Blue Star Foods Corp. reported its financial results for the third quarter and the nine months ended September 30, 2024, revealing significant changes in revenue, profitability, and strategic developments compared to the previous fiscal period.

For the third quarter of 2024, Blue Star Foods generated revenue of $884,283, a decrease of 43.4% from $1,561,679 in the same quarter of 2023. The decline in revenue was attributed to a decrease in poundage sold. The cost of goods sold also decreased to $887,850 from $1,586,478, leading to a gross loss of $3,567, an improvement from a gross loss of $24,799 in Q3 2023. For the nine months ended September 30, 2024, total revenue was $4,921,170, down 3.8% from $5,115,680 in the prior year. However, gross profit for this period increased to $461,712 from $340,578, indicating improved operational efficiency.

The company reported a net loss of $1,325,147 for the third quarter of 2024, compared to a net loss of $445,813 in Q3 2023. For the nine-month period, the net loss widened to $4,260,209 from $3,848,950 in the previous year. The increase in net loss was partly due to higher interest expenses, which rose to $1,645,492 from $1,470,143 year-over-year.

Strategically, Blue Star Foods has made several notable moves. The company entered into a 90-day Services Agreement with Afritex Ventures, Inc. on February 1, 2024, to manage operations and finance, with revenue from inventory sales benefiting Blue Star. However, the agreement expired on August 31, 2024, and the associated Option Agreement to purchase Afritex’s intangible assets was not exercised before its expiration.

The company also executed a one-for-fifty reverse stock split on May 20, 2024, to enhance its stock price. As of September 30, 2024, Blue Star Foods had total assets of $7,837,292, up from $6,362,498 at the end of 2023, while total liabilities decreased to $3,111,973 from $3,767,576. Total stockholders’ equity increased significantly to $4,725,319 from $2,594,922, reflecting a stronger capital position.

Cash and cash equivalents rose to $72,697 as of September 30, 2024, compared to $24,163 at the end of 2023. The company reported net cash used in operating activities of $4,285,630 for the nine months ended September 30, 2024, an increase from $3,112,126 in the same period of 2023. In contrast, cash provided by financing activities increased to $4,350,018 from $3,667,373 year-over-year, indicating a reliance on financing to support operations.