SCHEID VINEYARDS INC. AND SUBSIDIARY
CONSOLIDATED FINANCIAL STATEMENTS
YEARS ENDED FEBRUARY 28, 2022 AND 2021
SCHEID VINEYARDS INC. AND SUBSIDIARY
CONSOLIDATED FINANCIAL STATEMENTS INDEX
Page | |
Report of Independent Auditors ….………………………………………………………………………... 3 | |
Consolidated Balance Sheets as of February 28, 2022 and 2021 …...….…………………...….……….…. 5 | |
Consolidated Statements of Operations for the Years Ended | |
February 28, 2022 and 2021 ………………..…...……….……………….…………...……...…..……... | 6 |
Consolidated Statements of Stockholders' Equity for the Years Ended | |
February 28, 2022 and 2021 ………………..…………...……………….……….……………………... 7 | |
Consolidated Statements of Cash Flows for the Years Ended | |
February 28, 2022 and 2021 ………………..…………….……………….……...................................... | 8 |
Notes to Consolidated Financial Statements ………………….….…………...………………………….... | 9 |
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Report of Independent Auditors
The Board of Directors and Stockholders
Scheid Vineyards Inc., and Subsidiary
Report on the Audit of the Financial Statements
Opinion
We have audited the consolidated financial statements of Scheid Vineyards Inc., and Subsidiary, which comprise the consolidated balance sheets as of February 28, 2022 and 2021, and the related consolidated statements of operations, stockholders' equity, and cash flows for the years then ended, and the related notes to the consolidated financial statements.
In our opinion, the accompanying consolidated financial statements present fairly, in all material respects, the financial position of Scheid Vineyards Inc., and Subsidiary as of February 28, 2022 and 2021, and the results of their operations and their cash flows for the years then ended in accordance with accounting principles generally accepted in the United States of America.
Basis for Opinion
We conducted our audits in accordance with auditing standards generally accepted in the United States of America (GAAS). Our responsibilities under those standards are further described in the Auditor's Responsibilities for the Audit of the Financial Statements section of our report. We are required to be independent of Scheid Vineyards Inc., and Subsidiary and to meet our other ethical responsibilities, in accordance with the relevant ethical requirements relating to our audits. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.
Responsibilities of Management for the Financial Statements
Management is responsible for the preparation and fair presentation of the consolidated financial statements in accordance with accounting principles generally accepted in the United States of America, and for the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, management is required to evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about Scheid Vineyards Inc., and Subsidiary's ability to continue as a going concern within one year after the date that the financial statements are issued.
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Auditor's Responsibilities for the Audit of the Financial Statements
Our objectives are to obtain reasonable assurance about whether the consolidated financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not absolute assurance and therefore is not a guarantee that an audit conducted in accordance with GAAS will always detect a material misstatement when it exists. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. Misstatements are considered material if there is a substantial likelihood that, individually or in the aggregate, they would influence the judgment made by a reasonable user based on the consolidated financial statements.
In performing an audit in accordance with GAAS, we:
- Exercise professional judgment and maintain professional skepticism throughout the audit.
- Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, and design and perform audit procedures responsive to those risks. Such procedures include examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements.
- Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of Scheid Vineyards Inc., and Subsidiary's internal control. Accordingly, no such opinion is expressed.
- Evaluate the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluate the overall presentation of the financial statements.
- Conclude whether, in our judgment, there are conditions or events, considered in the aggregate, that raise substantial doubt about Scheid Vineyards Inc., and Subsidiary's ability to continue as a going concern for a reasonable period of time.
We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit, significant audit findings, and certain internal control-related matters that we identified during the audit.
Santa Rosa, California
May 25, 2022
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SCHEID VINEYARDS INC. AND SUBSIDIARY
CONSOLIDATED BALANCE SHEETS
FEBRUARY 28, 2022 AND 2021
(amounts in thousands, except share data)
2022 | 2021 | ||||||
ASSETS | |||||||
CURRENT ASSETS: | |||||||
Cash and cash equivalents ….…………………….…………..... | $ | 244 | $ | 328 | |||
Accounts receivable, trade net .………………………………… | 11,911 | 8,642 | |||||
Accounts receivable, other ………………………………..….… | 661 | 1,812 | |||||
Inventories ……………………………………………………… | 55,250 | 46,335 | |||||
Supplies, prepaid expenses and other current assets ………….... | 431 | 313 | |||||
Due from Gifft Wine Venture LLC ……………………………. | - | 476 | |||||
Income tax receivable ………………………………………….. | - | 11 | |||||
Total current assets ………………………………………... | 68,497 | 57,917 | |||||
NOTE RECEIVABLE - STOCKHOLDER …………………… | 5,058 | 4,518 | |||||
PROPERTY, PLANT AND EQUIPMENT, net …………...….. | 71,181 | 82,070 | |||||
OTHER ASSETS, net ….……………………………….……….. | 2,485 | 2,015 | |||||
$ | 147,221 | $ | 146,520 | ||||
LIABILITIES AND STOCKHOLDERS' EQUITY | |||||||
CURRENT LIABILITIES: | |||||||
Current portion of long-term debt ………………………….…... | $ | 23,344 | $ | 21,581 | |||
Current portion of capital lease obligation ……………………... | 319 | 435 | |||||
Current portion of other loans ……..……………………………. | 3,731 | 2,783 | |||||
Accounts payable and accrued liabilities …….….………............ | 5,381 | 5,354 | |||||
Income taxes payable …………………………………………… | 1,609 | - | |||||
Total current liabilities ……………………….……………. | 34,384 | 30,153 | |||||
LONG-TERMDEBT …………………………...……….…….... | 69,060 | 89,041 | |||||
LONG-TERM CAPITAL LEASE OBLIGATION …..………. | 20 | 280 | |||||
OTHER LONG-TERM LOANS ………………………………. | - | 948 | |||||
DEFERRED INCOME TAXES ……………………………...… | 3,782 | 548 | |||||
Total liabilities …………………………………………….. | 107,246 | 120,970 | |||||
STOCKHOLDERS' EQUITY: | |||||||
Preferred stock, $.001 par value; 2,000,000 shares authorized; | |||||||
no shares issued and outstanding ……………….………….… | |||||||
Common stock, | |||||||
Class A, $.001 par value; 4,000,000 shares authorized; | |||||||
763,593 and 748,093 shares outstanding at February 28, | |||||||
2022 and 2021, respectively | |||||||
Class B, $.001 par value; 2,000,000 shares authorized; | |||||||
132,551 shares issued and outstanding at February 28, 2022 | |||||||
and 2021 ………………………………………………….... | 1 | 1 | |||||
Additional paid-in capital …..…………………….…………..… | 22,704 | 22,471 | |||||
Retained earnings ………………………...…………..………… | 29,049 | 14,857 | |||||
Less: treasury stock; 467,039 Class A shares at cost at | |||||||
February 28, 2022 and 2021 ………..………..………………. | (11,779 ) | (11,779 ) | |||||
Total stockholders' equity ………………….…………....… | 39,975 | 25,550 | |||||
$ | 147,221 | $ | 146,520 |
See accompanying Notes to Consolidated Financial Statements.
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Scheid Vineyards Inc. published this content on 28 May 2022 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 30 May 2022 11:38:07 UTC.