$SHFS

SHF Holdings, Inc.

CIK:0001854963|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
Income Statement [Abstract]
Revenue	$ 1,934,740	$ 1,845,334	$ 3,910,179	$ 3,777,686
Operating Expenses:
Compensation and employee benefits	1,477,615	1,583,051	3,138,273	2,955,532
Professional services	792,804	712,337	1,938,613	2,211,871
Rent expense	60,971	63,185	112,403	124,191
Amortization of contract asset	129,072		258,144
Credit benefit	(386,119)		(702,695)
General and administrative expenses	886,751	457,803	1,955,151	1,448,629
Total operating expenses	2,961,094	2,816,376	6,699,889	6,740,223
Operating loss	(1,026,354)	(971,042)	(2,789,710)	(2,962,537)
Other (Expenses) Income:
Change in fair value of warrant liabilities	14,598	138,158	31,197	1,254,240
Change in fair value of deferred consideration		(40,960)		120,040
Net loss on disposal of securities	(340,408)		(340,408)
Issuance cost from the sale of the ELOC	(182,229)		(210,109)
Interest expense	(2,290)	(115,341)	(6,870)	(228,127)
Interest income	23,448		23,448
Total other (expenses) income	(486,881)	(18,143)	(502,742)	1,146,153
Net loss before income tax	(1,513,235)	(989,185)	(3,292,452)	(1,816,384)
Income tax benefit		58,470		58,470
Net loss	(1,513,235)	(930,715)	(3,292,452)	(1,757,914)
Deemed dividends	(981,146)		(1,068,758)
Net loss attributable to common stockholders	$ (2,494,381)	$ (930,715)	$ (4,361,210)	$ (1,757,914)
Weighted average shares outstanding, basic	6,928,023	2,826,468	5,647,674	2,806,841
Weighted average shares outstanding, diluted	6,928,023	2,826,468	5,647,674	2,806,841
Basic net loss per share	$ (0.36)	$ (0.33)	$ (0.77)	$ (0.63)
Diluted net loss per share	$ (0.36)	$ (0.33)	$ (0.77)	$ (0.63)

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)	6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025
CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss	$ (3,292,452)	$ (1,757,914)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation expense		2,518
Net loss on disposal of securities	340,408
Amortization of contract asset	258,144
Amortization of prepaid consulting (Series B Preferred Stock)	84,374
Issuance cost from the sale of the ELOC	210,109
Stock compensation expense	100,431	783,762
Lease expense	(10,272)	(2,172)
Change in the fair value of deferred consideration		(120,040)
Credit benefit	(702,695)
Change in fair value of warrant	(31,197)	(1,254,240)
Changes in operating assets and liabilities:
Accounts receivable – trade	10,366	83,674
Accounts receivable – related party	325,596	385,168
Prepaid expenses	438,166	317,545
Accrued interest receivable		14,214
Other assets	(173,645)	(286,672)
Other current liabilities	(217,690)	(58,370)
Accounts payable	340,570	486,818
Accounts payable – related party	(12,640)	89,309
Accrued expenses	(486,294)	(480,811)
Contract liabilities		(18,127)
Deferred revenue	(15,415)
Net cash used in operating activities	(2,834,136)	(1,815,338)
CASH FLOWS FROM INVESTING ACTIVITIES:
Proceeds from sale and redemption of preferred securities	654,904
Net proceeds from loan repayment		6,545
Net cash provided by investing activities	654,904	6,545
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from the sale of Class A common stock	1,129,768
Repayment of senior secured promissory note		(255,765)
Net share settlement for stock compensation expense		(12,771)
Net cash provided by (used in) financing activities	1,129,768	(268,536)
Net decrease in cash and cash equivalents	(1,049,464)	(2,077,329)
Cash and cash equivalents – beginning of period	6,779,040	2,324,647
Cash and cash equivalents – end of period	5,729,576	247,318
Supplemental Disclosure of Non-Cash Investing and Financing Activities
Reclassification of forward purchase receivable		(4,584,221)
Receivable for unsettled ADTX sale	454,688
Forfeiture of Series B shares related to consulting contract	72,148
Accrued redemption payable to Series B holders	295,022
Interest paid	$ 6,870	$ 228,901

Condensed Consolidated Balance Sheets (Unaudited) - USD ($)	Jun. 30, 2026	Dec. 31, 2025
Current Assets:
Cash and cash equivalents	$ 5,729,576	$ 6,779,040
Prepaid expenses	532,632	862,400
Contract asset	516,283	516,283
Other current assets	3,454,688	3,000,000
Total Current Assets	10,938,076	12,198,582
Operating lease right to use asset	469,017	547,186
Investment in preferred securities		1,450,000
Prepaid expenses	233,783	414,329
Contract asset	2,323,273	2,581,417
Other assets	189,155	15,510
Total Assets	14,153,304	17,207,024
Current Liabilities:
Accrued expenses	824,169	1,310,463
Deferred revenue		15,415
Operating lease liability	189,902	181,963
Deferred consideration	3,000,000	3,000,000
Stand-ready guarantee liability	711,670	711,667
Financial indemnification liability	232,516	433,968
Other current liabilities	562,388	485,055
Total Current Liabilities	6,209,768	6,499,724
Stand-ready guarantee liability	889,468	1,245,416
Financial indemnification liability	512,506	657,804
Operating lease liability	432,172	528,552
Warrant liabilities	8,423	39,620
Total Liabilities	8,052,337	8,971,116
Commitments and Contingencies (Note 16)
Stockholders’ Equity
Class A Common Stock, $.0001 par value, 1,000,000,000 shares authorized, 12,332,955 and 4,281,523 issued and outstanding on June 30, 2026, and December 31, 2025, respectively	1,233	428
Additional paid-in capital	132,308,726	131,152,020
Accumulated deficit	(126,208,995)	(122,916,543)
Total Stockholders’ Equity	6,100,967	8,235,908
Total Liabilities and Stockholders’ Equity	14,153,304	17,207,024
Convertible Preferred Stock [Member]
Stockholders’ Equity
Convertible preferred stock, value
Series B Convertible Preferred Stock [Member]
Stockholders’ Equity
Convertible preferred stock, value	3	3
Nonrelated Party [Member]
Current Assets:
Accounts receivable	21,010	31,376
Current Liabilities:
Accounts payable	530,398	189,828
Related Party [Member]
Current Assets:
Cash and cash equivalents	1,176,238	6,779,040
Accounts receivable	683,887	1,009,483
Current Liabilities:
Accounts payable	$ 158,725	$ 171,365