Crown Equity Holdings, Inc. reported significant financial challenges in its 10-Q filing for the quarter ending September 30, 2024. The company recorded a net loss of $513,006 for the three months ended September 30, 2024, compared to a net loss of $29,945 for the same period in 2023. For the nine months ended September 30, 2024, the net loss escalated to $3,700,368, a substantial increase from the $67,723 loss reported in the prior year.

Revenue for the three months ended September 30, 2024, was $369, while total revenue for the nine months reached $831, marking a notable increase from zero revenue in the same periods of 2023. This revenue growth was primarily attributed to the introduction of click-based and impression ads, as well as press release dissemination services. However, total operating expenses surged to $509,086 for the third quarter and $1,309,734 for the nine months, up from $26,438 and $62,744, respectively, in the previous year. A significant portion of these expenses was due to the amortization of warrant discounts, which accounted for $497,785 in Q3 2024 and $1,244,500 for the nine-month period.

As of September 30, 2024, Crown Equity's total current assets were $3,544, a sharp decline from $6,739 at the end of 2023. Current liabilities also decreased significantly to $308,645 from $1,476,186, resulting in a working capital deficit of $305,101. The total stockholders' deficit improved to $(305,101) from $(1,469,447) at the end of the previous fiscal year, reflecting a reduction in liabilities.

The company has expressed substantial doubt about its ability to continue as a going concern, citing insufficient capital to meet operational needs and compliance costs. Management plans to raise funds through debt and equity financing, although there is no assurance that such financing will be available on acceptable terms.

Crown Equity's financial reporting has been impacted by material weaknesses in internal controls, including a lack of segregation of duties and the absence of an audit committee, attributed to limited working capital. The company intends to engage additional accounting support as finances permit.

Overall, while Crown Equity Holdings, Inc. has made strides in generating revenue, it continues to face significant operational and financial hurdles.