Fri, Jun 13, 8:03 PM (10 days ago)
**Hammer Fiber Optics Holdings Corp. (OTCPK:HMMR) Q1 2025 Financial Summary** **Financial Health & Performance:** - **Revenue:** No revenue generated from continuing operations for Q1 2025. - **Profit Margins:** Operating loss of $381,875 (Q1 2025) vs. $425,549 (Q1 2024), a 10.26% decrease. - **Cash Flow:** Positive cash flow from operating activities of $921,333 (Q1 2025) due to net income from discontinued operations and amortization expense. - **Earnings Changes:** Net loss from continuing operations was $386,010 (Q1 2025) vs. $640,660 (Q1 2024). - **Working Capital:** Negative working capital of $3,305,822 (Q1 2025) vs. $3,791,880 (Q1 2024). **Trends & Uncertainties:** - **Divestitures:** Completed the sale of telecommunications assets to Viper Networks, receiving 2,500,000 shares of common stock. - **Going Concern:** Substantial doubt about the ability to continue as a going concern due to consistent losses and working capital deficiency. - **Future Operations:** Plans to focus on fintech initiatives, particularly the HammerPay mobile payments platform. **Impact on Future Operations:** - **Funding:** Continued reliance on equity sales and debt financing to sustain operations. - **Dilution:** Potential dilution to existing shareholders due to additional equity sales. - **Market Risks:** As a smaller reporting company, not required to provide detailed market risk disclosures. **Key Metrics (in thousands):** - **Cash & Cash Equivalents:** $26,704 (Q1 2025) vs. $0 (Q1 2024). - **Total Current Assets:** $32,064 (Q1 2025) vs. $206,266 (Q1 2024). - **Total Current Liabilities:** $3,337,886 (Q1 2025) vs. $3,998,146 (Q1 2024). - **Net Loss:** $386,010 (Q1 2025) vs. $672,765 (Q1 2024). **Conclusion:** Hammer Fiber Optics Holdings Corp. faces significant financial challenges, including consistent losses and a working capital deficiency. The company is focusing on fintech initiatives and will rely on additional funding to continue operations. The sale of telecommunications assets and the resulting decrease in current liabilities have improved working capital, but substantial doubt remains about the company's ability to continue as a going concern.