Nixxy, Inc., formerly known as Recruiter.com Group, Inc., reported significant financial challenges in its latest 10-K filing for the fiscal year ending December 31, 2024. The company recorded a revenue of $612,046, a substantial decline of 81% from $3.2 million in 2023. This drop was primarily attributed to a near-total cessation of revenue from its Recruiters on Demand business, which fell to $120 from $1.8 million the previous year. The company also noted that its software subscription services generated no revenue in 2024, compared to $412,898 in 2023.
The operational landscape for Nixxy has shifted dramatically, with the company undergoing a strategic transformation that included the sale of its staffing business in 2023 and the divestiture of its Recruiter.com website in 2024. The company is now focusing on telecommunications and AI technologies, highlighted by its recent acquisition of Savitr Tech OU, which specializes in telecommunications and AI-integrated billing systems. This acquisition, completed on February 19, 2025, involved a cash payment of $300,000 and equity consideration contingent on revenue milestones, potentially totaling 9.8% of the company's outstanding shares.
Nixxy's operational metrics reflect a significant restructuring, with the company reporting a net loss from continuing operations of $22.6 million for 2024, compared to a net loss of $7.7 million in 2023. The increase in losses was driven by a goodwill impairment charge of $4.7 million and a loss on debt settlement of $8.5 million. The company’s total liabilities as of December 31, 2024, stood at $4.4 million, while stockholders' equity increased to $2.6 million from $930,008 in the previous year, largely due to equity issuances related to debt settlements.
Looking ahead, Nixxy's management has expressed substantial doubt about the company's ability to continue as a going concern without securing additional financing. The company reported cash on hand of approximately $2.5 million, which is insufficient to meet its operational needs for the next 12 months. To address these challenges, Nixxy is exploring various strategic initiatives, including a $10 million share repurchase program and potential acquisitions to enhance its market position in the telecommunications sector. The company remains focused on leveraging AI technologies to drive future growth and operational efficiencies.
About Recruiter.com Group, Inc.
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