$SNYRQ

Synergy Strips Corp.

CIK:0001562733|SEC Filings

Unaudited Condensed Consolidated Statements of Operations and Comprehensive (Loss) Income - USD ($)	3 Months Ended
	Mar. 31, 2026	Mar. 31, 2025
Revenue
Total Revenue	$ 5,492,705	$ 8,170,534
Cost of Sales	1,521,910	2,006,513
Gross Profit	3,970,795	6,164,021
Operating expenses
Selling and marketing	2,455,732	2,876,271
General and administrative	2,048,850	1,306,714
Depreciation and amortization	33,333	33,333
Total operating expenses	4,537,915	4,216,318
(Loss) Income from operations	(567,120)	1,947,703
Other (income) expenses
Interest income	(340)	(13,882)
Interest expense	2,012,121	1,095,369
Remeasurement loss on translation of foreign subsidiary	3,718	1,412
Total other expenses	2,015,499	1,082,899
Net (loss) income before income taxes	(2,582,619)	864,804
Income tax benefit	13,720	11,460
Net (loss) income after tax	$ (2,568,899)	$ 876,264
Net (loss) income per share – basic (in Dollars per share)	$ (0.23)	$ 0.1
Net (loss) income per share - diluted (in Dollars per share)	$ (0.23)	$ 0.1
Weighted average common shares outstanding
Basic (in Shares)	11,303,853	8,560,636
Diluted (in Shares)	11,303,853	8,577,620
Comprehensive (loss) income:
Net (loss) income	$ (2,568,899)	$ 876,264
Foreign currency translation adjustment	22,080	(1,935)
Comprehensive (loss) income	(2,546,819)	874,329
Product Sales
Revenue
Total Revenue	5,492,705	6,670,534
License Revenue
Revenue
Total Revenue		$ 1,500,000

Unaudited Condensed Consolidated Statements of Cash Flows - USD ($)	3 Months Ended
	Mar. 31, 2026	Mar. 31, 2025
Cash Flows from Operating Activities
Net (loss) income	$ (2,568,899)	$ 876,264
Adjustments to reconcile net (loss) income to net cash used in operating activities:
Amortization of debt discount and debt issuance cost	951,942	406,841
Depreciation and amortization	33,333	33,333
Stock based compensation	116,307
Foreign currency transaction loss (gain)	2,684	(3,137)
Remeasurement loss (gain) on translation of foreign subsidiary	3,718	(1,412)
Changes in operating assets and liabilities:
Accounts receivable	1,935,483	940,519
Other receivables		144,637
Loan receivable, related party		(833)
Inventory	355,895	(629,935)
Prepaid expenses	(410,657)	(114,787)
Prepaid expense, related party	(541,467)	(195,913)
Income taxes payable	(2,297)	(165,413)
Contract liabilities	(1,526)	(24,216)
Accounts payable and accrued liabilities	(1,915,323)	(2,218,041)
Accounts payable, related party	(3,871)	129,312
Net cash used in operating activities	(2,044,678)	(822,781)
Cash Flows from Investing Activities
Cash Flows from Financing Activities
Advances from related party		135,000
Repayment of notes payable, related party	(100,000)
Proceeds from notes payable	2,660,000	1,496,250
Payment of loan financing fees	(55,000)
Repayment of notes payable	(2,812,600)	(1,316,572)
Net cash (used in) provided by financing activities	(307,600)	314,678
Effect of exchange rate on cash, cash equivalents and restricted cash	22,080	(1,935)
Net decrease in cash, cash equivalents and restricted cash	(2,330,198)	(510,038)
Cash and restricted cash, beginning of year	2,722,313	787,920
Cash and restricted cash, end of period	392,115	277,882
Cash paid during the period for:
Interest	392,846	573,529
Income taxes
Supplemental Disclosure of Noncash Investing and Financing Activities:
Issuance of common stock for accounts receivable advance financing		117,648
Loan financing fees, accrued	110,000
Capitalized interest on senior debt	400,033
Common stock to be issued for accounts receivable advance financing	$ 153,400

Condensed Consolidated Balance Sheets - USD ($)	Mar. 31, 2026	Dec. 31, 2025
Current Assets
Cash and cash equivalents	$ 292,115	$ 2,622,313
Restricted cash	100,000	100,000
Accounts receivable, net	1,268,022	3,203,505
Prepaid expenses (including related party amount of $652,270 and $110,803, respectively)	1,303,173	351,049
Inventory, net	3,381,614	3,737,509
Total Current Assets	6,344,924	10,014,376
Intangible assets, net	116,667	150,000
Total Assets	6,461,591	10,164,376
Current Liabilities:
Accounts payable and accrued liabilities (including payable to shareholder of $193,641 and $197,512, respectively)	4,031,994	6,388,219
Income taxes payable	85,811	88,108
Contract liabilities		1,526
Short term loans payable, net of debt discount, related party		100,000
Current portion of notes payable, net of debt discount	2,730,981	1,658,215
Total Current Liabilities	6,848,786	8,236,068
Long-term Liabilities:
Notes payable, net of debt discount	25,018,055	25,056,446
Total long-term liabilities	25,018,055	25,056,446
Total Liabilities	31,866,841	33,292,514
Commitments and contingencies
Stockholders’ Deficit:
Common stock, $0.00001 par value; 300,000,000 shares authorized; 11,483,926 shares issued; 11,303,853 outstanding	114	114
Additional paid in capital	33,710,857	33,594,550
Common stock to be issued	153,400
Accumulated other comprehensive loss	(132,201)	(154,281)
Accumulated deficit	(59,009,920)	(56,441,021)
Less: Treasury stock (180,073 shares) at cost	(127,500)	(127,500)
Total stockholders’ deficit	(25,405,250)	(23,128,138)
Total Liabilities and Stockholders’ Deficit	$ 6,461,591	$ 10,164,376