CoJax Oil & Gas Reports 26.5% Revenue Decline in Q2 2025, Despite Six-Month Growth

CoJax Oil & Gas Corporation reported its financial results for the second quarter of 2025, revealing a revenue of $233,624 for the three months ended June 30, a decrease of 26.5% compared to $318,007 in the same period of 2024. However, for the six months ended June 30, 2025, the company saw an increase in revenue to $571,847, up 14.4% from $500,060 in the prior year. The decline in quarterly revenue was attributed primarily to a decrease in the average sale price for crude oil, while the increase in six-month revenue was driven by production from recently acquired assets.

The company's operating costs also saw significant changes, with total operating expenses rising to $437,442 for the second quarter of 2025, compared to $392,368 in the same quarter of 2024. Lease operating expenses increased by 8.8% to $126,385, and general and administrative expenses rose by 19.8% to $204,253. The overall loss from operations for the second quarter was $203,818, a substantial increase from the loss of $74,361 reported in the same quarter last year. For the six-month period, the loss from operations decreased slightly to $348,140 from $377,770 in 2024.

In terms of strategic developments, CoJax did not execute any acquisitions during the first half of 2025, following the issuance of 1,320,755 shares of common stock in May 2024 for the acquisition of mineral and oil interests in Mississippi. The company continues to focus on developing its existing properties while evaluating potential acquisitions in the Gulf States Drill Region. As of June 30, 2025, CoJax reported total assets of $10,335,934, a decrease from $10,513,436 at the end of 2024, with cash reserves increasing to $63,529 from $46,738.

Operationally, CoJax reported an increase in oil production volumes, with 3,994 barrels produced in the second quarter of 2025 compared to 3,778 barrels in the same quarter of 2024. The average sales price for oil decreased to $59.41 per barrel from $79.05 year-over-year. The company’s total liabilities decreased to $1,721,855 from $1,890,722, reflecting a reduction in current liabilities. The employee headcount remained stable, with no significant changes reported.

Looking ahead, CoJax management expressed concerns regarding the company's ability to achieve profitable operations and secure necessary financing, raising substantial doubt about its ability to continue as a going concern. The company is actively pursuing funding opportunities and has developed a capital investment proposal plan to support its operations. However, the outlook remains uncertain due to potential fluctuations in oil and natural gas prices, which could significantly impact future revenues and operational viability.