Cyber Enviro-Tech Reports Q2 2025 Financial Results with Increased Losses and Rising Liabilities

Cyber Enviro-Tech, Inc. (CETI) reported its financial results for the second quarter of 2025, revealing a net loss of $983,291, compared to a loss of $900,350 in the same period of 2024. The company’s total operating expenses increased by 15.1% to $726,381, driven primarily by a significant rise in general and administrative costs, which surged by 80.4% to $266,911. The increase in expenses is attributed to higher office and travel costs associated with efforts to secure financing. Despite these challenges, the company’s loss from continuing operations slightly improved, decreasing from $882,055 in 2024 to $865,971 in 2025.

In terms of financial position, CETI's total assets rose to $4,472,803 as of June 30, 2025, up from $3,565,691 at the end of 2024. This increase was largely due to a rise in cash and cash equivalents, which grew to $132,414 from $59,411, and an increase in property and equipment, which more than doubled to $1,419,034. However, total liabilities also increased significantly, reaching $5,397,267, compared to $4,067,950 at the end of the previous fiscal year. The rise in liabilities was primarily due to an increase in convertible notes payable, which rose to $3,667,451 from $2,262,263.

CETI is in the process of spinning off its Alvey oil field operations, which have been categorized as discontinued operations. The company reported a loss from these operations of $117,320 for the second quarter of 2025, a substantial increase from a loss of $18,295 in the same quarter of 2024. The total assets of discontinued operations were valued at $2,050,210, while total liabilities stood at $476,855. The spin-off is expected to be completed in the third quarter of 2025, allowing CETI to focus on its core business of water purification solutions.

Strategically, CETI has made significant moves to expand its international presence, forming wholly-owned subsidiaries in Turkey and the UAE in early 2025. These subsidiaries are intended to facilitate the company's international operations, although they currently do not have active operations. The company is also exploring opportunities to test its water filtration technology in various industries, including meat packing in the U.S. and potential markets in the Middle East.

Looking ahead, CETI's management has expressed optimism about securing additional funding through an S-1 registration statement, which would allow the company to raise capital through the sale of common stock. However, the company acknowledges that it does not yet have sufficient revenue to cover its operating expenses, raising concerns about its ability to continue as a going concern. The management plans to finance operations through increased revenue and private placements, but there are no guarantees that these efforts will be successful.