Cavitation Technologies Swings to $734,000 Loss as Revenue Collapses in H1 2026

Cavitation Technologies reported a net loss of $734,000 for the six months ending December 31, swinging from a $352,000 profit in the same period a year earlier. The Nevada-based company generated just $3,000 in revenue for the half, down 96% from $76,000 in the prior-year period. Read more earnings reports.

The company recorded zero revenue in the three months ending December 31, compared to $76,000 in the year-ago quarter. Operating expenses climbed to $726,000 for the six-month period, up 23% from $588,000 a year earlier, while the company reported no cost of revenue.

Cash and cash equivalents dropped to $31,000 as of December 31 from $249,000 at the end of the prior fiscal year on June 30. The company burned through $401,000 in operating activities during the six months, compared to $376,000 in the year-ago period. Cash from financing activities provided $183,000 during the half.

Total assets fell to $55,000 from $297,000 at fiscal year-end. Stockholders' equity turned negative at $248,000 as of December 31, down from positive equity of $69,000 six months earlier. Current liabilities nearly doubled to $153,000 from $78,000 at fiscal year-end, while long-term debt held steady at $150,000.

The company's accumulated deficit widened to $27.7 million as of December 31 from $27.0 million at the end of June. Common shares outstanding increased to 309.7 million from 289.2 million during the six-month period.

Research and development expenses dropped to $11,000 for the half from $24,000 in the prior-year period. Interest expense rose to $11,000 from $3,000 year-over-year.