Mon, Jun 23, 8:59 PM (20 days ago)
**Summary of Data443 Risk Mitigation, Inc. (DTAA) Q1 2025 Financial Performance** **Financial Health and Performance:** - **Revenue:** $1.17M (Q1 2025) vs. $1.51M (Q1 2024), a 23% decrease. - **Gross Profit:** $793.44K (68% margin) vs. $898.10K (59% margin). - **Net Loss:** $676.66K vs. $1.63M, a 58% improvement. - **Cash Flow:** Negative operating cash flow of $164.33K vs. positive $213.30K. - **Liquidity:** $17.65K cash vs. $168.21K, with significant liabilities ($17.19M). **Key Metrics and Trends:** - **Operating Expenses:** Decreased by 22% to $1.14M. - **Interest Expense:** Reduced by 69% to $331.29K. - **Stock-Based Compensation:** Increased to $356.72K. - **Convertible Notes:** Multiple notes in default, with high interest rates and repayment obligations. **Uncertainties and Future Operations:** - **Going Concern:** Significant doubt due to negative working capital and accumulated deficit. - **Financing Needs:** Requires additional capital to continue operations. - **Acquisitions:** Recent acquisition of Cyren assets to enhance product portfolio. - **Market Position:** Focus on data security and privacy solutions amid increasing cybersecurity threats. **Conclusion:** Data443 faces financial challenges but shows signs of cost management and strategic acquisitions. However, liquidity issues and high liabilities pose risks to future operations. Investors should monitor financing efforts and operational improvements.