Company: TOGIW
Filing Date: 2025-08-13
Form Type: 10-Q
Source: 0001214659-25-011987
Chunk: 10

Company: TurnOnGreen, Inc.
Filing Date: 2025-08-13
Form: 10-Q
Item: Part I, Item 1
Chunk 10
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 Net loss available to common shareholders      $(1,192,000      $(2,544,000                          

Revenue and Gross (Loss) Profit

During the
six-month period ended June 30, 2025, we had increased revenues of $823,000 and increased gross profits of $538,000 compared to the six-month
period ended June 30, 2024, primarily due to increased sales of approximately 698,000from our
significant defense industry customers and an increase of approximately $315,000 from commercial customers, somewhat offset by approximately
$194,000 less sales from our medical customers during the six-month period ended June 30, 2025, compared to the six-month period ended
June 30, 2024. The increase in gross profit during the six-month period ended June 30, 2025, was also impacted by increased costs of components
sourced from China.

Net Loss and Operating Expenses

During the
six months ended June 30, 2025, our net loss decreased by $341,000 compared to the six-month period ended June 30, 2024, primarily due
to the increase in gross profit as described above as well as by decreased selling and marketing expenses of $199,000, and decreased overhead
allocation expense of $78,000 somewhat offset by an increase in interest expenses of $119,000 and salaries and benefits of $59,000 compared
to the six-month period ended June 30, 2024.

  13  

Liquidity and Capital Resources

The accompanying consolidated financial statements
have been prepared assuming that we will continue as a going concern. We have incurred recurring net losses and operations have not provided
sufficient cash flows. We believe that we will continue to incur operating and net losses each quarter until at least the time we begin
significant deliveries of our products. Our inability to continue as a going concern could have a negative impact on our Company, including
our ability to obtain the necessary financing. In view of these matters, there is substantial doubt about our ability to continue as a
going concern. We intend to finance our future development activities and its working capital needs largely through the sale of equity
securities with some additional funding from other sources, including term notes until such time as funds provided by operations are sufficient
to fund working capital requirements. Our consolidated financial statements do not include any adjustments relating to the recoverability
and classification of recorded assets, or the amounts and classifications of liabilities that might be