Hammer Technology Holdings Reports Slight Revenue Increase and Net Loss for Fiscal Year Ending July 31, 2024

Hammer Technology Holdings Corp. reported a slight increase in revenue for the fiscal year ending July 31, 2024, with total revenues reaching $3.28 million, up from $3.26 million in the previous year. This 0.7% growth was primarily attributed to the expansion of the company's Over-the-Top (OTT) business segment, which includes SMS messaging and hosting services. However, the company continues to face challenges, as it recorded a net loss of $1.23 million, a decrease from a loss of $1.56 million in the prior year, indicating some improvement in financial performance.

The company's total operating expenses increased by 3.7% to $4.67 million, driven by higher selling, general, and administrative expenses, which rose by 13.4% to $1.54 million. The increase in expenses reflects the company's ongoing diversification into financial services and the expansion of its telecommunications segment. Additionally, the company reported a significant rise in interest expenses, which surged by 317.3% to $86,043, highlighting the financial pressures associated with its debt obligations.

In terms of strategic developments, Hammer Technology Holdings executed a significant divestiture of its telecommunications assets to Viper Networks, Inc. on November 1, 2024, in exchange for 2.5 million shares of the company's common stock. This move is part of a broader strategy to focus on its fintech initiatives, particularly the HammerPay platform, which aims to provide digital payment solutions in both developed and emerging markets. The company also underwent a name change from Hammer Fiber Optics Holdings Corp. to Hammer Technology Holdings Corp. to better reflect its current business focus.

Operationally, the company reported a total of 63,155,947 shares of common stock issued as of February 4, 2025, with an aggregate market value of approximately $17.55 million based on a share price of $0.28. The company has a small workforce, consisting of ten employees, six of whom are full-time. Despite the challenges, the company is actively seeking to raise additional capital to support its operations and growth initiatives, as indicated by its ongoing reliance on financing from related parties.

Looking ahead, Hammer Technology Holdings acknowledges substantial doubt regarding its ability to continue as a going concern, primarily due to its history of losses and reliance on external financing. The company plans to address these concerns by pursuing additional capital through equity sales and debt financing. Management has cautioned that actual results may differ from forward-looking statements due to various risks and uncertainties, including market conditions and operational challenges.