Hempacco Co Inc Financials
This page shows Hempacco Co Inc (HPCO) financial statements, including the income statement, balance sheet, cash flow statement, and key financial ratios. View 3 years of annual fundamentals and quarterly data, with year-over-year growth rates and compound annual growth rates (CAGR). All figures are derived from SEC filings (10-K and 10-Q reports).
External financing is carrying a business whose unit economics deteriorated, with FY2023 losses starting before overhead rather than after it.
From FY2022 to FY2023, revenue was roughly flat but gross margin flipped from6.0% to-30.1% . With operating cash outflow still at-$5.8M , the loss engine had moved from mainly overhead to products or mix that were losing money before corporate expenses were added.
Across the last three years, operations were funded by outside capital, not internal cash: cumulative operating cash flow was about
The balance sheet crossed into negative equity in FY2023, but the more immediate constraint is liquidity: cash fell to
Financial Health Signals
We are recalculating Hempacco Co Inc's peer-relative financial health score against the latest fiscal year. It will appear here once the refresh completes. The signals and metrics below are current.
Hempacco Co Inc scores -4.64, below the 1.81 distress threshold. The score is driven primarily by a large market capitalization ($948K) relative to total liabilities ($18.8M). This indicates elevated financial distress risk and warrants close attention to liquidity and debt levels.
Distress-screening estimate for non-financial companies. Not computed for banks or insurers, where the Altman model does not apply.
Hempacco Co Inc passes 3 of 9 financial strength tests. 2 of 4 profitability signals pass, 1 of 3 leverage/liquidity signals pass, neither operating efficiency signal passes.
For every $1 of reported earnings, Hempacco Co Inc generates $0.43 in operating cash flow (-$5.8M OCF vs -$13.4M net income). This low ratio suggests earnings are primarily driven by accounting accruals rather than cash generation, which may not be sustainable.
Hempacco Co Inc earns $-49.1 in operating income for every $1 of interest expense (-$13.2M vs $270K). This narrow margin raises concern about the company's ability to service its debt if operating income declines.
Key Financial Metrics
Earnings & Revenue
Hempacco Co Inc generated $4.0M in revenue in fiscal year 2023. This represents an increase of 2.0% from the prior year.
Hempacco Co Inc's EBITDA was -$12.8M in fiscal year 2023, measuring earnings before interest, taxes, depreciation, and amortization. This represents a decrease of 83.8% from the prior year.
Hempacco Co Inc reported -$13.4M in net income in fiscal year 2023. This represents a decrease of 88.4% from the prior year.
Cash & Balance Sheet
Hempacco Co Inc generated -$6.0M in free cash flow in fiscal year 2023, representing cash available after capex. This represents a decrease of 34.6% from the prior year.
Hempacco Co Inc held $110K in cash against $0 in long-term debt as of fiscal year 2023.
Hempacco Co Inc had 29M shares outstanding in fiscal year 2023.
Margins & Returns
Hempacco Co Inc's gross margin was -30.0% in fiscal year 2023, indicating the percentage of revenue retained after direct costs. This is down 36.1 percentage points from the prior year.
Hempacco Co Inc's operating margin was -327.3% in fiscal year 2023, reflecting core business profitability. This is down 148.8 percentage points from the prior year.
Hempacco Co Inc's net profit margin was -332.3% in fiscal year 2023, showing the share of revenue converted to profit. This is down 152.4 percentage points from the prior year.
Capital Allocation
Hempacco Co Inc invested $179K in capex in fiscal year 2023, funding long-term assets and infrastructure. This represents an increase of 72.7% from the prior year.
HPCO Income Statement
| Metric | Q4'23 | Q3'23 | Q2'23 | Q1'23 | Q4'22 | Q3'22 | Q2'22 | Q1'22 |
|---|---|---|---|---|---|---|---|---|
| Revenue | $2.0M+53.9% | $1.3M+420.8% | $255K-40.0% | $424K-19.8% | $529K-10.7% | $592K-68.4% | $1.9M+93.1% | $971K |
| Cost of Revenue | $2.4M+35.7% | $1.8M+308.3% | $432K-6.1% | $460K-50.4% | $929K+55.2% | $599K-57.2% | $1.4M+75.0% | $799K |
| Gross Profit | -$503K-14.8% | -$438K-146.8% | -$177K-82.3% | -$97K+75.9% | -$404K-6216.5% | -$6K-101.3% | $477K+177.1% | $172K |
| R&D Expenses | N/A | N/A | N/A | N/A | N/A | $0 | N/A | N/A |
| SG&A Expenses | $2.9M+180.8% | $1.0M+9.5% | $947K+28.5% | $737K-16.3% | $881K+11.3% | $792K+235.5% | $236K-67.7% | $731K |
| Operating Income | -$7.1M-236.8% | -$2.1M-29.6% | -$1.6M+31.4% | -$2.4M+53.3% | -$5.1M-387.4% | -$1.0M-1037.7% | -$92K+89.3% | -$860K |
| Interest Expense | $333K+506.0% | -$82K-509.8% | $20K+1655.4% | -$1K-102.4% | $53K+1338.0% | $4K+163.5% | -$6K-61.2% | -$4K |
| Income Tax | N/A | N/A | N/A | N/A | N/A | $0 | N/A | N/A |
| Net Income | -$7.2M-218.0% | -$2.3M-40.4% | -$1.6M+32.3% | -$2.4M+53.5% | -$5.1M-387.0% | -$1.0M-978.0% | -$97K+88.9% | -$877K |
| EPS (Diluted) | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
HPCO Balance Sheet
| Metric | Q4'23 | Q3'23 | Q2'23 | Q1'23 | Q4'22 | Q3'22 | Q2'22 | Q1'22 |
|---|---|---|---|---|---|---|---|---|
| Total Assets | $18.0M+25.0% | $14.4M+14.6% | $12.6M-9.0% | $13.8M+46.0% | $9.5M-35.3% | $14.7M | N/A | N/A |
| Current Assets | $3.3M+3.2% | $3.2M-28.2% | $4.4M-26.2% | $6.0M+214.5% | $1.9M-63.3% | $5.2M | N/A | N/A |
| Cash & Equivalents | $110K+543.2% | $17K-98.8% | $1.4M-65.7% | $4.0M+636.1% | $548K-81.6% | $3.0M+4293.4% | $68K+860.4% | $7K |
| Inventory | $2.5M+179.5% | $910K-23.0% | $1.2M+45.4% | $813K+26.0% | $645K-19.2% | $799K | N/A | N/A |
| Accounts Receivable | $226K-59.2% | $554K+140.8% | $230K-41.9% | $396K+71.2% | $231K-23.9% | $304K | N/A | N/A |
| Goodwill | $2.6M | N/A | N/A | N/A | $0 | N/A | N/A | N/A |
| Total Liabilities | $18.8M+232.8% | $5.7M+182.8% | $2.0M+20.5% | $1.7M-13.6% | $1.9M-7.8% | $2.1M | N/A | N/A |
| Current Liabilities | $12.9M+135.0% | $5.5M+204.8% | $1.8M+25.8% | $1.4M-5.9% | $1.5M-7.2% | $1.6M | N/A | N/A |
| Long-Term Debt | $0 | $0 | $0 | $0-100.0% | $143K-9.8% | $158K | N/A | N/A |
| Total Equity | -$368K-104.1% | $9.0M-16.7% | $10.7M-12.6% | $12.3M+60.5% | $7.7M-39.2% | $12.6M+361.7% | $2.7M+13.0% | $2.4M |
| Retained Earnings | -$23.6M-41.8% | -$16.6M-15.5% | -$14.4M-12.3% | -$12.8M-22.6% | -$10.5M-90.6% | -$5.5M | N/A | N/A |
HPCO Cash Flow Statement
| Metric | Q4'23 | Q3'23 | Q2'23 | Q1'23 | Q4'22 | Q3'22 | Q2'22 | Q1'22 |
|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | -$873K+24.2% | -$1.2M+38.3% | -$1.9M+4.7% | -$2.0M-69.7% | -$1.2M+45.0% | -$2.1M-17568.9% | $12K+101.1% | -$1.1M |
| Capital Expenditures | $16K+8.1% | $15K-86.6% | $112K+209.5% | $36K+155.2% | -$66K-140.4% | $162K+5314.7% | $3K-25.2% | $4K |
| Free Cash Flow | -$889K+23.7% | -$1.2M+41.1% | -$2.0M+0.8% | -$2.0M-63.6% | -$1.2M+46.0% | -$2.3M-25198.4% | $9K+100.8% | -$1.1M |
| Investing Cash Flow | -$3.4M-22895.6% | -$15K+86.6% | -$112K-209.5% | -$36K-116.6% | $218K+169.3% | -$315K-10403.4% | -$3K-108.3% | $36K |
| Financing Cash Flow | $4.4M+2268.9% | -$204K+69.8% | -$673K-112.3% | $5.5M+467.7% | -$1.5M-128.0% | $5.3M+10194.2% | $52K-70.0% | $172K |
| Dividends Paid | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Share Buybacks | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
HPCO Financial Ratios
| Metric | Q4'23 | Q3'23 | Q2'23 | Q1'23 | Q4'22 | Q3'22 | Q2'22 | Q1'22 |
|---|---|---|---|---|---|---|---|---|
| Gross Margin | -24.6%+8.4pp | -33.0%+36.7pp | -69.7%-46.8pp | -22.9%+53.4pp | -76.3%-75.3pp | -1.1%-26.5pp | 25.4%+7.7pp | 17.7% |
| Operating Margin | -348.9%-189.5pp | -159.4%+481.3pp | -640.8%-80.6pp | -560.2%+401.9pp | -962.1%-785.8pp | -176.3%-171.4pp | -4.9%+83.7pp | -88.6% |
| Net Margin | -352.4%-181.8pp | -170.6%+462.3pp | -632.9%-72.4pp | -560.5%+405.9pp | -966.4%-789.2pp | -177.2%-172.0pp | -5.2%+85.1pp | -90.3% |
| Return on Equity | N/A | -25.3%-10.3pp | -15.0%+4.4pp | -19.4%+47.4pp | -66.8%-58.4pp | -8.3%-4.8pp | -3.6%+32.8pp | -36.4% |
| Return on Assets | -39.9%-24.2pp | -15.7%-2.9pp | -12.8%+4.4pp | -17.2%+36.7pp | -53.9%-46.7pp | -7.2% | N/A | N/A |
| Current Ratio | 0.25-0.3 | 0.58-1.9 | 2.46-1.7 | 4.19+2.9 | 1.25-1.9 | 3.17 | N/A | N/A |
| Debt-to-Equity | N/A | 0.000.0 | 0.000.0 | 0.00-0.0 | 0.020.0 | 0.01 | N/A | N/A |
| FCF Margin | -43.5%+44.4pp | -87.9%+688.7pp | -776.6%-307.0pp | -469.6%-239.2pp | -230.4%+150.8pp | -381.2%-381.7pp | 0.5%+117.7pp | -117.2% |
Note: Shareholder equity is negative (-$368K), which causes debt-to-equity and return on equity ratios to appear negative or not meaningful. This can occur from accumulated losses or large share buyback programs.
Note: The current ratio is below 1.0 (0.25), indicating current liabilities exceed current assets, which may suggest potential short-term liquidity concerns.
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Frequently Asked Questions
What is Hempacco Co Inc's annual revenue?
Hempacco Co Inc (HPCO) reported $4.0M in total revenue for fiscal year 2023. This represents a 2.0% change compared to the previous fiscal year. Revenue measures the total income earned from the company's primary business operations before any expenses are deducted.
How fast is Hempacco Co Inc's revenue growing?
Hempacco Co Inc (HPCO) revenue grew by 2% year-over-year, from $4.0M to $4.0M in fiscal year 2023.
Is Hempacco Co Inc profitable?
No, Hempacco Co Inc (HPCO) reported a net income of -$13.4M in fiscal year 2023, with a net profit margin of -332.3%.
What is Hempacco Co Inc's EBITDA?
Hempacco Co Inc (HPCO) had EBITDA of -$12.8M in fiscal year 2023, measuring earnings before interest, taxes, depreciation, and amortization.
How much debt does Hempacco Co Inc have?
As of fiscal year 2023, Hempacco Co Inc (HPCO) had $110K in cash and equivalents against $0 in long-term debt.
What is Hempacco Co Inc's gross margin?
Hempacco Co Inc (HPCO) had a gross margin of -30.0% in fiscal year 2023, indicating the percentage of revenue retained after direct costs of goods sold.
What is Hempacco Co Inc's operating margin?
Hempacco Co Inc (HPCO) had an operating margin of -327.3% in fiscal year 2023, reflecting the profitability of core business operations before interest and taxes.
What is Hempacco Co Inc's net profit margin?
Hempacco Co Inc (HPCO) had a net profit margin of -332.3% in fiscal year 2023, representing the share of revenue converted into profit after all expenses.
What is Hempacco Co Inc's free cash flow?
Hempacco Co Inc (HPCO) generated -$6.0M in free cash flow during fiscal year 2023. This represents a -34.6% change compared to the previous fiscal year. Free cash flow represents the cash a company generates after accounting for capital expenditures, and is widely used to assess financial flexibility and shareholder value.
What is Hempacco Co Inc's operating cash flow?
Hempacco Co Inc (HPCO) generated -$5.8M in operating cash flow during fiscal year 2023, representing cash generated from core business activities.
What are Hempacco Co Inc's total assets?
Hempacco Co Inc (HPCO) had $18.0M in total assets as of fiscal year 2023, including both current and long-term assets.
What are Hempacco Co Inc's capital expenditures?
Hempacco Co Inc (HPCO) invested $179K in capital expenditures during fiscal year 2023, funding long-term assets and infrastructure.
What is Hempacco Co Inc's current ratio?
Hempacco Co Inc (HPCO) had a current ratio of 0.25 as of fiscal year 2023, which is below 1.0, which may suggest potential liquidity concerns.
What is Hempacco Co Inc's return on assets (ROA)?
Hempacco Co Inc (HPCO) had a return on assets of -74.5% for fiscal year 2023, measuring how efficiently the company uses its assets to generate profit.
What is Hempacco Co Inc's cash runway?
Based on fiscal year 2023 data, Hempacco Co Inc (HPCO) had $110K in cash against an annual operating cash burn of $5.8M. This gives an estimated cash runway of approximately 0 months at the current burn rate. Cash runway measures how long a company can continue operating before running out of cash, assuming no additional funding.
Why is Hempacco Co Inc's debt-to-equity ratio negative or not reported?
Hempacco Co Inc (HPCO) has negative shareholder equity of -$368K as of fiscal year 2023, so no debt-to-equity ratio is reported: dividing debt by equity that is not positive produces a number that cannot be read as leverage. This can occur when accumulated losses exceed invested capital, or after large share buyback programs. Other solvency metrics like the current ratio or interest coverage may be more informative.
What is Hempacco Co Inc's Altman Z-Score?
Hempacco Co Inc (HPCO) has an Altman Z-Score of -4.64, placing it in the Distress Zone (elevated bankruptcy risk). The Z-Score combines five financial ratios (working capital, retained earnings, EBIT, market capitalization, and revenue relative to total assets) to predict the likelihood of bankruptcy. Scores above 2.99 indicate financial safety while scores below 1.81 suggest financial distress. Learn more in our complete guide to financial health indicators.
What is Hempacco Co Inc's Piotroski F-Score?
Hempacco Co Inc (HPCO) has a Piotroski F-Score of 3 out of 9, indicating weak financial health. The F-Score evaluates nine binary signals across profitability (positive ROA, positive cash flow, improving ROA, earnings quality), leverage (decreasing debt, improving liquidity, no share dilution), and operating efficiency (improving gross margin, improving asset turnover). Scores of 7 to 9 indicate strong and improving fundamentals. Learn more in our complete guide to financial health indicators.
Are Hempacco Co Inc's earnings high quality?
Hempacco Co Inc (HPCO) has an earnings quality ratio of 0.43x, considered low quality (accrual-driven). This ratio compares operating cash flow to net income. A ratio above 1.0x means the company generates more cash than its reported earnings, indicating sustainable, cash-backed profits. Ratios below 1.0x suggest earnings rely on accounting accruals rather than actual cash generation. Learn more in our complete guide to financial health indicators.
Can Hempacco Co Inc cover its interest payments?
Hempacco Co Inc (HPCO) has an interest coverage ratio of -49.1x, meaning it can struggle to cover its interest obligations. This ratio divides operating income by interest expense. Ratios above 5x indicate strong debt-servicing ability, while ratios below 2x suggest the company may face difficulty meeting interest payments if earnings decline. Learn more in our complete guide to financial health indicators.