Camber Energy(US:CEI)2025-05-12 10:06Acquisition and Mergers - Camber Energy acquired approximately 60.5% of Simson-Maxwell for $7,958,159, enhancing its custom energy solutions capabilities[21]. - The merger with Viking Energy Group, Inc. was completed on August 1, 2023, with Viking becoming a wholly-owned subsidiary of Camber, resulting in the issuance of approximately 49,290,152 shares of Camber Common Stock[41]. - The Company completed a merger with Viking Energy Group, Inc. on August 1, 2023, with Viking becoming a wholly-owned subsidiary of the company[325]. - Approximately 49,290,152 shares of Camber Common Stock were issued in connection with the merger, representing about 59.99% of the outstanding shares post-merger[332]. - The acquisition of a 51% interest in Viking Ozone was recorded at a total consideration of $2,495,868, with an intangible asset value of $4,916,057[418]. - Viking acquired a 51% ownership interest in Viking Sentinel for a total consideration of $233,334, issuing 416,667 shares of common stock to Virga[420]. - The acquisition strategy reflects Viking's focus on expanding its portfolio through strategic partnerships and technology integration[420]. Financial Performance - Total revenue for the year ended December 31, 2024, was $28.61 million, a decrease of 10.5% from $32.05 million in 2023[311]. - The net loss attributable to Camber Energy, Inc. for 2024 was $68.14 million, compared to a net loss of $18.16 million in 2023, representing a significant increase in losses[312]. - The company reported a loss per common share of $0.35 for 2024, compared to a loss per share of $0.25 in 2023, indicating a worsening financial position[312]. - The net loss for the year ended December 31, 2024, was $70,259,894, compared to a net loss of $18,535,067 for 2023, representing an increase of approximately 278%[314]. - The total comprehensive loss for 2024 was $70,145,996, compared to $18,358,204 in 2023, indicating a significant rise in losses year-over-year[314]. - The loss attributable to non-controlling interest increased to $2,117,901 in 2024 from $371,847 in 2023, marking a growth of approximately 469%[314]. - The accumulated deficit for Camber Energy, Inc. reached $208,492,886 as of December 31, 2024, compared to $140,350,893 in 2023, representing an increase of approximately 48%[320]. - The total stockholders' deficit at the end of 2024 was $258,136,858, compared to $136,863,364 at the end of 2023, indicating a significant increase of approximately 88%[320]. Revenue Breakdown - For the year ended December 31, 2024, Simson-Maxwell's revenue from power generation units was $11,990,463, a decrease of 11.1% from $13,488,525 in 2023[377]. - Parts revenue for Simson-Maxwell was $3,733,320 in 2024, down 27.5% from $5,143,068 in 2023[377]. - Total revenue from units and parts for Simson-Maxwell was $15,723,783 in 2024, a decline of 15.4% compared to $18,631,593 in 2023[377]. - Service and repairs revenue increased to $12,787,756 in 2024, up 3.3% from $12,380,706 in 2023[377]. - The total revenue for the Company in 2024 was $28,511,539, a decrease of 8.1% from $31,012,299 in 2023[377]. Assets and Liabilities - Current assets decreased to $13.68 million in 2024 from $19.65 million in 2023, primarily due to reductions in cash and accounts receivable[309]. - Total liabilities increased to $80.14 million in 2024 from $77.41 million in 2023, with current liabilities remaining relatively stable at approximately $31.34 million[309]. - Cash reserves significantly declined from $906,060 in 2023 to $114,648 in 2024, reflecting liquidity challenges[309]. - As of December 31, 2024, the Company had a stockholders' deficit of $37,819,657 and long-term debt of $40,483,795, alongside a working capital deficiency of $17,655,810[347]. Impairments and Adjustments - Goodwill and intangible assets were recorded at $0 and $19.4 million, respectively, as of December 31, 2024, with impairment charges of $34.86 million for goodwill and $2.25 million for intangible assets recognized during the year[301]. - The Company recorded a goodwill impairment charge of $34,860,411 for the year ended December 31, 2024, due to a significant decline in the market price of its common stock[406]. - The Company recognized an impairment charge of $698,011 related to Customer Relationships and $1,550,929 related to the Brand for the year ended December 31, 2024[416]. Operational Strategies and Future Outlook - The company is exploring energy-related opportunities that are currently generating revenue or have a reasonable prospect of doing so[20]. - The company plans to utilize the ESG Clean Energy System through existing distribution channels and for its own operations[26]. - The company is focused on integrating and realizing benefits from future acquisitions, which may impact its financial position[17]. - The company has indicated ongoing concerns regarding its ability to continue as a going concern due to recurring losses and net capital deficiency[295]. - The Company has raised substantial doubt regarding its ability to continue as a going concern, dependent on generating future profitable operations and obtaining necessary financing[348]. Clean Energy Initiatives - The ESG Clean Energy System aims to capture approximately 100% of CO2 emissions from internal combustion engines while maintaining efficiency[25]. - Camber Energy's clean energy and carbon-capture system has exclusivity in Canada and multiple locations in the United States[20]. - The company has multiple patents related to its clean energy technologies, with several pending applications[22][23][25]. - The company intends to utilize the ESG Clean Energy System for its own operations and to sell or lease it to third parties[338]. - The ESG Clean Energy License intangible asset had a carrying value of $3,958,897 as of December 31, 2024, after recognizing amortization expense of $309,540 for the year[414]. - The Company is obligated to make minimum continuing royalty payments to ESG, starting at $500,000 for the second year after the Trigger Date, potentially increasing to $3,250,000 in subsequent years[412].