0001477932-26-000938
SEC filingGroove Botanicals, Inc. reported a net loss of $34,000 for Q3 2026, resulting in a loss attributable to common stockholders of $88,000 after accounting for $55,000 in preferred stock dividends. The company generated no revenue during the period, with total operating expenses of $34,000 primarily driven by selling, general and administrative expenses ($16,000), legal and professional expenses ($8,000), consulting expenses ($6,000), and rent ($4,000). The balance sheet shows significant financial strain with total assets of only $6,000 against total liabilities of $1.4 million, creating a stockholders' deficit of $1.4 million. Cash flow from operations was negative $76,000, though financing activities provided $75,000 from related party transactions. The company's liquidity position remains precarious with only $2,000 in cash at period end.
Groove Botanicals, Inc. reported a net loss of $34,000 for the third quarter of fiscal year 2026, with no revenue generated during the period. The company's operating loss matched the net loss at $34,000, reflecting zero gross profit from operations. After accounting for $55,000 in dividends on preferred stock, the loss attributable to common stockholders totaled $88,000. Basic and diluted earnings per common share were $0, calculated using 59.6 million weighted average common shares outstanding. The company's financial performance shows continued operational challenges with no revenue generation and persistent losses.
No revenue data is disclosed in the filing for Q3 2026. The income statement shows zero revenue generation during the period, with all financial results reflecting expense items only. The document contains no segment breakdown, geographic mix, or revenue growth drivers. The absence of revenue figures indicates the company may not have commenced significant revenue-generating operations or may be in a pre-revenue development stage. No comparative revenue data from prior periods is provided for analysis.
The company reported an operating loss of $34,000 with no corresponding revenue, resulting in negative operating margins. Total operating expenses of $34,000 consisted of selling, general and administrative expenses ($16,000), legal and professional expenses ($8,000), consulting expenses ($6,000), and rent ($4,000). No gross profit or gross margin data is available as the company generated no revenue. The net loss of $34,000 represents 100% of operating expenses, indicating no offsetting income streams. The cost structure appears focused on administrative and professional services rather than production or sales activities.
Operating activities consumed $76,000 in cash, driven by the net loss of $34,000 adjusted for changes in working capital including a $36,000 increase in accrued payroll and a $2,000 decrease in prepaid expenses. Financing activities provided $75,000, primarily from $79,000 received from related parties offset by $4,000 distributed to related parties. The net change in cash was -$548, with ending cash of $2,000. The balance sheet shows total assets of $6,000 (cash $1,000, prepaid expenses $5,000) against total liabilities of $1.4 million, creating a stockholders' deficit of $1.4 million. Current liabilities include accounts payable ($64,000), related party payable ($720,000), dividends payable ($400,000), and related party dividends payable ($201,000).
No forward-looking statements, management guidance, strategic priorities, or specific risk factors are disclosed in the provided filing content. The document contains only historical financial statements without management discussion and analysis sections. The absence of outlook information limits analysis of the company's future plans, growth strategies, or anticipated challenges. Investors should note the company's precarious financial position with minimal assets, significant liabilities, and ongoing cash burn without corresponding revenue generation.