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Nukkleus Inc (New) Com (NUKK-4.82%) has submitted its 10-K filing for the fiscal year ended September 30, 2024.
The filing details the company's operations, which are centered around providing software and technology solutions for the retail foreign exchange trading industry and payment services involving fiat currency and digital assets.
For the year ended September 30, 2024, Nukkleus reported total revenues of $5,913,461, a decrease from $21,297,642 in the prior year. This decline was primarily due to a decrease in general support services revenue following the termination of a key contract.
Cost of revenues decreased to $4,914,945 from $21,640,783, reflecting the termination of the support services contract.
Operating expenses totaled $15,176,526, down from $17,120,080. The decrease was mainly due to reduced impairment losses on long-lived assets, which were $391,217 compared to $11,914,322 in the previous year.
The company reported a net loss of $8,518,520, an improvement from a net loss of $17,428,428 in the prior year. This improvement was partly due to a gain of $6,082,962 from the termination of the GSS GSA agreement with a related party.
Nukkleus's liquidity situation includes cash of $3,678 and a working capital deficit of $6,104,000 as of September 30, 2024. The company raised $10 million through a private placement in December 2024 to address liquidity concerns.
The filing also discusses the company's strategic shift towards the defense sector, following the planned acquisition of a controlling interest in Star 26 Capital Inc., an Israeli supplier of defense products.
Nukkleus identified substantial doubt about its ability to continue as a going concern due to recurring losses and working capital deficits. However, management believes the recent capital raise will support operations for the next twelve months.
The report includes a note on the company's use of estimates and assumptions in preparing financial statements, highlighting areas such as stock-based compensation and fair value measurements as critical accounting estimates.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Nukkleus Inc (New) Com annual 10-K report dated February 10, 2025. To report an error, please email earnings@qz.com.