Helio Corporation Reports 65% Revenue Decline and Increased Operating Loss for January 2026 Quarter

Helio Corporation reported a significant decline in financial performance for the three months ended January 31, 2026, compared to the same period in the previous year. Total revenue decreased to $495,550, down 65% from $1,427,576 in the prior year. The company experienced a gross profit of $250,687, which is a reduction from $410,728 year-over-year. Operating expenses surged to $2,926,201, up from $1,276,134, leading to an operating loss of $2,675,514, compared to a loss of $865,406 in the same quarter of 2025. The net loss for the quarter was $3,733,728, translating to a basic and diluted net loss per share of $(0.21), compared to $(0.08) in the previous year.

The financial results reflect several strategic and operational changes within the company. Notably, Helio Corporation underwent a significant recapitalization in January 2024, acquiring Heliospace and changing its name from Web3 Corporation. This transaction involved the issuance of 9,795,733 shares of common stock, which has impacted the company's equity structure. The total shareholders' deficit improved slightly to $(3,886,719) as of January 31, 2026, from $(4,060,138) at the end of October 2025, primarily due to the issuance of new shares and stock-based compensation.

Operationally, Helio Corporation's customer base includes notable clients such as NASA and various private space companies. However, the company reported a decrease in accounts receivable, which fell to $182,378 from $489,426, indicating a potential decline in customer engagement or project completion. The company also reported a significant increase in accounts payable and accrued expenses, which rose to $284,574 from $273,936. The total employee headcount remains unspecified, but the company has indicated ongoing efforts to expand its workforce to support its operational initiatives.

Looking ahead, Helio Corporation faces challenges in maintaining liquidity and funding its operations. The company has historically relied on debt financing and equity issuances to support its working capital needs. As of January 31, 2026, the company had outstanding notes payable totaling $1,727,432 and convertible notes payable of $481,517. Helio is currently negotiating potential bridge financing arrangements and seeking investors for additional capital. The company has expressed that substantial additional capital will be necessary to execute its business plan and sustain operations over the next year, highlighting the ongoing uncertainty regarding its financial stability.