ID Auto, Inc.

CIK:0001698113|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
Income Statement [Abstract]
Net revenue	$ 15,711,394	$ 79,884,740	$ 48,032,207	$ 279,034,366
Cost of goods sold	11,395,872	63,962,534	36,225,160	224,034,701
Gross profit	4,315,522	15,922,206	11,807,047	54,999,665
Operating expenses:
Advertising	486,254	7,329,172	2,053,547	26,468,121
Selling, general and administrative	5,863,379	9,458,749	17,021,120	31,072,365
Depreciation	1,899,995	2,113,695	5,877,025	6,210,590
Total operating expenses	8,249,628	18,901,616	24,951,692	63,751,076
Loss from operations	(3,934,106)	(2,979,410)	(13,144,645)	(8,751,411)
Loss on extinguishment of debt			879,045
Loss on extinguishment of warrants	317,000		317,000
Change in fair value of derivatives	(93,000)		(634,000)
Interest and financing expense	1,513,483	50,000	2,452,649	50,000
Loss before income taxes	(5,671,589)	(3,029,410)	(16,159,339)	(8,801,411)
Income tax expense		3,241,618	1,000	2,322,515
Net loss	$ (5,671,589)	$ (6,271,028)	$ (16,160,339)	$ (11,123,926)
Loss per common share
Loss per share (basic and diluted) (in Dollars per share)	$ (0.16)	$ (0.18)	$ (0.46)	$ (0.33)
Weighted average number of shares (basic and diluted) (in Shares)	35,868,525	34,064,266	35,357,877	34,004,944

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Cash Flows from Operating Activities:
Net loss	$ (16,160,339)	$ (11,123,926)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation	5,877,025	6,210,590
Deferred tax expense		2,314,907
Amortization of right-of-use assets	518,767	239,879
Share-based compensation expense	1,689,867	1,601,848
Change in fair value of derivatives	(634,000)
Amortization of debt discount	1,003,935
Gain on sale of property and equipment		(63,524)
Loss on extinguishment of debt	879,045
Payment for services in Company’s stock	65,597
Write-off of debt discount due to repayment of notes	440,823
Loss on extinguishment of warrants	317,000
Changes in operating assets and liabilities:
Accounts receivable	593,678	(266,366)
Inventory	1,275,711	1,059,967
Prepaid expenses and other current assets	(359,370)	(1,763,818)
Accounts payable	(1,044,838)	(4,391,427)
Customer deposits	(2,282,592)	(6,659,044)
Accrued expenses	1,159,477	(281,434)
Operating lease liabilities	(518,663)	(239,879)
Other current liabilities	(1,253,172)	(1,013,363)
Net cash used in operating activities	(8,432,049)	(14,375,590)
Cash Flows from Investing Activities:
Proceeds from sale of fixed assets		90,250
Purchase of property and equipment	(2,892)	(64,882)
Proceeds from sale of intangible asset	250,000
Website and software development costs	(2,084,470)	(4,669,002)
Net cash used in investing activities	(1,837,362)	(4,643,634)
Cash Flows from Financing Activities:
Repayment of note payable	(6,410,000)
Proceeds from convertible notes and sale of future receivable, net	14,375,000
Net cash provided by financing activities	7,965,000
Net change in cash	(2,304,411)	(19,019,224)
Cash, beginning of period	3,796,267	23,203,230
Cash, end of period	1,491,856	4,184,006
Supplemental non-cash disclosure:
Conversion of debt to common stock	85,625
Issuance of convertible warrants related to notes payable	4,370,818
Supplemental disclosure of cash flows information:
Cash paid for interest	1,429,725
Cash paid for taxes	$ 1,000	$ 5,000

Condensed Consolidated Balance Sheets - USD ($)	Sep. 30, 2023	Dec. 31, 2022
Current assets
Cash	$ 1,491,856	$ 3,796,267
Accounts receivable	736,843	1,330,521
Inventory	1,229,548	2,505,259
Prepaid expenses and other current assets	4,134,425	3,775,055
Total current assets	7,592,672	11,407,102
Property and equipment, net	10,287,508	12,915,773
Intangible assets	12,966	262,966
Right-of-use assets	556,390	1,075,157
Security deposits	247,708	247,708
Total assets	18,697,244	25,908,706
Current liabilities
Accounts payable	35,359,411	36,404,249
Customer deposits	815,527	3,098,119
Accrued expenses	6,952,521	5,793,044
Other current liabilities	1,414,764	2,279,138
Operating lease liabilities	310,177	688,188
Convertible notes payable, net	8,777,632	4,203,282
Derivative liabilities	1,150,000	551,000
Total current liabilities	54,780,032	53,017,020
Other non-current liabilities
Operating lease, net of current portion	246,214	386,866
Total liabilities	55,026,246	53,403,886
COMMITMENTS AND CONTINGENCIES (Note 7)
SHAREHOLDERS’ DEFICIT
Preferred stock, $0.0001 par value per share; 1,000,000 shares authorized and 0 issued and outstanding
Common stock, $0.0001 par value per share; 10,000,000 Class F shares authorized and 0 issued and outstanding
100,000,000 Class A shares authorized and 37,838,931 issued and outstanding as of September 30, 2023 and 34,825,971 issued and outstanding as of December 31, 2022	3,789	3,411
Additional paid in capital	18,434,085	11,107,946
Accumulated deficit	(54,766,876)	(38,606,537)
Total shareholders’ deficit	(36,329,002)	(27,495,180)
Total liabilities and shareholders’ deficit	$ 18,697,244	$ 25,908,706