Company: LTRYW
Filing Date: 2025-04-22
Form Type: 10-K/A
Source: 0001641172-25-005663
Chunk: 46

Company: Lottery.com Inc.
Filing Date: 2025-04-22
Form: 10-K/A
Chunk 46
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 or become worthless.

General Operational Risks

We have incurred net losses in the past with negative cash flows and suspended operations and may not be able to generate and sustain profitability.

We have a history of incurring
net losses and have suspended significantly our U.S. operations since July 2022, the Operational Cessation. We may not be able to achieve
or maintain a needed level of profitability in the future. On a fully consolidated basis we experienced net losses of approximately $23.9
million for the year ended December 31, 2024, and approximately $60.0 million and $25.6 million for the years ended December 31, 2023
and December 31, 2022, respectively. As of December 31, 2024, we had an accumulated deficit of approximately $258.9 million. While we
have received some limited revenue since the U.S. 2022 Operational Cessation, we cannot predict when or whether we will be able to fully
restart our operations or whether or not we will be able to reach profitability at any time in the future.

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We also expect our operating expenses to increase in the future as we continue to invest for our future growth, which will negatively affect our results of operations if our total revenue does not increase. We cannot ensure that these investments will result in substantial increases in our total revenue or improvements in our results of operations. In addition to the anticipated costs to grow our business, we also expect to incur significant additional legal, accounting, and other expenses as a public company. Once we fully restart our operations, any failure to increase our revenue or to manage our costs could prevent us from achieving or maintaining profitability or positive cash flow.

Our business may be materially adversely affected if our products, technology, services, and solutions do not achieve and maintain broad market acceptance, if we are unable to keep pace with or adapt to rapidly changing technology, evolving industry standards, and changing regulatory requirements, or if we do not invest in product and systems development and provide services that are attractive to our users and customers.

Our future business and financial success will depend on our ability to anticipate the needs of potential users and customers, to achieve and maintain broad market acceptance for our existing and future products, services, and systems, to successfully introduce new and upgraded products, services, and systems, and to successfully implement our current and future geographic expansion plans. To be successful, we must be able to quickly adapt to changes in technology, industry standards, and regulatory