Company: AVNI
Filing Date: 2025-07-15
Form Type: 10-Q/A
Source: 0001713282-25-000560
Chunk: 5

Company: ARVANA INC
Filing Date: 2025-07-15
Form: 10-Q/A
Chunk 5
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| 10 |

Note 1 – Organization and Summary of Significant Accounting Policies– ( continued)

Earnings (Loss) Per Share

Basic earnings (loss) per share are computed using the weighted average number of common shares outstanding during the year. Diluted earnings (loss) per share are computed using the weighted average number of common shares and potentially dilutive common stock equivalents, including stock options and warrants. The Company had 7,950,000outstanding stock options at June 30, 2024 and 7,950,000at June 30, 2023, which have been excluded from the calculation of diluted loss per share because their effects would be anti-dilutive due to net losses in both periods.

Recently Issued Accounting Pronouncements Adopted by the Company

In June 2016 the FASB issued ASU 2016-13 Financial Instruments–Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments. ASU 2016-13 is intended to provide financial statement users with more decision-useful information about expected credit losses on financial instruments and other commitments and requires consideration of a broader range of reasonable and supportable information to inform credit loss estimates. The Company adopted ASU 2016-13 effective January 1, 2023, which adoption has not had a material effect on its financial statements.

Reclassifications

To conform with the current year presentation on the statement of operations, the Company made the following reclassifications for the three and six months ended June 30, 2023:

| • | Lease                                                                                     
 Revenue: $12,000 and $20,000 were reclassified from other income and expenses to revenue. |

| • | Cost                                                                                        
 of Services: $8,781 and $9,041 were reclassified from cost of sales, as previously included 
 in operating expenses, to cost of services and included in gross profit.                    |

These reclassifications had no impact on net loss, total assets, or total liabilities for the period presented.

Note 2 – Going Concern

The Company incurred a net loss of $ 276,936and $ 1,042,669for the six months ended June 30, 2024 and 2023, respectively, and a net loss of $ 1,316,573for the year ended December 31, 2023. The Company had a working capital deficit of $ 780,348and an accumulated deficit of $ 37,856,892as of June