Guardforce AI(US:GFAI)2025-09-23 12:30Revenue and Profitability - Total revenue for the six months ended June 30, 2025, was $18,207,186, representing an increase of 3.6% compared to $17,566,844 for the same period in 2024[6] - Gross profit decreased to $2,954,963, down 8.8% from $3,239,750 in the prior year[6] - The revenue from the Secured Logistics segment was $17,060,535, up from $15,761,944 in 2024, indicating an increase of approximately 8.2%[47] - The company experienced an operating loss from continuing operations of $2,480,761 for the six months ended June 30, 2025, compared to a loss of $2,081,862 in 2024, reflecting a deterioration of about 19.2%[48] - The net loss attributable to equity holders of the company for the period was $2,236,077, compared to a loss of $1,847,594 in the previous year, representing an increase in loss of approximately 21%[48] Cash Flow and Financing - The company generated cash flows from operating activities resulting in a net cash used of $1,041,097 for the six months ended June 30, 2025, compared to $1,925,785 for the same period in 2024, reflecting a decrease in cash outflow of approximately 46%[14] - The company recorded a net cash generated from financing activities of $2,568,698 for the six months ended June 30, 2025, compared to a net cash used of $4,435,057 in the same period of 2024[14] - The company issued 2.6 million ordinary shares through the at-the-market offering, generating gross proceeds of $3.7 million during the six months ended June 30, 2025[20] - The company issued 2,554,886 Ordinary Shares during the six months ended June 30, 2025, raising gross proceeds of $3,742,326 at an average price of $1.46 per share[36] - The Company issued 2,086,913 Ordinary Shares for gross proceeds of $2,607,126 from July 1, 2025, to September 23, 2025, at an average price of $1.25 per share[54] Assets and Liabilities - Total assets increased to $47,508,660 as of June 30, 2025, up from $44,692,419 as of December 31, 2024, marking a growth of 4.1%[4] - Total liabilities rose to $13,284,096, an increase of 4.6% from $12,703,151 at the end of 2024[4] - Cash and cash equivalents increased to $23,452,268, up from $21,936,422, indicating a growth of 6.9%[4] - As of June 30, 2025, the company reported cash, cash equivalents, and restricted cash totaling $24,976,482, an increase from $23,396,802 as of December 31, 2024, representing a growth of approximately 6.7%[32] - Secured Logistics segment assets rose to $23,740,122 in June 2025, up from $21,448,136 in December 2024, reflecting an increase of about 10.7%[49] Expenses - Research and Development expenses significantly increased to $522,503, compared to $106,835 in the previous year, reflecting a rise of 388.5%[6] - The company reported depreciation and amortization expenses of $1,700,784 for the six months ended June 30, 2025, compared to $1,556,922 for the same period in 2024, representing an increase of approximately 9.2%[14] - Staff expenses decreased to $2,722,106 for the six months ended June 30, 2025, down from $3,180,497 in 2024, a reduction of about 14.4%[40] - The company incurred stock-based compensation expenses of $149,595 for the six months ended June 30, 2025, compared to $172,655 for the same period in 2024, indicating a decrease of approximately 13.3%[14] Comprehensive Loss - Net loss for the period was $2,227,122, compared to a net loss of $1,838,427 in the same period of 2024, reflecting an increase in losses of approximately 21.2%[9] - Total comprehensive loss for the period was $1,507,305, an improvement from a total comprehensive loss of $2,614,125 in the prior year[9] Shareholder Information - The number of shares used in the computation of loss per share increased to 19,996,747 from 9,991,600, indicating a significant increase in share count[6] - The company reported a basic and diluted loss per share of $0.11 for the six months ended June 30, 2025, compared to $0.18 for the same period in 2024[6] Legal and Regulatory Compliance - The legal reserve requirement of $223,500 was met as of June 30, 2025, in compliance with Thai regulations[41] - The company did not accrue any legal reserve for the six months ended June 30, 2025, under PRC laws[42] Other Information - The accumulated deficit as of June 30, 2025, was $66.4 million, reflecting the ongoing financial challenges faced by the company[20] - The company did not recognize any impairment loss related to intangible assets for the six months ended June 30, 2025[33] - There were no material subsequent events requiring disclosure or adjustment to the financial statements[53]