FlooidCX Corp Reports $4 Million Revenue and $2.3 Million Net Income in Latest Quarter

FlooidCX Corp, which is in the process of rebranding as Quantum Energy Corporation, reported significant financial developments in its latest 10-Q filing for the quarter ending June 30, 2024. The company generated $4 million in revenue for the three months ended June 30, 2024, compared to no revenue in the same period last year. For the first half of 2024, revenue totaled $5 million, again marking a substantial increase from zero in the prior year. The net income for the second quarter was approximately $2.3 million, or $0.05 per share, a notable turnaround from a net loss of $28,177 in the same quarter of 2023. For the six-month period, net income reached $3.08 million, compared to a loss of $116,241 in the previous year.

The company’s operational metrics reflect a significant ramp-up in activity, with general and administrative expenses rising to $1.51 million in the second quarter, up from just $22,050 a year earlier. This increase was primarily driven by heightened advertising costs and professional fees as the company prepares for product installations. Research and development expenses also emerged for the first time, totaling $133,000, indicating a commitment to advancing its technology offerings. The company’s total assets surged to $17.17 million as of June 30, 2024, compared to $6.5 million at the end of 2023, largely due to the acquisition of property and equipment valued at $4.7 million.

In terms of strategic developments, FlooidCX has been actively expanding its market presence through the sale of Licensed Distributorships. The company sold three exclusive distributorships for a total of $3 million during the second quarter, alongside additional sales contributing to the overall revenue. The company has also established operational offices across multiple states, including Florida, Texas, and Hawaii, and is negotiating further distributorship agreements in various regions. As of June 30, 2024, the company reported an active customer base that includes notable clients such as Hilton and Verizon, indicating a growing market share in the energy sector.

The filing also highlighted the company’s plans for future growth, projecting potential installation fees exceeding $150 million and recurring revenue contracts surpassing $100 million in the upcoming fiscal year. The company aims to fund its operations primarily through customer sales and independent investments, ensuring that capital demands are met without overextending its financial resources. However, the company acknowledged that its liquidity remains limited, and it anticipates an increase in available cash as customer and investor capital becomes accessible.

FlooidCX's management has identified material weaknesses in its internal controls, particularly the absence of an independent audit committee and a lack of accounting personnel with U.S. GAAP expertise. The company plans to address these issues by hiring qualified staff and implementing improved internal controls. Despite these challenges, the company remains optimistic about its growth trajectory and the potential for its innovative energy solutions to capture a larger share of the market.