Enlightify Inc. Reports 24.8% Decline in Net Sales, Improves Net Loss by 92%

Enlightify Inc. reported a significant decline in financial performance for the three and nine months ended March 31, 2025, as detailed in its latest 10-Q filing. The company generated net sales of $24.8 million for the three months, a decrease of 24.8% from $32.9 million in the same period last year. For the nine months, net sales totaled $56.5 million, down 22.7% from $73.1 million. The decline was primarily attributed to reduced sales from its subsidiaries Jinong and Gufeng, which are involved in fertilizer production. Jinong's sales fell by 11.8% to $6.6 million, while Gufeng's sales dropped by 30.5% to $15.7 million.

Despite the drop in revenue, Enlightify reported a notable improvement in its net loss, which decreased by 92% to $875,223 for the three months ended March 31, 2025, compared to a loss of $10.9 million in the prior year. For the nine-month period, the net loss was $7.9 million, down 56.5% from $18.1 million. This reduction in losses was largely due to a significant decrease in general and administrative expenses, which fell by 75.1% for the quarter and 47.7% for the nine months, reflecting cost-cutting measures implemented by the company.

Operationally, Enlightify has made strategic adjustments, including the discontinuation of its acquisition of Lonestar Dream, Inc., and the establishment of Antaeus Tech Inc. for Bitcoin mining. The company also launched ten new fertilizer products during the quarter and expanded its distributor network by adding four new distributors. As of March 31, 2025, Enlightify had 637 distributors across China, covering 22 provinces and four municipalities, with a focus on enhancing its market presence.

The company’s balance sheet showed total assets of $162.9 million, slightly down from $163.2 million as of June 30, 2024. Cash and cash equivalents decreased to $48.8 million from $58.8 million, while accounts receivable rose to $22.4 million, reflecting a 36% increase. The allowance for doubtful accounts also increased, indicating heightened credit risk amid challenging market conditions. Looking ahead, Enlightify anticipates continued challenges in the fertilizer market but remains focused on executing its business strategies to achieve profitability and growth.