Farmhouse, Inc. Reports $155,427 Net Loss in Q1 2026 Amid Strategic Shift to Digital Assets

Farmhouse, Inc. reported a net loss of $155,427 for the first quarter of 2026, a significant decline from a net income of $68,288 in the same period of 2025. The company's revenues remained at zero for both periods, reflecting its ongoing transition away from previous business lines and a focus on strategic acquisitions and digital asset initiatives. Total operating expenses increased to $109,449, up from $90,794 in the prior year, primarily due to higher accounting and professional fees associated with public company compliance and reporting.

The company's financial position showed a notable increase in current assets, which rose to $95,138 as of March 31, 2026, compared to $57,163 at the end of 2025. This increase was largely driven by a rise in cash holdings, which reached $32,329, up from $14,188. However, Farmhouse's liabilities also increased, totaling $2,918,724, up from $2,731,592, resulting in a stockholders' deficit of $2,823,586. The company continues to face challenges related to its liquidity, as indicated by a working capital deficit of $2,355,449.

Strategically, Farmhouse has shifted its focus towards digital assets, forming a subsidiary, Farmhouse Treasury LLC, to manage its digital asset treasury initiative. This initiative aims to explore opportunities in digital assets, including Bitcoin and tokenized gold, although no binding agreements have been established as of the reporting date. The company has engaged in preliminary discussions with various counterparties to expand its digital asset activities, but these discussions remain exploratory.

Operationally, Farmhouse has not generated any revenue and continues to incur costs related to maintaining its public company status and compliance. The company has also seen an increase in interest expenses, which rose to $30,575 in the first quarter of 2026, compared to $15,853 in the same period of 2025, primarily due to higher debt balances. The company’s management has indicated that it will pursue additional capital through equity and debt financing to support its operations and strategic initiatives.

Looking ahead, Farmhouse's management remains cautious about its ability to continue as a going concern, given its recurring losses and reliance on external financing. Subsequent to the quarter-end, the company completed a financing transaction that raised $2 million, which management believes will provide additional liquidity. However, the company acknowledges that its future financing options may be limited and that it may need to further reduce expenditures or delay strategic initiatives if additional funding is not secured.