WEED, Inc. reported significant financial challenges in its unaudited quarterly results for the period ending September 30, 2024. The company experienced a net loss of $95,887 for the three months ended September 30, 2024, a stark contrast to a net income of $734,248 for the same period in 2023, marking a decrease of $830,135. For the nine months ended September 30, 2024, the net loss totaled $377,492, compared to a net income of $363,791 for the same period in 2023.

Total operating expenses for the three months ended September 30, 2024, were $92,649, significantly reduced from $238,824 in the prior year. General and administrative expenses increased to $64,833 from $25,355, while professional fees decreased to $22,195 from $205,134. The comprehensive loss for the three months was $(96,044), compared to a comprehensive income of $735,612 in the previous year.

The company's financial position deteriorated, with total current assets dropping to $39,381 as of September 30, 2024, down from $319,886 at the end of 2023. Total assets also decreased to $596,818 from $904,062. Current liabilities increased to $685,045 from $648,753, contributing to a total stockholders’ equity of $(88,227), down from $255,309.

Cash flow issues were evident, with net cash used in operating activities for the nine months ending September 30, 2024, at $(279,154), a decrease from $(734,202) in the same period of 2023. Cash at the end of the period was $5,311, a significant decline from $643,702 a year earlier.

The company has not generated any revenue for the periods ended September 30, 2024, and 2023, and has adopted the revenue recognition standard ASU 2014-09 (Topic 606) without any cumulative-effect adjustment due to the absence of historical revenue.

Strategically, WEED, Inc. continues to focus on its core business of cannabis and hemp cultivation, product development, and processing. The company has made several acquisitions, including Sangre AT, LLC and Hempirical Genetics, LLC, to enhance its capabilities in plant genomic research and breeding. However, the company has faced operational challenges, including a significant reduction in advertising and promotion costs, which fell to $136 from $2,911 in the previous year.

The company’s accumulated deficit reached $84,770,055 as of September 30, 2024, indicating ongoing financial struggles. The management has acknowledged deficiencies in its disclosure controls and procedures, which remain ineffective as of the reporting date.