Skinvisible's Cash Dries Up Amidst Mounting Liabilities

TL;DR

**SKVI is a penny stock with a going concern warning and virtually no cash; avoid at all costs.**

AI Summary

SKINVISIBLE, INC. (SKVI) reported a net loss of $555,432 for the six months ended June 30, 2025, a 6.47% improvement from the $593,821 net loss in the prior-year period. Revenue remained flat at $10,000 for both periods, derived from product sales, royalty sales, and distribution/license rights. The company's cash position significantly deteriorated, dropping from $10,336 at December 31, 2024, to just $120 by June 30, 2025. Total current liabilities surged to $4,525,151 from $3,657,266, primarily due to increases in accounts payable and accrued liabilities by $222,159 and accrued interest payable by $283,871. The accumulated deficit grew to $40,501,574, raising substantial doubt about the company's ability to continue as a going concern. Management plans to seek funding through product licensing and additional debt and equity, but the success of these efforts is uncertain.

Why It Matters

This filing paints a grim picture for SKINVISIBLE, INC. investors, highlighting severe liquidity issues with only $120 in cash and a substantial accumulated deficit of over $40 million. The 'going concern' warning signals a high risk of bankruptcy, making the stock highly speculative. For employees, this raises significant job security concerns, while customers and partners face uncertainty regarding product availability and ongoing support. In a competitive market for topical delivery systems, SKVI's financial instability makes it a less attractive partner compared to more solvent industry players, potentially hindering its ability to commercialize its patented technologies.

Risk Assessment

Risk Level: high — The company explicitly states 'substantial doubt about the Company's ability to continue as a going concern' due to a cumulative net loss of $40,501,574 and a net loss of $555,432 for the six months ended June 30, 2025. Furthermore, cash on hand plummeted from $10,336 to $120 in just six months, indicating severe liquidity problems.

Analyst Insight

Investors should immediately divest any holdings in SKINVISIBLE, INC. given the explicit 'going concern' warning, critically low cash balance of $120, and mounting liabilities. The company's reliance on future uncertain financing or licensing deals makes it an extremely high-risk, speculative investment with a high probability of further value erosion.

Financial Highlights

debt To Equity

N/A

revenue

$10,000

operating Margin

N/A

total Assets

$143,375

total Debt

$9,897,554

net Income

-$555,432

eps

N/A

gross Margin

N/A

cash Position

$120

revenue Growth

0.0%

Revenue Breakdown

Key Numbers

• $120 — Cash at June 30, 2025 (Represents a 98.8% decrease from $10,336 at December 31, 2024, indicating severe liquidity issues.)
• $555,432 — Net loss for six months ended June 30, 2025 (Despite a slight improvement from $593,821 in 2024, it contributes to the accumulated deficit.)
• $40,501,574 — Accumulated deficit since inception (Highlights significant historical losses and raises 'going concern' doubts.)
• $10,000 — Revenue for six months ended June 30, 2025 (Stagnant revenue year-over-year, showing no growth in core business operations.)
• $4,525,151 — Total current liabilities at June 30, 2025 (Increased from $3,657,266 at December 31, 2024, exacerbating financial strain.)
• 5,403,843 — Common shares outstanding as of August 13, 2025 (Reflects the total number of shares in circulation.)
• $283,873 — Interest expense for six months ended June 30, 2025 (A significant expense contributing to the net loss, though down from $333,018 in 2024.)

Key Players & Entities

• SKINVISIBLE, INC. (company) — Registrant
• Nevada (regulator) — State of incorporation
• Microbial Solutions, Inc. (company) — Former name of Skinvisible, Inc.
• Skinvisible Pharmaceuticals, Inc. (company) — Subsidiary of Skinvisible, Inc.
• Chief Executive Officer (person) — Chief Operating Decision Maker (CODM)
• SEC (regulator) — Securities and Exchange Commission
• FASB (regulator) — Financial Accounting Standard Board

FAQ

Risk Factors

• Severe Liquidity Constraints [high — financial]: The company's cash position has drastically decreased from $10,336 as of December 31, 2024, to $120 as of June 30, 2025. This severe liquidity crunch, coupled with a significant increase in current liabilities to $4,525,151, raises substantial doubt about the company's ability to continue as a going concern.
• Growing Accumulated Deficit [high — financial]: The accumulated deficit has grown to $40,501,574 as of June 30, 2025. This substantial historical loss further exacerbates concerns about the company's long-term viability and its capacity to meet its financial obligations.
• Increased Debt Burden [medium — financial]: Total current liabilities increased by $867,885 to $4,525,151, driven by a $222,159 rise in accounts payable and accrued liabilities and a $283,871 increase in accrued interest payable. The addition of $352,075 in convertible notes payable also adds to the financial strain.
• Stagnant Revenue [medium — operational]: Revenue for the six months ended June 30, 2025, was $10,000, identical to the prior year period. This lack of revenue growth suggests potential challenges in market penetration, product demand, or sales execution.
• Dependence on Future Funding [high — financial]: Management plans to seek additional funding through product licensing and debt/equity offerings. However, the success of these initiatives is uncertain, and failure to secure adequate funding could lead to insolvency.

Industry Context

SKINVISIBLE, INC. operates in a sector that often requires significant R&D investment and faces competitive pressures. The company's stagnant revenue and increasing liabilities suggest challenges in differentiating its products or services and achieving market traction against established players or emerging technologies.

Regulatory Implications

As a publicly traded company, SKINVISIBLE, INC. is subject to SEC regulations and accounting standards. The 'going concern' disclosure is a critical regulatory requirement triggered by severe financial distress, necessitating transparency with investors regarding the company's ability to continue operations.

What Investors Should Do

1. Monitor future funding announcements closely.
2. Scrutinize any new licensing or partnership agreements.
3. Assess the feasibility of management's turnaround plan.
4. Consider the high risk of capital loss.

Key Dates

• 2025-06-30: End of Second Quarter 2025 — Reporting period for the 10-Q, revealing a severe cash crunch, increased liabilities, and a growing deficit, intensifying going concern doubts.
• 2025-06-30: Six Months Ended June 30, 2025 Financial Results — Net loss of $555,432 on flat revenue of $10,000, highlighting ongoing operational losses and lack of growth.
• 2024-12-31: End of Fiscal Year 2024 — Previous reporting period showing $10,336 in cash and $3,657,266 in current liabilities, providing a baseline for the significant deterioration observed in June 2025.

Glossary

Accumulated Deficit

The cumulative net losses of a company since its inception, minus any net profits. It represents the total historical losses that have not been offset by earnings. (SKINVISIBLE, INC. has a substantial accumulated deficit of $40,501,574, indicating persistent unprofitability and raising concerns about its long-term financial health.)

Going Concern

An accounting assumption that a business will continue to operate for the foreseeable future, able to meet its obligations. If substantial doubt exists, it must be disclosed. (The company's severe liquidity issues and growing deficit raise substantial doubt about its ability to continue as a going concern, a critical disclosure for investors.)

Current Liabilities

Obligations that a company expects to pay off within one year or one operating cycle, whichever is longer. (SKINVISIBLE, INC.'s current liabilities have surged to $4,525,151, an increase from $3,657,266, indicating a growing short-term financial burden.)

Accrued Interest Payable

Interest expense that has been incurred but not yet paid. (A significant increase in accrued interest payable by $283,871 contributed to the rise in total current liabilities, reflecting the cost of debt.)

Convertible Notes Payable

Debt instruments that can be converted into a predetermined amount of the issuer's equity at certain times during their life. (The company has $352,075 in convertible notes payable as of June 30, 2025, which represent a potential future dilution of equity if converted.)

Year-Over-Year Comparison

Compared to the prior year period, SKINVISIBLE, INC. reported a net loss of $555,432 for the six months ended June 30, 2025, a slight improvement from $593,821 in the prior year. However, revenue remained flat at $10,000, and critically, the company's cash position has plummeted from $10,336 to just $120, while total current liabilities have surged by $867,885 to $4,525,151, significantly worsening the financial outlook and increasing going concern risks.

Key Financial Figures

• $0.10 — pany's common stock at a fixed price of $0.10 per share along with warrants to purcha
• $0.15 — shares issued at the exercise price of $0.15 per share for three years after the con
• $0.20 — pany's common stock at a fixed price of $0.20 per share along with warrants to purcha
• $0.30 — shares issued at the exercise price of $0.30 per share for three years after the con

Filing Documents

• skvi10q2_06302025.htm (10-Q) — 497KB
• image_001.jpg (GRAPHIC) — 8KB
• image_002.jpg (GRAPHIC) — 8KB
• ex31_1.htm (EX-31.1) — 9KB
• ex31_2.htm (EX-31.2) — 9KB
• ex32_1.htm (EX-32.1) — 4KB
• 0001663577-25-000261.txt ( ) — 2468KB
• skvi-20250630.xsd (EX-101.SCH) — 20KB
• skvi-20250630_cal.xml (EX-101.CAL) — 35KB
• skvi-20250630_def.xml (EX-101.DEF) — 54KB
• skvi-20250630_lab.xml (EX-101.LAB) — 150KB
• skvi-20250630_pre.xml (EX-101.PRE) — 129KB
• skvi10q2_06302025_htm.xml (XML) — 217KB

– FINANCIAL INFORMATION

PART I – FINANCIAL INFORMATION Item 1:

Financial Statements

Financial Statements 3 Item 2:

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

Management's Discussion and Analysis of Financial Condition and Results of Operations 4 Item 3:

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 11 Item 4:

Controls and Procedures

Controls and Procedures 12

– OTHER INFORMATION

PART II – OTHER INFORMATION Item 1:

Legal Proceedings

Legal Proceedings 13 Item 1A:

Risk Factors

Risk Factors 13 Item 2: Unregistered Sales of Equity Securities and Use of Proceeds 13 Item 3: Defaults Upon Senior Securities 13 Item 4: Mine Safety Disclosure 13 Item 5: Other Information 13 Item 6: Exhibits 13 2 Table of Contents

- FINANCIAL INFORMATION

PART I - FINANCIAL INFORMATION

Financial Statements

Item 1. Financial Statements Our condensed consolidated financial statements included in this Form 10-Q are as follows: F-1 Condensed consolidated Balance Sheets as of June 30, 2025 and December 31, 2024 (unaudited); F-2 Condensed consolidated Statements of Operations for the three and six months ended June 30, 2025 and 2024 (unaudited); F-3 Condensed consolidated Statements of Stockholders' Equity ( Deficit) for the three and six months ended June 30, 2025 and 2024 (unaudited); F-4 Condensed consolidated Statements of Cash Flow for the six months ended June 30, 2025 and 2024 (unaudited); F-5 Notes to Condensed consolidated Financial Statements. These condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America for interim financial information and the SEC instructions to Form 10-Q. In the opinion of management, all adjustments considered necessary for a fair presentation have been included. Operating results for the interim period ended June 30, 2025 are not necessarily indicative of the results that can be expected for the full year. 3 Table of Contents SKINVISIBLE, INC. CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED) June 30, 2025 December 31, 2024 ASSETS Current assets Cash $ 120 $ 10,336 Accounts receivable 5,000 5,000 Due from related party 17,592 17,592 Prepaid expense and other current assets 10,390 9,100 Total current assets 33,102 42,028 Patents and trademarks, net 110,273 116,189 Total assets $ 143,375 $ 158,217 LIABILITIES AND STOCKHOLDERS' DEFICIT Current liabilities Accounts payable and accrued liabilities $ 1,081,152 $ 858,993 Accrued interest payable 3,068,780 2,784,909 Loans from related party 13,144 13,364 Loans payable 10,000 — Convertible notes payable, net of unamortized debt discount of $ 0 and $ 0 , respectively 352,075 — Derivative liability — — Total curren

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View this 10-Q filing on SEC EDGAR