What changed in this filing

/stocks — the workspaceLOADING

Item 2. Management’s Discussion and Analysis

2023-08-21 compared with 2023-05-04 · 83 added, 55 removed, 79 unchanged (64% of the section changed)

31 unchanged sentences

We are in the business of operating mobile fueling trucks and are headquartered

in Aventura, Florida.

EzFill provides its customers the ability to have fuel delivered to their vehicles (cars, boats, trucks) without

leaving their home or office and to construction sites, generators, and reserve tanks.

in Miami, Florida.

EzFill provides its customers the ability to have fuel delivered to their vehicles (cars, boats, trucks) without leaving

their home or office and to construction sites, generators and reserve tanks.

mobile fueling solution gives our fleet, consumer and other customers the ability to fuel their vehicles with the touch of an app or

regularly scheduled service, and without the inconvenience of going to the gas station.

On April 27, 2023, the Company executed a 1-for-8 reverse stock split and

decreased the number of shares of its authorized common stock from 500,000,000 shares to 50,000,000 and its preferred stock from 50,000,000

to 5,000,000.

Refer to Note 11 to the financial statements for details of the reverse stock split.

As a result, all share activity has

been restated as if the reverse stock split had been consummated as of the beginning of the respective period.

April 27, 2023, the Company executed a 1-for-8 reverse stock split and decreased the number of shares of its authorized common stock

from 500,000,000 shares to 50,000,000 and its preferred stock from 50,000,000 to 5,000,000.

As a result, all share activity has been

restated as if the reverse stock split had been consummated as of the beginning of the respective period.

of Operations

following table sets forth our results of operations for the three months ended March 31, 2023, and 2022:

Three Months Ended

following table sets forth our results of operations for the three and six months ended June 30, 2023 and 2022:

Cost of sales

5 unchanged sentences

$ (3,872,670 )

$ (4,817,582 )

$ (7,139,180 )

Financial Measures

10 unchanged sentences

underlying performance and distort comparability.

following is a reconciliation of net loss to the non-GAAP financial measure referred to as Adjusted EBITDA for the three months ended

March 31, 2023, and 2022:

Three Months Ended

following is a reconciliation of net loss to the non-GAAP financial measure referred to as Adjusted EBITDA for the three and six months

ended June 30, 2023 and 2022:

$ (2,468,811 )

$ (3,872,670 )

Interest and other income (expense), net

$ (4,817,582 )

$ (7,139,180 )

Interest expense

Depreciation and amortization

3 unchanged sentences

$ (3,005,630 )

$ (3,387,841 )

$ (5,497,038 )

Gallons delivered

months ended March 31, 2023, compared to the three months ended March 31, 2022

generated revenues of $5,231,334 for the three months ended March 31, 2023, compared to $2,340,068 for the prior year, an increase

of $2,891,266 or 124%.

Average fuel margin per gallon

months ended June 30, 2023, compared to the three months ended June 30, 2022

generated revenues of $6,130,661 for the three months ended June 30, 2023, compared to $3,754,431 for the prior year, an increase of

$2,376,230 or 63%.

This increase is primarily due to a 51% increase in gallons delivered and an increase in fees.

additional gallons were in existing as well as new markets.

of sales was $5,068,783 for the three months ended March 31, 2023, compared to $2,324,160 for the prior year.

The $2,744,623 or 118%

increase in cost of sales is due to the increase in sales as well as the hiring of additional drivers, primarily in new markets.

gross profit improved year over year due to higher fuel revenue as well as increased delivery fees and driver efficiency.

incurred operating expenses of $2,196,646 during the three months ended March 31, 2023, compared to $2,948,000 during the prior year,

The additional gallons

were in existing as well as new markets.

of sales was $5,646,291 for the three months ended June 30, 2023, compared to $3,755,861 for the prior year.

The $1,708,430 or 45% increase

in cost of sales is due to the increase in sales as well as the hiring of additional drivers, primarily in new markets.

Our gross profit

improved year over year due to higher fuel revenues as well as increased delivery fees and driver efficiency.

incurred operating expenses of $2,369,026 during the three months ended June 30, 2023, compared to $3,406,263 during the prior year,

a decrease of $1,037,236 or 30%.

This decrease was primarily due to decreases in payroll, stock compensation, marketing, and public company

This decrease was primarily due to decreases in payroll, stock based compensation, marketing and public

company expenses.

and Amortization

3 unchanged sentences

expense increased in the current year due to increased borrowing for truck purchases during 2022.

months ended June 30, 2023 compared to the six months ended June 30, 2022

generated revenues of $11,361,995 for the six months ended June 30, 2023, compared to $6,094,499 for the prior year, an increase of 5,267,496

This increase is primarily due to a 53% increase in gallons delivered and an increase in fees.

The additional gallons were in

existing as well as new markets.

of sales was $10,715,074 for the six months ended June 30, 2023, compared to $6,080,021 for the prior year.

The $4,635,053 or 76% increase

in cost of sales is mainly due to due to the increase in sales as well as the hiring of additional drivers, primarily in new markets.

Our gross profit improved year over year due to higher fuel revenues as well as increased delivery fees and driver efficiency.

incurred operating expenses of $4,565,672 during the six months ended June 30, 2023, as compared to $6,354,262 during the prior year,

a decrease of $1,788,590 or 28%.

This decrease was primarily due to decreases in payroll, stock based compensation, marketing and public

company expenses.

and Amortization

increased in the current year as a result of the increase in the fleet of delivery vehicles.

decreased in the current year as a result of the impairment of goodwill and other intangible assets recorded in the fourth quarter of

Income (Expense)

expense increased in the current year due to increased borrowing for truck purchases during 2022.

and Capital Resources

Flow Activities

of March 31, 2023, we had $1,483,060 million in cash and investments compared to approximately $4,186,875 at December 31, 2022.

cash used in operating activities was $2,513,424 for the three months ended March 31, 2023, which was made up primarily by the net loss

of $2,348,771 and offset by non-cash adjustments as well as changes in operating assets and liabilities for a net amount of $164,653.

Net cash used in operating activities was $2,329,978 for the three months ended March 31, 2022,

which was made up primarily by the net loss and offset by non-cash adjustments for a net amount of $936,532.

the three months ended March 31, 2023, and 2022, we used $0 and $1,271,548, respectively, for the acquisition of fixed assets, primarily

trucks used for delivery of fuel to our customers.

During the three months ended March 31, 2023, cash provided by investing activities

$1,150,928 was the result of maturity and sale of debt securities.

the three months ended March 31, 2023, we made loan principal repayments of $199,723and received proceeds from the issuance of common

stock from the ATM of $25,308 and recorded related expenses of $25,301.

We generated $933,283 of cash flows from financing activities

during the three months ended March 31, 2022, including $152,500 borrowings under our bank line of credit and $893,928 in new loans for

truck purchases, less principal repayments of $113,145.

of June 30, 2023, we had approximately $1,359,333 in cash and investments compared to approximately $4,186,875 at December 31, 2022.

cash used in operating activities was $3,898,769 for the six months ended June 30, 2023, which was made up primarily by the net loss

of $4,817,582 and offset by non-cash adjustments for a net amount of $918,813.

Net cash used in operating activities was $6,028,287 during

the prior year, which was made up primarily by the net loss of $7,139,180 and offset by non-cash adjustments for a net amount of $1,110,893.

the six months ended June 30, 2023 net cash provided by investing activities was $2,149,614.

The cash provided was the result of maturity

and sale of debt securities.

Net cash used by investing activities during the six months ended June 30, 2022 was $2,840,239 primarily

the result of the acquisition of fixed assets, primarily trucks used for delivery of fuel to our customers.

generated $1,041,698 of cash flows from financing activities during the six months ended June 30, 2023, including $1,460,000 in new loans

for truck purchases, $250,000 loan from a related party, less principal repayments of $638,302 and received proceeds from the issuance

of common stock from the ATM of $25,308 and recorded related expenses of $25,308.

We generated $2,702,152 of cash flows from financing

activities during the six months ended June 30, 2022, including $850,000 borrowings under our bank line of credit and $2,118,840 in new

loans for truck purchases, less principal repayments of $266,688.

Company has sustained net losses since inception and does not have sufficient revenues and income to fully fund the operations.

result, the Company has relied on equity and debt financings to fund its activities to date.

For the quarter ended March 31, 2023, the

Company had a net loss of $2,348,771.

At March 31, 2023, the Company had an accumulated deficit of $37,193,932.

For the six months ended June 30, 2023,

the Company had a net loss of $4,817,582.

At June 30, 2023, the Company had an accumulated deficit of $39,662,743.

The Company anticipates

that it will continue to generate operating losses and use cash in operations through the foreseeable future.

Company anticipates that it will need to raise additional capital in the next 1-2 months in order to continue to fund its operations.

There is no assurance that the Company will be able to obtain funds on commercially acceptable terms, if at all.

There is also no assurance

that the amount of funds the Company might raise will enable the Company to complete its initiatives or attain profitable operations.

The Company’s operating needs include the planned costs to operate its business, including amounts required to fund working capital

and capital expenditures.

The Company’s future capital requirements and the adequacy of its available funds will depend on many

factors, including the Company’s ability to successfully expand to new markets, competition, and the need to enter into collaborations

with other companies or acquire other companies to enhance or complement its product and service offerings.

There can be no assurances

that financing will be available on terms which are favorable to us, or at all.

If we are unable to raise additional funding to meet

our working capital needs in the future, we will be forced to delay, reduce, or cease our operations.

Company has limited capital and is currently relying on a related party to fund its operations.

There is no assurance that the Company

will be able to obtain funds on commercially acceptable terms, if at all.

There is also no assurance that the amount of funds the Company

might raise will enable the Company to complete its initiatives or attain profitable operations.

The Company’s operating needs

include the planned costs to operate its business, including amounts required to fund working capital and capital expenditures.

The Company’s

future capital requirements and the adequacy of its available funds will depend on many factors, including the Company’s ability

to successfully expand to new markets, competition, and the need to enter into collaborations with other companies or acquire other companies

to enhance or complement its product and service offerings.

There can be no assurances that financing will be available on terms which

are favorable to us, or at all.

If we are unable to raise additional funding to meet our working capital needs in the future, we will

be forced to delay, reduce, or cease our operations.

Sheet Arrangements

3 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.

What changed 10-Q

Item 2. Management’s Discussion and Analysis