BALQON CORP.

CIK:0001169440|SEC Filings

CONDENSED STATEMENTS OF OPERATIONS (Unaudited) (USD $)	3 Months Ended		9 Months Ended
CONDENSED STATEMENTS OF OPERATIONS (Unaudited) (USD $)	Sep. 30, 2014	Sep. 30, 2013	Sep. 30, 2014	Sep. 30, 2013
Income Statement [Abstract]
Revenues	$ 721,806	$ 306,989	$ 1,572,881	$ 1,121,135
Cost of Revenues	243,315	287,208	935,222	1,088,056
Gross Profit	478,491	19,781	637,659	33,079
Operating Expenses
General and administrative	242,890	277,887	775,349	1,455,972
Research and development	3,484	13,385	19,520	87,531
Depreciation and amortization	1,218	3,543	4,968	10,824
Total operating expenses	247,592	294,815	799,837	1,554,327
PROFIT (LOSS) FROM OPERATIONS	230,899	(275,034)	(162,178)	(1,521,248)
Change in fair value of derivative liabilities	787,996	337,039	286,250	79,000
Interest expense	(108,556)	(90,042)	(325,869)	(579,993)
NET INCOME (LOSS)	$ 910,339	$ (28,037)	$ (201,797)	$ (2,022,241)
Net loss per share - basic and diluted	$ 0.02	$ 0.00	$ (0.01)	$ (0.05)
Weighted average shares outstanding, basic and diluted	36,891,530	36,891,530	36,891,530	36,891,530

CONDENSED STATEMENTS OF CASH FLOWS (Unaudited) (USD $)	9 Months Ended
CONDENSED STATEMENTS OF CASH FLOWS (Unaudited) (USD $)	Sep. 30, 2014	Sep. 30, 2013
Cash flows from operating activities:
Net loss	$ (201,797)	$ (2,022,241)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization	4,968	10,824
Fair value of common stock transferred by shareholder to settle Company debts	0	323,176
Change in fair value of derivative liability	(286,250)	(79,000)
Amortization of note discount	0	280,654
Changes in operating assets and liabilities:
Accounts receivable	(34,365)	(20,382)
Inventories	157,325	(35,087)
Prepaid expenses	91,287	18,291
Payroll taxes payable	51,632	29,864
Accounts payable and accrued expenses	914,961	1,281,073
Customer deposits	(716,210)	241,385
Net cash provided by (used in) operating activities	(18,449)	28,557
Decrease in cash and cash equivalents	(18,449)	28,557
Cash and cash equivalents, beginning of period	21,573	33,869
Cash and cash equivalents, end of period	$ 3,124	$ 62,426

CONDENSED BALANCE SHEETS (Unaudited) (USD $)	Sep. 30, 2014	Dec. 31, 2013
Current assets
Cash and cash equivalents	$ 3,124	$ 21,573
Accounts receivable, trade, net of allowance for doubtful accounts of $199,300 and $199,300, respectively	109,190	74,825
Inventories	118,877	276,202
Prepaid expenses	19,476	110,763
Total current assets	250,667	483,363
Property and equipment, net	14,779	19,747
Other assets:
Deposits	14,400	14,400
Total assets	279,846	517,510
Current liabilities
Accounts payable and accrued expenses	2,705,759	2,207,731
Accounts payable to related parties	2,942,650	2,700,250
Customer deposits	447,260	1,163,470
Payroll taxes payable	402,823	351,191
Accrued expenses to officer	979,000	804,467
Advances from shareholder	5,018	5,018
Derivative liability	790,542	1,076,792
Convertible notes - in default	3,361,500	3,361,500
Total current liabilities	11,634,552	11,670,419
SHAREHOLDERS' DEFICIENCY
Common stock, $0.001 par value, 100,000,000 shares authorized, 36,891,530 shares issued and outstanding as of September 30, 2014 and December 31, 2013, respectively	36,891	36,891
Additional paid in capital	19,982,383	19,982,383
Accumulated deficit	(31,373,980)	(31,172,183)
Total shareholders' deficiency	(11,354,706)	(11,152,909)
Total liabilities and shareholders' deficiency	$ 279,846	$ 517,510