Thu, May 15, 1:57 PM (39 days ago)
**Cavitation Technologies, Inc. (CTI) Q1 2025 Financial Summary** **Company Overview:** Cavitation Technologies, Inc. (CTI) is a Nevada-based company focused on environmentally friendly technology systems for various industries, including vegetable oil refining, renewable fuels, water treatment, and biodiesel production. The company's core technology is the Nano Reactor®, used in the Nano Neutralization® System. **Financial Performance (Q1 2025 vs. Q1 2024):** - **Revenue:** Decreased by 76.5% to $122,000 due to the patent assignment to Desmet, which terminated the Technology License Agreement (TLA) with Desmet. - **Gross Profit:** Dropped by 81.1% to $97,000 due to the significant decrease in revenue. - **Operating Expenses:** Increased by 81.6% to $325,000, driven by higher general and administrative expenses (up 66.5% to $283,000) and research and development expenses (up 366.7% to $42,000). - **Net Income (Loss):** Reported a loss of $230,000, compared to a net income of $331,000 in Q1 2024. **Nine Months Ended March 31, 2025:** - **Revenue:** Decreased by 72.2% to $198,000. - **Gross Profit:** Dropped by 76.1% to $160,000. - **Operating Expenses:** Increased by 51.9% to $913,000. - **Net Income:** Reported a net income of $122,000, compared to $64,000 in the previous year, primarily due to a $880,000 gain on patent assignment. **Cash Flow:** - **Operating Activities:** Used $624,000 in cash for the nine months ended March 31, 2025, compared to generating $165,000 in the previous year. - **Investing Activities:** Provided $880,000 from the patent assignment to Desmet. - **Financing Activities:** Used $3,000 for note repayment. **Liquidity and Capital Resources:** - **Cash Position:** $432,000 as of March 31, 2025. - **Going Concern:** The company faces substantial doubt about its ability to continue as a going concern, with an accumulated deficit of $26,725,000. **Future Operations and Uncertainties:** - **Strategic Focus:** CTI plans to increase revenues by leveraging its Reserved Grant Back License in water treatment, agriculture, and alcoholic beverages. - **Funding:** The company may seek additional debt or equity financing to sustain operations and meet future obligations. - **Market Risks:** Inflation, geopolitical conflicts, and supply chain disruptions pose risks to the company's operations and financial performance. **Ticker:** CTI is not listed on any exchange, and there is no trading symbol provided.