TruGolf(US:TRUG) GlobeNewswire News Roomยท2025-05-16 01:21Core Insights - TruGolf Holdings, Inc. reported a 7.5% increase in sales for Q1 2025, reaching $5.4 million compared to $5.0 million in Q1 2024, but net losses doubled to $2.6 million from $1.3 million in the previous year [1][2][3] - The company is focusing on new product introductions and addressing Nasdaq listing deficiencies, with a plan to reduce debt and increase shareholder equity [2][3] - Gross margin improved to 68.0% in Q1 2025 from 61.0% in Q1 2024, while operating expenses rose by 22.5% due to increased SG&A costs [2][3] Financial Performance - Revenue for Q1 2025 was $5,389,230, up from $5,012,022 in Q1 2024, with a gross profit of $3,663,031 compared to $3,052,999 in the prior year [9][10] - Loss from operations increased to $1,234,224 in Q1 2025 from $943,685 in Q1 2024, with total operating expenses rising to $4,897,255 from $3,996,684 [9][10] - Interest expense surged by $1.1 million due to the conversion of convertible notes, leading to a cash flow used in operations of approximately $0.5 million in Q1 2025, down from a generation of $2.7 million in Q1 2024 [3][11] Operational Developments - The company anticipates the opening of its first franchise locations within 90 days, along with the delivery of TruGolf hardware and software solutions [2] - Management is optimistic about the reception of new products expected to launch in the coming months [2] - Cash and cash equivalents increased to $12,615,820 by the end of Q1 2025, up from $10,882,077 at the beginning of the year [11]