Rennova Health's Response to COVID-19

Financials

v3.20.2
Condensed Consolidated Balance Sheets - USD ($)
Mar. 31, 2020
Dec. 31, 2019
Current assets:    
Cash $ 61,835 $ 16,933
Accounts receivable, net 3,688,605 3,565,447
Inventory 650,764 614,344
Prepaid expenses and other current assets 13,993 487
Income tax refunds receivable 1,760,988 642,503
Current assets of AMSG and HTS classified as held for sale 482,664 505,389
Total current assets 6,658,849 5,345,103
Property and equipment, net 8,065,984 8,231,830
Intangibles, net 509,443 509,443
Deposits 287,153 337,153
Right-of-use assets 239,701 274,747
Non-current assets of AMSG and HTS classified as held for sale 4,614 9,383
Total assets 15,765,744 14,707,659
Current liabilities:    
Accounts payable (includes related parties amount of $0.7 million and $0.6 million, respectively) 14,370,877 13,691,250
Checks issued in excess of bank account balance 114,548 275,124
Accrued expenses (includes related parties amount of $2.2 million and $2.0 million, respectively) 17,291,717 14,583,954
Income taxes payable 1,373,669 1,373,669
Current portion of notes payable 4,887,110 3,977,710
Current portion of notes payable, related party 18,229,408 15,159,455
Current portion of finance lease obligations 1,018,711 1,119,418
Current portion of debentures 29,653,740 29,873,740
Current portion of right-of-use operating lease obligations 129,714 116,037
Derivative liabilities 455,336 455,336
Current liabilities of AMSG and HTS classified as held for sale 2,791,951 2,792,502
Total current liabilities 90,316,781 83,418,195
Other liabilities:    
Right-of-use operating lease obligations, net of current portion 109,987 158,710
Total liabilities 90,426,768 83,576,905
Commitments and contingencies
Stockholders' deficit:    
Preferred stock value
Common stock, $0.0001 par value, 10,000,000,000 shares authorized, 9,898,936,775 and 9,648,936,775 shares issued and outstanding 989,894 964,894
Additional paid-in-capital 509,437,399 509,437,399
Accumulated deficit (592,733,792) (586,942,014)
Total stockholders' deficit (82,286,499) (76,519,721)
Total liabilities and stockholders' deficit 15,765,744 14,707,659
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 1,790,181 1,815,181
Series H Preferred Stock [Member]    
Stockholders' deficit:    
Preferred stock value
Series F Preferred Stock [Member]    
Stockholders' deficit:    
Preferred stock value 17,500 17,500
Total stockholders' deficit   17,500
Series K Preferred Stock [Member]    
Stockholders' deficit:    
Preferred stock value $ 2,500 2,500
Total stockholders' deficit   $ 2,500

Source

v3.20.2
Condensed Consolidated Statements of Operations (Unaudited) - USD ($)
3 Months Ended
Mar. 31, 2020
Mar. 31, 2019
Income Statement [Abstract]    
Net revenues $ 1,841,531 $ 5,190,650
Operating expenses:    
Direct costs of revenue 2,566,280 4,164,400
General and administrative 2,962,729 5,276,136
Depreciation and amortization 164,707 223,586
Total operating expenses 5,693,716 9,664,122
Loss from continuing operations before other income (expense) and income taxes (3,852,185) (4,473,472)
Other income (expense):    
Other expense, net (128,043) (884,280)
Gain on bargain purchase 250,000
Change in fair value of derivative instruments (105,076)
Interest expense (2,890,260) (7,719,967)
Total other expense, net (3,018,303) (8,459,323)
Net loss from continuing operations before income taxes (6,870,488) (12,932,795)
Benefit from income taxes (1,118,485)
Net loss from continuing operations (5,752,003) (12,932,795)
Net loss from discontinued operations (39,775) (508,609)
Net loss (5,791,778) (13,441,404)
Deemed dividends from trigger of down round provision feature (123,861,587)
Net loss to common shareholders $ (5,791,778) $ (137,302,991)
Net loss per common share:    
Basic and diluted: continuing operations $ (0.00) $ (0.10)
Basic and diluted: discontinued operations (0.00) (0.00)
Total Basic and diluted $ (0.00) $ (0.10)
Weighted average number of common shares outstanding during the period:    
Basic and diluted 9,813,222,489 1,404,610,862

Source

v3.20.2
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)
3 Months Ended
Mar. 31, 2020
Mar. 31, 2019
Cash flows from operating activities:    
Net loss from continuing operations $ (5,752,003) $ (12,932,795)
Adjustments to reconcile net loss to net cash (used in) provided by operations:    
Depreciation and amortization 164,707 223,586
Stock-based compensation 8,650
Amortization of debt discount 18,433 3,458,021
Modification of warrants 4,056,424
Penalty for non-payment of debenture 595,440
Change in fair value of derivative instruments 105,076
Loss on sale of receivables to factor 305,400
Non-cash gain on assets (1,398)
Bargain purchase gain for Jellico Community Hospital and CarePlus Center (250,000)
Loss from discontinued operations (39,775) (508,609)
Changes in operating assets and liabilities:    
Accounts receivable 950,696 (1,059,478)
Inventory (36,420) 92,970
Prepaid expenses and other current assets (13,506) 59,074
Security deposits 50,000 69,784
Accounts payable and checks issued in excess of bank balance 569,245 3,013,045
Accrued expenses 2,708,902 1,723,743
Income tax assets and liabilities (1,118,485) (30,000)
Net cash used in operating activities of continuing operations (2,498,206) (1,071,067)
Net cash provided by operating activities of discontinued operations 26,943 185,942
Net cash used in operating activities (2,471,263) (885,125)
Cash flows from investing activities:    
Purchase of Jellico Community Hospital and CarePlus Center (658,537)
Purchase of property and equipment (42,317)
Net cash used in investing activities of continuing operations (700,854)
Net cash of investing activities of discontinued operations
Net cash used in investing activities (700,854)
Cash flows from financing activities:    
Proceeds from issuance of related party note payable and advances 3,094,953 1,373,788
Payments on related party note payable and advances (25,000) (660,000)
Proceeds from issuance of debentures 500,000
Payment of debentures (220,000)
Proceeds from issuance of note payable 1,077,116
Payments on notes payable (186,149) (5,513)
Proceeds from receivables sold to factor 570,000
Receivables paid to factor (1,073,854) (109,425)
Payments on right-of-use liabilities (50,194) (5,993)
Payments on capital lease obligations (100,707) (73,741)
Net cash provided by financing activities of continuing operations 2,516,165 1,589,116
Net cash financing activities of discontinued operations
Net cash provided by financing activities 2,516,165 1,589,116
Net increase in cash 44,902 3,137
Cash at beginning of period 16,933 6,870
Cash at end of period $ 61,835 $ 10,007

Source