Pulse Beverage Corp

CIK:0001420569|SEC Filings

Condensed Consolidated Statements of Operations (Unaudited) - USD ($)

3 Months Ended

9 Months Ended

Sep. 30, 2017

Sep. 30, 2016

Sep. 30, 2017

Sep. 30, 2016

Income Statement [Abstract]

Gross Sales

$ 467,966

$ 709,754

$ 1,264,672

$ 2,450,949

Less: Promotional Allowances and Slotting Fees

(31,298)

(53,005)

(80,362)

(151,192)

Net Sales

436,668

656,749

1,184,310

2,299,757

Cost of Sales

355,185

434,158

926,661

1,517,370

Gross Profit

81,482

222,591

257,649

782,387

Expenses

Advertising, samples and displays

7,857

16,672

32,701

53,911

Asset impairment

2,691

8,268

Freight-out

55,226

67,965

151,897

227,218

General and administration

252,022

349,931

767,851

904,713

Salaries and benefits and broker/agent’s fees

140,788

211,069

419,132

713,922

Stock-based compensation

3,939

Total Operating Expenses

458,584

645,637

1,374,272

1,911,971

Net Operating Loss

(377,102)

(423,046)

(1,116,623)

(1,129,584)

Other Income (Expense)

Financing expense

(40,000)

Interest expense

(70,519)

(48,143)

(252,281)

(120,530)

Accretion of discount on convertible debentures

(405,020)

(172,073)

(1,124,763)

(423,007)

Gain on extinguishment of convertible debentures

403,531

Loss in fair value of derivatives

(473,027)

(1,375,241)

Total Other Income (Expense)

(545,035)

(260,216)

(2,348,754)

(583,537)

Net Loss from Continuing Operations

(922,137)

(683,262)

(3,465,377)

(1,713,121)

Loss from Discontinued Operations

(103,680)

Net Loss

$ (922,137)

$ (683,262)

$ (3,465,377)

$ (1,816,801)

Net Loss per Share from Continuing Operations - Basic and Diluted

$ 0.00

$ (0.01)

$ (0.03)

Net Loss per Share from Discontinued Operations – Basic and Diluted

Net Loss per Share – Basic and Diluted

$ (0.00)

^[1]

$ (0.01)

$ (0.03)

Weighted Average Shares Outstanding – Basic and Diluted

537,794,000

70,764,000

303,180,000

69,749,000

[1]	Less than $0.01

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)	9 Months Ended
	Sep. 30, 2017	Sep. 30, 2016
Cash Flow from Operating Activities
Net loss	$ (3,465,377)	$ (1,816,801)
Adjustments to reconcile net loss to net cash used in operations:
Amortization and depreciation	66,706	88,265
Asset impairment	2,691	8,268
Bad debt allowance	10,616	164,161
Interest paid through debt swap and shares	143,449
Default interest added to convertible notes	71,750
Amortization of deferred debt issuances costs	9,500
Gain on extinguishment of convertible notes	(403,531)
Loss in fair value of derivative liability	1,375,241
Accretion of discount on convertible debenture	1,124,763	423,005
Shares and options issued for services	11,700	140,122
Changes in operating assets and liabilities:
Increase in accounts receivable	(131,382)	(159,291)
Decrease (increase) in prepaid expenses	13,535	104
Decrease in inventories	271,149	(6,270)
Increase in accounts payable and accrued expenses	74,123	354,649
Net Cash Used in Operating Activities	(827,758)	(803,784)
Cash Flow to Investing Activities
Purchase of property and equipment		(17,125)
Acquisition of intangible assets		(5,422)
Net Cash Used in Investing Activities		(22,547)
Cash Flow from Financing Activities
Proceeds from sale of preferred shares	800
Proceeds from loans	134,500	763,360
Repayment of loans payable	(182,322)	(286,877)
Proceeds from convertible notes	851,500
Repayment of promissory notes	(56,473)
Net Cash Provided by Financing Activities	748,005	476,483
(Decrease) in Cash	(79,753)	(349,848)
Cash – Beginning	159,660	431,270
Cash - Ending	79,907	81,422
Non-Cash Financing and Investing Activities:
Shares issued for services	11,700	37,500
Shares issued to settle debt	2,000	100,000
Shares issued upon conversion of convertible debt	942,347
Supplemental Disclosures:
Interest paid	48,100	123,077
Income taxes paid

Condensed Consolidated Balance Sheets - USD ($)	Sep. 30, 2017	Dec. 31, 2016
Current Assets:
Cash	$ 79,907	$ 159,660
Accounts receivable, net (Note 3)	267,090	146,324
Inventories (Note 4)	510,320	781,468
Prepaid expenses	8,050	21,585
Total Current Assets	865,367	1,109,038
Property and equipment, net of accumulated depreciation of $356,310 and $310,604, respectively (Note 5)	85,278	151,235
Intangible assets, net of accumulated amortization of $62,675 and $61,927, respectively (Note 5)	85,891	86,640
Total Assets	1,036,536	1,346,913
Current Liabilities:
Accounts payable and accrued expenses	636,150	816,974
Credit card indebtedness	22,003	21,057
Promissory notes payable (Note 6)	15,114	71,587
Loans payable (Note 7)	1,321,068	1,792,384
Convertible debentures (Note 8)	260,025	2,025
Derivative liabilities (Note 9)	1,223,928	93,206
Total Current Liabilities	3,478,288	2,797,233
Stockholders’ Equity (Deficit)
Preferred stock, 1,000,000 shares authorized, $0.001 par value, 300,000 Series “A” preferred shares issued (Note 12)	300	100
Common stock, 5,000,000,000 shares authorized (See Note 10), $0.00001 par value 694,258,030 and 70,924,980 issued and outstanding, respectively	6,943	709
Additional paid-in capital	17,711,099	15,243,587
Deficit	(20,160,094)	(16,694,716)
Total Stockholders’ Equity (Deficit)	(2,441,752)	(1,450,320)
Total Liabilities and Stockholders’ Equity	$ 1,036,536	$ 1,346,913