Annual Financial Report for Aspire Real Estate Investors, Inc. for Fiscal Year 2023

Executive Summary

Aspire Real Estate Investors, Inc. (Ticker: ASPI), listed on the New York Stock Exchange, operates within the healthcare sector, focusing on the chemicals industry. This report analyzes the company's financial performance for the fiscal year ending December 31, 2023. The SEC accepted the filing on April 10, 2024, with an update on April 11, 2024. The complete report is available on the SEC’s website.

Financial Performance Overview

For the fiscal year 2023, Aspire Real Estate Investors, Inc. reported a revenue of $433.03 billion, with a gross profit of $138.97 billion against the cost of revenue. The total operating expenses rose to $16.18 trillion, primarily driven by selling, general, and administrative expenses of $15.42 trillion. This resulted in an operating loss of $16.04 trillion and a net loss of $16.29 trillion.

Interest income was a credit of $118.55 billion due to financing activities, with an income tax expense of $6.13 billion further impacting the financials.

Cash Flow and Balance Sheet Analysis

The balance sheet shows total assets of $27.54 trillion, with total liabilities of $8.71 trillion, and stockholder equity of $16.30 trillion. Key non-current assets include property, plant, and equipment at $11.97 trillion and goodwill of $3.27 trillion. The company also maintained cash and cash equivalents of $7.91 trillion by year-end.

Cash flows reflect a net change in cash of $5.52 trillion, bolstered by common stock issuance worth $669.70 billion. Net cash used in operating activities was $5.41 trillion, significantly affected by stock-based compensation of $8.74 trillion and other non-cash items totaling $2.08 trillion.

Financial Ratios and Market Position

Financial ratios indicate considerable distress. The return on equity was -129.89%, showing severe underperformance. The debt-to-equity ratio was modest at 8.25%, suggesting low leverage yet stable under typical industry conditions. However, both the net profit margin and operating profit margin were critically low at 0.00%, indicating significant operational challenges.

Despite a current market capitalization of $151.66 million and an Altman Z-score of 5.36, which usually suggests financial stability, the severe negative indicators highlight a potential risk of insolvency without strategic changes.

Conclusion and Forward Outlook

The fiscal year presented numerous challenges for Aspire Real Estate Investors, Inc., marked by significant financial losses and inefficiencies. It is imperative that the company imposes strict financial controls, possibly revises its business strategies, and optimizes operations to return to profitability. Effective management of cash flow, expenses, and liabilities is crucial for recovery and future growth.

Detailed financial statements and additional documents are available through the official SEC filing.