CITR Revenue Jumps 163%, But Net Loss Widens to $30.7M

TL;DR

**CITR's revenue growth is a mirage; the company is burning cash at an alarming rate, making it a high-risk bet despite recent capital raises.**

AI Summary

General Enterprise Ventures, Inc. (CITR) reported a significant increase in revenue for the nine months ended September 30, 2025, reaching $1,945,232, up from $738,729 in the prior year, representing a 163.3% increase. Despite this revenue growth, the company experienced a substantial net loss of $30,736,631 for the nine-month period, a sharp increase from a net loss of $5,082,352 in the same period of 2024. This expanded loss was primarily driven by a massive increase in operating expenses, which surged to $12,659,025 from $4,844,042, and other expenses totaling $20,022,838, including a significant financing expense of $8,679,189 and a loss on settlement of debt of $6,770,814. Cash and cash equivalents dramatically increased to $6,195,974 as of September 30, 2025, from $775,133 at December 31, 2024, largely due to $9,028,943 in cash provided by financing activities, including $5,655,797 from Series C Preferred Stock issuance. The company completed an equity offering in September 2025, generating net proceeds of $5.4 million, and another in October 2025, generating $2.7 million, which are expected to fund operations through fiscal year 2026. A 1-for-6 reverse stock split was effective on August 27, 2025, impacting share counts and per-share metrics.

Why It Matters

For investors, CITR's substantial revenue growth of 163.3% signals potential market traction for its CitroTech product, but the escalating net loss of $30.7 million raises serious concerns about profitability and operational efficiency. The company's reliance on equity offerings, like the $5.4 million in September 2025 and $2.7 million in October 2025, to maintain liquidity suggests a high burn rate and potential for future dilution. Employees might face uncertainty given the significant losses, while customers could benefit from the continued development of environmentally sustainable fire-inhibiting products. In the competitive landscape of fire retardants, CITR's ability to scale its unique, food-grade technology against established chemical alternatives will be critical, but its current financial performance indicates a challenging path to sustainable growth.

Risk Assessment

Risk Level: high — The company reported a net loss of $30,736,631 for the nine months ended September 30, 2025, a significant increase from $5,082,352 in the prior year, indicating a rapidly deteriorating financial performance. Total liabilities increased to $3,754,734 as of September 30, 2025, from $2,161,883 at December 31, 2024, and the accumulated deficit reached $107,102,019, demonstrating a history of unprofitability and substantial financial obligations.

Analyst Insight

Investors should exercise extreme caution and consider avoiding CITR stock given the massive net losses and high cash burn rate. While revenue growth is positive, the company's inability to translate this into profitability, coupled with significant financing expenses and debt settlement losses, points to fundamental operational challenges. Wait for clear signs of sustained profitability and reduced reliance on dilutive equity financing before considering an investment.

Financial Highlights

revenue

$1,945,232

total Assets

$12,264,416

total Debt

$3,754,734

net Income

-$30,736,631

cash Position

$6,195,974

revenue Growth

+163.3%

Revenue Breakdown

Key Numbers

• $1,945,232 — Revenue for nine months ended Sep 30, 2025 (Increased 163.3% from $738,729 in 2024)
• $30,736,631 — Net loss for nine months ended Sep 30, 2025 (Increased from $5,082,352 in 2024)
• $6,195,974 — Cash as of Sep 30, 2025 (Increased from $775,133 at Dec 31, 2024)
• $9,028,943 — Cash provided by financing activities (For nine months ended Sep 30, 2025)
• $5,655,797 — Proceeds from Series C Preferred Stock issuance (For nine months ended Sep 30, 2025)
• $107,102,019 — Accumulated deficit (As of Sep 30, 2025)
• $5.4 million — Net proceeds from equity offering (Completed in September 2025)
• $2.7 million — Net proceeds from equity offering (Completed in October 2025)
• 1-for-6 — Reverse stock split ratio (Effective August 27, 2025)
• 17,552,912 — Common shares outstanding (As of November 12, 2025)

Key Players & Entities

• General Enterprise Ventures, Inc. (company) — registrant
• GEVI Insurance Holdings Inc. (company) — wholly owned subsidiary
• MFB Insurance Company, Inc. (company) — wholly owned subsidiary of GEVI Insurance
• CitroTech (company) — proprietary product formulation
• SEC (regulator) — filing authority
• Wyoming (person) — state of redomiciliation
• Ohio (person) — state of incorporation for GEVI Insurance Holdings Inc.
• Hawaii (person) — state of incorporation for MFB Insurance Company, Inc.

FAQ

Risk Factors

• Sustained Net Losses and Need for Future Funding [high — financial]: The company incurred a net loss of $30.7 million for the nine months ended September 30, 2025, a significant increase from $5.1 million in the prior year. While recent equity offerings totaling $8.1 million are expected to fund operations through fiscal year 2026, there is no assurance of future funding success or sufficiency.
• High Operating and Other Expenses [high — financial]: Operating expenses surged to $12.7 million from $4.8 million, and other expenses reached $20.0 million, including substantial financing costs of $8.7 million and a $6.8 million loss on debt settlement. This rapid increase in expenses outpaced revenue growth.
• Dependence on Equity Financing [medium — financial]: The company's cash position increased significantly due to financing activities, including $5.7 million from Series C Preferred Stock and $5.4 million from a September 2025 equity offering. This reliance on equity raises concerns about dilution and future capital availability.
• Product Development and Market Adoption [medium — operational]: The company is developing additional formulations and product treatments. Success depends on market adoption of its proprietary CitroTech technology as an alternative to conventional fire retardants and its effective application in various defense scenarios.
• Reverse Stock Split Impact [low — financial]: A 1-for-6 reverse stock split was effective on August 27, 2025. While intended to improve share price, it significantly reduces the number of outstanding shares and impacts per-share metrics, potentially affecting investor perception.

Industry Context

General Enterprise Ventures operates in the fire retardant and fire-resilient materials market, focusing on sustainable, non-toxic alternatives. The industry is seeing increased demand for eco-friendly solutions, driven by environmental regulations and growing awareness of wildfire risks. Competitors likely include established chemical companies and emerging players in green materials.

Regulatory Implications

The company's products are subject to environmental and safety regulations related to chemical retardants and building materials. Compliance with these standards is crucial for market access and product acceptance. The use of food-grade, renewable materials may offer a competitive advantage in navigating evolving environmental regulations.

What Investors Should Do

1. Monitor expense management closely.
2. Evaluate the sustainability of the business model.
3. Assess the impact of recent equity offerings.
4. Track market adoption of CitroTech.

Key Dates

• 2025-08-27: Reverse Stock Split Effective — A 1-for-6 reverse stock split was enacted, impacting share counts and per-share metrics retroactively.
• 2025-09-30: End of Nine-Month Period — Reported significant revenue growth but also a substantial increase in net loss, with a strong cash position bolstered by financing.
• 2025-09-30: Equity Offering Completed — Generated $5.4 million in net proceeds, contributing to the increased cash balance and expected to fund operations.
• 2025-10-31: Second Equity Offering Completed — Generated an additional $2.7 million, further strengthening the company's liquidity position.

Glossary

CitroTech

The company's proprietary formulation for environmentally sustainable, non-toxic, long-term fire-inhibiting products. (This is the core technology the company is commercializing for fire-resilient materials and wildfire defense.)

Reverse Stock Split

A corporate action where a company reduces the total number of its outstanding shares by consolidating them. (Effective August 27, 2025, it reduced the share count by a factor of 6, impacting per-share data and potentially stock price perception.)

Accumulated Deficit

The cumulative net losses of a company since its inception that have not been offset by net income. (Indicates the company has historically operated at a loss, with the deficit growing to $107,102,019 as of September 30, 2025.)

Series C Convertible Preferred Stock

A class of preferred stock that can be converted into a fixed number of common shares. (Issuance of this stock provided significant cash inflow ($5,655,797) during the period, contributing to the company's liquidity.)

Year-Over-Year Comparison

Revenue for the nine months ended September 30, 2025, surged by 163.3% to $1,945,232 compared to $738,729 in the prior year. However, this growth was accompanied by a dramatic increase in net loss, which widened from $5,082,352 to $30,736,631. Operating expenses more than doubled, and significant other expenses, including financing costs and debt settlement losses, contributed to the expanded deficit. The company's cash position improved substantially due to financing activities, a positive development against the backdrop of increasing operational burn.

Key Financial Figures

• $0.0001 — f the Company's common stock, par value $0.0001 per share, were outstanding. TABLE OF

Filing Documents

• gevi_10q.htm (10-Q) — 1555KB
• gevi_ex34.htm (EX-3.4) — 69KB
• gevi_ex311.htm (EX-31.1) — 12KB
• gevi_ex312.htm (EX-31.2) — 12KB
• gevi_ex321.htm (EX-32.1) — 5KB
• gevi_ex322.htm (EX-32.2) — 5KB
• 0001640334-25-002055.txt ( ) — 7380KB
• gevi-20250930.xsd (EX-101.SCH) — 81KB
• gevi-20250930_lab.xml (EX-101.LAB) — 398KB
• gevi-20250930_cal.xml (EX-101.CAL) — 57KB
• gevi-20250930_pre.xml (EX-101.PRE) — 338KB
• gevi-20250930_def.xml (EX-101.DEF) — 216KB
• gevi_10q_htm.xml (XML) — 1400KB

- 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 30 Item 3.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 41 Item 4.

Controls and Procedures

Controls and Procedures 41

- OTHER INFORMATION

PART II - OTHER INFORMATION Item 1.

Legal Proceedings

Legal Proceedings 42 Item 1A.

Risk Factors

Risk Factors 42 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 42 Item 3. Defaults Upon Senior Securities 42 Item 4. Mine Safety Disclosures 42 Item 5. Other Information 42 Item 6. Exhibits 43

SIGNATURES

SIGNATURES 44 2 Table of Contents

- FINANCIAL INFORMATION

PART I - FINANCIAL INFORMATION

Financial Statements

Item 1. Financial Statements. GENERAL ENTERPRISE VENTURES, INC. UNAUDITED INTERIM CONSOLIDATED FINANCIAL STATEMENTS Page Consolidated Balance Sheets (unaudited) 4 Consolidated statements of Operations and Comprehensive Loss (unaudited) 5 Consolidated Statements of Changes in Stockholders' Equity (unaudited) 6 Consolidated Statements of Cash Flows (unaudited) 8 Consolidated Notes to Financial Statements (unaudited) 9 3 Table of Contents General Enterprise Ventures, Inc. Consolidated Balance Sheets (Unaudited) September 30, December 31, 2025 2024 Assets Current Assets Cash $ 6,195,974 $ 775,133 Accounts receivable, net 508,175 317,455 Inventory 467,317 324,657 Prepaid expenses and other current assets 87,068 74,129 Deferred offering costs - 126,104 Total Current Assets 7,258,534 1,617,478 Non-Current Assets Intangible assets, net 3,513,542 3,699,491 Operating lease right-of-use asset 791,231 49,347 Equipment, net 664,118 111,374 Security deposit 36,991 - Total Non-Current Assets 5,005,882 3,860,212 Total Assets $ 12,264,416 $ 5,477,690 Liabilities and Stockholders' Equity Current liabilities Accounts payable and accrued liabilities $ 705,489 $ 186,984 Deferred revenue 6,000 - Convertibles notes, net of discount 63,120 196,077 Convertibles notes, net of discount - related parties 1,847,550 576,693 Due to related parties 160,693 - Financing loan - current portion 47,603 96,849 Derivative liability - 1,055,233 Operating lease liability - current portion 143,173 50,047 Total Current Liabilities 2,973,628 2,161,883 Non-current liabilities Financing loan 125,149 - Operating lease liability 655,957 - Total Liabilities 3,754,734 2,161,883 Stockholders' Equity Preferred Stock, par value $ 0.0001 , authorized 30,000,000 shares: Series A Preferred Stock, par value $ 0.0001 , designated 10,000,000 shares, 1,6

Business

Business We develop and manufacture environmentally sustainable, non-toxic, long-term fire-inhibiting products for use in industrial and wildfire defense applications. The Company's proprietary formulation, CitroTech, is derived from food-grade, renewable materials and is designed to provide an alternative to legacy conventional chemical fire retardants. CitroTech is used in the manufacturing of fire-resilient lumber and building materials, enabling integration of flame-inhibiting properties during production or applied in the field to new homes. In addition, it is utilized by fire departments, municipalities, and other public and private sector entities in connection with ground-based wildfire defense and stationary application systems intended to help render vegetation non-flammable, reduce ignition risk and enhance structural protection. The Company continues to evaluate and develop additional formulations and product treatments to expand the range of potential commercial applications for its technology. Reverse stock split On April 15, 2025, our Board of Directors and our stockholders that have a majority of our voting power approved an amendment to our articles of incorporation (as amended, the "Articles of Incorporation") to effect the reverse stock split (which includes the outstanding Series A Preferred Stock and Common Stock of the Company at a 1-for-6 ratio). The reverse stock split was effective on August 27, 2025. All share and per share information in these financial statements retroactively reflect this reverse stock split. 9 Table of Contents Liquidity The Company has incurred losses since inception and incurred a net loss of $ 30.7 million during the nine months ended September 30, 2025. However, in September 2025, the Company completed an equity offering which generated net proceeds of $ 5.4 million. Additionally, in October 2025, the Company completed an equity offering which generated net proceeds of $ 2.7 million (see Note 13). T

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