My City Builders Reports 119% Revenue Growth but Net Loss Reduces Significantly in Q2 FY 2025

My City Builders, Inc. reported its financial results for the second quarter of fiscal year 2025, revealing a total revenue of $29,743 for the three months ended January 31, 2025, compared to $13,599 for the same period in the previous year, marking an increase of approximately 119%. For the six months ended January 31, 2025, revenue reached $55,271, up from $19,768 in the prior year. Despite this growth in revenue, the company reported a net loss of $78,299 for the quarter, a significant reduction from a net loss of $1,020,466 in the same quarter of the previous year. The loss attributable to stockholders was $78,222, compared to $1,020,508 in the prior year.

The company’s financial position showed notable changes, with total assets increasing to $3,984,400 as of January 31, 2025, up from $3,469,049 at the end of the previous fiscal year. This increase was primarily driven by a rise in homes inventory for sale, which grew to $1,875,367 from $1,613,005. Current liabilities decreased significantly to $523,946 from $1,571,652, largely due to the repayment of related party loans and a reduction in accounts payable. Stockholders' equity also saw a substantial increase, rising to $2,724,896 from $1,161,680, reflecting the issuance of common stock for debt settlement.

Operationally, My City Builders has been focusing on expanding its real estate activities, particularly in low-income housing. The company continues to develop its subsidiary, RAC Real Estate Acquisition Corp., which is engaged in purchasing and refurbishing properties. The company has also formed a limited liability company, RAC Gadsden, LLC, to build low-income homes in Gadsden, Alabama. As of January 31, 2025, the company reported an increase in common stock shares outstanding to 16,276,686 from 11,986,686, indicating a strategic move to strengthen its capital base.

Looking ahead, My City Builders anticipates continued growth in its rental income and property sales as it expands its operations in the low-income housing sector. The company expects to leverage its recent acquisitions and partnerships to enhance its market presence. However, management cautioned that forward-looking statements are subject to risks and uncertainties, and actual results may differ from those anticipated. The company plans to continue monitoring market conditions and adjusting its strategies accordingly to navigate potential challenges in the real estate market.