Marvion Inc. reported significant financial developments in its latest 10-Q filing for the period ending September 30, 2024. The company, which operates as a holding entity with subsidiaries in Hong Kong and Singapore, experienced a substantial increase in revenue, driven primarily by its new logistics and warehousing services. For the three months ended September 30, 2024, revenues reached $390,275, marking an 83.66% increase from $212,502 in the same period of 2023. For the nine-month period, revenues surged to $1,019,593, a 151% increase from $406,607 in the prior year.

The gross profit for the third quarter of 2024 was $196,384, up from $123,609 in the same quarter of 2023. However, the company reported a loss from operations of $(377,054) for the third quarter, compared to a profit of $65,872 in the same period last year. The net loss for the third quarter was $(378,973), a stark contrast to the net income of $46,093 reported in Q3 2023. For the nine months ended September 30, 2024, the net loss was $(264,484), compared to a net income of $60,855 in the same period of 2023.

The increase in revenues was attributed to the introduction of logistics and warehousing services, which accounted for $468,142 in revenue for the nine months ended September 30, 2024. Conversely, financial consulting income decreased significantly to $148,222 from $372,066 in the same period of 2023.

Marvion's total assets as of September 30, 2024, were $3,707,696, up from $3,204,656 at the end of 2023. However, total liabilities ballooned to $9,902,290 from $3,289,512, resulting in a shareholders' deficit of $(6,194,594) compared to $(84,856) at the end of the previous fiscal year.

Strategically, Marvion completed a significant acquisition on August 15, 2024, acquiring United Warehouse Management Corp. (UWMC) in a reverse merger transaction. This acquisition has shifted the company's focus towards logistics and warehousing, moving away from its previous lifestyle, media, entertainment, and technology sectors. The company plans to expand its logistics and warehousing businesses through B2B opportunities and is also exploring a B2C online furniture platform.

The company continues to face cash flow risks, particularly due to reliance on dividends from its Hong Kong subsidiary, which may be affected by PRC regulations. Marvion does not anticipate paying dividends in the foreseeable future and is focused on retaining earnings for business operations and expansion.