Tue, Sep 3, 1:31 PM (133 days ago)
Lottery.com Inc. reported significant financial challenges for Q2 2024, marked by a 61% decline in revenue to $257,000 compared to $655,000 in Q2 2023, driven primarily by a downturn in its domestic lottery business. The company recorded a net loss of $5.97 million, a 40% increase from the previous year's loss, exacerbated by rising operating expenses which surged 22% due to higher personnel and professional fees. As of June 30, 2024, total assets decreased to $62.09 million, down from $64.38 million at year-end 2023, with cash reserves plummeting to $27,952 from $359,826. Current liabilities rose to $29.4 million, indicating liquidity pressures. The company has been focusing on restructuring efforts post-Operational Cessation in July 2022, and plans to relaunch its B2C platform by fall 2024. However, uncertainties remain regarding its ability to secure additional capital for operations, raising concerns about its going concern status. Legal challenges, including class action lawsuits and an ongoing internal investigation, further complicate its financial landscape. The company's future operations hinge on successful fundraising and compliance with Nasdaq listing requirements.