10-Q Filing

DIGITALTOWN, INC. CIK: 1065598 Q3 2019

Filing Information

Form Type	10-Q
Accession Number	`0001640334-19-000127`
Period End Date	20181130
Filing Date	20190130
Fiscal Year	2019
Fiscal Period	Q3
XBRL Instance	dgtw-20181130.xml

Filing Contents

This filing contains the following financial statements:

Balance Sheet 64 Income Statement 57 Cash Flow Statement 84

Balance Sheet 64 line items

Line Item	Tag	Value	Unit	Period
Common stock, par value	`CommonStockParOrStatedValuePerShare`	$0.01	USD	Point-in-time
Common stock, par value	`CommonStockParOrStatedValuePerShare`	$0.01	USD	Point-in-time
Cash	`Cash`	$25.58K	USD	Point-in-time
Common stock, shares authorized	`CommonStockSharesAuthorized`	2.00B	shares	Point-in-time
Common stock, shares authorized	`CommonStockSharesAuthorized`	2.00B	shares	Point-in-time
Cash	`Cash`	$58.71K	USD	Point-in-time
Common stock, shares issued	`CommonStockSharesIssued`	84.51M	shares	Point-in-time
Accounts receivable, net	`AccountsReceivableNetCurrent`	$867.00	USD	Point-in-time
Accounts receivable, net	`AccountsReceivableNetCurrent`	$12.09K	USD	Point-in-time
Common stock, shares issued	`CommonStockSharesIssued`	140.22M	shares	Point-in-time
Common stock, shares outstanding	`CommonStockSharesOutstanding`	84.51M	shares	Point-in-time
Short term investment	`ShortTermInvestments`	$10.00K	USD	Point-in-time
Common stock, shares outstanding	`CommonStockSharesOutstanding`	140.22M	shares	Point-in-time
Short term investment	`ShortTermInvestments`	$10.00K	USD	Point-in-time
Prepaid domain name renewal fees	`IndefiniteLivedIntangibleAssetsExcludingGoodwill`	$77.98K	USD	Point-in-time
Prepaid domain name renewal fees	`IndefiniteLivedIntangibleAssetsExcludingGoodwill`	$19.54K	USD	Point-in-time
Prepaid expenses	`PrepaidExpenseCurrent`	-	USD	Point-in-time
Prepaid expenses	`PrepaidExpenseCurrent`	$3.10K	USD	Point-in-time
Total current assets	`AssetsCurrent`	$161.88K	USD	Point-in-time
Total current assets	`AssetsCurrent`	$55.98K	USD	Point-in-time
Property and equipment, net	`PropertyPlantAndEquipmentNet`	$22.43K	USD	Point-in-time
Property and equipment, net	`PropertyPlantAndEquipmentNet`	$21.82K	USD	Point-in-time
Total assets	`Assets`	$77.81K	USD	Point-in-time
Total assets	`Assets`	$184.31K	USD	Point-in-time
Accounts payable	`AccountsPayableCurrent`	$494.74K	USD	Point-in-time
Accounts payable	`AccountsPayableCurrent`	$214.70K	USD	Point-in-time
Accounts payable - related parties	`AccountsPayableRelatedPartiesCurrent`	$458.12K	USD	Point-in-time
Accounts payable - related parties	`AccountsPayableRelatedPartiesCurrent`	-	USD	Point-in-time
Deferred revenue	`DeferredRevenue`	$170.00K	USD	Point-in-time
Deferred revenue	`DeferredRevenue`	$186.31K	USD	Point-in-time
Domain marketing development obligation	`DomainMarketingDevelopmentObligation`	$168.17K	USD	Point-in-time
Domain marketing development obligation	`DomainMarketingDevelopmentObligation`	$145.91K	USD	Point-in-time
Interest payable	`InterestPayableCurrent`	$34.78K	USD	Point-in-time
Interest payable	`InterestPayableCurrent`	$17.12K	USD	Point-in-time
Accrued expenses	`OtherAccruedLiabilitiesNoncurrent`	$552.98K	USD	Point-in-time
Accrued expenses	`OtherAccruedLiabilitiesNoncurrent`	$612.07K	USD	Point-in-time
Notes payable - related parties	`NotesPayableRelatedPartiesCurrentAndNoncurrent`	$105.48K	USD	Point-in-time
Notes payable - related parties	`NotesPayableRelatedPartiesCurrentAndNoncurrent`	$915.20K	USD	Point-in-time
Notes payable - third parties, net	`NotesPayableThirdPartiesNet`	$30.55K	USD	Point-in-time
Notes payable - third parties, net	`NotesPayableThirdPartiesNet`	-	USD	Point-in-time
Convertible notes payable - related parties	`ConvertibleNotesPayableCurrent`	$110.00K	USD	Point-in-time
Convertible notes payable - related parties	`ConvertibleNotesPayableCurrent`	$468.49K	USD	Point-in-time
Convertible notes payable - third parties, net	`ConvertibleNotesPayableThirdPartiesNet`	$137.28K	USD	Point-in-time
Convertible notes payable - third parties, net	`ConvertibleNotesPayableThirdPartiesNet`	$118.66K	USD	Point-in-time
Total current liabilities	`LiabilitiesCurrent`	$2.30M	USD	Point-in-time
Total current liabilities	`LiabilitiesCurrent`	$2.64M	USD	Point-in-time
Commitments and contingencies	`CommitmentsAndContingencies`	-	USD	Point-in-time
Commitments and contingencies	`CommitmentsAndContingencies`	-	USD	Point-in-time
Common stock, $0.01 par value, 2,000,000,000 shares authorized, 140,223,722 and 84,509,824 shares issued and outstanding at November 30, 2018 and February 28, 2018, respectively	`CommonStockValue`	$845.10K	USD	Point-in-time
Common stock, $0.01 par value, 2,000,000,000 shares authorized, 140,223,722 and 84,509,824 shares issued and outstanding at November 30, 2018 and February 28, 2018, respectively	`CommonStockValue`	$1.40M	USD	Point-in-time
Additional paid-in-capital	`AdditionalPaidInCapital`	$43.70M	USD	Point-in-time
Additional paid-in-capital	`AdditionalPaidInCapital`	$51.41M	USD	Point-in-time
Stock payable	`CommonStockSharesSubscriptions`	$2.22M	USD	Point-in-time
Stock payable	`CommonStockSharesSubscriptions`	$278.65K	USD	Point-in-time
Subscriptions receivable	`StockholdersEquityNoteSubscriptionsReceivable`	-	USD	Point-in-time
Subscriptions receivable	`StockholdersEquityNoteSubscriptionsReceivable`	-	USD	Point-in-time
Accumulated other comprehensive income	`AccumulatedOtherComprehensiveIncomeLossNetOfTax`	$5.10K	USD	Point-in-time
Accumulated other comprehensive income	`AccumulatedOtherComprehensiveIncomeLossNetOfTax`	$1.49K	USD	Point-in-time
Accumulated deficit	`RetainedEarningsAccumulatedDeficit`	$-55.66M	USD	Point-in-time
Accumulated deficit	`RetainedEarningsAccumulatedDeficit`	$-48.89M	USD	Point-in-time
Total stockholders' equity (deficit)	`StockholdersEquity`	$-2.56M	USD	Point-in-time
Total stockholders' equity (deficit)	`StockholdersEquity`	$-2.12M	USD	Point-in-time
Total liabilities and stockholders' equity (deficit)	`LiabilitiesAndStockholdersEquity`	$77.81K	USD	Point-in-time
Total liabilities and stockholders' equity (deficit)	`LiabilitiesAndStockholdersEquity`	$184.31K	USD	Point-in-time

Income Statement 57 line items

Line Item	Tag	Value	Unit	Period
Revenues	`Revenues`	$30.10K	USD	1 Quarter
Revenues	`Revenues`	$142.90K	USD	1 Quarter
Revenues	`Revenues`	$317.08K	USD	3 Qtrs
Revenues	`Revenues`	$214.87K	USD	3 Qtrs
Cost of revenues	`CostOfRevenue`	$903.97K	USD	3 Qtrs
Cost of revenues	`CostOfRevenue`	$433.94K	USD	3 Qtrs
Cost of revenues	`CostOfRevenue`	$165.12K	USD	1 Quarter
Cost of revenues	`CostOfRevenue`	$243.97K	USD	1 Quarter
Gross profit (loss)	`GrossProfit`	$-101.06K	USD	1 Quarter
Gross profit (loss)	`GrossProfit`	$-135.02K	USD	1 Quarter
Gross profit (loss)	`GrossProfit`	$-116.86K	USD	3 Qtrs
Gross profit (loss)	`GrossProfit`	$-689.10K	USD	3 Qtrs
Selling, general and administrative expenses	`SellingGeneralAndAdministrativeExpense`	$4.53M	USD	3 Qtrs
Selling, general and administrative expenses	`SellingGeneralAndAdministrativeExpense`	$1.53M	USD	1 Quarter
Selling, general and administrative expenses	`SellingGeneralAndAdministrativeExpense`	$1.30M	USD	1 Quarter
Selling, general and administrative expenses	`SellingGeneralAndAdministrativeExpense`	$4.32M	USD	3 Qtrs
Loss from operations	`OperatingIncomeLoss`	$-4.65M	USD	3 Qtrs
Loss from operations	`OperatingIncomeLoss`	$-1.40M	USD	1 Quarter
Loss from operations	`OperatingIncomeLoss`	$-1.67M	USD	1 Quarter
Loss from operations	`OperatingIncomeLoss`	$-5.01M	USD	3 Qtrs
Interest expense	`InterestExpense`	$117.52K	USD	1 Quarter
Interest expense	`InterestExpense`	$128.19K	USD	1 Quarter
Interest expense	`InterestExpense`	$221.44K	USD	3 Qtrs
Interest expense	`InterestExpense`	$791.34K	USD	3 Qtrs
Loss on debt settlement	`GainsLossesOnExtinguishmentOfDebt`	-	USD	3 Qtrs
Loss on debt settlement	`GainsLossesOnExtinguishmentOfDebt`	$-48.04K	USD	3 Qtrs
Loss on debt settlement	`GainsLossesOnExtinguishmentOfDebt`	-	USD	1 Quarter
Loss on debt settlement	`GainsLossesOnExtinguishmentOfDebt`	-	USD	1 Quarter
Cryptocurrency losses	`CryptocurrencyLosses`	-	USD	1 Quarter
Cryptocurrency losses	`CryptocurrencyLosses`	-	USD	1 Quarter
Cryptocurrency losses	`CryptocurrencyLosses`	$925.82K	USD	3 Qtrs
Cryptocurrency losses	`CryptocurrencyLosses`	-	USD	3 Qtrs
Total other income (expense)	`OtherIncomeTaxExpenseBenefitContinuingOperations`	$128.19K	USD	1 Quarter
Total other income (expense)	`OtherIncomeTaxExpenseBenefitContinuingOperations`	$117.52K	USD	1 Quarter
Total other income (expense)	`OtherIncomeTaxExpenseBenefitContinuingOperations`	$1.77M	USD	3 Qtrs
Total other income (expense)	`OtherIncomeTaxExpenseBenefitContinuingOperations`	$221.44K	USD	3 Qtrs
Loss before income taxes	`IncomeLossFromContinuingOperationsBeforeIncomeTaxesDomestic`	$-1.53M	USD	1 Quarter
Loss before income taxes	`IncomeLossFromContinuingOperationsBeforeIncomeTaxesDomestic`	$-6.77M	USD	3 Qtrs
Loss before income taxes	`IncomeLossFromContinuingOperationsBeforeIncomeTaxesDomestic`	$-4.87M	USD	3 Qtrs
Loss before income taxes	`IncomeLossFromContinuingOperationsBeforeIncomeTaxesDomestic`	$-1.79M	USD	1 Quarter
Income tax provision	`IncomeTaxExpenseBenefit`	-	USD	3 Qtrs
Income tax provision	`IncomeTaxExpenseBenefit`	-	USD	3 Qtrs
Income tax provision	`IncomeTaxExpenseBenefit`	-	USD	1 Quarter
Income tax provision	`IncomeTaxExpenseBenefit`	-	USD	Annual
Income tax provision	`IncomeTaxExpenseBenefit`	-	USD	1 Quarter
Net loss	`NetIncomeLoss`	$-1.53M	USD	1 Quarter
Net loss	`NetIncomeLoss`	$-1.79M	USD	1 Quarter
Net loss	`NetIncomeLoss`	$-4.87M	USD	3 Qtrs
Net loss	`NetIncomeLoss`	$-6.77M	USD	3 Qtrs
Net loss per common share - basic and diluted	`IncomeLossFromContinuingOperationsPerBasicAndDilutedShare`	$-0.02	USD	1 Quarter
Net loss per common share - basic and diluted	`IncomeLossFromContinuingOperationsPerBasicAndDilutedShare`	$-0.06	USD	3 Qtrs
Net loss per common share - basic and diluted	`IncomeLossFromContinuingOperationsPerBasicAndDilutedShare`	$-0.08	USD	3 Qtrs
Net loss per common share - basic and diluted	`IncomeLossFromContinuingOperationsPerBasicAndDilutedShare`	$-0.01	USD	1 Quarter
Weighted average common shares outstanding - basic and diluted	`WeightedAverageNumberOfShareOutstandingBasicAndDiluted`	130.86M	shares	1 Quarter
Weighted average common shares outstanding - basic and diluted	`WeightedAverageNumberOfShareOutstandingBasicAndDiluted`	63.00M	shares	1 Quarter
Weighted average common shares outstanding - basic and diluted	`WeightedAverageNumberOfShareOutstandingBasicAndDiluted`	114.71M	shares	3 Qtrs
Weighted average common shares outstanding - basic and diluted	`WeightedAverageNumberOfShareOutstandingBasicAndDiluted`	58.62M	shares	3 Qtrs

Cash Flow Statement 84 line items

Line Item	Tag	Value	Unit	Period
Net loss	`NetIncomeLoss`	$-1.53M	USD	1 Quarter
Net loss	`NetIncomeLoss`	$-1.79M	USD	1 Quarter
Net loss	`NetIncomeLoss`	$-4.87M	USD	3 Qtrs
Net loss	`NetIncomeLoss`	$-6.77M	USD	3 Qtrs
Loss on debt settlement	`GainsLossesOnExtinguishmentOfDebt`	-	USD	3 Qtrs
Loss on debt settlement	`GainsLossesOnExtinguishmentOfDebt`	$-48.04K	USD	3 Qtrs
Loss on debt settlement	`GainsLossesOnExtinguishmentOfDebt`	-	USD	1 Quarter
Loss on debt settlement	`GainsLossesOnExtinguishmentOfDebt`	-	USD	1 Quarter
Loss on cryptocurrency sales	`CryptocurrencyLosses`	-	USD	1 Quarter
Loss on cryptocurrency sales	`CryptocurrencyLosses`	-	USD	1 Quarter
Loss on cryptocurrency sales	`CryptocurrencyLosses`	$925.82K	USD	3 Qtrs
Loss on cryptocurrency sales	`CryptocurrencyLosses`	-	USD	3 Qtrs
Depreciation and amortization	`DepreciationDepletionAndAmortization`	$5.85K	USD	3 Qtrs
Depreciation and amortization	`DepreciationDepletionAndAmortization`	$11.85K	USD	3 Qtrs
Debt discount amortization	`AmortizationOfDebtDiscountPremium`	$740.27K	USD	3 Qtrs
Debt discount amortization	`AmortizationOfDebtDiscountPremium`	$154.70K	USD	3 Qtrs
Imputed interest	`ImputedInterest`	$47.16K	USD	3 Qtrs
Imputed interest	`ImputedInterest`	$17.38K	USD	3 Qtrs
Stock based compensation	`EmployeeBenefitsAndShareBasedCompensation`	$1.87M	USD	3 Qtrs
Stock based compensation	`EmployeeBenefitsAndShareBasedCompensation`	$1.96M	USD	3 Qtrs
Accounts receivable	`IncreaseDecreaseInAccountsReceivable`	$11.22K	USD	3 Qtrs
Accounts receivable	`IncreaseDecreaseInAccountsReceivable`	$13.96K	USD	3 Qtrs
Prepaid expenses	`IncreaseDecreaseInPrepaidExpense`	$58.54K	USD	3 Qtrs
Prepaid expenses	`IncreaseDecreaseInPrepaidExpense`	$-349.47K	USD	3 Qtrs
Accounts payable	`IncreaseDecreaseInAccountsPayable`	$354.84K	USD	3 Qtrs
Accounts payable	`IncreaseDecreaseInAccountsPayable`	$382.22K	USD	3 Qtrs
Accounts payable - related parties	`IncreaseDecreaseInAccountsPayableRelatedParties`	$-2.23K	USD	3 Qtrs
Accounts payable - related parties	`IncreaseDecreaseInAccountsPayableRelatedParties`	$307.07K	USD	3 Qtrs
Accrued expenses	`IncreaseDecreaseInAccruedLiabilities`	$276.00K	USD	3 Qtrs
Accrued expenses	`IncreaseDecreaseInAccruedLiabilities`	$532.71K	USD	3 Qtrs
Net cash used in operating activities	`NetCashProvidedByUsedInOperatingActivities`	$-2.16M	USD	3 Qtrs
Net cash used in operating activities	`NetCashProvidedByUsedInOperatingActivities`	$-2.12M	USD	3 Qtrs
Cash paid for equipment	`PaymentsToAcquireMachineryAndEquipment`	$26.16K	USD	3 Qtrs
Cash paid for equipment	`PaymentsToAcquireMachineryAndEquipment`	$5.24K	USD	3 Qtrs
Cash received from sale of cryptocurrencies	`CashReceivedFromCryptocurrencySales`	$718.18K	USD	3 Qtrs
Cash received from sale of cryptocurrencies	`CashReceivedFromCryptocurrencySales`	-	USD	3 Qtrs
Proceeds from Comencia Inc. acquisition	`CashAcquiredFromAcquisition`	$11.99K	USD	3 Qtrs
Proceeds from Comencia Inc. acquisition	`CashAcquiredFromAcquisition`	-	USD	3 Qtrs
Net cash provided by (used) in investing activities	`NetCashProvidedByUsedInInvestingActivities`	$-14.17K	USD	3 Qtrs
Net cash provided by (used) in investing activities	`NetCashProvidedByUsedInInvestingActivities`	$712.94K	USD	3 Qtrs
Proceeds from issuance of common stock	`ProceedsFromIssuanceOfCommonStock`	$554.50K	USD	3 Qtrs
Proceeds from issuance of common stock	`ProceedsFromIssuanceOfCommonStock`	$1.07M	USD	3 Qtrs
Borrowings from convertible debt	`ProceedsFromConvertibleDebt`	$592.75K	USD	3 Qtrs
Borrowings from convertible debt	`ProceedsFromConvertibleDebt`	$630.00K	USD	3 Qtrs
Borrowing on promissory notes	`BorrowingOnPromissoryNotes`	-	USD	3 Qtrs
Borrowing on promissory notes	`BorrowingOnPromissoryNotes`	$-450.00K	USD	3 Qtrs
Payments on convertible debt	`RepaymentsOfConvertibleDebt`	$206.04K	USD	3 Qtrs
Payments on convertible debt	`RepaymentsOfConvertibleDebt`	-	USD	3 Qtrs
Net cash provided by financing activities	`NetCashProvidedByUsedInFinancingActivities`	$1.63M	USD	3 Qtrs
Net cash provided by financing activities	`NetCashProvidedByUsedInFinancingActivities`	$1.42M	USD	3 Qtrs
Foreign currency translation adjustment	`EffectOfExchangeRateOnCashAndCashEquivalentsContinuingOperations`	$-3.61K	USD	3 Qtrs
Foreign currency translation adjustment	`EffectOfExchangeRateOnCashAndCashEquivalentsContinuingOperations`	$8.44K	USD	3 Qtrs
Net change in cash and cash equivalents	`CashAndCashEquivalentsPeriodIncreaseDecrease`	$-33.13K	USD	3 Qtrs
Net change in cash and cash equivalents	`CashAndCashEquivalentsPeriodIncreaseDecrease`	$-492.22K	USD	3 Qtrs
Cash and cash equivalents, beginning of year	`CashAndCashEquivalentsAtCarryingValue`	$539.24K	USD	Point-in-time
Cash and cash equivalents, beginning of year	`CashAndCashEquivalentsAtCarryingValue`	$47.02K	USD	Point-in-time
Cash and cash equivalents, beginning of year	`CashAndCashEquivalentsAtCarryingValue`	$58.71K	USD	Point-in-time
Cash and cash equivalents, beginning of year	`CashAndCashEquivalentsAtCarryingValue`	$25.58K	USD	Point-in-time
Cash and cash equivalents, end of period	`CashAndCashEquivalentsAtCarryingValue`	$539.24K	USD	Point-in-time
Cash and cash equivalents, end of period	`CashAndCashEquivalentsAtCarryingValue`	$47.02K	USD	Point-in-time
Cash and cash equivalents, end of period	`CashAndCashEquivalentsAtCarryingValue`	$58.71K	USD	Point-in-time
Cash and cash equivalents, end of period	`CashAndCashEquivalentsAtCarryingValue`	$25.58K	USD	Point-in-time
Issuance of common stock for stock payable	`IssuanceOfCommonStockForStockPayable`	$1.83M	USD	3 Qtrs
Issuance of common stock for stock payable	`IssuanceOfCommonStockForStockPayable`	$2.54M	USD	3 Qtrs
Discount from warrants issued with debt	`DiscountFromWarrantsIssuedWithDebt`	$450.00K	USD	3 Qtrs
Discount from warrants issued with debt	`DiscountFromWarrantsIssuedWithDebt`	-	USD	3 Qtrs
Beneficial conversion feature	`DebtInstrumentConvertibleBeneficialConversionFeature`	$518.00K	USD	3 Qtrs
Beneficial conversion feature	`DebtInstrumentConvertibleBeneficialConversionFeature`	$383.12K	USD	3 Qtrs
Stock retired for domain purchase	`StockRetiredForDomainPurchase`	-	USD	3 Qtrs
Stock retired for domain purchase	`StockRetiredForDomainPurchase`	$3.00K	USD	3 Qtrs
Stock issued for AP conversions	`StockIssuedForApConversions`	$61.70K	USD	3 Qtrs
Stock issued for AP conversions	`StockIssuedForApConversions`	-	USD	3 Qtrs
Stock issued for debt conversions	`StockIssuedForDebtConversions`	$1.13M	USD	3 Qtrs
Stock issued for debt conversions	`StockIssuedForDebtConversions`	-	USD	3 Qtrs
Cryptocurrency issued for AP settlement	`CryptocurrencyIssuedForApSettlement`	-	USD	3 Qtrs
Cryptocurrency issued for AP settlement	`CryptocurrencyIssuedForApSettlement`	$15.08K	USD	3 Qtrs
Stock issued for debt discount	`StockIssuedForDebtDiscount`	$8.01K	USD	3 Qtrs
Stock issued for debt discount	`StockIssuedForDebtDiscount`	-	USD	3 Qtrs
Stock issued for finder''s fee	`StockIssuedForFindersFee`	-	USD	3 Qtrs
Stock issued for finder''s fee	`StockIssuedForFindersFee`	$1.00K	USD	3 Qtrs
AP and accrued expenses converted into promissory notes - related party	`ApAndAccruedExpensesConvertedIntoPromissoryNotesRelatedParty`	-	USD	3 Qtrs
AP and accrued expenses converted into promissory notes - related party	`ApAndAccruedExpensesConvertedIntoPromissoryNotesRelatedParty`	$915.20K	USD	3 Qtrs
Stock issued for cryptocurrency	`StockIssuedForCryptocurrency`	-	USD	3 Qtrs
Stock issued for cryptocurrency	`StockIssuedForCryptocurrency`	$1.66M	USD	3 Qtrs

Data is extracted from SEC EDGAR XBRL filings. Values shown are as reported in the filing.