ClearSight has released a new resource, LASIK Myths and Misconceptions, aimed at addressing the misinformation that often keeps people from considering LASIK as a safe and effective vision correction option. The article identifies and explains the truth behind 12 of the most common misunderstandings about LASIK, including concerns about pain, safety, cost, recovery, and long-term results. With decades of clinical data and thousands of successful patient outcomes, ClearSight’s team of refractive surgery specialists hopes to empower individuals to make confident, informed decisions about their vision.
According to the article, one of the most prevalent myths is that LASIK is painful. In reality, patients receive numbing eye drops before the procedure, which eliminates pain during surgery. While some may feel minor pressure during the process and experience temporary dryness or mild discomfort afterward, most report the experience as surprisingly comfortable. Another common concern is safety, with some believing LASIK is too risky or even capable of causing blindness. ClearSight emphasizes that LASIK is one of the most studied elective procedures in modern medicine, with an exceptional safety record. Serious complications are rare, and the practice’s use of advanced laser platforms and diagnostic tools such as corneal topography further reduces potential risks.
The resource also addresses the misconception that LASIK only works for mild vision problems. ClearSight routinely performs LASIK for a range of refractive errors, including myopia, hyperopia, and astigmatism. Modern technology allows correction of more complex prescriptions, meaning many who previously thought they were ineligible for LASIK may now qualify after a proper evaluation. Another persistent myth is that LASIK results wear off over time. The article explains that the vision correction achieved through LASIK is permanent, with any changes years later typically related to the natural aging process, not the procedure itself.
Cost is another barrier fueled by misunderstanding. While some assume LASIK is prohibitively expensive, ClearSight notes that it can save money over time by eliminating the ongoing cost of glasses, contact lenses, and related supplies. The practice offers financing options to make LASIK more accessible and emphasizes the value of factoring in the daily convenience and long-term savings when considering the procedure. The belief that everyone is automatically a candidate for LASIK is also clarified—while not everyone qualifies, many who assume they are ineligible are surprised to learn they can safely undergo the surgery after a thorough examination.
Night vision concerns are another topic of misinformation. Some patients worry that glare or halos will be a permanent problem, especially while driving at night. ClearSight explains that while mild visual effects may occur in the early healing period, these typically fade as the eyes adjust. Advanced laser technology used at the practice is designed to reduce nighttime visual disturbances and improve contrast sensitivity, often resulting in sharper night vision than patients had with glasses or contacts.
The article also dispels the idea that LASIK is a new or experimental treatment. LASIK has been performed for more than 25 years and is supported by extensive research in the field of ophthalmology. Millions of people worldwide, including medical professionals, pilots, and athletes, have trusted the procedure for its precision and predictable outcomes. Another overlooked benefit is quality of life. While many view LASIK solely as a way to eliminate corrective lenses, ClearSight patients frequently report improvements that extend beyond convenience—such as greater confidence, more freedom in sports and outdoor activities, and the ability to wake up with clear vision.
Finally, ClearSight addresses the belief that LASIK is purely cosmetic. LASIK is a medically guided, highly technical refractive surgery that improves visual acuity, reduces dependence on corrective lenses, and addresses real vision problems affecting daily function. It is performed with the same level of precision and care as any other form of eye surgery, with the goal of delivering both visual clarity and long-term eye health.
By publishing LASIK Myths and Misconceptions, ClearSight aims to replace confusion with clarity and give prospective patients the facts they need to weigh their options. The practice stresses that the decision to undergo LASIK should be based on accurate information and a personalized evaluation. Misinformation can prevent people from exploring a procedure that could significantly improve their vision and quality of life.
ClearSight invites reporters, editors, and medical writers to explore the full article and speak directly with its experienced surgical team to gain additional insights into the safety, benefits, and candidacy requirements for LASIK. Patients interested in learning whether they qualify are encouraged to schedule a consultation to receive a thorough eye health evaluation and customized treatment plan.
BOCA RATON, FL / ACCESS Newswire / August 14, 2025 / Greenlane Holdings, Inc. (“Greenlane” or the “Company”) (Nasdaq:GNLN), one of the premier global sellers of premium cannabis accessories, child-resistant packaging, and specialty vaporization products, today reported its financial results for the second quarter and six months ended June 30, 2025.
Revenue Reporting and Key Organizational Initiatives
Beginning with our second quarter 2023 financial report, we implemented a major restructuring of our industrial product lines, transitioning much of this business from gross sales to a commission structure. While this change affects how we report revenue, we believe it enables us to preserve working capital and improve gross margins.
During the second quarter, the Company initiated and has since completed a restructuring of its sales organization to better align people and responsibilities with the Company’s omnichannel sales strategy, including the addition of new and highly experienced leadership across the board to ensure a return to growth and increased customer success at Greenlane. While necessary, the recent reorganization of the sales team, including new leadership and the recruitment of a stronger sales team, negatively impacted sales and new customer acquisition in the second quarter. The new structure is designed to accelerate sales, improve customer experience, and increase efficiency throughout the sales process. Subsequent to the end of the second quarter, the new sales and marketing infrastructure has delivered new customer growth, reactivation of customer accounts, and the addition of new multi-state operator accounts.
Second Quarter 2025 Results Compared to Prior Year Period
Total revenue was $0.8 million compared to $2.6 million in the prior year period.
Total operating expenses were $3.3 million, a decrease of 27% compared to $4.5 million in the prior year period.
Operating loss improved to $3.3 million compared to an operating loss of $3.5 million in the prior year period.
Net loss was $3.2 million compared to a net loss of $0.6 million in the prior year period.
New Sales and Marketing Team Supported by Leading Cannabis Digital Marketing Agency Enhancing Revenue and Customer Opportunities
Cannabis Creative Group (CCG) is leading the Company’s new marketing strategy to support future growth for its B2B-focused brands, including Greenlane Wholesale and KushCo. CCG began work in Q2 and has focused on driving campaigns towards new acquisitions and retargeting wholesale customers.
An approximately 880% increase in revenue for new customers, month over month June to July; and an approximate 40% increase in revenue for new customers month over month July to August (MTD)
19 accounts reactivated.
Added 12 new multi-state operator accounts.
“The restructuring of our sales leadership and sales team during the quarter significantly impacted our revenue. While disappointing for the near term, these actions were necessary to restore more sustainable growth over the long term. With new leadership in place, a growing portfolio of products, and a large market opportunity, I have increasing confidence that the Company is positioned to accelerate growth going forward,” said Barbara Sher, Chief Executive Officer for Greenlane
Sher added, “We made strides with footprint optimization, and we will continue to take costs out of the business and right-size operations, while we enhance our product offering and improve pricing architecture. We are seeing solid early indicators that our new sales leadership is setting the foundation for improved top-line performance, and we are thrilled to have added several new products in both the cannabis and wellness categories to drive new and existing customer opportunities.”
Sher concluded, “While we continue to navigate a dynamic market environment, we remain committed to the initiatives implemented in recent quarters that are fueling our transformation and driving our goal to improve profitability. As we focus on improving our business and accounts receivable strategy and efficiency efforts and given our early but encouraging new customer sales activity, we currently anticipate a stronger second half of 2025 for Greenlane.”
Strategic Growth and Operational Initiatives
Entered into a distribution agreement with Greentank Technologies, a leading innovator in the aerosolization technology industry, to distribute Greentank’s full assortment of cartridges and vaporizers.
Renewed distribution agreement with PAX, a pioneer in the design and development of premium cannabis vaporization technologies and devices.
Announced the appointment of Mike Hinson as the Company’s Executive Vice President of Sales and upgraded sales and marketing organizations.
Appointed exclusive fulfillment platform for Safety Strips direct-to-consumer e-commerce store featuring ToxiShield, Safety Strips trusted brand of harm reduction solutions designed to combat fentanyl overdoses and drink spiking.
Successfully renegotiated many vendor and supplier partnership terms and continuing to improve working capital arrangements with vendors and suppliers.
Continued progress consolidating and streamlining office, warehouse, and distribution operations footprint.
Consolidated digital ecommerce presence to one platform resulting in improved efficiencies and reduced cost.
Balance Sheet
As of June 30, 2025, the Company had cash and cash equivalents of approximately $5.7 million.
GREENLANE HOLDINGS, INC. CONDENSED CONSOLIDATED BALANCE SHEETS (in thousands, except share and per share amounts)
June 30, 2025
December 31, 2024
(unaudited)
ASSETS
Current assets
Cash
$
5,724
$
899
Accounts receivable, net of allowance of $3,289 and $2,616 at June 30, 2025 and December 31, 2024, respectively
3,795
4,262
Inventories, net
14,352
14,215
Vendor deposits
2,527
3,091
Other current assets
1,719
1,305
Total current assets
28,117
23,772
Property and equipment, net
1,181
1,420
Operating lease right-of-use assets
587
1,043
Other assets
1,892
2,396
Total assets
$
31,777
$
28,631
LIABILITIES
Current liabilities
Accounts payable
$
8,710
$
9,787
Accrued expenses and other current liabilities
1,102
1,218
Customer deposits
1,466
2,661
Current portion of notes payable
–
7,674
Current portion of operating leases
548
926
Total current liabilities
11,826
22,266
Operating leases, less current portion
5
83
Total liabilities
11,831
22,349
Commitments and contingencies (Note 7)
–
–
STOCKHOLDERS’ EQUITY
Preferred stock, $0.0001 par value, 10,000,000 shares authorized, none issued and outstanding
–
–
Class A common stock, $0.01 par value per share, 600,000,000 shares authorized, 1,386,551 and 3,023 shares issued and outstanding as of June 30, 2025 and December 31, 2024, respectively*
–
–
Class B common stock, $0.0001 par value per share, 30,000,000 shares authorized, and 0 shares issued and outstanding as of June 30, 2025 and December 31, 2024*
–
–
Common stock, value
–
–
Additional paid-in capital*
301,841
281,095
Accumulated deficit
(282,011
)
(274,929
)
Accumulated other comprehensive income
265
265
Total stockholders’ equity attributable to Greenlane Holdings, Inc.
20,095
6,431
Non-controlling interest
(149
)
(149
)
Total stockholders’ equity
19,946
6,282
Total liabilities and stockholders’ equity
$
31,777
$
28,631
*
After giving effect to the Reverse Stock Splits
GREENLANE HOLDINGS, INC. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS (Unaudited) (in thousands, except share and per share amounts)
Three months ended June 30,
Six months ended June 30,
2025
2024
2025
2024
Net sales
$
788
$
2,652
$
2,257
$
7,578
Cost of sales
786
1,641
1,534
5,055
Gross profit
2
1,011
723
2,523
Operating expenses:
Salaries, benefits and payroll taxes
1,119
1,509
2,386
4,455
General and administrative
1,938
2,801
4,762
5,093
Depreciation and amortization
201
196
307
450
Total operating expenses
3,258
4,506
7,455
9,998
Loss from operations
(3,256
)
(3,495
)
(6,732
)
(7,475
)
Other income (expense), net:
Interest expense
–
(289
)
(391
)
(811
)
Change in fair value of contingent consideration
–
1,000
–
1,000
Gain on extinguishment of debt
–
2,166
–
2,166
Other income (expense), net
41
(14
)
41
(3
)
Total other income (expense), net
41
2,863
350
2,352
Loss before income taxes
(3,215
)
(632
)
(7,082
)
(5,123
)
Provision for (benefit from) income taxes
–
–
–
–
Net loss
(3,215
)
(632
)
(7,082
)
(5,123
)
Less: Net income (loss) attributable to non-controlling interest
–
(17
)
–
(17
)
Net loss attributable to Greenlane Holdings, Inc.
$
(3,215
)
$
(615
)
$
(7,082
)
$
(5,106
)
Net loss attributable to Class A common stock per share – basic and diluted (Note 9)*
$
(3.18
)
$
(997.50
)
$
(13.92
)
$
(10,267.50
)
Weighted-average shares of Class A common stock outstanding – basic and diluted (Note 9)*
1,010,216
617
508,494
497
Other comprehensive income (loss):
Foreign currency translation adjustments
–
(3
)
–
(1
)
Comprehensive loss
(3,215
)
(635
)
(7,082
)
(5,124
)
Less: Comprehensive loss attributable to non-controlling interest
–
(17
)
–
(17
)
Comprehensive loss attributable to Greenlane Holdings, Inc.
$
(3,215
)
$
(618
)
$
(7,082
)
$
(5,107
)
*
After giving effect to the Reverse Stock Splits
GREENLANE HOLDINGS, INC. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) (in thousands)
Six Months Ended June 30,
2025
2024
Cash Flows from Operating Activities:
Net loss
$
(7,082
)
$
(5,123
)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization
307
450
Equity-based compensation expense
–
86
Change in fair value of contingent consideration
–
1,000
Accretion of debt discount
284
33
Gain on extinguishment of debt
–
(2,166
)
Change in provision for credit losses
673
41
Changes in operating assets and liabilities:
Accounts receivable
(206
)
(271
)
Inventories
(137
)
2,770
Vendor deposits
564
28
Other current assets
88
1,076
Accounts payable
(1,075
)
2,904
Accrued expenses and other liabilities
(116
)
793
Customer deposits
(1,195
)
–
Net used in operating activities
(7,895
)
(379
)
Cash flows from Investing Activities:
Purchases of property and equipment, net
(68
)
(151
)
Net cash used in investing activities
(68
)
(151
)
Cash flows from Financing Activities:
Proceeds from issuance of Class A common stock and warrants
20,746
–
Proceeds from notes payable
–
635
Payments on notes payable
(7,958
)
–
Proceeds from future receivables financing
–
225
Repayments of loan against future accounts receivable
–
(613
)
Other
–
(10
)
Net cash provided by financing activities
12,788
237
Effects of exchange rate changes on cash
–
(1
)
Net increase (decrease) in cash
4,825
(294
)
Cash as of beginning of the period
899
463
Cash as of end of the period
$
5,724
$
169
About Greenlane Holdings, Inc.
Founded in 2005, Greenlane is a premier global platform for the development and distribution of premium smoking accessories, vape devices, and lifestyle products to thousands of producers, processors, specialty retailers, smoke shops, convenience stores, and retail consumers. We operate as a powerful family of brands, third-party brand accelerator, and an omnichannel distribution platform.
We proudly offer our own diverse brand portfolio and our exclusively licensed Marley Natural and K.Haring branded products. We also offer a carefully curated set of third-party products through our direct sales channels and our proprietary, owned and operated e-commerce platforms which include Vapor.com, , PuffItUp.com, HigherStandards.com, Wholesale.Greenlane.com and MarleyNaturalShop.com.
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 concerning Greenlane and other matters. All statements contained in this press release that do not relate to matters of historical fact should be considered forward-looking statements In some cases, you can identify forward-looking statements by terms such as “may,” “will,” “should,” “expects,” “plans,” “anticipates,” “could,” “intends,” “targets,” “projects,” “contemplates,” “believes,” “estimates,” “predicts,” “potential” or “continue” or the negative of these terms or other similar expressions. The forward-looking statements in this press release are only predictions. Greenlane has based these forward-looking statements largely on its current expectations and projections about future events and financial trends that it believes may affect its business, financial condition and results of operations. Forward-looking statements involve known and unknown risks, uncertainties and other important factors that may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. You should carefully consider the risks and uncertainties that affect our business, including those described in our filings with the Securities and Exchange Commission (“SEC”), including under the caption “Risk Factors” in Greenlane’s Annual Report on Form 10-K filed for the year ended December 31, 2024 and the Company’s other filings with the SEC, which can be obtained on the SEC website at www.sec.gov. These forward-looking statements speak only as of the date of this communication. Except as required by applicable law, we do not plan to publicly update or revise any forward-looking statements, whether as a result of any new information, future events or otherwise. You are advised, however, to consult any further disclosures we make on related subjects in our public announcements and filings with the SEC.
First Quarterly Results as a Nasdaq-Listed Company Mark Milestone Period of Growth
INDIANAPOLIS, INDIANA / ACCESS Newswire / August 14, 2025 / Arrive AI (NASDAQ:ARAI), an autonomous delivery network anchored by patented AI-powered Arrive Points™, today reported results for the second quarter of 2025 – its first quarter concluded as a public company.
Q2 2025 Highlights
Strategic Partnerships: Signed agreements with Go2 Delivery (specialty pharmacy courier), AllMart – Local Marketplace, ACT Antigua, and Skye Air Mobility (India’s leading hyperlocal delivery platform).
First Commercial Revenue: Earned initial revenue through a partnership with Hancock Health, a Mayo Clinic Care Network hospital in Indiana, validating real-world adoption of Arrive AI’s technology.
Growth Capital Secured: Took delivery of a $4 million tranche from its previously announced $40 million structured capitalization with Streeterville Capital and completed a PicMii crowdfunding raise with nearly 2,000 new retail investors.
Operational Momentum: Launched three new pilots in healthcare, logistics, and municipal sectors; cut onboarding time to under two weeks, creating a repeatable deployment model.
Team Expansion: Announced plans to triple headcount with 40 new hires in engineering, operations, QA, and AI systems.
IP Leadership: Secured U.S. patent protection for climate-assisted Arrive Points, bringing total issued patents to eight; filed additional patents for climate optimization, adaptive access control and drone landing coordination.
Financial Results
Revenue: $90,725 – first in company history.
Net Loss: $4.69 million – primarily from one-time public listing costs of approximately $3 million. Excluding these, loss was comparable to Q2 2024 of $1.46 million.
Positive Cash Flow – ending the quarter with $607,000 cash on hand and nearly full access to the rest of the new $40 million capital facility.
CEO Commentary
“Our second quarter was about turning vision into tangible action,” said CEO Dan O’Toole. “We moved from R&D to putting our Arrive Points into the field, engaging real-world users, and proving our technology is not just innovative; it’s operational. We’re building the nervous system for a new era of automated logistics, one where packages arrive securely, intelligently, and precisely where they are needed.”
O’Toole added, “Our recent capital raise gives us the financial flexibility and runway to execute without near-term liquidity pressure and federal rulemaking plans indicate important flexibility in drone usage is coming. We are committed to our disciplined investment strategy and business model, have the right team, the right technology, and a clear vision to create enduring value for our shareholders. We are continuing to protect our first-position, foundational patent, as well, as we build for scale, impact and legacy.”
IP & Partnerships: Expanding patent portfolio and embedding technology through strategic industry alliances.
Recurring Revenue Model: Establishing platform-as-a-service agreements where revenue grows with each delivery, data point, and Arrive Point deployed.
2025 Priorities
Hiring: Bringing on AI scientists, software engineers, and sales/marketing staff to drive production, global rollout, and partner acquisition.
Product Development: Scaling production of patented Arrive Points for international deployment.
AI Innovation: Advancing low-cost, edge AI analytics-such as time-of-flight sensor applications-to optimize delivery efficiency without high computational costs.
“If you’ve believed in our vision and opportunity, you’re going to love where we’re headed,” O’Toole said.
SECOND QUARTER CONFERENCE CALL
The company will host a conference call and webcast today at 4:30 PM Eastern Time to review its results and strategic progress. Please join the webcast live via this link: https://edge.media-server.com/mmc/p/psy2vzvk. Webcast participants will be able to submit questions through the webcast portal. A replay of the call will be accessible on https://www.arriveai.com/investor-relations.
-30-
About Arrive AI Arrive AI (NASDAQ:ARAI) is a leader in autonomous delivery infrastructure, developing AI-powered Arrive Points™ to serve as secure, climate-assisted endpoints for package delivery by drones, robots, and conventional carriers. Learn more at https://www.arriveai.com and via the company’s press kit.
This news release and statements of Arrive AI’s management in connection with this news release or related events contain or may contain “forward-looking statements” within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995. In this context, forward-looking statements mean statements (including statements related to the closing, and the anticipated benefits to the Company, of the private placement described herein) related to future events, which may impact our expected future business and financial performance, and often contain words such as “expects”, “anticipates”, “intends”, “plans”, “believes”, “potential”, “will”, “should”, “could”, “would”, “optimistic” or “may” and other words of similar meaning. These forward-looking statements are based on information available to us as of the date of this news release and represent management’s current views and assumptions. Forward-looking statements are not guarantees of future performance, events or results and involve significant known and unknown risks, uncertainties and other factors which may be beyond our control. Readers are cautioned not to place undue reliance on these forward-looking statements, which apply only as of the date of this news release. Potential investors should review Arrive AI’s Registration Statement and other filings with the Securities and Exchange Commission, for more complete information, including the risk factors that may affect future results, which are available for review at www.sec.gov. Accordingly, forward-looking statements should not be relied upon as a predictor of actual results. We do not undertake to update our forward-looking statements to reflect events or circumstances that may arise after the date of this news release, except as required by law.
ARRIVE AI INC. CONDENSED BALANCE SHEETS (Unaudited)
June 30, 2025
December 31, 2024
(Unaudited)
ASSETS
CURRENT ASSETS
Cash
$
607,496
$
129,318
Accounts receivable
89,075
–
Prepaid expenses
197,298
55,867
Deferred offering costs
7,182,455
427,898
Other current assets
3,208
4,179
Total current assets
8,079,532
617,262
LONG-TERM ASSETS
Property and equipment, net
126,586
95,425
Patents, net
273,149
273,601
Security deposit
1,500
1,500
Long-term assets
401,235
370,526
TOTAL ASSETS
$
8,480,767
$
987,788
LIABILITIES AND STOCKHOLDERS’ EQUITY (DEFICIT)
CURRENT LIABILITIES
Accounts payable
$
725,083
$
1,868,689
Accrued liabilities
52,311
79,556
Credit card payable
13,579
3,636
Convertible note payable, net of discount of $128,000
4,202,000
–
Current portion of note payable
8,827
8,524
Total current liabilities
5,001,800
1,960,405
NONCURRENT LIABILITIES
Note payables, net of current portion
6,068
10,558
Total liabilities
5,007,868
1,970,963
Commitments and Contingencies (See Note 12)
–
STOCKHOLDERS’ EQUITY (DEFICIT)
Common stock, $0.0002 par value, 200,000,000 shares authorized, 33,023,385 shares and 29,120,905 issued and outstanding at June 30, 2025, and December 31, 2024, respectively
7,104
6,322
Treasury stock, 2,500,000 at cost
(500
)
(500
)
Additional paid-in capital, net of offering costs
26,060,146
14,984,561
Subscription receivable
(5,167
)
(53,003
)
Accumulated deficit
(22,588,684
)
(15,920,555
)
Total stockholders’ equity (deficit)
3,472,899
(983,175
)
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY (DEFICIT)
$
8,480,767
$
987,788
See condensed notes to unaudited financial statements included in Form 10-Q.
ARRIVE AI INC. CONDENSED STATEMENTS OF OPERATIONS (Unaudited)
Three Months
Six Months
Ended June 30,
Ended June 30,
2025
2024
2025
2024
REVENUE
$
90,725
$
–
$
90,725
$
–
OPERATING EXPENSES
General and administrative
4,286,558
803,311
6,181,537
1,604,242
Research and development
293,468
452,538
384,731
540,939
Sales and marketing
49,602
226,289
57,263
252,746
Total operating expenses
4,629,628
1,482,138
6,623,531
2,397,927
OTHER INCOME (EXPENSES)
Other income
43,151
24,089
60,066
24,089
Interest expense and bank charges
(194,212
)
(1,053
)
(195,389
)
(2,017
Total other income (expenses)
(151,061
)
23,036
(135,323
)
22,072
NET LOSS BEFORE TAXES
(4,689,964
)
(1,459,102
)
(6,668,129
)
(2,375,855
PROVISION FOR INCOME TAXES
–
–
–
–
NET LOSS
$
(4,689,964
)
$
(1,459,102
)
$
(6,668,129
)
$
(2,375,855
NET LOSS PER SHARE:
Basic and diluted
$
(0.15
)
$
(0.05
)
$
(0.22
)
$
(0.08
WEIGHTED-AVERAGE COMMON SHARES OUTSTANDING:
Basic and diluted
31,543,921
28,950,088
30,637,620
28,903,132
See condensed notes to unaudited financial statements included in Form 10-Q.
ARRIVE AI INC. CONDENSED STATEMENTS OF CASH FLOWS For the Six Months Ended June 30, 2025 and 2024 (Unaudited)
2025
2024
CASH FLOWS FROM OPERATING ACTIVITIES
Net loss
$
(6,668,129
)
$
(2,375,855
)
Adjustments to reconcile net loss to net cash used in operating activities
Stock-based compensation
2,845,223
605,615
Depreciation and amortization
17,118
14,469
Amortization of discount on convertible debt
192,000
–
Changes in operating assets and liabilities
(Increase) decrease in
Accounts receivable
(89,075
)
–
Prepaid expenses
(141,431
)
(3,381
)
Other current assets
971
–
Increase (decrease) in
Accounts payable
61,131
344,817
Accrued liabilities
(27,245
)
85,136
Credit card payable
9,943
(24,786
)
Net cash used in operating activities
(3,799,494
)
(1,353,985
)
CASH FLOWS FROM INVESTING ACTIVITIES
Construction in progress
(47,827
)
–
Net cash used in investing activities
(47,827
)
–
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from sale of common stock, net
444,360
1,201,233
Proceeds from the exercise of warrants, net
573,896
–
Repayments of note payables
(4,187
)
(3,905
)
Proceeds from issuance of convertible debt
4,010,000
–
Deferred offering costs
(698,570
)
–
Net cash provided by financing activities
4,325,499
1,197,328
NET INCREASE (DECREASE) IN CASH
478,178
(156,657
)
CASH, BEGINNING OF PERIOD
129,318
325,472
CASH, END OF PERIOD
$
607,496
$
168,815
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION
Cash paid for:
Interest
$
1,939
$
888
Income taxes
$
–
$
–
SUPPLEMENTAL DISCLOSURE OF NONCASH INFORMATION
Common stock issued as payment of offering costs
$
6,927,869
$
–
Common stock issued as settlement of legal expenses
$
1,204,737
$
–
Deferred offering costs recognized as additional paid-in capital
$
871,882
$
–
Cashless exercise of stock options
$
8,970
$
–
See condensed notes to unaudited financial statements included in Form 10-Q.
STONY BROOK, NY / ACCESS Newswire / August 14, 2025 / Applied DNA Sciences, Inc. (NASDAQ:APDN) (“Applied DNA” or the “Company”), a biotechnology company focused on providing nucleic acid production solutions for the biopharmaceutical and diagnostics industries, today reported financial results for its third quarter of fiscal 2025 ended June 30, 2025. The Company’s Form 10-Q for its fiscal third quarter can be viewed on the SEC Filings page of its Investor Relations website. The Company will not host a conference call to discuss these results. Applied DNA investor relations remains available for questions at investors@adnas.com .
Following its previously announced recent restructuring and workforce reductions (“Corporate Actions”), the Company, through its majority-owned LineaRx, Inc. subsidiary, has transitioned to a pure play provider of synthetic DNA and mRNA manufacturing solutions for advanced biotherapeutics, such as gene therapies, personalized medicine, adoptive cell therapies, messenger RNA (mRNA) therapeutics, and DNA vaccines, as well as diagnostic applications that utilize chemically-modified DNA. The Company is commercializing three distinct and complementary technology solutions for DNA production:
LineaDNA™: A proprietary, cell-free DNA production platform that uses a large-scale PCR process to rapidly and efficiently produce high-fidelity, synthetic DNA as a market-ready alternative to plasmid DNA (pDNA). LineaDNA is applicable to biotherapeutics development and production, serving as the starting material for mRNA therapeutics and vaccines and as a critical component in numerous in vitro diagnostics (IVDs).
LineaRNAP™: A next-generation T7 RNA polymerase (RNAP) used to transcribe DNA into mRNA. Designed as a direct replacement for wild-type T7 RNAP currently utilized in conventional IVT mRNA systems that use synthetic or pDNA templates, LineaRNAP incorporates a patented DNA-binding domain that delivers high mRNA yields while reducing double-stranded RNA (dsRNA) contamination, the latter a common byproduct in mRNA production.
LineaIVT™: An integrated system that combines the LineaDNA and LineaRNAP technologies and their respective benefits. For mRNA manufacturers, we believe LineaIVT offers reduced dsRNA contamination and expedited mRNA drug substance production, among other advantages.
Management Commentary
“Our operational activities center on repositioning Applied DNA as a single business that is aligned with our proven core competencies, which underpin our commercially available, cell-free DNA and mRNA manufacturing solutions offerings. With operations now right-sized, coupled with active marketing under the LineaRx brand that is now synonymous with synthetically produced DNA, we look forward to delivering value to shareholders,” stated Judy Murrah, chairperson, president, and CEO of Applied DNA.
Recent Corporate and Operational Updates
Financial
Monthly net cash burn from operations in the reported quarter declined approximately 19% on a sequential basis and 25% compared to the prior year period due to cost-cutting and optimization initiatives implemented in prior quarters. The Company expects a further reduction in the quarter ending September 30, 2025, reflecting the implementation of Corporate Actions.
Customer Acquisition and Repeat Orders
Received a multi-gram follow-on order for LineaDNA valued at over $600 thousand from a global manufacturer of IVDs for use in a cancer diagnostic application.
Added a U.S.-based mRNA contract development manufacturing organization as a customer for LineaDNA IVT templates. This customer is also evaluating LineaRNAP.
Shipped multiple LineaDNA sequences to a U.S.-based developer of a novel vaccine delivery system.
Subsequent to quarter-end, sales quotes were provided to a large public biotech and a multinational biotech tools company for LineaDNA to be used in gene editing applications.
Product and Platform Development
Launched the LineaRx IVT Discovery Kit, which enables potential customers to easily and rapidly evaluate the benefits of LineaDNA and LineaIVT performance against conventional mRNA production methods.
Launched industry marketing for LineaRNAP as a standalone product based on recent Company data confirming that LineaRNAP can be used in conventional mRNA production workflows to enable higher mRNA yields and integrity with reduced dsRNA as compared with conventional wild-type T7 RNAP. The Company also continues to market LineaRNAP as a component of its integrated LineaIVT solution.
Initiated ISO 13485 certification, an internationally recognized quality management standard aligned with GMP, to enhance customer trust, expand market opportunities, and elevate LineaRx’s competitive position. The Company expects to be ISO 13485-certified in the first quarter of fiscal 2026.
Participated in multiple mRNA-focused conferences to engage potential customers and showcase its platforms’ capabilities as part of LineaRx’s ongoing sales and marketing strategy.
Third Quarter Fiscal 2025 Financial Highlights
As part of the Corporate Actions, the Company announced the closure of its MDx Testing Services business segment (Applied DNA Clinical Labs) to focus exclusively on LineaRx. Financial results for the reported and prior periods have been recast to separately report discontinued operations and the results of continuing operations.
In February 2025, the Company announced the wind down of its DNA Tagging and Security Products and Services business segment and continues to terminate business activities in this segment in accordance with customer agreements. Financial results for this segment are included in the results of continuing operations for the reported and prior periods.
Please refer to segment information detailed in the ‘Note H – Segment Information’ section of the Form 10-Q for the period reported for more information.
On March 13, 2025, the Company filed a Certificate of Amendment of its Certificate of Incorporation with the Secretary of State of the State of Delaware that effected a one-for-fifty (1:50) reverse stock split of its common stock, par value $0.001 per share, effective March 14, 2025. On May 29, 2025, the Company filed a Certificate of Amendment of its Certificate of Incorporation with the Secretary of State of the State of Delaware that effected a one-for-fifteen (1:15) reverse stock split of its common stock, par value $0.001 per share, effective June 2, 2025. All warrant, option, share, and per share information in this press release gives retroactive effect to these reverse stock splits.
Summary Financial Results
Total revenues: $304 thousand compared to $473 thousand in the third quarter of fiscal 2024.
Operating loss: $3.7 million, compared to an operating loss of $3.3 million in the prior period.
Adjusted EBITDA: Negative $3.9 million, compared to negative $3.2 million in the prior period.
Monthly net cash burn: Monthly net cash burn from operations in the reported period was $934 thousand, compared to $1.15 million in the second quarter of fiscal 2025 and $1.25 million in the prior fiscal year period.
Cash and cash equivalents as of June 30, 2025: $4.7 million, which includes $723 thousand of proceeds from the exercise of Series A warrants received during the reported period. Additional proceeds totaling $292 thousand were received subsequent to the reported period from the exercise of Series A warrants.
Information about Non-GAAP Financial Measures
As used herein, “GAAP” refers to accounting principles generally accepted in the United States of America. To supplement our condensed consolidated financial statements prepared and presented in accordance with GAAP, this earnings release includes Adjusted EBITDA and monthly net cash burn from operations, which are non-GAAP financial measures as defined in Rule 101 of Regulation G promulgated by the Securities and Exchange Commission. Generally, a non-GAAP financial measure is a numerical measure of a company’s historical or future performance, financial position, or cash flows that either excludes or includes amounts that are not normally excluded or included in the most directly comparable measure calculated and presented in accordance with GAAP. The presentation of this non-GAAP financial information is not intended to be considered in isolation or as a substitute for, or superior to, the financial information presented in accordance with GAAP. We use this non-GAAP financial measure for internal financial and operational decision-making purposes and as a means to evaluate period-to-period comparisons of the performance and results of operations of our core businesses. Our management believes that these non-GAAP financial measures provide meaningful supplemental information regarding the performance of our businesses by excluding non-cash expenses that may not be indicative of our recurring operating results. We believe these non-GAAP financial measures are useful to investors as they allow for greater transparency with respect to key metrics used by management in its financial and operational decision making.
“EBITDA” – is defined as earnings (loss) before interest expense, income tax expense and depreciation and amortization expense.
“Adjusted EBITDA” – is defined as EBITDA adjusted to exclude (i) stock-based compensation and (ii) other non-cash expenses and non-cash gains/income.
“Monthly net cash burn” – is defined as total monthly cash outflow, including all operating costs, reduced by cash inflow from revenue.
About Applied DNA Sciences
Applied DNA Sciences is a biotechnology company focused on providing nucleic acid production solutions for the biopharmaceutical and diagnostics industries. Through its majority-owned subsidiary, LineaRx, Inc., the Company is commercializing its LineaDNA™, LineaRNAP™, and LineaIVT™ platforms to enable the manufacture of next-generation nucleic acid-based therapies.
The statements made by Applied DNA in this press release may be “forward-looking” in nature within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934 and the Private Securities Litigation Reform Act of 1995. Forward-looking statements describe Applied DNA’s future plans, projections, strategies, and expectations, and are based on assumptions and involve a number of risks and uncertainties, many of which are beyond the control of Applied DNA. These forward-looking statements are based largely on the Company’s expectations and projections about future events and future trends affecting our business and are subject to risks and uncertainties that could cause actual results to differ materially from those anticipated in the forward-looking statements, including statements regarding its goal to position the Company for long-term growth and value creation and the potential to achieve that goal, including the future success of its LineaDNA, LineaRNAP and LineaIVT technologies. Actual results could differ materially from those projected due to its history of net losses, limited financial resources, unknown future ability to remain compliant with all Nasdaq listing standards, unknown future demand for its biotherapeutics products and services, the unknown amount of revenues and profits that will result from its technologies, the fact that there has never been therapeutic clinical trial material and/or a commercial drug product produced utilizing its technologies, whether its restructuring will position the Company for future growth potential, as well as various other factors detailed from time to time in Applied DNA’s SEC reports and filings, including its Annual Report on Form 10-K filed on December 17, 2024, Forms 10-Q filed on February 13, 2025, May 15, 2025, and August 14, 2025, and other reports it files with the SEC, which are available at www.sec.gov . Applied DNA undertakes no obligation to update publicly any forward-looking statements to reflect new information, events, or circumstances after the date hereof or to reflect the occurrence of unanticipated events, unless otherwise required by law.
APPLIED DNA SCIENCES, INC. CONDENSED CONSOLIDATED BALANCE SHEETS
June 30,
September 30,
2025
2024
ASSETS
(unaudited)
Current assets:
Cash and cash equivalents
$
4,727,677
$
5,852,363
Accounts receivable, net of allowance for credit losses of $80,423 and $75,000 at June 30, 2025 and September 30, 2024, respectively
199,047
328,252
Inventories
338,723
432,725
Prepaid expenses and other current assets
338,447
756,185
Current assets of discontinued operations
25,008
678,146
Total current assets
5,628,902
8,047,671
Property and equipment, net
511,203
458,895
Noncurrent assets of discontinued operations
11,264
94,337
Other assets:
Restricted cash
750,000
750,000
Intangible assets
2,698,975
2,698,975
Operating right of use asset
334,402
739,162
Total assets
$
9,934,746
$
12,789,040
LIABILITIES AND EQUITY
Current liabilities:
Accounts payable and accrued liabilities
$
1,564,707
$
1,737,366
Operating lease liability, current
334,403
545,912
Deferred revenue
12,285
58,785
Current liabilities of discontinued operations
124,565
56,061
Total current liabilities
2,035,960
2,398,124
Long term accrued liabilities
31,467
31,467
Deferred revenue, long term
194,000
194,000
Operating lease liability, long term
–
193,249
Deferred tax liability, net
684,115
684,115
Warrants classified as a liability
1,160
320,000
Total liabilities
2,946,702
3,820,955
Commitments and contingencies (Note G)
Applied DNA Sciences, Inc. stockholders’ equity:
Preferred stock, par value $0.001 per share; 10,000,000 shares authorized; -0- shares issued and outstanding as of June 30, 2025 and September 30, 2024
–
–
Series A Preferred stock, par value $0.001 per share; 10,000,000 shares authorized; -0- issued and outstanding as of June 30, 2025 and September 30, 2024
–
–
Series B Preferred stock, par value $0.001 per share; 10,000,000 shares authorized; -0- issued and outstanding as of June 30, 2025 and September 30, 2024
–
–
Common stock, par value $0.001 per share; 200,000,000 shares authorized as of June 30, 2025, and September 30, 2024; 901,500 and 13,755 shares issued and outstanding as of June 30, 2025, and September 30, 2024, respectively
902
14
Additional paid in capital
381,150,267
318,815,358
Accumulated deficit
(373,888,601
)
(309,672,755
)
Applied DNA Sciences, Inc. stockholders’ equity
7,262,568
9,142,617
Noncontrolling interest
(274,524
)
(174,532
)
Total equity
6,988,044
8,968,085
Total liabilities and equity
$
9,934,746
$
12,789,040
APPLIED DNA SCIENCES, INC. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited)
Three months Ended June 30,
Nine months Ended June 30,
2025
2024
2025
2024
Revenues
Product revenues
$
195,262
$
246,644
$
1,239,747
$
947,086
Service revenues
109,131
226,145
697,759
678,777
Total revenues
304,393
472,789
1,937,506
1,625,863
Cost of product revenues
299,263
230,188
930,619
853,034
Gross profit
5,130
242,601
1,006,887
772,829
Operating expenses:
Selling, general and administrative
2,930,627
2,635,863
8,423,602
8,440,919
Research and development
768,563
913,031
2,632,931
2,762,040
Total operating expenses
3,699,190
3,548,894
11,056,533
11,202,959
LOSS FROM OPERATIONS
(3,694,060
)
(3,306,293
)
(10,049,646
)
(10,430,130
)
Interest income
40,267
29,688
168,762
33,989
Transaction costs allocated to warrant liabilities
–
–
–
(633,198
)
Unrealized gain on change in fair value of warrants classified as a liability
6,410
5,160,000
318,840
9,564,000
Unrealized loss on change in fair value of warrants classified as a liability – warrant modification
–
–
–
(394,000
)
Loss on issuance of warrants
–
–
–
(1,633,767
)
Other expense, net
(531
)
(103
)
(23,778
)
(9,060
)
(Loss) income before provision for income taxes
(3,647,914
)
1,883,292
(9,585,822
)
(3,502,166
)
Provision for income taxes
–
–
–
–
Net (loss) income from continuing operations
$
(3,647,914
)
$
1,883,292
$
(9,585,822
)
$
(3,502,166
)
Net loss from discontinued operations, net of tax
(336,195
)
(33,791
)
(403,120
)
(272,397
)
NET (LOSS) INCOME
$
(3,984,109
)
$
1,849,501
$
(9,988,942
)
$
(3,774,563
)
Less: Net loss attributable to noncontrolling interest
38,746
30,295
99,992
78,785
NET (LOSS) INCOME attributable to Applied DNA Sciences, Inc.
$
(3,945,363
)
$
1,879,796
$
(9,888,950
)
$
(3,695,778
)
Deemed dividend related to warrant modifications
(15,500,244
)
–
(54,326,896
)
(233,087
)
NET (LOSS) INCOME attributable to common stockholders
$
(19,445,607
)
$
1,879,796
$
(64,215,846
)
$
(3,928,865
)
Net (loss) income per share attributable to common stockholders-basic and diluted from continuing operations
$
(33.41
)
$
1,191.52
$
(255.14
)
$
(4,862.32
)
Net loss per share attributable to common stockholders-basic and diluted from discontinued operations
(0.59
)
(21.04
)
(1.61
)
(362.23
)
Net (loss) income per share attributable to common stockholders-basic and diluted
$
(34.00
)
$
1,170.48
$
(256.75
)
$
(5,224.55
)
Weighted average shares outstanding- basic and diluted
572,018
1,606
250,107
752
APPLIED DNA SCIENCES, INC. CALCULATION AND RECONCILIATION OF ADJUSTED EBITDA (unaudited)
Three-Month Period Ended June 30,
2025
2024
Net loss
$
(3,984,109
)
$
1,849,501
Interest income
(40,267
)
(29,688
)
Depreciation and amortization
78,346
134,163
Stock-based compensation expense
24,889
30,336
Unrealized (loss) on change in fair value of warrants classified as a liability
Medical Interview Preparation is rolling out a series of digital products to improve how aspiring medical professionals get ready for their interviews. These tools make the preparation process more interactive and convenient, ensuring it’s thorough and accessible for everyone involved.
Among the offerings are online tools such as e-books, video tutorials, webinars, and full online courses. Each of these tools is designed to meet the varied needs of candidates preparing for their medical interviews. This allows candidates to tailor their study sessions to fit their unique schedules and learning styles. This adaptability means candidates can work on their medical consultant interview preparation whenever it suits them.
What sets these digital products apart is how they focus on practical application. With mock interviews and scenario-based exercises, candidates can practice in settings that mimic real interview situations. This hands-on approach helps them apply theoretical knowledge and reflect on their performance, getting them ready for the types of questions they might face during actual interviews.
Nalin Wickramasuriya, a notable figure in the medical field and head coach at Medical Interview Preparation, emphasizes the importance of having a practical mindset in interviews. Wickramasuriya points out, “Be conversational in your interview by explaining the ways in which you can help the patients and the department you are aiming to join. It’s crucial to avoid treating the interview like a viva exam from medical school days.”
This approach resonates with the entire range of the company’s digital products, encouraging candidates to engage in genuine conversations and communicate clearly with interviewers. The focus is to move beyond traditional study methods and push candidates to think critically about the roles they are pursuing.
Another vital component of these digital products is community support. Online forums and collaborative study groups offer a space for candidates to connect, share insights, and learn from one another’s experiences. This shared learning environment helps create a sense of community among candidates, which can ease the stress often associated with interview preparation.
Medical Interview Preparation has found that candidates who incorporate digital programs into their preparation, especially those who participate in four online coaching sessions, achieve a 97% success rate in UK consultant interviews. This high success rate highlights how effective these digital programs are, combining well-structured content with personal coaching and peer-to-peer interaction.
The mission of providing medical interview help is central to Medical Interview Preparation. They offer a wide range of services, from one-on-one consultations to group programs, all of which complement their digital tools and offer support for every stage of the preparation process. Whether it’s personalized advice, group exercises, or self-paced learning, Medical Interview Preparation equips candidates with everything needed to succeed.
The launch of these digital tools is a significant advancement toward making medical interview preparation more efficient and accessible. By integrating technology with their services, the company shows its dedication to adapting to the needs of future medical professionals, emphasizing readiness and adaptability in a fast-paced field.
Aspiring candidates who want to improve their interview skills and learn the best strategies should check out these new digital resources. These tools are designed to help candidates present themselves well and face the challenges of medical interviews with confidence.
Anyone interested in exploring the variety of digital products and services, or seeking more information on medical consultant interview preparation methods, can find additional resources and guidance by visiting the company’s website. This is an ideal starting point for every aspiring medical professional on their journey. Additionally, clients can access a free guide on how to achieve desirable interview outcomes while overcoming common challenges, providing even more value for individuals preparing for medical interviews.
Las Vegas Homes By Leslie – RE/MAX United Realtor has announced new listings for the Dakota Condos in The Canyons at Summerlin. Led by Leslie Hoke, a well-respected realtor, the company focuses on connecting clients with homes that fit their needs perfectly. They value transparency and provide expert guidance in all their property listings. The listings for the Dakota Condos include detailed information, which helps buyers make smart decisions.
The condos in Summerlin come with great amenities and are situated in a prime location. Leslie Hoke and her team have put together six listings with prices from $339,000 to $418,000. Each listing is thorough, offering property descriptions, photos, number of bedrooms and bathrooms, square footage, and zoning details. Buyers looking for more can find maps and additional property features through linked pages.
Leslie Hoke is dedicated to giving buyers all the info they need to find the right home. She stated, “We focus on ensuring our clients receive all the necessary details to make informed decisions. Our property listings are designed to give prospective buyers a clear picture of what to expect.” This shows how focused the company is on the needs of their clients.
The company highlights important community information for those interested in the Dakota Condos and nearby areas in The Canyons Village at Summerlin. The Dakota Condos page also links to other local properties. This thorough approach not only showcases the properties but also keeps clients in the know about the area and available amenities.
Understanding the community plays a crucial role for buyers, as Leslie Hoke noted: “Understanding the community is just as important as the home itself. We provide comprehensive community data so our buyers know exactly what each neighborhood offers. It’s about creating an environment where our buyers feel confident in their decisions.”
The approach at Las Vegas Homes By Leslie – RE/MAX United Realtor combines deep market knowledge, comprehensive listings, and a focus on the client’s needs. By blending these elements, Leslie Hoke’s team continues to offer outstanding service and support throughout the home-buying process. Their professional experience and understanding of the Las Vegas market keep them as a leading force in real estate, helping buyers efficiently and effectively on their journey to home ownership.
Beyond listing properties, Las Vegas Homes By Leslie – RE/MAX United Realtor offers valuable guidance through the buying process. They provide various services including property management and help with new home construction. From loan pre-approval to offering market trends and statistics, Leslie and her team aim to ease the complexities of the Las Vegas real estate market.
The Dakota Condos listings form part of the company’s diverse offerings, reflecting how they cater to different client needs. Whether someone is searching for a townhome, condo, single-family home, luxury estate, or a neighborhood bursting with community spirit, Leslie Hoke’s team is ready to provide tailored options.
Potential clients should feel free to reach out to Leslie Hoke and her team for any questions about the Dakota Condos or other Las Vegas real estate interests. Those looking to explore the available condos can find detailed listings on the company’s website. Further information can be accessed at https://www.lasvegashomesbyleslie.com/dakota-condos-for-sale.php.
Completed divestiture of FaZe Media on April 1, 2025
Treasury management strategy launched on July 1, 2025, backed by crypto pioneers, expected to benefit financial results in the 2025 third quarter and beyond
The second half of 2025 positioned for revenue growth, enhanced margins, and reduced operating expenses
FRISCO, TEXAS / ACCESS Newswire / August 14, 2025 / GameSquare Holdings, Inc. (NASDAQ:GAME), (“GameSquare”, or the “Company”), today announced financial results for the three- and six-months ended June 30, 2025.
Justin Kenna, CEO of GameSquare, stated, “2025 is on track to be a transformative year for GameSquare as we aggressively execute against a bold vision aimed at building a leading digital-first platform at the intersection of media, technology, esports, and onchain finance. Since January, we’ve taken decisive actions by divesting our remaining stake in FaZe Media, restructuring our operations to streamline costs, forming a strategic alliance with GGTech Entertainment, and doubling down on high-growth areas across our Experiences, Managed Services, and Technology business units, all to position us for unparalleled success.”
“In July, after months of detailed planning, we launched what we believe is one of the most sophisticated Ethereum-based treasury strategies in the market and backed by crypto industry pioneers including Ryan Zurrer of Dialectic, Robert Leshner of Superstate, and Rhydon Lee of Goff Capital. Our $250 million authorized onchain treasury management program leverages Medici, Dialectic’s proprietary platform that combines machine learning, automated optimization, and multi-layered risk controls. In connection with the launch, we raised approximately $90 million in gross proceeds, which has strengthened our balance sheet and funded the initial phase of our treasury strategy,” Mr. Kenna continued.
“We are currently in active discussions with more than 15 crypto-native organizations seeking partners with proven capabilities to help them reach and engage audiences at scale. GameSquare’s established operating platform positions us uniquely to meet this demand. We believe these relationships will not only deepen our presence in the onchain ecosystem but also generate incremental, high-margin revenue streams. Based on our current pipeline, we expect initial wins to begin in the third quarter and building further into the fourth, creating another powerful growth driver for our business.”
“GameSquare now has the strongest financial position in its history, giving us the flexibility to invest in growth, generate yield from our crypto assets, and opportunistically repurchase our stock. In the second half of the year, we are focused on achieving profitability, benefiting from core revenue growth, improved gross margin, lower operating expenses, and the impact of our restructuring initiatives. We believe the combination of our innovative onchain strategy and the improving performance of our operating businesses positions GameSquare as a powerful platform for long-term value creation,” concluded Mr. Kenna.
GameSquare’s Treasury Management Assets at August 13, 2025:
Ethereum (“ETH”) Assets: The Company held 15,630.07 ETH, with an original cost basis and market value of $55 million and $74.3 million, respectively, which reflects an average cost per ETH of approximately $3,519, and a market price per ETH of $4,751, respectively.
Unrealized ETH Gains – As of August 13, 2025, the Company had approximately $19.3 million in unrealized gains on its Ethereum holdings.
NFT Holdings: As of August 13, 2025, the Company owned CryptoPunk #5577, one of only 24 Ape CryptoPunks in existence, which the Company purchased on July 24, 2025 for $5.15 million. 1OF1 AG, is managing GameSquare’s NFT yield strategy and is targeting annualized yields of 6% to 10%.
Yield Strategy: GameSquare’s onchain yield strategy with Dialectic commenced August 1, 2025 and is targeting annualized yields of 8% to 14%.
Total ETH + Cash: The Company had $99 million in ETH, NFT and cash, or $1.00 per share and total debt of just $1.25 million as of August 13, 2025.
Three months ended June 30, 2025, compared to June 30, 2024
Revenue of $15.9 million, compared to $17.8 million
Gross profit of $2.4 million, compared to $2.5 million
Net loss attributable to GameSquare of $3.0 million, compared to a net loss of $11.6 million
Adjusted EBITDA loss of $3.5 million, compared to a loss of $4.2 million
Adjusted EBITDA loss was 22.1% of revenue, versus 23.4% of revenue last year
Reported results for the six months ended June 30, 2025, compared to June 30, 2024
Revenue of $30.6 million, compared to $33.4 million
Gross profit of $5.8 million, compared to $4.6 million
Net loss attributable to GameSquare of $8.2 million, compared to a net loss of $16.9 million
Adjusted EBITDA loss of $6.5 million, compared to a loss of $8.7 million
Adjusted EBITDA loss was 21.1% of revenue, versus 26.0% of revenue last year
Updated 2025 Outlook
As a result of the strong performance since the launch on July 1, 2025 of GameSquare’s Ethereum-based treasury management strategy, and continued restructuring initiatives aimed at streamlining operations and accelerating the path to profitability the Company expects to reintroduce full-year guidance in the third quarter of 2025.
The Company believes its operating and financial trajectory in the second half of 2025 will be significantly stronger, driven by:
Launch of Ethereum Yield Strategy – On August 1, 2025, GameSquare began deploying Ethereum holdings through Dialectic’s Medici platform, targeting annualized onchain yields of 8% to 14%.
Unrealized ETH Gains – As of August 13, 2025, the Company had approximately $19.3 million in unrealized gains on its Ethereum holdings.
Back-Half Revenue Weighting – Approximately 60% of 2025 core revenue is expected to be generated in the second half of the year, in line with typical seasonal trends. Agency and Teams revenue tends to be more profitable and is expected to improve consolidated gross margin in the second half of the year.
Pipeline Timing – Opportunities that shifted out of the second quarter are now on track to close in the coming months. GameSquare expects meaningful sequential growth, with third quarter revenue higher than second quarter and fourth quarter building further on that growth, supported by both new wins and expansion with existing partners.
Restructuring Impact – Ongoing restructuring initiatives are expected to lower operating expenses in the second half of 2025 and the Company has identified an additional $5 million in annualized savings that are expected to begin contributing in the third quarter.
GameSquare remains confident that the combination of an improving operating profile and the contribution from its onchain treasury strategy provides a powerful foundation for long-term growth and shareholder value creation.
Conference Call Details
Justin Kenna, CEO, Lou Schwartz, President, and Mike Munoz CFO are scheduled to host a conference call with the investment community. Analysts and interested investors can join the call via the details below:
Corporate Contact Lou Schwartz, President Phone: (216) 464-6400 Email: ir@gamesquare.com
Investor Relations Andrew Berger Phone: (216) 464-6400 Email: ir@gamesquare.com
Media Relations Chelsey Northern / The Untold Phone: (254) 855-4028 Email: pr@gamesquare.com
About GameSquare Holdings, Inc.
GameSquare (NASDAQ:GAME) is a cutting-edge media, entertainment, and technology company transforming how brands and publishers connect with Gen Z, Gen Alpha, and Millennial audiences. With a platform that spans award-winning creative services, advanced analytics, and FaZe Clan, one of the most iconic gaming organizations, we operate one of the largest gaming media networks in North America. Complementing our operating strategy, GameSquare operates a blockchain-native Ethereum treasury management program designed to generate onchain yield and enhance capital efficiency, reinforcing our commitment to building a dynamic, high-performing media company at the intersection of culture, technology, and next-generation financial innovation.
This news release contains “forward-looking information” and “forward-looking statements” (collectively, “forward-looking statements”) within the meaning of the applicable securities legislation. All statements, other than statements of historical fact, are forward-looking statements and are based on expectations, estimates and projections as at the date of this news release. Any statement that involves discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions, future events or performance (often but not always using phrases such as “expects”, or “does not expect”, “is expected”, “anticipates” or “does not anticipate”, “plans”, “budget”, “scheduled”, “forecasts”, “estimates”, “believes” or “intends” or variations of such words and phrases or stating that certain actions, events or results “may” or “could”, “would”, “might” or “will” be taken to occur or be achieved) are not statements of historical fact and may be forward-looking statements. In this news release, forward-looking statements relate, among other things, to: the Company’s future performance, revenue, growth and profitability; and the Company’s ability to execute on its current and future business plans. These forward-looking statements are provided only to provide information currently available to us and are not intended to serve as and must not be relied on by any investor as, a guarantee, assurance or definitive statement of fact or probability. Forward-looking statements are necessarily based upon a number of estimates and assumptions which include, but are not limited to: the Company’s ability to grow its business and being able to execute on its business plans, the success of Company’s vendors and partners in their provision of services to the Company, the Company being able to recognize and capitalize on opportunities and the Company continuing to attract qualified personnel to supports its development requirements. These assumptions, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking statements. Such factors include, but are not limited to: the Company’s ability to achieve its objectives, the Company successfully executing its growth strategy, the ability of the Company to obtain future financings or complete offerings on acceptable terms, failure to leverage the Company’s portfolio across entertainment and media platforms, dependence on the Company’s key personnel and general business, economic, competitive, political and social uncertainties. These risk factors are not intended to represent a complete list of the factors that could affect the Company which are discussed in the Company’s most recent MD&A. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on the forward-looking statements and information contained in this news release. GameSquare assumes no obligation to update the forward-looking statements of beliefs, opinions, projections, or other factors, should they change, except as required by law.
GameSquare Holdings, Inc. Consolidated Balance Sheets (Unaudited)
June 30, 2025
December 31, 2024
Assets
Cash
$
4,697,832
$
12,094,950
Restricted cash
1,789,259
1,054,030
Accounts receivable, net
12,954,496
21,330,847
Government remittances
121,617
119,721
Promissory note receivable, current
176,647
379,405
Prepaid expenses and other current assets
884,038
1,493,619
Total current assets
20,623,889
36,472,572
Investment
2,199,909
2,199,909
Promissory note receivable
8,754,585
9,212,785
Property and equipment, net
119,989
303,950
Goodwill
5,557,551
12,704,979
Intangible assets, net
5,231,027
15,265,736
Right-of-use assets
1,600,843
2,570,516
Total assets
$
44,087,793
$
78,730,447
Liabilities and Shareholders’ Equity
Accounts payable
$
26,129,652
$
27,349,372
Accrued expenses and other current liabilities
11,174,343
13,694,179
Players liability account
47,535
47,535
Deferred revenue
2,473,552
2,726,121
Current portion of operating lease liability
425,461
748,916
Line of credit
3,228,001
3,501,457
Promissory note payable, current
2,871,076
–
Convertible debt carried at fair value
1,669,330
6,481,704
Warrant liability
27,164
14,314
Arbitration reserve
210,008
199,374
Total current liabilities
48,256,122
54,762,972
Convertible debt carried at fair value
–
9,908,784
Operating lease liability
1,374,054
2,054,443
Total liabilities
49,630,176
66,726,199
Commitments and contingencies (Note 14)
Preferred stock ($0.001 par value, 50,000,000 authorized, zero shares issued and outstanding as of June 30, 2025 and December 31, 2024, respectively)
–
–
Common stock and Additional paid-in capital ($0.001 par value, 100,000,000 shares authorized, 39,123,968 and 32,635,995 shares issued and outstanding as of June 30, 2025 and December 31, 2024, respectively)
125,396,697
119,441,634
Accumulated other comprehensive loss
(594,074
)
(208,617
)
Non-controlling interest
–
14,942,287
Accumulated deficit
(130,345,006
)
(122,171,056
)
Total shareholders’ equity
(5,542,383
)
12,004,248
Total liabilities and shareholders’ equity
$
44,087,793
$
78,730,447
GameSquare Holdings, Inc. Consolidated Statements of Operations and Comprehensive Loss (Unaudited)
Three months ended June 30,
Six months ended June 30,
2025
2024
2025
2024
Revenue
$
15,852,706
$
17,829,175
$
30,583,937
$
33,406,699
Cost of revenue
13,426,252
15,307,881
24,793,857
28,816,057
Gross profit
2,426,454
2,521,294
5,790,080
4,590,642
Operating expenses:
General and administrative
4,076,391
4,917,730
8,350,837
9,402,195
Selling and marketing
1,497,096
1,636,571
2,944,853
3,449,227
Research and development
557,403
585,031
1,113,010
1,189,305
Depreciation and amortization
302,360
564,346
558,825
1,182,368
Restructuring charges
165,328
–
782,541
–
Other operating expenses
547,188
994,717
1,292,565
2,088,137
Total operating expenses
7,145,766
8,698,395
15,042,631
17,311,232
Loss from continuing operations
(4,719,312
)
(6,177,101
)
(9,252,551
)
(12,720,590
)
Other income (expense), net:
Interest income (expense)
44,590
(192,257
)
(4,968
)
(627,385
)
Change in fair value of convertible debt carried at fair value
(5,561
)
563,360
327,916
456,759
Change in fair value of warrant liability
(17,731
)
15,643
(12,384
)
52,900
Arbitration settlement reserve
(66,217
)
43,500
(10,634
)
138,625
Other income (expense), net
(1,274,450
)
(3,913,773
)
(1,347,992
)
(4,031,043
)
Total other income (expense), net
(1,319,369
)
(3,483,527
)
(1,048,062
)
(4,010,144
)
Loss from continuing operations before income taxes
(6,038,681
)
(9,660,628
)
(10,300,613
)
(16,730,734
)
Income tax benefit
–
–
–
–
Net loss from continuing operations
(6,038,681
)
(9,660,628
)
(10,300,613
)
(16,730,734
)
Net income (loss) from discontinued operations
3,020,335
(2,342,513
)
108,531
(533,355
)
Net loss
(3,018,346
)
(12,003,141
)
(10,192,082
)
(17,264,089
)
Net loss attributable to non-controlling interest
–
389,590
2,018,132
389,590
Net loss attributable to attributable to GameSquare Holdings, Inc.
$
(3,018,346
)
$
(11,613,551
)
$
(8,173,950
)
$
(16,874,499
)
Comprehensive loss, net of tax:
Net loss
$
(3,018,346
)
$
(12,003,141
)
$
(10,192,082
)
$
(17,264,089
)
Change in foreign currency translation adjustment
(547,983
)
(540,813
)
(385,457
)
13,183
Comprehensive loss
(3,566,329
)
(12,543,954
)
(10,577,539
)
(17,250,906
)
Comprehensive income attributable to non-controlling interest
–
389,590
2,018,132
389,590
Comprehensive loss
$
(3,566,329
)
$
(12,154,364
)
$
(8,559,407
)
$
(16,861,316
)
Income (loss) per common share attributable to GameSquare Holdings, Inc. – basic and assuming dilution:
From continuing operations
$
(0.15
)
$
(0.32
)
$
(0.27
)
$
(0.70
)
From discontinued operations
0.08
(0.06
)
0.06
(0.01
)
Loss per common share attributable to GameSquare Holdings, Inc. – basic and assuming dilution
$
(0.08
)
$
(0.38
)
$
(0.22
)
$
(0.71
)
Weighted average common shares outstanding – basic and diluted
38,968,089
30,442,837
37,850,112
23,905,674
Management’s use of Non-GAAP Measures
This release contains certain financial performance measures, including “EBITDA” and “Adjusted EBITDA,” that are not recognized under accounting principles generally accepted in the United States of America (“GAAP”) and do not have a standardized meaning prescribed by GAAP. As a result, these measures may not be comparable to similar measures presented by other companies. For a reconciliation of these measures to the most directly comparable financial information presented in the Financial Statements in accordance with GAAP, see the section entitled “Reconciliation of Non-GAAP Measures” below.
We believe EBITDA is a useful measure to assess the performance of the Company as it provides more meaningful operating results by excluding the effects of expenses that are not reflective of our underlying business performance and other one-time or non-recurring expenses. We define “EBITDA” as net income (loss) before (i) depreciation and amortization; (ii) income taxes; and (iii) interest expense.
Adjusted EBITDA
We believe Adjusted EBITDA is a useful measure to assess the performance of the Company as it provides more meaningful operating results by excluding the effects of expenses that are not reflective of our underlying business performance and other one-time or non-recurring expenses. We define “Adjusted EBITDA” as EBITDA adjusted to exclude extraordinary items, non-recurring items and other non-cash items, including, but not limited to (i) share based compensation expense, (ii) transaction costs related to merger and acquisition activities, (iii) arbitration settlement reserves and other non-recurring legal settlement expenses, (iv) restructuring costs, primarily comprised of employee severance resulting from integration of acquired businesses, (v) impairment of goodwill and intangible assets, (vi) gains and losses on extinguishment of debt, (vii) change in fair value of assets and liabilities adjusted to fair value on a quarterly basis, (viii) gains and losses from discontinued operations, and (ix) net income (loss) attributable to non-controlling interest.
Reconciliation of Non-GAAP Measures
A reconciliation of Adjusted EBITDA to the most directly comparable measure determined under US GAAP is set out below. (Unaudited)
Three months ended June 30,
Six months ended June 30,
2025
2024
2025
2024
Net loss
$
(3,018,346
)
$
(12,003,141
)
$
(10,192,082
)
$
(17,264,089
)
Interest expense
(44,590
)
192,257
4,968
627,385
Income tax benefit
–
–
–
–
Amortization and depreciation
302,360
564,346
558,825
1,182,368
Share-based payments
5,616
602,139
34,614
1,021,367
Transaction costs
547,188
1,037,044
1,292,565
2,130,464
Arbitration settlement reserve
66,217
(43,500
)
10,634
(138,625
)
Restructuring costs
165,328
–
782,541
–
Change in fair value of contingent consideration
–
(42,327
)
–
(42,327
)
Change in fair value of warrant liability
17,731
(15,643
)
12,384
(52,900
)
Change in fair value of convertible debt carried at fair value
New York State County Supreme Court, Commercial Division, approves previously announced settlement
MONTREAL, QC / ACCESS Newswire / August 14, 2025 / Vision Marine Technologies Inc. (NASDAQ:VMAR) (“Vision Marine” or the “Company”) today announced that, on August 13, 2025, the New York State County Supreme Court, Commercial Division, formally approved the Company’s settlement of an outstanding legal claim related to certain of its shareholders, which was previously announced on May 16, 2025.
About Vision Marine Technologies Inc. Vision Marine Technologies Inc. (NASDAQ:VMAR) is a pioneer innovative marine company that offers premium boating experiences across both electric and internal combustion engine (ICE) segments. The Company designs, manufactures, and sells high-performance electric powertrain systems and boats, and operates a multi-brand boat retail and service platform through its Nautical Ventures division. With a vertically integrated model that spans technology, retail, and service, Vision Marine delivers scalable, market-ready solutions that enhance the on-water experience for consumers and commercial operators.
CEO Allan Evans Shares Q2 2025 Highlights and Provides Strategic Insight into the Company’s Plans
ORLANDO, FL / ACCESS Newswire / August 14, 2025 / Unusual Machines, Inc. (NYSE American:UMAC) (“Unusual Machines” or the “Company”), a manufacturer of NDAA compliant drones and drone components, today announced it filed its Form 10-Q with the U.S. Securities and Exchange Commission for the second quarter of 2025 and provided the following letter to its shareholders from CEO Allan Evans.
Dear Shareholders,
This shareholder letter follows the completion of our second quarter of 2025. It has been another record revenue quarter. We closed a financing for $40M during the quarter and another $48.7M last month. We want to take this opportunity to provide context and deeper insights into our operations and what these represent for Unusual Machines’ future.
Operations Update
Unusual Machines revenue for the second quarter was about $2.12 million which represents a year over year increase for the quarter of approximately 51%. This is our best revenue quarter of all time for the fifth consecutive quarter and was achieved in spite of tariffs creating consumer hesitancy. This was driven by an increase in enterprise sales which represented approximately 31% of our Q2 revenue. We were also able to improve gross margins to 37% which represents our highest quarterly margins to date. We expect the increase in margin and enterprise sales to continue throughout 2025 and extend into 2026. I think GAAP results seem exaggerated as our net loss for the second quarter was approximately $6.9 million driven mostly from expenses related to equity compensation. After non-cash and non-recurring adjustments, our non-GAAP adjusted net loss for the second quarter was approximately $0.8 million (see Table 2).
Cash Position
We prioritize managing our cash position and cash flow. We started the second quarter with $5.0 million and finished the quarter with $38.9 million. We have subsequently raised and additional $44.9M after fees. The breakdown of the cash position change over the quarter (see Table 1) provides greater detail into our expenses. Total expenses were above expectations, as there were costs related to the financings. We still absolutely prioritize prudent spending and are seeking to get to cash flow positive in 2026.
Cap Table Changes
The financings have changed our capitalization table substantially. Unusual Machines now has 30.2 million of shares outstanding and will be approximately 31.1 million shares after we close Rotor Lab with no shareholder to our knowledge owning more than 9.9% of the total. We have over $81 million in cash (which includes the Q3 financing), and $0 in debt. Given the cash position, limited cash burn, improving revenues, and diversified shareholder base; we believe the company is in a very strong position to continue to grow quickly throughout the remainder of 2025.
Regulatory Impacts
The regulatory environment is dynamic. Tariffs have been implemented, paused, changed, and seemed to have settled into a more stable steady state. We were able to adjust to the tariffs in Q2 and with our onshoring push have been able to improve margins in spite of an increase in some overseas goods. Internally, Unusual Machines is placing larger inventory orders to reduce uncertainty and get better component pricing to offset tariff costs.
Externally, the regulatory environment is creating market conditions that strongly favor domestic drone companies. These impacts are likely to influence our business in ways we find challenging to model. While we expect to continue to see consumer sales growth, we expect it to slow down a little. At the same time, we see a major uptick in interest on the enterprise side as other businesses look to us for components and general predictability. We believe the impact of tariffs and regulations will strongly benefit Unusual Machines and expect to see GAAP validation of that expectation in the third quarter and fourth quarters as U.S. Government contracts start to be issued to some of our customers.
Looking Ahead
Our priorities moving forward are clear:
Grow Revenue: We are being aggressive. We will continue to invest in and expand Rotor Riot’s operations, driving both top-line growth and improved margins while introducing more U.S. made components at competitive prices. We will continue to take advantage of the tariffs to improve gross margins, and we anticipate substantial capital expense outlay as we work to very quickly scale a motor factory in Orlando to complement our factory that we will acquire in Australia once we close the Rotor Lab acquisition.
Grow the Company: The U.S. government marketplace for drones is accelerating. To keep up with demand growth on the enterprise side – we need to scale the company. We are in the process of expanding our team from 20 employees to 50, are building out the motor factory, and plan on adding Fat Shark headset assembly to a new leased facility in the Orlando area.
Get to Cash Flow Positive: We plan to grow in a controlled manner with the focus of our efforts driving us toward positive cash flow. Accounting for growth, we expect to need $20-30M in an annual revenue run rate to reach this target and are working toward getting there in 2026 depending on how the enterprise market materializes in the second half of 2025.
We are enthusiastic about the future of Unusual Machines. The company is in a great position to capitalize on enterprise sales and take advantage of the regulatory environment and macroeconomic factors to rapidly scale. We believe the moment is now and are doing everything we can to capture market share. We appreciate you all for the confidence and support in our vision. Please reach out with any questions or comments.
Sincerely,
Allan Evans CEO of Unusual Machines
Second Quarter Financial Results
Revenues totaled approximately $2.12 million for the three months ended June 30, 2025 as compared to $1.41 million for the three months ended June 30, 2024 which was a 51% increase for the second quarter year over year.
Revenues totaled approximately $4.17 million for the six months ended June 30, 2025 as compared to pro forma revenue of $2.52 million for the six months ended June 30, 2024, which represents a 65% increase for the first six months year over year.
Gross margin for the second quarter was approximately 37%, which improved related to the increase in enterprise sales, increasing costs related to tariffs and expanding certain retail margins. Our gross margin for the first six months of the year is approximately 31%.
Our loss from operations was approximately $7.2 million for the three months ended June 30, 2025 as compared to an operating loss of $1.6 million for the three months ended June 30, 2024. Included in this is non-cash stock compensation expense of $5.5 million and $0.4 million for the three months ended June 30, 2025 and 2024, respectively.
Interest income was $0.2 million for the three months ended June 30, 2025 related to interest earned from our May 2025 public offering.
Net loss attributable to common shareholders for the second quarter 2025 was approximately $6.9 million or $0.32 per share as compared to a net loss of approximately $1.6 million for the second quarter 2024 or $0.16 per share. The decrease primarily relates to the increase in non-cash stock compensation expense incurred in 2025.
We had approximately $38.9 million of cash as of June 30, 2025 as compared to $3.7 million as of December 31, 2024. The increase in cash primarily relates to the public offering completed in May 2025 and cash exercise of warrants in February 2025. See table 1 for additional details.
For further information concerning our financial results, see the tables attached to this shareholders’ letter.
About Unusual Machines
Unusual Machines manufactures and sells drone components and drones across a diversified brand portfolio, which includes Fat Shark, the leader in FPV (first-person view) ultra-low latency video goggles for drone pilots. The Company also retails small, acrobatic FPV drones and equipment directly to consumers through the curated Rotor Riot e-commerce store. With a changing regulatory environment, Unusual Machines seeks to be a dominant component supplier to the fast-growing multi-billion-dollar US drone industry and the global defense business. According to Fact.MR, the global drone accessories market is currently valued at $17.5 billion and is set to top $115 billion by 2032.
This shareholder letter contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The words “believe,” “may,” “estimate,” “continue,” “anticipate,” “intend,” “should,” “plan,” “could,” “target,” “potential,” “is likely,” “will,” “expect” and similar expressions, as they relate to us, are intended to identify forward-looking statements. These statements include: our expectation that we will improve gross margins, grow the Company and grow our revenues, expand enterprise sales throughout 2025 and extend into 2025, our ability to become cash flow positive and the timing, our ability to achieve rapid growth, our expectation concerning the impact from tariffs and achieve GAAP validation, that we will be successful leasing a new facility and expand our manufacturing footprint and build our headset production capabilities, our ability to anticipate market conditions, and the impact that the uncertain regulatory environment may have on our ability to accurately model for and grow our consumer business. The results expected by some or all of these forward-looking statements may not occur. Factors that affect our ability to achieve these results include our expectation that we will commence operations in our new Orlando manufacturing facility in September 2025, the continued availability of commercial real estate near our Orlando, Florida facilities, the availability of a satisfactory labor pool, potential supply chain issues, the impact from tariffs including inflation, and the Risk Factors contained in our Form 10-Q, filed with the SEC on May 8, 2025, Prospectus Supplement filed with the Securities and Exchange Commission (the “SEC”) on March 6, 2025 and in our Form 10-K for the year ended December 31, 2024. Factors or events that could cause our actual results to differ may emerge from time to time, and it is not possible for us to predict all of them. Any forward-looking statement made by us herein speaks only as of the date on which it is made. We undertake no obligation to update any forward-looking statement, whether as a result of new information, future developments or otherwise, except as may be required by law.
This shareholder letter includes both financial measures in accordance with Generally Accepted Accounting Principles, or GAAP, as well as non-GAAP financial measures. Generally, a non-GAAP financial measure is a numerical measure of a company’s performance, financial position or cash flows that either excludes or includes amounts that are not normally included or excluded in the most directly comparable measure calculated and presented in accordance with GAAP. Non-GAAP financial measures should be viewed as supplemental to, and should not be considered as alternatives to net income (loss), operating income (loss), and cash flow from operating activities, liquidity or any other financial measures. They may not be indicative of the historical operating results of the Company nor are they intended to be predictive of potential future results. Investors should not consider non-GAAP financial measures in isolation or as substitutes for performance measures calculated in accordance with GAAP.
Our management uses and relies on adjusted net loss, which is a non-GAAP financial measure. We believe that management, analysts, and shareholders benefit from referring to the following non-GAAP financial measure to evaluate and assess our core operating results from period-to-period after removing the impact of items that affect comparability. Our management recognizes that the non-GAAP financial measure has inherent limitations because of the excluded items described below.
We have included in Table 2 a reconciliation of our non-GAAP financial measure to the most comparable financial measure calculated in accordance with GAAP. We believe that providing the non-GAAP financial measure, together with reconciliation to GAAP, helps investors make comparisons between the Company and other companies. In making any comparisons to other companies, investors need to be aware that companies use different non-GAAP measures to evaluate their financial performance.
Table 1
Cash balance at March 31, 2025
$
5.0M
Q2 cash financings:
Public offering
36.3M
Employee stock option exercises
0.5M
Interest income
0.2M
Q2 cash spend:
Normal operations
(0.9M
)
Non-recurring legal and transaction expenses
(0.4M
)
Non-recurring investor relations
(0.4M
)
Inventory build up
(0.9M
)
Motor facility purchases
(0.5M
)
Cash Balance at June 30, 2025
$
38.9M
Table 2
Net loss for three months ended June 30, 2025
$
(6.9M
)
Q2 non-cash expenses for the three months ended June 30, 2025:
Stock compensation expense
5.5
M
Q2 non-recurring expenses for the three months ended June 30, 2025:
Investor relations
0.4
M
Filing fees related to S-3
0.1
M
Legal expenses related to acquisitions
0.1
M
Adjusted net loss for the three months ended June 30, 2025
$
(0.8M
)
Unusual Machines, Inc. Consolidated Condensed Balance Sheets
June 30, 2025
December 31, 2024
(Unaudited)
ASSETS
Current assets:
Cash and cash equivalents
$
38,933,059
$
3,757,323
Accounts receivable
173,388
66,575
Inventories
1,609,117
1,335,503
Prepaid inventory
1,314,592
904,728
Other current assets
192,778
31,500
Total current assets
42,222,934
6,095,629
Non-current assets:
Property and equipment, net
262,979
570
Operating lease right-of-use asset, net
288,516
323,514
Other assets
84,693
59,426
Goodwill
7,402,906
7,402,906
Intangible assets, net
2,184,686
2,225,530
Total non-current assets
10,223,780
10,011,946
Total assets
$
52,446,714
$
16,107,575
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities
Accounts payable and accrued expenses
$
608,694
$
668,732
Operating lease liability
73,569
67,820
Deferred revenue
139,435
197,117
Total current liabilities
821,698
933,669
Non-current liabilities
Deferred tax liability
93,793
93,793
Operating lease liability – non-current
223,762
262,171
Total non-current liabilities
317,555
355,964
Total liabilities
1,139,253
1,289,633
Commitments and contingencies (See note 13)
–
–
Stockholders’ equity:
Preferred stock – $0.01 par value, 10,000,000 authorized
–
–
Series A preferred stock – $0.01 par value, 4,250 designated and 0 and 0 shares issued and outstanding at June 30, 2025 and December 31, 2024, respectively
–
–
Series B preferred stock – $0.01 par value, 1,000 designated and 0 and 0 shares issued and outstanding at June 30, 2025 and December 31, 2024, respectively
–
–
Series C preferred stock – $0.01 par value, 3,000 designated and 0 and 0 shares issued and outstanding at June 30, 2025 and December 31, 2024, respectively
–
–
Common stock – $0.01 par value, 500,000,000 authorized and 25,287,786 and 15,122,018 shares issued and outstanding at June 30, 2025 and December 31, 2024, respectively
252,877
151,221
Additional paid in capital
97,199,116
50,580,235
Accumulated deficit
(46,144,532
)
(35,913,514
)
Total stockholders’ equity
51,307,461
14,817,942
Total liabilities and stockholders’ equity
$
52,446,714
$
16,107,575
Unusual Machines, Inc. Consolidated Condensed Statement of Operations For the Three and Six Months Ended June 30, 2025 and 2024 (Unaudited)
Three months ended June 30,
Six months ended June 30,
2025
2024
2025
2024
Revenues
$
2,123,970
$
1,411,124
$
4,166,270
$
2,030,039
Cost of goods sold
1,329,291
1,022,684
2,874,784
1,437,432
Gross Margin
794,679
388,440
1,291,486
592,607
Operating Expenses
Operations
404,277
213,772
706,879
326,094
Research and development
62,731
10,282
70,633
27,078
Sales and marketing
302,358
386,332
509,975
543,390
General and administrative
7,195,193
1,349,587
10,421,097
2,353,761
Depreciation and amortization
20,593
171
41,186
342
Total operating expenses
7,985,152
1,960,144
11,749,770
3,250,664
Loss from operations
(7,190,473
)
(1,571,704
)
(10,458,284
)
(2,658,057
)
Other income and (expense)
Interest income
225,734
–
227,266
–
Interest expense
–
(40,534
)
–
(60,183
)
Other income and (expense)
225,734
(40,534
)
227,266
(60,183
)
Net loss
$
(6,964,739
)
$
(1,612,238
)
$
(10,231,018
)
$
(2,718,240
)
Net loss per share attributable to common stockholders
Basic and diluted
$
(0.32
)
$
(0.16
)
$
(0.54
)
$
(0.34
)
Weighted average common shares outstanding
Basic and diluted
21,771,954
10,040,741
18,853,428
8,053,299
Unusual Machines, Inc. Consolidated Condensed Statement of Changes in Stockholders’ Equity For the Three and Six Months Ended June 30, 2025 and 2024 (Unaudited)
Three and Six Months Ended June 30, 2024
Series B, Preferred Stock
Common Stock
Additional Paid-In
Accumulated
Total Stockholders’
Shares
Value
Shares
Value
Capital
Deficit
Equity
Balance, December 31, 2023
190
$
2
3,217,255
$
32,173
$
5,315,790
$
(3,933,046
)
$
1,414,919
Issuance of common shares as settlement
–
–
16,086
161
64,183
–
64,344
Issuance of common shares, initial public offering, net of offering costs
–
–
1,250,000
12,500
3,837,055
–
3,849,555
Issuance of common shares, business combination
–
–
4,250,000
42,500
16,957,500
–
17,000,000
Conversion of preferred shares
(120
)
(1
)
600,000
6,000
(5,999
)
–
–
Net loss
–
–
–
–
–
(1,106,002
)
(1,106,002
)
Balance, March 31, 2024
70
$
1
9,333,341
$
93,334
$
26,168,529
$
(5,039,048
)
$
21,222,816
Conversion of preferred shares
(20
)
–
100,000
1,000
(1,000
)
–
–
Issuance of common shares, equity incentive plan
–
–
977,899
9,779
(9,779
)
–
–
Stock compensation expense – vested stock
–
–
–
–
346,854
–
346,854
Stock option compensation expense
–
–
–
–
14,389
–
14,389
Net loss
–
–
–
–
–
(1,612,238
)
(1,612,238
)
Balance, June 30, 2024
50
$
1
10,411,240
$
104,113
$
26,518,993
$
(6,651,286
)
$
19,971,821
Three and Six Months Ended June 30, 2025
Series A, Preferred Stock
Series B, Preferred Stock
Series C, Preferred Stock
Common Stock
Additional Paid-In
Accumulated
Total Stockholders’
Shares
Value
Shares
Value
Shares
Value
Shares
Value
Capital
Deficit
Equity
Balance, December 31, 2024
–
$
–
–
$
–
–
$
–
15,122,018
$
151,221
$
50,580,235
$
(35,913,514
)
$
14,817,942
Issuance of restricted common stock, equity incentive plan
–
–
–
–
–
–
483,546
4,835
(4,835
)
–
–
Issuance of common stock for exercise of warrants
–
–
–
–
–
–
1,224,606
12,246
2,424,720
–
2,436,966
Stock compensation expense – vested stock
–
–
–
–
–
–
–
–
1,883,433
–
1,883,433
Stock option compensation expense
–
–
–
–
–
–
–
–
22,940
–
22,940
Net loss
–
–
–
–
–
–
–
–
–
(3,266,279
)
(3,266,279
)
Balance, March 31, 2025
–
$
–
–
$
–
–
$
–
16,830,170
$
168,302
$
54,906,493
$
(39,179,793
)
$
15,895,002
Series A, Preferred Stock
Series B, Preferred Stock
Series C, Preferred Stock
Common Stock
Additional Paid-In
Accumulated
Total Stockholders’
Shares
Value
Shares
Value
Shares
Value
Shares
Value
Capital
Deficit
Equity
Issuance of common shares, Management/Board of Directors
–
–
–
–
–
–
208,336
2,082
(2,082
)
–
–
Issuance of common shares, Option exercises
–
–
–
–
–
–
94,650
947
366,923
–
367,870
Issuance of common shares, consulting services
–
–
–
–
–
–
4,630
46
(46
)
–
–
Issuance of common shares, advisory board
–
–
–
–
–
–
150,000
1,500
(1,500
)
–
–
Issuance of common shares, public offering
–
–
–
–
–
–
8,000,000
80,000
36,416,000
–
36,496,000
Stock option compensation expense
–
–
–
–
–
–
–
–
576,831
–
576,831
Stock option compensation expense – vested stock
–
–
–
–
–
–
–
–
4,936,497
–
4,936,497
Net loss
–
–
–
–
–
–
–
–
–
(6,964,739
)
(6,964,739
)
Balance, June 30, 2025
–
$
–
–
$
–
–
$
–
25,287,786
$
252,877
$
97,199,116
$
(46,144,532
)
$
51,307,461
Unusual Machines, Inc. Consolidated Condensed Statement of Cash Flows For the Six Months Ended June 30, 2025 and 2024 (Unaudited)
Six Months Ended June 30,
2025
2024
Cash flows from operating activities:
Net loss
$
(10,231,018
)
$
(2,718,240
)
Depreciation and amortization
41,186
342
Stock compensation expense as settlement
–
64,344
Stock compensation expense
7,419,701
361,243
Bad debt
12,146
–
Change in assets:
Accounts receivable
(118,959
)
6,798
Inventory
(273,614
)
152,566
Prepaid inventory
(409,864
)
(253,424
)
Other assets
(151,547
)
(129,089
)
Change in liabilities:
Accounts payable and accrued expenses
(60,038
)
384,556
Operating lease liabilities
(32,660
)
(18,615
)
Customer deposits and other current liabilities
(57,682
)
(32,321
)
Net cash used in operating activities
(3,862,349
)
(2,181,840
)
Cash flows from investing activities
Cash portion of consideration paid for acquisition of businesses, net of cash received
–
(852,801
)
Purchase of property & equipment
(262,751
)
–
Net cash used in investing activities
(262,751
)
(852,801
)
Cash flows from financing activities:
Proceeds from issuance of common shares, IPO
–
5,000,000
Proceeds from issuance of common shares, public offering
40,000,000
–
Proceeds from option exercises
367,870
–
Proceeds from issuance of common shares, warrant exercises
2,436,966
–
Common share issuance offering costs
(3,504,000
)
(637,687
)
Net cash provided by financing activities
39,300,836
4,362,313
Net increase in cash
35,175,736
1,327,672
Cash, beginning of period
3,757,323
894,773
Cash, end of period
$
38,933,059
$
2,222,445
Supplemental disclosures of cash flow information:
Non-cash consideration paid for assets acquired and liabilities assumed
$
–
$
19,000,000
Deferred acquisition costs
$
–
$
100,000
Deferred offering costs recorded as reduction of proceeds
TOLEDO, Ohio – 4 Guys & A Roof, a roofing contractor serving Northwest Ohio for over 25 years, has relocated its operations from Haskins, Ohio to a new facility at on Cedarhurst Road in Toledo. The company specializes in residential roof repair, roof replacement, and chimney repair services for homeowners throughout the Toledo metropolitan area and southeastern Michigan.
The relocation represents a strategic move to enhance response times and accessibility for customers in Toledo’s urban and suburban communities. The company maintains its established presence in the region while positioning itself to serve a broader customer base from the new Toledo location.
“The move to Toledo allows us to be more responsive to customer needs in the metropolitan area,” said Jamie, a company representative. “We have been serving this community for over two decades, and this relocation demonstrates our continued commitment to providing reliable roofing services to Toledo area residents.“
4 Guys & A Roof holds Owens Corning Platinum Preferred Contractor status, a designation reserved for contractors who meet specific criteria including proper licensing, insurance coverage, and customer satisfaction standards. The company maintains full bonding and insurance coverage for all projects and offers extended warranty protection on both materials and workmanship.
4 Guys & A Roof provides three primary service categories for residential customers that address the full spectrum of roofing needs. Complete roof replacement services include the removal of existing roofing materials, installation of new underlayment and ventilation systems, and application of new roofing materials. Each replacement project includes site preparation, debris removal, and post-installation property cleanup. The company uses manufacturer-approved materials and installation methods to ensure compliance with warranty requirements.
Roof repair services address specific issues without requiring complete system replacement. The company’s technicians diagnose problems such as leak sources, missing or damaged shingles, flashing defects, and storm damage. Emergency roof repair capabilities allow 4 Guys & A Roof to respond to urgent situations that require immediate attention to prevent further property damage. The repair process includes a thorough assessment of the affected area and an honest evaluation of whether repair or replacement represents the most appropriate solution.
Chimney repair services complement 4 Guys & A Roof’s roofing expertise by addressing structural issues that can affect both roof integrity and home safety. Services include chimney crown restoration, flashing repair and replacement, brick and mortar restoration, and waterproofing applications. The integration of chimney and roofing repairs ensures that water infiltration problems are addressed comprehensively rather than treating symptoms without resolving underlying causes.
Toledo area residents who have utilized 4 Guys & A Roof services have provided consistent feedback that reflects the company’s service quality and professional approach. Karen Webber noted, “I was very impressed with the professional nature of your process and ultimately the job you did. Will use again in the future.“
Another customer commented on 4 Guys & A Roof’s attention to follow-up service: “My roof was done in one day very professional. Cris came back to inspect my roof the next day very satisfied thanks 4 Guys and a Roof.“
The reliability factor resonates with homeowners who have concerns about contractor accountability. Alan Prince stated, “Our biggest fear is hiring someone who disappears or goes out of business and suddenly is no longer valid. You put our fears to rest and we are happy with the work done.“
Additional customer feedback reflects satisfaction with project outcomes and attention to detail. Bill K. commented, “Thanks for all you did to help us make a decision about the unforeseen damages. We are very pleased.” Another homeowner noted, “Had our roof done and the crew did a great job. They were very efficient, hard working, courteous, and most importantly knowledgeable about the job. Would highly recommend them for your roofing needs.“
4 Guys & A Roof’s commitment to complete project execution includes attention to property maintenance during and after installation. One customer observed, “We had a roof replaced; 4 guys did everything as quoted and came back the very next day to clean some area on the house where shingles left some tar marks. Very satisfied.“
The relocation to Toledo enables 4 Guys & A Roof to serve an expanded service territory that covers a significant portion of Northwest Ohio and southeastern Michigan. Service coverage extends into southeastern Michigan communities, including Monroe, Temperance, Lambertville, Erie, and Luna Pier.
The company continues to operate its Monclova location on Stitt Road, which serves western communities including Bowling Green, Delta, Grand Rapids, Haskins, Neapolis, Springfield Township, Spencer Township, Swanton, Tontogany, Waterville, and Whitehouse.
4 Guys & A Roof’s 25-year history in Northwest Ohio reflects its established position within the regional roofing industry. The company has built its reputation through consistent service quality and adherence to industry standards throughout its 25-year operating history in Northwest Ohio.
The Owens Corning Platinum Preferred Contractor designation recognizes contractors who demonstrate superior installation practices, maintain proper licensing and insurance coverage, and achieve specified customer satisfaction levels. This certification requires ongoing compliance with manufacturer standards and periodic performance reviews.
4 Guys & A Roof maintains rigorous safety standards on all job sites, utilizing approved equipment and following established protocols that meet or exceed industry requirements. All technicians receive training in safety procedures and proper installation techniques to ensure consistent service delivery across all projects.
4 Guys & A Roof operates Monday through Friday from 8:00 AM to 6:00 PM and Saturday from 8:00 AM to 5:00 PM. The company is closed on Sundays. Customers can reach 4 Guys & A Roof at 419-343-8648 or visit the company website at 4guysandaroof.com.
4 Guys & A Roof maintains social media presence on Facebook, YouTube, Pinterest, and LinkedIn.
