment of debt		(1,642,476)	653,814	(1,642,476)
Loss on impairment of debt – SPAC partner	723,324		1,042,260
Loss on disposal of assets			100,542
Bad debt expense	325,787		485,437
Gain on PPP loan forgiveness				(992,316)
Changes in operating assets and liabilities
Accounts receivable			(437,731)	(24,054)
Other current assets
Prepaid expenses			(164,420)	2,666,713
Accounts payable			373,074	1,420,895
Accrued liabilities			2,214,518	(1,524,391)
Other current liabilities				259,929
Deferred revenue			(901,235)
Related party payables			1,352,757
Other non-current assets			9,253	680,335
Other current liabilities			(49,097)	552,845
Change in operating lease liability				(383,689)
Net cash used in operating activities			(3,121,596)	(2,263,858)	(3,978,027)
CASH FLOWS FROM INVESTING ACTIVITIES
Proceeds from sale of property and equipment			133,133
Purchase of intangibles	(234,375)		(234,375)
Purchase of property and equipment				(28,310)
Net cash used in investing activities of the continuing operations			(101,242)	(28,310)
CASH FLOWS FROM FINANCING ACTIVITIES
Payment of long-term debt			(1,136,280)	(2,551,046)
Proceeds from borrowings on debt			4,253,290	3,878,139
Net cash provided by in financing activities			3,117,010	1,327,093
Change in cash and restricted cash from continuing operations			(105,828)	(965,075)
Change in cash and restricted cash from discontinued operations
Cash and restricted cash at beginning of the period			205,638	975,075	975,075
Cash and restricted cash at end of period	99,810	10,000	99,810	10,000	205,638
Beginning of period
Cash and cash equivalents	99,810		99,810		195,638
Restricted cash		10,000		10,000	10,000
Total cash and restricted cash	$ 99,810	$ 10,000	99,810	10,000	205,638
Cash and cash equivalents			195,638	965,075	965,075
Restricted cash			10,000	10,000	10,000
Total cash and restricted cash			205,638	975,075	$ 975,075
Supplemental disclosures of cash flow information
Cash paid for interest			292,784
Cash paid for income taxes
Supplemental disclosures of non-cash investing and financing activities:
Early lease termination fee			27,323,396
Series F incentive shares converted to common stock			6,338,323
PIK dividends for Series F Preferred Stock			4,996,780	4,941,921
Indebtedness used to pay off rent expense			3,212,305
Accounts payable exchanged for common shares			3,247,982
Debt discount on derivative liabilities			2,833,222
Settlements on derivative liabilities			$ 927,993

Condensed Consolidated Balance Sheets (Unaudited) - USD ($)	Sep. 30, 2023	Dec. 31, 2022
Current assets:
Cash	$ 99,810	$ 195,638
Restricted cash		10,000
Accounts receivable, net		47,705
Prepaid expenses	377,709	213,289
Total current assets	477,519	466,632
Non-current assets
Operating lease right-of-use assets		22,792,752
Real estate property and equipment, net	6,086,243	6,522,979
Intangible assets, net	3,362,375	3,680,000
Other non-current assets	278,902	288,155
Total assets	10,205,039	33,750,518
Current liabilities:
Accounts payable	3,449,094	6,324,002
Accrued expenses	6,136,875	8,415,609
Derivative liabilities	5,281,612	2,320,547
Accrued interest	1,769,075	294,370
Deferred revenue		901,235
Current portion long-term debt	19,879,095	16,347,290
Current portion of operating lease liabilities		2,907,605
Total current liabilities	39,632,114	39,323,361
Long-term liabilities:
Operating lease liabilities, net of current portion		24,415,791
Long-term debt, less current portion, net	4,544,126	1,392,940
Total liabilities	44,176,240	65,132,092
Mezzanine equity
Series F 6.75% Convertible Preferred Stock, $.001 par value, 5,000,000 share authorized, 4,311,048 and 4,797,052 issued and outstanding on September 30, 2023, and December 31, 2022, respectively. Liquidation value $99,609,085 and $101,162,577 on September 30, 2023, and December 31, 2022, respectively.	19,106,537	20,448,079
Commitments and contingencies (Note 7)
Stockholders’ Deficit:
Common Stock, $0.001 par value, 80,000,000 shares authorized, 26,155,305 and 20,805,448 shares issued and outstanding at September 30, 2023, and December 31, 2022, respectively	26,155	20,805
Additional paid-in-capital	22,549,271	16,098,182
Accumulated deficit	(86,222,414)	(79,671,065)
Clearday, Inc. stockholders’ deficit	(63,646,659)	(63,551,749)
Non-controlling interest in subsidiaries	10,568,921	11,722,096
Clearday Inc. stockholder’s total deficit	(53,077,738)	(51,829,653)
TOTAL LIABLITIES, MEZZANINE EQUITY AND STOCKHOLDERS’ DEFICIT	10,205,039	33,750,518
Series A Convertible Preferred Stock [Member]
Stockholders’ Deficit:
Preferred Stock value	329	329
Related Party [Member]
Current liabilities:
Other current liabilities	2,025,354	672,597
Nonrelated Party [Member]
Current liabilities:
Other current liabilities	$ 1,091,009	$ 1,140,106