Purebase Corp Posts $347,047 Net Loss in Q1 2026, Narrows Deficit by 23%

Purebase Corp, a development-stage company, reported a net loss of $347,047 for the three months ended February 28, 2026, compared to a net loss of $452,688 for the same period in 2025. The company reported no revenue during either period. Read more earnings reports.

Operating expenses dropped to $231,102 from $418,216 a year earlier, a decline of $187,114 or 45%. The decrease was driven primarily by lower selling, general and administrative costs, which fell to $219,456 from $385,069, and reduced stock-based compensation expense, which declined to $11,646 from $33,147.

Interest expense surged to $112,306 from just $359 in the prior-year quarter, while interest expense to related parties fell to $3,639 from $34,113. Total other expenses for the quarter reached $115,945 compared to $34,472 a year earlier.

Balance Sheet Deteriorates

Cash and cash equivalents stood at $111,629 as of February 28, 2026, up from $5,304 at November 30, 2025. The company raised $377,809 through financing activities during the quarter, including $531,090 from a new line of credit with a related party and $15,000 from notes payable to an officer, offset by $168,281 in debt payments.

Total current liabilities climbed to $1.61 million from $1.15 million at the end of November 2025. The increase was driven by the new related-party line of credit of $531,090. Accounts payable and accrued expenses declined to $259,006 from $300,040.

The company's working capital deficiency widened to $1.44 million from $1.10 million as of November 30, 2025. Total stockholders' deficit stood at $1.26 million at quarter-end compared to a deficit of $928,969 three months earlier.

Cash Flow and Operations

Operating activities consumed $271,484 in cash during the three months ended February 28, 2026, compared to $348,110 used in the same period of 2025. The company had no cash flows from investing activities in either period.

Property and equipment totaled $175,261 net of accumulated depreciation of $60,854. The company recorded depreciation expense of $129 during the quarter compared to $1,819 in the prior-year period.

Common stock outstanding remained flat at 279,468,151 shares as of February 28, 2026. The company has no preferred stock issued or outstanding. Accumulated deficit reached $66.84 million at quarter-end.