Company: SLNH
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001493152-25-023503
Chunk: 267

Company: Soluna Holdings, Inc
Filing Date: 2025-11-14
Form: 10-Q
Item: Part I, Item 8
Chunk 267
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 million in relation to receipt of Briscoe deposit in January 2025.

Net
cash used by operations was approximately $3.4 million during the nine months ended September 30, 2024. The Company had a net loss for
the nine months ended September 30, 2024 of approximately $19.8 million. Non-cash items included approximately $4.6 million of depreciation
expense and $7.1 million of amortization expenses, $3.3 million of stock compensation expenses, $7.1 million of loss on debt extinguishment
and revaluation, $611 thousand in provision for credit losses, and $179 thousand amortized deferred financing costs. These non-cash items
were offset with a deferred tax benefit of $1.8 million. The change in asset and liabilities is mainly due to an increase in prepaid
expenses and other long-term assets by $9.2 million due to a prepayment of an arrangement with HPE of $10.3 million that is being amortized
over the life of the agreement, an increase in accrued expenses and accounts payable of $4.2 million in relation to bonus accruals, NYDIG
interest, and Project Dorothy 2 and Kati related bills. The other changes in assets and liabilities were not material.

63

Investing
Activities

Net
cash used in investing activities during the nine months ended September 30, 2025 was approximately $18.1 million consisting mainly
of capital expenditures of $17.0 million, which consist of additions to property, plant, and equipment offset with transfers from
deposits on equipment, and $1.0 million deposit on equipment purchases. Net cash used in investing activities during the nine months
ended September 30, 2024 was approximately $7.7 million consisting mainly of capital expenditures of $3.7 million and deposits on
equipment purchases of $4.1 million.

Financing
Activities

    (Dollars in thousands) 
    Nine
                                            months ended September
                                            30, 

    2025  
    2024 

    Proceeds from debt issuance 
    $18,434  
    $14,470 
  
    Payments on debt and deferred financing costs 
     (6,938) 
     (2,261)
  
    Contributions from non-controlling interest 
     22,078  
     5,098 
  
    Distributions to non-controlling interest