TEN Holdings Inc(XHLD) - 2025 Q2 - Quarterly Report

FORM 10-Q Filing Information Details the filing type, registrant information, filer status, and common stock outstanding for the quarterly report - Filing Type: Quarterly Report (Form 10-Q) for the period ended June 30, 2025[2] - Registrant: TEN Holdings, Inc., incorporated in Nevada, trading symbol XHLD on The Nasdaq Stock Market LLC[2][3] Filer Status | Filer Status | Status | | :---------------------- | :----- | | Large accelerated filer | ☐ | | Accelerated filer | ☐ | | Non-accelerated filer | ☒ | | Smaller reporting company | ☒ | | Emerging growth company | ☒ | - Common Stock Outstanding (as of August 14, 2025): 35,178,787 shares[4] Part I - Financial Information Presents unaudited condensed consolidated financial statements and management's discussion and analysis, highlighting significant losses and going concern doubts - Total assets increased by 72.2% to $11,060 thousand at June 30, 2025, from $6,424 thousand at December 31, 2024, driven by increases in cash and related party advances[9] - The company reported a net loss of $(7,620) thousand for the six months ended June 30, 2025, a significant increase from $(826) thousand in the prior year, primarily due to higher operating expenses and other non-recurring expenses[11][149] - Stockholders' equity improved from a deficit of $(1,600) thousand to a positive $5,343 thousand, largely due to $8,900 thousand in IPO proceeds and $3,206 thousand from debt settlement via share issuance[9][13][94][97] - Net cash used in operating activities was $(7,577) thousand for the six months ended June 30, 2025, but financing activities provided $8,798 thousand, resulting in a net cash increase[16][161] - The company's recurring losses and negative operating cash flow raise substantial doubt about its ability to continue as a going concern[26] Item 1. Financial Statements Presents unaudited condensed consolidated financial statements, including balance sheets, income statements, cash flows, and notes, highlighting significant losses and going concern doubts Condensed Consolidated Balance Sheets Balance Sheet Item (in thousands) | Balance Sheet Item (in thousands) | June 30, 2025 (Unaudited) | December 31, 2024 (Audited) | Change ($) | Change (%) | | :-------------------------------------- | :------------------------ | :-------------------------- | :--------- | :--------- | | Cash and cash equivalents | $739 | $48 | $691 | 1439.6% | | Accounts receivable, net | $233 | $515 | $(282) | (54.8%) | | Advance - related party (current) | $2,102 | $- | $2,102 | N/A | | Total Current Assets | $3,334 | $1,787 | $1,547 | 86.6% | | Advance - non-current - related party | $2,893 | $- | $2,893 | N/A | | Intangible assets, net | $4,146 | $3,888 | $258 | 6.6% | | Total Non-current Assets | $7,726 | $4,637 | $3,089 | 66.6% | | Total Assets | $11,060 | $6,424 | $4,636 | 72.2% | | Short-term loans - related party | $3,670 | $5,617 | $(1,947) | (34.7%) | | Total Current Liabilities | $5,254 | $7,522 | $(2,268) | (30.1%) | | Total Liabilities | $5,717 | $8,024 | $(2,307) | (28.7%) | | Additional paid-in capital | $14,879 | $317 | $14,562 | 4593.7% | | Accumulated deficit | $(9,542) | $(1,922) | $(7,620) | 396.5% | | Total Stockholders' Equity (Deficit) | $5,343 | $(1,600) | $6,943 | 433.9% | Condensed Consolidated Statements of Operations Income Statement Item (in thousands) - Three Months Ended June 30 | Income Statement Item (in thousands) | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | YoY Change ($) | YoY Change (%) | | :----------------------------------------- | :------------------------------- | :------------------------------- | :------------- | :------------- | | Revenue | $1,116 | $1,023 | $93 | 9.1% | | Cost of revenue | $175 | $141 | $34 | 24.1% | | Gross profit | $941 | $882 | $59 | 6.7% | | Selling, General and Administrative Expenses | $2,153 | $1,243 | $910 | 73.2% | | Depreciation expenses | $148 | $13 | $135 | 1038.5% | | Total operating expenses | $2,301 | $1,256 | $1,045 | 83.2% | | Loss from operations | $(1,360) | $(374) | $(986) | 263.6% | | Other income (expenses), net | $(1,344) | $2 | $(1,346) | 67300.0% | | Interest expenses, net | $(80) | $(48) | $(32) | 66.7% | | Net Loss | $(2,784) | $(420) | $(2,364) | 562.9% | | Net loss per share, basic and diluted | $(0.13) | $(0.02) | $(0.11) | 550.0% | Income Statement Item (in thousands) - Six Months Ended June 30 | Income Statement Item (in thousands) | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | YoY Change ($) | YoY Change (%) | | :----------------------------------------- | :------------------------------- | :------------------------------- | :------------- | :------------- | | Revenue | $1,855 | $2,151 | $(296) | (13.8%) | | Cost of revenue | $361 | $425 | $(64) | (15.1%) | | Gross profit | $1,494 | $1,726 | $(232) | (13.4%) | | Selling, General and Administrative Expenses | $7,319 | $2,448 | $4,871 | 199.0% | | Depreciation expenses | $296 | $27 | $269 | 996.3% | | Total operating expenses | $7,615 | $2,475 | $5,140 | 207.7% | | Loss from operations | $(6,121) | $(749) | $(5,372) | 717.2% | | Other income (expenses), net | $(1,350) | $(3) | $(1,347) | 44900.0% | | Interest expenses | $(149) | $(74) | $(75) | 101.4% | | Net Loss | $(7,620) | $(826) | $(6,794) | 822.5% | | Net loss per share, basic and diluted | $(0.26) | $(0.03) | $(0.23) | 766.7% | Condensed Consolidated Statements of Changes in Stockholders' Equity Stockholders' Equity Item (in thousands) | Stockholders' Equity Item (in thousands) | December 31, 2024 | June 30, 2025 | Change ($) | | :--------------------------------------- | :---------------- | :------------ | :--------- | | Balance, beginning of period | $(1,600) | $(1,600) | N/A | | Issuance