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Discontinued Operations
 12 Months Ended
Dec. 31, 2024
Discontinued Operations [Abstract]  
Discontinued Operations

Note 16 - Discontinued Operations

 

During the year ended December 31, 2024, the Company made a strategic decision to fully discontinue its Rhove operations, a component that previously operated under the rental business segment. This decision was based on the lack of future revenue potential and the absence of funding to further develop the platform.

 

As a result, the Rhove operations have been classified as a discontinued operation in accordance with ASC 205-20.

 

The following table rolls forward Rhove assets and liabilities from their carrying values prior to classification as discontinued operations to their values after such classification, and presents the impact of reclassifications, impairments, and write-offs:

 

Rhove Related Assets  Carrying
Value
Prior To
Abandonment		   Asset and
Liability
Transfers
Retained by
reAlpha		   Asset
Impairments
and Liability
Write-Offs		   Carrying Value as of
12/31/2024		 
Cash  $3,456   $(3,456)  $
-
   $
           -
 
Other Current Assets(1)   88,036    (53,474)   (34,562)   
-
 
Intangibles, net   740,240    
-
    (740,240)   
-
 
Goodwill   17,337,739    
-
    (17,337,739)   
-
 
Total assets - Rhove  $18,169,471   $(56,930)  $(18,112,541)  $
-
 
                     
Accounts Payable and Other Accrued Liabilities  $24,147   $
-
   $(24,147)  $
-
 
Other Current Liabilities   10,000    
-
    (10,000)   
-
 
Total Liabilities - Rhove  $34,147   $
-
   $(34,147)  $
-
 
Net Assets and Liabilities - Rhove  $18,135,324   $(56,930)  $(18,078,394)  $
-
 

 

(1)This relates to tax refunds from the Internal Revenue Service related to the Rhove acquisition.

  

The following table provides detail of the discontinued operations as of December 31, 2024 and 2023:

 

Rhove Related Assets  December 31,
2024 (transferred to reAlpha)		   December 31,
2023		 
Current Assets        
Cash  $3,456   $
-
 
Other current Assets   53,474    88,036 
   $56,930   $88,036 
Long term Assets          
Intangibles, net   
-
    997,962 
Goodwill        17,337,739 
   $
-
   $18,335,701 
Current Liabilities          
Accounts payable and other accrued liabilities        30,175 
Other current liabilities        17,490 
Total liabilities - Rhove  $
-
   $47,665 

The following table represents the statement of operations for discontinued operations as of each reporting period:

 

   For the
Year Ended		   For the Eight
Months Ended		   For the
Year Ended		 
   December 31,
2024		   December 31,
2023		   April 30,
2023		 
             
Revenues  $
-
   $
-
   $
-
 
Cost of revenues   
-
    
-
    
-
 
Gross profit   
-
    
-
    
-
 
                
Discontinued operating expenses               
Depreciation & amortization   257,722    259,038    
-
 
Professional & legal fees   
-
    47,454    13,583 
Other operating expense (income)   3,520    (605)   310 
Total operating expenses   261,242    305,887    13,893 
                
Discontinued Operating Loss   (261,242)   (305,887)   (13,893)
                
Discontinued other expense (income)               
Impairment of intangible assets   740,240    
-
    
-
 
Goodwill impairment   17,337,739    
-
    
-
 
Other expense (income)   414    (3,758)   883 
Total other (expense) income   18,078,393    (3,758)   883 
                
Net loss from discontinued operations before income taxes   (18,339,635)   (302,129)   (14,776)