$TKLS

Trutankless, Inc.

CIK:0001429393|SEC Filings

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025	Jun. 30, 2026	Jun. 30, 2025
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited)
Net sales	$ 538,673	$ 94,454	$ 1,479,139	$ 524,541
Cost of sales	238,458	76,451	734,173	402,249
Gross profit (loss)	300,215	18,003	744,966	122,292
Operating expenses
General and administrative expenses	310,578	160,800	715,445	427,466
Research and development	73,213	789	123,565	60,760
Consulting fees (see Note 4)	2,152,497	727,547	3,191,086	1,839,022
Legal and accounting fees	5,774	63,809	38,775	97,696
Audit fees	17,500	27,500	35,000	27,500
Depreciation and amortization expense	23,375	19,376	46,492	32,079
Total operating expenses	2,582,937	999,821	4,150,363	2,484,523
Operating loss	(2,282,722)	(981,818)	(3,405,397)	(2,362,231)
Other income (expense)
Other income	0	0	0	46,256
Loss on extinguishment of debt	(924,625)	0	(1,418,518)	0
Interest expense	(230,861)	(179,653)	(492,248)	(441,377)
Financing incentive expense	0	(83,250)	0	(83,250)
Total other income (expense)	(1,155,486)	(262,903)	(1,910,766)	(478,371)
Net income (loss)	$ (3,438,208)	$ (1,244,721)	$ (5,316,163)	$ (2,840,602)
Net loss per share - basic and diluted	$ (0.02)	$ (0.01)	$ (0.04)	$ (0.02)
Weighted average number of common shares - basic and diluted	145,121,576	131,454,497	139,913,120	130,700,968

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($)	6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025
Cash flows from operating activities:
Net income (loss)	$ (5,316,163)	$ (2,840,602)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation	46,492	32,079
Stock issued for services	4,331,676	592,738
Shares issued to extend notes	0	83,250
Loss on extinguishment of debt	1,418,518	0
Non-cash operating lease expense	(1,114)	15,667
Changes in operating assets and liabilities:
Accounts receivable	(257,441)	5,893
Prepaid expenses	(1,501,784)	1,017,723
Inventory	648,428	(849,453)
Vendor deposits	0	(399,011)
Security deposits	0	(42,584)
Accounts payable	(105,664)	453,073
Accrued liabilities	(2,682)	78,609
Interest payable	41,170	55,344
Interest payable to related parties	238,248	166,194
Royalties payable	(41,539)	0
Deferred warranty revenue	10,209	2,739
Net cash used in operating activities	(491,646)	(1,628,341)
Cash flows from investing activities:
Purchase of property, plant and equipment	0	(253,250)
Net cash flows from investing activities	0	(253,250)
Cash flows from financing activities:
Repayment of notes payable	(67,050)	(129,000)
Proceeds from notes payable - related parties	503,783	1,379,380
Repayment of notes payable - related party	(861,073)	(440,432)
Repayment of convertible notes payable	(25,000)	(3,500)
Proceeds from issuance of common stock	932,500	83,000
Net cash provided by financing activities	483,160	889,448
Net change in cash	(8,486)	(992,143)
Cash and cash equivalents - beginning of period	21,619	1,004,190
Cash and cash equivalents - end of period	13,133	12,047
Supplemental disclosures of cash flow information:
Cash paid for interest	207,193	227,113
Cash paid for income taxes	0	0
Supplemental non-cash information
Conversion of notes payable into common stock	819,090	0
Forgiveness of related party accounts payable directly to additional paid-in capital	106,300	0
Forgiveness of related party accrued liabilities directly to additional paid-in capital	169,521	0
Stock transactions above authorized shares reported as liabilities	3,358,390	0
Common stock issued per consulting agreements	$ 4,031,676	$ 592,738

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($)	Jun. 30, 2026	Dec. 31, 2025
Current assets
Cash	$ 13,133	$ 21,619
Accounts receivable	344,190	86,748
Prepaid expenses	1,503,779	1,996
Inventory	925,929	1,574,356
Vendor deposits	137,175	137,175
Total current assets	2,924,206	1,821,894
Other assets
Property, plant and equipment, net	358,805	405,296
Right-to-use asset	677,908	811,599
Trademarks	11,914	11,914
Other assets	61,531	61,531
Total other assets	1,110,158	1,290,340
Total assets	4,034,364	3,112,234
Current liabilities
Accounts payable and accrued liabilities	1,076,032	1,466,317
Advances payable - related parties	7,500	7,500
Lease liability	169,817	211,035
Accrued interest payable	389,163	453,274
Accrued interest payable - related parties	1,173,328	973,888
Stock payables liabilities	3,358,390	0
Royalty liabilities payable	564,576	599,997
Notes payable, net of discounts	572,950	765,000
Notes payable, net of discounts - related parties	4,194,119	6,459,753
Convertible notes payable, net of discounts	422,500	747,500
Convertible notes payable, net of discounts - related parties	0	750,000
Total current liabilities	11,928,375	12,434,264
Long-term liabilities
Deferred warranty revenue	21,414	11,205
Lease liability - long-term	535,192	628,779
Notes payable, net of discounts and current portion - related parties	1,908,344	0
Convertible notes payable, net of discounts and current portion - related parties	500,000	0
Total long-term liabilities	2,964,950	639,984
Total liabilities	14,893,325	13,074,248
Commitments and contingencies (Note 11)	0	0
Stockholders' deficit
Common stock, $0.001 par value, 300,000,000 shares authorized, 148,647,209 and 129,042,898 shares issued and outstanding as of June 30, 2026 and December 31, 2025, respectively	148,647	129,043
Additional paid in capital	76,161,234	71,761,622
Accumulated deficit	(87,168,842)	(81,852,679)
Total stockholders' deficit	(10,858,961)	(9,962,014)
Total liabilities and stockholders' deficit	4,034,364	3,112,234
Series B Preferred Stock [Member]
Stockholders' deficit
Preferred stock, value	0	0
Series A Preferred Stock [Member]
Stockholders' deficit
Preferred stock, value	$ 0	$ 0