Summit Networks Inc. Reports Q2 2025 Revenue of $2,535 and Net Loss of $84,741

Summit Networks Inc. reported its financial results for the second quarter of 2025, revealing a revenue of $2,535, a significant increase from zero revenue in the same period last year. However, the company also reported a net loss of $84,741 for the quarter, compared to a loss of $76,928 in the prior year. For the six months ending June 30, 2025, the total revenue was $2,535, with a net loss of $167,723, up from a loss of $139,400 in the first half of 2024. The increase in losses is attributed to rising general and administrative expenses, which reached $82,069 for the quarter and $165,051 for the six-month period, primarily due to higher consulting fees.

The company's total assets decreased to $54,733 as of June 30, 2025, down from $103,709 at the end of 2024. Current assets also saw a decline, with cash and cash equivalents dropping to $15,664 from $39,230. On the liabilities side, current liabilities increased to $783,850, up from $665,103, largely due to loans from related parties, which rose to $747,530 from $629,000. The accumulated deficit also widened to $1,676,784, compared to $1,509,061 at the end of 2024.

In terms of strategic developments, Summit Networks is transitioning from traditional digital consulting services to a focus on platform technology development. The company has entered into an agreement with Zenox Enterprises Inc. to develop an AI-powered healing platform, which is currently in the system architecture planning phase. This shift is reflected in the company's reclassification within the U.S. Standard Industrial Classification System from business services to computer integrated systems design, aligning with its enhanced capabilities in AI and Web3 technologies.

Operationally, the company reported a single customer for the quarter, indicating limited project engagement as it continues to develop its business model. The company is actively seeking new business opportunities and exploring financing options to support its growth. As of June 30, 2025, Summit Networks had 68,911,657 shares of common stock outstanding, with no new shares issued during the first half of the year. The company’s liquidity remains a concern, with a working capital deficit of $734,645, raising doubts about its ability to continue as a going concern without additional financial support.

Looking ahead, Summit Networks plans to enhance its operational capabilities and financial stability through potential strategic investments and partnerships. The company is committed to improving its internal controls and financial reporting processes, having recently engaged an external consultant with extensive experience in public company financial reporting. The management remains focused on navigating the challenges of its current financial position while pursuing growth opportunities in the evolving digital solutions market.