Company: AVNI
Filing Date: 2025-08-15
Form Type: 10-Q
Source: 0001713282-25-000654
Chunk: 17

Company: ARVANA INC
Filing Date: 2025-08-15
Form: 10-Q
Item: Item 2
Chunk 17
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 compared to $153,222 for the three months ended June 30, 2024, an increase of 166.9%. The higher net loss was primarily driven by increased interest expense related to extinguished debt, partially offset by gain recorded on extinguished debt. Additional contributors included higher operating expenses including consulting fees, accounting fees, and auditing fees offset by reductions in executive compensation as management attempts to streamline the Company’s operations. The Company anticipates continuing to realize net losses over the next twelve months as management works to implement its business model.
 
22

Capital Expenditures
 
The Company spent $6,809 on capital expenditures during the six months ended June 30, 2025 to purchase marine equipment for fishing charters. Capital expenditures during the six months ended June 30, 2024 consisted of $25,000 for website development costs.
Liquidity and Capital Resources
 
Since inception, the Company has experienced significant changes in liquidity, capital structure, and stockholders’ deficit.
 
The Company had current assets of $24,306 as of June 30, 2025, consisting of cash and prepaid expenses, compared to $18,393 as of December 31, 2024, consisting of cash and other current assets. Total assets were $198,498 as of June 30, 2025, including current assets, property and equipment, and intangible assets, compared to $202,176 as of December 31, 2024, with a similar asset composition.
 
The Company had current liabilities of $1,537,416 as of June 30, 2025 consisting of accounts payable, other current liabilities, related-party payables, and the current portion of long-term debt, compared to current liabilities of $988,373 as of December 31, 2024, with a similar composition. Total liabilities were $1,647,361 as of June 30, 2025, consisting of current liabilities and notes payable, compared to $1,453,142 as of December 31, 2024, with a similar composition. The increase in current liabilities was attributed primarily to the accrual of professional fees for consulting, accounting, and auditing services.
 
The Company had a working capital deficit of $1,513,110 as of June 30, 2025, compared to $969,980 as of December 31, 2024. The increase in this deficit was primarily attributed to the transition of long-term debt to current liabilities as maturity dates approach for