Global Warming Solutions, Inc. Reports Challenging Financial Performance, Net Losses, and Working Capital Deficit

Global Warming Solutions, Inc. reported its financial results for the three and six months ended June 30, 2024, revealing a challenging performance compared to the same periods in 2023. The company recorded no revenue for both the three and six months ended June 30, 2024, consistent with the previous year.

Total operating expenses for the three months ended June 30, 2024, were $73,022, a decrease from $113,220 in the same period of 2023. This reduction was primarily due to lower selling, general, and administrative expenses, which fell from $90,158 to $38,027, and a significant increase in professional fees from $9,110 to $31,997. Despite the decrease in operating expenses, the company reported a net loss of $370,544 for the three months ended June 30, 2024, compared to a net loss of $118,124 in the prior year.

For the six months ended June 30, 2024, total operating expenses were $143,579, down from $374,072 in the same period of 2023. The decrease was attributed to lower selling, general, and administrative expenses and a reduction in research and development costs. The net loss for the six months ended June 30, 2024, was $447,586, compared to a net loss of $375,795 for the same period in 2023.

Cash used in operating activities increased to $267,687 for the six months ended June 30, 2024, from $196,689 in the prior year. This increase was driven by a higher net loss and changes in working capital components, including a decrease in marketable securities and other receivables.

As of June 30, 2024, the company had total assets of $53,354, with cash balances of $2,946. The company’s current liabilities stood at $514,029, resulting in a working capital deficit of $481,765. Management has raised concerns about the company's ability to continue as a going concern, citing ongoing losses and reliance on capital loans and equity investments for operations.

Strategically, the company has been active in pursuing partnerships and technology development. Notable developments include the acquisition of AQST-USA, LLC, and a contract with the US Navy for hydrogen technology integration. The company is focused on launching a patented device aimed at producing clean hydrogen and oxygen, targeting markets such as the Department of Defense and Department of Energy.

Overall, Global Warming Solutions, Inc. continues to navigate significant financial challenges while pursuing strategic initiatives to enhance its market position in the clean energy sector.