Annual report pursuant to Section 13 and 15(d)

Segment Information

v3.23.1
Segment Information
 12 Months Ended
Dec. 31, 2022
Segment Reporting [Abstract]  
Segment Information

Note 21 – Segment Information

 

The Company is an operating, acquisition, and investment business. Subsidiaries in which the Company has a controlling financial interest are consolidated. The Company generally has two reportable segments; 1) the historic cannabis and medical marijuana segment which includes the cost basis of our former membership interests of Electrum, the former contractual interest in the Electrum legal recovery, the settlement payments receivable from G Farma and its co-defendants, the former finance lease payments receivable from Pueblo West to Partner II, the operation of subsidiaries Mentor IP and Partner I in the cannabis and medical marijuana sector, and 2) the Company’s long standing investment in WCI which works with business park owners, governmental centers, and apartment complexes to reduce their facility related operating costs. Additionally, the Company formerly had small investments in securities listed on the NYSE and NASDAQ, an investment in note receivable from a non-affiliated party, the fair value of convertible notes receivable and accrued interest from NeuCourt, which on July 15, 2022 was exchanged for a NeuCourt SAFE security investment that will be carried at cost, and the investment in NeuCourt that is included in the Corporate, Other, and Eliminations section below.

  

    Cannabis and Medical Marijuana Segment    

Facilities

Operations

Related

    

Corporate,

Other, and

Eliminations

     Consolidated  
2022                                
Net sales   $ 37,659     $ 7,670,641     $ (2,585 )    $ 7,705,715  
Operating income (loss)     32,909       (830,098 )     (828,109 )      (1,625,298 )
Interest income     -       5       58,725       58,730  
Interest expense     -        46,321       33,878       80,199  
Total assets     1,000       3,302,931       1,689,961       4,993,892  
Property additions     -       63,089       -       63,089  
Fixed asset depreciation and amortization     -       69,176       2,081       71,257  
                                 
2021                                
Net sales   $ 40,764     $ 5,969,674     $ -     $ 6,010,438  
Operating income (loss)     26,849       95,336       (526,521 )     (404,336 )
Interest income     -       3       70,226       70,229  
Interest expense     -       38,330       24,062       62,392  
Total assets     900,484       2,240,047       1,645,910       4,786,441  
Property additions     -       160,102       1,264       161,366  
Fixed asset depreciation and amortization     -       45,936       5,744       51,710  

 

The following table reconciles operating segments and corporate-unallocated operating income (loss) to consolidated income before income taxes for the years ended December 31, 2022 and 2021, as presented in the consolidated income statements:

  

 

    2022     2021  
Operating loss   $ (1,625,298 )   $ (404,336 )
Employee retention tax credit (WCI)     1,350,161       -  
Realized gain (loss) on investments in securities     (170,418 )     1,017  
Impairment of investments     -       22,718  
Interest income     58,730       70,229  
Interest expense     (80,199 )     (62,392 )
Gain (loss) on equipment disposals     56,455       86  
PPP loan forgiven     -       87,122  
EIDL Grant     -       -  
Other income     58,027       38,870  
Income before income taxes   $

(352,542

 )   $ (246,686 )

 

 

Mentor Capital, Inc.

Notes to Consolidated Financial Statements

December 31, 2022 and 2021