QIND Revenue Surges, But Net Loss Widens Amid Leadership Shake-Up

Ticker: QIND · Form: 10-Q · Filed: Nov 10, 2025 · CIK: 1393781

Sentiment: bearish

Topics: Industrial Sector, Oil & Gas, Financial Performance, Executive Leadership, Convertible Notes, Related Party Transactions, SEC Filings

Related Tickers: QIND, ASNS, HTOO

TL;DR

**QIND's revenue is up, but widening losses and a leadership shuffle make it a risky bet; proceed with extreme caution.**

AI Summary

Quality Industrial Corp. (QIND) reported a significant increase in revenue for the nine months ended September 30, 2025, reaching $11,146,807, a substantial rise from $5,979,256 in the prior year. Despite this revenue growth, the company experienced a net loss attributable to QIND stockholders of $(1,866,321) for the nine-month period, worsening from a net loss of $(193,463) in the same period of 2024. For the three months ended September 30, 2025, revenue was $3,515,873, up from $2,662,050, but the net loss attributable to QIND stockholders was $(264,230), an improvement from $(497,719) in the prior year's quarter. Key business changes include the acquisition of Al Shola Al Modea Gas LLC (ASG) on March 27, 2024, and a strategic realignment of executive leadership on August 28, 2025, with Carsten Kjems Falk appointed Interim CFO and Sanjeeb Safir as COO. The company also saw a substantial increase in total current liabilities to $15,769,556 as of September 30, 2025, from $11,363,612 at December 31, 2024, driven by a new related party payable of $4,061,803. Cash and cash equivalents significantly increased to $971,555 from $225,582 over the same period.

Why It Matters

QIND's substantial revenue growth, particularly after the acquisition of ASG, indicates potential for market expansion in the industrial and oil & gas sectors, which could attract growth-oriented investors. However, the widening net loss and increasing current liabilities, including a significant related party payable, signal operational inefficiencies and potential financial strain, raising red flags for risk-averse investors. The recent executive leadership changes, including the appointment of Carsten Kjems Falk and Sanjeeb Safir, suggest a strategic pivot that could either stabilize or further disrupt the company's trajectory, impacting employee morale and customer confidence. In a competitive industrial landscape, QIND's ability to convert revenue into profit and manage its debt will be crucial for its long-term viability and market positioning.

Risk Assessment

Risk Level: high — The company reported a net loss attributable to QIND stockholders of $(1,866,321) for the nine months ended September 30, 2025, a significant increase from $(193,463) in the prior year, indicating worsening profitability. Total current liabilities surged to $15,769,556 as of September 30, 2025, from $11,363,612 at December 31, 2024, primarily due to a new $4,061,803 related party payable, suggesting potential liquidity challenges and reliance on related party financing.

Analyst Insight

Investors should exercise extreme caution and conduct thorough due diligence before considering QIND. Monitor the company's next earnings reports closely for signs of improved profitability and a reduction in current liabilities, especially the related party payables, as the current financial trajectory suggests significant operational and financial risks.

Financial Highlights

revenue
$11,146,807
total Assets
$19,973,431
total Debt
$18,314,862
net Income
$(1,866,321)
gross Margin
31.3%
cash Position
$971,555
revenue Growth
+86.4%

Key Numbers

Key Players & Entities

FAQ

What were Quality Industrial Corp.'s revenues for the nine months ended September 30, 2025?

Quality Industrial Corp.'s revenues for the nine months ended September 30, 2025, were $11,146,807, a significant increase from $5,979,256 for the same period in 2024.

Did Quality Industrial Corp. report a net profit or loss for the nine months ended September 30, 2025?

Quality Industrial Corp. reported a net loss attributable to QIND stockholders of $(1,866,321) for the nine months ended September 30, 2025, which is a worsening from a net loss of $(193,463) in the prior year.

Who was appointed as Quality Industrial Corp.'s Interim Chief Financial Officer on August 28, 2025?

Mr. Carsten Kjems Falk was appointed as Quality Industrial Corp.'s Interim Chief Financial Officer and a Director of the Company, effective August 28, 2025.

What was the primary reason for the increase in Quality Industrial Corp.'s total current liabilities?

The primary reason for the increase in Quality Industrial Corp.'s total current liabilities to $15,769,556 as of September 30, 2025, from $11,363,612 at December 31, 2024, was the introduction of $4,061,803 in Related Party Payables.

What is the current ownership structure of Quality Industrial Corp.?

As of November 18, 2024, Quality Industrial Corp. became a majority-owned subsidiary of Fusion Fuel Green PLC, which acquired 78,312,334 shares of common stock and 20,000 shares of Series B Preferred Stock, constituting approximately 67.36% of the voting stock.

What significant acquisition did Quality Industrial Corp. complete in March 2024?

On March 27, 2024, Quality Industrial Corp. signed a definitive Share Purchase Agreement with Al Shola Al Modea Gas LLC ("ASG"), an Engineering and Distribution Company in the U.A.E. LPG industry, which has been consolidated since its acquisition.

What was the change in Quality Industrial Corp.'s cash and cash equivalents from December 31, 2024, to September 30, 2025?

Quality Industrial Corp.'s cash and cash equivalents increased significantly from $225,582 as of December 31, 2024, to $971,555 as of September 30, 2025.

Who resigned as Chief Operating Officer of Quality Industrial Corp. on August 28, 2025?

Mrs. Louise Bennett resigned from her position as Chief Operating Officer of Quality Industrial Corp., effective August 28, 2025, and was paid approximately $60,000 in accordance with a defined payment schedule.

What is the risk associated with Quality Industrial Corp.'s increasing net loss despite revenue growth?

The increasing net loss, despite revenue growth, indicates potential issues with cost control or declining margins, which could erode shareholder value and signal underlying operational inefficiencies or aggressive pricing strategies that are not sustainable.

How many common shares of Quality Industrial Corp. were outstanding as of November 10, 2025?

As of November 10, 2025, there were 169,510,820 common shares outstanding for Quality Industrial Corp.

Risk Factors

Industry Context

Quality Industrial Corp. operates in an industrial sector that is experiencing significant shifts, potentially driven by global supply chain dynamics and technological advancements. The company's recent acquisition of ASG suggests a strategy of inorganic growth or diversification within this landscape. Competitors may range from large, established players to smaller, specialized firms, each vying for market share in a potentially cyclical industry.

Regulatory Implications

As a publicly traded company, QIND is subject to SEC regulations and reporting requirements. The significant increase in related party payables and the appointment of interim executives may attract closer scrutiny from regulators regarding financial transparency and corporate governance. Compliance with accounting standards for acquisitions and financial reporting remains paramount.

What Investors Should Do

  1. Monitor the integration progress of ASG.
  2. Analyze the nature and terms of related party transactions.
  3. Evaluate the company's path to profitability.
  4. Assess the impact of executive leadership changes.

Key Dates

Glossary

Goodwill
An intangible asset that arises when a company acquires another company for a price greater than the fair value of its identifiable net assets. (Represents a significant portion of QIND's non-current assets ($8,411,100), likely stemming from past acquisitions, and is subject to impairment testing.)
Related Party Payables
Amounts owed to entities or individuals that have a close relationship with the company, such as parent companies, subsidiaries, or key management personnel. (A new liability of $4,061,803 appeared as of September 30, 2025, significantly contributing to the increase in current liabilities and requiring scrutiny for fair terms.)
Accumulated Deficit
The cumulative net losses of a company since its inception, offset by any net profits. (QIND has a substantial accumulated deficit of $(19,092,870) as of September 30, 2025, reflecting its history of net losses.)
Noncontrolling Interest
The portion of equity of a subsidiary that is not attributable to the parent company. (The increase in noncontrolling interest to $2,076,792 suggests that QIND's consolidated financial statements include subsidiaries where other parties hold a significant ownership stake.)
Convertible Notes, net of discount
Debt instruments that can be converted into a predetermined amount of equity in the issuing company, often issued at a discount to their face value. (QIND has $2,146,840 in convertible notes outstanding, which represent potential future dilution if converted.)

Year-Over-Year Comparison

Quality Industrial Corp. has demonstrated impressive revenue growth, with nine-month revenues soaring by 86.4% to $11,146,807 from $5,979,256 in the prior year. However, this top-line expansion has not translated into improved profitability; the net loss attributable to stockholders has widened considerably from $(193,463) to $(1,866,321). Key balance sheet changes include a substantial increase in total current liabilities, driven by a new $4,061,803 related party payable, and a significant improvement in cash and cash equivalents to $971,555. The company also saw a notable increase in common shares outstanding.

Filing Stats: 4,465 words · 18 min read · ~15 pages · Grade level 13.9 · Accepted 2025-11-10 07:01:12

Filing Documents

– FINANCIAL INFORMATION

PART I – FINANCIAL INFORMATION Item 1:

Financial Statements

Financial Statements 1 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 2 Item 3:

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 6 Item 4:

Controls and Procedures

Controls and Procedures 6

– OTHER INFORMATION

PART II – OTHER INFORMATION Item 1:

Legal Proceedings

Legal Proceedings 7 Item 1A:

Risk Factors

Risk Factors 7 Item 2: Unregistered Sales of Equity Securities and Use of Proceeds 7 Item 3: Defaults Upon Senior Securities 7 Item 4: Mine Safety Disclosures 7 Item 5: Other Information 7 Item 6: Exhibits 7 i PART I - FINANCIAL INFORMATION Item 1. Financial Statements Our

financial statements included in this Form 10-Q are as follows

financial statements included in this Form 10-Q are as follows: F-1 Consolidated Balance Sheets as of September 30, 2025 (Unaudited) and December 31, 2024 (Audited); F-2 Consolidated Statements of Operations for the Three and Nine Months Ended September 30, 2025, and 2024 (Unaudited); F-3 Consolidated Statement of Stockholders' Equity (Deficit) for the three months ended September 30, 2025, and 2024 (Unaudited); F-4 Consolidated Statements of Cash Flows for the Nine Months Ended September 30, 2025, and 2024 (Unaudited); and F-5

Notes to Consolidated Financial Statements (Unaudited)

Notes to Consolidated Financial Statements (Unaudited). 1 QUALITY INDUSTRIAL CORP. CONSOLIDATED BALANCE SHEETS (UNAUDITED) September 30, 2025 December 31, 2024 Unaudited Audited ASSETS Current Assets Cash and Cash Equivalents $ 971,555 $ 225,582 Inventory 921,838 1,224,309 Accounts Receivable 4,036,619 3,205,961 Deposits, Prepayments & Advances 665,177 810,765 Other Current Assets 2,000,000 2,000,000 Total Current Assets 8,595,189 7,466,617 Non-Current Assets Property, Plant and Equipment 325,265 49,115 Right-of-Use assets 345,940 202,680 Related Party Receivables 2,295,937 1,979,772 Goodwill 8,411,100 8,411,100 Total Non-current Assets 11,378,242 10,642,667 Total Assets $ 19,973,431 $ 18,109,284 LIABILITIES AND STOCKHOLDERS' DEFICIT Current Liabilities Accounts Payable $ 1,035,249 $ 2,116,876 Related Party Payables 4,061,803 - Lease Operating Liabilities 140,165 80,950 Convertible Notes, net of discount 2,146,840 2,584,054 Other payables - current 6,952,100 5,777,920 Other Current Liabilities 1,433,399 803,812 Total Current Liabilities 15,769,556 11,363,612 Non-Current Liabilities Lease Operating Non-Current Portion 218,701 132,741 Other payables – long-term 2,326,605 4,616,039 Total Long-Term Liabilities 2,545,306 4,748,780 Total Liabilities 18,314,862 16,112,392 Stockholders' Equity Preferred stock; $ 0.001 par value; 1,000,000 shares authorized; 20,000 and 20,000 Series B shares issued and outstanding as of September 30, 2025, and December 31, 2024, respectively 20 20 Common stock; $ 0.001 par value; 200,000,000 shares authorized; 169,110,820 and 126,642,689 shares issued and outstanding as of September 30, 2025, and December 31, 2024, respectively 169,113 126,645 Additional paid-in capital 18,505,514 18,046,911 Retained Earnings/ accumulated Deficit ( 19,092,870 ) ( 17,226,549 ) Noncontrolling interest 2,076,792 1,049,8

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