WILMINGTON, Del., Aug. 14, 2025 (GLOBE NEWSWIRE) -- Onfolio Holdings Inc. (NASDAQ: ONFO, ONFOW) (OTC: ONFOP) ("Onfolio" or the "Company"), a company that acquires and manages a portfolio of digital marketing and online education businesses, announces financial results for the first quarter ended June 30, 2025.
Financial Highlights
- Second quarter revenue for fiscal 2025 increased 82.5% to $3.14M vs. $1.72M for the same period in the prior year and increased 11.7% from $2.81M in Q1 of 2025
- Second quarter gross profit for fiscal 2025 increased 98.9% to $1.93M vs. $0.97M for the same period in the prior year and increased 13.5% from $1.7M in Q1 of 2025
- Second quarter total operating expenses for fiscal 2025 increased 54.4% to $2.44M vs. $1.58M for the same period in the prior year but decreased 2% from $2.49M in Q1 of 2025
- Second quarter net loss for fiscal 2025 decreased 16.5% to $0.5M vs. $0.6M for the same period in the prior year and decreased 37.5% from $0.8M in Q1 of 2025
- Cash at 6/30/25 was $0.51M vs. $0.48M at 12/31/24
"We once again made progress in all important metrics in the second quarter. Our revenue and gross profit increased year on year and quarter on quarter. Our operating expenses increased year on year but decreased quarter on quarter, and our net loss decreased both year on year and quarter on quarter. We are getting to where we need to be," said Onfolio Holdings CEO Dominic Wells.
"In addition, we were still carrying some costs from the 2023 re-audit, and the 2024 Eastern Standard audit in Q2. Those are now completed, so we can anticipate far lower accounting and other professional fees in Q3 and for the remainder of the fiscal year."
"Around $150k of our losses in Q2 came from these one-time, extra costs that we do not expect to continue. There was also $300k in amortization, $25k in stock-based compensation, which when removed, bring us very close to breaking even for the quarter, even after interest payments."
"While we haven't made an acquisition since Q4 2024, our pipeline of prospective deal flow is strong. We are currently focusing our efforts on improving the operating results of the current portfolio. We are not in a rush to consummate an acquisition unless it is highly strategic," continued Wells.
"We launched Pace Generative LLC, an AI visibility agency, at the end of Q2, and it immediately started generating recurring monthly revenue. We believe we are very early in the earnings potential of this business."
"We also launched a revenue-share partnership program for course creators, and we've been inundated with applications. We will be commencing work with our first few partnerships before the end of this month and will continue onboarding new partners throughout the rest of 2025."
"Between these two new ventures, and the portfolio we already have, our financial results have room for growth," concluded Wells.
About Onfolio Holdings
Onfolio Holdings acquires controlling interests in and actively manage small online businesses that we believe (i) operate in sectors with long-term growth opportunities, (ii) have positive and stable cash flows, (iii) face minimal threats of technological or competitive obsolescence and (iv) can be managed by our existing team or have strong management teams largely in place. Through the acquisition and growth of a diversified group of online businesses with these characteristics, we believe we offer investors in our shares an opportunity to diversify their own portfolio risk. Visit www.onfolio.com for more information.
Forward-Looking Statements
The information posted in this release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. You can identify these statements by use of the words "may" "will," "should," "plans," "explores," "expects," "anticipates," "continues," "estimates," "projects," "intends," and similar expressions. Examples of forward-looking statements include, among others, statements we make regarding expected operating results, such as revenue growth and earnings, and strategy for growth and financial results.
Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on our current beliefs, expectations and assumptions regarding the future of our business, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of our control. Our actual results and financial condition may differ materially from those indicated in the forward-looking statements. Therefore, you should not rely on any of these forward-looking statements. Important factors that could cause our actual results and financial condition to differ materially from those indicated in the forward-looking statements include, among others, the following: general economic and business conditions, effects of continued geopolitical unrest and regional conflicts, competition, changes in technology and methods of marketing, delays in completing new customer offerings, changes in customer order patterns, changes in customer offering mix, continued success in technological advances and delivering technological innovations, delays due to issues with outsourced service providers, those events and factors described by us in Item 1A "Risk Factors" in our most recent Form 10-K and Form 10-Q; other risks to which our Company is subject; other factors beyond the Company's control. Any forward-looking statement made by us in this press release is based only on information currently available to us and speaks only as of the date on which it is made. We undertake no obligation to publicly update any forward-looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise.
| For investor inquiries: |
| investors@onfolio.com |
| Onfolio Holdings, Inc. | |||||||
| Consolidated Balance Sheets | |||||||
| June 30 | December 31 | ||||||
| 2025 | 2024 | ||||||
| Assets | |||||||
| Current Assets: | |||||||
| Cash | $ | 514,259 | $ | 476,874 | |||
| Accounts receivable, net | 538,420 | 755,804 | |||||
| Inventory | 29,540 | 65,876 | |||||
| Prepaids and other current assets | 196,437 | 138,007 | |||||
| Total Current Assets | 1,278,656 | 1,436,561 | |||||
| Intangible assets | 2,720,986 | 3,323,211 | |||||
| Goodwill | 4,203,145 | 4,210,557 | |||||
| Fixed Assets | 4,279 | 5,135 | |||||
| Due from related party | 130,804 | 126,530 | |||||
| Investment in unconsolidated joint ventures, cost method | 213,007 | 213,007 | |||||
| Investment in unconsolidated joint ventures, equity method | 268,998 | 268,231 | |||||
| Other assets | 11,869 | 9,465 | |||||
| Total Assets | $ | 8,831,744 | $ | 9,592,697 | |||
| Liabilities and Stockholders Equity | |||||||
| Current Liabilities: | |||||||
| Accounts payable and other current liabilities | $ | 965,797 | $ | 969,068 | |||
| Dividends payable | 98,800 | 100,797 | |||||
| Notes payable, current | 462,810 | 312,634 | |||||
| Notes Payable - Related Party, current | 425,965 | 790,000 | |||||
| Contingent consideration | 267,034 | 981,591 | |||||
| Deferred revenue | 339,730 | 589,913 | |||||
| Total Current Liabilities | 2,560,136 | 3,744,003 | |||||
| Notes payable | 732,329 | 450,000 | |||||
| Notes payable - related parties | 1,049,000 | 1,049,000 | |||||
| Due to joint ventures - long term | - | - | |||||
| Total Liabilities | 4,341,465 | 5,243,003 | |||||
| Commitments and Contingencies | |||||||
| Stockholders' Equity: | |||||||
| Preferred stock, $0.001 per value, 5,000,000 shares authorized | |||||||
| Series A Preferred stock, $0.001 par value, 1,000,000 shares authorized, 171,900 and 134,460 issued and outstanding at June 30, 2025 and December 31, 2024 | 170 | 134 | |||||
| Common stock, $0.001 par value, 50,000,000 shares authorized, 5,127,395 issued and outstanding at June 30, 2025 December 31, 2024 | 5,128 | 5,128 | |||||
| Additional paid-in capital | 23,615,658 | 22,316,751 | |||||
| Accumulated other comprehensive income | 88,145 | 68,105 | |||||
| Accumulated deficit | (20,642,129 | ) | (19,078,287 | ) | |||
| Total Onfolio Inc. stockholders equity | 3,066,972 | 3,311,831 | |||||
| Non-Controlling Interests | 1,423,307 | 1,037,863 | |||||
| Total Stockholders' Equity | 4,490,279 | 4,349,694 | |||||
| Total Liabilities and Stockholders' Equity | $ | 8,831,744 | $ | 9,592,697 | |||
| The accompanying notes are an integral part of these consolidated financial statements | |||||||
| Onfolio Holdings, Inc. | ||||||||||||||||
| Consolidated Statements of Operations | ||||||||||||||||
| For the Three Months Ended June 30, | For the Six Months Ended June 30, | |||||||||||||||
| 2025 | 2024 | 2025 | 2024 | |||||||||||||
| Revenue, services | $ | 2,062,603 | $ | 993,166 | $ | 3,859,198 | $ | 1,716,717 | ||||||||
| Revenue, product sales | 1,085,606 | 733,433 | 2,100,954 | 1,596,784 | ||||||||||||
| Total Revenue | 3,148,209 | 1,726,599 | 5,960,152 | 3,313,501 | ||||||||||||
| Cost of revenue, services | 1,074,065 | 557,518 | 2,086,349 | 924,224 | ||||||||||||
| Cost of revenue, product sales | 135,867 | 193,650 | 228,406 | 409,510 | ||||||||||||
| Total cost of revenue | 1,209,932 | 751,168 | 2,314,755 | 1,333,734 | ||||||||||||
| Gross profit | 1,938,277 | 975,431 | 3,645,397 | 1,979,767 | ||||||||||||
| Operating expenses | ||||||||||||||||
| Selling, general and administrative | 2,066,796 | 1,351,655 | 4,288,142 | 2,536,839 | ||||||||||||
| Professional fees | 345,741 | 221,255 | 583,646 | 401,445 | ||||||||||||
| Acquisition costs | 32,263 | 8,946 | 65,673 | 103,287 | ||||||||||||
| Impairement of goodwill and intangible assets | - | - | - | - | ||||||||||||
| Total operating expenses | 2,444,800 | 1,581,856 | 4,937,461 | 3,041,571 | ||||||||||||
| Loss from operations | (506,523 | ) | (606,425 | ) | (1,292,064 | ) | (1,061,804 | ) | ||||||||
| Other income (expense) | ||||||||||||||||
| Equity method income (loss) | (142 | ) | (1,063 | ) | 767 | (6,217 | ) | |||||||||
| Dividend income | 7,671 | - | 9,921 | - | ||||||||||||
| Interest income (expense), net | (72,602 | ) | (22,718 | ) | (173,322 | ) | (40,438 | ) | ||||||||
| Other income | 20,746 | 1,163 | 25,729 | 1,590 | ||||||||||||
| Gain on change in fair value of contingent consideration | 16,539 | - | 70,712 | - | ||||||||||||
| Impairment of investments | - | - | - | - | ||||||||||||
| Gain on sale of business | - | - | - | - | ||||||||||||
| Total other income | (27,788 | ) | (22,618 | ) | (66,193 | ) | (45,065 | ) | ||||||||
| Loss before income taxes | (534,311 | ) | (629,043 | ) | (1,358,257 | ) | (1,106,869 | ) | ||||||||
| Income tax (provision) benefit | (128 | ) | - | 17,390 | - | |||||||||||
| Net loss | (534,439 | ) | (629,043 | ) | (1,340,867 | ) | (1,106,869 | ) | ||||||||
| Net loss attributable to noncontrolling interest | (35,165 | ) | 1,254 | (23,124 | ) | 1,918 | ||||||||||
| Net loss attributable to Onfolio Holdings Inc. | (569,604 | ) | (627,789 | ) | (1,363,991 | ) | (1,104,951 | ) | ||||||||
| Preferred Dividends | (95,930 | ) | (84,468 | ) | (199,851 | ) | (166,113 | ) | ||||||||
| Net loss to common shareholders | $ | (665,534 | ) | $ | (712,257 | ) | $ | (1,563,842 | ) | $ | (1,271,064 | ) | ||||
| Net loss per common shareholder | ||||||||||||||||
| Basic and diluted | $ | (0.13 | ) | $ | (0.14 | ) | $ | (0.30 | ) | $ | (0.25 | ) | ||||
| Weighted average shares outstanding | ||||||||||||||||
| Basic and diluted | 5,127,395 | 5,109,373 | 5,127,395 | 5,108,384 | ||||||||||||
| The accompanying notes are an integral part of these consolidated financial statements | ||||||||||||||||
| Onfolio Holdings, Inc. | ||||||||||||||||||||||||||||||
| Consolidated Statements of Stockholders' Equity | ||||||||||||||||||||||||||||||
| For the Three and Six Months Ended June 30, 2025 and 2024 | ||||||||||||||||||||||||||||||
| Preferred Stock, $0.001 Par value | Common Stock, $0.001 Par Value | Additional | Accumulated | Accumulated Other | Non | Stockholders' | ||||||||||||||||||||||||
| Shares | Amount | Shares | Amount | Paid-In Capital | Deficit | Comprehensive Income | Controlling Interest | Equity | ||||||||||||||||||||||
| Balance, December 31, 2024 | 134,460 | $ | 134 | 5,127,395 | $ | 5,128 | $ | 22,316,751 | $ | (19,078,287 | ) | $ | 68,105 | $ | 1,037,863 | $ | 4,349,694 | |||||||||||||
| - | - | - | - | - | - | |||||||||||||||||||||||||
| Sale of preferred stock for cash | 28,000 | 28 | - | - | 699,972 | - | - | - | 700,000 | |||||||||||||||||||||
| Preferred stock and common stock options issued for payment of contingent consideration | 2,800 | 3 | - | - | 169,997 | - | - | - | 170,000 | |||||||||||||||||||||
| Stock-based compensation | - | - | - | - | 272,930 | - | - | - | 272,930 | |||||||||||||||||||||
| Payment of note payble by NCI | 400,000 | 400,000 | ||||||||||||||||||||||||||||
| Preferred dividends | - | - | - | - | - | (103,921 | ) | - | - | (103,921 | ) | |||||||||||||||||||
| Foreign currency translation | - | - | - | - | - | - | 29,047 | - | 29,047 | |||||||||||||||||||||
| Distribution to non-controlling interest | (17,820 | ) | (17,820 | ) | ||||||||||||||||||||||||||
| Net loss | - | - | - | - | - | (794,387 | ) | - | (12,041 | ) | (806,428 | ) | ||||||||||||||||||
| Balance, March 31, 2025 | 165,260 | 165 | 5,127,395 | 5,128 | 23,459,650 | (19,976,595 | ) | 97,152 | 1,408,002 | 4,993,502 | ||||||||||||||||||||
| - | - | - | - | - | - | |||||||||||||||||||||||||
| Sale of preferred stock for cash | 5,200 | 5 | - | - | 129,995 | - | - | - | 130,000 | |||||||||||||||||||||
| Stock-based compensation | - | - | - | - | 26,013 | - | - | - | 26,013 | |||||||||||||||||||||
| Preferred dividends | - | - | - | - | - | (95,930 | ) | - | - | (95,930 | ) | |||||||||||||||||||
| Foreign currency translation | - | - | - | - | - | - | (9,007 | ) | - | (9,007 | ) | |||||||||||||||||||
| Distribution to non-controlling interest | (19,860 | ) | (19,860 | ) | ||||||||||||||||||||||||||
| Net loss | - | - | - | - | - | (569,604 | ) | - | 35,165 | (534,439 | ) | |||||||||||||||||||
| Balance, June 30, 2025 | 170,460 | $ | 170 | 5,127,395 | $ | 5,128 | $ | 23,615,658 | $ | (20,642,129 | ) | $ | 88,145 | $ | 1,423,307 | $ | 4,490,279 | |||||||||||||
| Balance, December 31, 2023 | 92,260 | 93 | 5,107,395 | 5,108 | 21,107,311 | (16,957,854 | ) | 182,465 | - | 4,337,123 | ||||||||||||||||||||
| Acquisition of Business | 17,000 | 17 | - | - | 484,983 | - | - | 126,000 | 611,000 | |||||||||||||||||||||
| Sale of preferred stock for cash | 400 | - | - | - | 10,000 | - | - | - | 10,000 | |||||||||||||||||||||
| Stock-based compensation | - | - | - | - | 17,887 | - | - | - | 17,887 | |||||||||||||||||||||
| Preferred dividends | - | - | - | - | - | (81,645 | ) | - | - | (81,645 | ) | |||||||||||||||||||
| Foreign currency translation | - | - | - | - | - | - | (39,134 | ) | (39,134 | ) | ||||||||||||||||||||
| Distribution to non-controlling interest | - | - | - | - | - | - | - | - | - | |||||||||||||||||||||
| Net loss | - | - | - | - | - | (477,162 | ) | - | (664 | ) | (477,826 | ) | ||||||||||||||||||
| Balance, March 31, 2024 | 109,660 | 110 | 5,107,395 | 5,108 | 21,620,181 | (17,516,661 | ) | 143,331 | 125,336 | 4,377,405 | ||||||||||||||||||||
| Acquisition of Business | 8,000 | 8 | - | - | 199,992 | - | - | 200,000 | 400,000 | |||||||||||||||||||||
| Stock-based compensation | - | - | - | 27,510 | - | - | - | 27,510 | ||||||||||||||||||||||
| Common stock issued for exercise of options | - | - | 20,000 | 20 | (20 | ) | - | - | - | - | ||||||||||||||||||||
| Preferred dividends | - | - | - | - | - | (84,468 | ) | - | - | (84,468 | ) | |||||||||||||||||||
| Foreign currency translation | - | - | - | - | - | - | 15,778 | 15,778 | ||||||||||||||||||||||
| Distribution to non-controlling interest | - | - | - | - | - | - | - | (3,600 | ) | (3,600 | ) | |||||||||||||||||||
| Net loss | - | - | - | - | - | (627,789 | ) | - | (1,254 | ) | (629,043 | ) | ||||||||||||||||||
| Balance, June 30, 2024 | 117,660 | $ | 118 | 5,127,395 | $ | 5,128 | $ | 21,847,663 | $ | (18,228,918 | ) | $ | 159,109 | $ | 320,482 | $ | 4,103,582 | |||||||||||||
| The accompanying notes are an integral part of these consolidated financial statements | ||||||||||||||||||||||||||||||
| Onfolio Holdings, Inc. | |||||||
| Consolidated Statements of Cash Flows | |||||||
| For the six Months Ended June 30, 2025 and 2024 | |||||||
| 2025 | 2024 | ||||||
| Cash Flows from Operating Activities | |||||||
| Net loss | $ | (1,340,867 | ) | $ | (1,106,869 | ) | |
| Adjustments to reconcile net loss to net cash provided by operating activities: | |||||||
| Stock-based compensation expense | 298,943 | 45,397 | |||||
| Equity method loss (income) | (767 | ) | 6,217 | ||||
| Dividends received from equity method investment | - | - | |||||
| Amortization of intangible assets | 602,225 | 250,437 | |||||
| Depreciation expense | 856 | ||||||
| Impairment of intangible assets | - | - | |||||
| Change in FV of contingent consideration | (70,712 | ) | - | ||||
| Net change in: | |||||||
| Accounts receivable | 217,384 | (174,807 | ) | ||||
| Inventory | 36,336 | 8,051 | |||||
| Prepaids and other current assets | (60,834 | ) | (53,532 | ) | |||
| Accounts payable and other current liabilities | (3,271 | ) | 209,661 | ||||
| Due to joint ventures | (4,274 | ) | 29,653 | ||||
| Deferred revenue | (250,183 | ) | 22,045 | ||||
| Due to related parties | - | - | |||||
| Net cash used in operating activities | (575,164 | ) | (763,747 | ) | |||
| Cash Flows from Investing Activities | |||||||
| Cash paid to acquire businesses | - | (255,000 | ) | ||||
| Investments in unconsolidated entities | - | (49,000 | ) | ||||
| Investment in cryptocurrency | - | - | |||||
| Net cash used in investing activities | - | (304,000 | ) | ||||
| Cash Flows from Financing Activities | |||||||
| Proceeds from sale of Series A preferred stock | 830,000 | 10,000 | |||||
| Proceeds from exercise of stock options | - | - | |||||
| Payments of preferred dividends | (201,848 | ) | (151,035 | ) | |||
| Distributions to non-controlling interest holders | (37,680 | ) | (3,600 | ) | |||
| Proceeds from notes payable | 358,800 | 417,900 | |||||
| Payments on note payables | (266,295 | ) | (56,516 | ) | |||
| Payments on acquisition note payables | - | - | |||||
| Proceeds from notes payable - related parties | 35,965 | 200,000 | |||||
| Payments on note payables - related parties | - | (1,000 | ) | ||||
| Payments on contigent consideration | (133,845 | ) | - | ||||
| Net cash provided by financing activities | 585,097 | 415,749 | |||||
| Effect of foreign currency translation | 27,452 | (20,238 | ) | ||||
| Net Change in Cash | 37,385 | (672,236 | ) | ||||
| Cash, Beginning of Period | 476,874 | 982,261 | |||||
| Cash, End of Period | 514,259 | $ | 310,025 | ||||
| Cash Paid For: | |||||||
| Income Taxes | $ | - | $ | - | |||
| Interest | $ | 122,733 | $ | 41,700 | |||
| Non-cash transactions: | |||||||
| Preferred dividends accrued | $ | 199,851 | $ | 166,113 | |||
| Notes payable issued for asset acquisitions | $ | - | $ | 640,000 | |||
| Preferred stock issued for acquisitions | $ | - | $ | 625,000 | |||
| Contingent consideration issued for acquisition | $ | - | $ | 1,869,000 | |||
| Common stock issued for acquisitions | $ | - | $ | 60,000 | |||
| Non-controlling interest for acquisition | $ | 126,000 | |||||
| Settlement of contingent consideration | $ | 510,000 | $ | - | |||
| Non-controlling interest issued for settlement of note payable | $ | 400,000 | $ | - | |||
| Common stock issued for conversion of stock options | $ | - | $ | 20 | |||
| The accompanying notes are an integral part of these consolidated financial statements | |||||||
