Norris Industries Reports Revenue Decline and Net Loss Improvement for Fiscal Year Ending February 2025

Norris Industries, Inc. (NRIS) reported a slight decline in revenue for the fiscal year ending February 28, 2025, generating $329,334 from oil and gas production sales, down from $329,610 in the previous year. The company experienced a net loss of $561,574, an improvement from the $643,335 loss reported in the prior fiscal year. This reduction in losses was attributed to lower operating expenses, which decreased from $845,983 in 2024 to $747,703 in 2025, primarily due to reduced lease operating expenses and general administrative costs.

The company’s total assets decreased to $360,335 from $457,738 in the previous year, largely due to a reduction in the net value of oil and gas properties, which fell from $386,510 to $247,485. The decrease in asset value was influenced by lower production levels and changes in accounting estimates. As of February 28, 2025, Norris Industries had cash reserves of $85,627 and a negative working capital of $13,505, indicating ongoing liquidity challenges.

Strategically, Norris Industries has focused on enhancing its existing oil and gas properties, particularly in Texas, where it holds approximately 4,200 gross acres across various regions. The company plans to implement enhanced oil recovery (EOR) methods to improve production rates from its current wells. Additionally, it has been actively seeking funding from its principal shareholder, JBB Partners, Inc., which has provided loans totaling $400,000 in the current fiscal year to support operations. The company has also converted $1.3 million in outstanding notes into common stock, reflecting its ongoing efforts to manage debt and improve its capital structure.

Operationally, Norris Industries has faced challenges due to external factors such as fluctuating oil prices and geopolitical tensions, including the ongoing conflict in Ukraine and instability in the Middle East. These factors have contributed to volatility in energy prices, impacting the company's revenue and operational decisions. The company anticipates that it may need to implement cost-cutting measures and seek additional financing to sustain operations in the near future.

Looking ahead, Norris Industries aims to stabilize its financial position by focusing on its core properties and exploring potential acquisition opportunities. However, the company acknowledges the uncertainty surrounding future oil and gas prices and the broader economic environment, which may affect its ability to generate sufficient revenue to cover operating costs. The management remains committed to enhancing shareholder value through strategic initiatives while navigating the challenges posed by the current market conditions.