JUPITER WELLNESS(JUPW) - 2025 Q4 - Annual Report

Financial Performance - Bonk, Inc. reported a net loss of $68,185,762 for the year ended December 31, 2025, compared to a net loss of $49,409,632 in 2024, reflecting an increase in losses of approximately 37.9%[304] - The weighted average number of common shares outstanding increased from 1,555,463 in 2024 to 4,005,739 in 2025, impacting earnings per share calculations[304] - The company’s basic loss per share improved from $(31.77) in 2024 to $(17.02) in 2025, indicating a reduction in losses per share despite overall losses[304] - The net loss for 2025 was $68,185,762, compared to a net loss of $49,409,632 in 2024, reflecting a significant increase in losses[324] - The company recorded a deemed dividend of $863,400 in 2025 due to a cashless exercise of warrants resulting in the issuance of 951,067 common shares[325] - Total other income (expense) for 2025 included realized gains of $13,275,054 on marketable securities, but also significant unrealized losses totaling $35,372,217 on digital assets[321] - The company had no losses from discontinued operations in 2025, a notable improvement from a loss of $997,802 in 2024[323] - General and administrative expenses for 2025 were $35,725,558, down from $39,611,915 in 2024[316] Product Development and Strategy - The company has transitioned to focus on the Safety Shot Beverage, which is positioned as a dietary supplement and contains 28 active ingredients recognized as safe[283] - Bonk, Inc. plans to relaunch its Photocil product in the U.S. in Q4 2024 after receiving FDA approval, expanding its revenue streams[288] - Bonk, Inc. is actively pursuing a new product line, including a powdered stick pack version of the Safety Shot Beverage, to meet evolving consumer demands[285] - Bonk, Inc. emphasizes innovation and adaptability in its product development strategy, aiming to cater to health-conscious consumers[285] - The company is in commercialization mode while pursuing the development of next-generation products and new products[328] Sales and Revenue - Beverage sales increased to $2,117,309 in 2025 from $701,967 in 2024, driven by the acquisition of Yerbaé Brands and digital asset investments[317] - Bonk, Inc. generated revenue through various channels, including e-commerce sales of its products and licensing revenues, with no significant customer concentration risk[288] Operational Efficiency - The company incurred research and development expenses of $24,190 in 2025, a decrease from $100,591 in 2024[311] - Total operating expenses for 2025 were $40,676,508, slightly up from $39,611,915 in 2024[318] - Inflation has had a negligible effect on operations, with the company believing it can offset increases in operational costs through sales growth and improved efficiencies[327] Regulatory and Market Changes - The company has ceased marketing CBD products due to regulatory changes and declining popularity, seeking to divest related assets[290] - The company maintains a diverse supplier network for raw materials, ensuring high-quality production standards and a reliable supply chain[289]