Revenue Growth - Total revenues for the three months ended September 30, 2025, increased to $20,425, representing a 24.0% growth compared to $16,686 in the same period of 2024[19] - SaaS revenue for the nine months ended September 30, 2025, reached $57,583, up from $45,872 in 2024, indicating a 25.6% increase[19] - Total revenues for the nine months ended September 30, 2025, reached $57,701, up 25% from $45,998 in the prior year[65] - Subscription services revenue from Lofty for the three months ended September 30, 2025, was $8,709, a 3% increase from $8,442 in 2024[65] - The Lofty segment generated revenues of $10,056,000 for the three months ended September 30, 2025, compared to $9,216,000 for the same period in 2024, representing an increase of 9.1%[120] - The Trucker Path segment reported revenues of $10,332,000 for the three months ended September 30, 2025, up from $7,425,000 in the prior year, marking a significant growth of 39.5%[120] Profit and Loss - Gross profit for the three months ended September 30, 2025, was $15,143, compared to $12,633 in 2024, reflecting a 19.8% growth[19] - The company reported a comprehensive loss of $(1,629) for the three months ended September 30, 2025, compared to a comprehensive income of $1,187 in the same period of 2024[20] - The Company reported a loss from operations of $1,452,000 for the three months ended September 30, 2025, compared to a loss of $571,000 for the same period in 2024, indicating a worsening of operational performance[120] - The company reported a loss from operations of $1.980 billion for the nine months ended September 30, 2025, compared to a loss of $2.791 billion in 2024, showing an improvement of 29.0%[122] Expenses - Operating expenses for the three months ended September 30, 2025, totaled $16,595, up from $13,204 in 2024, marking a 25.0% increase[19] - Research and development expenses totaled $6,663,000 for the three months ended September 30, 2025, compared to $4,779,000 in the same period of 2024, representing an increase of 39.5%[120] - Selling and marketing expenses were $5,476,000 for the three months ended September 30, 2025, compared to $4,964,000 in the same period of 2024, reflecting an increase of 10.3%[120] - Operating expenses totaled $44.830 billion for the nine months ended September 30, 2025, compared to $37.920 billion in 2024, representing an increase of 18.2%[122] Assets and Liabilities - Total current assets as of September 30, 2025, were $40,850, an increase from $43,942 as of December 31, 2024[16] - Total liabilities decreased to $38,090 as of September 30, 2025, from $24,707 as of December 31, 2024[17] - Cash and cash equivalents increased to $22,049 as of September 30, 2025, compared to $26,642 as of December 31, 2024[16] - The total assets of the VIE decreased from $4,774 as of December 31, 2024, to $3,192 as of September 30, 2025, a decline of 33.2%[35] Shareholder Information - The number of Class A ordinary shares outstanding increased from 632,894,266 as of December 31, 2024, to 653,561,413 as of September 30, 2025[17] - The total number of Class A ordinary shares outstanding as of September 30, 2025, was 726,595,513[22] - The company repurchased 7,991,370 Class A ordinary shares for $155,000 during the period[22] - The company repurchased approximately 85.066 million Class A ordinary shares for about $5.7 million, representing 13.0% of the outstanding Class A shares[129] Cash Flow - Cash flows from operating activities for the nine months ended September 30, 2025 showed a net cash used of $2,032, a significant decline from the net cash provided of $1,704 in 2024[25] - The company reported a net cash used in investing activities of $3,185 for the nine months ended September 30, 2025, compared to a net cash used of $2,975 in 2024, indicating a 7.0% increase in cash outflow[25] - The company experienced a decrease in cash and cash equivalents and restricted cash, ending the period with $31,994 compared to $38,378 at the end of September 2024, reflecting a 16.5% decline[25] Acquisitions and Investments - The Company acquired Truckers Best Insurance LLC for a total purchase consideration of $2,826, which includes $1,000 in cash and $1,826 in contingent consideration[74] - TBI generated net revenue of $50 and a net loss of $735 for the three months ended September 30, 2025, since the acquisition[80] - The fair value of intangible assets acquired from TBI includes $582 for licenses and carrier appointments and $241 for customer relationships[79] - Goodwill from the TBI acquisition amounted to $1,997, attributed to expected synergies and future market development[82] Stock-Based Compensation - Stock-based compensation for the quarter ending June 30, 2025, amounted to $28,000[22] - The total share-based compensation expense for the three months ended September 30, 2025, is $165, down from $274 in the same period of 2024[112] - For the nine months ended September 30, 2025, the total share-based compensation expense is $539, compared to $1,599 for the same period in 2024[112] - The total unrecognized share-based compensation expense related to share options as of September 30, 2025, is $109, expected to be recognized over a weighted-average vesting period of 2.67 years[102] International Operations - The United States contributed $52.573 billion to total operating revenues for the nine months ended September 30, 2025, up from $43.330 billion in 2024, a growth of 21.5%[124] - International revenues increased to $5.128 billion for the nine months ended September 30, 2025, from $2.668 billion in 2024, marking a significant growth of 92.0%[124] Accounting and Compliance - The Company is evaluating the impact of new accounting standards on its consolidated financial statements, including ASU 2025-05 and ASU 2025-06[71][72] - The company has a full valuation allowance against U.S. federal and state net operating losses, which may be subject to annual limitations under IRC Section 382[127]

Financial Performance - Total revenue for Q2 FY 2026 was $12.4 million, a 3% decrease from $12.7 million in the prior-year quarter[4] - Net loss attributable to common stockholders was $(5.7) million, or $(0.31) per share, compared to a net loss of $(1.4) million, or $(0.09) per share, in the prior-year quarter[7] - Total revenues for the three months ended September 30, 2025, were $12,357,000, a decrease of 3% compared to $12,739,000 for the same period in 2024[31] - Operating loss for the three months ended September 30, 2025, was $(5,410,000), compared to $(861,000) for the same period in 2024, reflecting a significant increase in losses[31] - Net loss attributable to common stockholders for the three months ended September 30, 2025, was $(5,678,000), compared to $(1,376,000) for the same period in 2024, indicating a worsening financial performance[31] - Adjusted EBITDA for the three months ended September 30, 2025, was $(3,685,000), compared to $532,000 for the same period in 2024, showing a decline in operational performance[36] - The company reported a net loss before income taxes of $(5,525,000) for the three months ended September 30, 2025, compared to $(1,197,000) for the same period in 2024, reflecting deteriorating profitability[31] Operating Expenses - SG&A expenses rose by $5.0 million, or 79%, to $11.4 million, driven by increased marketing costs and compensation[5] - Selling, general and administrative expenses for the three months ended September 30, 2025, were $11,407,000, a substantial increase from $6,364,000 for the same period in 2024, indicating rising operational costs[31] Assets and Liabilities - Total current assets decreased to $23,258,000 as of September 30, 2025, from $38,081,000 as of March 31, 2025, indicating a liquidity challenge[29] - Total liabilities decreased to $24,784,000 as of September 30, 2025, from $34,724,000 as of March 31, 2025, reflecting a reduction in financial obligations[29] - Cash and cash equivalents significantly decreased to $2,336,000 as of September 30, 2025, from $13,941,000 as of March 31, 2025, highlighting cash flow issues[29] - Total stockholders' equity decreased to $37,163,000 as of September 30, 2025, from $37,792,000 as of March 31, 2025, indicating a decline in shareholder value[29] Revenue Streams - Streaming and digital revenues decreased by 5% to $9.6 million from $10.1 million in the prior year[6] Strategic Initiatives - Cineverse announced a new venture, MicroCo, projected to tap into a $10 billion market by 2027[10] - The company plans to reissue the 20th anniversary edition of Pan's Labyrinth in Fall 2026, with a marketing campaign starting at the Cannes Film Festival[3] - Cineverse's Matchpoint™ platform added over 20 new customers in the last 100 days, indicating strong momentum in technology partnerships[17] Content Valuation - The company's content library, valued at $45 million, significantly exceeds its book value of $3.2 million[16] - The Toxic Avenger Unrated is projected to generate an internal rate of return (IRR) of over 40% despite underperforming at the box office[2]

Financial Performance - Total revenue for Q2 FY 2026 was $12.4 million, a 3% decrease from $12.7 million in the prior-year quarter[4] - Net loss attributable to common stockholders was $(5.7) million, or $(0.31) per share, compared to a net loss of $(1.4) million, or $(0.09) per share, in the prior-year quarter[7] - Total revenues for the three months ended September 30, 2025, were $12,357,000, a decrease of 3% compared to $12,739,000 for the same period in 2024[31] - Operating loss for the three months ended September 30, 2025, was $(5,410,000), compared to $(861,000) for the same period in 2024, reflecting a significant increase in operating expenses[31] - Net loss attributable to common stockholders for the three months ended September 30, 2025, was $(5,678,000), compared to $(1,376,000) for the same period in 2024, indicating a worsening financial performance[31] - Adjusted EBITDA for the three months ended September 30, 2025, was $(3,685,000), a decline from $532,000 in the same period of 2024[36] - The company reported a net loss before income taxes of $(5,525,000) for the three months ended September 30, 2025, compared to $(1,197,000) for the same period in 2024[31] Expenses - SG&A expenses rose by $5.0 million, or 79%, to $11.4 million, driven by increased marketing costs of approximately $2.3 million for The Toxic Avenger Unrated[5] - Selling, general and administrative expenses increased to $11,407,000 for the three months ended September 30, 2025, compared to $6,364,000 for the same period in 2024[31] Revenue Streams - Streaming and digital revenues decreased by 5% to $9.6 million from $10.1 million in the prior year[6] - Base distribution revenue increased by 39% to $1.8 million, up from $1.3 million in the prior-year quarter, primarily due to the theatrical release of The Toxic Avenger Unrated[6] Assets and Liabilities - Total current assets decreased to $23,258,000 as of September 30, 2025, from $38,081,000 as of March 31, 2025[29] - Total liabilities decreased to $24,784,000 as of September 30, 2025, from $34,724,000 as of March 31, 2025[29] - Cash and cash equivalents were $2,336,000 as of September 30, 2025, down from $13,941,000 as of March 31, 2025[29] Strategic Initiatives - Cineverse announced a new venture, MicroCo, projected to tap into a market expected to reach $10 billion by 2027[10] - Cineverse plans to reissue the 20th anniversary edition of Pan's Labyrinth in Fall 2026, with a marketing campaign kicking off at the Cannes Film Festival[3] Content Performance - The Toxic Avenger Unrated is projected to generate an internal rate of return (IRR) of over 40% despite underperforming at the box office[2] - The company's content library, valued at $45 million, significantly exceeds the $3.2 million book value recorded at quarter end[16] Share Information - The weighted average shares of common stock outstanding for the three months ended September 30, 2025, were 18,447,000, compared to 15,721,000 for the same period in 2024[31]

Financial Performance - As of September 30, 2025, the Company recorded a net loss of $1,948,490 and negative cash flows from operating activities of $2,799,444, with an accumulated deficit of $5,391,110[38]. - For the nine months ended September 30, 2025, net revenue was $6,941,151, a slight decrease from $6,986,791 in the same period of 2024, representing a decline of approximately 0.65%[109]. - The net loss attributable to common shareholders for the nine months ended September 30, 2025, was $708,991, compared to a net loss of $1,345,370 for the same period in 2024, indicating an improvement of approximately 47%[135]. - The net loss attributable to common shareholders for the nine months ended September 30, 2025, was $1,948,490, compared to a net loss of $1,250,023 in 2024, representing an increase in loss of approximately 55.9%[140]. - For the three months ended September 30, 2025, the Company reported revenue of $2,543,823, a decrease of 3.3% compared to $2,630,376 for the same period in 2024[212]. - The gross profit for the three months ended September 30, 2025, was $377,685, representing an increase of 15.6% from $326,536 in the prior year[212]. - The Company experienced total other income of $107,760 for the three months ended September 30, 2025, significantly lower than $465,527 in the same period of 2024[212]. - Total operating expenses for the nine months ended September 30, 2025, were $1,187,954, compared to $2,129,685 in the same period of 2024, reflecting a decrease of approximately 44%[135]. Revenue and Segments - Revenue from the trading of industrial chemicals was $6,929,849 for the nine months ended September 30, 2025, compared to $6,975,567 in 2024, indicating a decrease of about 0.66%[109]. - The genomic screening services segment generated revenue of $4,768, while the trading of industrial chemicals segment contributed $2,539,055 for the three months ended September 30, 2025[135]. - Chemrex accounted for $2,539,055 (99.8%) of total revenue, a decrease of 3.4% from $2,627,813 (99.9%) in the previous year, primarily due to lower sales volume[218]. Assets and Liabilities - As of September 30, 2025, the Company's trade receivables amounted to $2,193,935, an increase from $1,894,448 as of December 31, 2024, representing a growth of approximately 15.9%[84]. - The total net trade receivables stood at $1,522,158 as of September 30, 2025, up from $1,376,571 as of December 31, 2024, indicating an increase of 10.6%[84]. - The Company has operating lease right-of-use assets of $186,082 as of September 30, 2025, down from $215,243 as of December 31, 2024, a decrease of 13.5%[95]. - Operating lease liabilities decreased to $183,746 as of September 30, 2025, from $210,557 as of December 31, 2024, representing a decline of 12.7%[96]. - As of September 30, 2025, total segment assets amounted to $7,621,228, down from $10,433,848 as of December 31, 2024, indicating a decrease of approximately 26.9%[142]. Cash and Liquidity - The Company maintains cash balances with multiple financial institutions in Malaysia, with deposits insured up to RM250,000 (approximately USD 55,000) per depositor[39]. - As of September 30, 2025, the Company had cash and cash equivalents of $1.36 million and total liquidity exceeding $5 million, providing a solid foundation for operational continuity and strategic investments[173]. - The Company is actively exploring additional capital-raising mechanisms, including at-the-market offerings and private placements, subject to Nasdaq and SEC compliance[174]. Credit and Allowances - The allowance for expected credit losses increased to $671,777 as of September 30, 2025, compared to $517,877 as of December 31, 2024, reflecting a rise of 29.6%[84]. - The Company applies a historical loss rate matrix for trade receivables, adjusted for forward-looking information and macroeconomic trends relevant to the industries in which customers operate[40]. - The allowance for credit losses is based on historical collection experience, aging of receivables, and current economic conditions, with specific allowances for customers with known financial difficulties[40]. Strategic Initiatives - The Company announced a strategic partnership with ML Tech to optimize Ethereum-based growth strategies, enhancing its position in digital asset management[146]. - A non-binding term sheet was entered into with Fidelion Diagnostics for exclusive commercialization rights of the VitaGuard™ MRD platform in Southeast Asia, with regulatory submissions planned for 2026[150]. - The Company plans to lead regulatory submissions for the VitaGuard™ MRD platform, capable of detecting cancer recurrence at variant allele frequencies as low as 0.02%, with a cost per test expected to be under $300[190]. - The Board of Directors authorized the strategic repositioning of Chemrex Corporation into a biotechnology-focused contract development and manufacturing organization, reallocating up to MYR 10 million for operational development[151]. Accounting and Compliance - The Company is evaluating the impact of ASU 2023-09 on its consolidated financial statements, which expands income tax disclosure requirements and is effective for annual reporting periods beginning after December 15, 2024[74]. - The Company does not expect any other recently issued accounting pronouncements to have a significant effect on its consolidated financial statements[75]. - The Company successfully achieved full Nasdaq compliance in April 2025, reinforcing market stability and investor confidence[187]. Stock and Shareholder Information - The company executed a one-for-ten reverse stock split on April 1, 2025, reducing the number of outstanding shares from 17,967,663 to 1,796,597[125]. - The Series Z Preferred Stock was created to facilitate a reverse stock split proposal, which was approved by shareholders on March 19, 2025[123]. - The Company filed a registration statement to register up to $100 million of securities and entered into an Equity Distribution Agreement for an aggregate offering price of up to $20 million[159].

Revenue and Profitability - For the three months ended September 30, 2025, revenues from the Critical Power Solutions segment increased by $472, or 7.4%, to $6,888 compared to $6,416 in the same period of 2024[99]. - For the nine months ended September 30, 2025, revenues from the Critical Power Solutions segment increased by $8,872, or 67.6%, to $21,998 compared to $13,126 in the same period of 2024[104]. - The gross profit for the three months ended September 30, 2025, was $640, a decrease of $882, or 58.0%, from $1,522 in the same period of 2024[105]. - The gross margin percentage for the three months ended September 30, 2025, decreased to 9.3% from 23.7% in the same period of 2024, primarily due to an unfavorable sales mix[105]. - For the nine months ended September 30, 2025, the gross margin from the Critical Power segment decreased to 9.6% of revenues, down from 20.6% for the same period in 2024[106]. - The net loss from continuing operations for the three months ended September 30, 2025, was $1,770, compared to a net loss of $738 in the same period of 2024[99]. - Operating loss from continuing operations increased by approximately $1,327, or 31.8%, to $5,502 for the nine months ended September 30, 2025, compared to $4,175 in 2024[112]. - Net loss from continuing operations per share for the nine months ended September 30, 2025, was $0.46, compared to $0.39 for the same period in 2024[121]. Operating Expenses and Cash Flow - The total operating expenses for the three months ended September 30, 2025, were $2,087, compared to $2,236 in the same period of 2024[99]. - Consolidated selling, general and administrative expenses increased by approximately $710, or 11.5%, to $6,878 for the nine months ended September 30, 2025, compared to $6,168 in 2024[109]. - Cash used in operating activities was $4,780 during the nine months ended September 30, 2025, compared to $4,118 in 2024[129]. - Cash used in investing activities was $2,751 for the nine months ended September 30, 2025, compared to $1,277 in 2024[130]. - Cash used in financing activities was $16,755 during the nine months ended September 30, 2025, compared to cash provided of $4,893 in 2024[132]. - As of September 30, 2025, working capital was $22,766, down from $26,679 as of December 31, 2024[133]. Business Strategy and Market Conditions - The company intends to grow its business through continued internal investments in product development and expansion of personnel in manufacturing, engineering, sales, and marketing[94]. - The Critical Power business includes mobile EV charging solutions and power generation equipment, with services such as preventative maintenance and remote monitoring[96]. - The company sold its Pioneer Custom Electrical Products Corp. business unit in October 2024 as part of a strategic change, leaving it with one reportable segment: Critical Power Solutions[96]. External Factors and Risks - Future operating results are expected to be influenced by the cyclical nature of the electrical equipment industry and changing customer requirements[138]. - The company faces potential impacts from fluctuations in prices of key raw materials, including copper, steel, and aluminum[138]. - Ongoing geopolitical conflicts, such as those involving Russia, Ukraine, Israel, and Hamas, may adversely affect business operations and market volatility[138]. - The shutdown of the U.S. federal government and changes in U.S. policy could impact the economy, tariff policies, and international trade relations[138]. - The company predominantly sells to customers in the industrial production and commercial construction markets, making it sensitive to changes in these sectors[138].

Financial Results Announcement - Catheter Precision, Inc. announced its financial results for the three and nine months ended September 30, 2025[4]. - The press release detailing the financial results was issued on November 13, 2025[4]. - The financial results include key metrics that will be detailed in Exhibit 99.1 attached to the report[4]. - The financial statements and exhibits are included in the report, with Exhibit 99.1 being the press release[6]. Company Information - The company is listed on the NYSE American under the trading symbol VTAK[2]. - The report indicates that Catheter Precision, Inc. is not an emerging growth company[3]. - The company has not elected to use the extended transition period for new financial accounting standards[3]. - The report is not deemed "filed" under the Securities Exchange Act of 1934[5]. - The report was signed by Philip Anderson, Chief Financial Officer, on November 14, 2025[10]. - The address of the company's principal executive offices is 1670 Highway 160 West, Suite 205, Fort Mill, SC 29708[1].

Financial Results Announcement - Catheter Precision, Inc. announced its financial results for the three and nine months ended September 30, 2025[4]. - The press release detailing the financial results was issued on November 13, 2025[4]. - The financial results include key metrics that will be detailed in Exhibit 99.1 attached to the report[5]. Company Information - The company is listed on the NYSE American under the trading symbol VTAK[2]. - The company is based in Fort Mill, SC, with a principal executive office address provided[1]. Regulatory Compliance - The report indicates that Catheter Precision, Inc. is not an emerging growth company[3]. - The report does not incorporate any information as "filed" under the Securities Exchange Act of 1934[5]. - The report is part of the requirements set forth by the Securities Exchange Act of 1934[8]. Report Details - The Chief Financial Officer, Philip Anderson, signed the report on November 14, 2025[10]. - The report includes an interactive data file formatted as inline XBRL[6].

Revenue Performance - For the three months ended September 30, 2025, total revenues decreased by 46% to $337,288 from $624,464 in the same period of 2024[130]. - Service revenues fell by approximately 35% to $19,960, primarily due to a lower volume of marketing services provided[132]. - Product revenues decreased by 47% to $317,328, attributed to reduced sales volume and lower customer traffic on the CWS Platform[133]. - Total revenues for the nine months ended September 30, 2025, were $1,265,156, down 24% from $1,663,475 in 2024, with product revenues decreasing by 26% to $1,152,521[142]. Profitability and Losses - Gross profit for the three months ended September 30, 2025, was $1,232, a significant improvement from a gross loss of $62,051 in 2024[131]. - The company reported a net loss of $16,828,913 for the three months ended September 30, 2025, compared to a net loss of $3,363,380 in the same period of 2024, representing a 400% increase in losses[131]. - Net loss for the nine months ended September 30, 2025, was $21,420,945, compared to a net loss of $8,000,066 in 2024, representing an increase in losses of 168%[152]. - Other income (expense) for the nine months ended September 30, 2025, reflected a net expense of approximately $12,989,795, compared to net other income of $250,661 in 2024, primarily due to a $13.0 million legal settlement expense[151]. - Gross profit for the nine months ended September 30, 2025, was $115,896, a significant improvement from a gross loss of $293,738 in 2024, reflecting a 139% increase[148]. Expenses - General and administrative expenses increased by 128% to $3,470,033, mainly due to higher legal fees incurred during the period[137]. - General and administrative expenses increased by 72% to $7,700,806 for the nine months ended September 30, 2025, compared to $4,486,641 in 2024, mainly due to higher legal costs[149]. - Sales and marketing expenses for the nine months ended September 30, 2025, were $846,240, a decrease of 76% compared to $3,470,348 in 2024, primarily due to the absence of website development costs and reduced advertising expenses[150]. Capital and Financing - The company issued 11,073,489 shares of common stock under an at-the-market offering agreement, generating net proceeds of $31,642,347[116]. - The company raised $47,252,830 in net proceeds through the issuance of common stock during the nine months ended September 30, 2025, compared to a net cash used in financing activities of $562,915 in 2024[154]. - Cash and cash equivalents as of September 30, 2025, were $10,039,230, an increase from $5,386,789 as of December 31, 2024[153]. - The company expects to continue incurring losses and requires additional capital to operate, indicating potential future equity offerings or debt financing[156]. Strategic Initiatives - The company plans to pursue opportunistic acquisitions to enhance its market position and expand its brand presence in the alcoholic beverage space[129]. - The company has established a wholly owned subsidiary, SWOL Holdings Inc., and formed another subsidiary, YHC Online Limited, in Hong Kong to support its growth strategy[115].

Financial Performance - Net income loss for the three months ended September 30, 2025, was $17,907 thousand, compared to a net income of $9,747 thousand for the same period in 2024[20]. - Total revenues for the six months ended September 30, 2025, were $(15,386) thousand, a significant decrease from $18,607 thousand in the same period of 2024[20]. - The company reported a net loss attributable to common shareholders of $(3,629) thousand for the three months ended September 30, 2025, compared to a net income of $12,914 thousand in the same period of 2024[20]. - For the three months ended September 30, 2025, the net income (loss) was $(15,970) thousand, compared to a net income of $12,914 thousand for the same period in 2024, indicating a significant decline[22]. - The company reported a total comprehensive loss of $(3,537) thousand for the three months ended September 30, 2025, compared to a comprehensive income of $12,940 thousand in the same period of 2024[20]. - For the six months ended September 30, 2025, the net loss was $113.914 million, compared to a net loss of $68.705 million for the same period in 2024[24]. - The net loss attributable to common shareholders for Q3 2025 was $3.6 million, compared to a net income of $12.9 million in Q3 2024[82]. - For the six months ended September 30, 2025, the net loss attributable to common shareholders was $68.7 million, a significant decline from a net income of $60.6 million in the same period of 2024[82]. Assets and Liabilities - Total assets decreased from $354,875 thousand as of March 31, 2025, to $316,233 thousand as of September 30, 2025, representing a decline of approximately 10.8%[19]. - Total liabilities increased from $299,274 thousand to $368,534 thousand, marking an increase of about 23.2%[19]. - The total equity as of September 30, 2025, was $90,526 thousand, a decrease from $251,052 thousand reported on June 30, 2024[22]. - The accumulated deficit increased from $(2,008,052) thousand to $(2,076,757) thousand, reflecting a rise of about 3.4%[19]. - The accumulated deficit increased to $(2,076,757) thousand as of September 30, 2025, compared to $(1,998,633) thousand as of September 30, 2024[22]. - The total equity deficit increased from $2.008 billion as of March 31, 2025, to $2.077 billion by September 30, 2025[24]. Cash Flow and Investments - Cash and cash equivalents increased from $1,346 thousand as of March 31, 2025, to $4,902 thousand as of September 30, 2025, indicating a growth of approximately 263%[19]. - Cash flows from operating activities resulted in a net cash used of $(25,364) thousand for the six months ended September 30, 2024, compared to $(19,259) thousand for the same period in 2023[29]. - The company reported net cash provided by investing activities of $42,825 thousand for the six months ended September 30, 2024, compared to $11,164 thousand for the same period in 2023, showing an increase in investment activity[29]. - The cash and cash equivalents at the end of the period were $4,902 thousand as of September 30, 2024, compared to $4,796 thousand at the end of the same period in 2023[29]. Shareholder Equity and Stock - Class A basic net income (loss) per share was $(0.37) for the three months ended September 30, 2025, compared to $2.98 for the same period in 2024[20]. - The company issued Class A common stock to settle liabilities amounting to $26 thousand during the three months ended September 30, 2025[22]. - The total shares of Class A common stock decreased from 4,006 thousand on June 30, 2024, to 4,580 thousand on September 30, 2024[22]. - The company issued 1,179,946 shares of Series B Resettable Convertible Preferred Stock during the six months ended September 30, 2025[198]. - The maximum number of Class A common shares that can be issued upon conversion of the Series B preferred stock is 51,531,744 shares[205]. Debt and Financing - The company has substantial doubt about its ability to continue as a going concern, with financial statements prepared on a going concern basis[55]. - The company entered into a three-year $25 million term loan with HH-BDH LLC, which was fully drawn upon closing to fund product development and working capital[51]. - The Company has been in default on certain financial covenants, including delayed interest and principal payments, but is actively negotiating waivers with the lender[164]. - The Company has accrued interest of $24.0 million as of September 30, 2025, and $18.6 million as of March 31, 2025, included in other liabilities[144]. - Events of default were declared on April 14, 2025, due to the Company's failure to pay outstanding obligations, resulting in immediate repayment of all amounts due[148][150]. Regulatory and Strategic Developments - The company completed a de-SPAC merger transaction with Avalon Acquisition, Inc. on June 7, 2023, and began trading on the Nasdaq Global Market on June 8, 2023[34]. - The company has received regulatory approval for its subsidiary to operate as a registered transfer agent and intends to provide various services for customers[43]. - The company plans to expand its product offerings through Ben Insurance Services and Ben Markets, including customized insurance products and broker-dealer services[42]. - The company intends to resubmit its application for an insurance charter in the future after previously withdrawing it[42]. Accounting and Reporting - The consolidated financial statements include the accounts of the company and its subsidiaries, prepared in accordance with U.S. GAAP[65]. - The company is assessing the impact of new accounting standards, including ASU 2024-03 and ASU 2023-09, on its financial statements and disclosures[72][73]. - The company has made significant estimates related to fair value determinations and credit loss allowances that could impact reported results[70]. Investment Performance - As of September 30, 2025, the total investments at fair value held by the Customer ExAlt Trusts amounted to $243.978 million, a decrease of $47.8 million from $291.371 million as of March 31, 2025[102]. - The fair value of public equity securities was $4.376 million as of September 30, 2025, compared to $4.065 million as of March 31, 2025[107]. - The investments in alternative assets decreased from $259.113 million to $211.324 million, primarily due to the disposition of certain limited partnership interests and downward adjustments of NAV[102]. - The company recognized nil credit-related losses on its investment in debt securities available-for-sale during the three months ended September 30, 2025[111].

Revenue and Income - For the three months ended September 30, 2025, real property rental revenue was $350,099, an increase of $4,940 or 1.4% compared to $345,159 for the same period in 2024[264]. - For the nine months ended September 30, 2025, real property rental revenue was $1,050,305, an increase of $62,671 or 6.3% compared to $987,634 for the same period in 2024[264]. - Real property operating income for the three months ended September 30, 2025 was $115,733, an increase of $16,102 or 16.2% compared to $99,631 for the same period in 2024[268]. - Real property operating income for the nine months ended September 30, 2025 was $284,472, an increase of $90,980 or 47.0% compared to $193,492 for the same period in 2024[268]. - For the nine months ended September 30, 2025, the company reported income from Lab Services MSO of $392,677, which included its share of net income and amortization of identifiable intangible assets[270]. Expenses and Losses - The company incurred a working capital deficit of approximately $11,515,000 at September 30, 2025, with recurring net losses of approximately $16,195,000 for the nine months ended September 30, 2025[253]. - The company generated negative cash flow from operating activities of approximately $4,389,000 for the nine months ended September 30, 2025[253]. - For the three months ended September 30, 2025, advertising and marketing expenses increased by $104,287, or 72.1%, compared to the same period in 2024, while for the nine months, the increase was $390,329, or 154.7%[273]. - Professional fees for the three months ended September 30, 2025, rose by $945,150, or 311.6%, primarily due to increased consulting and legal service fees related to a potential merger with YOOV Group[275]. - Compensation and related benefits decreased by $112,976, or 32.9%, for the three months ended September 30, 2025, and by $159,333, or 15.1%, for the nine months, mainly due to reduced compensation for the executive officer[275]. - Miscellaneous taxes increased by $31,600, or 263.3%, for the three months ended September 30, 2025, primarily due to an increase in Delaware state franchise tax[275]. - Loss from operations for the three months ended September 30, 2025, was $76,193, a decrease of $1,193,768, or 94.0%, compared to the same period in 2024[277]. - Net loss for the three months ended September 30, 2025, was $254,268, a decrease of $1,424,932, or 84.9%, compared to the same period in 2024[282]. - The net loss attributable to common shareholders for the nine months ended September 30, 2025, was $16,032,504, or $6.10 per share, representing an increase of $10,853,765, or 209.6%[284]. - Comprehensive loss for the three months ended September 30, 2025, was $253,997, compared to $1,676,157 for the same period in 2024[286]. Cash Flow and Capital - As of September 30, 2025, the company's cash balance was approximately $334,000, a decrease from $2,856,000 on December 31, 2024[288]. - The working capital deficit increased by $868,585 to $11,514,642 at September 30, 2025, compared to $10,646,057 at December 31, 2024, primarily due to a decrease in cash and increases in accrued liabilities[290]. - Net cash used in operating activities for the nine months ended September 30, 2025, was $4,388,557, reflecting a consolidated net loss of approximately $16,195,000[292]. - Net cash flow provided by investing activities was $752,635 for the nine months ended September 30, 2025, compared to a net cash flow used of $100,000 for the same period in 2024[295]. - Net cash flow provided by financing activities was $1,112,871 for the nine months ended September 30, 2025, down from $4,726,942 in the same period of 2024[296]. - The company expects cash used in operating activities to increase in the next 12 months due to new product development and increased marketing efforts[294]. - The company estimates that its available cash will be insufficient to meet its cash requirements under current operating expectations, necessitating significant additional capital[298]. Operational Changes and Future Outlook - The company suspended all research and development efforts related to cellular therapy to focus on product commercialization[251]. - The KetoAir breathalyzer device is registered with the U.S. FDA as a Class I medical device and is marketed for the diabetes and obesity markets[244][247]. - The company sold its 40% equity interest in Lab Services MSO on February 26, 2025, resulting in no income from this investment for the three months ended September 30, 2025[269]. - The company faces substantial doubt about its ability to continue as a going concern, dependent on raising additional capital and generating sufficient revenues[287]. - The unrealized foreign currency translation gain for the nine months ended September 30, 2025, was approximately $700, compared to $2,800 for the same period in 2024[299]. - The company has ceased all operations in China since 2022, limiting exposure to foreign currency exchange rate fluctuations[299]. - The increase in working capital requirements is attributed to financing current business operations and capital for acquisitions[301].