YayYo, Inc. Announces Results for 2019
· *Annual revenue up 110.2% year over year to $6,914,910*
· *Net loss down 70.2% or $9,258,901 to $3,930,221 year over year*
· *Geographic footprint increased to 8 US owned fleet locations through 2019*
*BEVERLY HILLS, CA / ACCESSWIRE / April 1, 2020 /* YayYo, Inc. ("YayYo" or "the Company") (OTCPINK:YAYO), a leading provider of vehicles to the rideshare industry, through its wholly-owned subsidiary, Rideshare Car Rentals, LLC, today announced financial results for the year ended December 31, 2019.
"We are pleased with our performance in 2019 commented" said Ramy El-Batrawi, CEO."
2019 Highlights
· Increase in revenue due to additional cars in fleet
· Gross margin improved to 32.4% compared to 27.8% for 2018 due to fleet mix optimization and demand-driven pricing
· Additional revenues and higher gross margin led to lower net loss
· The company diversified its lease partners to include United MileFleet and LMP Automotive Holdings. The partnership with LMP also included fleet sourcing, adding to the company's vehicle diversity and faster, regional availability of cars for our rental fleet.
Rideshare
Rideshare Car Rentals LLC, our wholly-owned subsidiary, is an online rideshare vehicle booking platform to service the ridesharing economy which includes both our owned-fleet and third party fleets..
Fleet Management
Distinct Cars LLC, our wholly-owned subsidiary, maintains a fleet of passenger vehicles that are commercially available for rent by gig-economy drivers.
About YayYo, Inc.
YayYo bridges the gap between rideshare drivers needing a suitable vehicle and rideshare companies that depend on attracting and keeping drivers. YayYo uniquely supports drivers in both the higher and lower economic categories with innovative policies and programs. YayYo seeks to become the preeminent provider of rental vehicles to drivers in the ever-expanding ridesharing economy.
The foregoing is only a summary of our results for 2109 and is not complete and should be read in conjunction with our Annual Report on Form 10-K for the year ended December 31, 2019, filed with the Securities and Exchange Commission (the "SEC") on March 31, 2020, including the financial statements and notes thereto included therein. We file periodic and current reports, proxy statements and other information with the SEC. Our filings are available to the public over the Internet at the SEC's web site at http://www.sec.gov.
YayYo Inc provides SEC filings, investor events, press and earnings releases, about our financial performance, on the investor relations section of our website (yayyo.com).
Forward-Looking Statement Disclaimer
This press release contains forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact in this press release are forward-looking statements. These forward-looking statements involve known and unknown risks and uncertainties and are based on current expectations and projections about future events and financial trends that the company believes may affect its financial condition, results of operations, business strategy and financial needs. Investors can identify these forward-looking statements by words or phrases such as "may," "will," "expect," "anticipate," "aim," "estimate," "intend," "plan," "believe," "potential," "continue," "is/are likely to" or other similar expressions. The company undertakes no obligation to update forward-looking statements to reflect subsequent occurring events or circumstances, or changes in its expectations, except as may be required by law. Although the company believes that the expectations expressed in these forward-looking statements are reasonable, it cannot assure you that such expectations will turn out to be correct, and the company cautions investors that actual results may differ materially from the anticipated results.
Company Contact:
Ramy El-Batrawi
Investors@yayyo.com
888-209-5643
*YAYYO, INC.
CONSOLIDATED BALANCE SHEETS
As of December 31, 2019 and 2018*
*2019* *2018*
*ASSETS*
Current Assets:
Cash
$ 1,256,429 $ 277,444
Accounts receivable
59,331 -
Prepaid expenses
782,900 108,900
Total current assets
2,098,660 386,344
Equipment, net
3,395 5,092
Rental vehicles, net
4,737,047 5,115,117
Deposit on vehicles
164,080 -
Deferred offering costs
- 66,500
Other assets
200,000 -
*TOTAL ASSETS*
$ 7,203,182 $ 5,573,053
*LIABILITIES AND STOCKHOLDERS' DEFICIT*
Current Liabilities:
Accounts payable (including $394,183 and $334,471 to related party)
$ 545,254 $ 719,386
Accrued expenses (including $171,665 and $419,593 to related party)
405,977 494,066
Notes payables, current (net of discount of $32,289 and $72,211)
287,378 2,617,970
Finance lease obligations, current
1,416,446 1,562,651
Total current liabilities
2,655,055 5,394,073
Finance lease obligations, net of current portion
984,119 2,227,496
*TOTAL LIABILITIES*
3,639,174 7,621,569
Commitments and contingencies
- -
*STOCKHOLDERS' DEFICIT*
Preferred stock, $0.000001 par value; 10,000,000 shares authorized; nil shares issued and outstanding
- -
Common stock, $0.000001 par value; 90,000,000 shares authorized; 29,427,803 and 26,718,676 shares issued and outstanding
29 27
Additional paid-in capital
28,735,894 19,193,151
Accumulated deficit
(25,171,915 ) (21,241,694 )
Total stockholders' deficit
3,564,008 (2,048,516 )
*TOTAL LIABILITIES AND STOCKHOLDERS' DEFICIT*
$ 7,203,182 $ 5,573,053
*YAYYO, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
For the Years Ended December 31, 2019 and 2018*
*2019* *2018*
*Revenue*
$ 6,914,910 $ 3,289,478
*Cost of revenue*
4,673,870 2,374,397
*Gross profit*
2,241,040 915,081
*Operating expenses:*
Selling and marketing expenses
765,441 482,811
Product development
13,500 9,699
General and administrative expenses
4,023,921 6,584,251
Impairment of leased assets
- 2,388,000
Loss on the settlement of debt
252,900 -
Total operating expenses
5,055,762 9,464,761
*Loss from operations*
(2,814,722 ) (8,549,680 )
*Other income (expense):*
Interest and financing costs
(1,115,499 ) (4,639,442 )
Total other income (expense)
(1,115,499 ) (4,639,442 )
*Net loss*
$ (3,930,221 ) $ (13,189,122 )
*Weighted average shares outstanding :*
Basic
27,112,557 26,321,137
Diluted
27,112,557 26,321,137
*Loss per share*
Basic
$ (0.14 ) $ (0.50 )
Diluted
$ (0.14 ) $ (0.50 )
*YAYYO, INC.
CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (DEFICIT)
For the Years Ended December 31, 2019 and 2018*
*Total*
*Common Stock* *Additional
Paid-in* *Accumulated* *Stockholders'
Equity*
*Shares* *Amount* *Capital* *Deficit* *(Deficit)*
*Balance, December 31, 2017*
25,770,551 $ 26 $ 7,879,189 $ (8,052,572 ) $ (173,357 )
Issuance of common stock for cash
46,330 307,924 307,924
Value of common stock issued with notes payable
155,850 407,791 407,791
Value of warrants issued with notes payable
3,726,506 3,726,506
Value of common stock issued with capital lease obligation
298,500 2,388,000 2,388,000
Issuance of common stock for services
432,500 1 3,459,999 3,460,000
Issuance of common stock for accounts payable
14,945 119,274 119,274
Stock option expense
904,468 904,468
Net loss
(13,189,122 ) (13,189,122 )
*Balance, December 31, 2018*
26,718,676 27 19,193,151 (21,241,694 ) (2,048,516 )
Correction to outstanding shares
(173 ) -
Proceeds from the sale of common stock
2,625,000 2 10,499,998 10,500,000
Offering costs
(1,631,655 ) (1,631,655 )
Issuance of common stock for settlement of debt
84,300 674,400 674,400
Net loss
(3,930,221 ) (3,930,221 )
*Balance, December 31, 2019*
29,427,803 $ 29 $ 28,735,894 $ (25,171,915 ) $ 3,564,008
*YAYYO, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
For the Years Ended December 31, 2019 and 2018*
*2019* *2018*
*CASH FLOWS FROM OPERATING ACTIVITIES:*
Net loss
$ (3,930,221 ) $ (13,189,122 )
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization
995,228 500,622
Stock option expense
- 904,468
Common stock issued for services
- 3,460,000
Amortization of debt discounts
39,922 4,460,931
Gain on disposal of assets
- (17,360 )
Impairment of leased assets
- 2,388,000
Loss on the settlement of debt
252,900 -
Changes in operating assets and liabilities:
Accounts receivable
(59,331 ) -
Prepaid expenses
(674,000 ) (95,494 )
Other assets
(200,000 ) -
Accounts payable
(174,132 ) 673,836
Accrued expenses
333,411 489,963
Net cash used in operating activities
(3,416,223 ) (424,156 )
*CASH FLOWS FROM INVESTING ACTIVITIES:*
Purchase of equipment
- (2,840 )
Purchase of vehicles
(225,000 ) -
Deposit for vehicles
(164,080 ) -
Net cash used in investing activities
(389,080 ) (2,840 )
*CASH FLOWS FROM FINANCING ACTIVITIES:*
Proceeds from sale of common stock
10,500,000 307,924
Offering costs paid
(1,565,155 ) -
Proceeds from notes payable
2,009,300 7,746,378
Repayment of notes payable
(4,379,814 ) (6,111,263 )
Payment for debt issuance costs
- (178,228 )
Repayment of finance lease obligations
(1,780,043 ) (1,369,109 )
Net cash provided by (used in) financing activities
4,784,288 395,702
*NET INCREASE (DECREASE) IN CASH*
978,985 (31,294 )
*CASH, BEGINNING OF PERIOD*
277,444 308,738
*CASH, END OF PERIOD*
$ 1,256,429 $ 277,444
*CASH PAID FOR:*
Interest
$ 1,105,049 $ 139,825
Income taxes
$ - $ -
*SUPPLEMENTAL NON-CASH INVESTING AND FINANCING ACTIVITIES*
Payment of accounts payable/accrued expenses with common stock
$ 421,500 $ 119,274
Value of equity recorded as debt discounts
$ - $ 4,134,297
Finance lease obligations
$ 1,159,470 $ 3,700,674
*SOURCE: *YayYo, Inc.
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