Yale Transaction Finders, Inc. reported its financial results for the third quarter and the nine months ended September 30, 2024, revealing continued challenges in profitability and liquidity. The company recorded a net loss of $5.7 million for the third quarter of 2024, slightly improved from a net loss of $6.0 million in the same period of 2023. For the nine months ended September 30, 2024, the net loss increased to $28.5 million compared to $24.7 million for the same period in 2023.

As of September 30, 2024, the company had cash reserves of $3.4 million, a significant increase from $425,000 at the end of September 2023. However, total liabilities surged to $116.4 million from $87.2 million in the previous fiscal period, reflecting a growing financial burden. The accumulated deficit also widened to $1.34 billion from $1.31 billion year-over-year, indicating ongoing operational losses.

General and administrative expenses for the third quarter of 2024 were $4.4 million, down from $5.2 million in the same quarter of 2023. However, for the nine-month period, these expenses rose to $25.1 million from $22.5 million in the prior year, suggesting increased operational costs despite efforts to reduce overhead.

The company’s working capital position deteriorated, with negative working capital reported at $113.1 million as of September 30, 2024, compared to $71.0 million a year earlier. This decline underscores the company's liquidity challenges and reliance on external financing. Notably, the company secured $30.5 million in related party loans during the nine months ended September 30, 2024, compared to $15.0 million in the same period of 2023.

Strategically, Yale Transaction Finders is actively seeking a merger partner to address its financial difficulties and is focused on acquiring an operating business or valuable assets. The management has indicated that no additional full-time employees are expected unless a business combination is completed. The company remains a shell entity, with no current operations until a merger is finalized.

The company also reported material weaknesses in its internal controls, including ineffective financial disclosure controls and a lack of a functioning audit committee. These issues were deemed to have no changes that materially affected financial reporting during the third quarter of 2024.