IIOT-OXYS Reports No Revenue and Increased Losses for Q2 2026

IIOT-OXYS, Inc. reported no revenue for the second quarter of 2026, consistent with the same period in 2025. The company incurred operating expenses of $83,221 for the three months ended June 30, 2026, a decrease from $120,973 in the prior year. The reduction in expenses was primarily due to the absence of payroll costs and amortization of intangible assets, which were $50,000 and $12,341, respectively, in the previous year. The net loss attributable to common stockholders for the quarter was $621,702, significantly higher than the $50,411 loss reported in the same quarter of 2025.

For the six months ending June 30, 2026, IIOT-OXYS also reported no revenue, with total operating expenses amounting to $146,812, down from $213,231 in the same period of 2025. The net loss for the first half of 2026 was $1,015,375, compared to a loss of $230,724 in the prior year. The increase in losses was attributed to a significant rise in expenses related to the change in fair value of derivative liabilities, which amounted to $296,088, and preferred stock dividends totaling $342,399.

The company’s balance sheet as of June 30, 2026, showed total assets of $22,299, a decrease from $26,342 at the end of 2025. Current liabilities increased to $3,187,706 from $2,335,374, primarily due to higher accrued liabilities and derivative liabilities, which rose to $1,438,201 from $951,532. The accumulated deficit reached $13,664,887, reflecting ongoing operational challenges and the need for additional capital to sustain operations.

Strategically, IIOT-OXYS has faced difficulties in securing funding, which has impacted its ability to pursue growth opportunities. The company is focusing on its Structural Health Monitoring (SHM) vertical and Smart Manufacturing as potential revenue sources. However, management has indicated that the current market conditions pose significant challenges to raising the necessary capital. The company is exploring options for mergers or acquisitions to enhance its financial position and operational capabilities.

Looking ahead, IIOT-OXYS remains cautious about its revenue growth prospects for the remainder of 2026, emphasizing the importance of securing additional funding to support its operations and strategic initiatives. The management believes that the partnerships and technological advancements developed could provide a foundation for future growth, but acknowledges the uncertainty surrounding market conditions and funding availability.