Know Labs Reports $1.53 Million Net Loss, Launches New Prototype and Licensing Program

Know Labs, Inc. has reported significant financial developments in its latest 10-Q filing for the quarter ending June 30, 2025. The company recorded a net loss of $1.53 million for the quarter, a notable decrease from the $4.10 million loss reported in the same period last year, reflecting a 62.7% improvement. For the nine months ending June 30, 2025, the net loss was $9.77 million, down from $12.95 million in the prior year, marking a 24.5% reduction. Total operating expenses for the quarter were $1.25 million, down 67.3% from $3.84 million in the previous year, primarily due to reduced research and development costs and lower selling, general, and administrative expenses.

The company’s cash and cash equivalents have decreased significantly, from $3.11 million as of September 30, 2024, to $172,503 as of June 30, 2025. This decline is attributed to ongoing operational losses and a net working capital deficit of approximately $4.96 million. The company has also seen a substantial reduction in its total assets, which fell from $3.66 million to $492,567 over the same period. The decrease in assets is largely due to a reduction in cash and other current assets, alongside an increase in current liabilities, which totaled $5.13 million.

Strategically, Know Labs has made significant moves to enhance its market position. The company launched its Generation 2 working prototype device aimed at non-invasive blood glucose monitoring, which is currently undergoing internal clinical testing. Additionally, Know Labs has initiated the Know Labs Technology Licensing (KTL) program to license its proprietary sensor technology across various industries. On June 5, 2025, the company entered into a Securities Purchase Agreement with Goldeneye 1995 LLC, which could provide up to $15 million in funding, contingent upon various conditions being met.

Operationally, Know Labs has reduced its workforce and consulting expenditures to manage costs effectively. As of June 30, 2025, the company employed six full-time and part-time employees, down from previous levels. The company’s research and development expenses for the quarter were $239,000, a significant decrease from $1.35 million in the prior year, reflecting its focus on cost management. The company is also working to regain compliance with the NYSE American listing standards after facing delisting proceedings due to low stock prices.

Looking ahead, Know Labs anticipates continued operational losses as it seeks to achieve FDA clearance for its products and expand its market presence. The company is focused on securing additional funding through equity and debt offerings to support its ongoing development efforts. The successful closing of the private placement with Goldeneye 1995 LLC is expected to provide necessary capital to sustain operations and further its strategic initiatives.