Revenue Performance: Q1 2025 revenue stood at $6.41 million, down 11.74% QoQ and 0.45% YoY.
Gross Profit: Deteriorated significantly to $39,000 (gross profit margin of 0.61%), down from $998,000 in Q1 2024, demonstrating negative impacts from increased costs and operational inefficiencies.
Net Income: An alarming net loss of $1.66 million led to an EPS of -$0.26. Throughout the call, management highlighted that strategic changes were needed to combat this decline.
Cash Flow: Operating cash flow was a concerning -$2.16 million, emphasizing difficulties in liquidity and working capital management.
Balance Sheet Strength: With total liabilities of $10 million and total assets of $19.02 million, the company has a debt-to-equity ratio of 0.39, providing a moderate leverage position but highlighting potential financial strain.