Kaival Brands reported Q3 FY2024 revenue of $0.7 million, down from $3.6 million in Q3 FY2023, with a net loss of $1.6 million compared to $1.8 million loss year-over-year. Gross profit margin improved to 51.7% from 36.3%, while operating expenses decreased to $1.8 million from $3.0 million in the same period last year.The company faces ongoing challenges from FDA's January 2024 Marketing Denial Order (MDO) for its Classic BIDI Stick product, which is currently under appeal in the 11th Circuit Court. However, the FDA formally rescinded the MDO for non-tobacco flavored BIDI Stick PMTAs on July 29, 2024, putting those applications back into review process.As of July 31, 2024, Kaival Brands maintained $4.5 million in cash and working capital of $2.5 million. The company completed a public offering in June 2024, raising approximately $6.0 million before expenses. Management acknowledges substantial doubt about continuing as a going concern due to recurring losses and regulatory uncertainties.

Kaival Brands reported Q3 FY2024 revenue of $0.7 million, down from $3.6 million in Q3 FY2023, with a net loss of $1.6 million compared to $1.8 million loss year-over-year. Gross profit margin improved to 51.7% from 36.3%, while operating expenses decreased to $1.8 million from $3.0 million in the same period last year.The company faces ongoing challenges from FDA's January 2024 Marketing Denial Order (MDO) for its Classic BIDI Stick product, which is currently under appeal in the 11th Circuit Court. However, the FDA formally rescinded the MDO for non-tobacco flavored BIDI Stick PMTAs on July 29, 2024, putting those applications back into review process.As of July 31, 2024, Kaival Brands maintained $4.5 million in cash and working capital of $2.5 million. The company completed a public offering in June 2024, raising approximately $6.0 million before expenses. Management acknowledges substantial doubt about continuing as a going concern due to recurring losses and regulatory uncertainties.