Thumzup Media Corporation(TZUP) - 2025 Q3 - Quarterly Report

Revenue Performance - Revenues for the three months ended September 30, 2025, increased to $385 from $150 in 2024, representing a growth of 156.67%[152] - For the nine months ended September 30, 2025, revenues decreased to $551 from $585 in 2024, a decline of 5.81%[157] Operating Expenses - Operating expenses surged to $10,595,334 in Q3 2025 from $442,847 in Q3 2024, marking an increase of 2,292.55%[154] - Operating expenses for the nine months ended September 30, 2025, rose to $13,990,290 from $1,300,292 in 2024, an increase of 975.93%[159] Net Loss - Net loss attributable to common stockholders for Q3 2025 was $10,452,579, compared to $464,837 in Q3 2024, an increase of 2,148.55%[156] - Net loss attributable to common stockholders for the nine months ended September 30, 2025, was $13,800,895, compared to $1,346,269 in 2024, an increase of 925.12%[162] Cash Position - As of September 30, 2025, the company had cash of $44,080,451, significantly up from $4,680,840 as of December 31, 2024[162] - Net cash used in operating activities for the nine months ended September 30, 2025, was $4,959,872, compared to $1,053,175 in 2024[164] - The company invested $6,761,950 in net cash used in investing activities for the nine months ended September 30, 2025, compared to $177,017 in 2024[165] Financing Activities - The Company raised $805,000 in a Series B Preferred offering, with each share costing $50 and convertible into 10 shares of common stock[174] - The Series B Preferred pays a quarterly dividend of 10%, amounting to $1.25 per share[178] - Upon up-listing to Nasdaq, the conversion price for Series B Preferred was set at $4.00 per share, eliminating downside price protections[176] - The Series C Preferred Stock was designated with 200,000 shares at a stated value of $60.00 each, convertible into 10 shares of common stock[182] - The Company sold 108,333 shares of Series C Preferred Stock for gross proceeds of approximately $6.5 million, netting about $6.04 million after fees[186] - The August 2025 Offering raised approximately $50 million from the sale of 5,000,000 shares of common stock[189] - The Company incurred a 7% cash fee and a 1% fee for non-accountable expenses related to the August 2025 Offering[190] Risks and Uncertainties - The Company is subject to risks from geopolitical conflicts and market volatility, which could adversely impact operations[196] - The Company has no assurance of obtaining additional financing if future operational funds are insufficient[193] Accumulated Deficit - The accumulated deficit increased to $(23,492,603) as of September 30, 2025, from $(9,691,708) as of December 31, 2024[163] Loan Agreements - The Company entered into a Master Loan Agreement with Coinbase for loans of digital assets or cash, with terms to be mutually agreed upon[191]