Defense Technologies (DTII) Q1 2025 Earnings Report

DTII reported a subdued QQ1 2025 performance with meaningful profitability deterioration and acute liquidity stress. The company posted an operating loss of approximately $163.5k and a net loss of about $461.2k for the quarter, with earnings per share of roughly -$0.0513 (GAAP) and diluted EPS of -$0.0256. Revenue for the period is not disclosed in the provided data, limiting top-line assessment, but the quarter’s cash flow and balance sheet signal substantial cash burn and leverage risk.

The balance sheet is constrained: total assets of $8,106 versus total liabilities of $2.13 million, resulting in negative stockholders’ equity of about -$1.80 million. Cash and cash equivalents stood at $507, with near-term liquidity strained by a minuscule cash balance relative to roughly $2.13 million in current liabilities and a short-term debt burden of $498,874. Operational cash flow was negative at about -$39.4k, and free cash flow mirrors this burn. The company also carries sizable non-cash charges (notably a depreciation/amortization impact of -$296,834 in the quarter) which weigh on reported EBITDA and operating metrics.

From a relative-valuation and operating-efficiency standpoint, the QQ1 2025 results reflect a high-risk profile typical of a micro-cap with limited revenue visibility and a capital-structure that relies on ongoing financing to sustain operations. Management commentary (where available) is not included in the provided data, so the assessment focuses on the reported numbers and the balance-sheet/flow dynamics. Investors should monitor liquidity remediation progress, any disclosed revenue contracts or backlog development, and potential equity or debt financing outcomes before re-rating the stock.