Laredo Oil Reports Significant Revenue Decline and Increased Losses for Six Months Ending November 30, 2025

Laredo Oil, Inc. reported its financial results for the six months ending November 30, 2025, revealing a significant decline in revenue and an increase in operating expenses compared to the same period in the previous year. The company generated revenue of $3,141, a decrease from $7,688 in the prior year, while incurring operating expenses of $3,645,630, up from $1,369,119. This resulted in a net loss of $4,263,188, compared to a loss of $1,284,972 in the same period last year. The increase in expenses was primarily attributed to stock option grants totaling $2,034,605, which were not present in the previous year.

In terms of balance sheet performance, Laredo Oil's total assets increased to $1,704,607 as of November 30, 2025, up from $1,448,018 at the end of the previous fiscal year. The company's cash and cash equivalents rose to $568,831 from $249,409, indicating improved liquidity. However, total liabilities also increased to $14,968,097 from $14,020,333, largely due to rising accounts payable and accrued liabilities. The company's stockholders' deficit widened to $13,263,490 from $12,572,315, reflecting ongoing financial challenges.

Strategically, Laredo Oil has been focusing on its Underground Gravity Drainage (UGD) method for oil recovery, which it believes is more cost-effective than traditional Enhanced Oil Recovery methods. The company has also formed a new entity, Laredo Mex, LLC, to manage potential operations in Mexico, although no agreements have been finalized. Additionally, Laredo Oil has been actively seeking funding to develop oil fields in Texas compatible with its UGD method, but the success of these efforts remains uncertain.

Operationally, Laredo Oil has faced challenges with its drilling projects. The company has drilled five conventional wells in Montana, none of which have been economically successful due to excessive water encounters. The company continues to evaluate its mineral property interests and is in the process of raising additional funds to support future development. As of November 30, 2025, Laredo Oil's total debt stood at $4,935,766, and the company has expressed concerns about its ability to continue as a going concern without securing further financing.

Looking ahead, Laredo Oil's management has outlined plans to improve operations and sustain the business over the next twelve months. These plans include controlling overhead costs, raising equity funds, and attracting experienced personnel. However, the company acknowledges the uncertainty surrounding its ability to achieve profitable operations and secure necessary financing, which could impact its future viability.