Company: LTRYW
Filing Date: 2025-08-19
Form Type: 10-Q
Source: 0001641172-25-024882
Chunk: 68

Company: Lottery.com Inc.
Filing Date: 2025-08-19
Form: 10-Q
Item: Part I, Item 1
Chunk 68
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 to include pool plays, ticket subscriptions, loyalty programs and
various gamification modules.

The Company is moving forward
with its previously announced plans to monetize the Sports.com brand. Those plans include introducing an advertising-supported subscription
model; the creation and licensing of original content through Sports.com Studios; and completing the acquisition of Nook and marketing
business licenses to companies in the sports, health and wellness markets seeking access to Dubai and the broader Middle Eastern market.

The acquisition of DotCom Ventures Inc. introduces additional revenue streams
for us including concert and sporting events ticket sales, an entertainment focused marketplace of concert memorabilia, live streaming
of concert events, and ticket sales in international jurisdictions.

10

Results
of Operations

Our
consolidated financial statements have been prepared assuming that we will continue as a going concern and, accordingly, do not include
adjustments relating to the recoverability and realization of assets and classification of liabilities that might be necessary should
we be unable to continue in operation. We will require additional capital to meet our long-term operating requirements. We expect to
raise additional capital through, among other things, the sale of equity or debt securities.

Three
Months Ended June 30, 2025 Compared to Three Months Ended June 30, 2024

The
following table summarizes our results of operations for the three months ended June 30, 2025 and June 30, 2024, respectively.

    For the three months Ended June 30,  

    2025  
    2024  
    $ Change  
    % Change 

    Revenue 
    $191,762  
    $256,998  
     (65,236) 
     -25%
  
    Cost of revenue 
     162,733  
     45,570  
     117,163  
     257%
  
    Gross profit 
     29,029  
     211,428  
     (182,399) 
     -86%

    Operating expenses: 

    Personnel costs 
     438,966  
     1,789,986  
     (1,351,020) 
     -75%
  
    Professional fees 
     1,339,869  
     1,545,083  
     (205,214) 
     -34%
  
    General and administrative 
     1,123,574