STERLING CONSOLIDATED Corp

CIK:0001555972|SEC Filings

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Revenues
Total revenues	$ 4,728,018	$ 2,640,976	$ 11,498,796	$ 7,639,215
Cost of sales
Total cost of sales	4,104,741	1,833,214	9,506,372	5,660,266
Gross profit	623,277	807,762	1,992,424	1,978,949
Operating expenses
Sales and marketing	86,452	43,858	250,863	205,898
General and administrative	627,142	535,887	1,543,523	1,297,051
Total operating expenses	713,594	579,745	1,794,386	1,502,949
Operating (loss) income	(90,317)	228,017	198,038	476,000
Other income (expense)
Other	10,228	7,502	16,150	13,464
Gain on PPP loan forgiveness				326,100
Interest expense	(11,161)	(21,706)	(83,698)	(95,776)
Gain on sale of real estate				225,330
Total other income (expense)	(933)	(14,204)	(67,548)	469,118
Income before provision (benefit) for income taxes	(91,250)	213,813	130,490	945,118
Provision for (benefit from) income taxes	(19,279)	(17,693)	29,653	95,765
Net income (loss)	$ (71,971)	$ 231,506	$ 100,837	$ 849,353
Net income (loss) per share of common stock:
Basic	$ 0.00	$ 0.00	$ 0.00	$ 0.02
Fully diluted	$ 0.00	$ 0.00	$ 0.00	$ 0.01
Weighted average number of shares outstanding
Basic	47,284,689	47,284,689	47,284,689	47,284,689
Fully diluted	57,584,689	57,584,689	57,584,689	57,584,689
O-rings and rubber product sales
Revenues
Total revenues	$ 4,370,823	$ 2,508,935	$ 10,880,506	$ 7,269,029
Cost of sales
Total cost of sales	3,768,974	1,670,126	8,838,253	5,199,353
Freight services
Revenues
Total revenues	357,195	132,041	618,290	370,186
Cost of sales
Total cost of sales	$ 335,767	$ 163,088	$ 668,119	$ 460,913

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)	9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021
Cash flows from operating activities
Net income	$ 100,837	$ 849,353
Adjustments to reconcile net income (loss) income to net cash provided by operating activities:
Depreciation and amortization	108,834	65,747
Gain on sale of real estate		(225,330)
Changes in operating assets and liabilities:
Accounts receivable	(1,653,896)	(659,174)
Inventory	(737,637)	144,531
Prepaids and other current assets	116,000	(57,828)
Deferred tax asset	27,403	95,765
Accounts payable and accrued interest payable	1,641,954	(323,006)
Other liabilities	(2,556)	(1,005)
Net cash used in operating activities	(399,061)	(110,947)
Cash flows from investing activities
Proceeds from sale of real estate		712,500
Net cash provided by investing activities		712,500
Cash flows from financing activities
Net borrowing (paydown) on line of credit	494,574	(46,917)
Net paydown on notes payable	(26,360)	(135,101)
Net paydown to related party note payable	(520,816)	(236,643)
Net cash used in financing activities	(52,602)	(418,661)
Net change in cash and cash equivalents	(451,663)	182,892
Cash and cash equivalents at the beginning of period	569,281	171,818
Cash and cash equivalents at the end of period	117,618	354,710
Supplemental disclosures of cash flow information:
Cash paid for interest	83,698	$ 95,776
Cash paid for taxes	$ 2,522

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($)	Sep. 30, 2022	Dec. 31, 2021
Current assets
Cash and cash equivalents	$ 117,618	$ 569,281
Account receivable, net	3,128,466	1,474,570
Inventory, net		3,352,663
Notes receivable and other current assets	55,674	171,674
Total current assets	7,392,058	5,568,188
Property and equipment, net	812,781	918,115
Intangible assets, net	73,784	77,284
Deferred tax asset	172,252	199,655
Total assets	8,450,875	6,763,242
Current liabilities
Accounts payable and accrued expenses	3,063,985	1,422,031
Line of credit	895,627	401,053
Other liabilities	47,776	50,332
Current portion of long-term notes payable, rel. party	52,702	52,702
Current portion of long-term notes payable	36,554	39,858
Total current liabilities	4,096,644	1,965,976
Other liabilities
Long-term notes payable, related party	246,343	767,159
Long-term notes payable	1,668,672	1,691,728
Total other liabilities	1,915,015	2,458,887
Total liabilities	6,011,659	4,424,863
Stockholders' equity
Preferred stock, $0.001 par value; 10,000,000 shares authorized, no shares issued
Common stock, $0.001 par value; 200,000,000 shares authorized, 47,284,689 shares issued and outstanding as of September 30, 2022 and December 31, 2021	47,285	47,285
Additional paid-in capital	2,569,249	2,569,249
Common stock subscribed	93,000	93,000
Accumulated deficit	(270,318)	(371,155)
Total stockholders' equity	2,439,216	2,338,379
Total liabilities and stockholders' equity	$ 8,450,875	$ 6,763,242