Quarterly report pursuant to Section 13 or 15(d)

Discontinued Operations

v3.23.1
Discontinued Operations
 3 Months Ended
Mar. 31, 2023
Discontinued Operations and Disposal Groups [Abstract]  
DISCONTINUED OPERATIONS

NOTE 10 – DISCONTINUED OPERATIONS

 

During the three months ended March 31, 2023, we discontinued our at-home services in New York, NY as well as our services in the U.K. In addition, we discontinued our clinical operations in Los Angeles, CA and are actively exploring options for the disposal of related property. Accordingly, as of the date of this Quarterly Report on Form 10-Q, we have discontinued the operations of our Clinics segment.

 

We have separately reported the assets and liabilities of the discontinued operations in the condensed consolidated balance sheets. The assets and liabilities have been reflected as discontinued operations in the condensed consolidated balance sheets as of March 31, 2023, and consist of the following:

 

    As of
March 31,
2023		  
Current assets of discontinued operations:      
Cash and cash equivalents   $ 16,634  
Due from related party    
-
  
Prepaid expenses     28,887  
Other current assets     39,182  
Total current assets of discontinued operations     84,703  
Non-current assets of discontinued operations        
Property and equipment, net     248,597  
Right of use asset- operating lease     355,356  
Intangibles, net     15,334  
Total non-current assets of discontinued operations   $ 619,287  
Total assets   $ 703,990  
         
LIABILITIES        
Current liabilities of discontinued operations:        
Accounts payable and accrued liabilities   $ 141,790  
Lease liability- short term portion     103,754  
Total current liabilities of discontinued operations     245,544  
         
Non-current liabilities of discontinued operations:        
Lease liability     299,669  
Warrant liabilities    
-
  
Total non-current liabilities of discontinued operations   $ 299,669  
Total liabilities of discontinued operations   $ 545,213  

The results of operations from discontinued operations for the three months ended March 31, 2023 and 2022, have been reflected as discontinued operations in the condensed consolidated statements of operations and consist of the following:

 

    Three Months Ended
March 31,		  
    2023     2022  
Revenues   $ -     $ 13,658  
Cost of services     -       12,937  
Gross margin     -       721  
                 
Selling, general and administrative     271,869       326,380  
Loss from discontinued operations   $ (271,869 )   $ (325,659 )
                 
Weighted-average common shares outstanding, basic and diluted
     26,073,036       23,008,371  
Basic and diluated loss per share from discontinued operations
   $ (0.01 )   $ (0.01 )

 

In accordance with accounting principles generally accepted in the United States (“GAAP”), only expenses specifically identifiable and related to a business to be disposed may be allocated to discontinued operations. As such, the selling, general and administrative and research and development expenses recorded in discontinued operations include corporate costs incurred directly in support of the Clinics business.