Company: LTRYW
Filing Date: 2025-04-11
Form Type: S-1
Source: 0001641172-25-003901
Chunk: 122

Company: Lottery.com Inc.
Filing Date: 2025-04-11
Form: S-1
Chunk 122
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 |   |          - |   |     |     |      12,814 |   |     |     |      N/A |   |
| Net loss                                     |     |                            | (8,046,754 | ) |     |   | (3,400,617 | ) |     |     |  (4,646,137 | ) |     |     |      137 | % |

Revenue.

Revenue. Revenue for
the three months ended September 30, 2024 was $201 thousand, a decrease of $84 thousand, or 30%, compared
to revenue of $285 thousand for the three months ended September 30, 2023. During the three months ended September 30,
2024 revenue from Global Gaming decreased by approximately $107 thousand, revenue for TinBu was slightly higher than for the
three months ended September 30, 2023, and there was revenue from the new subsidiary S&MI Ltd. for the month of
September.

Cost of Revenue. Cost of revenue
includes product costs, commission expense to affiliates and commercial partners, and merchant processing fees. Cost of revenue for the
three months ended September 30, 2024 was $84 thousand, an increase of $12 thousand, or 16%, compared
to cost of revenue of $72 thousand for the three months ended September 30, 2023. The increase is primarily related
to cost of revenue for the new subsidiary, S&MI Ltd. acquired on September 1, 2024.

Gross Profit. Gross profit
for the three months ended September 30, 2024 was $117 thousand compared to $213 thousand for the three months ended
September 30, 2023, a decrease of $97 thousand, or 83%. The change in gross profit is correlated to the decrease
in revenue by $85 thousand combined with the increase in Cost of Revenue by $12 thousand.

Operating Costs and Expenses.

|                               |     | For the three months Ended |            |   |     |      |            |   |     |          |           |   |     |          |     |   |
|                               |     |              September 30, |            |   |     |      |            |   |     |          |           |   |     |          |     |   |
|                               |     |                       2024 |            |   |     | 2023 |            |   |     | $ Change |           |