0001493152-26-007352
SEC filingFor fiscal year 2025, the company reported a net loss of $29.0 million, driven by a loss from operations of $8.0 million and other expense, net of $21.0 million. Revenue was minimal at $85 thousand, while operating expenses included general and administrative costs of $7.6 million and stock-based compensation of $442 thousand. Significant non-operating items included a realized loss on sale of digital assets of $54.5 million, a change in fair value of digital assets of -$25.0 million, and favorable changes in fair value of conversion features totaling $58.7 million. The balance sheet shows total assets of $638.9 million, with digital assets comprising $441.8 million and cash, cash equivalents, and restricted cash totaling $194.9 million. Total liabilities were $218.7 million, primarily from convertible notes of $214.2 million, resulting in stockholders' equity of $420.2 million. Cash flow from operations was negative $7.5 million, while investing activities used $521.3 million mainly for digital asset purchases, and financing activities provided $723.7 million from debt and equity issuances.
For fiscal year 2025, the company reported a net loss of $29.0 million, which represents the bottom-line financial performance. This loss was composed of a loss from operations of $8.0 million and other expense, net of $21.0 million. Revenue was minimal at $85 thousand, indicating the company is not generating significant operating income. The loss from operations resulted from general and administrative expenses of $7.6 million and stock-based compensation of $442 thousand, offset slightly by the small revenue figure. Other expense included substantial items related to digital assets: a realized loss on sale of digital assets of $54.5 million and a change in fair value of digital assets of -$25.0 million. These were partially offset by favorable changes in fair value of conversion features: $56.3 million for preferred units and $2.4 million for convertible notes, plus a change in fair value of derivative securities of $106 thousand. Interest income was $260 thousand while interest expense was $534 thousand.
Revenue for fiscal year 2025 was $85 thousand. The document does not provide segment breakdown, geographic mix, or specific growth drivers for this revenue. No prior period revenue figures are provided for year-over-year comparison. The minimal revenue suggests the company's primary activities may not be revenue-generating operations but rather investment or holding activities, particularly in digital assets.
The company reported a loss from operations of $8.0 million on revenue of $85 thousand, resulting in negative operating profitability. Gross profit is not disclosed in the provided data, so gross margin cannot be calculated. Operating margin is negative due to the operating loss. The cost structure shows general and administrative expenses of $7.6 million as the primary operating cost, along with stock-based compensation of $442 thousand. The company's profitability was significantly impacted by non-operating items, particularly losses related to digital assets totaling $79.5 million (realized loss of $54.5 million plus fair value change of -$25.0 million), which were partially offset by gains from changes in fair value of conversion features.
Cash flow from operating activities was negative $7.5 million, primarily driven by the net loss of $29.0 million adjusted for non-cash items including changes in fair values and stock-based compensation. Cash used in investing activities was $521.3 million, mainly due to purchase of digital assets of $983.3 million partially offset by proceeds from sale of digital assets of $462.0 million. Cash provided by financing activities was $723.7 million, primarily from proceeds from Convertible Notes ($227.9 million net) and proceeds from sale of preferred units ($487.5 million net). The balance sheet shows total assets of $638.9 million, with digital assets comprising $441.8 million (69% of assets). Current assets total $197.0 million, including cash ($20.0 million), cash equivalents ($25.0 million), and restricted cash ($149.9 million). Total liabilities are $218.7 million, with Convertible Notes of $214.2 million as the major component. Stockholders' equity is $420.2 million, consisting of common stock ($85 thousand), additional paid-in capital ($451.9 million), treasury stock (-$2.8 million), and accumulated deficit (-$29.0 million).
The document does not provide management guidance, strategic priorities, or specific risk factors. No forward-looking statements or outlook information is included in the provided financial data. The filing presents historical financial results for fiscal year 2025 without discussion of future plans, projections, or expectations.