Onfolio Holdings Reports 50% Revenue Growth to $7.86 Million for Fiscal Year 2024

Onfolio Holdings, Inc. reported a significant increase in revenue for the fiscal year ending December 31, 2024, achieving $7.86 million, a 50% rise from $5.24 million in 2023. This growth was primarily driven by the successful acquisition of three businesses: RevenueZen, DDSRank, and Eastern Standard, which collectively contributed approximately $6 million in revenue. Despite this revenue growth, the company's gross profit margin slightly declined to 57% from 62% due to the lower margins associated with the newly acquired businesses. The company also reported a reduced operating loss of $2.51 million, down from $9.24 million in the previous year, indicating improved financial performance.

In terms of strategic developments, Onfolio made notable acquisitions throughout 2024, including RevenueZen in January, DDSRank in July, and Eastern Standard in October. These acquisitions were structured to minimize cash outlay, utilizing promissory notes and preferred shares, which allowed the company to expand its portfolio without significant capital expenditure. The acquisition of Eastern Standard, for instance, was valued at $2.16 million, with Onfolio acquiring a 70% stake while leveraging OA SPV capital for funding.

Operationally, Onfolio has focused on enhancing the management and operational capacity of its portfolio companies. The company has implemented a revised management structure, integrating experienced operators from its acquisitions to ensure effective post-acquisition performance. This strategy aims to optimize the operations of acquired businesses and drive profitability. The company also launched the OA SPV Capital Model, enabling accredited investors to co-invest in acquisitions, which has facilitated the acquisition of businesses without depleting Onfolio's cash reserves.

As of December 31, 2024, Onfolio reported a net loss of $1.77 million, a significant improvement from the previous year's loss of $9.15 million. The company has also recognized an impairment loss of $121,000 related to its Vital Reaction business, contrasting sharply with the $5 million in impairments recorded in 2023. Looking ahead, Onfolio aims to achieve sustained profitability, with a focus on continuing its acquisition strategy and operational improvements. The company anticipates that its recent acquisitions and operational enhancements will position it for positive cash flow and profitability in the near future.