Laredo Oil Reports No Revenue and Increased Losses in Latest 10-Q Filing

Laredo Oil, Inc. reported significant financial challenges in its latest 10-Q filing for the period ending February 28, 2026. The company recorded no revenue for the three months ending February 28, 2026, a stark decline from $1,735 in the same period the previous year. For the nine months ending February 28, 2026, total revenue was $3,141, down from $9,423 in the prior year. The company also reported a net loss of $5.48 million for the nine-month period, compared to a loss of $1.70 million in the same timeframe last year. This increase in losses is attributed primarily to a rise in operating expenses, which surged to $5.43 million from $1.70 million, largely due to stock option grants and increased professional fees.

In terms of operational metrics, Laredo Oil's total assets decreased to $1.42 million as of February 28, 2026, down from $1.45 million at the end of the previous fiscal year. Current liabilities also rose significantly, reaching $15.65 million compared to $14.02 million in the prior period. The company's stockholders' deficit widened to $14.24 million from $12.57 million, reflecting ongoing financial strain. The increase in liabilities was driven by higher accounts payable and accrued payroll liabilities, which rose to $4.12 million from $3.75 million.

Strategically, Laredo Oil has been focusing on its Underground Gravity Drainage (UGD) method for oil recovery, which it believes can significantly reduce costs compared to traditional Enhanced Oil Recovery methods. The company has been exploring international opportunities in regions such as Argentina, Mexico, and the Middle East, although no agreements have been finalized as of the filing date. Domestically, Laredo is working to raise funds for potential oil field developments in Texas, but the success of these efforts remains uncertain.

The company has also faced operational setbacks, particularly with its wells in Montana, where excessive water levels have rendered production uneconomical. Laredo's management has indicated that it is actively seeking additional funding to support its operations and development projects. However, the company has expressed substantial doubt about its ability to continue as a going concern within the next year, given its history of losses and reliance on external financing.

Looking ahead, Laredo Oil's management is focused on improving operations and sustaining the business through cost control measures and efforts to raise equity funds. The company plans to continue its exploration and development activities while navigating the challenges posed by its current financial situation.