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Lottery.com Inc. (LTRY-1.30%) has submitted its 10-Q filing for the quarterly period ended September 30, 2024.
The filing includes financial statements for the quarter, showing a decrease in revenue to $200,655 from $285,523 in the same quarter the previous year. The decrease is attributed to lower revenues from Global Gaming and TinBu, with a slight increase from the new subsidiary S&MI Ltd.
Cost of revenue for the quarter was $83,829, compared to $72,171 in the same quarter of the previous year. This increase is primarily related to costs associated with the new subsidiary, S&MI Ltd.
The company reported a gross profit of $116,826 for the quarter, compared to $213,352 in the previous year, with the decline attributed to decreased revenue.
Operating expenses for the quarter increased to $3,746,442 from $3,367,440 in the previous year. The increase was primarily driven by higher professional fees, offset by reductions in personnel costs and depreciation and amortization expenses.
Lottery.com recorded a loss on impairment of intangibles and goodwill totaling $4,298,002 for the quarter, related to the TinBu and Global Gaming subsidiaries.
Net loss for the quarter was $8,046,754, up from $3,400,617 in the previous year. The increase in net loss is primarily due to the impairment charges and increased professional fees.
The company reported cash provided by operating activities of $952,753 for the nine months ended September 30, 2024, compared to cash used in operating activities of $766,532 in the previous year.
Lottery.com continues to focus on relaunching its B2B API platform and plans to resume its B2C platform operations in early 2025. The company is also working on expanding its international operations and enhancing its mobile application offerings.
The filing details various legal proceedings involving the company, including actions with J. Streicher Financial, LLC, a class action lawsuit, and disputes with Woodford Eurasia Assets, Ltd.
The company acknowledges its dependence on securing additional capital to support and restart its operations, with plans to raise funds through equity or debt financing.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Lottery.com Inc. quarterly 10-Q report dated December 16, 2024. To report an error, please email earnings@qz.com.