Forge Innovation Development Corp. reported its financial results for the third quarter of 2025, revealing a total revenue of $16,000 for the three months ended September 30, 2025, compared to no revenue in the same period of 2024. For the nine months ended September 30, 2025, the company generated $28,000 in revenue, again marking a significant increase from zero in the prior year. Despite this revenue growth, the company reported a net loss of $856,852 for the third quarter, a substantial increase from a loss of $105,518 in the same quarter of 2024. The nine-month net loss also improved slightly to $1,038,886 from $1,475,098 year-over-year.
The financial performance reflects significant operational changes, particularly the company's decision to release its 51% ownership interest in Legend International Investment, LP back to Legend Investment Management, LLC in July 2025. This transaction, valued at $1,377,000, was executed without cash consideration and is classified as a related party transaction due to the influence of the company's president over the seller's management. The release of this ownership interest contributed to a notable decline in total assets, which fell to $163,696 as of September 30, 2025, from $8,215,198 at the end of 2024.
Operationally, Forge Innovation Development Corp. has seen a decrease in its cash position, reporting a cash balance of zero as of September 30, 2025, down from $32,403 at the end of 2024. The company’s total liabilities also decreased to $342,484 from $6,457,192, primarily due to the derecognition of liabilities associated with the disposed subsidiary. The company’s accumulated deficit increased to $4,793,313, raising concerns about its ability to continue as a going concern. Management has indicated that future operations will depend on improving profitability and generating sufficient cash flow.
In terms of strategic developments, the company has focused on property management services, generating all its revenue from related parties. As of September 30, 2025, 100% of accounts receivable were due from a related party, highlighting the company's reliance on these relationships for revenue generation. The company has also reported a decrease in general and administrative expenses, which fell to $10,259 for the third quarter of 2025 from $32,272 in the same quarter of 2024, indicating efforts to manage costs amid ongoing financial challenges.
Looking ahead, Forge Innovation Development Corp. acknowledges the substantial doubt regarding its ability to continue as a going concern, citing negative financial trends and the need for additional funding. Management plans to focus on improving business profitability and executing its business strategy to meet operational needs. However, there is no assurance that these plans will be sufficient to sustain the company in the long term.
About FORGE INNOVATION DEVELOPMENT CORP.
Forge Innovation Development Corp. is a real estate company focused on land acquisition, development, and property management in Southern California. It owns and manages commercial and residential properties, including a grocery-anchored shopping center. The company invests in distressed real estate assets, develops land for sale, and provides property management services, leveraging expertise in property acquisition, zoning, and infrastructure improvement to serve commercial and residential markets.
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