Nauticus Robotics, Inc. reported significant financial challenges in its latest 10-Q filing for the quarter ending September 30, 2024. The company generated revenue of $370,187 for the three months ended September 30, 2024, a substantial decline of 77% compared to $1,593,854 in the same period of 2023. For the nine months ended September 30, 2024, total revenue was $1,336,249, down 76% from $5,542,749 in the prior year. The decrease in revenue is attributed to a lack of product sales, as no product sales were reported for both the three and nine months ended September 30, 2024, and 2023.

Despite the drop in revenue, total costs and expenses for the three months ended September 30, 2024, decreased to $5,940,062, down 39% from $9,792,168 in 2023. This reduction in expenses contributed to an operating loss of $(5,569,875), which improved by 32% from $(8,198,314) in the previous year. However, the net loss for the three months was $(11,356,956), a 36% improvement compared to $(17,678,787) in 2023. For the nine-month period, the net loss increased to $(16,316,664) from $(11,144,012) in the prior year.

The company’s financial position showed a cash and cash equivalents balance of $2,915,757 as of September 30, 2024, a significant increase from $753,398 at the end of 2023. However, total current assets decreased to $7,316,122 from $9,221,131, while total assets fell to $24,987,925 from $26,148,475. Notably, total stockholders’ deficit improved to $(36,505,856) from $(41,786,850) as of December 31, 2023.

Strategically, Nauticus Robotics has been active in managing its debt, with total notes payable increasing to $58,438,574 as of September 30, 2024, up from $48,825,320 at the end of 2023. The company has also engaged in various financing activities, including receiving net proceeds of $22,346,163 from debt and equity financing during the nine months ended September 30, 2024.

The company continues to face liquidity concerns and may require additional funding to sustain operations over the next twelve months. Despite these challenges, Nauticus Robotics believes it has sufficient resources to continue as a going concern for at least one year from the date of the financial statements.