Schedule of Previously Issued Interim Financial Statements |
The following tables sets forth the effects of the
adjustments on affected items within the Company’s previously reported Condensed Consolidated and Combined Interim Balance Sheets
as of March 31, 2020, June 30, 2020, and September 30, 2020, had the adjustments been made in the corresponding quarters:
|
|
March 31, 2020 |
|
|
|
As reported |
|
|
Adjustment |
|
|
As restated |
|
Operating lease assets |
|
$ |
11,256,497 |
|
|
$ |
(216,681 |
) |
|
$ |
11,039,816 |
|
Long-term operating lease liabilities |
|
$ |
14,064,517 |
|
|
$ |
(440,998 |
) |
|
$ |
13,623,519 |
|
Accumulated deficit |
|
$ |
(77,343,539 |
) |
|
$ |
149,955 |
|
|
$ |
(77,193,584 |
) |
Non-controlling interests |
|
$ |
584,824 |
|
|
$ |
74,362 |
|
|
$ |
659,186 |
|
|
|
June 30, 2020 |
|
|
|
As reported |
|
|
Adjustment |
|
|
As restated |
|
Operating lease assets |
|
$ |
11,007,038 |
|
|
$ |
(98,944 |
) |
|
$ |
10,908,094 |
|
Long-term operating lease liabilities |
|
$ |
13,832,826 |
|
|
$ |
(458,154 |
) |
|
$ |
13,374,672 |
|
Accumulated deficit |
|
$ |
(85,658,825 |
) |
|
$ |
284,848 |
|
|
$ |
(85,373,977 |
) |
Non-controlling interests |
|
$ |
(310,801 |
) |
|
$ |
74,362 |
|
|
$ |
(236,439 |
) |
|
|
September 30, 2020 |
|
|
|
As reported |
|
|
Adjustment |
|
|
As restated |
|
Operating lease assets |
|
$ |
10,117,900 |
|
|
$ |
- |
|
|
$ |
10,117,900 |
|
Derivative liabilities |
|
$ |
1,195,724 |
|
|
$ |
(694,724 |
) |
|
$ |
501,000 |
|
Long-term operating lease liabilities |
|
$ |
15,115,651 |
|
|
$ |
(479,855 |
) |
|
$ |
14,635,796 |
|
Accumulated deficit |
|
$ |
(95,208,526 |
) |
|
$ |
1,048,450 |
|
|
$ |
(94,160,076 |
) |
Non-controlling interests |
|
$ |
(764,097 |
) |
|
$ |
126,129 |
|
|
$ |
(637,968 |
) |
The following tables sets forth the effects of the
adjustments on affected items within the Company’s previously reported Condensed Consolidated and Combined Interim Statements of
Operations for the three months ended March 31, 2020, June 30, 2020, and September 30, 2020:
|
|
Three Months Ended March 31, 2020 |
|
|
|
As reported |
|
|
Adjustment |
|
|
As restated |
|
Restaurant operating expenses |
|
$ |
3,625,844 |
|
|
$ |
- |
|
|
$ |
3,625,844 |
|
Asset impairment charge |
|
$ |
- |
|
|
$ |
- |
|
|
$ |
- |
|
Operating loss |
|
$ |
(1,354,090 |
) |
|
$ |
- |
|
|
$ |
(1,354,090 |
) |
Other income (expense) |
|
$ |
17,876 |
|
|
$ |
224,317 |
|
|
$ |
242,193 |
|
Consolidated and combined net loss |
|
$ |
(1,792,526 |
) |
|
$ |
224,317 |
|
|
$ |
(1,568,209 |
) |
Net income attributable to non-controlling interests |
|
$ |
(129,043 |
) |
|
$ |
(74,362 |
) |
|
$ |
(203,405 |
) |
Net loss attributable to Amergent Hospitality Group Inc |
|
$ |
(1,921,569 |
) |
|
$ |
149,955 |
|
|
$ |
(1,771,614 |
) |
Net loss per common share, basic and diluted |
|
$ |
(0.16 |
) |
|
$ |
0.01 |
|
|
$ |
(0.15 |
) |
|
|
Three Months Ended June 30, 2020 |
|
|
|
As reported |
|
|
Adjustment |
|
|
As restated |
|
Restaurant operating expenses |
|
$ |
3,261,393 |
|
|
$ |
(13,436 |
) |
|
$ |
3,247,957 |
|
Asset impairment charge |
|
$ |
273,927 |
|
|
$ |
(121,457 |
) |
|
$ |
152,470 |
|
Operating loss |
|
$ |
(2,655,587 |
) |
|
$ |
134,893 |
|
|
$ |
(2,520,694 |
) |
Other income (expense) |
|
$ |
(70,748 |
) |
|
$ |
- |
|
|
$ |
(70,748 |
) |
Consolidated and combined net loss |
|
$ |
(9,210,911 |
) |
|
$ |
134,893 |
|
|
$ |
(9,076,018 |
) |
Net loss attributable to non-controlling interests |
|
$ |
89,716 |
|
|
$ |
- |
|
|
$ |
89,716 |
|
Net loss attributable to Amergent Hospitality Group Inc |
|
$ |
(9,121,195 |
) |
|
$ |
134,893 |
|
|
$ |
(8,986,302 |
) |
Net loss per common share, basic and diluted |
|
$ |
(0.64 |
) |
|
$ |
0.01 |
|
|
$ |
(0.63 |
) |
|
|
Three Months Ended September 30, 2020 |
|
|
|
As reported |
|
|
Adjustment |
|
|
As restated |
|
Restaurant operating expenses |
|
$ |
3,462,279 |
|
|
$ |
(13,436 |
) |
|
$ |
3,448,843 |
|
Asset impairment charge |
|
$ |
1,231,352 |
|
|
$ |
(95,223 |
) |
|
$ |
1,136,129 |
|
Operating loss |
|
$ |
(3,024,319 |
) |
|
$ |
108,659 |
|
|
$ |
(2,915,660 |
) |
Change in fair value of derivative liabilities |
|
$ |
(199,154 |
) |
|
$ |
694,724 |
|
|
$ |
495,570 |
|
Other income (expense) |
|
$ |
(37,390 |
) |
|
$ |
11,986 |
|
|
$ |
(25,404 |
) |
Consolidated and combined net loss |
|
$ |
(10,002,997 |
) |
|
$ |
815,369 |
|
|
$ |
(9,187,628 |
) |
Net loss attributable to non-controlling interests |
|
$ |
453,296 |
|
|
$ |
(51,767 |
) |
|
$ |
401,529 |
|
Net loss attributable to Amergent Hospitality Group Inc |
|
$ |
(9,549,701 |
) |
|
$ |
763,602 |
|
|
$ |
(8,786,099 |
) |
Net loss per common share, basic and diluted |
|
$ |
(0.67 |
) |
|
$ |
0.05 |
|
|
$ |
(0.62 |
) |
The following tables sets forth the effects of the
adjustments on affected items within the Company’s previously reported Condensed Consolidated and Combined Interim Statements of
Operations for the six months ended June 30, 2020 and nine months ended September 30, 2020:
|
|
Six Months Ended June 30, 2020 |
|
|
|
As reported |
|
|
Adjustment |
|
|
As restated |
|
Restaurant operating expenses |
|
$ |
6,887,237 |
|
|
$ |
(13,436 |
) |
|
$ |
6,873,801 |
|
Asset impairment charge |
|
$ |
273,927 |
|
|
$ |
(121,457 |
) |
|
$ |
152,470 |
|
Operating loss |
|
$ |
(4,009,677 |
) |
|
$ |
134.893 |
|
|
$ |
(3,874,784 |
) |
Other income (expense) |
|
$ |
(48,009 |
) |
|
$ |
224,317 |
|
|
$ |
176,308 |
|
Consolidated and combined net loss |
|
$ |
(11,003,437 |
) |
|
$ |
359,210 |
|
|
$ |
(10,644,227 |
) |
Net income attributable to non-controlling interests |
|
$ |
(39,327 |
) |
|
$ |
(74,362 |
) |
|
$ |
(113,689 |
) |
Net loss attributable to Amergent Hospitality Group Inc |
|
$ |
(11,042,764 |
) |
|
$ |
284,848 |
|
|
$ |
(10,757,916 |
) |
Net loss per common share, basic and diluted |
|
$ |
(0.85 |
) |
|
$ |
0.03 |
|
|
$ |
(0.82 |
) |
|
|
Nine Months Ended September 30, 2020 |
|
|
|
As reported |
|
|
Adjustment |
|
|
As restated |
|
Restaurant operating expenses |
|
$ |
10,349,516 |
|
|
$ |
(26,872 |
) |
|
$ |
10,322,644 |
|
Asset impairment charge |
|
$ |
1,505,279 |
|
|
$ |
(216,680 |
) |
|
$ |
1,288,599 |
|
Operating loss |
|
$ |
(7,033,996 |
) |
|
$ |
243,552 |
|
|
$ |
(6,790,444 |
) |
Change in fair value of derivative liabilities |
|
$ |
(1,152,185 |
) |
|
$ |
694,724 |
|
|
$ |
(457,461 |
) |
Other income (expense) |
|
$ |
(85,399 |
) |
|
$ |
236,303 |
|
|
$ |
150,904 |
|
Consolidated and combined net loss |
|
$ |
(21,006,434 |
) |
|
$ |
1,174,579 |
|
|
$ |
(19,831,855 |
) |
Net loss attributable to non-controlling interests |
|
$ |
413,969 |
|
|
$ |
(126,129 |
) |
|
$ |
287,840 |
|
Net loss attributable to Amergent Hospitality Group Inc |
|
$ |
(20,592,465 |
) |
|
$ |
1,048,450 |
|
|
$ |
(19,544,015 |
) |
Net loss per common share, basic and diluted |
|
$ |
(1.53 |
) |
|
$ |
0.08 |
|
|
$ |
(1.45 |
) |
|