Stryve Foods, Inc. reported significant financial developments in its latest 10-Q filing for the quarter ending September 30, 2024. The company achieved net sales of $5.7 million for the third quarter, marking an increase of $1.5 million (35.9%) compared to $4.2 million in the same period of 2023. For the nine months ended September 30, 2024, net sales reached $16.5 million, up $1.7 million (11.1%) from $14.8 million in the prior year.

Gross profit for the third quarter was $1.2 million, representing 21.7% of net sales, a notable improvement from $556,000 (13.3%) in Q3 2023. For the nine-month period, gross profit increased to $3.9 million (23.9% of net sales) from $2.6 million (17.3%) in the previous year. The cost of goods sold for the third quarter decreased to $4.5 million, down from $3.6 million in Q3 2023, while total operating expenses fell to $3.5 million from $4.2 million, contributing to a reduced operating loss of $2.3 million compared to $3.7 million in the prior year.

Despite these improvements, Stryve reported a net loss of $3.1 million for the third quarter, down from $4.8 million in Q3 2023. The nine-month net loss also decreased to $10.0 million from $13.7 million in the same period last year. The company’s loss per share improved to $(0.95) from $(2.14) year-over-year for the third quarter.

Stryve's financial position as of September 30, 2024, showed total assets of $31.5 million and total liabilities of $37.8 million, resulting in a stockholders' deficit of $6.4 million. The company reported a working capital deficit of $14.3 million, an increase from $7.4 million at the end of 2023. Cash and cash equivalents stood at $183,362, down from $226,475 a year earlier.

Strategically, Stryve has been focusing on cost reduction and operational efficiency as part of a three-phase transformation plan initiated by CEO Chris Boever. The company has also been actively managing its debt, with total indebtedness reported at $16.3 million. In November 2024, Stryve closed a public offering that generated approximately $2.9 million in gross proceeds, aimed at bolstering its financial position.

However, Stryve faces challenges, including a deficiency letter from Nasdaq regarding its stockholders' equity, which has led to a delisting determination. The company has requested a hearing to appeal this decision, emphasizing its intent to regain compliance through equity offerings.