Company: ALTX
Filing Date: 2025-08-08
Form Type: 10-Q
Source: 0001096906-25-001261
Chunk: 1

Company: ALTEX INDUSTRIES INC
Filing Date: 2025-08-08
Form: 10-Q
Item: Part I, Item 1
Chunk 1
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ED STATES PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995

Statements that are not historical facts contained in this Form 10-Q are forward-looking statements that involve risks and uncertainties that could cause actual results to differ from projected results. Factors that could cause actual results to differ materially include, among others: general economic conditions; movements in interest rates; the market price of oil and natural gas; the risks associated with exploration and production of oil and gas; the Company's ability, or the ability of its operating subsidiary, Altex Oil Corporation ("AOC"), to find, acquire, market, develop, and produce new properties; operating hazards attendant to the oil and natural gas business; uncertainties in the estimation of proved reserves and in the projection of future rates of production and timing of development expenditures; the strength and financial resources of the Company's competitors; the Company's ability and AOC's ability to find and retain skilled personnel; climatic conditions; availability and cost of material and equipment; delays in anticipated start-up dates; environmental risks; the results of financing efforts; and other uncertainties detailed elsewhere herein and in the Company’s filings with the Securities and Exchange Commission.

Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operation.

Financial Condition

Effective April 1, 2024, the Company sold certain oil, gas, and mineral interests in Utah for $525,000 cash. As the Company had a zero-dollar basis in the interests sold, the $525,000 was recorded as a gain on sale of assets. The Company used $78,000 cash in operating activities in the nine months ended June 30, 2025, and used $68,000 cash in operating activities in the nine months ended June 30, 2024. Effective February 15, 2025, the Company entered into an extension of its office lease, resulting in the recognition of its right-of-use asset and corresponding lease liability in the amount of $166,000, respectively. At June 30, 2025, $1,235,000 of accrued expense is accrued but unpaid salary and bonus, and related accrued payroll tax liability, due to the Company’s president that the Company’s president has elected to defer. At September 30, 2024, $1,141,000 of accrued expense is accrued but unpaid salary and bonus, and related accrued payroll tax liability, due to the Company’s president that the Company’s president has elected to defer. The Company’s president may cause the Company to