Quarterly ResultMay 15, 2026, 05:08 PM
Functional Brands Q1 Net Loss Widens to $6.99M; Revenue $1.65M
AI Summary
Functional Brands Inc. reported a substantial increase in net loss for the three months ended March 31, 2026, reaching $6.99 million, compared to a $0.13 million net loss in the prior year. This significant loss was primarily due to a $6.31 million loss on the issuance of preferred stock and higher operating expenses. The company's cash balance decreased, and total liabilities significantly increased, leading to a going concern warning from management.
Key Highlights
- Net loss for Q1 2026 was $6,990,789, a significant increase from $126,782 in Q1 2025.
- Revenue for Q1 2026 slightly increased to $1,645,524 from $1,590,256 in Q1 2025.
- Operating loss widened to $682,805 in Q1 2026 from $32,100 in Q1 2025.
- Loss on issuance of preferred stock was $6,310,464 in Q1 2026.
- Total liabilities increased to $11,724,716 as of March 31, 2026, from $7,566,971 as of December 31, 2025.
- Cash decreased to $1,077,967 as of March 31, 2026, from $2,726,696 as of December 31, 2025.
- Accumulated deficit grew to $14,049,164 as of March 31, 2026.
- Total stockholders' equity / (deficit) shifted to a deficit of $4,510,764 from an equity of $1,541,331.
Price Impact
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