false
Q3
--05-31
0001281845
0001281845
2023-06-01
2024-02-29
0001281845
2024-05-02
0001281845
2024-02-29
0001281845
2023-05-31
0001281845
us-gaap:NonrelatedPartyMember
2024-02-29
0001281845
us-gaap:NonrelatedPartyMember
2023-05-31
0001281845
us-gaap:RelatedPartyMember
2024-02-29
0001281845
us-gaap:RelatedPartyMember
2023-05-31
0001281845
us-gaap:SeriesAPreferredStockMember
2024-02-29
0001281845
us-gaap:SeriesAPreferredStockMember
2023-05-31
0001281845
us-gaap:SeriesBPreferredStockMember
2024-02-29
0001281845
us-gaap:SeriesBPreferredStockMember
2023-05-31
0001281845
us-gaap:SeriesCPreferredStockMember
2024-02-29
0001281845
us-gaap:SeriesCPreferredStockMember
2023-05-31
0001281845
us-gaap:SeriesDPreferredStockMember
2024-02-29
0001281845
us-gaap:SeriesDPreferredStockMember
2023-05-31
0001281845
UNQL:SeriesAConvertiblePreferredStockMember
2024-02-29
0001281845
UNQL:SeriesAConvertiblePreferredStockMember
2023-05-31
0001281845
UNQL:SeriesBConvertiblePreferredStockMember
2024-02-29
0001281845
UNQL:SeriesBConvertiblePreferredStockMember
2023-05-31
0001281845
UNQL:SeriesCConvertiblePreferredStockMember
2024-02-29
0001281845
UNQL:SeriesCConvertiblePreferredStockMember
2023-05-31
0001281845
UNQL:SeriesDConvertiblePreferredStockMember
2024-02-29
0001281845
UNQL:SeriesDConvertiblePreferredStockMember
2023-05-31
0001281845
2023-12-01
2024-02-29
0001281845
2022-12-01
2023-02-28
0001281845
2022-06-01
2023-02-28
0001281845
UNQL:AirfreightServicesMember
2023-12-01
2024-02-29
0001281845
UNQL:AirfreightServicesMember
2022-12-01
2023-02-28
0001281845
UNQL:AirfreightServicesMember
2023-06-01
2024-02-29
0001281845
UNQL:AirfreightServicesMember
2022-06-01
2023-02-28
0001281845
UNQL:OceanFreightAndOceanServicesMember
2023-12-01
2024-02-29
0001281845
UNQL:OceanFreightAndOceanServicesMember
2022-12-01
2023-02-28
0001281845
UNQL:OceanFreightAndOceanServicesMember
2023-06-01
2024-02-29
0001281845
UNQL:OceanFreightAndOceanServicesMember
2022-06-01
2023-02-28
0001281845
UNQL:ContractLogisticsMember
2023-12-01
2024-02-29
0001281845
UNQL:ContractLogisticsMember
2022-12-01
2023-02-28
0001281845
UNQL:ContractLogisticsMember
2023-06-01
2024-02-29
0001281845
UNQL:ContractLogisticsMember
2022-06-01
2023-02-28
0001281845
UNQL:CustomsBrokerageAndOtherServicesMember
2023-12-01
2024-02-29
0001281845
UNQL:CustomsBrokerageAndOtherServicesMember
2022-12-01
2023-02-28
0001281845
UNQL:CustomsBrokerageAndOtherServicesMember
2023-06-01
2024-02-29
0001281845
UNQL:CustomsBrokerageAndOtherServicesMember
2022-06-01
2023-02-28
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesAPreferredStockMember
2023-05-31
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesBPreferredStockMember
2023-05-31
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesCPreferredStockMember
2023-05-31
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesDPreferredStockMember
2023-05-31
0001281845
us-gaap:CommonStockMember
2023-05-31
0001281845
us-gaap:AdditionalPaidInCapitalMember
2023-05-31
0001281845
us-gaap:AccumulatedOtherComprehensiveIncomeMember
2023-05-31
0001281845
us-gaap:RetainedEarningsMember
2023-05-31
0001281845
us-gaap:ParentMember
2023-05-31
0001281845
us-gaap:NoncontrollingInterestMember
2023-05-31
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesAPreferredStockMember
2023-08-31
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesBPreferredStockMember
2023-08-31
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesCPreferredStockMember
2023-08-31
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesDPreferredStockMember
2023-08-31
0001281845
us-gaap:CommonStockMember
2023-08-31
0001281845
us-gaap:AdditionalPaidInCapitalMember
2023-08-31
0001281845
us-gaap:AccumulatedOtherComprehensiveIncomeMember
2023-08-31
0001281845
us-gaap:RetainedEarningsMember
2023-08-31
0001281845
us-gaap:ParentMember
2023-08-31
0001281845
us-gaap:NoncontrollingInterestMember
2023-08-31
0001281845
2023-08-31
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesAPreferredStockMember
2023-11-30
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesBPreferredStockMember
2023-11-30
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesCPreferredStockMember
2023-11-30
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesDPreferredStockMember
2023-11-30
0001281845
us-gaap:CommonStockMember
2023-11-30
0001281845
us-gaap:AdditionalPaidInCapitalMember
2023-11-30
0001281845
us-gaap:AccumulatedOtherComprehensiveIncomeMember
2023-11-30
0001281845
us-gaap:RetainedEarningsMember
2023-11-30
0001281845
us-gaap:ParentMember
2023-11-30
0001281845
us-gaap:NoncontrollingInterestMember
2023-11-30
0001281845
2023-11-30
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesAPreferredStockMember
2022-05-31
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesBPreferredStockMember
2022-05-31
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesCPreferredStockMember
2022-05-31
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesDPreferredStockMember
2022-05-31
0001281845
us-gaap:CommonStockMember
2022-05-31
0001281845
us-gaap:AdditionalPaidInCapitalMember
2022-05-31
0001281845
us-gaap:RetainedEarningsMember
2022-05-31
0001281845
us-gaap:ParentMember
2022-05-31
0001281845
us-gaap:NoncontrollingInterestMember
2022-05-31
0001281845
2022-05-31
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesAPreferredStockMember
2022-08-31
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesBPreferredStockMember
2022-08-31
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesCPreferredStockMember
2022-08-31
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesDPreferredStockMember
2022-08-31
0001281845
us-gaap:CommonStockMember
2022-08-31
0001281845
us-gaap:AdditionalPaidInCapitalMember
2022-08-31
0001281845
us-gaap:RetainedEarningsMember
2022-08-31
0001281845
us-gaap:ParentMember
2022-08-31
0001281845
us-gaap:NoncontrollingInterestMember
2022-08-31
0001281845
2022-08-31
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesAPreferredStockMember
2022-11-30
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesBPreferredStockMember
2022-11-30
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesCPreferredStockMember
2022-11-30
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesDPreferredStockMember
2022-11-30
0001281845
us-gaap:CommonStockMember
2022-11-30
0001281845
us-gaap:AdditionalPaidInCapitalMember
2022-11-30
0001281845
us-gaap:RetainedEarningsMember
2022-11-30
0001281845
us-gaap:ParentMember
2022-11-30
0001281845
us-gaap:NoncontrollingInterestMember
2022-11-30
0001281845
2022-11-30
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesAPreferredStockMember
2023-06-01
2023-08-31
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesBPreferredStockMember
2023-06-01
2023-08-31
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesCPreferredStockMember
2023-06-01
2023-08-31
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesDPreferredStockMember
2023-06-01
2023-08-31
0001281845
us-gaap:CommonStockMember
2023-06-01
2023-08-31
0001281845
us-gaap:AdditionalPaidInCapitalMember
2023-06-01
2023-08-31
0001281845
us-gaap:AccumulatedOtherComprehensiveIncomeMember
2023-06-01
2023-08-31
0001281845
us-gaap:RetainedEarningsMember
2023-06-01
2023-08-31
0001281845
us-gaap:ParentMember
2023-06-01
2023-08-31
0001281845
us-gaap:NoncontrollingInterestMember
2023-06-01
2023-08-31
0001281845
2023-06-01
2023-08-31
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesAPreferredStockMember
2023-09-01
2023-11-30
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesBPreferredStockMember
2023-09-01
2023-11-30
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesCPreferredStockMember
2023-09-01
2023-11-30
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesDPreferredStockMember
2023-09-01
2023-11-30
0001281845
us-gaap:CommonStockMember
2023-09-01
2023-11-30
0001281845
us-gaap:AdditionalPaidInCapitalMember
2023-09-01
2023-11-30
0001281845
us-gaap:AccumulatedOtherComprehensiveIncomeMember
2023-09-01
2023-11-30
0001281845
us-gaap:RetainedEarningsMember
2023-09-01
2023-11-30
0001281845
us-gaap:ParentMember
2023-09-01
2023-11-30
0001281845
us-gaap:NoncontrollingInterestMember
2023-09-01
2023-11-30
0001281845
2023-09-01
2023-11-30
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesAPreferredStockMember
2023-12-01
2024-02-29
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesBPreferredStockMember
2023-12-01
2024-02-29
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesCPreferredStockMember
2023-12-01
2024-02-29
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesDPreferredStockMember
2023-12-01
2024-02-29
0001281845
us-gaap:CommonStockMember
2023-12-01
2024-02-29
0001281845
us-gaap:AdditionalPaidInCapitalMember
2023-12-01
2024-02-29
0001281845
us-gaap:AccumulatedOtherComprehensiveIncomeMember
2023-12-01
2024-02-29
0001281845
us-gaap:RetainedEarningsMember
2023-12-01
2024-02-29
0001281845
us-gaap:ParentMember
2023-12-01
2024-02-29
0001281845
us-gaap:NoncontrollingInterestMember
2023-12-01
2024-02-29
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesAPreferredStockMember
2022-06-01
2022-08-31
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesBPreferredStockMember
2022-06-01
2022-08-31
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesCPreferredStockMember
2022-06-01
2022-08-31
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesDPreferredStockMember
2022-06-01
2022-08-31
0001281845
us-gaap:CommonStockMember
2022-06-01
2022-08-31
0001281845
us-gaap:AdditionalPaidInCapitalMember
2022-06-01
2022-08-31
0001281845
us-gaap:RetainedEarningsMember
2022-06-01
2022-08-31
0001281845
us-gaap:ParentMember
2022-06-01
2022-08-31
0001281845
us-gaap:NoncontrollingInterestMember
2022-06-01
2022-08-31
0001281845
2022-06-01
2022-08-31
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesAPreferredStockMember
2022-09-01
2022-11-30
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesBPreferredStockMember
2022-09-01
2022-11-30
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesCPreferredStockMember
2022-09-01
2022-11-30
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesDPreferredStockMember
2022-09-01
2022-11-30
0001281845
us-gaap:CommonStockMember
2022-09-01
2022-11-30
0001281845
us-gaap:AdditionalPaidInCapitalMember
2022-09-01
2022-11-30
0001281845
us-gaap:RetainedEarningsMember
2022-09-01
2022-11-30
0001281845
us-gaap:ParentMember
2022-09-01
2022-11-30
0001281845
us-gaap:NoncontrollingInterestMember
2022-09-01
2022-11-30
0001281845
2022-09-01
2022-11-30
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesAPreferredStockMember
2022-12-01
2023-02-28
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesBPreferredStockMember
2022-12-01
2023-02-28
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesCPreferredStockMember
2022-12-01
2023-02-28
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesDPreferredStockMember
2022-12-01
2023-02-28
0001281845
us-gaap:CommonStockMember
2022-12-01
2023-02-28
0001281845
us-gaap:AdditionalPaidInCapitalMember
2022-12-01
2023-02-28
0001281845
us-gaap:RetainedEarningsMember
2022-12-01
2023-02-28
0001281845
us-gaap:ParentMember
2022-12-01
2023-02-28
0001281845
us-gaap:NoncontrollingInterestMember
2022-12-01
2023-02-28
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesAPreferredStockMember
2024-02-29
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesBPreferredStockMember
2024-02-29
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesCPreferredStockMember
2024-02-29
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesDPreferredStockMember
2024-02-29
0001281845
us-gaap:CommonStockMember
2024-02-29
0001281845
us-gaap:AdditionalPaidInCapitalMember
2024-02-29
0001281845
us-gaap:AccumulatedOtherComprehensiveIncomeMember
2024-02-29
0001281845
us-gaap:RetainedEarningsMember
2024-02-29
0001281845
us-gaap:ParentMember
2024-02-29
0001281845
us-gaap:NoncontrollingInterestMember
2024-02-29
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesAPreferredStockMember
2023-02-28
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesBPreferredStockMember
2023-02-28
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesCPreferredStockMember
2023-02-28
0001281845
us-gaap:PreferredStockMember
us-gaap:SeriesDPreferredStockMember
2023-02-28
0001281845
us-gaap:CommonStockMember
2023-02-28
0001281845
us-gaap:AdditionalPaidInCapitalMember
2023-02-28
0001281845
us-gaap:RetainedEarningsMember
2023-02-28
0001281845
us-gaap:ParentMember
2023-02-28
0001281845
us-gaap:NoncontrollingInterestMember
2023-02-28
0001281845
2023-02-28
0001281845
2023-07-20
0001281845
us-gaap:AccountsReceivableMember
us-gaap:CustomerConcentrationRiskMember
UNQL:ThreeMajorCustomersMember
2023-06-01
2024-02-29
0001281845
us-gaap:AccountsReceivableMember
us-gaap:CustomerConcentrationRiskMember
UNQL:NoCustomersMember
2023-06-01
2024-02-29
0001281845
us-gaap:AccountsReceivableMember
us-gaap:CustomerConcentrationRiskMember
UNQL:ThreeMajorCustomersMember
2022-06-01
2023-02-28
0001281845
us-gaap:AccountsReceivableMember
us-gaap:CustomerConcentrationRiskMember
UNQL:NoCustomersMember
2022-06-01
2023-02-28
0001281845
us-gaap:RevenueFromContractWithCustomerMember
us-gaap:CustomerConcentrationRiskMember
UNQL:ThreeMajorCustomersMember
2023-12-01
2024-02-29
0001281845
us-gaap:RevenueFromContractWithCustomerMember
us-gaap:CustomerConcentrationRiskMember
UNQL:ThreeMajorCustomersMember
2023-06-01
2024-02-29
0001281845
us-gaap:RevenueFromContractWithCustomerMember
us-gaap:CustomerConcentrationRiskMember
UNQL:NoCustomersMember
2023-12-01
2024-02-29
0001281845
us-gaap:RevenueFromContractWithCustomerMember
us-gaap:CustomerConcentrationRiskMember
UNQL:NoCustomersMember
2023-06-01
2024-02-29
0001281845
us-gaap:RevenueFromContractWithCustomerMember
us-gaap:CustomerConcentrationRiskMember
UNQL:CustomerAMember
2023-12-01
2024-02-29
0001281845
us-gaap:RevenueFromContractWithCustomerMember
us-gaap:CustomerConcentrationRiskMember
UNQL:CustomerAMember
2023-06-01
2024-02-29
0001281845
us-gaap:RevenueFromContractWithCustomerMember
us-gaap:CustomerConcentrationRiskMember
UNQL:ThreeMajorCustomersMember
2022-12-01
2023-02-28
0001281845
us-gaap:RevenueFromContractWithCustomerMember
us-gaap:CustomerConcentrationRiskMember
UNQL:ThreeMajorCustomersMember
2022-06-01
2023-02-28
0001281845
us-gaap:RevenueFromContractWithCustomerMember
us-gaap:CustomerConcentrationRiskMember
UNQL:NoCustomersMember
2022-12-01
2023-02-28
0001281845
us-gaap:RevenueFromContractWithCustomerMember
us-gaap:CustomerConcentrationRiskMember
UNQL:NoCustomersMember
2022-06-01
2023-02-28
0001281845
UNQL:TradenamesAndNonCompeteAgreementsMember
srt:MinimumMember
2024-02-29
0001281845
UNQL:TradenamesAndNonCompeteAgreementsMember
srt:MaximumMember
2024-02-29
0001281845
us-gaap:CustomerRelationshipsMember
srt:MinimumMember
2024-02-29
0001281845
us-gaap:CustomerRelationshipsMember
srt:MaximumMember
2024-02-29
0001281845
UNQL:InvesteesMember
2023-02-21
0001281845
us-gaap:ConvertiblePreferredStockMember
2023-06-01
2024-02-29
0001281845
UNQL:ChinaHongKongTaiwanMember
2023-12-01
2024-02-29
0001281845
UNQL:ChinaHongKongTaiwanMember
2022-12-01
2023-02-28
0001281845
UNQL:SoutheastAsiaMember
2023-12-01
2024-02-29
0001281845
UNQL:SoutheastAsiaMember
2022-12-01
2023-02-28
0001281845
country:US
2023-12-01
2024-02-29
0001281845
country:US
2022-12-01
2023-02-28
0001281845
country:IN
2023-12-01
2024-02-29
0001281845
country:IN
2022-12-01
2023-02-28
0001281845
UNQL:OtherMember
2023-12-01
2024-02-29
0001281845
UNQL:OtherMember
2022-12-01
2023-02-28
0001281845
UNQL:ChinaHongKongTaiwanMember
2023-06-01
2024-02-29
0001281845
UNQL:ChinaHongKongTaiwanMember
2022-06-01
2023-02-28
0001281845
UNQL:SoutheastAsiaMember
2023-06-01
2024-02-29
0001281845
UNQL:SoutheastAsiaMember
2022-06-01
2023-02-28
0001281845
country:US
2023-06-01
2024-02-29
0001281845
country:US
2022-06-01
2023-02-28
0001281845
country:IN
2023-06-01
2024-02-29
0001281845
country:IN
2022-06-01
2023-02-28
0001281845
UNQL:OtherMember
2023-06-01
2024-02-29
0001281845
UNQL:OtherMember
2022-06-01
2023-02-28
0001281845
us-gaap:FairValueInputsLevel1Member
2023-05-31
0001281845
us-gaap:FairValueInputsLevel2Member
2023-05-31
0001281845
us-gaap:FairValueInputsLevel3Member
2023-05-31
0001281845
us-gaap:FairValueInputsLevel1Member
2023-06-01
2024-02-29
0001281845
us-gaap:FairValueInputsLevel2Member
2023-06-01
2024-02-29
0001281845
us-gaap:FairValueInputsLevel3Member
2023-06-01
2024-02-29
0001281845
us-gaap:FairValueInputsLevel1Member
2024-02-29
0001281845
us-gaap:FairValueInputsLevel2Member
2024-02-29
0001281845
us-gaap:FairValueInputsLevel3Member
2024-02-29
0001281845
us-gaap:MeasurementInputRiskFreeInterestRateMember
us-gaap:ConvertiblePreferredStockMember
2024-02-29
0001281845
us-gaap:MeasurementInputRiskFreeInterestRateMember
us-gaap:ConvertiblePreferredStockMember
2023-05-31
0001281845
UNQL:MeasurementInputProbabilityOfProbabilityOfFinancingEventMember
us-gaap:ConvertiblePreferredStockMember
2024-02-29
0001281845
UNQL:MeasurementInputProbabilityOfProbabilityOfFinancingEventMember
us-gaap:ConvertiblePreferredStockMember
2023-05-31
0001281845
us-gaap:ConvertiblePreferredStockMember
2024-02-29
0001281845
us-gaap:ConvertiblePreferredStockMember
2023-05-31
0001281845
us-gaap:ConvertiblePreferredStockMember
2022-06-01
2023-05-31
0001281845
us-gaap:MeasurementInputRiskFreeInterestRateMember
us-gaap:WarrantMember
2024-02-29
0001281845
UNQL:MeasurementInputProbabilityOfProbabilityOfFinancingEventNextTwoYearsMember
us-gaap:WarrantMember
2024-02-29
0001281845
UNQL:MeasurementInputProbabilityOfProbabilityOfFinancingEventYearsTwoThroughSevenFiveMember
us-gaap:WarrantMember
2024-02-29
0001281845
us-gaap:WarrantMember
us-gaap:MeasurementInputPriceVolatilityMember
2024-02-29
0001281845
us-gaap:SeriesAPreferredStockMember
2023-12-01
2024-02-29
0001281845
us-gaap:SeriesAPreferredStockMember
2022-12-01
2023-02-28
0001281845
us-gaap:SeriesBPreferredStockMember
2023-12-01
2024-02-29
0001281845
us-gaap:SeriesBPreferredStockMember
2022-12-01
2023-02-28
0001281845
us-gaap:SeriesCPreferredStockMember
2023-12-01
2024-02-29
0001281845
us-gaap:SeriesCPreferredStockMember
2022-12-01
2023-02-28
0001281845
us-gaap:SeriesDPreferredStockMember
2023-12-01
2024-02-29
0001281845
us-gaap:SeriesDPreferredStockMember
2022-12-01
2023-02-28
0001281845
us-gaap:SeriesAPreferredStockMember
2023-06-01
2024-02-29
0001281845
us-gaap:SeriesAPreferredStockMember
2022-06-01
2023-02-28
0001281845
us-gaap:SeriesBPreferredStockMember
2023-06-01
2024-02-29
0001281845
us-gaap:SeriesBPreferredStockMember
2022-06-01
2023-02-28
0001281845
us-gaap:SeriesCPreferredStockMember
2023-06-01
2024-02-29
0001281845
us-gaap:SeriesCPreferredStockMember
2022-06-01
2023-02-28
0001281845
us-gaap:SeriesDPreferredStockMember
2023-06-01
2024-02-29
0001281845
us-gaap:SeriesDPreferredStockMember
2022-06-01
2023-02-28
0001281845
2023-12-31
0001281845
UNQL:FinancingAgreementMember
UNQL:SeniorSecuredTermLoanMember
2023-03-10
0001281845
UNQL:FinancingAgreementMember
UNQL:DelayedDraftTermLoanMember
srt:MaximumMember
2023-03-10
0001281845
us-gaap:SubsequentEventMember
UNQL:FinancingAgreementMember
2024-03-01
2024-03-01
0001281845
us-gaap:SubsequentEventMember
UNQL:FinancingAgreementMember
2024-03-01
0001281845
us-gaap:WarrantMember
2023-06-01
2024-02-29
0001281845
UNQL:TBKAgreementMember
2023-07-20
0001281845
UNQL:FinancingAgreementMember
UNQL:SeniorSecuredTermLoanMember
2023-03-13
2023-03-13
0001281845
UNQL:FinancingAgreementMember
UNQL:DelayedDraftTermLoanMember
2023-06-30
2023-06-30
0001281845
UNQL:FinancingAgreementMember
2023-03-10
2023-03-10
0001281845
UNQL:FinancingAgreementMember
UNQL:DelayedDraftTermLoanMember
2024-02-29
0001281845
UNQL:FrangipaniTradeServicesMember
2024-02-29
0001281845
UNQL:FrangipaniTradeServicesMember
2023-05-31
0001281845
UNQL:UniqueLogisticsHoldingsLimitedHongKongMember
2024-02-29
0001281845
UNQL:UniqueLogisticsHoldingsLimitedHongKongMember
2023-05-31
0001281845
UNQL:PromissoryNotesMember
UNQL:FrangipaniTradeServicesMember
2021-03-30
0001281845
UNQL:PromissoryNotesMember
UNQL:FrangipaniTradeServicesMember
2021-03-30
2021-03-30
0001281845
UNQL:PromissoryNotesMember
UNQL:FrangipaniTradeServicesMember
2024-02-29
0001281845
UNQL:PromissoryNotesMember
UNQL:FrangipaniTradeServicesMember
2023-02-21
0001281845
UNQL:PromissoryNotesMember
UNQL:FrangipaniTradeServicesMember
2023-02-21
2023-02-21
0001281845
UNQL:UniqueLogisticsHoldingsLimitedHongKongMember
2023-02-21
0001281845
us-gaap:RelatedPartyMember
2023-12-01
2024-02-29
0001281845
us-gaap:RelatedPartyMember
2022-12-01
2023-02-28
0001281845
us-gaap:RelatedPartyMember
2023-06-01
2024-02-29
0001281845
us-gaap:RelatedPartyMember
2022-06-01
2023-02-28
0001281845
UNQL:SeriesAConvertiblePreferredStockMember
2023-06-01
2024-02-29
0001281845
UNQL:SeriesCConvertiblePreferredStockMember
2023-06-01
2024-02-29
0001281845
UNQL:SeriesDConvertiblePreferredStockMember
2023-06-01
2024-02-29
0001281845
UNQL:UniqueLogisticsHoldingsLimitedHongKongMember
UNQL:NetAssetsNoteMember
2023-02-21
0001281845
UNQL:UniqueLogisticsHoldingsLimitedHongKongMember
UNQL:SecondNetAssetsNoteMember
2023-02-21
0001281845
UNQL:UniqueLogisticsHoldingsLimitedHongKongMember
UNQL:TaiwanNoteMember
2023-02-21
0001281845
UNQL:UniqueLogisticsHoldingsLimitedHongKongMember
UNQL:OriginalSellerNoteMember
2023-02-21
0001281845
UNQL:UniqueLogisticsHoldingsLimitedHongKongMember
UNQL:AdditionalLoanMember
2023-10-03
0001281845
UNQL:UniqueLogisticsHoldingsLimitedHongKongMember
2023-10-03
0001281845
UNQL:UniqueLogisticsHoldingsLimitedHongKongMember
2023-10-03
2023-10-03
0001281845
UNQL:UniqueLogisticsHoldingsLimitedHongKongMember
UNQL:SecondNetAssetsNoteMember
2023-10-09
2023-10-09
0001281845
UNQL:UniqueLogisticsHoldingsLimitedHongKongMember
UNQL:SecondNetAssetsNoteMember
2023-10-09
0001281845
us-gaap:SubsequentEventMember
UNQL:UniqueLogisticsHoldingsLimitedHongKongMember
UNQL:PromissoryNoteElevenMember
2024-03-05
0001281845
us-gaap:SubsequentEventMember
UNQL:UniqueLogisticsHoldingsLimitedHongKongMember
UNQL:PromissoryNoteTwelveMember
2024-03-05
0001281845
us-gaap:SubsequentEventMember
UNQL:UniqueLogisticsHoldingsLimitedHongKongMember
UNQL:PromissoryNoteElevenMember
2024-03-05
2024-03-05
0001281845
us-gaap:SubsequentEventMember
UNQL:UniqueLogisticsHoldingsLimitedHongKongMember
UNQL:PromissoryNoteTwelveMember
2024-03-05
2024-03-05
0001281845
us-gaap:SubsequentEventMember
UNQL:UniqueLogisticsHoldingsLimitedHongKongMember
UNQL:SecondNetAssetsNoteMember
2024-03-05
2024-03-05
0001281845
us-gaap:SubsequentEventMember
UNQL:UniqueLogisticsHoldingsLimitedHongKongMember
UNQL:OriginalSellerNoteMember
2024-03-06
2024-03-06
0001281845
us-gaap:SubsequentEventMember
UNQL:UniqueLogisticsHoldingsLimitedHongKongMember
UNQL:OriginalSellerNoteMember
2024-03-06
0001281845
UNQL:StockPurchaseAgreementMember
us-gaap:SubsequentEventMember
UNQL:UniqueLogisticsInternationalSinPteLtdMember
2024-04-29
2024-04-29
iso4217:USD
xbrli:shares
iso4217:USD
xbrli:shares
xbrli:pure
UNITED
STATES
SECURITIES
AND EXCHANGE COMMISSION
Washington,
D.C. 20549
FORM
10-Q
☒
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For
the quarterly period ended February 29, 2024
or
☐
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For
the transition period from _________ to _________
Commission
file number: 000-50612
UNIQUE
LOGISTICS INTERNATIONAL, INC.
(Exact
name of registrant as specified in its charter)
Nevada |
|
01-0721929 |
(State
or other jurisdiction
of
incorporation or organization) |
|
(I.R.S.
Employer
Identification
No.) |
|
|
|
154-09
146th Ave,
Jamaica,
NY |
|
11434 |
(Address
of principal executive offices) |
|
(Zip
Code) |
678-365-6004
(Registrant’s
telephone number, including area code)
Securities
registered under Section 12(b) of the Act:
Title
of each class |
|
Trading
symbol(s) |
|
Name
of exchange on which registered |
None |
|
None |
|
None |
Indicate
by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange
Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2)
has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐
Indicate
by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule
405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant
was required to submit such files). Yes ☒ No ☐
Indicate
by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting
company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,”
“smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.
Large
accelerated filer |
☐ |
Accelerated
filer |
☐ |
|
|
|
|
Non-accelerated
filer |
☒ |
Smaller
reporting company |
☒ |
|
|
|
|
|
|
Emerging
growth company |
☐ |
If
an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying
with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act: ☐
Indicate
by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ☒
As
of May 2, 2024, there were 799,141,770
shares of the registrant’s common stock outstanding.
UNIQUE
LOGISTICS INTERNATIONAL, INC.
FORM
10-Q
FOR
THE QUARTERLY PERIOD ENDED FEBRUARY 29, 2024
TABLE
OF CONTENTS
PART
I - FINANCIAL INFORMATION
ITEM
1. FINANCIAL STATEMENTS
UNIQUE
LOGISTICS INTERNATIONAL, INC.
CONDENSED
CONSOLIDATED BALANCE SHEETS
| |
February 29, 2024 | | |
May 31, 2023 | |
| |
(Unaudited) | | |
(Audited) | |
| |
| | |
| |
ASSETS | |
| | | |
| | |
Current Assets: | |
| | | |
| | |
Cash and cash equivalents | |
$ | 6,743,144 | | |
$ | 6,744,238 | |
Accounts receivable, net | |
| 42,059,013 | | |
| 41,402,435 | |
Contract assets | |
| 3,047,570 | | |
| 2,886,779 | |
Other current assets and prepaids | |
| 5,374,732 | | |
| 9,293,533 | |
Total current assets | |
| 57,224,459 | | |
| 60,326,985 | |
| |
| | | |
| | |
Property and equipment, net | |
| 822,230 | | |
| 609,785 | |
| |
| | | |
| | |
Other noncurrent assets: | |
| | | |
| | |
Goodwill | |
| 20,516,018 | | |
| 20,516,018 | |
Intangible assets, net | |
| 11,571,589 | | |
| 12,865,093 | |
Equity-method investments | |
| 3,449,163 | | |
| 3,381,683 | |
Operating lease right-of-use assets, net | |
| 9,395,501 | | |
| 10,269,516 | |
Deferred tax asset, net | |
| 1,978,178 | | |
| - | |
Deferred offering cost | |
| - | | |
| 2,419,976 | |
Other noncurrent assets | |
| 670,707 | | |
| 1,133,674 | |
Total other noncurrent assets | |
| 47,581,156 | | |
| 50,585,960 | |
Total assets | |
$ | 105,627,845 | | |
$ | 111,522,730 | |
| |
| | | |
| | |
Liabilities and Stockholders’ Equity | |
| | | |
| | |
Current Liabilities: | |
| | | |
| | |
Accounts payable | |
$ | 27,712,571 | | |
$ | 25,132,388 | |
Accrued expenses and current liabilities | |
| 6,372,823 | | |
| 8,594,947 | |
Accrued freight | |
| 2,225,313 | | |
| 3,489,957 | |
Revolving credit facility | |
| 11,852,663 | | |
| 8,050,227 | |
Current portion of notes payable | |
| 971,081 | | |
| - | |
Current portion of notes payable to related parties | |
| 150,655 | | |
| 4,801,310 | |
Current portion of notes payable | |
| 150,655 | | |
| 4,801,310 | |
Current portion of operating lease liability | |
| 2,676,904 | | |
| 2,379,774 | |
Total current liabilities | |
| 51,962,010 | | |
| 52,448,603 | |
| |
| | | |
| | |
Noncurrent liabilities | |
| | | |
| | |
Notes payable | |
| 11,028,919 | | |
| 4,000,000 | |
Notes payable to related parties, net of current portion | |
| 10,100,000 | | |
| 8,750,000 | |
Notes payable | |
| 10,100,000 | | |
| 8,750,000 | |
Operating lease liability, net of current portion | |
| 7,194,929 | | |
| 8,212,445 | |
Derivative liabilities | |
| 7,439,695 | | |
| 11,558,261 | |
Deferred tax liability, net | |
| - | | |
| 4,405,442 | |
Other noncurrent liabilities | |
| 11,558,135 | | |
| 4,552,346 | |
Total noncurrent liabilities | |
| 47,321,678 | | |
| 41,478,494 | |
| |
| | | |
| | |
Total liabilities | |
| 99,283,688 | | |
| 93,927,097 | |
| |
| | | |
| | |
Commitments and contingencies (Note 6) | |
| - | | |
| - | |
| |
| | | |
| | |
Stockholders’ Equity: | |
| | | |
| | |
Preferred Stock, $.001 par value: 5,000,000 shares authorized | |
| | | |
| | |
| |
| | | |
| | |
Series A Convertible Preferred stock, $0.001 par value; 120,065 issued and outstanding
as of February 29, 2024 and May 31, 2023, respectively. Liquidation preference $120 on February 29, 2024 | |
| 120 | | |
| 120 | |
Series B Convertible Preferred stock, $0.001 par value; 820,800 issued and outstanding
as of February 29, 2024 and May 31, 2023, respectively. Liquidation preference of $821 on February 29, 2024 | |
| 821 | | |
| 821 | |
Series C Convertible Preferred stock, $0.001 par value; 195, issued and outstanding
as of February 29, 2024 and May 31, 2023, respectively. Liquidation preference $7.6 million on February 29, 2024 | |
| - | | |
| - | |
Series D Convertible Preferred stock, $0.001 par value; 180 issued and outstanding
as of February 29, 2024 and May 31, 2023, respectively. Liquidation preference $7.1 million on February 29, 2024 | |
| - | | |
| - | |
Preferred stock, value | |
| - | | |
| - | |
| |
| | | |
| | |
Common stock, $0.001 par value; 800,000,000 shares authorized; 799,141,770 shares issued and outstanding as of February 29, 2024
and May 31, 2023, respectively. | |
| 799,142 | | |
| 799,142 | |
Additional paid-in capital | |
| 180,220 | | |
| 180,220 | |
Accumulated other comprehensive income | |
| (218,547 | ) | |
| 3,258 | |
Retained earnings | |
| 1,976,325 | | |
| 13,066,109 | |
Total Stockholders’ Equity attributable to common shareholder | |
| 2,738,081 | | |
| 14,049,670 | |
Equity attributable to noncontrolling interests | |
| 3,606,076 | | |
| 3,545,963 | |
Total Stockholders’ Equity | |
| 6,344,157 | | |
| 17,595,633 | |
Total Liabilities and Stockholders’ Equity | |
$ | 105,627,845 | | |
$ | 111,522,730 | |
See
notes accompanying condensed consolidated financial statements.
UNIQUE
LOGISTICS INTERNATIONAL, INC.
CONDENSED
CONSOLIDATED STATEMENTS OF OPERATION
(Unaudited)
| |
For the
Three Months Ended
February 29, 2024 | | |
For the
Three Months Ended
February 28, 2023 | | |
For the
Nine Months Ended
February 29, 2024 | | |
For the
Nine Months Ended
February 28, 2023 | |
Revenues: | |
| | | |
| | | |
| | | |
| | |
Airfreight services | |
$ | 31,672,402 | | |
$ | 13,206,112 | | |
$ | 87,102,162 | | |
$ | 64,721,816 | |
Ocean freight and ocean services | |
| 27,543,642 | | |
| 23,106,949 | | |
| 74,933,392 | | |
| 159,292,026 | |
Contract logistics | |
| 579,675 | | |
| 755,034 | | |
| 1,892,954 | | |
| 2,499,459 | |
Customs brokerage and other services | |
| 8,034,666 | | |
| 12,559,407 | | |
| 28,612,414 | | |
| 48,460,306 | |
Total revenues | |
| 67,830,385 | | |
| 49,627,502 | | |
| 192,540,922 | | |
| 274,973,607 | |
| |
| | | |
| | | |
| | | |
| | |
Equity method earnings | |
| 224,854 | | |
| - | | |
| 675,606 | | |
| - | |
| |
| | | |
| | | |
| | | |
| | |
Costs and operating expenses: | |
| | | |
| | | |
| | | |
| | |
Airfreight services | |
| 29,076,358 | | |
| 11,964,314 | | |
| 81,374,442 | | |
| 59,465,104 | |
Ocean freight and ocean services | |
| 23,999,410 | | |
| 19,722,259 | | |
| 62,964,504 | | |
| 142,806,034 | |
Contract logistics | |
| 126,523 | | |
| 215,245 | | |
| 507,326 | | |
| 846,226 | |
Customs brokerage and other services | |
| 6,346,786 | | |
| 11,397,398 | | |
| 24,263,573 | | |
| 44,773,324 | |
Salaries and related costs | |
| 5,529,773 | | |
| 3,076,221 | | |
| 17,293,553 | | |
| 10,036,200 | |
Professional fees | |
| 666,850 | | |
| 39,082 | | |
| 2,299,312 | | |
| 1,213,807 | |
Rent and occupancy | |
| 1,176,612 | | |
| 883,681 | | |
| 3,382,602 | | |
| 2,026,363 | |
Selling and promotion | |
| 609,751 | | |
| 1,471,236 | | |
| 1,888,439 | | |
| 2,033,668 | |
Depreciation and amortization | |
| 752,750 | | |
| 203,390 | | |
| 2,203,093 | | |
| 606,030 | |
Foreign exchange transactions, net | |
| 26,858 | | |
| - | | |
| (267,209 | ) | |
| - | |
Other | |
| 282,871 | | |
| 323,747 | | |
| 948,402 | | |
| 993,508 | |
Total costs and operating expenses | |
| 68,594,542 | | |
| 49,296,573 | | |
| 196,858,037 | | |
| 264,800,264 | |
| |
| | | |
| | | |
| | | |
| | |
(Loss) income from operations | |
| (539,303 | ) | |
| 330,929 | | |
| (3,641,509 | ) | |
| 10,173,343 | |
| |
| | | |
| | | |
| | | |
| | |
Other (expenses) income | |
| | | |
| | | |
| | | |
| | |
Interest expense | |
| (1,407,449 | ) | |
| (546,791 | ) | |
| (3,823,822 | ) | |
| (2,876,776 | ) |
Change in fair value of derivative liabilities | |
| 4,300,429 | | |
| 64,955 | | |
| 4,118,566 | | |
| 809,611 | |
SPAC merger termination cost | |
| (10,415,816 | ) | |
| - | | |
| (10,415,816 | ) | |
| - | |
Uplist termination cost | |
| (3,054,514 | ) | |
| - | | |
| (3,054,514 | ) | |
| - | |
Total other (expenses) income | |
| (10,577,350 | ) | |
| (481,836 | ) | |
| (13,175,586 | ) | |
| (2,067,165 | ) |
| |
| | | |
| | | |
| | | |
| | |
| |
| | | |
| | | |
| | | |
| | |
Income tax (benefit) expense | |
| (5,268,793 | ) | |
| (814,080 | ) | |
| (5,787,424 | ) | |
| 849,967 | |
| |
| | | |
| | | |
| | | |
| | |
Net (loss) income | |
| (5,847,860 | ) | |
| 663,173 | | |
| (11,029,671 | ) | |
| 7,256,211 | |
| |
| | | |
| | | |
| | | |
| | |
Noncontrolling interest | |
| (114,538 | ) | |
| - | | |
| (60,113 | ) | |
| - | |
| |
| | | |
| | | |
| | | |
| | |
Net (loss) income attributable to for common shareholders | |
$ | (5,962,398 | ) | |
$ | 663,173 | | |
$ | (11,089,784 | ) | |
$ | 7,256,211 | |
| |
| | | |
| | | |
| | | |
| | |
Net (loss) income available for common shareholders per common share | |
| | | |
| | | |
| | | |
| | |
– basic | |
$ | (0.01 | ) | |
$ | - | | |
$ | (0.01 | ) | |
$ | 0.01 | |
– diluted | |
$ | (0.01 | ) | |
$ | - | | |
$ | (0.01 | ) | |
$ | - | |
| |
| | | |
| | | |
| | | |
| | |
Weighted average common shares outstanding | |
| | | |
| | | |
| | | |
| | |
– basic | |
| 799,141,770 | | |
| 799,141,770 | | |
| 799,141,770 | | |
| 780,768,778 | |
– diluted | |
| 799,141,770 | | |
| 9,677,967,424 | | |
| 799,141,770 | | |
| 9,659,594,432 | |
See
notes to accompanying condensed consolidated financial statements.
UNIQUE
LOGISTICS INTERNATIONAL, INC.
CONSOLIDATED
STATEMENTS OF COMPREHENSIVE INCOME
(unaudited)
| |
For the Three | | |
For the Three | |
| |
Months Ended | | |
Months Ended | |
| |
February 29, 2024 | | |
February 28, 2023 | |
Net (loss) income | |
$ | (5,847,860 | ) | |
$ | 663,173 | |
Other comprehensive income (OCI), net of tax: | |
| | | |
| | |
Foreign currency translation adjustments | |
| 21,432 | | |
| - | |
OCI tax effect | |
| - | | |
| - | |
Total comprehensive (loss) income | |
| (5,826,428 | ) | |
| 663,173 | |
Net loss attributable to noncontrolling interest | |
| 114,538 | | |
| - | |
Comprehensive (loss) income attributable to common shareholder | |
$ | (5,940,966 | ) | |
$ | 663,173 | |
| |
For the Nine | | |
For the Nine | |
| |
Months Ended | | |
Months Ended | |
| |
February 28, 2023 | | |
February 28, 2023 | |
Net (loss) income | |
$ | (11,029,671 | ) | |
$ | 7,256,211 | |
Other comprehensive income, net of tax: | |
| | | |
| | |
Foreign currency translation adjustments | |
| (236,674 | ) | |
| - | |
OCI tax effect | |
| 14,869 | | |
| - | |
Total comprehensive (loss) income | |
| (11,251,476 | ) | |
| 7,256,211 | |
Net loss attributable to noncontrolling interest | |
| 60,113 | | |
| - | |
Comprehensive (loss) income attributable to common shareholder | |
$ | (11,311,589 | ) | |
$ | 7,256,211 | |
UNIQUE
LOGISTICS INTERNATIONAL, INC.
CONDENSED
CONSOLIDATED STATEMENT OF STOCKHOLDERS’ EQUITY
For
the Three and Nine Months Ended February 29, 2024
| |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| |
Series A
Preferred Stock | | |
Series B
Preferred Stock | | |
Series C
Preferred Stock | | |
Series D
Preferred Stock | | |
Common
Stock | | |
Additional
Paid in | | |
Accumulated
Comprehensive | | |
Retained | | |
Total
Stockholders’
equity
attributable
to common | | |
Non-
Controlling | | |
Total
Stockholders | |
| |
Shares | | |
Amount | | |
Shares | | |
Amount | | |
Shares | | |
Amount | | |
Shares | | |
Amount | | |
Shares | | |
Amount | | |
capital | | |
income | | |
earning | | |
stockholder | | |
Interest | | |
Equity | |
| |
| | |
| | |
| | |
| | |
| | |
| | |
| | |
| | |
| | |
| | |
| | |
| | |
| | |
| | |
| | |
| |
Balance,
June 1, 2023 | |
| 120,065 | | |
$ | 120 | | |
| 820,800 | | |
$ | 821 | | |
| 195 | | |
$ | - | | |
| 180 | | |
$ | - | | |
| 799,141,770 | | |
$ | 799,142 | | |
$ | 180,220 | | |
$ | 3,258 | | |
$ | 13,066,109 | | |
$ | 14,049,670 | | |
$ | 3,545,963 | | |
$ | 17,595,633 | |
| |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
Other
comprehensive income (loss), net of tax | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| (166,750 | ) | |
| - | | |
| (166,750 | ) | |
| - | | |
| (166,750 | ) |
| |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
Net
loss | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| (2,230,651 | ) | |
| (2,230,651 | ) | |
| (80,477 | ) | |
| (2,311,128 | ) |
| |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
Balance,
August 31, 2023 | |
| 120,065 | | |
| 120 | | |
| 820,800 | | |
| 821 | | |
| 195 | | |
| - | | |
| 180 | | |
| - | | |
| 799,141,770 | | |
| 799,142 | | |
| 180,220 | | |
| (163,493 | ) | |
| 10,835,458 | | |
| 11,652,269 | | |
| 3,465,486 | | |
| 15,117,755 | |
Other
comprehensive income (loss), net of tax | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| (76,487 | ) | |
| - | | |
| (76,487 | ) | |
| - | | |
| (76,487 | ) |
| |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
Net
loss | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| (2,896,735 | ) | |
| (2,896,735 | ) | |
| 26,052 | | |
| (2,870,683 | ) |
Balance,
November 30, 2023 | |
| 120,065 | | |
| 120 | | |
| 820,800 | | |
| 821 | | |
| 195 | | |
| - | | |
| 180 | | |
| - | | |
| 799,141,770 | | |
$ | 799,142 | | |
| 180,220 | | |
| (239,979 | ) | |
| 7,938,723 | | |
| 8,679,047 | | |
| 3,491,538 | | |
| 12,170,585 | |
Other
comprehensive income (loss), net of tax | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| 21,432 | | |
| - | | |
| 21,432 | | |
| - | | |
| 21,432 | |
| |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
Net
loss | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| (5,962,398 | ) | |
| (5,962,398 | ) | |
| 114,538 | | |
| (5,847,860 | ) |
Balance,
February 29, 2024 | |
| 120,065 | | |
$ | 120 | | |
| 820,800 | | |
$ | 821 | | |
| 195 | | |
$ | - | | |
| 180 | | |
$ | - | | |
| 799,141,770 | | |
$ | 799,142 | | |
$ | 180,220 | | |
$ | (218,547 | ) | |
$ | 1,976,325 | | |
$ | 2,738,081 | | |
| 3,606,076 | | |
$ | 6,344,157 | |
For
the Three and Nine Months Ended February 28, 2023
| |
| | |
| | |
| | |
| | |
| | |
| | |
| | |
| | |
| | |
| | |
| | |
| | |
| | |
| | |
| |
| |
Series
A
Preferred
Stock | | |
Series
B
Preferred
Stock | | |
Series
C
Preferred
Stock | | |
Series
D
Preferred
Stock | | |
Common
Stock | | |
Additional
Paid
in | | |
Retained | | |
Total
Stockholders’
equity
attributable | | |
Non-
Controlling | | |
Total
Stockholders | |
| |
Shares | | |
Amount | | |
Shares | | |
Amount | | |
Shares | | |
Amount | | |
Shares | | |
Amount | | |
Shares | | |
Amount | | |
capital | | |
earning | | |
to
registrant | | |
Interest(1) | | |
Equity | |
Balance,
May 31 2022 | |
| 130,000 | | |
$ | 130 | | |
| 820,800 | | |
$ | 821 | | |
| 195 | | |
$ | - | | |
| 187 | | |
$ | - | | |
| 687,196,478 | | |
$ | 687,197 | | |
$ | 292,155 | | |
$ | 4,851,541 | | |
$ | 5,831,844 | | |
$ | - | | |
$ | 5,831,844 | |
| |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
Conversion
of Preferred A to Common Stock | |
| (9,935 | ) | |
| (10 | ) | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| 67,963,732 | | |
| 67,964 | | |
| (67,954 | ) | |
| - | | |
| - | | |
| - | | |
| - | |
| |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
Conversion
of Preferred D to Common Stock | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| (7 | ) | |
| - | | |
| 43,981,560 | | |
| 43,981 | | |
| (43,981 | ) | |
| - | | |
| - | | |
| - | | |
| - | |
| |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
Net
income | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| 3,321,341 | | |
| 3,321,341 | | |
| - | | |
| 3,321,341 | |
| |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
Balance,
August 31, 2022 | |
| 120,065 | | |
| 120 | | |
| 820,800 | | |
| 821 | | |
| 195 | | |
| - | | |
| 180 | | |
| - | | |
| 799,141,770 | | |
| 799,142 | | |
| 180,220 | | |
| 8,172,882 | | |
| 9,153,185 | | |
| - | | |
| 9,153,185 | |
| |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
Net
income | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| 3,271,697 | | |
| 3,271,697 | | |
| - | | |
| 3,271,697 | |
| |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
Balance,
November 30, 2022 | |
| 120,065 | | |
| 120 | | |
| 820,800 | | |
| 821 | | |
| 195 | | |
| - | | |
| 180 | | |
| - | | |
| 799,141,770 | | |
| 799,142 | | |
| 180,220 | | |
| 11,444,579 | | |
| 12,424,882 | | |
| - | | |
| 12,424,882 | |
Balance | |
| 120,065 | | |
| 120 | | |
| 820,800 | | |
| 821 | | |
| 195 | | |
| - | | |
| 180 | | |
| - | | |
| 799,141,770 | | |
| 799,142 | | |
| 180,220 | | |
| 11,444,579 | | |
| 12,424,882 | | |
| - | | |
| 12,424,882 | |
| |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
Recognition
of non-controlling interest upon acquisition | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| 3,558,757 | | |
| 3,558,757 | |
| |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
Net
income | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| 663,173 | | |
| 663,173 | | |
| - | | |
| 663,173 | |
Net
income (loss) | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| 663,173 | | |
| 663,173 | | |
| - | | |
| 663,173 | |
| |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
Balance,
February 28, 2023 | |
| 120,065 | | |
$ | 120 | | |
| 820,800 | | |
$ | 821 | | |
| 195 | | |
$ | - | | |
| 180 | | |
$ | - | | |
| 799,141,770 | | |
$ | 799,142 | | |
$ | 180,220 | | |
$ | 12,107,752 | | |
$ | 13,088,055 | | |
$ | 3,558,757 | | |
$ | 16,646,812 | |
Balance | |
| 120,065 | | |
$ | 120 | | |
| 820,800 | | |
$ | 821 | | |
| 195 | | |
$ | - | | |
| 180 | | |
$ | - | | |
| 799,141,770 | | |
$ | 799,142 | | |
$ | 180,220 | | |
$ | 12,107,752 | | |
$ | 13,088,055 | | |
$ | 3,558,757 | | |
$ | 16,646,812 | |
See
notes accompanying condensed consolidated financial statements.
UNIQUE
LOGISTICS INTERNATIONAL, INC.
CONDENSED
CONSOLIDATED STATEMENTS OF CASH FLOWS
(unaudited)
| |
For the
Nine Months Ended
February 29, 2024 | | |
For the
Nine Months Ended
February 28, 2023 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | |
| | | |
| | |
Net (loss) income | |
$ | (11,029,671 | ) | |
$ | 7,256,211 | |
Adjustments to reconcile net (loss) income to net cash (used in) provided by operating activities: | |
| | | |
| | |
Depreciation and amortization | |
| 2,203,093 | | |
| 606,030 | |
Bad debt recovery | |
| (1,203,978 | ) | |
| - | |
Amortization of right of use assets | |
| 2,144,717 | | |
| 1,269,299 | |
Equity method earnings | |
| (675,606 | ) | |
| - | |
Change in net deferred tax provision | |
| (6,838,466 | ) | |
| (261,118 | ) |
Change in fair value of derivative liabilities | |
| (4,118,566 | ) | |
| (809,611 | ) |
Accretion of consulting agreement | |
| - | | |
| (282,666 | ) |
Uplist termination cost previously deferred | |
| 2,419,976 | | |
| - | |
Changes in operating assets and liabilities: | |
| | | |
| | |
Accounts receivable | |
| 547,400 | | |
| 58,562,998 | |
Contract assets | |
| (160,791 | ) | |
| 27,111,019 | |
Prepaid expenses and current assets | |
| 3,918,801 | | |
| (2,716,596 | ) |
Other noncurrent assets | |
| 462,967 | | |
| (1,533,533 | ) |
Accounts payable | |
| 3,035,028 | | |
| (44,314,785 | ) |
Accrued expenses and other liabilities | |
| 4,783,665 | | |
| (9,511,815 | ) |
Accrued freight | |
| (1,264,644 | ) | |
| (1,183,709 | ) |
Contract liabilities | |
| - | | |
| (109,844 | ) |
Operating lease liability | |
| (1,991,088 | ) | |
| (1,049,118 | ) |
Net Cash (Used in) Provided by Operating Activities | |
| (7,767,163 | ) | |
| 33,032,762 | |
CASH FLOWS FROM INVESTING ACTIVITIES: | |
| | | |
| | |
Purchase of property and equipment | |
| (1,122,034 | ) | |
| (94,900 | ) |
Dividends received from equity method investments | |
| 608,127 | | |
| 8,828,309 | |
Net Cash (Used in) Provided by Investing Activities | |
| (513,907 | ) | |
| 8,733,409 | |
CASH FLOWS FROM FINANCING ACTIVITIES: | |
| | | |
| | |
Borrowings from notes payable | |
| 8,000,000 | | |
| (303,833 | ) |
Repayments of debt due to related parties | |
| (3,300,655 | ) | |
| (223,143 | ) |
Borrowing (repayments) line of credit, net | |
| 3,802,436 | | |
| (28,258,922 | ) |
Net Cash Provided by (Used in) Financing Activities | |
| 8,501,781 | | |
| (28,785,898 | ) |
| |
| | | |
| | |
Difference on the effect of exchange rate on cash and equivalents | |
| (221,805 | ) | |
| - | |
| |
| | | |
| | |
Net change in cash and cash equivalents | |
| (1,094 | ) | |
| 12,980,273 | |
| |
| | | |
| | |
Cash and cash equivalents - Beginning of period | |
| 6,744,238 | | |
| 1,422,393 | |
Cash and cash equivalents - End of period | |
$ | 6,743,144 | | |
$ | 14,402,666 | |
SUPPLEMENTARY CASH FLOW INFORMATION: | |
| | | |
| | |
Cash Paid During the period for: | |
| | | |
| | |
Income taxes | |
$ | 1,013,900 | | |
$ | 1,932,100 | |
Interest | |
$ | 3,088,765 | | |
$ | 2,571,748 | |
SUPPLEMENTARY DISCLOSURE OF NON-CASH INVESTING AND FINANCING ACTIVITIES: | |
| | | |
| | |
Operating lease asset and liability additions | |
$ | 1,270,702 | | |
$ | 8,897,639 | |
Non-cash consideration paid in business acquisition | |
$ | - | | |
$ | 25,250,000 | |
UNIQUE
LOGISTICS INTERNATIONAL, INC.
NOTES
TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
February
29, 2024
1.
NATURE OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Nature
of Business
Unique
Logistics International, Inc. and its subsidiaries (the “Company” or “Unique”) is a non-asset-based provider
of global logistics and freight forwarding services operating through a worldwide network of offices and exclusive or non-exclusive agents.
The Company’s customers include retailers and wholesalers, electronics, high technology, industrial and manufacturing companies
around the world. The Company provides a range of international logistics services that enable its customers to outsource sections of
their supply chain process. This range of services can be categorized as follows:
|
● |
Air
Freight |
|
● |
Ocean
Freight |
|
● |
Customs
Brokerage and Compliance |
|
● |
Warehousing
and Distribution |
|
● |
Order
Management |
Basis
of Presentation
These
condensed consolidated financial statements are prepared in accordance with accounting principles generally accepted in the United States
of America (“GAAP”) and include all accounts of the Company and its majority owned subsidiaries stated in U.S. dollars, the
Company’s functional currency. For subsidiaries operating outside the U.S., the financial information will be accounted for on
a one-month lag. Substantially all unremitted earnings of international subsidiaries are free of legal and contractual restrictions.
All intercompany transactions and balances have been eliminated in the condensed consolidated financial statements.
The
unaudited interim financial information furnished herein reflects all adjustments, consisting solely of normal recurring items, which
in the opinion of management are necessary to fairly state the financial position of the Company and the results of its operations for
the periods presented. The results reported in these interim condensed consolidated financial statements should not be regarded as necessary
indicative of results that may be expected for an entire fiscal year. This report should be read in conjunction with the Company’s
consolidated financial statements and notes thereto included in the Company’s Form 10-K for the year ended May 31, 2023. The Company
assumes that the users of the interim financial information herein have read or have access to the audited financial statements for the
preceding fiscal year and that the adequacy of additional disclosure needed for a fair presentation may be determined in that context.
The condensed consolidated balance sheet on May 31, 2023 was derived from audited financial statements but does not include all disclosures
required by accounting principles generally accepted in the United States of America.
Liquidity
The
accompanying condensed consolidated financial statements have been prepared on a going concern basis. Substantial doubt about an entity’s
ability to continue as a going concern exists when conditions and events, considered in the aggregate, indicate that it is probable that
the entity will be unable to meet its obligations as they become due within one year after the date that the financial statements are
issued.
The Company’s working capital was $5.3 million and $7.9 million as of February 29, 2024 and May 31, 2023,
respectively. The Company maintains its operating line of credit with TBK Bank, SSB, and on July 20, 2023 the Company entered into an
agreement with TBK Bank to renew the TBK line of credit with a credit limit of up to $25.0 million. The Company has experienced negative
operating cash flows during the nine months ended February 29, 2024 due to adverse market conditions. The Company relied heavily on its
cash collections, cash reserves, dividends received from the ULHK Entities, new loans, and the use of its operating line of credit. The
funds available under the current TBK line of credit are sufficient to provide the Company with the cash required to support its ongoing
operations until market conditions improve.
While
the Company continues to execute its strategic plan and grow its customer base, management is focused on managing cash and monitoring
liquidity position. Many of the aspects of the liquidity plan involve management’s judgments and estimates that include factors
that could be beyond our control and actual results could differ from our estimates. These and other factors could cause the strategic
plan to be unsuccessful, which could have a material adverse effect on our operating results, financial condition, and liquidity. Based
on our evaluation of the Company’s projected cash flows and business performance as of and subsequent to February 29, 2024, management
has concluded that the Company’s current cash and cash availability under the TBK Facility would be sufficient to fund its planned
operations for at least one year from the date the consolidated financial statements were issued.
Use
of Estimates
The
preparation of condensed consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions
that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the consolidated
financial statements and the reported amounts of revenue and expenses during the reported period. Actual results could differ from those
estimates.
Significant
estimates inherent in the preparation of the condensed consolidated financial statements include determinations of the useful lives and
expected future cash flows of long-lived assets, including intangibles, valuation of assets and liabilities acquired in business combinations,
and estimates and assumptions in valuation of debt and equity instruments, including derivative liabilities. In addition, the Company
makes significant judgments to recognize revenue – see policy note “Revenue Recognition” below.
Revenue
Recognition
The
Company adopted ASC 606, Revenue from Contracts with Customers. Under ASC 606, revenue is recognized when control of the promised
goods or services is transferred to the Company’s customers, in an amount that reflects the consideration the Company expects to
receive in exchange for services. The Company recognizes revenue upon meeting each performance obligation based on the allocated amount
of the total consideration of the contract to each specific performance obligation.
To
determine revenue recognition, the Company applies the following five steps:
|
1. |
Identify
the contract(s) with a customer; |
|
|
|
|
2. |
Identify
the performance obligations in the contract; |
|
|
|
|
3. |
Determine
the transaction price; |
|
|
|
|
4. |
Allocate
the transaction price to the performance obligations in the contract; and |
|
|
|
|
5. |
Recognize
revenue as or when the performance obligation is satisfied. |
Revenue
is recognized as follows:
|
i. |
Freight
income - export sales |
|
|
|
|
|
Freight
income from the provision of air, ocean, and land freight forwarding services are recognized over time based on a relative transit
time basis through the sail or departure from origin port. The Company is the principal in these transactions and recognizes revenue
on a gross basis. |
|
|
|
|
ii. |
Freight
income - import sales |
|
|
|
|
|
Freight
income from the provision of air, ocean, and land freight forwarding services are recognized over time based on a relative transit
time basis through the delivery to the customer’s designated location. The Company is the principal in these transactions and
recognizes revenue on a gross basis. |
|
|
|
|
iii. |
Customs
brokerage and other service income |
|
|
|
|
|