Interest expense - 
  amortization of debt 
  discount                       515,953       416,339      1,883,573      1,975,938 
 Interest expense, net         1,380,668     1,142,483      5,520,991      4,184,067 
 Other (income) expenses           8,301        56,098      (139,067)      1,552,154 
                            ------------   -----------   ------------   ------------ 
(Loss) income before 
 income taxes               (10,043,305)   (6,313,642)   (26,701,675)     14,924,051 
 Provision for (benefit 
  from) income taxes           1,350,884       115,150        496,290      (763,639) 
                            ------------   -----------   ------------   ------------ 
(Loss) income before 
 equity in net earnings 
 of affiliates              (11,394,189)   (6,428,792)   (27,197,965)     15,687,690 
 Equity in loss of equity 
  method investees, net 
  of tax                         733,748       841,637      2,858,424      1,252,330 
                            ------------   -----------   ------------   ------------ 
Net (loss) income           (12,127,937)   (7,270,429)   (30,056,389)     14,435,360 
 (Loss) income 
  attributable to 
  noncontrolling 
  interests                     (15,981)        41,924       (25,412)         25,282 
                            ------------   -----------   ------------   ------------ 
Net (loss) income 
 attributable to S&W Seed 
 Company                   $(12,111,956)  $(7,312,353)  $(30,030,977)  $  14,410,078 
                            ============   ===========   ============   ============ 
 
Calculation of net 
(loss) income per 
share: 
Net (loss) income 
 attributable to S&W Seed 
 Company                   $(12,111,956)  $(7,312,353)  $(30,030,977)  $  14,410,078 
 Dividends accrued for 
  participating 
  securities and 
  accretion                    (126,782)     (120,070)      (494,617)      (469,329) 
                            ------------   -----------   ------------   ------------ 
Net (loss) income 
 attributable to common 
 shareholders              $(12,238,738)  $(7,432,423)  $(30,525,594)  $  13,940,749 
                            ============   ===========   ============   ============ 
 
Net (loss) income 
attributable to S&W Seed 
Company per common 
share, 
 Basic                     $      (5.31)  $     (3.23)  $     (13.21)  $        6.40 
 Diluted                   $      (5.31)  $     (3.22)  $     (13.21)  $        6.38 
Weighted average number 
of common shares 
outstanding, 
 Basic                         2,281,258     2,261,486      2,273,112      2,250,146 
 Diluted                       2,281,258     2,269,553      2,273,112      2,259,766 
 
 
TABLE A1 
                            S&W SEED COMPANY 
ITEMIZED RECONCILIATION BETWEEN OPERATING EXPENSES AND NON-GAAP ADJUSTED 
                           OPERATING EXPENSES 
                               (UNAUDITED) 
 
                       Three Months Ended            Years Ended 
                             June 30,                  June 30, 
                    -------------------------  ------------------------ 
                        2024         2023         2024         2023 
                    ------------  -----------  -----------  ----------- 
Operating expenses    10,034,041    7,241,527   33,498,006   32,481,603 
 
Less: 
   Depreciation and 
    amortization     (1,067,176)  (1,071,265)  (4,288,449)  (4,768,809) 
 
   Non-recurring 
    transaction 
    costs              (150,447)    (274,434)    (713,526)  (1,240,274) 
 
   Gain (loss) on 
    disposal of 
    property, plant 
    and equipment         19,121     (11,423)      109,746     (44,335) 
 
   Impairment 
    charges          (3,531,010)            -  (3,531,010)            - 
 
Non-GAAP adjusted 
 operating 
 expenses              5,304,529    5,884,405   25,074,767   26,428,185 
                     ===========  ===========  ===========  =========== 
 
 
TABLE A2 
                              S&W SEED COMPANY 
  ITEMIZED RECONCILIATION BETWEEN NET LOSS AND NON-GAAP ADJUSTED NET LOSS 
                                (UNAUDITED) 
 
                     Three Months Ended               Years Ended 
                           June 30,                     June 30, 
                 ---------------------------  ---------------------------- 
                     2024           2023          2024           2023 
                 -------------  ------------  -------------  ------------- 
Net (loss) 
 income 
 attributable 
 to S&W Seed 
 Company         $(12,111,956)  $(7,312,353)  $(30,030,977)  $  14,410,078 
 
Impairment 
 charges             3,531,010            --      3,531,010             -- 
 
Interest 
 expense - 
 amortization 
 of debt 
 discount              515,953       416,339      1,883,573      1,975,938 
 
Other finance 
 expenses                   --            --             --      1,458,168 
 
Gain on 
 disposal of 
 intangible 
 assets                     --            --             --    (1,796,252) 
 
Non-recurring 
 transaction 
 costs                 150,447       274,434        713,526      1,240,274 
 
Dividends 
 accrued for 
 participating 
 securities and 
 accretion           (126,782)     (120,070)      (494,617)      (469,329) 
 
Loss (gain) on 
 sale of 
 business 
 interest                   --       156,404             --   (38,167,102) 
 
Loss (gain) on 
 sale of equity 
 investment            534,189            --        534,189       (32,030) 
 
Equity in loss 
 of equity 
 method 
 investee 
 (Vision 
 Bioenergy), 
 net of tax            771,647       323,538      2,613,277      1,089,346 
 
Non-GAAP 
 adjusted net 
 loss            $ (6,735,492)  $(6,261,708)  $(21,250,019)  $(20,290,909) 
                  ============   ===========   ============   ============ 
 
Non-GAAP 
adjusted net 
loss 
attributable 
to    S&W Seed 
Company per 
common share, 
 Basic           $      (2.95)  $     (2.77)  $      (9.35)  $      (9.02) 
 Diluted         $      (2.95)  $     (2.76)  $      (9.35)  $      (8.98) 
Weighted 
average number 
of common 
shares 
outstanding, 
 Basic               2,281,258     2,261,486      2,273,112      2,250,146 
 Diluted             2,281,258     2,269,553      2,273,112      2,259,766 
 
 
TABLE B 
                             S&W SEED COMPANY 
   ITEMIZED RECONCILIATION BETWEEN NET LOSS AND NON-GAAP ADJUSTED EBITDA 
                                (UNAUDITED) 
 
                       Three Months Ended               Years Ended 
                            June 30,                     June 30, 
                   --------------------------   --------------------------- 
                       2024          2023           2024           2023 
                   ------------   -----------   ------------   ------------ 
Net (loss) 
 income 
 attributable to 
 S&W Seed 
 Company          $(12,111,956)  $(7,312,353)  $(30,030,977)  $  14,410,078 
 
Interest 
 expense, net         1,380,668     1,142,483      5,520,991      4,184,067 
 
Interest expense 
 - amortization 
 of debt 
 discount               515,953       416,339      1,883,573      1,975,938 
 
Other finance 
 expenses                    --            --             --      1,458,168 
 
Provision for 
 (benefit from) 
 income taxes         1,350,884       115,150        496,290      (763,639) 
 
Depreciation and 
 amortization         1,067,176     1,071,265      4,288,449      4,768,809 
 
Impairment 
 charges              3,531,010            --      3,531,010             -- 
 
Non-recurring 
 transaction 
 costs                  150,447       274,434        713,526      1,240,274 
 
Non-cash 
 stock-based 
 compensation           253,708       549,522      1,232,938      1,932,415 
 
Foreign currency 
 loss                    50,165       162,189      1,213,732        859,696 
 
Gain on disposal 
 of intangible 
 assets                      --            --             --    (1,796,252) 
 
Loss (gain) on 
 sale of 
 business                    --       156,404             --   (38,167,102) 
 
Loss (gain) on 
 sale of equity 
 investments            534,189            --        534,189       (32,030) 
 
Equity in loss 
 of equity 
 method investee 
 (Vision 
 Bioenergy), net 
 of tax                 771,647       765,808      2,613,277      1,089,346 
 
Dividends 
 accrued for 
 participating 
 securities and 
 accretion            (126,782)     (120,070)      (494,617)      (469,329) 
 
Non-GAAP 
 adjusted 
 EBITDA           $ (2,632,891)  $(2,778,829)  $ (8,497,619)  $ (9,309,561) 
                   ============   ===========   ============   ============ 
 
 
                     S & W SEED COMPANY 
                CONSOLIDATED BALANCE SHEETS 
                        (UNAUDITED) 
 
                                 As of            As of 
                              June 30, 2024    June 30, 2023 
                             --------------   -------------- 
         ASSETS 
CURRENT ASSETS 
 Cash and cash equivalents  $       294,014  $     3,398,793 
 Accounts receivable, net        20,865,224       24,622,727 
 Notes receivable, net                   --        6,846,897 
 Inventories, net                38,107,103       45,098,268 
 Prepaid expenses and 
  other current assets            4,108,149        4,099,027 
                             --------------   -------------- 
   TOTAL CURRENT ASSETS          63,374,490       84,065,712 
Property, plant and 
 equipment, net                   9,667,273       10,082,168 
Intellectual property, net       20,265,618       21,650,534 
Other Intangibles, net            3,783,389        8,082,325 
Right of use asset - 
 operating leases                 2,248,818        2,983,303 
Equity method investments        19,694,209       23,059,705 
Other assets                      1,691,744        2,066,081 
                             --------------   -------------- 
   TOTAL ASSETS             $   120,725,541  $   151,989,828 
                             ==============   ============== 
 LIABILITIES, MEZZANINE 
EQUITY AND STOCKHOLDERS' 
         EQUITY 
CURRENT LIABILITIES 

(MORE TO FOLLOW) Dow Jones Newswires

November 01, 2024 08:00 ET (12:00 GMT)