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Subsequent Events
 6 Months Ended
Nov. 30, 2023
Subsequent Events [Abstract]  
Subsequent Events

Note 17 – Subsequent Events

 

Corporate Actions

 

On December 4, 2023, the Company filed with the SEC a Definitive Information Statement on Schedule 14C (the “Information Statement”). Pursuant to Rule 14c-2 of the Exchange Act, the Information Statement became effective on or around December 25, 2023, approximately twenty (20) days after it was filed and mailed to the Company’s stockholders of record as of October 31, 2023 (the “Effective Date”). The Information Statement informed our stockholders of certain corporate actions taken by written consent of stockholders holding at least a majority of our issued and outstanding shares of the Company’s common stock. The following corporate actions (the “Corporate Actions”) were approved by a majority of our stockholders on October 31, 2023:

 

  (i) An amendment to our Amended and Restated Certificate of Incorporation (the “Charter”) to effect a name change of the Company from “Reviv3 Procare Company” to “AXIL Brands, Inc.”;

 

  (ii) The Plan and an amendment to the Plan to effect an increase in authorized shares for issuance under the Plan by an additional 15,000,000 shares to an aggregate of 25,000,000 shares available under the Plan;

 

  (iii) An amendment to our Charter to effect a reverse stock split of the issued and outstanding shares of our Common Stock in a range of not less than one-for-3 shares and not more than one-for-25 shares, at the discretion of the Board (see below);

 

  (iv) Amendments to our Charter and to our Bylaws to increase the size of our Board and create three (3) classes of directorships for the Board; and

 

  (v) Amendments to our Charter and to our Bylaws to vest the Board with authority to make, repeal, alter, amend or rescind any or all of the Bylaws and to amend the Bylaws to add a provision relating to notice of stockholder business and nominations.

 

Following the Effective Date of the Information Statement, the Company’s Board has the authority to implement any or all of the foregoing Corporate Actions at their discretion. As of the date of this Quarterly Report on Form 10-Q, the Board has not yet implemented any of the Corporate Actions but may do so in the future.

 

The following is the unaudited pro-forma effect of a potential one-for-three (1:3), one-for-twenty (1:20), and one-for-twenty-five (1:25) Reverse Stock Split on the basic and diluted net income per share:

 

                                                               
    For the 3 Months Ended (UNAUDITED)
    November 30,   November 30,
    2023   2022
    Pre Split   Post Stock Split   Pre Split   Post Stock Split
        1:3   1:20   1:25       1:3   1:20   1:25
                                 
Net income   $ 1,018,075     $ 1,018,075     $ 1,018,075     $ 1,018,075     $ 726,900     $ 726,900     $ 726,900     $ 726,900  
                                                                 
Weighted average basic shares     117,076,949       39,025,650       5,853,847       4,683,078       115,226,893       38,408,964       5,761,345       4,609,076  
Dilutive securities:                                                                
Convertible preferred stock     250,000,000       83,333,333       12,500,000       10,000,000       250,000,000       83,333,333       12,500,000       10,000,000  
Stock options     5,375,000       1,791,667       268,750       215,000       3,706,593       1,235,531       185,330       148,264  
Weighted average dilutive shares     372,451,949       124,150,650       18,622,597       14,898,078       368,933,486       122,977,829       18,446,674       14,757,339  
                                                                 
Earnings per share:                                                                
Basic   $ 0.01     $ 0.03     $ 0.17     $ 0.22     $ 0.01     $ 0.02     $ 0.13     $ 0.16  
Diluted   $ 0.00     $ 0.01     $ 0.05     $ 0.07     $ 0.00     $ 0.01     $ 0.04     $ 0.05  
                                                               

 

                                                                 
      For the 6 Months Ended (UNAUDITED)
    November 30,     November 30,
    2023       2022
      Pre Split       Post Stock Split       Pre Split       Post Stock Split  
              1:3       1:20       1:25               1:3       1:20       1:25
                                                                 
Net income   $ 1,172,527     $ 1,172,527     $ 1,172,527     $ 1,172,527     $ 902,427     $ 902,427     $ 902,427     $ 902,427  
                                                                 
Weighted average basic shares     117,076,949       39,025,650       5,853,847       4,683,078       108,779,476       36,259,825       5,438,974       4,351,179  
Dilutive securities:                                                                
Convertible preferred stock     250,000,000       83,333,333       12,500,000       10,000,000       228,142,077       76,047,359       11,407,104       9,125,683  
Stock options     5,375,000       1,791,667       268,750       215,000       4,507,650       1,502,550       225,383       180,306  
Weighted average dilutive shares     372,451,949       124,150,650       18,622,597       14,898,078       341,429,203       113,809,734       17,071,460       13,657,168  
                                                                 
Earnings per share:                                                                
Basic   $ 0.01     $ 0.03     $ 0.20     $ 0.25     $ 0.01     $ 0.02     $ 0.17     $ 0.21  
Diluted   $ 0.00     $ 0.01     $ 0.06     $ 0.08     $ 0.00     $ 0.01     $ 0.05     $ 0.07