Zefiro Methane Corp. Announces Record Quarterly Earnings with Revenue of USD $12.1 Million

Core Insights - Zefiro Methane Corp. reported record quarterly earnings with revenue of approximately USD $12.1 million for the first quarter of fiscal 2026, marking a ~21% increase compared to the previous record [6][7] - The company has successfully reduced net operating expenses by approximately USD $1.25 million year-over-year, contributing to positive net income and free cash flow [6][7] - Zefiro's strategic focus on revenue-generating business lines and cost-cutting measures have strengthened its financial foundation, positioning the company for sustained profitability and growth [4][8] Financial Performance - Revenue for the three months ended September 30, 2025, was USD $12,138,548, compared to USD $10,006,487 for the same period in 2024 [11] - Gross profit increased to USD $4,934,630 from USD $3,262,158 year-over-year [11] - Total operating expenses decreased to USD $3,123,854 from USD $4,379,125, resulting in a net income of USD $665,401 compared to a loss of USD $1,665,403 in the prior year [11] Operational Highlights - Zefiro has been awarded a second federally funded project in Ohio, involving 37 orphan wells, expected to begin operations in November 2025 [8] - The company secured a two-year well retirement contract with a top-tier industry operator, expanding its partnerships [8] - Zefiro completed its first publicly announced sale of carbon offsets, delivering 92,956 metric tons of CO₂ reductions, indicating growing demand for its emissions reduction services [8] Debt Management - The company has demonstrated financial discipline by repaying and retiring promissory notes totaling USD $450,000, further reducing its debt obligations [9][10] - As of September 30, 2025, Zefiro's cash balance increased to USD $659,132 from USD $52,603, reflecting improved liquidity [11] Future Outlook - Preliminary results for October 2025 indicate one of the highest revenue months in the company's history, suggesting continued demand for its services [13] - Zefiro plans to prioritize future free cash flow towards reducing outstanding debt and enhancing financial flexibility for growth initiatives [13]