Duos Technologies (US:DUOT)2025-11-14 21:30Revenue Growth - Total revenue for Q3 2025 increased 112% to $6.9 million compared to $3.2 million in Q3 2024, driven by the Asset Management Agreement with New APR Energy[5] - Total revenue for the first nine months of 2025 increased 202% to $17.6 million from $5.8 million in the same period last year[12] - The company expects total revenue for 2025 to range between $28 million and $30 million, representing an increase of 285% to 312% from 2024[19] - Total revenues for the three months ended September 30, 2025, were $6,877,283, a significant increase from $3,238,910 in the same period of 2024, representing a growth of 113%[28] - The company reported $5,152,805 in revenues from services and consulting related parties for the three months ended September 30, 2025, with no comparable revenue in the same period of 2024[28] Profitability and Loss - Gross margin for Q3 2025 improved 174% to $2.5 million from $0.9 million in Q3 2024, primarily due to the performance under the AMA[7] - Net loss for Q3 2025 decreased by 26% to $1.04 million compared to a net loss of $1.4 million in Q3 2024, attributed to increased revenues from the AMA[10] - The gross margin for the nine months ended September 30, 2025, was $5,349,017, compared to $799,167 for the same period in 2024, indicating a substantial improvement in profitability[28] - The net loss for the three months ended September 30, 2025, was $1,040,254, a decrease from a net loss of $1,401,663 in the same period of 2024, reflecting a 26% improvement[28] - For the nine months ended September 30, 2025, the net loss was $6,637,948, an improvement from a net loss of $7,358,143 in the same period of 2024, representing a decrease of approximately 9.8%[34] - The basic and diluted net loss per share for the three months ended September 30, 2025, was $(0.06), an improvement from $(0.18) in the same period of 2024[28] Cash and Liquidity - Cash and cash equivalents at September 30, 2025, totaled $33.20 million, up from $6.27 million at December 31, 2024[11] - Cash and cash equivalents increased to $33,201,498 as of September 30, 2025, up from $6,266,296 at December 31, 2024, showing a significant liquidity improvement[30] - The company ended the period with cash of $33,201,498, compared to $646,113 at the end of the same period in 2024, marking an increase of approximately 5,128%[34] Operating Expenses - Operating expenses for Q3 2025 increased 28% to $3.6 million compared to $2.8 million in Q3 2024, largely due to non-cash stock-based compensation[8] - Operating expenses for the nine months ended September 30, 2025, totaled $11,695,308, compared to $8,696,909 for the same period in 2024, reflecting a 34% increase[28] - Depreciation and amortization expenses rose to $1,962,342 from $1,472,965, reflecting an increase of approximately 33.3%[34] - Stock-based compensation increased significantly to $3,103,309 from $281,405, representing an increase of approximately 1,103%[34] Assets and Liabilities - Total assets reached $69,794,280 as of September 30, 2025, compared to $34,958,677 at December 31, 2024, indicating a growth of 100%[30] - The company had total liabilities of $20,292,465 as of September 30, 2025, down from $32,697,346 at December 31, 2024, indicating a reduction of 38%[30] - The company reported a significant increase in contract liabilities, which rose to $6,462,375 from $0, indicating a new liability category[34] Investments and Financing - The company raised over $50 million to capitalize on growth in the data center market and retired all debt[3] - Cash flows from investing activities totaled $7,873,079, significantly higher than $1,555,544 in the previous year, reflecting an increase of approximately 406%[34] - Cash provided by financing activities was $45,840,224, a substantial increase from $5,959,962 in the same period last year, representing an increase of approximately 668%[34] - The company made substantial investments in property and equipment, totaling $7,813,557, compared to $1,547,439 in the previous year, an increase of approximately 405%[34] Future Outlook - The company anticipates potential increases in recurring revenue and improvements in gross margin as part of its future growth strategy[25] - The company has a contract backlog of approximately $25.8 million, with $12.4 million expected to be recognized in the remainder of 2025[18] - Duos Technologies announced the deployment of its sixth Edge Data Center, with nine additional data centers scheduled for Q4 2025[3]