Brownie's Marine Group Reports Decline in Q1 2025 Financial Performance

Brownie's Marine Group, Inc. reported a decline in financial performance for the first quarter of 2025, with total net revenues of $1.53 million, down from $1.61 million in the same period of 2024. The company's net revenues from related parties increased to $209,198, compared to $115,223 in the previous year. The cost of revenues slightly increased to $1.03 million from $1.02 million, resulting in a gross profit of $504,030, down from $587,435 in the prior year. The company recorded a net loss of $54,468, a significant improvement from the loss of $335,716 reported in the first quarter of 2024.

In terms of operational metrics, Brownie's Marine Group saw a reduction in its employee headcount, which may have contributed to a decrease in selling, general, and administrative expenses, which fell to $548,126 from $899,821 year-over-year. The company’s total assets decreased to $5.58 million from $5.77 million, while total liabilities also decreased to $4.05 million from $4.19 million. The accumulated deficit increased slightly to $17.98 million from $17.93 million, indicating ongoing challenges in achieving profitability.

Strategically, the company continues to focus on its core business of designing and manufacturing recreational diving products through its subsidiaries. The filing noted that Brownie's Marine Group is actively working on enhancing its product offerings and expanding its market reach. The company has also engaged in various financing activities, including the issuance of convertible promissory notes to support working capital needs. As of March 31, 2025, the company had outstanding convertible notes totaling $458,338.

Looking ahead, Brownie's Marine Group expressed cautious optimism regarding its ability to increase revenues and manage expenses effectively. The company acknowledged the ongoing risks and uncertainties that could impact its financial performance, including market conditions and operational challenges. Management emphasized the importance of raising capital and sustaining adequate working capital to finance operations, as the company navigates its path toward profitability. The outlook remains contingent on the successful execution of its strategic initiatives and the overall recovery of the recreational diving market.