$SDCH

SideChannel, Inc.

CIK:0001022505|SEC Filings

Condensed Consolidated Statement of Operations (Unaudited) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Jun. 30, 2026	Jun. 30, 2025	Jun. 30, 2026	Jun. 30, 2025
Income Statement [Abstract]
Revenues	$ 1,797	$ 1,776	$ 5,147	$ 5,578
Cost of revenues	811	941	2,409	2,928
Gross profit	986	835	2,738	2,650
Operating expenses
General and administrative	551	715	1,951	2,030
Selling and marketing	396	242	1,242	736
Research and development	174	146	528	419
Total operating expenses	1,121	1,103	3,721	3,185
Operating loss	(135)	(268)	(983)	(535)
Other income, net	3	9	16	31
Net loss before income tax expense	(132)	(259)	(967)	(504)
Income tax expense	2	2	7	6
Net loss	$ (134)	$ (261)	$ (974)	$ (510)
Net loss per common share - basic	$ (0.03)	$ 0.06	$ (0.22)	$ 0.12
Net loss per common share - diluted	$ (0.03)	$ 0.06	$ (0.22)	$ 0.12
Weighted average common shares outstanding - basic	4,572,757	4,446,716	4,505,429	4,391,929
Weighted average common shares outstanding - diluted	4,572,757	4,446,716	4,505,429	4,391,929

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	9 Months Ended
	Jun. 30, 2026	Jun. 30, 2025
CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss	$ (974)	$ (510)
Adjustments to reconcile net loss to net cash flows used in operating activities:
Depreciation and amortization	12	148
Legal Settlement Paid in Stock		(1)
Stock-based compensation and payments for services, net	207	243
Changes in operating assets and liabilities:
Accounts receivable, net	64	(27)
Prepaid expenses and other current assets	(20)	(68)
Accounts payable and accrued liabilities	10	(199)
Deferred revenue	(138)	367
Income taxes payable		1
Net cash used in operating activities	(839)	(46)
CASH FLOWS FROM INVESTING ACTIVITIES:
Net sale of short-term investments	100	150
Net cash provided by investing activities	100	150
CASH FLOWS FROM FINANCING ACTIVITIES:
Net cash used in financing activities
INCREASE / (DECREASE) IN CASH	(739)	104
CASH, BEGINNING OF PERIOD	1,065	1,045
CASH, END OF PERIOD	326	1,149
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION:
Purchase of RSUs sold by employees to pay for taxes due on vested RSUs	$ 80	$ 63

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Jun. 30, 2026	Sep. 30, 2025
Current assets
Cash and cash equivalents	$ 326	$ 1,065
Short-term investments		100
Accounts receivable, net	489	553
Prepaid expenses and other current assets	394	374
Total current assets	1,209	2,092
Fixed assets	5	17
Goodwill	1,356	1,356
Total assets	2,570	3,465
Current liabilities
Accounts payable and accrued liabilities	525	515
Deferred revenue	663	801
Income taxes payable	6	6
Total current liabilities	1,194	1,322
Total liabilities	1,194	1,322
Commitments and contingencies (Note 14)
Common stock, $0.001 par value, 681,000,000 shares authorized; 4,572,757 and 4,446,713 shares issued and outstanding as of June 30, 2026, and September 30, 2025	5	4
Additional paid-in capital	23,080	22,874
Accumulated deficit	(21,709)	(20,735)
Total stockholders’ equity	1,376	2,143
Total liabilities and stockholders’ equity	$ 2,570	$ 3,465