Company: RAIN
Filing Date: 2025-11-13
Form Type: 10-Q
Source: 0001213900-25-110062
Chunk: 128

Company: Rain Enhancement Technologies Holdco, Inc.
Filing Date: 2025-11-13
Form: 10-Q
Item: Part I, Item 2
Chunk 128
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there are conditions or events that raise substantial doubt about the Company’s ability to continue as a going concern within one
year after the date that the financial statements are issued. This assessment considers our current cash position, projected cash requirements,
and its ability to obtain additional funding.

21

As of September 30, 2025, we had approximately
$237,000 in cash and had a working capital deficit of approximately $10.1 million. We expect to continue incurring expenses as we
scale our operations and begin to generate revenue. While we intend to fund future operations using available capacity under our line
of credit (“LOC”) and projected cash flows from operations, the absence of revenue to date raises substantial doubt about
its ability to continue as a going concern.

Our management’s plans to address this uncertainty
include reducing expenditures and seeking additional financing through debt, equity, or a combination of both. However, there is no assurance
that such funding will be available on acceptable terms, or at all.

Accordingly, our management has determined that
we do not have sufficient liquidity to meet our anticipated obligations over the next year from the date of issuance of these unaudited
condensed consolidated financial statements. The unaudited condensed consolidated financial statements included in this Report do not
include any adjustments that might result from the outcome of this uncertainty.

Results of Operations 

For the three months ended September 30, 2025,
we had net loss of approximately $2.2 million, which consisted of general and administrative expenses of approximately $1.5 million (primarily
related to personnel costs, stock based compensation expenses, professional services including quarterly audit, marketing, and other corporate
operating expenses), installation costs of approximately $56,000, research and development expenses of approximately $46,000, amortization
expenses of approximately $3,000, a loss due to change in fair value of warrant liability of $312,500, and net interest expenses and interest
income from operating account of approximately $243,000.

For the nine months ended September 30, 2025, we had net loss of approximately
$4.6 million, which consisted of general and administrative expenses of approximately $3.9 million (primarily related to personnel costs,
stock based compensation expenses, professional services including annual audit, marketing, and other corporate operating expenses), installation
costs of approximately $74,000, research and development expenses of approximately $48,000, amortization expenses of approximately $9,000