38 unchanged sentences
Our activities have evolved to a sales-focused mission since the successful completion of our BOTDA system in December 2020.
−Removed: Headquartered in New York, DarkPulse is a globally
−Removed: based technology company with presence in United Kingdom, India, Dubai, Russian Federation, Turkey, Azerbaijan, Iraq, Libya, Egypt, United
−Removed: States and Canada.
−Removed: In addition to the Company’s BOTDA systems, through a series of strategic acquisitions the Company offers the
−Removed: manufacture, sale, installation, and monitoring of laser sensing systems, O & G pipeline leak detection, physical security services,
−Removed: telecommunications and satellite communications services, drone and rover systems, and BDaaS.
+Added: Headquartered in Houston, DarkPulse is a globally-based
+Added: technology company with presence through its subsidiaries in the United Kingdom, India, Dubai, Abu Dhabi, Turkey, Azerbaijan, Iraq, Libya,
+Added: Egypt, Brazil, United States and Canada.
+Added: In addition to the Company’s BOTDA systems, through a series of strategic acquisitions
+Added: the Company offers the manufacture, sale, installation, and monitoring of laser sensing systems, oil and gas pipeline leak detection,
+Added: physical security services, telecommunications and satellite communications services, artificial intelligence-based camera systems, railway
+Added: monitoring services, drone and rover systems, and Big Data as a Service (“BDaaS”).
The Company is focused on expanding services
through acquisitions and partnerships to address global infrastructure and critical environmental resource challenges.
−Removed: DarkPulse offers
−Removed: a full suite of engineering and environmental solutions that provide safety and security infrastructure projects.
−Removed: The sensing and monitoring
−Removed: capabilities offered by DarkPulse and our subsidiary companies operate in the Air, Land, Sea.
−Removed: Our patented technology provides rapid,
−Removed: precise analysis to protect and safeguard oil and gas pipelines above or below ground, physical security countermeasures, mining operations,
−Removed: and other critical infrastructure / key resources subject to vulnerability or risk.
−Removed: Our patented Brillouin scattering distributed fiber
−Removed: sensing system is best in class.
−Removed: The Company is able to monitor areas in around critical infrastructure buried or above ground including
−Removed: pipelines 100km or more in length and/ or localized pipes as small as 8 CM DIA, detecting internal anomalies before catastrophic failure.
−Removed: We are developing an Intelligent Rock Bolt, to prevent causalities and fatalities in mining operations and include a real time sensor
−Removed: system that can detect the location & movement of personnel & equipment throughout a mining operation.
−Removed: We monitor airflow, air
−Removed: quality, temperature, seismic events, etc.
−Removed: Our sensors cover extended areas, protecting an area from intrusion by detecting events at
−Removed: any location along the sensing cable.
−Removed: Working safely every day is our first core value and employees at DarkPulse and our subsidiary companies
−Removed: are recognized experts in their fields, providing comprehensive services for all our clients' needs.
+Added: DarkPulse offers a full suite of engineering and
+Added: environmental solutions that provide safety and security infrastructure projects.
+Added: The sensing and monitoring capabilities offered by DarkPulse
+Added: and our subsidiary companies operate in the air, land, sea.
+Added: Our patented technology provides rapid, precise analysis to protect and safeguard
+Added: oil and gas pipelines above or below ground, physical security countermeasures, mining operations, and other critical infrastructure/key
+Added: resources subject to vulnerability or risk.
+Added: Our patented brillouin scattering distributed fiber sensing system is best in class.
+Added: is able to monitor areas in around critical infrastructure buried or above ground including pipelines 100km or more in length and/ or
+Added: localized pipes as small as eight CM DIA, detecting internal anomalies before catastrophic failure.
+Added: We are developing an intelligent rock
+Added: bolt to prevent causalities and fatalities in mining operations and include a real time sensor system that can detect the location and
+Added: movement of personnel and equipment throughout a mining operation.
+Added: We monitor airflow, air quality, temperature, seismic events, etc.
+Added: Our sensors cover extended areas, protecting an area from intrusion by detecting events at any location along the sensing cable.
+Added: safely every day is our first core value and employees at DarkPulse and our subsidiary companies are recognized experts in their fields,
+Added: providing comprehensive services for all our clients' needs.
Our Operating Units
−Removed: Our operating units consist of, Optilan, a company
−Removed: headquartered in Coventry, United Kingdom whose focus is in telecommunications, energy, rail, critical network infrastructure, pipeline
−Removed: integrity systems, renewables and security;
−Removed: Remote Intelligence, a company headquartered in Pennsylvania who provides unmanned aerial
−Removed: drone and UGC (unmanned ground crawler) services to a variety of clients from industrial mapping and ecosystem services, to search and
−Removed: rescue, to pipeline security;
−Removed: Wildlife Specialists, a company headquartered in Pennsylvania who provides clients with comprehensive wildlife
−Removed: and environmental assessment, planning, and monitoring services;
−Removed: TerraData Unmanned, a company headquartered in Florida who custom manufactures
−Removed: NDAA compliant drones and unmanned ground crawlers to meet the needs of its customers;
−Removed: and TJM West Electronics, a company headquartered
−Removed: in Arizona who is a U.S.
−Removed: manufacturer and test of advanced electronics, cables and sub-assemblies specializing in advanced package and
−Removed: complex CCA and hardware.
+Added: The Company’s operating units consist of,
+Added: Optilan, a company headquartered in Coventry, United Kingdom whose focus is in telecommunications, energy, rail, critical network infrastructure,
+Added: pipeline integrity systems, renewables and security;
+Added: Remote Intelligence, Limited Liability Company, a company headquartered in Pennsylvania
+Added: who provides unmanned aerial drone and unmanned ground crawler (UGC) services to a variety of clients from industrial mapping and ecosystem
+Added: services, to search and rescue, to pipeline security;
+Added: Wildlife Specialists, Limited Liability Company, a company headquartered in Pennsylvania
+Added: who provides clients with comprehensive wildlife and environmental assessment, planning, and monitoring services;
+Added: TerraData Unmanned,
+Added: PLLC, a company headquartered in Florida who custom manufactures NDAA compliant drones and unmanned ground crawlers to meet the needs
+Added: of its customers;
+Added: and TJM Electronics West, Inc., a company headquartered in Arizona who is a U.S.
+Added: manufacturer and tester of advanced
+Added: electronics, cables and sub-assemblies specializing in advanced package and complex CCA and hardware.
Recent Events
−Removed: On November 9, 2021,
−Removed: we entered an Equity Financing Agreement (the “ Equity Financing Agreement ”) and Registration Rights Agreement (the
−Removed: “ GHS Registration Rights Agreement ”) with GHS, pursuant to which GHS agreed to purchase up to $30,000,000 in shares
−Removed: of our Common Stock, from time to time over the course of 24 months (the “ Contract Period ”) after effectiveness of
−Removed: a registration statement on Form S-1 (the “ Registration Statement ”) of the underlying shares of Common Stock.
−Removed: The GHS Registration
−Removed: Rights Agreement provides that we shall (i) use our best efforts to file with the SEC a Registration Statement within 45 days of the date
−Removed: of the GHS Registration Rights Agreement;
−Removed: and (ii) have the Registration Statement declared effective by the SEC within 30 days after
−Removed: the date the GHS Registration Statement is filed with the SEC, but in no event more than 90 days after the GHS Registration Statement
+Added: On November 9, 2021, we entered an Equity Financing
+Added: Agreement (the “ Equity Financing Agreement ”) and Registration Rights Agreement (the “ GHS Registration Rights
+Added: Agreement ”) with GHS, pursuant to which GHS agreed to purchase up to $30,000,000 in shares of our Common Stock, from time to
+Added: time over the course of 24 months (the “ Contract Period ”) after effectiveness of a registration statement on Form S-1
+Added: (the “ Registration Statement ”) of the underlying shares of Common Stock.
+Added: The GHS Registration Rights Agreement provides
+Added: that we shall (i) use our best efforts to file with the SEC a Registration Statement within 45 days of the date of the GHS Registration
+Added: Rights Agreement;
+Added: and (ii) have the Registration Statement declared effective by the SEC within 30 days after the date the GHS Registration
+Added: Statement is filed with the SEC, but in no event more than 90 days after the GHS Registration Statement is filed.
Pursuant to the Equity Financing Agreement, on
47 unchanged sentences
corporate purposes.
+Added: Pursuant to the Equity Financing Agreement, on
+Added: May 13, 2022, we and GHS agreed that the Company would issue and sell to GHS, and GHS would purchase from us, 26,100,979 shares of Common
+Added: Stock for total proceeds to us, net of discounts, of $556,750, at an effective price of $0.0213306 per share (the “ Eighth EFA
+Added: We received approximately $500,050 in net proceeds from the Eighth EFA Closing after deducting the fees and other
+Added: estimated offering expenses payable by us.
+Added: We used the net proceeds from the Eighth EFA Closing for working capital and for general corporate
+Added: Pursuant to the Equity Financing Agreement, on
+Added: May 23, 2022, we and GHS agreed that the Company would issue and sell to GHS, and GHS would purchase from us, 25,025,540 shares of Common
+Added: Stock for total proceeds to us, net of discounts, of $556,750, at an effective price of $0.0222473 per share (the “ Ninth EFA
+Added: We received approximately $500,050 in net proceeds from the Ninth EFA Closing after deducting the fees and other
+Added: estimated offering expenses payable by us.
+Added: We used the net proceeds from the Ninth EFA Closing for working capital and for general corporate
+Added: Pursuant to the Equity Financing Agreement, on
+Added: June 1, 2022, we and GHS agreed that the Company would issue and sell to GHS, and GHS would purchase from us, 25,901,921 shares of Common
+Added: Stock for total proceeds to us, net of discounts, of $556,750, at an effective price of $0.02149454 per share (the “ Tenth EFA
+Added: We received approximately $500,050 in net proceeds from the Tenth EFA Closing after deducting the fees and other
+Added: estimated offering expenses payable by us.
+Added: We used the net proceeds from the Tenth EFA Closing for working capital and for general corporate
+Added: Pursuant to the Equity Financing Agreement, on
+Added: June 16, 2022, we and GHS agreed that the Company would issue and sell to GHS, and GHS would purchase from us, 23,799,766 shares of Common
+Added: Stock for total proceeds to us, net of discounts, of $402,086, at an effective price of $0.018584 per share (the “ Eleventh EFA
+Added: We received approximately $360,852 in net proceeds from the Eleventh EFA Closing after deducting the fees and other
+Added: estimated offering expenses payable by us.
+Added: We used the net proceeds from the Eleventh EFA Closing for working capital and for general
+Added: corporate purposes.
+Added: On May 27, we entered an Equity Financing Agreement
+Added: (the “ EFA ”) and Registration Rights Agreement (the “ RRA ”) with GHS, pursuant to which GHS agreed
+Added: to purchase up to $70,000,000 in shares of our Common Stock, from time to time over the course of 24 months after effectiveness of a registration
+Added: statement on Form S-1 (the “ Registration Statement ”) of the underlying shares of Common Stock.
+Added: The RRA provides that we shall (i) use our best
+Added: efforts to file with the SEC a Registration Statement within 45 days of the date of the GHS Registration Rights Agreement;
+Added: and (ii) have
+Added: the Registration Statement declared effective by the SEC within 30 days after the date the GHS Registration Statement is filed with the
+Added: SEC, but in no event more than 90 days after the GHS Registration Statement is filed.
+Added: Pursuant to the EFA, on June 24, 2022, we and
+Added: GHS agreed that the Company would issue and sell to GHS, and GHS would purchase from us, 38,391,106 shares of Common Stock for total proceeds
+Added: to us, net of discounts, of $643,539, at an effective price of $0.01978 per share (the “ 1 st EFA Closing ”).
+Added: We received approximately $578,160 in net proceeds from the 1 st EFA Closing after deducting the fees and other estimated offering
+Added: expenses payable by us.
+Added: We used the net proceeds from the 1 st EFA Closing for working capital and for general corporate purposes.
+Added: Pursuant to the EFA, on July 1, 2022, we and GHS
+Added: agreed that the Company would issue and sell to GHS, and GHS would purchase from us, 33,525,465 shares of Common Stock for total proceeds
+Added: to us, net of discounts, of $556,750, at an effective price of $0.019596 per share (the “ 2 nd EFA Closing ”).
+Added: We received approximately $500,050 in net proceeds from the 2 nd EFA Closing after deducting the fees and other estimated offering
+Added: expenses payable by us.
+Added: We used the net proceeds from the 2 nd EFA Closing for working capital and for general corporate purposes.
+Added: Pursuant to the EFA, on July 11, 2022, we and
+Added: GHS agreed that the Company would issue and sell to GHS, and GHS would purchase from us, 32,756,532 shares of Common Stock for total proceeds
+Added: to us, net of discounts, of $556,750, at an effective price of $0.01699661 per share (the “ 3 rd EFA Closing ”).
+Added: We received approximately $550,050 in net proceeds from the 3 rd EFA Closing after deducting the fees and other estimated offering
+Added: expenses payable by us.
+Added: We used the net proceeds from the 3 rd EFA Closing for working capital and for general corporate purposes.
+Added: Pursuant to the EFA, on July 20, 2022, we and
+Added: GHS agreed that the Company would issue and sell to GHS, and GHS would purchase from us, 29,386,519 shares of Common Stock for total proceeds
+Added: to us, net of discounts, of $556,750, at an effective price of $0.01894558 per share (the “ 4 th EFA Closing ”).
+Added: We received approximately $550,050 in net proceeds from the 4 th EFA Closing after deducting the fees and other estimated offering
+Added: expenses payable by us.
+Added: We used the net proceeds from the 4 th EFA Closing for working capital and for general corporate purposes.
+Added: Pursuant to the EFA, on July 28, 2022, we and
+Added: GHS agreed that the Company would issue and sell to GHS, and GHS would purchase from us, 35,884,040 shares of Common Stock for total proceeds
+Added: to us, net of discounts, of $556,750, at an effective price of $0.018308 per share (the “ 5 th EFA Closing ”).
+Added: We received approximately $500,050 in net proceeds from the 5 th EFA Closing after deducting the fees and other estimated offering
+Added: expenses payable by us.
+Added: We used the net proceeds from the 5 th EFA Closing for working capital and for general corporate purposes.
Going Concern Uncertainty
As shown in the accompanying financial statements,
−Removed: during the three months ended March 31, 2022, the Company reported a net loss of $5,384,270.
−Removed: As of March 31, 2022, the Company’s
−Removed: current liabilities exceeded its current assets by $7,610,707.
−Removed: As of March 31, 2022, the Company had $4,785,797 of cash.
+Added: during the six months ended June 30, 2022, the Company reported a net loss of $9,569,843.
+Added: As of June 30, 2022, the Company’s current
+Added: liabilities exceeded its current assets by $8,585,281.
+Added: As of June 30, 2022, the Company had $2,512,668 of cash.
We will require additional funding to finance
11 unchanged sentences
Results of Operations
−Removed: For the three months ended March 31, 2022, total
+Added: During previous years, the Company experienced
+Added: no revenue as it developed its technology.
+Added: More recently, we have experienced revenue derived from the acquisitions of our subsidiaries
+Added: from the 3 rd quarter of 2021 to the present.
+Added: The Company’s new revenues are derived from the following, among other things:
+Added: · promote adoption if our patented technology through agency and distribution agreements;
+Added: · cross-selling existing customer with products from other subsidiaries;
+Added: · provide a wide array of diverse services, including enhanced or additional services that may become available
+Added: in the future due to, among other things, advances in technology or improvements in our infrastructure;
+Added: · provide our premium services to a higher percentage of our customers;
+Added: · pursue acquisitions of additional assets, in each case if available at attractive prices;
+Added: · market our products and services to new customers.
+Added: While the Company recognizes revenue when its
+Added: customer obtains control of promised goods or services, in an amount that reflects the consideration which we expect to receive in exchange
+Added: for those goods or services, the Company also maintains multiple contracts for future material revenues, including part of framework contracts
+Added: that will be recognized during future reporting periods.
+Added: For the three months ended June 30, 2022, total
revenues were $4,435,043 compared to $0 for the same period in 2021, an increase of $4,435,043.
This increase primarily consisted of revenues
−Removed: of $1,856,961 from Optilan, $34,094 from Wildlife Specialists and $118,926 from TJM Electronics as well as $8,352 from the remaining subsidiaries.
+Added: of $4,061,981 from Optilan, $170,363 from Wildlife Specialists and $176,308 from TJM Electronics as well as $26,391 from the remaining
+Added: subsidiaries.
+Added: For the six months ended June 30, 2022, total revenues were $6,453,376
+Added: compared to $0 for the same period in 2021, an increase of $6,453,376.
+Added: This increase primarily consisted of revenues of $5,918,942 from
+Added: Optilan, $204,457 from Wildlife Specialists and $295,234 from TJM Electronics as well as $34,743 from the remaining subsidiaries.
Cost of Goods Sold and Gross Loss
−Removed: For the three months ended March 31, 2022, cost
+Added: For the three months ended June 30, 2022, cost
of goods sold were $3,965,910 compared to $0 for the same period in 2021, an increase of $3,965,910.
−Removed: Gross loss for the three months ended March 31,
−Removed: 2022 was $330,234 with a gross loss margin of (16.36)% compared to $0 for the same period in 2021 with no gross profit margin.
+Added: For the six months ended June 30, 2022, cost of
+Added: goods sold were $6,314,477 compared to $0 for the same period in 2021, an increase of $6,314,477.
+Added: Gross profit for the three months ended June 30,
+Added: 2022 was $469,133 with a gross profit margin of 10.58% compared to $0 for the same period in 2021 with no gross profit margin.
+Added: Gross loss for the six months ended June 30, 2022
+Added: was $138,899 with a gross profit margin of 2.15% compared to $0 for the same period in 2021 with no gross profit margin.
Operating Expenses
Selling, general and administrative expenses for
−Removed: three months ended March 31, 2022 increased by $948,520, or 3,195%, to $978,208 from $29,688 for the three months ended March 31, 2021.
+Added: three months ended June 30, 2022 increased by $1,007,239, or 1,058%, to $1,102,404 from $95,165 for the three months ended June 30, 2021.
The increase primarily consisted of an increase to the operations from our various acquisitions.
+Added: Selling, general and administrative expenses for
+Added: six months ended June 30, 2022 increased by $1,955,760, or 1,566%, to $2,080,613 from $124,853 for the six months ended June 30, 2021.
+Added: The increase primarily consisted of an increase to the operations from our various acquisitions.
Payroll related expenses for three months ended
−Removed: March 31, 2022, increased to $1,972,067 from $0 for the three months ended March 31, 2021.
+Added: June 30, 2022, increased to $1,376,176 from $0 for the three months ended June 30, 2021.
The increase primarily consisted of an increase
to the numbers of employees inherited from our various acquisitions.
−Removed: Professional fees for the three months ended March
−Removed: 31, 2022, increased by $1,463,749 to $1,538,103 from $74,354 for the three months ended March 31, 2021.
+Added: Payroll related expenses for six months ended
+Added: June 30, 2022, increased to $3,348,244 from $0 for the six months ended June 30, 2021.
+Added: The increase primarily consisted of an increase
+Added: to the numbers of employees inherited from our various acquisitions.
+Added: Professional fees for the three months ended June
+Added: 30, 2022, increased by $1,333,980 to $1,480,599 from $146,619 for the three months ended June 30, 2021.
This increase primarily consisted
of increased legal expenditures associated with the increase in litigation.
+Added: Professional fees for the six months ended June
+Added: 30, 2022, increased by $2,797,730 to $3,018,702 from $220,972 for the six months ended June 30, 2021.
+Added: This increase primarily consisted
+Added: of increased legal expenditures associated with the increase in litigation.
Depreciation and amortization for three months
−Removed: ended March 31, 2022, increased by $215,857 to $228,614 from $12,757 for the three months ended March 31, 2021.
−Removed: This increase is primarily
−Removed: due to the increase in depreciable assets we acquired from new acquisitions.
+Added: ended June 30, 2022, decreased by $5,352 to $7,405 from $12,757 for the three months ended June 30, 2021.
+Added: This decrease is primarily due
+Added: to the change in the exchange rate used to calculate the depreciable assets we acquired from new acquisitions in other countries.
+Added: Depreciation and amortization for six months ended
+Added: June 30, 2022, increased by $210,505 to $236,019 from $25,514 for the six months ended June 30, 2021.
+Added: This increase is primarily due to
+Added: the increase in depreciable assets we acquired from new acquisitions.
Other Income (Expense)
−Removed: For the three months ended March 31, 2022, we
+Added: For the three months ended June 30, 2022, we had
+Added: other expense of $688,121 compared to other income of $178,134 for the same period in 2021, an increase in expense of $866,255.
+Added: This increase
+Added: in other income primarily consisted of changes of $501,431 of restructuring costs, $316,391 decrease in the fair value of the Company’s
+Added: derivative instruments, $227,887 of loss on foreign currency exchange rate variance, and a decrease in interest expense of $318,069 due
+Added: to changes in borrowings associated with acquisitions.
+Added: For the six months ended June 30, 2022, we
had other expense of $1,025,164 compared to other income of $285,808 for the same period in 2021, an increase in expense of
−Removed: increase in other income primarily consisted of changes of $35,750 of gain related to the extinguishment of debt, $156,051 increase in
−Removed: the fair value of the Company’s derivative instruments, $19,853 of gain on foreign currency exchange rate variance, an increase
−Removed: in interest expense of $486,092 due to increased borrowings associated with acquisitions.
+Added: This increase in other income primarily consisted of changes of $501,431 of restructuring costs, $160,340 decrease in
+Added: the fair value of the Company’s derivative instruments, $208,033 of loss on foreign currency exchange rate variance, an
+Added: increase in interest expense of $132,272 due to changes in borrowings associated with acquisitions.
As a result of the above, we reported a net loss
−Removed: of $5,384,270 and $51,874 for the three months ended March 31, 2022 and 2021, respectively.
+Added: of $4,185,572 and $185,607 for the three months ended June 30, 2022 and 2021, respectively.
+Added: As a result of the above, we reported a net loss
+Added: of $9,569,843 and $237,481 for the six months ended June 30, 2022 and 2021, respectively.
Liquidity and Capital Resources
2 unchanged sentences
During the three months
−Removed: ended March 31, 2022, we had $7,700,000 in new cash proceeds compared to the three months ended March 31, 2021, when we had $212,750 in
−Removed: new cash proceeds.
−Removed: As of March 31, 2022, we had cash of $4,785,797,
−Removed: compared to $50,714 as of March 31, 2021.
+Added: ended June 30, 2022, we had $12,415,875 in new cash proceeds compared to the three months ended June 30, 2021, when we had $1,102,700
+Added: in new cash proceeds.
+Added: As of June 30, 2022, we had cash of $2,512,668,
+Added: compared to $148,562 as of June 30, 2021.
We currently do not have sufficient cash to fund our operations for the next 12 months and we
7 unchanged sentences
capital to fund operations through the issuances of convertible notes or obtained through the issuance of our restricted common stock.
−Removed: As of March 31, 2022, our current liabilities exceeded our current assets by $7,610,707.
+Added: As of June 30, 2022, our current liabilities exceeded our current assets by $8,585,281.
+Added: Several of our significant operating subsidiaries
+Added: have borrowed funds from DarkPulse.
+Added: The terms of the instruments governing the indebtedness of these borrowers or borrowing groups may
+Added: restrict our ability to access their accumulated cash.
+Added: In addition, our ability to access the liquidity of these and other subsidiaries
+Added: may be limited by tax, legal and other considerations.
+Added: Our executive officers and our Board of Directors
+Added: review our sources and potential uses of cash in connection with our annual budgeting process and whenever circumstances warrant.
+Added: speaking, our principal funding source is cash from financing activities, and our principal cash requirements include loans to our operating
+Added: subsidiaries, operating expenses, and capital expenditures,
+Added: For the remaining 12 month period ending June
+Added: 30, 2023, we project that our subsidiaries will begin to operate with their own operating activities and reduce their dependency on the
+Added: financing activities of DarkPulse.
+Added: For additional information, see "Risk Factors—Financial
+Added: Risks" in Item 1A of Part I of our Annual Report on Form 10-K for the year ended December 31, 2021.
Cash Flows From Operating Activities
−Removed: During the three months ended March 31, 2022,
−Removed: net cash used by operating activities was $6,288,504, resulting from our net loss of $5,384,270 and an increase in expenses related to
−Removed: our convertible notes payables, including increase in inventory of $1,017,178 and operating lease liabilities of $440,171.
−Removed: These increases
−Removed: were offset by a decrease in derivative liability of $125,107, decrease in accounts payable and accrued expenses of $355,398 and an increase
−Removed: from the gain on the extinguishment of debt of $35,750, increase in accounts receivable of $2,523,210, decrease in unbilled revenue of
−Removed: $255,622 and increase in contract liability of $1,451,343.
−Removed: By comparison, during the three months ended March
+Added: During the six months ended June 30, 2022, net
+Added: cash used by operating activities was $12,565,057, resulting from our net loss of $9,569,843 and an increase in expenses related to our
+Added: convertible notes payables, including increase in inventory of $805,960 and operating lease liabilities of $315,285.
+Added: These increases were
+Added: offset by a decrease in derivative liability of $167,156, decrease in accounts payable and accrued expenses of $3,120,422 and an increase
+Added: from restructuring costs of $465,681, decrease in accounts receivable of $550,803, increase in unbilled revenue of $218,371 and increase
+Added: in contract liability of $1,264,350.
+Added: By comparison, during the six months ended June
30, 2021, net cash used by operating activities was $712,611, resulting from our net loss of $237,481 partially offset by non-cash expenses
−Removed: totaling $126,580 and increases in accounts payable and accrued liabilities of $17,281.
+Added: totaling $361,545 and decreases in accounts payable and accrued liabilities of $113,585.
Cash Flows From Investing Activities
−Removed: During the three months ended March 31, 2022,
−Removed: we had net cash used in investing activities of $64,980.
−Removed: During the three months ended March 31, 2021, net cash used by investing activities
−Removed: was $1,200, of capitalized patents costs of $1,200.
+Added: During the six months ended June 30, 2022, we
+Added: had net cash used in investing activities of $503,409.
+Added: During the six months ended June 30, 2021, net cash used by investing activities
Cash Flows From Financing Activities
−Removed: During the three months ended March 31, 2022,
−Removed: net cash provided by financing activities was $7,700,000 which was comprised of proceeds from the sale of common stock from offering of
−Removed: During the three months ended March 31, 2021, net cash used by financing activities was $212,750, which was comprised of proceeds
−Removed: from issuance of convertible notes payable of $212,750.
+Added: During the six months ended June 30, 2022, net
+Added: cash provided by financing activities was $12,415,875 which was comprised of proceeds from the sale of common stock from offering of $12,415,875.
+Added: During the six months ended June 30, 2021, net cash used by financing activities was $952,700, which was comprised of proceeds from issuance
+Added: of convertible notes payable of $1,102,700 less repayment of notes payable of $150,000.
Factors That May Affect Future Results
26 unchanged sentences
Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.