Locust Valley, New York--(Newsfile Corp. - December 23, 2025) - Two Hands Corporation (CSE: TWOH) (OTCID: TWOH) ("Two Hands" or the "Company") is pleased to announce it has taken steps to improve its balance sheet by eliminating external debt in the amount of US$2,352,304 by the issuance of 724,257,560 common shares of Two Hands. This debt elimination completes the total extinguishment of all legacy debt existing since the change of control of the Company on December 30, 2024.Emil Assentato, CEO of Two Han ...

Core Insights - The company is optimistic about its future, particularly looking forward to 2026, which marks its centennial year [2] - Significant progress has been made in improving the balance sheet post-COVID, with a focus on reducing debt levels [2] Financial Performance - The company had peak debt levels of $54 billion during COVID and has successfully reduced this by $15 billion ahead of its target, achieving this reduction by 2024 [2] - A new target has been set to lower total debt below $35 billion by the end of 2027, with ongoing progress being made towards this goal [2] Operational Efficiency - The company is recognized as a leader in cost efficiency, implementing a transformation initiative referred to as "reengineering the business" [2]

Financial Data and Key Metrics Changes - In Q3 2025, the company reported a 26% year-over-year increase in sales, reaching $16 million, with gross margin expanding by over 700 basis points to nearly 30% [5][19] - Adjusted EBITDA improved to negative $2.1 million from negative $5.5 million, reflecting strength in the OEM segment and gross margin expansion [19] - Net loss was $11.1 million compared to a net loss of $6.8 million, with net loss per share at $0.20 versus a loss of $0.98 per share [19] Business Line Data and Key Metrics Changes - OEM net sales increased by 44%, indicating strong adoption trends in the core RV market, while DTC sales slightly decreased to $5 million from $5.2 million due to macroeconomic headwinds [18][19] - The RV market partnerships expanded, with notable collaborations with Airstream, Awaken RV, and Ember RV, reinforcing the company's position in the premium RV segment [9][10][11] Market Data and Key Metrics Changes - The heavy-duty trucking market is showing traction, with pilot programs leading to production orders from large fleets, indicating a growing validation of the company's lithium power systems [12][13] - The company is gaining market share despite overall industry challenges, with a focus on deepening integration with existing partners and acquiring new manufacturers [11] Company Strategy and Development Direction - The company has successfully executed a comprehensive capital raising and debt restructuring, raising approximately $90 million and significantly improving liquidity and balance sheet strength [6][7] - The focus is now on allocating resources toward near-term revenue opportunities, strategic investments in proprietary technology, and expansion into adjacent markets [8] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving profitability as they continue executing growth initiatives, despite challenges such as a volatile tariff environment and macroeconomic uncertainty [20][21] - The outlook for Q4 2025 anticipates net sales of approximately $13 million, with adjusted EBITDA expected to be negative $3.3 million, reflecting a cautious approach due to low consumer sentiment and government shutdown impacts [20][21] Other Important Information - The company expanded its intellectual property portfolio with two newly granted U.S. patents, enhancing its technology platform and manufacturing capabilities [15][16] - A $300,000 grant from the Nevada Tech Hub supports modernization initiatives, expected to generate significant annual savings while enhancing efficiency [17] Q&A Session Summary Question: What segment is dragging down Q4 revenue guidance? - Management indicated that Q4 is typically the slowest quarter due to seasonality, with less visibility in the D2C segment impacted by macroeconomic conditions and government shutdowns [23][25][27] Question: What is the outlook for significant growth in 2026? - Management expressed confidence in 2026, expecting a return to normality and significant growth driven by the trucking business and new segments [28] Question: What is the current cash balance and share count? - The company reported approximately 125 million common shares and a pro forma cash balance of around $30 million after recent transactions [31] Question: How is early feedback from potential customers post-debt restructuring? - Management noted a positive shift in conversations with customers, focusing on product benefits and ROI rather than balance sheet concerns [41][42] Question: What are the growth areas being prioritized? - The company plans to invest in expanding its sales team and product development, particularly in the oil and gas market and trucking segment [34][35]

Core Viewpoint - Intel has shown signs of recovery with better-than-expected third-quarter results, although revenue growth remains weak, indicating low market expectations [2]. Financial Performance - Revenue increased by 3% to $13.7 billion, surpassing the consensus estimate of $13.14 billion [2]. - Adjusted gross margin improved significantly by 22 percentage points to 40%, driven by a favorable product mix, reduced inventory reserves, and increased revenue [3]. - Operating margin rose by 29 percentage points to 11.2%, aided by a reduction in research and development and general and administrative expenses from $4.8 billion to $3.9 billion [3]. - Adjusted earnings per share reached $0.23, a turnaround from a loss of $0.46 per share in the same quarter last year [3]. Strategic Changes - CEO Lip-Bu Tan has focused on strengthening the balance sheet, raising $12.9 billion through various stake sales, including to the federal government, Nvidia, and Softbank [4]. - The company repaid $4.3 billion in debt and added $20 billion in net assets since the beginning of the year, reflecting the success of these initiatives [4]. - Intel has undergone significant restructuring, including job cuts and management refreshment, to foster an engineering-first mindset [6]. Future Outlook - For the fourth quarter, Intel anticipates revenue between $12.8 billion and $13.8 billion, representing a 3% sequential decline and a 6.3% year-over-year decline [7]. - Despite efforts to streamline operations, Intel continues to face growth challenges compared to competitors like Nvidia, AMD, and Arm, which are capitalizing on the AI boom [7].

Core Viewpoint - Enthusiast Gaming has completed the sale of its Direct Sales Business Line to Vertiqal Studios Corp, marking a strategic shift towards focusing on core strengths and growth opportunities in the gaming sector [1][2]. Transaction Details - The transaction closed on August 30, 2025, with Vertiqal Studios acquiring the Direct Sales Business Line, including Omnia Media Inc. and GameCo Esports Canada Inc., for cash consideration of C$900,000 [1][2]. - VSC will assume all existing liabilities of the Direct Sales Business Line, which had a net liability position of approximately US$2.6 million as of June 30, 2025 [2]. Financial Impact - The transaction is expected to yield approximately C$10 million in annual cost savings, leading to significant improvements in Adjusted EBITDA and over C$4.5 million in balance sheet enhancement [3]. Strategic Focus - Post-transaction, the company aims to operate and expand its profitable digital asset portfolio, which includes notable gaming properties and a global B2B event series [4][5]. - The company is committed to building tools and platforms that enhance gaming experiences and is focused on expanding its intellectual property and audience engagement [2][5].

Financial Data and Key Metrics Changes - Core FFO improved by approximately $4.5 million from the prior quarter due to higher NOI, lower interest expense, and lower preferred dividends [11] - Net operating income (NOI) increased by $1.6 million from the third quarter, primarily driven by the Hotel Segment which increased by $1.1 million [11] - FFO was negative $8.7 million or negative $0.93 per diluted share compared to negative $9.9 million or negative $4.07 per diluted share in the prior year [27] - Core FFO was negative $7 million or negative $0.75 per diluted share compared to negative $8.4 million or negative $3.46 per diluted share in the prior year [27] Business Line Data and Key Metrics Changes - Hotel operations experienced a decrease in NOI of approximately $828,000, resulting in $2.1 million for Q4 2024 compared to $2.9 million in the prior year [26] - Multifamily segment reported NOI of approximately $855,000 during Q4 2024, down from approximately $1.1 million in the prior year [25] - Office segment NOI for Q4 2024 was $5.2 million versus $5.4 million during Q4 2023, driven by a decrease in rental revenue at the Oakland property [24] Market Data and Key Metrics Changes - Total occupancy in the multifamily segment declined about 220 basis points from the prior quarter but increased 240 basis points year-over-year [17] - Office lease percentage was 71% at the end of Q4, and 82% when excluding one office building in Oakland [20] Company Strategy and Development Direction - Company remains focused on improving balance sheet and liquidity, growing multifamily portfolio, and reducing traditional office assets [7] - Significant progress made in reducing corporate debt, with the balance on the credit facility down to $15 million from $169 million [9] - Company is evaluating asset sales to strengthen balance sheet and improve liquidity [11] Management's Comments on Operating Environment and Future Outlook - Management acknowledged challenges in financing office properties but expressed optimism about progress made in refinancing and reducing debt [9] - Leasing activity has been steadily picking up, particularly in L.A. and Austin assets, despite work-from-home trends impacting occupancy [21] Other Important Information - Company is seeking shareholder approval for a 1 for 25 reverse stock split to improve stock price following recent preferred common redemptions [28] - Renovation projects are underway, including a $21 million room renovation at the Sheraton Grand Hotel [14] Q&A Session Summary - No questions were raised during the Q&A session [29]