2024 Q4 - Annual Report

UNITEDSTATES SECURITIESANDEXCHANGECOMMISSION Washington,D.C.20549 FORM10-K oANNUALREPORTPURSUANTTOSECTION13OR15(d)OFTHESECURITIESEXCHANGEACTOF1934 ForthefiscalyearendedMarch31,2024or ☐TRANSITIONREPORTPURSUANTTOSECTION13OR15(d)OFTHESECURITIESEXCHANGEACTOF1934 Forthetransitionperiodfromto Commissionfilenumber001-13101 AMMO,Inc. (ExactNameofRegistrantasSpecifiedinitsCharter) Delaware83-1950534 Stateorotherjurisdiction ofincorporationororganization (I.R.S.IdentificationNo.) 7681EGrayRoad,Scottsdale,AZ85260 (Addressofprincipalexecutiveoffices)(ZipCode)Registrant’stelephonenumberincludingareacode:(480)947-0001 SecuritiesregisteredpursuanttoSection12(b)oftheAct: TitleofeachclassTradingSymbol(s)Nameofeachexchangeonwhichregistered CommonStock,$0.001parvaluePOWWTheNasdaqStockMarketLLC 8.75%SeriesACumulativeRedeemablePerpetualPreferredStock,$0.001parvalue POWWPTheNasdaqStockMarketLLC SecuritiesregisteredpursuanttoSection12(g)oftheAct:None Indicatebycheckmarkiftheregistrantisawell-knownseasonedissuer,asdefinedinRule405oftheSecuritiesAct.Yes☐No☒ IndicatebycheckmarkiftheregistrantisnotrequiredtofilereportspursuanttoSection13orSection15(d)oftheAct.Yes☐No☒ Indicatebycheckmarkwhethertheregistrant(1)hasfiledallreportsrequiredtobefiledbySections13or15(d)oftheSecuritiesExchangeActof1934duringthepreceding12months(orforsuchshorterperiodthattheregistrantwasrequiredtofilesuchreports),and(2)hasbeensubjecttosuchfilingrequirementsforthepast90days.Yes☒No☐ IndicatebycheckmarkwhethertheregistranthassubmittedelectronicallyeveryInteractiveDataFilerequiredtobesubmittedpursuanttoRule405ofRegulationS-T(§232.405ofthischapter)duringthepreceding12months(orforsuchshorterperiodthattheregistrantwasrequiredtosubmitsuchfiles).Yes☒No☐ Indicatebycheckmarkwhethertheregistrantisalargeacceleratedfiler,anacceleratedfiler,anon-acceleratedfiler,asmallerreportingcompany,oranemerginggrowthcompany.Seethedefinitionsof“largeacceleratedfiler,”“acceleratedfiler,”“smallerreportingcompany,”and“emerginggrowthcompany”inRule12b-2oftheExchangeAct. Largeacceleratedfiler☐Acceleratedfiler☒ Non-acceleratedfiler☐Smallerreportingcompany☐ Emerginggrowthcompany☐ Ifanemerginggrowthcompany,indicatebycheckmarkiftheregistranthaselectednottousetheextendedtransitionperiodforcomplyingwithanyneworrevisedfinancialaccountingstandardsprovidedpursuanttoSection13(a)oftheExchangeAct.☐ Indicatebycheckmarkwhethertheregistranthasfiledareportonandattestationtoitsmanagement’sassessmentoftheeffectivenessofitsinternalcontroloverfinancialreportingunderSection404(b)oftheSarbanes-OxleyAct(15U.S.C.7262(b))bytheregisteredpublicaccountingfirmthatpreparedorissueditsauditreport.☒ IfsecuritiesareregisteredpursuanttoSection12(b)oftheAct,indicatebycheckmarkwhetherthefinancialstatementsoftheregistrantincludedinthefilingreflectthecorrectionofanerrortopreviouslyissuedfinancialstatements.☐ Indicatebycheckmarkwhetheranyofthoseerrorcorrectionsarerestatementsthatrequiredarecoveryanalysisofincentive-basedcompensationreceivedbyanyoftheregistrant’sexecutiveofficersduringtherelevantrecoveryperiodpursuantto§240.10D-1(b).☐ Indicatebycheckmarkwhethertheregistrantisashellcompany(asdefinedinRule12b-2oftheAct). ☐Yes☒No Theaggregatemarketvalueofthecommonstockoftheregistrantbynon-affiliatesasofthelastbusinessdayoftheregistrant’smostrecentlycompletedsecondfiscalquarter(September30,2023)was$179,118,089. AsofJune10,2024,therewere119,181,067sharesoutstandingoftheregistrant’scommonstock. DOCUMENTSINCORPORATEDBYREFERENCE PartIIIincorporatesinformationbyreferencefromthedefinitiveproxystatementfortheregistrant’s2024AnnualMeetingofStockholderstobefiledwithin120daysaftertheendoftheregistrant’sfiscalyear. TABLEOFCONTENTS PARTI ITEM1:BUSINESS4 ITEM1A:RISKFACTORS11 ITEM2:PROPERTIES27 ITEM1B:UNRESOLVEDSTAFFCOMMENTS26 ITEM1C:CYBERSECURITY26 ITEM4:MINESAFETYDISCLOSURE28 PARTII ITEM5:MARKETFORREGISTRANT’SCOMMONEQUITY,RELATEDSTOCKHOLDERMATTERSAND PURCHASESOFEQUITYSECURITIES28 ITEM3:LEGALPROCEEDINGS28 ITEM6:RESERVED30 ITEM8:FINANCIALSTATEMENTSANDSUPPLEMENTARYDATA42 ITEM7:MANAGEMENT’SDISCUSSIONANDANALYSISOFFINANCIALCONDITIONANDRESULTSOF OPERATION30 ITEM7A:QUANTITATIVEANDQUALITATIVEDISCLOSURESABOUTMARKETRISK42 ITEM9:CHANGESINANDDISAGREEMENTSWITHACCOUNTANTSONACCOUNTINGANDFINANCIAL ITEM9A:CONTROLSANDPROCEDURES43 DISCLOSURE42 ITEM9C:DISCLOSUREREGARDINGFOREIGNJURISDICTIONSTHATPREVENTINSPECTIONS47 PARTIII ITEM10:DIRECTORS,EXECUTIVEOFFICERS,ANDCORPORATEGOVERNANCE48 ITEM9B:OTHERINFORMATION47 ITEM11:EXECUTIVECOMPENSATION48 ITEM14:PRINCIPALACCOUNTINGFEESANDSERVICES48 PARTIV ITEM15:EXHIBITSANDFINANCIALSTATEMENTSCHEDULES49 SIGNATURES51 ITEM12:SECURITYOWNERSHIPOFCERTAINBENEFICIALOWNERSANDMANAGEMENTANDRELATED STOCKHOLDERMATTERS48 ITEM13:CERTAINRELATIONSHIPSANDRELATEDTRANSACTIONS,ANDDIRECTORINDEPENDENCE48 2 ADDITIONALINFORMATION Descriptionsofagreementsorotherdocumentscontainedinthisreportareintendedassummariesandarenotcompletedescriptionsthereof.Pleaserefertotheagreementsorotherdocumentsfiledorincorporatedhereinbyreferenceasexhibits.Pleaseseetheexhibit