# EDGAR Filing Document

**Accession Number:** 0002064758
**File Stem:** 0001104659-26-004448
**Filing Date:** 2026-1
**Character Count:** 38822
**Document Hash:** aaac7bb55147719cbc50ca284d7383fb
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001104659-26-004448.hdr.sgml**: 20260116

**ACCESSION NUMBER**: 0001104659-26-004448

**CONFORMED SUBMISSION TYPE**: 1-SA

**PUBLIC DOCUMENT COUNT**: 1

**CONFORMED PERIOD OF REPORT**: 20250630

**FILED AS OF DATE**: 20260116

**DATE AS OF CHANGE**: 20260116

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** Angel Studios 022, Inc.
- **CENTRAL INDEX KEY:** 0002064758
- **STANDARD INDUSTRIAL CLASSIFICATION:** SERVICES-MOTION PICTURE & VIDEO TAPE PRODUCTION [7812]
- **ORGANIZATION NAME:** 07 Trade & Services
- **EIN:** 333670516
- **STATE OF INCORPORATION:** DE
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** 1-SA
- **SEC ACT:** 1933 Act
- **SEC FILE NUMBER:** 24R-01013
- **FILM NUMBER:** 26538617

**BUSINESS ADDRESS:**
- **STREET 1:** 295 W CENTER STREET
- **CITY:** PROVO
- **STATE:** UT
- **ZIP:** 84601
- **BUSINESS PHONE:** 3853841224

**MAIL ADDRESS:**
- **STREET 1:** 295 W CENTER STREET
- **CITY:** PROVO
- **STATE:** UT
- **ZIP:** 84601

**UNITED STATES**

**SECURITIES AND EXCHANGE COMMISSION**

**Washington, D.C. 20549**

**FORM 1-SA**

**SEMIANNUAL REPORT**

**PURSUANT TO REGULATION A**

**OF THE SECURITIES ACT OF 1933**

**For the fiscal semiannual period ended June 30, 2025**

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| |
|:---|
| **Angel Studios 022, Inc.** |
| (Exact name of registrant as specified in its charter) |

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| | |
|:---|:---|
| **Delaware** | **33-3670516** |
| (State or other jurisdiction of incorporation or organization) | (I.R.S. Employer Identification No.) |
| **295 W Center St.**<br> **Provo, Utah**  | **84601** |
| (Address of principal executive offices) | (Zip Code) |

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| |
|:---|
| **(760) 933-8437** |
| Registrant's telephone number, including area code |

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**Item 1. Management's Discussion and Analysis of Financial Condition and Results of Operations**

As used herein, "we", "us", "our", "our Company", "the Company", and similar terms including Angel Studios, 022, Inc., unless the context indicates otherwise.

**General**

***History***

The Company was formed as a wholly owned subsidiary of Angel Studios, Inc., our parent company ("<u>Parent Company</u>") for the sole purpose of exploiting the commercial potential of the film entitled "The Last Rodeo" (the "<u>Picture</u>"), pursuant to a licensing agreement with the Picture's producer, The Last Rodeo Movie LLC (the "<u>Producer</u>"). In particular, the Company was formed to market and distribute the Picture in movie theaters and through distribution platforms in the post-theatrical period, and will share in the revenue generated by that distribution.

***Regulation A Offering***

In June 2025, the Company successfully completed its offering of $3,480,922 of its Series A Preferred Stock shares (the "Shares"), at an offering price of $1.00 per share in a "Tier 2" offering under Regulation A (the "Offering"). The proceeds from the Offering used primarily to fund P&A marketing of the Picture's theatrical release, as well as to market and distribute the Picture during the post-theatrical period.

***Series A Preferred Stock Redemption***

Once the Company has sufficient funds available, the Board of Directors (the "<u>Board")</u>, will use revenue generated by its exploitation of the Picture to redeem the Preferred Shares at a price of $1.15 per Share. Upon redemption, holders of the Preferred Shares ("<u>Preferred Shareholders</u>") will receive their investment principal plus a 15% return. Upon payment of an amount equal to $1.15 per Share, the Preferred Shares will be deemed automatically redeemed and returned to the Company as authorized and unissued Series A preferred stock. Preferred Shareholders have no voting rights other than as required by law or for any proposed amendments to the Company's Certificate of Designation. Additionally, the Preferred Shares will not be convertible into, and Preferred Shareholders will not participate in any payments made to, the common stockholders or on any other stock of the Company. The Company will redeem the Preferred Shares before making any distributions to any of the other classes of stock of the Company, except as other may be required by applicable law.

In August 2025, the Board determined there was sufficient funds available from the exploitation of the Picture and all Preferred Shareholders were paid out $1.15 per share (the "<u>Redemption</u>"). As the Series A preferred stock has now been fully redeemed, the Preferred Shareholders no longer own the Preferred Shares or other equity in the Company. Therefore, regardless of the financial success of the Picture, the Preferred Shareholders' returns from this investment was limited to $1.15 per Share, and no additional payments will be made to the Preferred Shareholders.

***Services Agreement***

The Company has entered into a services agreement (the "Services Agreement") with the Parent, pursuant to which the Parent agreed to provide marketing and other services in connection with the Picture on behalf of the Company. The costs for these services are typically paid for by the Parent but reimbursable by the Company. The Parent is also responsible for collecting proceeds from revenue, which is due to the Company once the Parent receives the cash.

**Current Operations**

**Our Company**

The Company was formed to market and distribute the Picture, including by engaging in Prints & Advertising of the Picture's theatrical release. The Company's right to license, promote, and distribute the film is governed by the Distribution Agreement between our Company and the Producer, dated April 23, 2025. The Picture was released on May 23, 2025 in approximately 2,205 theaters. With a total domestic box office of $15.2 million according to The Number.com: https://www.the-numbers.com/movie/Last-Rodeo-The-(2025)#tab=summary. Subsequent to the theatrical release, the Parent Company released the Picture on the Parent Company's membership-based service (the "<u>Guild</u>"), as well as releasing in various international locations through the World.

**Competition**

The Company competes with other companies that promote and license films similar to the Picture. In the film industry, competition in the licensing and promotion sector is intense, with several prominent companies leading the market, such as major studios like Village Roadshow Pictures, Pixar Animation Studios, Relativity Media, Amblin Entertainment, DreamWorks Animation LLC, Access Industries, Legendary Pictures Productions, and New Line Cinema. Each of these companies generates billions of dollars in global box office sales, leveraging diverse portfolios and partnerships with distribution platforms like Netflix, Amazon Prime, and Disney+. Therefore, even when a film has low ratings or does not perform comparatively well at the box office, the film may still generate revenue through streaming platforms due to existing relationships with streaming platforms.

**Employees**

The Company has no full-time employees and no part-time employees. All of the day-to-day operations are administered by our Parent Company, Angel Studios, Inc.

**Legal Proceedings**

The Company is not currently a party, as plaintiff or defendant, nor are we aware of any threatened or pending legal proceedings, that we believe to be material or which, individually or in the aggregate, would be expected to have a material effect on our business, financial condition or results of operation if determined adversely to us.

**Management's Discussion and Analysis of Financial Condition and Results of Operations**

*You should read the following discussion and analysis of our financial condition and results of our operations together with our financial statements and related notes appearing at the end of this Semiannual Report. This discussion contains forward-looking statements reflecting our current expectations that involve risks and uncertainties. Actual results and the timing of events may differ materially from those contained in these forward-looking statements*.

**Overview**

We were formed as a wholly owned subsidiary of our parent company for the sole purpose of exploiting the commercial potential of the Picture, pursuant to a licensing agreement with the Picture's Producer. In particular, we were formed to market and distribute the Picture in movie theaters and through distribution platforms in the post-theatrical period, and will share in the revenue generated by that distribution.

**Financial Operations Overview**

***Revenues***

We have primarily generated revenue from theatrical distribution, content licensing, and Angel Guild.

*Theatrical Distribution*: Revenue comes from releasing the Picture with our exhibitor partners. Every time a moviegoer purchases a ticket from the partner theaters, we receive a percentage of the box office revenue.

Content Licensing: revenue comes from licensing the Picture to other distributors for purchase and rental.

*Angel Guild*: Angel Guild revenue is the monthly amount earned from the Picture on the Owner's streaming platform. This is a usage-based royalty that is earned over time and recognized as revenue as the usage occurs.

***Operating Expenses***

*Cost of revenue:* Cost of revenues represents the direct costs incurred by us in generating our revenue. These costs include expenses directly associated with the goods or services sold during the reporting period. Components of cost of revenues include film delivery costs, theatrical booking software costs, credit card fees, freight and shipping costs and costs of services provided.

*Marketing expenses*: Marketing expenses mainly include the promotion of the Picture and its theatrical release.

*Operating expenses*: Operating expenses consist of professional fees and other general corporate expenses.

**Results of Operations**

The following represents our performance highlights for the period ended June 30, 2025. Additionally, the Company was formed on February 26, 2025, and had no operations or financial activity prior to that date. Accordingly, comparative financial information for the six months ended June 30, 2024, is not presented as no such period exists.

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| | |
|:---|:---|
|  | **For the Period from<br> Inception <br> (February 26, 2025) through <br> June 30, 2025** |
| Revenues | $8209600 |
| Cost of revenue | 520140 |
| Marketing expenses | 8844318 |
| Operating Expenses | 75873 |
| Net loss | $(1230731) |

---

***Revenues***

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| | |
|:---|:---|
|  | **For the Period from<br> Inception <br> (February 26, 2025) <br> through <br> June 30, 2025** |
| Theatrical | $6609176 |
| Angel Guild | 436685 |
| Content licensing | 1158968 |
| Merchandise | 4771 |
| Total Revenue | $8209600 |

---

Revenue started in May 2025 with the theatrical release of the Picture. We were also able to generate revenue from various other sources during and after the theatrical release.

**Operating Expenses**

***Cost of Revenue***

Cost of revenue during the period ended June 30, 2025 was a result of the film delivery costs, merchandise costs, credit card fees, freight and shipping costs, and costs of services provided.

***Marketing Expenses***

Marketing expenses during the period include advertising and promotional activities, travel expenses related to sales and marketing activities, and costs of marketing materials.

***Operating Expenses***

Operating expenses during the period include audit fees, bank fees, business licenses fees, and other costs necessary to support the operations of the business.

**Liquidity and Capital Resources**

We have funded a significant portion of our operations through the Offering. It was anticipated that most of our selling and marketing costs would be incurred during the theatrical release of the Picture. We have seen and continue to anticipate that most of our post-theatrical window revenues will be able to leverage the marketing already incurred from the theatrical window and selling and marketing expenses as a percentage revenue will decrease substantially. In August 2025, we had generated enough cash that the Board determined there was sufficient funds available from the exploitation of the Picture and all Preferred Shareholders were paid the Redemption.

We project that our existing capital resources, including cash and related-party receivables, will be sufficient to meet our operating requirements for at least the next twelve months.

**Discussion of Operating, Investing, Financing Cash Flows**

*Operating Activities.* Cash flows used in operating activities for the period ended June 30, 2025 were as follows:

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| | |
|:---|:---|
|  | **For the Period from<br> Inception <br> (February 26, 2025)<br> through <br> June 30, 2025** |
| Net cash used in operating activities | $(3084908) |

---

Cash flows used in operating activities for the for the period was $3,084,908. This was due to the related-party receivables due from our Parent, and the net loss generated from distribution of the Picture.

*Financing Activities.* Cash flows provided by financing activities for the period were as follows:

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| | |
|:---|:---|
|  | **For the Period from<br> Inception <br> (February 26, 2025) <br> through <br> June 30, 2025** |
| Issuance of common stock | 100 |
| Issuance of Series A preferred stock | 3283222 |
| Fees related to issuance of Series A preferred stock | (198314) |
| Redemption of Series A preferred stock |  |
| &nbsp;&nbsp;&nbsp;Net cash provided by financing activities | $3085008 |

---

Cash flows provided by financing activities for the period was $3,085,008. This was due to the raise of $5,000,000 million from the Offering, offset by $198,314 fees related to the issuance of the Offering.

**Trends and Key Factors Affecting Our Performance**

None

**Item 2. Other Information**

None

**Item 3. Financial Statements**

**ANGEL STUDIOS 022, Inc.**

**Unaudited Financial Statements**

**For the Period from Inception (February 26, 2025) through June 30, 2025**

**Notice to Reader**

Our auditors have not reviewed the unaudited financial statements for the period from Inception (February 26, 2025) through June 30, 2025. These financial statements and the notes thereto have been prepared by the Company's management in accordance with accounting principles generally accepted in the United States of America using management's best judgments, consistent with the prior period, and should be read in conjunction with the audited financial statements for the period from February 26, 2025 (date of inception) through March 31, 2025, and the related notes to financial statements.

Additionally, the Company was formed on February 26, 2025, and had no operations or financial activity prior to that date. Accordingly, comparative financial information for the six months ended June 30, 2024, is not presented as no such period exists.

**Balance Sheet**

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| | |
|:---|:---|
|  | **June 30, 2025** |
| **Assets** |  |
| Cash | $100 |
| Investment capital receivable | 197700 |
| Related-party receivable | 1854177 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total assets** | $2051977 |
| **Liabilities and Stockholders' Equity** |  |
| Liabilities | $- |
| Stockholders' equity: |  |
| &nbsp;&nbsp;&nbsp;Series A preferred stock, net of issuance costs, $0.00001 par value, 10,000,000 shares authorized; 3,480,922 shares issued and outstanding, respectively | 35 |
| &nbsp;&nbsp;&nbsp;Common stock, $0.00001 par value, 1,000 shares authorized; 100 and 100 shares issued and outstanding, respectively |  |
| &nbsp;&nbsp;&nbsp;Additional paid-in capital | 3282673 |
| &nbsp;&nbsp;&nbsp;Accumulated earnings | (1230731) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total liabilities and stockholders' equity** | $2051977 |

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*See accompanying notes to financial statements*

***Statement of Operations***

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| | |
|:---|:---|
|  | **For the Period from<br> Inception <br> (February 26, 2025) <br> through <br> June 30, 2025** |
| Revenues | $8209600 |
| Cost of revenues | 520140 |
| Marketing expenses | 8844318 |
| Operating expenses | 75873 |
| &nbsp;&nbsp;&nbsp;Net loss | $(1230731) |
| Net loss per common share - basic | $(12307) |
| Net loss per common share - diluted | $(12307) |
| Weighted average common shares outstanding - basic | 100 |
| Weighted average common shares outstanding - diluted | 100 |

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;See accompanying notes to financial statements

***Statement of Stockholders' Equity***

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| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Capital Stock** | **Capital Stock** | **Capital Stock** | **Capital Stock** | | | |
|  | **Series A Preferred Stock** | **Series A Preferred Stock** | **Common Stock** | **Common Stock** | | | |
|  | **Shares** | **Amount** | **Shares** | **Amount** |<br>**Additional<br> Paid-in Capital** |<br>**Accumulated<br> Earnings** |<br>**Total Stockholders'<br> Equity** |
| Balance as of February 26, 2025 (Inception) |  | $- |  | $- | $- | $- | $- |
| &nbsp;&nbsp;&nbsp;&nbsp;Issuance of Series A Preferred Stock, net of issuance costs | 3480922 | 35 |  |  | 3282573 |  | 3282608 |
| &nbsp;&nbsp;&nbsp;&nbsp;Issuance of Common Stock |  |  | 100 |  | 100 |  | 100 |
| &nbsp;&nbsp;&nbsp;&nbsp;Net loss | - | - | - | - | - | (1230731) | (1230731) |
| Balance as of June 30, 2025 | 3480922 | $35 | 100 | $- | $3282673 | $(1230731) | $2051977 |

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*See accompanying notes to financial statements*

 

***Statement of Cash Flows***

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| | |
|:---|:---|
|  | **For the Period from <br> Inception <br> (February 26, 2025) <br> through <br> June 30, 2025** |
| **Cash flows from operating activities:** | |
| &nbsp;&nbsp;&nbsp;Net loss | $(1230731) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Changes in operating assets: |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Related-party receivable | (1854177) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net cash used in operating activities | (3084908) |
| **Cash flows from investing activities** |  |
| **Cash flows from financing activities:** |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Issuance of common stock | 100 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Issuance of Series A preferred stock | 3283222 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Fees related to issuance of Series A preferred stock | (198314) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Redemption of Series A preferred stock | - |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net cash provided by financing activities | 3085008 |
| Net change in cash | 100 |
| Cash at beginning of period | - |
| Cash at end of period | $100 |

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*See accompanying notes to financial statements*

**1. Organization and Summary of Significant Accounting Policies and Related Matters**

***Nature of Operations***

Angel Studios 022, Inc. (the "Company"), is a Corporation organized under the state of Delaware. The Company commenced operations on February 26, 2025 and is managed by Angel Studios, Inc. (the "Owner").

The Company was formed for the sole purpose of exploiting the commercial potential of the film entitled "The Last Rodeo" (the "Picture"), pursuant to a licensing agreement with the Picture's producer, The Last Rodeo Movie LLC (the "Producer"). In particular, the Company was formed to market and distribute the Picture in movie theaters and through distribution platforms in the post-theatrical period, and will share in the revenue generated by that distribution.

***Services Agreement***

The Company has entered into a services agreement (the "Services Agreement") with the Owner, pursuant to which the Owner agreed to provide marketing and other services in connection with the Picture on behalf of the Company. The costs for these services are typically paid for by the Owner but reimbursable by the Company. The Owner is also responsible for collecting proceeds from revenue, which is due to the Company once the Owner receives the cash.

***Regulation A Offering***

In June 2025, the Company successfully completed its offering of $3,480,922 of its Series A Preferred Stock shares (the "Shares"), at an offering price of $1.00 per share in a "Tier 2" offering under Regulation A (the "Offering"). The proceeds from the Offering was transferred to the Owner to fund theatrical and post-theatrical 'Prints & Advertising' ("P&A") marketing as governed by the Services Agreement. As of June 30, 2025, the Company had a receivable of $197,700 related to this offering which was fully collected by the Company on July 7, 2025.

***Basis of Presentation and Use of Estimates in Financial Statements***

The accompanying financial statements are presented using accounting principles generally accepted in the United States of America (U.S. GAAP). The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect reported amounts and disclosures. Accordingly, actual results could differ from those estimates. Estimates are based on historical experience and on various other assumptions that the Company believes to be reasonable under the circumstances. Regularly, the Company evaluates the assumptions, judgments, and estimates. Actual results may differ from these estimates.

***Concentration of Credit Risk***

The Company will maintain its cash in bank deposit accounts which, at times, may exceed federally insured limits. To date, the Company has not experienced a loss or lack of access to any cash; however, no assurance can be provided that access to the Company's future invested cash will not be impacted by the adverse conditions in the financial markets.

***Liability of Owner***

The Owner is not personally liable for any obligations of the Company and have no obligation to make contributions to the Company.

***Related-Party Receivable***

The Company has a related-party receivable from the Owner consisting of: 1) the amount raised from the Offering, which was subsequently transferred to the Owner from the Offering, 2) the amount remaining to be collected by the Owner from the proceeds of revenue, and 3) the reduction of the receivable by the amounts owed to the Owner from costs related to the Services Agreement. Management does not believe an allowance for doubtful accounts is necessary.

***Revenue Recognition***

The Company recognizes revenue when a customer obtains control of promised products or services. The amount of revenue recognized reflects the consideration that the Company expects to be entitled to receive in exchange for these products or services. The Company applies the following five steps: 1) Identify the contract with the customer; 2) Identify the performance obligations in the contract; 3) Determine the transaction price; 4) Allocate the transaction price to performance obligations in the contract; and 5) Recognize revenue when or as the Company satisfies a performance obligation. The following components represent the most significant portions of revenue being recognized:

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| | |
|:---|:---|
|  | **For the Period from<br> Inception <br> (February 26, 2025)<br> through <br> June 30, 2025** |
| Theatrical | $6609176 |
| Angel Guild | 436685 |
| Content licensing | 1158968 |
| Merchandise | 4771 |
| Total Revenue | $8209600 |

---

***Angel Guild Revenue***

Angel Guild revenue is the monthly amount earned from the Picture on the Owner's streaming platform. This is a usage based royalty that is earned over time and recognized as revenue as the usage occurs.

***Theatrical Revenue***

Theatrical revenue is revenue recognized at a point in time – when the theatrical showing takes place. The Company will negotiate the terms of the theatrical distribution window (ranging from a few weeks to a few months), profit sharing percentage, and collection terms with the theater owners prior to the release. Theatrical release revenue fluctuates depending on the timing and scale of theatrical showings.

***Content Licensing***

The Company's content licensing arrangements include fixed fee and minimum guarantee arrangements, and sales or usage based royalties. The Company's fixed fee or minimum guarantee licensing arrangements may, in some cases, include multiple license periods (windows), rights to exploitation in different media, or rights to exploitation in multiple territories, which may be considered distinct performance obligations. When these performance obligations are considered distinct, the fixed fee or minimum guarantee in the arrangement is allocated to the title, window, media right or territory as applicable, based on estimates of relative standalone selling prices. The amounts related to each performance obligation (i.e., title, window, media or territory) are recognized when the content has been delivered, and the window for the exploitation right in that territory has begun, which is the point in time at which the customer is able to begin to use and benefit from the content.

Sales or usage based royalties represent amounts due to us based on the "sale" or "usage" of the Company's content by the customer, and revenues are recognized at the later of when the subsequent sale or usage occurs, or the performance obligation to which some or all the sales or usage-based royalty has been allocated has been satisfied (or partially satisfied).

Content licensing arrangements can last between several months to up to ten years. The typical period ranges around three years.

The following table presents the Company's revenue recognized over time or at a point in time (as previously described) for the period:

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| | |
|:---|:---|
|  | **For the Period from<br> Inception <br> (February 26, 2025) <br> through <br> June 30, 2025** |
| Point in time revenue | $7772916 |
| Over time revenue | 436684 |
| Total revenue | $8209600 |

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***Merchandise Revenue***

The Company has partnered with creators to distribute the creators' licensed original content and related merchandise. Merchandise revenue represents apparel, DVDs, Blu-rays, books and other intellectual property. Revenue is recognized upon shipment of the merchandise and is recognized at a point in time, when physically shipped.

***Cost of Revenue***

Cost of revenue represents the direct costs incurred by the Company in generating its revenue. These costs include expenses directly associated with the goods or services sold during the reporting period. Cost of revenues is recognized in the statements of operations in the period in which the related revenue is recognized, following the matching principle.

Components of cost of revenue include licensing royalty expense, film delivery costs, merchandise costs, credit card fees, freight and shipping costs, and costs of services provided.

***Selling and Marketing Expenses***

Selling and marketing expenses represent costs incurred by the Company in promoting and selling the Picture. These expenses are recognized in the statements of operations in the period in which they are incurred.

Components of selling and marketing expenses include advertising and promotional activities, travel expenses related to sales and marketing activities, and costs of marketing materials. It also includes costs incurred by the Company to purchase movie tickets for giving away, which costs are offset by the Pay it Forward receipts the Company receives from customers who Pay it Forward for others to see the show. The total amount of pay-it-forward receipts that were offset against selling and marketing costs during the period ended June 30, 2025 was $378,191.

***Operating Expenses***

General and administrative expenses represent costs incurred by the Company that are not directly attributable to the production of goods or services. These expenses include, but are not limited to, audit fees, bank fees, business licenses fees, and other costs necessary to support the operations of the business.

General and administrative expenses are recognized in the statements of operations in the period in which they are incurred. Expenses are measured at the fair value of the consideration given in exchange for goods or services received.

***Contributed Capital***

As of June 30, 2025, the Company had received $100 of contributed capital from the Owner.

***Basic and Diluted Earnings (Loss) Per Share***

Basic loss per share attributable to the Company is computed by dividing loss attributable to the Company by the weighted-average number of shares outstanding during the period. Diluted loss per share attributable to the Company gives effect to all dilutive potential shares that are outstanding during the period (if any) and excludes stock options that are anti-dilutive as a result of any net losses during the period.

***Income Taxes***

The Company analyzes the financial statement effect of an uncertain tax position only after considering the probability that a tax authority would sustain the position in an examination. For tax positions meeting a "more-likely-than-not" threshold, the amount recognized in the financial statements is the amount expected to be realized upon settlement with the tax authority. For tax positions not meeting the threshold, no financial statement amount is recognized. As of June 30, 2025, the Company had no uncertain tax positions. The Company recognizes interest and penalties, if any, related to uncertain tax positions as operating expenses. The Company currently has no federal or state tax examinations in progress.

***Subsequent Events***

The Company has evaluated subsequent events and transactions for potential recognition or disclosure through January 16, 2026, which is the date the financial statements were available to be issued.

**2.** **Commitments and Contingencies** 

***Legal Proceedings***

The Company, from time to time, might become involved in litigation arising in the normal course of business. Litigation is necessary to defend the Company. The results of any current or future complex litigation matters cannot be predicted with certainty, and regardless of the outcome, litigation can have an adverse impact because of defense and settlement costs, distraction of management and resources, and other factors. Additionally, these matters may change in the future as the litigation and factual discovery unfolds. Legal fees are expensed as incurred. Insurance recoveries associated with legal costs incurred are recorded when they are received.

The Company assesses whether there is a reasonable possibility that a loss, or additional losses beyond those already accrued, may be incurred ("Material Loss"). If there is a reasonable possibility that a Material Loss may be incurred, the Company discloses an estimate or range of the amount of loss, either individually or in the aggregate, or discloses that an estimate of loss cannot be made. If a Material Loss occurs due to an unfavorable outcome in any legal matter, this may have an adverse effect on the financial position, results of operations, and liquidity of the Company. The Company records a provision for each liability when determined to be probable, and the amount of the loss may be reasonably estimated. These provisions are reviewed annually and adjusted as additional information becomes available. Management, after consultation with legal counsel, believes that the outcome of these proceedings will not have a material impact on the Company's financial position, results from operations or liquidity. The actual amounts from the resolution of these matters could vary from management's estimate.

**3.** **Class A Preferred Stock** 

The Company has authorized capital stock consisting of 10,000,000 shares of Preferred stock, par value $0.00001 per share.

***Stated Value***

Each share of Series A preferred stock has a stated value of $1.15 per share (the "Repayment Amount"), which is the value of the price of each share ($1.00) plus a 15% return. Other than the Repayment Amount, the Series A preferred stockholders shall not participate in any profits of the Company beyond the payment of the Series A Repayment Amount. Voting Rights

The holders of class A preferred stock shall be entitled to zero (0) votes on each matter to be voted on by the stockholders of the Company.

***Voting Rights***

The holders of Series A preferred stock shall be entitled to zero (0) votes per share on each matter to be voted on by the stockholders of the Company.

***Deemed Redemption***

Once the Series A preferred stock stated value of $1.15 has been fully paid, the shares of preferred stock shall be deemed automatically redeemed. Once redeemed, the shares shall be returned to the Company as unissued shares of Series A preferred stock.

The Company issued 3,480,922 shares of Series A Preferred Stock in June 2025 and fully redeemed all Series A Preferred Stock holders, for their stated value, in August 2025.

**4. Common Stock**

The Company has authorized capital stock consisting of 1,000 shares of common stock, par value $0.00001 per share.

***Voting Rights***

The holders of Common Stock shall be entitled to one (1) vote on each matter to be voted on by the stockholders of the Company.

***Dividends***

Subject to the rights of the holders of preferred stock, dividends may be paid on the outstanding shares of common stock as and when declared by the Board, out of funds legally available, therefore.

***Liquidation Rights***

Subject to the rights of the holders of preferred stock, the holders of Common Stock outstanding shall be entitled to receive all of the assets and funds of the Company remaining and available for distribution. Such assets and funds shall be divided among and paid to the holders of common stock, on a pro-rata basis, according to the number of shares of common stock held by them.

**5. Earnings per Share**

The following table represents the Company's earnings per share for the period ended June 30, 2025:

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| | |
|:---|:---|
|  | **For the Period<br> from Inception <br> (February 26,<br> 2025) through <br> June 30, 2025** |
| **Numerator:** | |
| Net Loss | $(1230731) |
| **Denominator:** |  |
| Weighted average basic shares outstanding | 100 |
| Effect of dilutive shares |  |
| Weighted average diluted shares | 100 |
| Net loss per common share - basic | $(12307) |
| Net loss per common share - diluted | $(12307) |

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The Company reports earnings per share in accordance with Accounting Standards Codification (ASC) 260-10. Basic earnings per share includes no dilution and is computed by dividing net income available to stockholders by the weighted average common shares outstanding for the period. Diluted earnings per share is calculated similarly to basic earnings per share except that the denominator is increased to include the number of additional common shares that would have been outstanding if the potential common shares had been issued and if the common shares were dilutive.

**6. Subsequent Events**

Subsequent events have been evaluated through January 16, 2026, which is the date the financial statements were available to be issued.

As noted in Note 3, The Company fully redeemed all Series A Preferred Stock holders (3,480,922 shares of Series A Preferred Stock), for their stated value, in August 2025.

**Item 4. Exhibits**

**INDEX OF EXHIBITS**

The following exhibits are filed as part of this Form 1-SA.

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| | |
|:---|:---|
| **Exhibit<br> Number** | **Description** |
| [1.1](https://www.sec.gov/Archives/edgar/data/2064758/000110465925044048/tm2513782d1_ex2-1.htm) | [Certificate of Incorporation of Angel Studios 022, Inc. incorporated by reference to Exhibit 2.1 of the Company's Form 1-A filed on May 2, 2025](https://www.sec.gov/Archives/edgar/data/2064758/000110465925044048/tm2513782d1_ex2-1.htm) |
| [1.2](https://www.sec.gov/Archives/edgar/data/2064758/000110465925044048/tm2513782d1_ex2-2.htm) | [Bylaws incorporated by reference to Exhibit 2.2 of the Company's Form 1-A filed on May 2, 2025](https://www.sec.gov/Archives/edgar/data/2064758/000110465925044048/tm2513782d1_ex2-2.htm) |
| [2.1](https://www.sec.gov/Archives/edgar/data/2064758/000110465925044048/tm2513782d1_ex2-3.htm) | [Certificate of Designations of Preferences and Rights of Series A Preferred Stock of Angel Studios 022, Inc. incorporated by reference to Exhibit 2.3 of the Company's Form 1-A filed on May 2, 2025](https://www.sec.gov/Archives/edgar/data/2064758/000110465925044048/tm2513782d1_ex2-3.htm) |
| [2.2](https://www.sec.gov/Archives/edgar/data/2064758/000110465925044048/tm2513782d1_ex2-4.htm) | [Certificate of Amendment to Certificate of Designations of Preferences and Rights of Series A Preferred Stock of Angel Studios 022, Inc. incorporated by reference to Exhibit 2.4 of the Company's Form 1-A filed on May 2, 2025](https://www.sec.gov/Archives/edgar/data/2064758/000110465925044048/tm2513782d1_ex2-4.htm) |
| [4.1](https://www.sec.gov/Archives/edgar/data/2064758/000110465925044048/tm2513782d1_ex4-1.htm) | [Form of Subscription Agreement for Regulation A Offerings incorporated by reference to Exhibit 4.1 of the Company's Form 1-A filed on May 2, 2025](https://www.sec.gov/Archives/edgar/data/2064758/000110465925044048/tm2513782d1_ex4-1.htm) |
| [6.1](https://www.sec.gov/Archives/edgar/data/2064758/000110465925044048/tm2513782d1_ex6-1.htm) | [Services Agreement incorporated by reference to Exhibit 6.1 of the Company's Form 1-A filed on May 2, 2025](https://www.sec.gov/Archives/edgar/data/2064758/000110465925044048/tm2513782d1_ex6-1.htm) |
| [6.2](https://www.sec.gov/Archives/edgar/data/2064758/000110465925044048/tm2513782d1_ex6-2.htm) | [Distribution Agreement incorporated by reference to Exhibit 6.2 of the Company's Form 1-A filed on May 2, 2025](https://www.sec.gov/Archives/edgar/data/2064758/000110465925044048/tm2513782d1_ex6-2.htm) |

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**SIGNATURES**

Pursuant to the requirements of Regulation A, the issuer has duly caused this Semiannual Report on Form 1-SA to be signed on its behalf by the undersigned, thereunto duly authorized, in Provo, Utah on January 16, 2026.

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| | |
|:---|:---|
| **Angel Studios 022, Inc.** | **Angel Studios 022, Inc.** |
| By: | /s/ Patrick Reilly |
| Name: | Patrick Reilly |
| Title: | Chief Executive Officer |

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Pursuant to the requirements of Regulation A, this report has been signed below by the following persons on behalf of the issuer in the capacities and on the dates indicated.

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| | | |
|:---|:---|:---|
| **Signature** | **Title** | **Date** |
| /s/ Patrick Reilly | Chief Executive Officer and Director | January 16, 2026 |
| Patrick Reilly | (Principal Executive Officer) |  |
| /s/ Ray Willardson | Chief Financial Officer | January 16, 2026 |
| Ray Willardson | (Principal Financial and Accounting Officer) |  |

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