Tue, Nov 19, 10:15 PM (242 days ago)
Victory Clean Energy, Inc. (ticker: VCEI) reported significant financial challenges for the quarter ending September 30, 2024. The company recorded no revenue for both the current and prior year periods. Total operating expenses surged to $7,008,727, primarily driven by consulting fees and personnel costs related to its recent merger with H2 Energy Group Inc., which completed on January 1, 2024. The net loss for the nine-month period reached $6,088,557, reflecting a substantial increase from $202,566 in the previous year. Cash flow from operations was negative at $(1,535,039), with total cash reduced to $19,196 from $240,654 at year-end 2023. The company’s liabilities stood at $1,553,115, leading to a stockholders' deficit of $(1,516,124). The merger has raised substantial doubt about the company's ability to continue as a going concern, as it faces ongoing operational losses and a working capital deficit of $(1,519,153). Future operations hinge on securing additional capital, including a $4 million investment from Flagstaff International, aimed at supporting expansion into renewable hydrogen production.