Quarterly report pursuant to Section 13 or 15(d)

ACQUISITIONS (Tables)

v3.22.2.2
ACQUISITIONS (Tables)
9 Months Ended
Sep. 30, 2022
Business Combination and Asset Acquisition [Abstract]  
Schedule of purchase price
The table below represents the allocation of the purchase price to the acquired net assets during the nine months ended September 30, 2022.

  HRG
Inventory $ 4,170 
Prepaids and other current assets 76 
Furniture and equipment 148 
Operating lease right of use asset 666 
Operating lease liability (666)
Customer relationships 2,430 
Trademark 496 
Non-compete 255 
Goodwill 5,816 
Total $ 13,391 

The table below represents the consideration paid for the net assets acquired in business combinations.
  HRG
Cash $ 6,806 
Indemnity stock holdback 875 
Common stock 5,710 
Total $ 13,391 
The table below represents the allocation of the purchase price to the acquired net assets during 2021.

  Agron Aquarius 55 Hydro Charcoir San Diego Hydro Grow Warehouse Grow Depot Maine Indoor Garden Downriver
Inventory $ —  $ 957  $ 780  $ 839  $ 1,400  $ 2,450  $ 326  $ 372  $ 824 
Prepaids and other current assets 46  12  29  534  36  30  — 
Furniture and equipment 29  63  50  —  315  250  25  94  50
Liabilities —  —  —  —  —  (169) —  —  — 
Operating lease right of use asset 98  108  861  —  1,079  641  92  137  273 
Operating lease liability (98) (108) (861) —  (1,079) (641) (92) (137) (273)
Customer relationships 832  339  809  5,712  605  1,256  549  210  634 
Trade name 1,530  485  870  1,099  1,192  2,748  344  353  698 
Non-compete 139  —  26  —  94  36  16 
Intellectual property —  —  —  2,065  —  —  —  —  — 
Goodwill 8,673  1,702  3,915  6,119  5,728  11,120  866  661  2,126 
Total $ 11,249  $ 3,558  $ 6,479  $ 16,368  $ 9,282  $ 17,779  $ 2,149  $ 1,692  $ 4,351 
 
Harvest Aquaserene Mendocino CGS Hoagtech All Seasons MMI Total
Inventory $ 1,204  $ 1,696  $ 753  $ 875  $ 751  $ 100  $ 3,530  $ 16,857 
Prepaids and other current assets 37  —  742 
Furniture and equipment 100  500  160  100  144  25  328  2,233 
Liabilities —  —  —  —  (29) —  (250) (448)
Operating lease right to use asset 3,782  1,177  408  746  1,569  37  2,332  13,340 
Operating lease liability (3,782) (1,177) (408) (746) (1,569) (37) (2,332) (13,340)
Customer relationships 1,016  1,235  575  1,382  493  154  2,964  18,765 
Trade name 1,392  1,231  414  852  428  117  1,039  14,792 
Non-compete —  11  11  —  238  588 
Intellectual property —  —  —  —  —  —  —  2,065 
Goodwill 4,606  6,976  2,091  4,027  2,105  545  1,202  62,462 
Total $ 8,325  11,651  4,000  $ 7,248  3,932  942  9,051  $ 118,056 

The table below represents the consideration paid for the net assets acquired in business combinations.

  Agron Aquarius 55 Hydro Charcoir San Diego Hydro Grow Warehouse Grow
Depot Maine
Indoor Garden Downriver
Cash $ 5,973  $ 2,331  $ 5,347  $ 9,902  $ 4,751  $ 8,100  $ 1,738  $ 1,165  $ 3,177 
Common stock 5,276  1,227  1,132  6,466  4,531  9,679  411  527  1,174 
Total $ 11,249  $ 3,558  $ 6,479  $ 16,368  $ 9,282  $ 17,779  $ 2,149  $ 1,692  $ 4,351 
  
Harvest Aquaserene Mendocino CGS Hoagtech All Seasons MMI Total
Cash $ 5,561  $ 9,860  $ 4,000  $ 5,976  $ 3,932  $ 701  $ 8,270  $ 80,784 
Common stock 2,764  1,791  —  1,272  —  241  781  37,272 
Total $ 8,325  $ 11,651  $ 4,000  $ 7,248  $ 3,932  $ 942  $ 9,051  $ 118,056 
Schedule of revenue and earnings included in consolidated income statement
The following table discloses the date of the acquisition noted above and the revenue and earnings included in the Condensed Consolidated Statement of Operations for the period ended September 30, 2022. Revenue and earnings amounts include other proprietary brands now being included under HRG for operations.
  HRG
Acquisition date February 1, 2022
Revenue 13,474 
Net Income (loss) (209)
The following table discloses the date of the acquisitions noted above and the revenue and earnings included in the consolidated income statement for the period ended September 30, 2021.
 
  Agron Aquarius 55 Hydro Charcoir San Diego Hydro Grow Warehouse Grow Depot Maine Indoor Garden Downriver
Acquisition date 3/19/2021 3/15/2021 3/15/2021 3/12/2021 2/22/2021 2/15/2021 2/1/2021 1/25/2021 3/31/2021
Revenue $ 10,587  $ 5,555  $ 4,482  $ 4,048  $ 5,525  $ 10,153  $ 4,660  $ 4,508  $ 2,460 
Net Income $ 149  $ 1,145  $ 393  $ 723  $ 839  $ 1,812  $ 907  $ 520  $ 277 
 
Harvest Aquaserene Mendocino CGS Hoagtech All Seasons MMI Total
Acquisition date 5/3/21 7/19/21 7/19/21 8/24/21 8/23/21 10/15/21 12/31/21
Revenue $ 4,444  1,590  1,085  447  483  —  —  $ 60,027 
Net Income (loss) $ 756  331  158  (1) 36  —  —  $ 8,045 
Schedule of proforma consolidated income statement
The following represents the pro forma Condensed Consolidated Statement of Operations as if the acquisition had been included in the consolidated results of the Company for the entire period for the three and nine months ended September 30, 2022 and 2021.

Three months ended September 30, 2021 Nine Months Ended September 30,
  2022 2021
Revenue $ 121,391  $ 235,443  $ 345,384 
Net income (loss) $ 3,632  $ (149,316) $ 16,678 
The following table discloses the pro forma consolidated statement of operations as if the acquisition had been included in the consolidated results of the Company for the nine months ended September 30, 2021.

Three Months Ended September 30, 2021 Nine Months Ended September 30, 2021
  (Unaudited) (Unaudited)
Revenue $ 146,030  $ 361,937 
Net income $ 5,299  $ 23,276