Amergent Hospitality Group, Inc. Quarterly report pursuant to Section 13 or 15(d)

RESTATEMENT OF PREVIOUSLY ISSUED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

RESTATEMENT OF PREVIOUSLY ISSUED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

3 Months Ended

Mar. 31, 2022

Organization, Consolidation and Presentation of Financial Statements [Abstract]

RESTATEMENT OF PREVIOUSLY ISSUED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

12. RESTATEMENT OF PREVIOUSLY ISSUED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

The Company, while undergoing the audit of its consolidated financial statements as of December 31, 2021 and for the year then ended, determined that it had over-depreciated certain assets. This impacted the previously reported amounts for property and equipment and depreciation and amortization, among other line items, in the condensed consolidated interim financial statements.

The following table sets forth the effects of the adjustment on affected items within the Company’s previously reported Condensed Consolidated Balance Sheet:

(in thousands)	As reported			Adjustment		As restated
	March 31, 2021
(in thousands)	As reported			Adjustment		As restated
Property and equipment, net	$	3,172		$	136	$	3,308
Accumulated deficit	$	(97,136	)	$	136	$	(97,000	)

The following table sets forth the effects of the adjustment on affected items within the Company’s previously reported Condensed Consolidated Statement of Operations:

	As reported			Adjustment			As restated
	Three months ended March 31, 2021
	As reported			Adjustment			As restated
Depreciation and amortization	$	368		$	(136	)	$	232
Operating (loss) income	$	(2,790	)	$	136		$	(2,654	)
Consolidated net (loss) income	$	(2,713	)	$	136		$	(2,577	)
Net (loss) income attributable to Amergent Hospitality Group Inc.	$	(2,548	)	$	136		$	(2,412	)
Net (loss) income attributable to Amergent Hospitality Group Inc. per common share, basic and diluted	$	(0.18	)	$	0.01		$	(0.17	)