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LiqTech International Inc. (LIQT-10.21%) has submitted its 10-K filing for the fiscal year ended December 31, 2024.
The filing includes financial statements for the year, showing a decrease in revenue to $14,604,618 from $18,001,652 in the previous year. The decline was mainly due to reduced deliveries of liquid filtration systems and plastics products.
Cost of goods sold was $14,353,713, representing 98.3% of sales, compared to 84.6% in the previous year. This increase in cost ratio is attributed to lower overall activity levels and underutilization of manufacturing capacity.
The company reported a gross profit of $250,905, down from $2,775,476 in the previous year, with the decline attributed to an unfavorable sales mix and strategic decisions to seed the market for future growth.
Selling expenses decreased to $2,725,239 from $4,298,905, primarily due to reduced executive officers and lower marketing expenses.
General and administrative expenses increased to $5,661,455 from $4,856,779, driven by new positions in supply chain and project management and higher legal expenses.
Net loss for the year was $10,345,258, up from $8,571,145 in the previous year. The increase in net loss is attributed to lower revenue and higher administrative expenses.
Cash used in operating activities was $7,534,072, while cash used in investing activities was $424,036. Cash provided by financing activities was $8,493,300, mainly driven by an equity raise.
LiqTech had a working capital of $15,773,387 as of December 31, 2024. The company acknowledges its dependence on positive operating results and potential financing to meet future obligations.
The filing also details various financial agreements, including a securities purchase agreement and amendments to existing promissory notes.
LiqTech continues to focus on expanding its market presence in water filtration and ceramics, with strategic partnerships in place to enhance its market reach.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the LiqTech International Inc. annual 10-K report dated March 28, 2025. To report an error, please email earnings@qz.com.