Company: HYSR
Filing Date: 2025-09-15
Form Type: 10-K
Source: 0001213900-25-087311
Chunk: 214

Company: SUNHYDROGEN, INC.
Filing Date: 2025-09-15
Form: 10-K
Item: Item 1C
Chunk 214
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 interest expense of $3,932 offset by a decrease in investment income of $276,558, a decrease in capital gain
on sale of vehicle of $55,166, and a decrease in realized gain on redemption of marketable securities of $35,080. 

Net Income (Loss) 

For the year ended June 30,
2025, our net loss was $8,226,307, compared to a net loss of $9,881,203 for the year ended June 30, 2024. The majority of the decrease
in net loss of $1,654,896, was related primarily to the decrease in other income (expenses) offset by the increase in operating expenses
as explained above.

Liquidity and Capital Resources

Liquidity is the ability of
a company to generate funds to support its current and future operations, satisfy its obligations, and otherwise operate on an ongoing
basis. Significant factors in the management of liquidity are funds generated by operations, levels of accounts receivable and accounts
payable and capital expenditures. 

As of June 30, 2025, we had
a working capital surplus of $37,048,679, compared to a working capital surplus of $42,386,683 as of June 30, 2024. This decrease in working
capital surplus of $5,338,004 was primarily due to a decrease in cash and equity securities, related party offset by an increase in short-term
investments.

Cash flow used in operating
activities was $3,647,278 for the year ended June 30 2025, compared to $1,842,726 for the year ended June 30, 2024. The increase of $1,804,552
in cash used by operating activities was primarily due to a decrease in non-cash expenses, an increase in prepaid expenses, other receivables,
and accrued expenses, and decrease in accounts payable. The Company had no revenues during the years ended June 30, 2025 and 2024.

Cash provided by (used in)
investing activities for the year ended June 30, 2025 was $(2,924,988), compared to $2,920,237 for the year ended June 30, 2024. The decrease
of $5,845,225 in cash provided by (used in) investing activities was due to the net purchase of short-term investments of $2,907,988 and
purchase of vehicles