Rennova Health's Response to COVID-19

Financials

v3.19.3.a.u2
Condensed Consolidated Balance Sheets (Unaudited) - USD ($)
Sep. 30, 2019
Dec. 31, 2018
Current assets:    
Cash $ 107,472 $ 6,870
Accounts receivable, net 5,108,462 3,811,749
Inventory 688,819 453,402
Prepaid expenses and other current assets 77,646 78,820
Income tax refunds receivable 631,077 631,077
Current assets of AMSG and HTS classified as held for sale 362,146 140,352
Total current assets 6,975,622 5,122,270
Property and equipment, net 8,467,887 8,526,904
Right-of-use operating lease assets 328,615  
Intangibles, net 509,443 259,443
Deposits 281,523 278,864
Non-current assets of AMSG and HTS classified as held for sale 10,975 11,819
Total assets 16,574,065 14,199,300
Current liabilities:    
Accounts payable (includes related parties amount of $0.5 million and $0.4 million, respectively) 13,076,160 8,155,955
Checks issued in excess of bank account balance 121,947 109,695
Accrued expenses (includes related parties amount of $1.8 million and $0.4 million, respectively) 10,542,219 10,711,281
Income taxes payable 1,355,651 1,400,651
Current portion of notes payable 3,605,532 7,083,505
Current portion of notes payable, related party 14,968,104 800,000
Current portion of right-of-use operating lease obligations 141,830
Current portion of finance lease obligations 589,457 730,665
Current portion of debentures 28,690,240 12,776,316
Derivative liabilities 455,336 350,260
Current liabilities of AMSG and HTS classified as held for sale 2,701,459 2,297,846
Total current liabilities 76,247,935 44,416,174
Other liabilities:    
Right-of-use operating lease obligations, net of current portion 186,785
Finance lease obligations, net of current portion 28,821 31,543
Total liabilities 76,463,541 44,447,717
Commitments and contingencies
Stockholders' deficit:    
Common stock, $0.0001 par value, 10,000,000,000 shares authorized, 8,398,936,775 and 128,567,273 shares issued and outstanding 839,894 12,857
Additional paid-in-capital 509,515,347 375,845,883
Accumulated deficit (578,040,192) (415,046,606)
Total stockholders' deficit (67,664,949) (39,167,864)
Total liabilities and stockholders' deficit 16,574,065 14,199,300
Redeemable Preferred Stock I-1 [Member]    
Other liabilities:    
Redeemable Preferred Stock 5,835,294 5,835,294
Redeemable Preferred Stock I-2 [Member]    
Other liabilities:    
Redeemable Preferred Stock 1,940,179 3,084,153
Series G Preferred Stock [Member]    
Stockholders' deficit:    
Preferred stock value 2 2
Series H Preferred Stock [Member]    
Stockholders' deficit:    
Preferred stock value
Series F Preferred Stock [Member]    
Stockholders' deficit:    
Preferred stock value 17,500 17,500
Series J Preferred Stock [Member]    
Stockholders' deficit:    
Preferred stock value $ 2,500 $ 2,500

Source

v3.19.3.a.u2
Condensed Consolidated Statements of Operations (Unaudited) - USD ($)
3 Months Ended 9 Months Ended
Sep. 30, 2019
Sep. 30, 2018
Sep. 30, 2019
Sep. 30, 2018
Income Statement [Abstract]        
Net revenues $ 3,885,977 $ 5,039,112 $ 13,137,816 $ 9,932,989
Operating expenses:        
Direct costs of revenue 3,227,709 3,350,286 12,072,442 7,809,465
General and administrative 3,163,624 4,351,576 12,730,695 10,240,434
Depreciation and amortization 199,996 152,825 609,818 804,074
Total operating expenses 6,591,329 7,854,687 25,412,955 18,853,973
Loss from continuing operations before other income (expense) and income taxes (2,705,352) (2,815,575) (12,275,139) (8,920,984)
Other (expense) income:        
Other (expense) income (5,784,873) 188,658 (6,980,616) 609,719
Gain on bargain purchase 250,000 7,732,302
Change in fair value of derivative instruments 109,305,331 (105,076) 13,688,678
Interest expense (3,637,467) (9,322,333) (19,229,232) (17,075,437)
Total other(expense) income, net (9,422,340) 100,171,656 (26,064,924) 4,955,262
Net (loss) income from continuing operations before income taxes (12,127,692) 97,356,081 (38,340,063) (3,965,722)
Provision for income taxes 76
Net (loss) income from continuing operations (12,127,692) 97,356,081 (38,340,063) (3,965,798)
Net (loss) income from discontinued operations (138,076) (159,430) (791,936) 115,787
Net (loss) income (12,265,768) 97,196,651 (39,131,999) (3,850,011)
Deemed dividend from trigger of down round provision feature (17,942,578) (123,861,587) (17,942,578)
Net (loss) income to common shareholders $ (12,265,768) $ 79,254,073 $ (162,993,586) $ (21,792,589)
Net (loss) income per common share:        
Basic continuing operations $ (0.00) $ 17.6 $ (0.01) $ (1.55)
Diluted continuing operations (0.00) (0.08) (0.01) (1.55)
Basic discontinued operations (0.00) (0.03) (0.00) 0.05
Diluted discontinued operations (0.00) (0.00) (0.00) 0.05
Basic net (loss) income (0.00) 14.33 (0.04) (8.54)
Diluted net loss $ (0.00) $ (0.08) $ (0.04) $ (8.54)
Weighted average number of common shares outstanding during the period:        
Basic 6,634,045,471 5,531,767 4,461,922,587 2,550,632
Diluted 6,634,045,471 254,654,217 4,461,922,587 2,550,632

Source

v3.19.3.a.u2
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)
9 Months Ended
Sep. 30, 2019
Sep. 30, 2018
Cash flows from operating activities:    
Net loss from continuing operations $ (38,340,063) $ (3,965,798)
Adjustments to reconcile net loss to net cash (used in) provided by operations:    
Depreciation and amortization 609,818 804,074
Stock-based compensation 25,950 739,729
Amortization of debt discount 6,386,305 16,080,270
Modification of warrants 9,464,991
Penalty for non-payment of debentures 5,710,440
Change in fair value of derivative instruments 105,076 (13,688,678)
Loss on sale of receivables to factor 1,361,053
Gain on disposal of equipment under finance leases (549,524)
Bargain purchase gain for hospitals and medical center (250,000) (7,732,302)
(Loss) income from discontinued operations (791,936) 115,787
Changes in operating assets and liabilities:    
Accounts receivable (3,525,152) (5,648,343)
Inventory 82,010 25,066
Prepaid expenses and other current assets (1,485) 113,042
Accounts payable and checks issued in excess of bank balance 4,932,457 3,497,210
Accrued expenses (327,953) 3,728,038
Income tax assets and liabilities (45,000) (12,243)
Net cash used in operating activities of continuing operations (14,603,489) (6,493,672)
Net cash provided by (used in) operating activities of discontinued operations 182,663 (628,154)
Net cash used in operating activities (14,420,826) (7,121,826)
Cash flows from investing activities:    
Purchase of hospitals and medical center (658,537) (668,983)
Proceeds from the sale of equipment under finance leases 433,612
Purchase of property and equipment (50,801) (103,387)
Net cash used in investing activities of continuing operations (709,338) (338,758)
Net cash provided by investing activities of discontinued operations 800,000
Net cash (used in) provided by investing activities (709,338) 461,242
Cash flows from financing activities:    
Proceeds from issuance of related party note payable and advances 16,478,104 3,582,500
Payments on related party note payable and advances (2,310,000) (4,011,000)
Proceeds from issuance of debentures 3,845,000 8,000,000
Payments on notes payable (5,005,794) (256,481)
Proceeds from issuance of note payable 1,500,000
Proceeds from receivables sold to factors 2,650,000
Receivables paid to factors (1,782,614)
Payments on finance lease obligations (143,930) (654,435)
Net cash provided by financing activities of continuing operations 15,230,766 6,660,584
Net cash used in financing activities of discontinued operations
Net cash provided by financing activities 15,230,766 6,660,584
Net increase in cash 100,602
Cash at beginning of period 6,870
Cash at end of period $ 107,472

Source