Wed, May 14, 7:48 PM (29 days ago)
**CalEthos, Inc. (Ticker: Not Provided)** **Q1 2025 Financial Summary** CalEthos, Inc. reported a net loss of $241,000 for Q1 2025, compared to a significant loss of $7,014,000 in Q1 2024. The company had no revenue for both periods. Operating expenses decreased by 24.7% to $220,000, primarily due to reductions in professional fees and equity-based compensation. However, payroll and related expenses increased by 326.3% to $81,000. The company's working capital deficit widened to $521,000, driven by a decrease in cash and cash equivalents and an increase in accounts payable. **Key Financial Metrics:** - **Revenue:** $0 (Q1 2025), $0 (Q1 2024) - **Net Loss:** $241,000 (Q1 2025), $7,014,000 (Q1 2024) - **Operating Expenses:** $220,000 (Q1 2025), $292,000 (Q1 2024) - **Cash Flow from Operations:** -$145,000 (Q1 2025), -$212,000 (Q1 2024) - **Cash Flow from Investing:** -$278,000 (Q1 2025), -$286,000 (Q1 2024) - **Cash Flow from Financing:** $215,000 (Q1 2025), $1,000,000 (Q1 2024) - **Cash and Cash Equivalents:** $78,000 (Q1 2025), $809,000 (Q1 2024) **Quarterly Performance Discussion:** CalEthos is in the early stages of developing a geothermal-powered data center campus. The company has completed Phase I and entered Phase II of its development plan, focusing on acquiring and developing land for data center operations. Despite the significant reduction in net loss, the company continues to face substantial financial challenges, including a widening working capital deficit and the need for additional financing to support its growth and operational goals. **Trends and Uncertainties:** The company's ability to secure additional financing is crucial for its future operations and growth. CalEthos faces uncertainties related to market demand, regulatory approvals, and the successful execution of its business plan. The company's management acknowledges the risks associated with its stage of development and the need for substantial financing to achieve its goals. **Future Operations Impact:** CalEthos plans to raise funds through the issuance of common stock, preferred stock, and/or debt securities. The company is in discussions with potential funding sources but acknowledges the uncertainty of securing financing on acceptable terms. The failure to obtain necessary capital could force the company to delay, limit, reduce, or terminate its development plans and commercialization efforts.