0001493152-26-012625
SEC filingNutra Pharma Corp. (NPHC), a biotechnology firm specializing in over-the-counter pain relief products like Cobroxin, Nyloxin, and others, posted net income of $370K for Q2 2025 (three months ended June 30, 2025), reversing a $367K net loss from Q2 2024. The swing was fueled by a $705K gain on change in fair value of convertible notes and derivatives and $54K net gain on debt settlement, outweighing a $291K operating loss. Revenue totaled $123K ($85K net sales + $38K related party), up 39% YoY from $88K ($52K net sales + $37K related party), with related party Avini Health comprising 31%. Gross profit was $76K after $47K cost of sales. Operating expenses of $366K were driven by selling, general, and administrative costs. Balance sheet reflects total assets $859K (cash $79K), but total liabilities $16.7M including $9.3M current other debt net of discount, $2.1M accrued expenses, and $1.7M accrued payroll to officers, yielding stockholders' deficit of -$15.8M. For six months, cash used in operations was $693K, investing $51K, with financing providing $787K mainly from $810K convertible notes proceeds and $290K officer loans, netting $43K cash increase to $79K. Going concern doubt persists due to accumulated deficit -$77.3M, defaulted debt, and reliance on financing amid OTC Expert Market status limiting equity raises. Forward significance hinges on boosting sales and securing notes payable until self-sustaining.
Nutra Pharma Corp. reported net income of $370K for the three months ended June 30, 2025, compared to a $367K net loss in Q2 2024, per financial statements. Key driver was $705K change in fair value of convertible notes and derivatives, plus $9K other income and $54K debt settlement gain, against $101K interest expense and $291K operating loss. Revenue rose to $123K ($85K net sales + $38K related party) from $88K YoY. Gross profit $76K after $47K cost of sales. SG&A expenses $366K led to operating loss widening slightly from -$219K YoY. For six months, net loss $1.0M vs. $794K prior. Balance sheet: assets $859K (up from $599K Dec 2024), cash $79K (up $43K). Liabilities $16.7M (up from $15.4M), deficit -$15.8M (worsened from -$14.8M). Accumulated deficit -$77.3M.
Revenue for three months $122K ($84.5K net sales + $37.6K related party), up 38% from $88K Q2 2024. Related party Avini Health 31% of total (down from 42% YoY), as Avini shifted to self-manufacturing; company benefits from shared facility. Six months revenue $233K ($159K + $74K related) vs. $161K prior, +44%. Concentration risk: 69% accounts receivable from one payment processor. No geographic breakdown disclosed. Sales from OTC products like Equine Pain-Away, Luxury Feet. Research services with StemSation terminated March 2025 after $50K income.
Gross margin ~62% ($76K gross / $123K revenue), stable vs. 62% prior year despite reserve changes. Operating margin -342% on high SG&A $366K (up from $274K YoY), reflecting consulting, payroll. Non-operating items swung to $660K net gain from -$148K loss YoY, via fair value changes. No taxes. Profitability challenged by debt costs, defaults; stock-based comp $2K. Per share $0.00 basic/diluted (7.74B shares basic, 37.73B diluted).
Six months cash flows: operating -$693K (net loss $370K three mo but six mo adjustments incl. $705K fair value add-back, working capital changes like +$102K prepaid increase). Investing -$51K (PPE $26K, notes advances $25K). Financing +$787K (notes proceeds $810K, officer loans net +$145K, repayments). Net cash +$43K to $79K. Balance sheet strained: current assets $665K (inventory $16K current, receivables $129K other +$53K Stemsation +$160K settlement), current liab $16.6M ($9.3M debt, $2.1M accrued, $1.7M officer payroll, $925K derivatives). SBA notes $149K. Working capital deficit $15.9M. Debt mostly defaulted, negotiations ongoing.
Management highlights going concern risks from losses, $77.3M deficit, defaulted debt, insufficient cash for 12 months. Plans: notes payable for liquidity until sales fund ops; OTC Expert Market limits equity. Products expansion noted but no quantitative guidance. Risks: litigation (SEC settled $680K accrued, CSA settled $125K), related party reliance (31% sales), supplier reserves $406K fully reserved, lease ends Dec 2025. Recent financing: Q2 convertible notes $810K proceeds. Subsequent: more notes, settlements.