Coffee Holding (JVA) 10-Q 13 Sep 21 2021 Q3 Quarterly report Financial data

Cover

Cover - shares	9 Months Ended
	Jul. 31, 2021	Sep. 13, 2021
Cover [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Quarterly Report	true
Document Transition Report	false
Document Period End Date	Jul. 31, 2021
Document Fiscal Period Focus	Q3
Document Fiscal Year Focus	2021
Current Fiscal Year End Date	--10-31
Entity File Number	001-32491
Entity Registrant Name	Coffee Holding Co., Inc.
Entity Central Index Key	0001007019
Entity Tax Identification Number	11-2238111
Entity Incorporation, State or Country Code	NV
Entity Address, Address Line One	3475 Victory Boulevard
Entity Address, City or Town	Staten Island
Entity Address, State or Province	NY
Entity Address, Postal Zip Code	10314
City Area Code	(718)
Local Phone Number	832-0800
Title of 12(b) Security	Common Stock, par value $0.001 per share
Trading Symbol	JVA
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		5,708,599

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($)	Jul. 31, 2021	Oct. 31, 2020
CURRENT ASSETS:
Cash	$ 4,511,420	$ 2,875,120
Accounts receivable, net of allowances of $144,000 for 2021 and 2020	6,251,973	7,408,905
Inventories	16,352,525	17,102,993
Prepaid expenses and other current assets	830,101	490,246
Prepaid and refundable income taxes	52,708	145,305
TOTAL CURRENT ASSETS	27,998,727	28,022,569
Buildings, machinery and equipment, at cost, net of accumulated depreciation of $8,068,230 and $7,610,864 for 2021 and 2020, respectively	3,231,186	2,197,319
Customer list and relationships, net of accumulated amortization of $226,443 and $194,379 for 2021 and 2020, respectively	458,557	490,621
Trademarks and tradenames	1,488,000	1,488,000
Non-compete, net of accumulated amortization of $64,350 and $49,500 for 2021 and 2020, respectively	34,650	49,500
Goodwill	2,488,785	2,488,785
Equity method investments	554,036	561,405
Deferred income tax asset	765,576	782,175
Right of use asset	1,615,418	2,114,228
Deposits and other assets	441,688	285,548
TOTAL ASSETS	39,076,623	38,480,150
CURRENT LIABILITIES:
Accounts payable and accrued expenses	4,084,170	3,036,097
Line of credit – current portion	2,500,000
Lease liability – current portion	406,876	484,163
Note payable – current portion	4,200	5,075
Due to broker	136,756	452,325
Income taxes payable	293,665	5,371
TOTAL CURRENT LIABILITIES	7,425,667	3,983,031
Deferred income tax liabilities	870,832	882,582
Line of credit net of current portion		3,796,822
Lease liability net of current portion	1,313,246	1,780,306
Note payable net of current portion	14,384	17,292
Deferred compensation payable	304,335	276,548
TOTAL LIABILITIES	9,928,464	10,736,581
Commitments and Contingencies (see Note 8)
Coffee Holding Co., Inc. stockholders’ equity:
Preferred stock, par value $.001 per share; 10,000,000 shares authorized; none issued
Common stock, par value $.001 per share; 30,000,000 shares authorized, 6,633,930 shares issued for 2021 and 2020; 5,708,599 shares outstanding for 2021 and 2020	6,634	6,634
Additional paid-in capital	18,499,029	17,929,724
Retained earnings	14,123,173	13,215,868
Less: Treasury stock, 925,331 common shares, at cost for 2021 and 2020	(4,633,560)	(4,633,560)
Total Coffee Holding Co., Inc. stockholders’ equity	27,995,276	26,518,666
Non-controlling interest	1,152,883	1,224,903
TOTAL STOCKHOLDERS’ EQUITY	29,148,159	27,743,569
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY	$ 39,076,623	$ 38,480,150

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Parenthetical) - USD ($)	Jul. 31, 2021	Oct. 31, 2020
Statement of Financial Position [Abstract]
Allowance for doubtful accounts	$ 144,000	$ 144,000
Accumulated depreciation buildings, machinery and equipment	8,068,230	7,610,864
Customer list and relationships, accumulated amortization	226,443	194,379
Non-compete, accumulated amortization	$ 64,350	$ 49,500
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, shares authorized	10,000,000	10,000,000
Preferred stock, shares issued	0	0
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	30,000,000	30,000,000
Common stock, shares issued	6,633,930	6,633,930
Common stock, shares outstanding	5,708,599	5,708,599
Treasury stock, shares	925,331	925,331

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations (Unaudited) - USD ($)	3 Months Ended		9 Months Ended
	Jul. 31, 2021	Jul. 31, 2020	Jul. 31, 2021	Jul. 31, 2020
Income Statement [Abstract]
NET SALES	$ 13,634,313	$ 17,344,009	$ 46,236,708	$ 56,725,386
COST OF SALES	10,708,461	13,517,482	35,061,947	45,287,198
GROSS PROFIT	2,925,852	3,826,527	11,174,761	11,438,188
OPERATING EXPENSES:
Selling and administrative	3,085,679	3,081,985	9,407,199	10,032,993
Officers’ salaries	153,638	170,250	460,501	497,654
TOTAL	3,239,317	3,252,235	9,867,700	10,530,647
INCOME (LOSS) FROM OPERATIONS	(313,465)	574,292	1,307,061	907,541
OTHER INCOME (EXPENSE)
Interest income	2,700	247	3,629	2,944
Loss from equity method investment	(3,454)	(1,547)	(7,369)	(4,539)
Interest expense	(5,202)	(45,283)	(48,710)	(150,742)
TOTAL	(5,956)	(46,583)	(52,450)	(152,337)
INCOME (LOSS) BEFORE PROVISION (BENEFIT) FOR INCOME TAXES AND NON-CONTROLLING INTEREST IN SUBSIDIARY	(319,421)	527,709	1,254,611	755,204
Provision for (benefit) from income taxes	(91,003)	161,454	419,326	250,804
NET INCOME (LOSS) BEFORE NON-CONTROLLING INTEREST IN SUBSIDIARY	(228,418)	366,255	835,285	504,400
Less: Net (income) loss attributable to the non-controlling interest	101,367	25,069	72,020	(214,406)
NET INCOME (LOSS) ATTRIBUTABLE TO COFFEE HOLDING CO., INC.	$ (127,051)	$ 391,324	$ 907,305	$ 289,994
Basic and diluted earnings (loss) per share	$ (0.02)	$ 0.07	$ 0.16	$ 0.05
Weighted average common shares outstanding:
Basic and diluted	5,708,599	5,569,349	5,708,599	5,569,349

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Changes in Stockholders' Equity (Unaudited) - USD ($)	Common Stock [Member]	Treasury Stock [Member]	Additional Paid-in Capital [Member]	Retained Earnings [Member]	Noncontrolling Interest [Member]	Total
Beginning balance at Oct. 31, 2019	$ 6,494	$ (4,633,560)	$ 16,580,974	$ 13,310,169	$ 1,466,646	$ 26,730,723
Beginning balance, shares at Oct. 31, 2019	5,569,349	925,331
Net Income (loss)				(599,848)		(599,848)
Stock Compensation			248,031			248,031
Income (loss) from non-Controlling Interest					48,664	48,664
Ending balance at Jan. 31, 2020	$ 6,494	$ (4,633,560)	16,829,005	12,710,321	1,515,310	26,427,570
Ending balance, shares at Jan. 31, 2020	5,569,349	925,331
Beginning balance at Oct. 31, 2019	$ 6,494	$ (4,633,560)	16,580,974	13,310,169	1,466,646	26,730,723
Beginning balance, shares at Oct. 31, 2019	5,569,349	925,331
Net Income (loss)						289,994
Ending balance at Jul. 31, 2020	$ 6,494	$ (4,633,560)	17,259,683	13,600,163	1,681,052	27,913,832
Ending balance, shares at Jul. 31, 2020	5,569,349	925,331
Beginning balance at Jan. 31, 2020	$ 6,494	$ (4,633,560)	16,829,005	12,710,321	1,515,310	26,427,570
Beginning balance, shares at Jan. 31, 2020	5,569,349	925,331
Net Income (loss)				498,518		498,518
Stock Compensation			240,909			240,909
Income (loss) from non-Controlling Interest					190,811	190,811
Ending balance at Apr. 30, 2020	$ 6,494	$ (4,633,560)	17,069,914	13,208,839	1,706,121	27,357,808
Ending balance, shares at Apr. 30, 2020	5,569,349	925,331
Net Income (loss)				391,324		391,324
Stock Compensation			189,769			189,769
Income (loss) from non-Controlling Interest					(25,069)	(25,069)
Ending balance at Jul. 31, 2020	$ 6,494	$ (4,633,560)	17,259,683	13,600,163	1,681,052	27,913,832
Ending balance, shares at Jul. 31, 2020	5,569,349	925,331
Beginning balance at Oct. 31, 2020	$ 6,634	$ (4,633,560)	17,929,724	13,215,868	1,224,903	27,743,569
Beginning balance, shares at Oct. 31, 2020	5,708,599	925,331
Net Income (loss)				677,312		677,312
Stock Compensation			189,768			189,768
Income (loss) from non-Controlling Interest					78,970	78,970
Ending balance at Jan. 31, 2021	$ 6,634	$ (4,633,560)	18,119,492	13,893,180	1,303,873	28,689,619
Ending balance, shares at Jan. 31, 2021	5,708,599	925,331
Beginning balance at Oct. 31, 2020	$ 6,634	$ (4,633,560)	17,929,724	13,215,868	1,224,903	27,743,569
Beginning balance, shares at Oct. 31, 2020	5,708,599	925,331
Net Income (loss)						907,305
Ending balance at Jul. 31, 2021	$ 6,634	$ (4,633,560)	18,499,029	14,123,173	1,152,883	29,148,159
Ending balance, shares at Jul. 31, 2021	5,708,599	925,331
Beginning balance at Jan. 31, 2021	$ 6,634	$ (4,633,560)	18,119,492	13,893,180	1,303,873	28,689,619
Beginning balance, shares at Jan. 31, 2021	5,708,599	925,331
Net Income (loss)				357,044		357,044
Stock Compensation			189,769			189,769
Income (loss) from non-Controlling Interest					(49,623)	(49,623)
Ending balance at Apr. 30, 2021	$ 6,634	$ (4,633,560)	18,309,261	14,250,224	1,254,250	29,186,809
Ending balance, shares at Apr. 30, 2021	5,708,599	925,331
Net Income (loss)				(127,051)		(127,051)
Stock Compensation			189,768			189,768
Income (loss) from non-Controlling Interest					(101,367)	(101,367)
Ending balance at Jul. 31, 2021	$ 6,634	$ (4,633,560)	$ 18,499,029	$ 14,123,173	$ 1,152,883	$ 29,148,159
Ending balance, shares at Jul. 31, 2021	5,708,599	925,331

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)	9 Months Ended
	Jul. 31, 2021	Jul. 31, 2020
OPERATING ACTIVITIES:
Net income	$ 835,285	$ 504,400
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	504,280	564,843
Stock-based compensation	569,305	678,709
Unrealized (gain) loss on commodities	(315,569)	(355,079)
Loss on equity method investments	7,369	4,539
Amortization of right of use asset	321,921	325,140
Deferred income taxes	4,849	73,473
Changes in operating assets and liabilities:
Accounts receivable	1,156,932	2,587,601
Inventories	750,468	299,249
Prepaid expenses and other current assets	(339,855)	(120,563)
Prepaid and refundable income taxes	92,597	154,158
Accounts payable and accrued expenses	1,048,073	(1,437,428)
Deposits and other assets	(128,353)
Change in lease liability	(367,458)	(357,286)
Income taxes payable	288,294	217
Net cash provided by operating activities	4,428,138	2,921,973
INVESTING ACTIVITIES:
Purchases of building, machinery and equipment	(1,491,233)	(392,023)
Net cash used in investing activities	(1,491,233)	(392,023)
FINANCING ACTIVITIES:
Advances under bank line of credit	2,515,563	1,141,132
Proceeds from PPP loan		634,400
Principal payments on note payable	(3,783)	(3,210)
Principal payments under bank line of credit	(3,812,385)	(4,512,050)
Net cash used in financing activities	(1,300,605)	(2,739,728)
NET INCREASE (DECREASE) IN CASH	1,636,300	(209,778)
CASH, BEGINNING OF PERIOD	2,875,120	2,402,556
CASH, END OF PERIOD	4,511,420	2,192,778
SUPPLEMENTAL DISCLOSURE OF CASH FLOW DATA:
Interest paid	55,389	159,484
Income taxes paid	10,307	22,956
SUPPLEMENTAL DISCLOSURE OF NON-CASH INVESTING AND FINANCING ACTIVITIES:
Initial recognition of operating lease right of use asset	65,999	2,512,022
Initial recognition of operating lease liabilities	65,999	2,705,484
Termination of operating lease right of use asset	242,888
Termination of operating lease liability	242,888
Machinery and equipment acquired through financing		$ 26,807

BUSINESS ACTIVITIES

BUSINESS ACTIVITIES	9 Months Ended
	Jul. 31, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract]
BUSINESS ACTIVITIES	NOTE 1 - BUSINESS ACTIVITIES Coffee Holding Co., Inc. (the “Company”) conducts wholesale coffee operations, including manufacturing, roasting, packaging, marketing and distributing roasted and blended coffees for private labeled accounts and its own brands, and it sells green coffee. The Company also manufactures and sells coffee roasters. The Company’s core product, coffee, can be summarized and divided into three product categories (“product lines”) as follows: Wholesale Green Coffee: Private Label Coffee: Branded Coffee: The Company’s wholesale green coffee sales are included in the “green” revenue stream, and the Company’s private label and branded coffee sales are included in the “packaged revenue stream” and are primarily to customers that are located throughout the United States with limited sales in Canada and certain countries in Asia. Such customers include supermarkets, wholesalers, and individually-owned and multi-unit retailers. The Company’s unprocessed green coffee, which includes over 90 specialty coffee offerings, is sold primarily to specialty gourmet roasters and to coffee shop operators in the United States with limited sales in Australia, Canada, England and China. The Company’s wholesale green, private label, and branded coffee product categories generate revenues and cost of sales individually but incur selling, general and administrative expenses in the aggregate. There are no individual product managers and discrete financial information is not available for any of the product lines. The Company’s product portfolio is used in one business and it operates and competes in one business activity and economic environment. In addition, the three product lines share customers, manufacturing resources, sales channels, and marketing support. Thus, the Company considers the three product lines to be one single reporting segment. COVID-19 The global outbreak of COVID-19 was declared a pandemic by the World Health Organization and a national emergency by the U.S. government in March 2020 and has negatively affected the U.S. and global economies, disrupted global supply chains, resulted in significant travel and transport restrictions, mandated closures and stay-at-home orders, and created significant disruption of the financial markets. The continuing impact on the Company’s business, including the decrease in the Company’s sales, the length and impact of stay-at-home orders and/or regional quarantines, labor shortages and employment trends, disruptions to supply chains, including the Company’s ability to obtain products from global suppliers, higher operating costs, the form and impact of economic stimulus and general overall economic instability, has contributed to and may continue to have a material adverse effect on the Company’s business, results of operations, financial condition and cash flows. At this time the full impact could not be determined. COFFEE HOLDING CO., INC. NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS JULY 31, 2021 (UNAUDITED)

BASIS OF PRESENTATION AND SIGNI

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES	9 Months Ended
	Jul. 31, 2021
Accounting Policies [Abstract]
BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES	NOTE 2 - BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES The Company’s fiscal year ends on October 31, of each calendar year. The accompanying interim condensed consolidated financial statements are unaudited and have been prepared on substantially the same basis as our annual consolidated financial statements for the fiscal year ended October 31, 2020. In the opinion of the Company’s management, these interim condensed consolidated financial statements reflect all adjustments (consisting only of normal recurring adjustments) considered necessary for a fair statement of our financial position, results of operations and cash flows for the periods presented. The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the condensed consolidated financial statements and the reported amounts of revenue and expenses during the reporting periods. Actual results could differ from these estimates. The October 31, 2020 year-end condensed consolidated balance sheet data in this document was derived from audited consolidated financial statements. These condensed consolidated financial statements and notes included in this quarterly report on Form 10-Q does not include all disclosures required by U.S. generally accepted accounting principles (“U.S. GAAP”) and should be read in conjunction with the Company’s audited consolidated financial statements as of and for the year ended October 31, 2020 and notes thereto included in the Company’s fiscal 2020 Annual Report on Form 10-K, filed with the Securities and Exchange Commission (“SEC”) on February 16, 2021 (the “2020 10-K”). The results of operations and cash flows for the interim periods included in these condensed consolidated financial statements are not necessarily indicative of the results to be expected for any future period or the entire fiscal year. The condensed consolidated financial statements include the accounts of the Company, the Company’s subsidiaries, Organic Products Trading Company, LLC (“OPTCO”), Sonofresco, LLC (“SONO”), Comfort Foods, Inc. (“CFI”) and Generations Coffee Company, LLC (“GCC”), the entity formed as a result of the Company’s joint venture with Caruso’s Coffee, Inc. The Company owns a 60% Significant Accounting Policies The significant accounting policies used in the preparation of these condensed consolidated financial statements are disclosed in our 2020 10-K, and there have been no changes to the Company’s significant accounting policies during the three and nine months ended July 31, 2021. Revenue Recognition The Company recognizes revenue in accordance with the five-step model as prescribed by the Financial Accounting Standards Board (“FASB”) Accounting Codification (“ASC”) Topic 606 (“ASC 606”) in which the Company evaluates the transfer of promised goods or services and recognizes revenue when its customer obtains control of promised goods or services in an amount that reflects the consideration which the Company expects to be entitled to receive in exchange for those goods or services. To determine revenue recognition for the arrangements that the Company determines are within the scope of ASC 606, the Company performs 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 when (or as) the entity satisfies a performance obligation. COFFEE HOLDING CO., INC. NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS JULY 31, 2021 (UNAUDITED) NOTE 2 - BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICY (cont’d): The following table presents revenues by stream for the nine and three months ended July 31, 2021 and 2020. SCHEDULE OF REVENUE Nine Months Ended July 31, 2021 Three Months Ended July 31, 2021 Nine Months Ended July 31, 2020 Three Months Ended July 31, 2020 Green $ 18,054,298 $ 6,003,521 $ 18,453,377 $ 5,765,246 Packaged 28,182,410 7,630,792 38,272,009 11,578,763 Totals $ 46,236,708 $ 13,634,313 $ 56,725,386 $ 17,344,009

INVENTORIES

INVENTORIES	9 Months Ended
	Jul. 31, 2021
Inventory Disclosure [Abstract]
INVENTORIES	NOTE 3 - INVENTORIES Inventories at July 31, 2021 and October 31, 2020 consisted of the following: SCHEDULE OF INVENTORIES July 31, 2021 October 31, 2020 Packed coffee $ 3,405,572 $ 3,590,709 Green coffee 10,897,817 11,390,668 Roasters and parts 422,583 381,617 Packaging supplies 1,626,553 1,739,999 Totals $ 16,352,525 $ 17,102,993 COFFEE HOLDING CO., INC. NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS JULY 31, 2021 (UNAUDITED)

COMMODITIES HELD BY BROKER

COMMODITIES HELD BY BROKER	9 Months Ended
	Jul. 31, 2021
Brokers and Dealers [Abstract]
COMMODITIES HELD BY BROKER	NOTE 4 - COMMODITIES HELD BY BROKER The Company has used, and intends to continue to use in a limited capacity, short term coffee futures and options contracts primarily for the purpose of partially hedging and minimizing the effects of changing green coffee prices and to reduce our cost of sales. The commodities held at broker represent the market value of the Company’s trading account, which consists of options and future contracts for coffee held with a brokerage firm. The Company uses options and futures contracts, which are not designated or qualifying as hedging instruments, to partially hedge the effects of fluctuations in the price of green coffee beans. Options and futures contracts are recognized at fair value in the condensed consolidated financial statements with current recognition of gains and losses on such positions. The Company’s accounting for options and futures contracts may impact earnings volatility in any particular period. The Company has open position contracts held by the broker, which are summarized as follows: SCHEDULE OF CONTRACTS HELD BY BROKER July October Option Contracts $ (191,637 ) $ (164,475 ) Future Contracts 54,881 (287,850 ) Total Commodities $ (136,756 ) $ (452,325 ) The Company classifies its options and future contracts as trading securities and accordingly, unrealized holding gains and losses are included in the statement of operations as a component of cost of sales and not reflected as a net amount as a separate component of stockholders’ equity. The Company recorded realized and unrealized gains and losses, on these contracts as follows: SCHEDULE OF REALIZED AND UNREALIZED GAINS AND LOSSES ON CONTRACTS 2021 2020 Three Months Ended July 31, 2021 2020 Gross realized gains $ 288,785 $ 150,972 Gross realized losses (29,077) (525,155 ) Unrealized (loss) gain (243,838) 674,015 Total $ 15,870 $ 299,832 2021 2020 Nine Months Ended July 31, 2021 2020 Gross realized gains $ 791,897 $ 992,875 Gross realized losses (29,152 ) (1,320,080 ) Unrealized gain 315,569 355,079 Total $ 1,078,314 $ 27,874 COFFEE HOLDING CO., INC. NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS JULY 31, 2021 (UNAUDITED)

LINE OF CREDIT

LINE OF CREDIT	9 Months Ended
	Jul. 31, 2021
Debt Disclosure [Abstract]
LINE OF CREDIT	NOTE 5 - LINE OF CREDIT On April 25, 2017 the Company and OPTCO (together with the Company, collectively referred to herein as the “Borrowers”) entered into an Amended and Restated Loan and Security Agreement (the “A&R Loan Agreement”) and Amended and Restated Loan Facility (the “A&R Loan Facility”) with Sterling National Bank (“Sterling”), which consolidated (i) the financing agreement between the Company and Sterling, dated February 17, 2009, as modified, (the “Company Financing Agreement”) and (ii) the financing agreement between Company, as guarantor, OPTCO and Sterling, dated March 10, 2015 (the “OPTCO Financing Agreement”), amongst other things. On March 13, 2020, the Company reached an agreement for a new loan modification agreement and credit facility with Sterling. The terms of the new agreement, among other things: (i) provides for a new maturity date of March 31, 2022 1.75% 3.50% Each of the A&R Loan Facility and A&R Loan Agreement contains covenants, subject to certain exceptions, that place annual restrictions on the Borrowers’ operations, including covenants relating to debt restrictions, capital expenditures, indebtedness, minimum deposit restrictions, tangible net worth, net profit, leverage, employee loan restrictions, dividend and repurchase restrictions (common stock and preferred stock), and restrictions on intercompany transactions. The Company was in compliance with all covenants as of July 31, 2021 and October 31, 2020. The outstanding balance on the Company’s lines of credit were $ 2,500,000 3,796,822

INCOME TAXES

INCOME TAXES	9 Months Ended
	Jul. 31, 2021
Income Tax Disclosure [Abstract]
INCOME TAXES	NOTE 6 - INCOME TAXES The Company accounts for income taxes pursuant to the asset and liability method which requires deferred income tax assets and liabilities to be computed for temporary differences between the financial statement and tax basis of assets and liabilities that will result in taxable or deductible amounts in the future based on enacted tax laws and rates applicable to the periods in which the differences are expected to affect taxable income. Valuation allowances are established when necessary to reduce deferred tax assets to the amount expected to be realized. The income tax provision or benefit is the tax incurred for the period plus or minus the change during the period in deferred tax assets and liabilities. As of July 31, 2021 and October 31, 2020, the Company did no no The Company files a U.S. federal income tax return and California, Colorado, Connecticut, Idaho, Kansas, Louisiana, Montana, Massachusetts, Michigan, New Jersey, New York, New York City, Oregon, Rhode Island, South Carolina, Tennessee, Virginia, and Texas state tax returns. The Company’s federal income tax return is no longer subject to examination by the federal taxing authority for the years before fiscal 2017. The Company’s California, Colorado and New Jersey income tax returns are no longer subject to examination by their respective taxing authorities for the years before fiscal 2017. The Company’s Oregon and New York income tax returns are no longer subject to examination by their respective taxing authorities for the years before fiscal 2017. COFFEE HOLDING CO., INC. NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS JULY 31, 2021 (UNAUDITED)

EARNINGS PER SHARE

EARNINGS PER SHARE	9 Months Ended
	Jul. 31, 2021
Earnings Per Share [Abstract]
EARNINGS PER SHARE	NOTE 7 - EARNINGS PER SHARE The Company presents “basic” and “diluted” earnings per common share pursuant to the provisions included in the authoritative guidance issued by FASB, “Earnings per Share,” and certain other financial accounting pronouncements. Basic earnings per common share were computed by dividing net income by the sum of the weighted-average number of common shares outstanding. Diluted earnings per common share is computed by dividing the net income by the weighted-average number of common shares outstanding plus the dilutive effect of common shares issuable upon exercise of potential sources of dilution. The weighted average common shares outstanding used in the computation of basic and diluted earnings per share were 5,708,599 5,569,349 1,000,000

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	9 Months Ended
	Jul. 31, 2021
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIES	NOTE 8 – COMMITMENTS AND CONTINGENCIES CLASS ACTION COMPLAINTS The Company was named as a defendant in a putative class action lawsuit filed in the United States District Court for the Northern District of Illinois on or about December 21, 2020. The plaintiffs, Eileen Brodsky and Rhonda Diamond, purporting to represent a class of individuals who purchased coffee products at Aldi, Inc. (“Aldi”), a supermarket chain, generally allege that Aldi sold private label coffee products manufactured by the Company and another coffee roasting company, which falsely described the number of cups of coffee that could be made from the amount of product purchased. Aldi and Pan American are also named as defendants in the action. The complaint asserts a variety of claims under New York and California consumer protection laws, and seeks unspecified monetary damages, including disgorgement and restitution, as well as other forms of relief including class certification, declaratory and injunctive relief, attorneys’ fees, and interest. The Company believes the allegations in the complaint are wholly without merit and that the claims asserted are legally deficient, and the company intends to vigorously defend the action. The Company has filed a motion to dismiss, and the plaintiff has sought leave to file an amended complaint. At this time, the Company is unable to predict the ultimate outcome of this lawsuit. A significant customer of the Company was named as a defendant in a putative class action lawsuit filed in the United States District Court for the District of Massachusetts on or about February 2, 2021, concerning the labeling on private label coffee productions we sold to the customer. The plaintiff, David Cohen, purporting to represent a class of individuals who purchased coffee products from our customer, generally allege that the customer sold private label coffee products manufactured by the Company which falsely described the number of cups of coffee that could be made from the amount of product purchased. The Company is not named as a defendant in the action, but has agreed to indemnify the customer for the costs and expenses incurred in defending the lawsuit and for any liability the customer may suffer as a result. The complaint asserts a variety of claims under Massachusetts consumer protection laws, and seeks unspecified monetary damages as well as other forms of relief including class certification, declaratory and injunctive relief, attorneys’ fees, and interest. The Company believes the allegations in the complaint are wholly without merit and that the claims asserted are legally deficient, and intends to vigorously support the customer in defending the action. As of the filing of this Form 10-Q, the Company is unable to predict the ultimate outcome of this lawsuit. COFFEE HOLDING CO., INC. NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS JULY 31, 2021 (UNAUDITED) NOTE 8 – COMMITMENTS AND CONTINGENCIES (cont’d): CLASS ACTION COMPLAINTS (cont’d) A number of lawsuits similar to those above have been filed in recent years against coffee sellers in the industry in which the Company competes. Many of these lawsuits have yet to be finally adjudicated. The Company believes the lawsuits filed against it are without merit. LEASES The following summarizes the Company’s operating leases: SCHEDULE OF OPERATING LEASES July 31, 2021 Right-of-use operating lease assets $ 1,615,418 Current lease liability $ 406,876 Non-current lease liability 1,313,246 Total lease liability $ 1,720,122 The amortization of the right-of-use asset for the nine and three months ended July 31, 2021 was $ 321,921 95,766 July 31, 2021 Average remaining lease term 2.9 Discount rate 4.75 % Maturities of lease liabilities by year for our operating leases are as follows: SCHEDULE OF MINIMUM FUTURE LEASE PAYMENTS 2021 (remaining three months) $ 179,031 2022 470,761 2023 446,449 2024 291,454 2025 168,288 Thereafter 434,744 Total lease payments $ 1,990,727 Less: imputed interest (270,605 ) Present value of operating lease liabilities $ 1,720,122 The aggregate cash payments under these leasing agreements was $ 442,118 In June 2021, the Company purchased a facility in Colorado for $ 900,321 242,888 COFFEE HOLDING CO., INC. NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS JULY 31, 2021 (UNAUDITED)

ECONOMIC DEPENDENCY

ECONOMIC DEPENDENCY	9 Months Ended
	Jul. 31, 2021
Risks and Uncertainties [Abstract]
ECONOMIC DEPENDENCY	NOTE 9 - ECONOMIC DEPENDENCY Approximately 21% 23% 1,297,343 21% 23% 1,907,000 Approximately 50% 34% 718,000 23% 26% 508,000

RELATED PARTY TRANSACTIONS

RELATED PARTY TRANSACTIONS	9 Months Ended
	Jul. 31, 2021
Related Party Transactions [Abstract]
RELATED PARTY TRANSACTIONS	NOTE 10 - RELATED PARTY TRANSACTIONS The Company has engaged its 40% 91,207 253,932 110,369 307,569 An employee of one of the top five vendors is a director of the Company. Purchases from that vendor totaled approximately $ 1,716,000 2,451,000 1,461,000 4,466,000 50,500 In January 2005, the Company established the “Coffee Holding Co., Inc. Non-Qualified Deferred Compensation Plan.” Currently, there is only one participant in the plan: the Company’s Chief Executive Officer. Within the plan guidelines, this employee is deferring a portion of his current salary and bonus. The assets are held in a separate trust. The deferred compensation payable represents the liability due to an officer of the Company. The assets are included in the Deposits and other assets in the accompanying balance sheets. The deferred compensation asset and liability at July 31, 2021 and October 31, 2020 were $ 304,335 276,548 COFFEE HOLDING CO., INC. NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS JULY 31, 2021 (UNAUDITED)

STOCKHOLDERS_ EQUITY

STOCKHOLDERS’ EQUITY	9 Months Ended
	Jul. 31, 2021
Equity [Abstract]
STOCKHOLDERS’ EQUITY	NOTE 11 - STOCKHOLDERS’ EQUITY a. Treasury Stock b. Stock Options. The Company has an incentive stock plan, the 2013 Equity Compensation Plan (the “2013 Plan”), and on April 19, 2019, has granted stock options to employees, officers and non-employee directors from the 2013 Plan. Options granted under the 2013 Plan may be Incentive Stock Options or Nonqualified Stock Options, as determined by the Administrator at the time of grant. As of January 31, 2021, the Board of Directors approved 1,000,000 The Company recorded $ 189,768 569,305 189,769 678,709 The remaining unamortized stock compensation expense as of July 31, 2021 was approximately $ 595,589

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS	9 Months Ended
	Jul. 31, 2021
Subsequent Events [Abstract]
SUBSEQUENT EVENTS	NOTE 12 - SUBSEQUENT EVENTS The Company evaluates events that have occurred after the balance sheet date but before the financial statements are issued. Based upon the evaluation, the Company did identify a subsequent event that requires disclosure in the condensed consolidated financial statements. The Company made an investment of $ 2,500,000 in an entity that holds investments in the plant-based protein drink manufacturing industry.

BASIS OF PRESENTATION AND SIG_2

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES (Policies)	9 Months Ended
	Jul. 31, 2021
Accounting Policies [Abstract]
Revenue Recognition	Revenue Recognition The Company recognizes revenue in accordance with the five-step model as prescribed by the Financial Accounting Standards Board (“FASB”) Accounting Codification (“ASC”) Topic 606 (“ASC 606”) in which the Company evaluates the transfer of promised goods or services and recognizes revenue when its customer obtains control of promised goods or services in an amount that reflects the consideration which the Company expects to be entitled to receive in exchange for those goods or services. To determine revenue recognition for the arrangements that the Company determines are within the scope of ASC 606, the Company performs 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 when (or as) the entity satisfies a performance obligation. COFFEE HOLDING CO., INC. NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS JULY 31, 2021 (UNAUDITED) NOTE 2 - BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICY (cont’d): The following table presents revenues by stream for the nine and three months ended July 31, 2021 and 2020. SCHEDULE OF REVENUE Nine Months Ended July 31, 2021 Three Months Ended July 31, 2021 Nine Months Ended July 31, 2020 Three Months Ended July 31, 2020 Green $ 18,054,298 $ 6,003,521 $ 18,453,377 $ 5,765,246 Packaged 28,182,410 7,630,792 38,272,009 11,578,763 Totals $ 46,236,708 $ 13,634,313 $ 56,725,386 $ 17,344,009

BASIS OF PRESENTATION AND SIG_3

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES (Tables)	9 Months Ended
	Jul. 31, 2021
Accounting Policies [Abstract]
SCHEDULE OF REVENUE	The following table presents revenues by stream for the nine and three months ended July 31, 2021 and 2020. SCHEDULE OF REVENUE Nine Months Ended July 31, 2021 Three Months Ended July 31, 2021 Nine Months Ended July 31, 2020 Three Months Ended July 31, 2020 Green $ 18,054,298 $ 6,003,521 $ 18,453,377 $ 5,765,246 Packaged 28,182,410 7,630,792 38,272,009 11,578,763 Totals $ 46,236,708 $ 13,634,313 $ 56,725,386 $ 17,344,009

INVENTORIES (Tables)

INVENTORIES (Tables)	9 Months Ended
	Jul. 31, 2021
Inventory Disclosure [Abstract]
SCHEDULE OF INVENTORIES	Inventories at July 31, 2021 and October 31, 2020 consisted of the following: SCHEDULE OF INVENTORIES July 31, 2021 October 31, 2020 Packed coffee $ 3,405,572 $ 3,590,709 Green coffee 10,897,817 11,390,668 Roasters and parts 422,583 381,617 Packaging supplies 1,626,553 1,739,999 Totals $ 16,352,525 $ 17,102,993

COMMODITIES HELD BY BROKER (Tab

COMMODITIES HELD BY BROKER (Tables)	9 Months Ended
	Jul. 31, 2021
Brokers and Dealers [Abstract]
SCHEDULE OF CONTRACTS HELD BY BROKER	The Company has open position contracts held by the broker, which are summarized as follows: SCHEDULE OF CONTRACTS HELD BY BROKER July October Option Contracts $ (191,637 ) $ (164,475 ) Future Contracts 54,881 (287,850 ) Total Commodities $ (136,756 ) $ (452,325 )
SCHEDULE OF REALIZED AND UNREALIZED GAINS AND LOSSES ON CONTRACTS	The Company recorded realized and unrealized gains and losses, on these contracts as follows: SCHEDULE OF REALIZED AND UNREALIZED GAINS AND LOSSES ON CONTRACTS 2021 2020 Three Months Ended July 31, 2021 2020 Gross realized gains $ 288,785 $ 150,972 Gross realized losses (29,077) (525,155 ) Unrealized (loss) gain (243,838) 674,015 Total $ 15,870 $ 299,832 2021 2020 Nine Months Ended July 31, 2021 2020 Gross realized gains $ 791,897 $ 992,875 Gross realized losses (29,152 ) (1,320,080 ) Unrealized gain 315,569 355,079 Total $ 1,078,314 $ 27,874

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (Tables)	9 Months Ended
	Jul. 31, 2021
Commitments and Contingencies Disclosure [Abstract]
SCHEDULE OF OPERATING LEASES	The following summarizes the Company’s operating leases: SCHEDULE OF OPERATING LEASES July 31, 2021 Right-of-use operating lease assets $ 1,615,418 Current lease liability $ 406,876 Non-current lease liability 1,313,246 Total lease liability $ 1,720,122 The amortization of the right-of-use asset for the nine and three months ended July 31, 2021 was $ 321,921 95,766 July 31, 2021 Average remaining lease term 2.9 Discount rate 4.75 %
SCHEDULE OF MINIMUM FUTURE LEASE PAYMENTS	SCHEDULE OF MINIMUM FUTURE LEASE PAYMENTS 2021 (remaining three months) $ 179,031 2022 470,761 2023 446,449 2024 291,454 2025 168,288 Thereafter 434,744 Total lease payments $ 1,990,727 Less: imputed interest (270,605 ) Present value of operating lease liabilities $ 1,720,122

SCHEDULE OF REVENUE (Details)

SCHEDULE OF REVENUE (Details) - USD ($)	3 Months Ended		9 Months Ended
	Jul. 31, 2021	Jul. 31, 2020	Jul. 31, 2021	Jul. 31, 2020
Totals	$ 13,634,313	$ 17,344,009	$ 46,236,708	$ 56,725,386
Green Coffee [Member]
Totals	6,003,521	5,765,246	18,054,298	18,453,377
Packaged Coffee [Member]
Totals	$ 7,630,792	$ 11,578,763	$ 28,182,410	$ 38,272,009

BASIS OF PRESENTATION AND SIG_4

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES (Details Narrative)	Jul. 31, 2021
Generations Coffee Company, LLC [Member]
Entity Listings [Line Items]
Equity method investment, ownership percentage	60.00%

SCHEDULE OF INVENTORIES (Detail

SCHEDULE OF INVENTORIES (Details) - USD ($)	Jul. 31, 2021	Oct. 31, 2020
Customer Securities for which Entity has Right to Sell or Repledge (Including Securities Sold or Repledged) [Line Items]
Totals	$ 16,352,525	$ 17,102,993
Packed Coffee [Member]
Customer Securities for which Entity has Right to Sell or Repledge (Including Securities Sold or Repledged) [Line Items]
Totals	3,405,572	3,590,709
Green Coffee [Member]
Customer Securities for which Entity has Right to Sell or Repledge (Including Securities Sold or Repledged) [Line Items]
Totals	10,897,817	11,390,668
Roaster Parts [Member]
Customer Securities for which Entity has Right to Sell or Repledge (Including Securities Sold or Repledged) [Line Items]
Totals	422,583	381,617
Packaging Supplies [Member]
Customer Securities for which Entity has Right to Sell or Repledge (Including Securities Sold or Repledged) [Line Items]
Totals	$ 1,626,553	$ 1,739,999

SCHEDULE OF CONTRACTS HELD BY B

SCHEDULE OF CONTRACTS HELD BY BROKER (Details) - USD ($)	Jul. 31, 2021	Oct. 31, 2020
Brokers and Dealers [Abstract]
Option Contracts	$ (191,637)	$ (164,475)
Future Contracts	54,881	(287,850)
Total Commodities	$ (136,756)	$ (452,325)

SCHEDULE OF REALIZED AND UNREAL

SCHEDULE OF REALIZED AND UNREALIZED GAINS AND LOSSES ON CONTRACTS (Details) - USD ($)	3 Months Ended		9 Months Ended
	Jul. 31, 2021	Jul. 31, 2020	Jul. 31, 2021	Jul. 31, 2020
Brokers and Dealers [Abstract]
Gross realized gains	$ 288,785	$ 150,972	$ 791,897	$ 992,875
Gross realized losses	(29,077)	(525,155)	(29,152)	(1,320,080)
Unrealized gain	(243,838)	674,015	315,569	355,079
Total	$ 15,870	$ 299,832	$ 1,078,314	$ 27,874

LINE OF CREDIT (Details Narrati

LINE OF CREDIT (Details Narrative) - USD ($)	Mar. 13, 2020	Jul. 31, 2021	Oct. 31, 2020
Debt Instrument [Line Items]
Outstanding line of credit		$ 2,500,000	$ 3,796,822
New Loan Modification Agreement and Credit Facility [Member]
Debt Instrument [Line Items]
Line of credit expire date	Mar. 31, 2022
New Loan Modification Agreement and Credit Facility [Member] | London Interbank Offered Rate (LIBOR) [Member]
Debt Instrument [Line Items]
Line of credit interest rate	1.75%
New Loan Modification Agreement and Credit Facility [Member] | London Interbank Offered Rate (LIBOR) [Member] | Maximum [Member]
Debt Instrument [Line Items]
Line of credit interest rate	3.50%

INCOME TAXES (Details Narrative

INCOME TAXES (Details Narrative) - USD ($)	Jul. 31, 2021	Oct. 31, 2020
Income Tax Disclosure [Abstract]
Unrecognized tax benefits	$ 0	$ 0
Accrued interest or penalties	$ 0	$ 0

EARNINGS PER SHARE (Details Nar

EARNINGS PER SHARE (Details Narrative) - shares	3 Months Ended		9 Months Ended
	Jul. 31, 2021	Jul. 31, 2020	Jul. 31, 2021	Jul. 31, 2020
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Weighted average common shares outstanding: Basic and diluted	5,708,599	5,569,349	5,708,599	5,569,349
Share-based Payment Arrangement, Option [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share, amount			1,000,000

SCHEDULE OF OPERATING LEASES (D

SCHEDULE OF OPERATING LEASES (Details) - USD ($)	Jul. 31, 2021	Oct. 31, 2020
Commitments and Contingencies Disclosure [Abstract]
Right-of-use operating lease assets	$ 1,615,418	$ 2,114,228
Current lease liability	406,876	484,163
Non-current lease liability	1,313,246	$ 1,780,306
Total lease liability	$ 1,720,122
Average remaining lease term	2 years 10 months 24 days
Discount rate	4.75%

SCHEDULE OF MINIMUM FUTURE LEAS

SCHEDULE OF MINIMUM FUTURE LEASE PAYMENTS (Details)	Jul. 31, 2021USD ($)
Commitments and Contingencies Disclosure [Abstract]
2021 (remaining three months)	$ 179,031
2022	470,761
2023	446,449
2024	291,454
2025	168,288
Thereafter	434,744
Total lease payments	1,990,727
Less: imputed interest	(270,605)
Present value of operating lease liabilities	$ 1,720,122

COMMITMENTS AND CONTINGENCIES_2

COMMITMENTS AND CONTINGENCIES (Details Narrative) - USD ($)	1 Months Ended	3 Months Ended	9 Months Ended
	Jun. 30, 2021	Jul. 31, 2021	Jul. 31, 2021	Jul. 31, 2020
Commitments and Contingencies Disclosure [Abstract]
Amortization of right-of-use asset		$ 95,766	$ 321,921	$ 325,140
Cash payments for lease			$ 442,118
Payments for purchase of asset	$ 900,321
Right-of-use asset and lease liability wrote off	$ 242,888

ECONOMIC DEPENDENCY (Details Na

ECONOMIC DEPENDENCY (Details Narrative) - USD ($)	3 Months Ended		9 Months Ended
	Jul. 31, 2021	Jul. 31, 2020	Jul. 31, 2021	Jul. 31, 2020
Accounts Payable [Member] | Six Vendors [Member]
Concentration Risk [Line Items]
Accounts payable	$ 718,000	$ 508,000	$ 718,000	$ 508,000
Accounts Payable [Member] | Customer Concentration Risk [Member] | Six Vendors [Member]
Concentration Risk [Line Items]
Concentration risk percentage	50.00%	23.00%	34.00%	26.00%
Six Customers [Member]
Concentration Risk [Line Items]
Accounts receivable	$ 1,297,343	$ 1,907,000	$ 1,297,343	$ 1,907,000
Six Customers [Member] | Revenue Benchmark [Member] | Customer Concentration Risk [Member]
Concentration Risk [Line Items]
Concentration risk percentage	21.00%	21.00%	23.00%	23.00%

RELATED PARTY TRANSACTIONS (Det

RELATED PARTY TRANSACTIONS (Details Narrative) - USD ($)	3 Months Ended		9 Months Ended
	Jul. 31, 2021	Jul. 31, 2020	Jul. 31, 2021	Jul. 31, 2020	Oct. 31, 2020
Entity Listings [Line Items]
Contract labor expense	$ 91,207	$ 110,369	$ 253,932	$ 307,569
Purchases from related party vendor	1,716,000	$ 1,461,000	2,451,000	$ 4,466,000
Accounts payable to related party vendor	50,500		50,500		$ 50,500
Deferred compensation payable	$ 304,335		$ 304,335		$ 276,548
Generations Coffee Company, LLC [Member]
Entity Listings [Line Items]
Related party transaction percentage			40.00%

STOCKHOLDERS_ EQUITY (Details N

STOCKHOLDERS’ EQUITY (Details Narrative) - USD ($)	3 Months Ended		9 Months Ended
	Jul. 31, 2021	Jul. 31, 2020	Jul. 31, 2021	Jul. 31, 2020
Deferred Compensation Arrangement with Individual, Postretirement Benefits [Line Items]
Stock-based compensation	$ 189,768	$ 189,769	$ 569,305	$ 678,709
Unamortized stock compensation expense			$ 595,589
Board of Directors [Member]
Deferred Compensation Arrangement with Individual, Postretirement Benefits [Line Items]
Share-based compensation, options, number of shares authorized	1,000,000		1,000,000

SUBSEQUENT EVENTS (Details Narr

SUBSEQUENT EVENTS (Details Narrative)	1 Months Ended
	Sep. 14, 2021USD ($)
Subsequent Event [Member]
Subsequent Event [Line Items]
Payments to Acquire Investments	$ 2,500,000