Company: RAIN
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001213900-25-076727
Chunk: 35

Company: Rain Enhancement Technologies Holdco, Inc.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 1
Chunk 35
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, 2025, we had approximately $16,000 in
cash and had a working capital deficit of approximately $8.3 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 June 30, 2025, we had
net loss of approximately $953,000, which consisted of general and administrative expenses of approximately $1.1 million (primarily related
to personnel costs, professional services including quarterly audit, marketing, and other corporate operating expenses), amortization
expenses of approximately $3,000, a loss due to change in fair value of warrant liability of $72,500, and interest expenses and minimal
tax expenses and interest income from operating account of approximately $34,000, partially offset by gain from settlement with vendor
of approximately $226,000.

For the six months ended June 30, 2025, we had
net loss of approximately $2.4 million, which consisted of general and administrative expenses of approximately $2.4 million (primarily
related to personnel costs, professional services including annual audit, marketing, and other corporate operating expenses), amortization
expenses of approximately $6,000, a loss due to change in fair value of warrant liability of $162,500, and interest expenses and minimal
tax expenses and interest income from operating account of approximately $81,000, partially offset by gain from settlement with vendor
of approximately $226,000.

For the three months ended June 30, 2024, we had
net loss of approximately $325,000, which consisted of general and administrative expenses of approximately $315,000,