Fri, May 23, 2:07 PM (24 days ago)
**Seafarer Exploration Corp. (SFRC) Q1 2025 Financial Summary** **Financial Health & Performance:** - **Revenue:** $0 for Q1 2025, down from $3,170 in Q1 2024. - **Net Loss:** $731,401 for Q1 2025, a 44% decrease from $1,312,070 in Q1 2024. - **Operating Expenses:** $655,691 for Q1 2025, a 40% decrease from $1,101,336 in Q1 2024. - **Cash Flow:** Net cash used in operations was $593,162 for Q1 2025, down from $833,832 in Q1 2024. **Profit Margins & Cash Flow:** - **Gross Margin:** Not applicable due to zero revenue. - **Operating Margin:** -100% for Q1 2025. - **Cash Flow from Operations:** Negative $593,162 for Q1 2025. **Earnings Changes & Trends:** - **Earnings per Share (EPS):** $(0.00) for Q1 2025, unchanged from Q1 2024. - **Trends:** Continued losses and negative cash flow, with a decrease in operating expenses. **Uncertainties & Future Operations:** - **Going Concern:** Significant doubt about the ability to continue as a going concern due to working capital deficit and stockholders' deficit. - **Debt:** Several notes payable and convertible notes in default, risking asset foreclosure. - **Funding:** Immediate need for further working capital, seeking financing options. - **Revenue:** No significant revenue expected in the foreseeable future. **Impact on Future Operations:** - **Liquidity:** High risk of ceasing operations due to lack of liquidity and access to cash. - **Dilution:** Potential dilution of shares due to convertible notes and future financing. - **Legal:** Ongoing legal proceedings may impact financial stability. **Management's Discussion:** - **Strategy:** Focus on raising capital and managing expenses. - **Risks:** High dependence on external financing, lack of revenue, and operational challenges. **Segment Information:** - **Blockchain LogisTech, LLC:** No revenue or expenses reported for Q1 2025. - **Seafarer Exploration Corp.:** All revenue and expenses attributed to this segment. **Legal & Risk Factors:** - **Legal Proceedings:** Ongoing lawsuits may impact financial stability. - **Risk Factors:** High risk of business failure due to lack of revenue and cash flow. **Controls & Procedures:** - **Internal Controls:** Ineffective due to limited resources and lack of segregation of duties. - **Remediation:** Plans to improve internal controls upon obtaining sufficient capital. **Conclusion:** Seafarer Exploration Corp. faces significant financial challenges, including a lack of revenue, negative cash flow, and substantial debt. The company is at risk of ceasing operations if it cannot secure additional financing. Management is focused on raising capital and managing expenses, but the outlook remains uncertain.