NaturalShrimp Inc - Quarter Report: 2015 December (Form 10-Q)

Nevada		74-3262176
(State or other Jurisdiction of Incorporation or Organization)		(I.R.S. Employer Identification No.)

9400 North Central Expressway, Suite #910 Dallas, Texas		75231
(Address of Principal Executive Offices)		(Zip Code)

Large accelerated filer	o	Accelerated filer	o
Non-accelerated filer	o	Smaller reporting company	þ
(Do not check if a smaller reporting company)

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PART I.  FINANCIAL INFORMATION
ITEM 1	Financial Statements	3
	Consolidated balance sheets as of December 31, 2015 (unaudited) and March 31, 2015	3
	Consolidated statements of operations for the three and nine months ended December 31, 2015 and 2014 (unaudited)	4
	Consolidated statements of cash flows for the nine months ended December 31, 2015 and 2014 (unaudited)	5
	Notes to consolidated financial statements (unaudited)	6
ITEM 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	12
ITEM 3.	Quantitative and Qualitative Disclosures about Market Risk	17
ITEM 4.	Controls and Procedures	17
PART II.  OTHER INFORMATION
ITEM 1.	Legal Proceedings	18
ITEM 1A.	Risk Factors	18
ITEM 2.	Unregistered Sales of Equity Securities and Use of Proceeds	18
ITEM 3.	Defaults Upon Senior Securities	18
ITEM 4.	Mine Safety Disclosures	18
ITEM 5.	Other Information	18
ITEM 6.	Exhibits	19
SIGNATURES		20

 

 

 

 

 

 

 

 

 

The Company also has a working capital line of credit with Chase Bank for $25,000.  The line of credit bears an interest rate of prime plus 10 basis points, which totaled 13.49% as of December 31, 2015.  The line of credit is secured by assets of the Company’s subsidiaries.  The balance of the line of credit is $12,376 and $13,546 at December 31, 2015 and March 31, 2015, respectively.

 

 

 

 

		Number of Shares
Common stock for cash at $0.35 per share			14,285

 

 

●	our ability to successfully commercialize our shrimp farming operations to produce a market-ready product in a timely manner and in enough quantity;

●	absence of contracts with customers or suppliers;

●	our ability to maintain and develop relationships with customers and suppliers;

●	our ability to successfully integrate acquired businesses or new brands;

●	the impact of competitive products and pricing;

●	supply constraints or difficulties; and

●	the retention and availability of key personnel.

●	general economic and business conditions;

●	substantial doubt about our ability to continue as a going concern;

●	our need to raise additional funds in the future;

●	our ability to successfully recruit and retain qualified personnel in order to continue our operations;

●	our ability to successfully implement our business plan;

●	our ability to successfully acquire, develop or commercialize new products and equipment;

●	the commercial success of our products;

●	intellectual property claims brought by third parties;

●	the impact of any industry regulation; and

●	other factors discussed under the section entitled “Risk Factors” set forth in our Annual Report on Form 10-K for the year ended March 31, 2015.

●	Begin proprietary genetics and hatchery programs;

●	Build hatchery at Medina del Campo facility;

●	Work with NaturalShrimp AS, a minority owned entity, to secure additional capital to build additional production systems at the Gamba Natural operations located outside of Madrid, Spain in Medina del Campo; and

●	Locate additional target markets and initiate five-year system rollout for Europe and other world markets as cash flow and capital allow.

		Three Months Ended December 31,
		2015				2014
Facility operations		$	37,603			$	26,461
Salaries and related expenses			99,399				52,662
Rent			7,378				3,005
Other general and administrative expenses			134,600				281,652
Depreciation			24,250				25,734
Total		$	303,230			$	389,514

		Nine Months Ended December 31,
		2015				2014
Facility operations		$	151,717			$	78,212
Salaries and related expenses			298,983				325,642
Rent			10,378				5,505
Stock based compensation			-				377,500
Other general and administrative expenses			859,519				240,206
Depreciation			65,250				62,202
Total		$	1,385,847			$	1,089,267

		December 31,				March 31,
		2015				2015
Current assets		$	39,998			$	224,077
Current liabilities			4,546,488				4,237,731
Working capital deficiency		$	4,506,490			$	4,013,654

		Nine Months Ended December 31,
		2015				2014
Net cash used in operating activities		$	(984,470	)		$	(679,547	)
Net cash used in investing activities			(35,980	)			(301	)
Net cash provided by financing activities			839,574				718,973
Decrease in cash and cash equivalents		$	(180,876	)		$	39,125

 

 

 

 

 

 

 

 

No.		Description
3.1(a)		Articles of Incorporation (incorporated by reference to our Registration Statement on Form S-1 originally filed on June 11, 2009).
3.1(b)		Amendment to Articles of Incorporation (incorporated by reference to our Current Report on Form 8-K filed on May 19, 2014).
3.2		Bylaws (incorporated by reference to our Registration Statement on Form S-1 originally filed on June 11, 2009).
31.1*		Certification Statement of the Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
31.2*		Certification Statement of the Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
32.1*		Certification Statement of the Chief Executive Officer pursuant to Section 906 of the Sarbanes-Oxley Act of 2002
32.2*		Certification Statement of the Chief Financial Officer pursuant to Section 906 of the Sarbanes-Oxley Act of 2002
101*		Interactive Data Files

 

 

 

 

 

 

 

 

 

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