CULVER CITY, Calif., March 19, 2026 (GLOBE NEWSWIRE) -- Snail, Inc. (Nasdaq: SNAL) ("Snail Games" or the "Company"), a leading global independent developer and publisher of interactive digital entertainment, today announced financial results for the fourth quarter and full year ended December 31, 2025.
Fourth Quarter 2025 and Recent Operational Highlights
ARK Franchise Updates:
-- ARK: Survival Evolved ("ASE"):
-- Units sold were approximately 579,248 for the fourth quarter 2025
-- During the fourth quarter of 2025, average daily active users
("DAU") was 105,468 and peak DAU was 137,404
-- ARK: Survival Ascended ("ASA"):
-- Units sold were approximately 691,872 for the fourth quarter 2025
-- During the fourth quarter of 2025, average DAU was 91,123 and peak
DAU was 147,572
-- Launched ARK Lost Colony DLC
-- Launched 'ARK x Teenage Mutant Ninja Turtles' Cosmetic Pack in
collaboration with Look North World
-- ARK: Ultimate Mobile Edition ("ARK Mobile"):
-- Surpassed 10 million downloads as of December 31, 2025
-- During the fourth quarter of 2025, average DAU was 129,861
-- 2026 / 2027 ASA Content Roadmap
-- 2026
-- ARK World Creator (scheduled for May 2026)
-- ARK Bob's True Tales -- Tides of Fortune (scheduled for
June 2026)
-- ARK Genesis Part 1 (ASA remake)
-- ARK Survival of the Fittest ("SOTF")
-- ARK Dragontopia (scheduled for December 2026)
-- 2027
-- ARK Atlantis
-- ARK Bob's True Tales -- Galaxy Wars
-- ARK Legacy of Santiago
Game Portfolio Updates:
-- 2026 Games Developers Conference ("GDC")
-- Introduced PixARK Worlds, a new title in development that features
revolutionary user-generated content designed to expand the ARK
universe onto the Nintendo Switch 2
-- Revealed event-exclusive trailer for upcoming AAA title For The
Stars
-- Unveiled new indie title, Gobby Gang
-- Bellwright surpassed 1 million downloads on Steam Early Access, announced
console port plans to Xbox and PlayStation, and launched the Maiden
Voyage update. Following the launch of the update, the title achieved its
highest Steam concurrent user peak of the year and sold over 166,000
units in Q4 2025
-- Launched Echoes of Elysium on Steam Early Access in partnership with
Loric Games
-- Participated in the Steam Winter Sale, resulting in double digit sales
multiples for ASA and Bellwright
-- Launched Rebel Engine in partnership with Seven Leaf Clover. The title
demonstrated notable creator engagement, partnering with VTuber Hakos
Baelz and Spanish gaming creator Joseju
-- Announced strategic collaboration with Noiz at TwitchCon to strengthen
gaming portfolio visibility with streamers
Business Updates:
-- Minted the first official $USDO stablecoin during the Company's December
2025 Investor Day
-- Debuted Golden Poop, a commemorative digital meme collectible created to
humorously acknowledge gaming culture and industry satire
-- As of December 31, 2025, SaltyTV released 100+ short film dramas
-- Three of SaltyTV's titles were recognized by the International Short
Drama Association:
-- My Ex's Best Friend recognized for Best Revenge-Driven Narrative
-- Hollywood Heartthrob recognized for Most Charismatic Screen
Presence
-- Faux Fiancé recognized for Best Destiny-Bound Narrative
Management Commentary
"The fourth quarter provided strong visibility into the momentum we expect across the ARK franchise over the next two years. In addition to launching ARK: Lost Colony, ASA's first standalone DLC expansion pack, we introduced robust ASA content and DLC roadmap during our December Investor Day. The 2026 slate includes the ARK SOTF remake, ARK World Creator for consoles, ARK Bob's True Tales -- Tides of Fortune, the ASA remake of ARK Genesis Part 1, and ARK: Dragontopia. Since launching in October 2023, ASA has surpassed 4 million units sold, and our expanded roadmap reflects our commitment to sustained franchise growth and increased revenue visibility through 2027.
"Beyond ARK, we are continuing to invest, advance, and scale our broader game portfolio. We are particularly encouraged by the meaningful progress made across our developing AAA games; For The Stars, Nine Yin Sutra: Immortal, and Nine Yin Sutra: Wushu. AAA games are high-budget, high-profile projects that are designed to deliver expansive worlds, cutting-edge visuals, and robust marketing campaigns that far exceed those of typical indie releases. These games, while still in development, represent Snail's investment and expansion into other AAA games outside of ASE and ASA. These three games have represented a core pillar of our long-term investment strategy over the past few years. Being classified as an AAA game, we believe these titles offer substantial upside with an attractive profit margin profile compared to many of our other games. The progress made has been encouraging, and we are excited to continue developing and sharing updates. At the recent GDC event, we shared an event-exclusive trailer for For The Stars that provided some early insights into the gameplay and concept art.
"Across our other business units, we also made meaningful progress. We minted the first official $USDO stablecoin during the Investor Day and debuted the Golden Poop digital collectible coin. We are currently working towards a potential partnership opportunity tied to our stablecoin initiative and look forward to sharing additional information later this year. Within our short film vertical, SaltyTV has now released 100+ short film dramas, with three productions receiving recognition from the International Short Drama Association. Our Interactive Films division also expanded into narrative-driven game development in 2025, which we view as a strategic adjacency that builds on existing creative capabilities.
"We remain excited about our gaming pipeline for the next two years. ARK will continue to remain the foundational backbone of our company, while we also invest in and grow other arms of the business. Many of our projects are approaching the final stages of development, and we believe we are well-positioned to broaden our portfolio, diversify revenue streams, and drive long-term shareholder value."
Fourth Quarter 2025 Financial Highlights
Net revenues were $25.1 million compared to $26.2 million in the same period last year. The decrease was primarily due to a decrease in deferred revenues that were recognized in 2025 of $3.5 million, partially offset by increases in ARK sales of $1.3 million and an increase in Bellwright sales of $1.2 million.
Total units sold were 1.5 million units compared to 1.3 million units in the same period last year, primarily driven by an increase in sales of ASA of 0.2 million units, an increase in Bellwright sales of 0.1 million units, partially offset by a decrease in sales of ASE and our other titles of 0.1 million units.
Net loss was $(0.9) million compared to net income of $1.1 million in the same period last year, primarily due to a decrease in gross profit of $1.7 million and an increase in operating expenses of $2.8 million, partially offset by an increase in other income (expense) of $2.0 million and benefit from income taxes of $0.5 million.
Bookings were $20.8 million compared to $17.0 million in the same period last year. The increase was primarily due to a lower portion of sales deferred in 2025. Changes in deferred revenues decreased by $4.9 million while net revenue decreased $1.1 million.
EBITDA was $(1.3) million compared to $1.6 million in the same period last year. The decrease was primarily due to an increase in operating expenses of $2.8 million.
As of December 31, 2025, unrestricted cash was $8.6 million compared to $7.3 million as of December 31, 2024.
Full Year 2025 Financial Highlights
Net revenues were $81.2 million compared to $84.5 million in the same period last year. The decrease was primarily due to a decrease in recognition of deferred revenues of $15.5 million related to the ARK franchise, decrease in Bellwright and Myth of Empires sales of $1.5 million and $1.3 million respectively, partially offset by an increase in ASA sales of $11.3 million, ARK Mobile sales of $2.4 million, and revenue generated from the SaltyTV application of $0.8 million.
Total units sold increased 32.7% to 6.3 million units compared to 4.7 million units in the same period last year, primarily driven by an increase in ARK franchise units sold by 1.7 million units, partially offset by a slight decrease in Bellwright and West Hunt sales of 0.1 million units.
Net loss was $(27.2) million compared to net income of $1.8 million in the same period last year, primarily due to a non-cash tax expense related to the full valuation of our deferred tax assets of $10.1 million, increase in general and administrative expenses of $5.2 million, increase in research and development of $2.9 million, increase in advertising and marketing of $3.7 million, and impairment expenses of $1.5 million.
Bookings increased 16.2% to $87.8 million compared to $75.7 million in the same period last year. The increase was primarily due to the increased ASA sales driven by the launch of ARK: Lost Colony, ARK: Astraeos, and ASE's first sales event in June 2025 since the price drop in August 2023.
EBITDA was $(16.8) million compared to $3.2 million in the same period last year. The decrease was due to the increase in general and administrative expenses of $5.2 million, an increase in research and development of $2.9 million, an increase in advertising and marketing of $3.7 million and an additional $1.5 million in impairment expenses.
Use of Non-GAAP Financial Measures
In addition to the financial results determined in accordance with U.S. generally accepted accounting principles, or GAAP, Snail believes Bookings and EBITDA, as non-GAAP measures, are useful in evaluating its operating performance. Bookings and EBITDA are non-GAAP financial measures that are presented as supplemental disclosures and should not be construed as alternatives to net income (loss) or revenue as indicators of operating performance, nor as alternatives to cash flow provided by operating activities as measures of liquidity, both as determined in accordance with GAAP. Snail supplementally presents Bookings and EBITDA because they are key operating measures used by management to assess financial performance. Bookings adjusts for the impact of deferrals and, Snail believes, provides a useful indicator of sales in a given period. Management believes Bookings and EBITDA are useful to investors and analysts in highlighting trends in Snail's operating performance, while other measures can differ significantly depending on long-term strategic decisions regarding capital structure, the tax jurisdictions in which Snail operates and capital investments.
Bookings is defined as the net amount of products and services sold digitally or physically in the period. Bookings is equal to revenues, excluding the impact from deferrals. Below is a reconciliation of total net revenue to Bookings, the closest GAAP financial measure.
Three Months Ended Fiscal Year Ended
December 31, December 31,
---------------------- -----------------------
2025 2024 2025 2024
------------ ------ ----------- -------
(in millions) (in millions)
Total net
revenue $ 25.1 $ 26.2 $ 81.2 $ 84.5
Change in
deferred
net
revenue (4.3) (9.2) 6.6 (8.8)
--- ------- ----- ------- ------
Bookings $ 20.8 $ 17.0 $ 87.8 $ 75.7
=== ======= ===== ======= ======
We define EBITDA as net income (loss) before (i) interest expense, (ii) interest income, (iii) provision for (benefit from) income taxes and (iv) depreciation expense. The following table provides a reconciliation from net income (loss) to EBITDA:
Three Months Ended Fiscal Year Ended
December 31, December 31,
------------------- ---------------------
2025 2024 2025 2024
--------- ------ --------- ------
(in millions) (in millions)
Net income
(loss) $ (0.9) $ 1.1 $ (27.2) $ 1.8
Interest income
and interest
income --
related
parties (0.7) (0.1) (1.3) (0.3)
Interest expense 0.3 0.1 0.7 0.7
Provision for
(benefit from)
income taxes (0.1) 0.3 10.7 0.6
Depreciation
expense 0.1 0.2 0.3 0.4
--- ---- ----- ----- -----
EBITDA $ (1.3) $ 1.6 $ (16.8) $ 3.2
=== ==== ===== ===== =====
Webcast Details
The Company will host a webcast at 4:30 PM ET today to discuss its fourth quarter and full year 2025 financial and operational results. Participants may access the live webcast and replay via the link here or on the Company's investor relations website at https://investor.snail.com/.
Forward-Looking Statements
This press release contains statements that constitute forward-looking statements. Many of the forward-looking statements contained in this press release can be identified by the use of forward-looking words such as "anticipate," "believe," "could," "expect," "should," "plan," "intend, " "may," "predict," "continue," "estimate" and "potential," or the negative of these terms or other similar expressions. Forward-looking statements appear in a number of places in this press release and include, but are not limited to, statements regarding Snail's intent, belief or current expectations. These forward-looking statements include information about possible or assumed future results of Snail's business, financial condition, results of operations, liquidity, plans and objectives. The statements Snail makes regarding the following matters are forward-looking by their nature: Snail's 2026 / 2027 ASA content roadmap; plans to port Bellwright to the Xbox and Playstation consoles; Snail's announced strategic collaboration with Noiz and its potential to strengthen the visibility of Snail's gaming portfolio with streamers; the momentum Snail expects across the ARK franchise over the next two years and the visibility regarding the same provided by Snail's fourth quarter; Snail's expanded roadmap and commitment to sustained franchise growth and increased revenue visibility through 2027; Snail's continued investment, advancement, and scaling of its broader game portfolio; progress made across the development of AAA games; the intention for AAA games to deliver expansive worlds, cutting-edge visuals, and robust marketing campaigns that far exceed those of typical indie releases; Snail's investment and expansion into other AAA games outside of ASE and ASA and the potential for its existing AAA games to form a core pillar of its long-term investment strategy; For The Stars, Nine Yin Sutra: Immortal, and Nine Yin Sutra: Wushu offering substantial upside with an attractive profit margin profile compared to many of our other games; the occurrence and timing of a potential partnership opportunity tied to Snail's stablecoin initiative; Snail's interactive films division serving as a strategic adjacency and building on Snail's existing creative capabilities; ARK remaining the foundational backbone of Snail and its gaming pipeline; Snail investing in and growing other arms of its business; Snail's in-house projects are approaching the final stages of development; Snail being positioned to broaden its portfolio, diversify revenue streams, and drive long-term shareholder value;and assumptions underlying any of the foregoing.
Further information on risks, uncertainties and other factors that could affect Snail's financial results and business include Snail's ability to strengthen its gaming portfolio's visibility; its ability to expand and grow its franchise and increase its revenue; and the risks that are included in its filings with the Securities and Exchange Commission (the "SEC") from time to time, including its annual reports on Form 10-K and quarterly reports on Form 10-Q filed, or to be filed, with the SEC. You should not rely on these forward-looking statements, as actual outcomes and results may differ materially from those expressed or implied in the forward-looking statements as a result of such risks and uncertainties. All forward-looking statements in this press release are based on management's beliefs and assumptions and on information currently available to Snail, and Snail does not assume any obligation to update the forward-looking statements provided to reflect events that occur or circumstances that exist after the date on which they were made.
About Snail, Inc.
Snail, Inc. (Nasdaq: SNAL) is a leading, global independent developer and publisher of interactive digital entertainment for consumers around the world, with a premier portfolio of premium games designed for use on a variety of platforms, including consoles, PCs, and mobile devices. For more information, please visit: https://snail.com/.
Investor Contact:
John Yi and Steven Shinmachi
Gateway Group, Inc.
949-574-3860
SNAL@gateway-grp.com
Snail, Inc. and Subsidiaries
Consolidated Balance Sheets as of December 31, 2025
and 2024
December 31, 2025 December 31, 2024
------------------- -------------------
ASSETS
Current Assets:
Cash and cash
equivalents $ 8,568,164 $ 7,303,944
Restricted cash and
cash equivalents 187,000 --
Accounts receivable,
net of allowances for
credit losses of
$523,500 as of
December 31, 2025 and
2024 12,528,347 9,814,822
Accounts receivable --
related party -- 2,336,274
Loan and interest
receivable -- related
party 107,759 105,759
Prepaid expenses --
related party 2,700,474 2,521,291
Prepaid expenses and
other current assets 2,232,485 1,846,024
Prepaid taxes 4,734,007 7,318,424
--------------- ---------------
Total current assets 31,058,236 31,246,538
Restricted cash and cash
equivalents, net of
current portion 1,748,000 935,000
Accounts receivable --
related party, net of
current portion -- 1,500,592
Prepaid expenses --
related party, net of
current portion 8,282,974 9,378,594
Property and equipment,
net 4,146,175 4,378,352
Intangible assets, net 3,827,927 973,914
Intangible assets, net --
related party 4,916,667 --
Deferred income taxes -- 10,817,112
Other noncurrent assets,
net 604,793 1,683,932
Operating lease
right-of-use assets, net 4,722,366 1,279,330
--------------- ---------------
Total assets $ 59,307,138 $ 62,193,364
=============== ===============
LIABILITIES,
NONCONTROLLING INTERESTS
AND STOCKHOLDERS' EQUITY
(DEFICIT)
Current Liabilities:
Accounts payable $ 5,506,332 $ 4,656,367
Accounts payable --
related parties 20,067,013 15,383,171
Accrued expenses and
other liabilities 3,364,150 4,499,280
Interest payable --
related parties 527,770 527,770
Revolving loan -- 3,000,000
Convertible notes at
fair value 3,842,189 --
Current portion of
long-term debt 1,305,880 2,722,548
Current portion of
deferred revenue 14,799,840 3,947,559
Current portion of
operating lease
liabilities 393,448 1,444,385
--------------- ---------------
Total current liabilities 49,806,622 36,181,080
Accrued expenses 468,106 265,251
Revolving loan 5,000,000 --
Long-term debt, net of
current portion 4,292,538 --
Deferred revenue, net of
current portion 17,282,685 21,519,888
Operating lease
liabilities, net of
current portion 4,336,240 57,983
--------------- ---------------
Total liabilities 81,186,191 58,024,202
--------------- ---------------
Commitments and
contingencies
Stockholders' Equity
(Deficit):
Class A common stock,
$0.0001 par value,
500,000,000 shares
authorized; 10,382,336
shares issued and
9,032,061 shares
outstanding as of
December 31, 2025, and
9,626,070 shares issued
and 8,275,795 shares
outstanding as of
December 31, 2024 1,038 962
Class B common stock,
$0.0001 par value,
100,000,000 shares
authorized; 28,748,580
shares issued and
outstanding as of
December 31, 2025 and
December 31, 2024 2,875 2,875
Additional paid-in capital 26,923,115 25,738,082
Accumulated other
comprehensive loss (275,049) (279,457)
Accumulated deficit (39,352,510) (12,117,385)
Treasury stock at cost
(1,350,275 shares as of
December 31, 2025 and
2024) (3,671,806) (3,671,806)
--------------- ---------------
Total Snail, Inc. equity
(deficit) (16,372,337) 9,673,271
Noncontrolling interests (5,506,716) (5,504,109)
--------------- ---------------
Total stockholders' equity
(deficit) (21,879,053) 4,169,162
--------------- ---------------
Total liabilities,
noncontrolling interests
and stockholders' equity
(deficit) $ 59,307,138 $ 62,193,364
=============== ===============
Snail, Inc. and Subsidiaries
Consolidated Statements of Operations and Comprehensive
Income (Loss) for the Years Ended December 31, 2025
and 2024
Three months ended Years ended
December 31, December 31,
--------------------------- ---------------------------
2025 2024 2025 2024
------------ ----------- ------------ -----------
Revenues, net $ 25,109,473 $26,214,296 $ 81,225,622 $84,467,047
Cost of revenues 15,495,477 14,866,526 58,794,947 54,236,342
---------- ---------- ----------- ----------
Gross profit 9,613,997 11,347,770 22,430,675 30,230,705
---------- ---------- ----------- ----------
Operating
expenses:
General and
administrative 4,808,505 3,943,985 18,092,206 12,867,210
Research and
development 3,946,074 4,123,964 14,580,668 11,647,293
Advertising and
marketing 1,525,471 192,235 5,236,951 1,523,398
Depreciation 44,397 68,420 247,976 303,714
Impairment
expenses 784,329 -- 1,536,182 --
---------- ---------- ----------- ----------
Total operating
expenses 11,108,775 8,328,604 39,693,983 26,341,615
---------- ---------- ----------- ----------
Income (loss) from
operations (1,494,779) 3,019,166 (17,263,308) 3,889,090
---------- ---------- ----------- ----------
Other income
(expense):
Interest income 794,047 35,451 1,348,013 260,679
Interest income
- related
parties 504 504 2,000 2,005
Interest expense (215,784) (88,776) (660,088) (723,038)
Other income
(expenses) (77,272) (1,527,707) 115,051 (981,223)
Foreign currency
transaction
(loss) gain (13,802) 43,742 (90,500) 11,686
---------- ---------- ----------- ----------
Total other income
(expense), net 487,692 (1,536,786) 714,476 (1,429,891)
---------- ---------- ----------- ----------
Income (loss)
before benefit
from income taxes (1,007,087) 1,482,380 (16,548,832) 2,459,199
Provision for
income taxes (144,716) 362,623 10,688,900 632,124
---------- ---------- ----------- ----------
Net income (loss) (862,371) 1,119,757 (27,237,732) 1,827,075
Net loss
attributable to
non-controlling
interests (215) (215) (2,607) (4,865)
---------- ---------- ----------- ----------
Net income (loss)
attributable to
Snail, Inc. (862,156) 1,119,972 (27,235,125) 1,831,940
Comprehensive
income (loss)
statement:
Net income (loss) $ (862,371) 1,119,757 (27,237,732) 1,827,075
Other
comprehensive
income (loss):
Other
comprehensive
loss related to
currency
translation
adjustments, net
of tax (92,250) (48,600) (23,969) (25,074)
Other
comprehensive
income related
to credit
adjustments, net
of tax 5,357 -- 28,377 --
---------- ---------- ----------- ----------
Total other
comprehensive
income (loss) (86,893) (48,600) 4,408 (25,074)
---------- ---------- ----------- ----------
Total comprehensive
income (loss) $ (949,264) $ 1,071,157 $(27,233,324) $ 1,802,001
========== ========== =========== ==========
Net income (loss)
attributable to
Class A common
stockholders:
Basic $ (205,518) $ 248,176 $ (6,322,162) $ 400,576
========== ========== =========== ==========
Diluted $ (243,606) $ 248,176 $ (6,322,162) $ 400,576
========== ========== =========== ==========
Net income (loss)
attributable to
Class B common
stockholders:
Basic $ (656,637) $ 871,796 $(20,912,963) $ 1,431,364
========== ========== =========== ==========
Diluted $ (778,330) $ 871,796 $(21,289,188) $ 1,431,364
========== ========== =========== ==========
Net income (loss)
per share
attributable to
Class A common
stockholders:
Basic $ (0.02) $ 0.03 $ (0.73) $ 0.05
========== ========== =========== ==========
Diluted $ (0.03) $ 0.03 $ (0.73) $ 0.05
========== ========== =========== ==========
Net income (loss)
per share
attributable to
Class B common
stockholders:
Basic $ (0.02) $ 0.03 $ (0.73) $ 0.05
========== ========== =========== ==========
Diluted $ (0.03) $ 0.03 $ (0.74) $ 0.05
========== ========== =========== ==========
Weighted-average
shares used to
compute income
(loss) per share
attributable to
Class A common
stockholders:
Basic 8,997,876 8,183,918 8,690,934 8,045,469
========== ========== =========== ==========
Diluted 9,175,310 8,183,918 8,690,934 8,045,469
========== ========== =========== ==========
Weighted-average
shares used to
compute income
(loss) per share
attributable to
Class B common
stockholders:
Basic 28,748,580 28,748,580 28,748,580 28,748,580
========== ========== =========== ==========
Diluted 28,748,580 28,748,580 28,748,580 28,748,580
========== ========== =========== ==========
Snail, Inc. and Subsidiaries
Consolidated Statements of Cash Flows for the Years
Ended December 31, 2025 and 2024
2025 2024
------------ -----------
Cash flows from operating
activities:
Net income (loss) $(27,237,732) $ 1,827,075
Adjustments to reconcile net income
(loss) to net cash used in operating
activities:
Amortization -- intangible assets,
net 311,129 7,804
Amortization -- intangible
assets, net -- related party 83,333 --
Amortization -- film assets 1,331,330 --
Amortization -- loan origination
fees and debt discounts 13,109 62,855
Accretion -- convertible notes -- 222,628
Loss on change in fair value of
convertible notes 504,658 --
(Gain) loss on change in fair
value of warrant liabilities (719,925) 1,332,815
Depreciation -- property and
equipment 247,976 303,714
Impairment of film assets 868,722 --
Impairment of intangible assets 667,460 --
Gain on remeasurement of
previously held equity interest (7,857) --
Stock-based compensation expense
(income) 371,496 (890,208)
Deferred taxes, net 10,817,741 (569,601)
Changes in assets and liabilities,
net of business acquisitions:
Accounts receivable (2,678,525) 15,319,987
Accounts receivable -- related
party 3,836,866 3,663,726
Prepaid expenses -- related party (1,583,563) 1,928,581
Prepaid expenses and other current
assets (386,461) (1,206,331)
Prepaid taxes 2,584,417 2,211,331
Other noncurrent assets (1,265,874) (1,523,065)
Accounts payable 1,106,676 (7,183,648)
Accounts payable -- related
parties 3,473,842 (8,001,265)
Accrued expenses and other
liabilities 110,762 46,542
Loan and interest receivable --
related party (2,000) (2,005)
Lease liabilities (215,715) (266,800)
Deferred revenue 6,615,079 (8,849,259)
----------- ----------
Net cash used in operating activities (1,153,056) (1,565,124)
Cash flows from investing
activities:
Acquisition of software (290,000) --
Acquisition of software licenses (4,093,027) --
Investments in software (849,138) --
Net cash paid for acquisition of
Matrioshka (9,719) --
Acquisition of fixed assets (15,798) --
----------- ----------
Net cash used in investing activities (5,257,682) --
Cash flows from financing
activities:
Repayments on promissory note -- (89,374)
Repayments on notes payable (624,131) (2,333,333)
Repayments on convertible notes (2,303,527) (1,020,000)
Repayments on revolving loan -- (3,000,000)
Borrowings on revolving loan 2,000,000 --
Borrowings on term loan 3,500,000 --
Cash proceeds from exercise of
warrants 159,000 220,000
Proceeds on issuance of
convertible notes 6,000,000 --
Payments of loan origination fees (25,750) --
Payments of offering costs in
accounts payable -- (262,914)
----------- ----------
Net cash provided by (used in)
financing activities 8,705,592 (6,485,621)
Effect of foreign currency
translation on cash and cash
equivalents (30,634) (24,630)
----------- ----------
Net increase (decrease) in cash and
cash equivalents, and restricted
cash and cash equivalents 2,264,220 (8,075,375)
Cash and cash equivalents, and
restricted cash and cash equivalents
-- beginning of the year 8,238,944 16,314,319
----------- ----------
Cash and cash equivalents, and
restricted cash and cash equivalents
-- end of the year $ 10,503,164 $ 8,238,944
=========== ==========
Supplemental disclosures of cash
flow information
Cash paid during the year for:
Interest $ 617,246 $ 467,188
=========== ==========
Income taxes $ (2,859,830) $(1,100,302)
=========== ==========
Noncash transactions during the year
for:
Change in fair value of notes
recorded in accumulated other
comprehensive income $ 21,297 $ --
=========== ==========
Debt converted to equity $ (331,500) $ (60,000)
=========== ==========
Right-of-use assets obtained in
exchange for a lease liability $ (4,709,564) $ (85,588)
=========== ==========
Liabilities converted to equity
upon exercise of warrants $ 323,113 $ 176,750
=========== ==========
Acquisition of software in
accounts payable -- related
parties $ -- $ 290,000
=========== ==========
Acquisition of software and
software licenses in accounts
payable and accrued expenses $ 130,000 $ 420,000
=========== ==========
Net assets acquired in a business
combination $ 5,461 $ --
=========== ==========
Acquisition of software licenses
in accounts payable -- related
parties $ 1,500,000 $ --
=========== ==========
Acquisition of software license
paid in prior years $ 2,500,000 $ --
=========== ==========
(END) Dow Jones Newswires
March 19, 2026 16:05 ET (20:05 GMT)
