| Schedule of Recognized Identified Assets Acquired and Liabilities Assumed |
The allocation of the total purchase price of AZ Clinics Purchase was as follows:
|
|
|
|
|
|
| Property and equipment |
$ |
241,511 |
|
| Operating lease right-of-use asset |
912,937 |
|
| Intangible assets |
3,689,100 |
|
| Total identifiable assets acquired |
4,843,548 |
|
| Goodwill |
3,408,205 |
|
| Deferred revenue |
(455,317) |
|
| Operating lease liability - current portion |
(128,516) |
|
| Operating lease liability - net of current portion |
(784,722) |
|
| Net purchase consideration |
$ |
6,883,198 |
|
The allocation of the purchase price for the NC Clinics Purchase was as follows:
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|
|
|
|
|
| Property and equipment |
$ |
142,395 |
|
| Operating lease right-of-use asset |
122,641 |
|
| Intangible assets |
1,299,607 |
|
| Total identifiable assets acquired |
1,564,643 |
|
| Deferred revenue |
(153,176) |
|
| Operating lease liability - current portion |
(85,414) |
|
| Operating lease liability - net of current portion |
(40,388) |
|
| Net purchase consideration |
$ |
1,285,665 |
|
|
| Schedule of Business Acquisition, Pro Forma Information |
The following table summarizes selected unaudited pro forma consolidated income statements for the three and nine months ended September 30, 2022 and 2021 as if both the AZ Clinics Purchase (which has been accounted for as a business combination) and the NC Clinics Purchase (which has been accounted for as an asset purchase) had been completed on January 1, 2021.
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|
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|
|
|
|
|
|
|
|
|
|
|
Three Months Ended |
|
Nine Months Ended |
|
September 30, |
|
September 30, |
|
2022 |
|
2021 |
|
2022 |
|
2021 |
| Revenues, net |
$ |
26,706,585 |
|
|
$ |
22,154,271 |
|
|
$ |
76,417,098 |
|
|
$ |
62,093,498 |
|
| Net income |
498,670 |
|
|
1,772,429 |
|
|
400,324 |
|
|
6,561,995 |
|
The Company’s condensed consolidated income statements for the three and nine months ended September 30, 2022 include net revenue and net income of acquired clinics in Arizona and North Carolina as follows:
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|
|
|
|
|
|
|
|
|
|
Three Months Ended |
|
Nine Months Ended |
|
September 30, |
|
September 30, |
|
2022 |
|
2022 |
| Revenues, net |
$ |
1,093,373 |
|
|
$ |
1,615,858 |
|
| Net income |
228,625 |
|
|
509,000 |
|
|
| Summary Of Assets And Liabilities Held For Sale |
The principal components of the held for sale assets and liabilities as of September 30, 2022 were as follows:
|
|
|
|
|
|
|
September 30, 2022 |
| Assets |
|
Property and equipment, net |
$ |
137,971 |
|
| Operating lease right-of-use asset |
165,996 |
|
| Valuation allowance |
(60,580) |
|
| Total assets held for sale |
$ |
243,387 |
|
|
|
| Liabilities |
|
| Operating lease liability, current and non-current |
$ |
(187,808) |
|
| Deferred revenue from company clinics |
(35,479) |
|
| Total liabilities to be disposed of |
$ |
(223,287) |
|
|
|
|