<div id="readability-page-1"><div>Enlightify Inc., a leading company in the fertilizer industry, has released its annual Form 10-K report, providing a comprehensive overview of its financial and operational performance for the fiscal year ended June 30, 2025. The report details significant changes in revenue, profitability, and strategic initiatives, as well as the challenges and risks the company faces in the current market environment. Financial Highlights <ul><li>Net Sales: $75.3 million, a decrease of 21.5% from $95.8 million in the previous year, primarily due to lower sales from Gufeng.</li><li>Gross Profit: $17.1 million, a decrease of 13.2% from $19.7 million, with a gross profit margin of 22.7% compared to 20.6% in the prior year.</li><li>Loss from Operations: $(14.8) million, an improvement of 48.9% from $(28.9) million, driven by reduced general and administrative expenses.</li><li>Net Loss: $(15.6) million, a reduction in loss by 45.1% from $(28.4) million, mainly due to lower general and administrative expenses.</li><li>Basic Net Loss Per Share: $(1.05), an improvement from $(2.04) in the previous year, reflecting the decrease in net loss.</li></ul> Business Highlights <ul><li>Revenue Segments: The company's primary business is fertilizer products, with Jinong and Gufeng generating approximately 86.8% and 88.8% of total revenues for the years ended June 30, 2025, and 2024, respectively. Yuxing contributed 13.0% and 9.8% of revenues for the same periods, while Antaeus, involved in Bitcoin mining, generated 0.2% and 1.3% of revenues.</li><li>Geographical Performance: The company's fertilizer sales are distributed across 22 provinces, 4 autonomous regions, and 4 central government-controlled municipalities in China. The top five provinces—Hebei, Heilongjiang, Liaoning, Shaanxi, and Inner Mongolia—accounted for 65.2% of fertilizer revenue in 2025.</li><li>Sales Units: For the fiscal year ended June 30, 2025, the company sold approximately 113,501 metric tons of fertilizer products, a decrease from 139,070 metric tons in 2024. Jinong sold 39,304 metric tons, while Gufeng sold 74,197 metric tons.</li><li>New Product Launches: During the fiscal year ended June 30, 2025, the company developed two new liquid fertilizer products.</li><li>Future Outlook: The company plans to expand its sales and increase revenues by expanding production lines, developing new products, and acquiring certain PRC fertilizer manufacturers that complement its product lines. Additionally, the company is focusing on integrating assets in the United States as part of its strategy to expand its global presence.</li></ul> Strategic Initiatives <ul><li>Liquidity and Capital Resources: The company is focused on managing its liquidity and capital resources in light of the NYSE delisting proceedings. It is evaluating options to mitigate the potential negative effects of the delisting on liquidity and access to capital, including the potential need for additional financing and the possibility of debt covenant waivers.</li><li>Capital Management: As of June 30, 2025, cash and cash equivalents were $52,519,418, a decrease from the previous year. The company repurchased 345,980 shares of its common stock for $398,526 under an authorized share repurchase program. The company also has short-term and long-term loans payable totaling $12,610,561 as of June 30, 2025.</li><li>Future Outlook: The company believes it has sufficient cash on hand and positive projected cash flow from operations to support business growth for the next twelve months, barring significant acquisitions or expansions. However, it may seek additional financing for expansion purposes and when market conditions are advantageous. The company acknowledges the uncertainty surrounding its ability to continue as a going concern due to the NYSE delisting and is considering strategic options to address this challenge.</li></ul> Challenges and Risks <ul><li>Regulatory Risks: The company faces significant risks due to its structure as a holding company with operations conducted through a subsidiary in China. This structure involves unique risks, including the potential for the Chinese government to intervene or influence operations, which could result in material changes to operations and the value of securities.</li><li>NYSE Delisting: The company's NYSE listing status is uncertain due to proceedings to delist its common stock, which could lead to trading on an over-the-counter market, affecting liquidity and investor perception.</li><li>Operational Risks: The company faces competition in the fragmented and competitive fertilizer industry, where it faces challenges from local and international competitors. The company's ability to innovate and develop new products is crucial for maintaining competitiveness.</li><li>Financial Risks: The company's auditors have expressed doubt about its ability to continue as a going concern, and significant fluctuations in raw material costs impact profitability. The company does not maintain business disruption or product liability insurance, exposing it to potential losses from unforeseen events.</li><li>Market Risks: The company is exposed to market risks, including foreign currency exchange rate fluctuations, which may adversely affect financial results. The volatility in Bitcoin prices also presents a risk, as the company's growth plans and profitability are influenced by the price of Bitcoin, which is subject to regulatory, commercial, and technical factors.</li></ul>SEC Filing: Enlightify Inc. [ CGA ] - 10-K - Oct. 21, 2025</div></div>

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Enlightify Inc. has released its annual Form 10-K report for the fiscal year ending June 30, 2025, revealing a 21.5% decrease in net sales to $75.3 million and a net loss of $15.6 million, improved from the previous year. The company plans to expand production and develop new products while addressing liquidity concerns amid NYSE delisting proceedings. Key risks include regulatory challenges in China, operational competition, and market volatility, particularly related to Bitcoin prices. The report highlights the company's strategic initiatives and future outlook for growth despite current challenges.

Enlightify Inc. SEC 10-K Report