Cavitation Technologies Files 2024 10-K

TL;DR

Cavitation Tech 2024 10-K is in. Financials for FY24 out.

AI Summary

Cavitation Technologies, Inc. filed its 10-K for the fiscal year ending June 30, 2024. The company, formerly known as Bioenergy Inc. until September 27, 2006, operates in agriculture services. The filing details financial information for the fiscal years 2022, 2023, and 2024, including common stock, additional paid-in capital, and retained earnings.

Why It Matters

This filing provides a comprehensive overview of Cavitation Technologies, Inc.'s financial health and operational status for the fiscal year 2024, crucial for investors and stakeholders.

Risk Assessment

Risk Level: low — The provided text is a standard 10-K filing header and does not contain specific operational or financial performance details that would indicate high risk.

Key Numbers

• FY 2024 — Fiscal Year End (Reporting period for the 10-K)
• 0630 — Fiscal Year End Month/Day (Standard fiscal year end date)

Key Players & Entities

• Cavitation Technologies, Inc. (company) — Filer
• Bioenergy Inc. (company) — Former company name
• 2024-06-30 (date) — Fiscal year end
• 2023-06-30 (date) — Previous fiscal year end
• 2022-06-30 (date) — Prior fiscal year end

FAQ

Key Financial Figures

• $0.001 — ge on Which Registered: Common Stock, $0.001 par value Over the Counter (Bulletin
• $0.02 — 31, 2023 based on the closing price of $0.02 per share and 284,289,740 shares outsta
• $50,000 — ns, limited monthly advance payments of $50,000 to be applied against gross profit shar
• $40,000 — rovided the Company monthly advances of $40,000 through November 1, 2024, that was appl
• $25,000 — provide the Company monthly advances of $25,000 through February 2027, subject to limit
• $554,000 — 21 agreement in the aggregate and up to $554,000 except for $56,000, which was accounted
• $56,000 — aggregate and up to $554,000 except for $56,000, which was accounted as a credit memo t
• $1.1 million — d an impairment charge of approximately $1.1 million. In Fiscal 2024 and 2023, the Company r
• $0 — cal 2024 and 2023, the Company received $0 and $20,000, respectively, from sale of
• $20,000 — 4 and 2023, the Company received $0 and $20,000, respectively, from sale of reactors an
• $69 — f oil has been volatile trading between $69 to $90 per barrel for the last twelve m
• $90 — as been volatile trading between $69 to $90 per barrel for the last twelve months,
• $61,00 — ended June 30, 2024 and 2023, we spent $61,00 and $3,000, respectively, on research a
• $3,000 — 30, 2024 and 2023, we spent $61,00 and $3,000, respectively, on research and developm
• $7,000 — . Our monthly rent payments approximate $7,000. We do not anticipate any material diff

Filing Documents

• cavitation_i10k-063024.htm (10-K) — 671KB
• cavitation_ex3101.htm (EX-31.1) — 7KB
• cavitation_ex3102.htm (EX-31.2) — 7KB
• cavitation_ex3201.htm (EX-32.1) — 3KB
• cavitation_ex3202.htm (EX-32.2) — 3KB
• cavitationlogo.jpg (GRAPHIC) — 9KB
• 0001683168-24-006768.txt ( ) — 3891KB
• cvat-20240630.xsd (EX-101.SCH) — 30KB
• cvat-20240630_cal.xml (EX-101.CAL) — 41KB
• cvat-20240630_def.xml (EX-101.DEF) — 101KB
• cvat-20240630_lab.xml (EX-101.LAB) — 281KB
• cvat-20240630_pre.xml (EX-101.PRE) — 234KB
• cavitation_i10k-063024_htm.xml (XML) — 439KB

Risk Factors

Item 1A. Risk Factors 5

Unresolved Staff Comments

Item 1B. Unresolved Staff Comments 5

Cybersecurity

Item 1C. Cybersecurity 5

Properties

Item 2. Properties 5

Legal Proceedings

Item 3. Legal Proceedings 5

Mine Safety Disclosures

Item 4. Mine Safety Disclosures 5 PART II

Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities

Item 5. Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities 6

Management's Discussion and Analysis of Financial Condition and Results of Operations

Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations 7

Quantitative and Qualitative Disclosures About Market Risk

Item 7A. Quantitative and Qualitative Disclosures About Market Risk 11

Financial Statements and Supplementary Data

Item 8. Financial Statements and Supplementary Data 12

Changes In and Disagreements With Accountants on Accounting and Financial Disclosure

Item 9. Changes In and Disagreements With Accountants on Accounting and Financial Disclosure 30

Controls and Procedures

Item 9A. Controls and Procedures 30

Other Information

Item 9B. Other Information 31

Disclosure Regarding Foreign Jurisdictions That Prevent Inspections

Item 9C. Disclosure Regarding Foreign Jurisdictions That Prevent Inspections 31 PART III

Directors, Executive Officers and Corporate Governance

Item 10. Directors, Executive Officers and Corporate Governance 32

Executive Compensation

Item 11. Executive Compensation 33

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters

Item 12. Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters 35

Certain Relationships and Related Transactions, and Director Independence

Item 13. Certain Relationships and Related Transactions, and Director Independence 36

Principal Accounting Fees and Services

Item 14. Principal Accounting Fees and Services 36 PART IV

Exhibits, Financial Statement Schedules

Item 15. Exhibits, Financial Statement Schedules 38

Form 10-K Summary

Item 16. Form 10-K Summary 39

Signatures

Signatures 40 i CAUTIONARY NOTE REGARDING

FORWARD-LOOKING STATEMENTS

FORWARD-LOOKING STATEMENTS This annual report on Form 10-K and the exhibits attached hereto contain "forward-looking" statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements concern our anticipated results and developments in our operations in future periods, planned exploration and development of our properties, plans related to our business and matters that may occur in the future. These statements relate to analyses and other information that are based on forecasts of future results, estimates of amounts not yet determinable and assumptions of management. We use words like "expects," "believes," "intends," "anticipates," "plans," "targets," "projects" or "estimates" in this annual report. When used, these words and other, similar words and phrases or statements that an event, action or result "will," "may," "could," or "should" result, occur, be taken or be achieved, identify "forward-looking" statements. Such forward-looking Management has included projections and estimates in this annual report, which are based primarily on management's experience in the industry, assessments of our results of operations, discussions and negotiations with third parties and a review of information filed by our competitors with the Securities and Exchange Commission or otherwise publicly available. We caution readers not to place undue reliance on any such forward-looking statements, which speak only as of the date made. We disclaim any obligation subsequently to revise any forward-looking statements to reflect events or circumstances after the date of such statements or to reflect the occurrence of anticipated or unanticipated events, except as required by law. We qualify all of the forward-looking statements contained in this annual report by the foregoing cautionary statements. ii PART I

BUSINESS

ITEM 1. BUSINESS Cavitation Technologies, Inc. (referred to herein, unless otherwise indicated, as "the Company," "CTi," "we," "us," and "our") is a Nevada corporation originally incorporated under the name Bio Energy, Inc. We are a process and product development firm that has developed, patented, and commercialized environmentally friendly technology-based systems that are designed to serve large, growing, global markets such as vegetable oil refining, renewable fuels, water treatment, wines and spirits enhancement, algae oil extraction, water-oil emulsions and crude oil yield improvement. Our systems are designed to process industrial liquids at a reduced processing time, lower operating cost, improved yield while operating in environmentally friendly manner. Our patented Nano Reactor and LPN are the critical components of our business and we have generated all of our revenue while utilizing these components. Vegetable Oil Refining Our first commercial application for our technology has been the CTi Nano Neutralization System which has been utilized to improve edible vegetable oil refining process. Our environment friendly process has been shown to reduce refining costs, increase oil yield, and limit the number of chemical additives used in chemical refining of vegetables oils. This patented process (US Patent # 7,762,715 and # 8,042,989) is designed to be incorporated into new and existing soybean, rapeseed, canola and palm vegetable oil refineries. Our first pilot test of our CTi NANO Neutralization System was conducted in 2010 at Carolina Soya, a 200-metric ton/day crude soy oil refining plant in Estill, South Carolina. Our second system, which became operational in fiscal 2011, has been continuously utilized since 2011 at the plant that processes approximately 450 metric tons per day of soy oil. Further, we have successfully shipped over 200 systems domestically and internationally. We also continuously focus on developing additional Nano Reactor appli

RISK FACTORS

ITEM 1A. RISK FACTORS Not applicable for smaller reporting companies.

UNRESOLVED STAFF COMMENTS

ITEM 1B. UNRESOLVED STAFF COMMENTS None.

CYBERSECURITY

ITEM 1C. CYBERSECURITY The manner in which we store and/or transmit sensitive data in connection with our research and development and our day-to-day operations. We recognize the importance of assessing, identifying, and managing material risks associated with cybersecurity threats, as such term is defined in Item 106(a) of Regulation S-K. These risks include, among other things: operational risks, intellectual property theft, fraud, extortion, harm to employees and violation of data privacy or security laws. Identifying and assessing cybersecurity risk is integrated into our overall risk management systems and processes. Cybersecurity risks related to our business, technical operations, privacy and compliance issues are identified through review by our internal information technology governance, risk and compliance policies. To defend, detect and respond to cybersecurity incidents, we, among other things: may conduct proactive privacy and cybersecurity reviews of systems and applications, audit applicable data, conduct employee training, monitor emerging laws and regulations related to data protection and information security and implement appropriate changes. Our risk management program also assesses third party risks, and we perform third-party risk management to identify and mitigate risks from our vendors, suppliers, and other business partners associated with our use of third-party service providers. Cybersecurity risks are evaluated when determining the selection and oversight of applicable third-party service providers and potential fourth-party risks when handling and/or processing our employee, business or customer data.

PROPERTIES

ITEM 2. PROPERTIES Our corporate headquarter is located in Chatsworth, California, with an area of approximately 5,000 square foot facility, which includes office space and an area to conduct research and development. Our lease agreement for this space will end in February 2025. Our monthly rent payments approximate $7,000. We do not anticipate any material difficulties with the renewal of our rental agreement when it expires or in securing replacement facilities on commercially reasonable terms.

LEGAL PROCEEDINGS

ITEM 3. LEGAL PROCEEDINGS The Company may be involved in certain legal proceedings that arise from time to time in the ordinary course of its business. The Company records accruals for contingencies to the extent that management concludes that the occurrence is probable and that the related amounts of loss can be reasonably estimated. Legal expenses associated with the contingency are expensed as incurred. The Company is not aware of any pending litigations.

MINE

ITEM 4. MINE SAFETY DISCLOSURES Not applicable. 5 PART II

MARKET

ITEM 5. MARKET FOR REGISTRANT'S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES Common Stock Our Common Stock is traded on the OTCQB Market under the symbol CVAT. Holders As of September 26, 2024, there were 99 holders of record of our common stock. This does not reflect the number of persons or entities who hold stock in nominee or "street" name through various brokerage firms. Dividend Policy We have neither declared nor paid any dividends on our Common Stock in the preceding two fiscal years. We currently intend to retain future earnings, if any, to fund ongoing operations and finance the growth and development of our business and, therefore, do not anticipate declaring or paying cash dividends on our Common Stock for the foreseeable future. Any future decision to declare or pay dividends will be at the discretion of the Board of Directors and will be dependent upon our financial condition, results of operations, capital requirements, and such other factors as the Board of Directors deems relevant. Issuance of unregistered Securities None. Issuer Purchase

View Full Filing

View this 10-K filing on SEC EDGAR