World Health Energy Holdings Reports 101% Revenue Increase, Faces Net Loss in Latest Financial Filing

World Health Energy Holdings, Inc. (WHEN) reported significant financial developments in its latest 10-Q filing for the six months ending June 30, 2025. The company generated revenues of $104.5 million, a substantial increase from $51.9 million during the same period in 2024, marking a 101% rise. The gross profit also saw a notable improvement, reaching $92.7 million compared to $17.4 million in the previous year. However, the company continued to face challenges, posting a net loss of $2.03 million, although this was an improvement from the $2.55 million loss reported in the prior year.

The financial performance reflects a strategic pivot towards expanding its telecom services through its subsidiary, CrossMobile, which has signed approximately 10,000 pre-paid contract subscribers. This growth in customer base is a key indicator of the company's efforts to enhance its market presence in the telecom sector. Additionally, the company has been actively managing its operational costs, with research and development expenses decreasing from $824.6 million to $650.1 million year-over-year, primarily due to reduced share-based compensation expenses.

Operationally, WHEN has made strides in its cybersecurity technology segment, although revenues from this area decreased to $12 million from $29 million in the previous year. The company is focusing on integrating its cybersecurity solutions with telecom services, aiming to create a comprehensive suite of offerings that leverage artificial intelligence and advanced analytics. This strategic direction is expected to enhance customer engagement and product adoption rates, particularly in the B2B and B2C markets.

The company’s balance sheet reflects a total asset value of $16.04 million, slightly down from $16.12 million at the end of 2024. Current liabilities increased to $1.30 million from $1.26 million, contributing to a working capital deficit of $1.02 million. The company reported cash and cash equivalents of $28,282, a significant decrease from $125,807 a year earlier, raising concerns about liquidity. Management has indicated that existing cash reserves may only support operations through the third quarter of 2025, highlighting the need for additional financing to sustain growth and operational stability.

Looking ahead, WHEN plans to continue its expansion in the U.S. market, focusing on marketing its cybersecurity and telecom solutions. The company is exploring various avenues for raising capital, including potential equity offerings and strategic partnerships. However, there remains substantial doubt regarding its ability to continue as a going concern without securing additional funding. The ongoing geopolitical situation in Israel, where the company has significant operations, may also impact its business activities and financial outlook.