HNO International Reports Increased Net Loss and Working Capital Deficit for January 2025

HNO International, Inc. reported a net loss of $634,338 for the three months ended January 31, 2025, compared to a net loss of $507,073 for the same period in 2024. The company did not generate any revenue during both periods. Operating expenses increased to $627,406 from $500,441 year-over-year, primarily due to efforts to expand operations. General and administrative expenses decreased to $302,105 from $464,005, reflecting the company's initiatives to streamline operations and reduce overhead costs.

The company's financial position showed a working capital deficit of $2,448,140 as of January 31, 2025, compared to a deficit of $1,969,965 at the end of the previous fiscal period. HNO International had a cash balance of $47,900, up from $20,255 at October 31, 2024. The accumulated deficit reached $44,960,664, raising concerns about the company's ability to continue as a going concern without additional financing. The company is actively seeking capital through equity financing and related party advances to support its operations.

In terms of operational developments, HNO International's total outstanding shares decreased significantly from 419,437,865 as of October 31, 2024, to 75,592,158 as of January 31, 2025. This reduction was primarily due to the cancellation of 360 million shares as part of a share exchange agreement with Donald Owens, the company's CEO. The company also issued 16,125,000 shares as compensation for services rendered, valued at $265,502.

The company continues to focus on its core business of developing green hydrogen-based clean energy technologies. HNO International is committed to providing scalable products aimed at helping businesses and communities reduce emissions and operational costs. The company is also evaluating various options to further reduce cash requirements and exploring opportunities for geographic expansion and product adoption in the green hydrogen market.

Looking ahead, HNO International acknowledges the potential for increased labor and material costs due to evolving market conditions and inflation. The company is monitoring these factors closely and is assessing the relationship between its costs and revenue. However, there remains substantial uncertainty regarding its ability to achieve profitable operations and sustain its business without securing additional funding.