REGO Payment Architectures, Inc. reported its financial results for the three and nine months ended September 30, 2024, highlighting significant changes in its financial position compared to the previous fiscal period. The company, which focuses on providing a mobile payment platform for minors, continues to face challenges in revenue generation, reporting no net revenue for both the three and nine months ended September 30, 2024, consistent with the same periods in 2023.

For the three months ended September 30, 2024, REGO recorded a net loss of $2,173,987, a decrease from a net loss of $2,443,322 in the same period of 2023. The net loss attributable to common stockholders also improved to $(2,878,586) from $(3,096,978) year-over-year. For the nine months ended September 30, 2024, the net loss was $7,109,131, significantly reduced from $13,994,440 in the prior year, indicating a positive trend in loss reduction.

Total operating expenses for the three months ended September 30, 2024, were $1,926,677, down from $2,189,009 in 2023. Notably, sales and marketing expenses decreased sharply to $116,605 from $468,115, reflecting a strategic shift in marketing efforts. Conversely, product development expenses increased to $912,706 from $758,614, indicating ongoing investment in technology and compliance enhancements.

The company’s financial position showed a decline in cash and cash equivalents, which fell to $4,475,158 as of September 30, 2024, from $6,256,634 at the end of 2023. Total current liabilities increased to $40,155,131 from $37,990,499, contributing to a stockholders' deficit of $(35,332,883) compared to $(31,390,052) at the end of the previous fiscal year.

REGO's strategic initiatives included engaging a merchant bank for capital funding and exploring potential sales, alongside amendments to stock options to extend their terms. The company also reported accrued preferred dividends of $2,001,033 for the nine months ended September 30, 2024, an increase from $1,565,583 in the same period of 2023.

As of November 14, 2024, REGO's cash position was approximately $3.9 million, which is expected to sustain operations only through April 2025. The company has indicated that significant revenue generation is not anticipated until at least Q1 2025, raising concerns about its ability to continue as a going concern without additional financing.