Company: HYSR
Filing Date: 2025-05-09
Form Type: 10-Q
Source: 0001213900-25-041497
Chunk: 28

Company: SUNHYDROGEN, INC.
Filing Date: 2025-05-09
Form: 10-Q
Item: Part I, Item 8
Chunk 28
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 was primarily the result of a smaller net unrealized loss on the Company’s investments
in the current period whereas the Company had a larger unrealized loss on the Company’s investments in the same period of the prior
year.

Net Loss

For
the nine months ended March 31, 2025, our net loss was $7,255,839, compared to a net loss of $7,498,983 for the nine months ended March
31, 2024. The decrease in net loss of $243,144 was primarily due to a smaller net unrealized loss on the Company’s investments in
the current period whereas the Company had a larger unrealized loss on the Company’s investments in the same period of the prior
year. In addition, the Company has not generated any revenues.

Liquidity and Capital Resources

Liquidity is the ability of
a company to generate funds to support its current and future operations, satisfy its obligations, and otherwise operate on an ongoing
basis. Significant factors in the management of liquidity are funds generated by operations, levels of accounts receivable and accounts
payable and capital expenditures.

As of March 31, 2025, we had
working capital of $37,961,652, compared to $42,386,683 as of June 30, 2024. This decrease in working capital of $4,425,031 was primarily
due to a decrease in equity securities, related party.

Cash used in operating activities
was $2,970,810 for the nine months ended March 31, 2025, compared to $1,770,631 for the nine months ended March 31, 2024. The net increase
of $1,200,179 in cash used in operating activities was primarily due to a decrease in non-cash expenses, an increase in prepaid expenses,
and decreases in accounts payable and accrued expenses. The Company has had no revenues.

Cash provided by (used in)
investing activities during the nine months ended March 31, 2025 and March 31, 2024 was $(6,030,113) and $3,000,000, respectively. The
net decrease of $9,030,113 in cash provided by (used in) investing activities was due to the redemption of short-term investments in corporate
securities of $3,000,000 during the nine months ended March 31, 2024 compared to purchases of short-term investments of $(6,030,113