$NTRP

SIGMA LABS, INC.

CIK:0000788611|SEC Filings

Condensed Consolidated Statements of Operations (Unaudited) - USD ($)	3 Months Ended
	May 31, 2026	May 31, 2025
Income Statement [Abstract]
Revenue	$ 1,451,735	$ 138,827
Cost of revenue (exclusive of depreciation and amortization, shown separately below)	(1,243,636)	(99,921)
Gross profit (loss)	208,099	38,906
Operating Expenses:
Salaries and benefits	907,401	696,914
Stock based compensation	(13,660)	138,325
General and administrative	34,626	30,588
Sales and marketing	134,848	90,035
Professional service fees	1,286,371	1,149,476
Technology	254,728	321,815
Organization costs	50,104	1,999,670
Depreciation and amortization	336,669	206,650
Provision for credit loss	65,561
Other expenses	65,204	45,170
Total Operating Expenses	3,121,852	4,678,643
Operating loss	(2,913,753)	(4,639,737)
Other Income (Expenses)
Loss on extinguishment of liability		(70,100)
Gain on derivative liability	40,000
Interest income (expense), net	(251,583)	(276,333)
Other income (expense)	(133)	540,245
Total Other Income (Expense)	(211,716)	193,812
Net loss before provision for income taxes	(3,125,469)	(4,445,925)
Provision for income taxes
Net loss before share of net loss in equity method investee	(3,125,469)	(4,445,925)
Share of net loss of equity method investee		(11,307)
Net loss	(3,125,469)	(4,457,232)
Preferred dividends	(19,691)	(64,463)
Net Loss Applicable to Common Stockholders	$ (3,145,160)	$ (4,521,695)
Loss per common share basic	$ (0.22)	$ (0.68)
Loss per common share diluted	$ (0.22)	$ (0.68)
Weighted average number of shares outstanding basic	14,316,703	6,585,197
Weighted average number of shares outstanding diluted	14,316,703	6,585,197

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)	3 Months Ended
	May 31, 2026	May 31, 2025
OPERATING ACTIVITIES
Net Income (Loss) – Continuing Operations	$ (3,125,469)	$ (4,457,232)
Noncash Expenses:
Depreciation and amortization – property and equipment and intangibles	336,669	206,650
Amortization of debt discount	113,533	231,740
Provision for credit loss	65,561
Gain on derivative liability	(40,000)
Shares issued for professional services	552,952	694,912
Loss on extinguishment of liability		70,100
Change in Assets and Liabilities:
Accounts receivable	(133,207)	(87,554)
Related party receivable	(65,561)
Prepaid expenses	344,626	183,327
Accounts payable and accrued expenses	439,724	(280,955)
Deferred revenue	(807,464)	210,728
Licensing & royalty payment obligations, current portion	62,116
Licensing & royalty payment obligations, net of current portion	(72,974)
SBA loan	(185)	98,757
NET CASH USED IN OPERATING ACTIVITIES	(2,343,339)	(1,042,658)
INVESTING ACTIVITIES
Capitalized software development costs	(237,561)	(81,503)
FSA Travel LLC acquisition		(900,000)
JOURNY.tv asset purchase		(300,000)
NET CASH USED IN INVESTING ACTIVITIES	(237,561)	(1,281,503)
FINANCING ACTIVITIES
Proceeds from issuance of preferred shares	150,000
Proceeds from issuance of common shares	150,100
Notes Payable	(101,800)	192,700
Advances from related parties	600,000	1,200,000
Proceeds from issuance of Mezzanine Equity	1,015,000
Offering Costs	(125,000)
NET CASH PROVIDED BY FINANCING ACTIVITIES	1,688,300	1,392,700
NET CHANGE IN CASH FOR PERIOD	(892,600)	(931,461)
CASH AT BEGINNING OF PERIOD	1,696,090	1,062,367
CASH AT END OF PERIOD	803,490	130,906
Noncash Investing and Financing Activities Disclosure:
Issuance of preferred shares pursuant to FSA Travel, LLC acquisition		875,641
Issuance of common shares pursuant to JOURNY.tv asset purchase		115,200
Issuance of common shares for third party services	770,167	476,200
Issuance of common stock warrants in connection with private placement	50,003
Preferred stock dividends	19,691	64,463
Disclosure of Cash Paid for:
Interest	26,381	23,159
Income Taxes
Employees [Member]
Noncash Expenses:
Stock-based compensation	(13,660)	138,325
Directors [Member]
Noncash Expenses:
Stock-based compensation		$ 1,948,544

Condensed Consolidated Balance Sheets - USD ($)	May 31, 2026	Feb. 28, 2026
ASSETS
Cash and cash equivalents	$ 803,490	$ 1,696,090
Accounts receivable, net	252,375	119,168
Prepaid expenses and other current assets	1,436,115	1,336,026
Total Current Assets	2,491,980	3,151,284
Non-Current Assets
Property and equipment, net	974	1,603
Intangible assets, net	4,159,741	4,258,220
Security deposit	40,167	40,167
Goodwill	3,123,684	3,123,684
Equity investments	2,502,000	2,502,000
Total Non-Current Assets	9,826,566	9,925,674
Total Assets	12,318,546	13,076,958
Current Liabilities
Accounts payable	959,794	725,541
Accrued expenses	953,574	748,103
Deferred revenue	848,526	1,655,990
Derivative liability	30,000	80,000
Contingent consideration	190,000	180,000
Licensing & royalty payment obligations, current portion	198,698	136,582
Total Current Liabilities	4,091,409	3,912,288
Non-Current Liabilities
SBA EIDL loan	97,994	98,179
Licensing & royalty payment obligations, net of current portion	232,116	305,090
Line of Credit – related parties	3,000,000	3,000,000
Total Non-Current Liabilities	3,330,110	3,403,269
Total Liabilities	7,421,519	7,315,557
Commitments and Contingencies (Note 13)
Mezzanine Equity
Preferred Stock, par value $0.001; 10,000,000 shares authorized; 408,421 and 0 shares issued and outstanding, respectively	807,997
Common Stock, par value $0.001; 250,000,000 shares authorized; 96,774 and 96,774 shares issued and outstanding, respectively	387,000	387,000
Total Mezzanine Equity	1,194,997	387,000
Stockholder’s Equity
Preferred Stock, par value $0.001; 10,000,000 shares authorized; 150,316 and 100,316 shares issued and outstanding, respectively	151	101
Common Stock, par value $0.001; 250,000,000 shares authorized; 14,396,694 and 13,978,171 shares issued and outstanding, respectively	14,398	13,979
Additional Paid in Capital	57,430,060	55,957,740
Accumulated deficit	(53,742,579)	(50,597,419)
Total Stockholders’ Equity	3,702,030	5,374,401
Total Liabilities, Mezzanine and Stockholders’ Equity	12,318,546	13,076,958
Nonrelated Party [Member]
Current Liabilities
Notes payable	310,817	386,072
Related Party [Member]
Current Liabilities
Notes payable	$ 600,000