Fri, Sep 20, 9:30 PM (91 days ago)
SRAX, Inc. reported a net loss of $31,638,000 for the fiscal year ended December 31, 2022, compared to a loss of $41,227,000 in 2021, indicating a 23.26% improvement. Revenue increased by 4.31% to $27,859,000, driven primarily by growth in LD Micro conference revenues. Operating expenses decreased by 10.96% to $23,856,000, with significant reductions in general and administrative costs. The company holds a working capital deficit of $12,866,000 and an accumulated deficit of $61,993,000, raising substantial doubt about its ability to continue as a going concern. Strategically, SRAX divested its LD Micro subsidiary in March 2023, focusing on its Sequire SaaS platform, which has transitioned to accepting cash payments exclusively. The company faces risks including reliance on marketable securities for liquidity and the impact of regulatory compliance. Future outlook remains uncertain, hinging on successful capital raises and operational improvements. The company’s market position has shifted, with a delisting from Nasdaq, now trading on OTC Markets.