Greenway Tech's Losses Triple Amid R&D Surge, Going Concern Doubt Looms

TL;DR

**GWTI is bleeding cash with losses tripling, making it a highly speculative bet on unproven GTL tech.**

AI Summary

GREENWAY TECHNOLOGIES, INC. & SUBSIDIARIES (GWTI) reported a significant increase in net loss for the nine months ended September 30, 2025, reaching $3,401,157, a substantial rise from $1,102,626 in the prior year. This was primarily driven by a surge in general and administrative expenses to $2,113,227 from $614,537, and research and development expenses to $825,789 from $25,000. The company's cash position improved slightly to $36,632 at September 30, 2025, up from $20,139 at December 31, 2024, largely due to $696,000 in proceeds from stock issued for cash. However, GWTI continues to operate with a substantial accumulated deficit of $42,774,329 and a stockholders' deficit of $15,611,606, indicating significant financial distress. The company also reported a working capital deficit of $15,611,606 and net cash used in operations of $674,507 for the nine-month period. Management acknowledges substantial doubt about its ability to continue as a going concern, planning to execute business operations more fully and explore strategic partnerships.

Why It Matters

GWTI's escalating losses and persistent going concern warning are critical for investors, signaling high risk and potential for further dilution or even bankruptcy. The significant increase in R&D spending to $825,789 suggests a push to commercialize its GTL technology, but without corresponding revenue, it's burning through capital. For employees, the company's precarious financial state creates job insecurity. Customers and the broader market for GTL technology should view GWTI's struggles as a cautionary tale, highlighting the challenges of commercializing innovative energy solutions in a capital-intensive environment, potentially impacting competitive dynamics in the renewable fuels sector.

Risk Assessment

Risk Level: high — The company explicitly states "These factors create substantial doubt about the Company's ability to continue as a going concern" due to a net loss of $3,401,157, net cash used in operations of $674,507, and an accumulated deficit of $42,774,329 for the nine months ended September 30, 2025. Its cash on hand is only $36,632, insufficient to meet current obligations.

Analyst Insight

Investors should exercise extreme caution and consider avoiding GWTI stock given the explicit going concern warning and significant financial deficits. Any investment would be highly speculative, contingent on the company successfully raising substantial capital and commercializing its GTL technology, which remains uncertain.

Financial Highlights

debt To Equity

N/A

revenue

N/A

operating Margin

N/A

total Assets

$ 105,485

total Debt

N/A

net Income

$ (3,401,157)

eps

$ (0.01)

gross Margin

N/A

cash Position

$ 36,632

revenue Growth

N/A

Revenue Breakdown

Key Numbers

• $3,401,157 — Net loss for nine months ended Sep 30, 2025 (Increased from $1,102,626 in prior year, indicating worsening financial performance.)
• $674,507 — Net cash used in operating activities (For the nine months ended Sep 30, 2025, demonstrating cash burn.)
• $42,774,329 — Accumulated deficit (As of Sep 30, 2025, highlighting significant historical losses.)
• $15,611,606 — Stockholders' deficit (As of Sep 30, 2025, indicating liabilities exceed assets attributable to shareholders.)
• $36,632 — Cash on hand (As of Sep 30, 2025, a very low amount for ongoing operations.)
• $2,113,227 — General and administrative expenses (For nine months ended Sep 30, 2025, a significant increase from $614,537 in 2024.)
• $825,789 — Research and development expenses (For nine months ended Sep 30, 2025, a substantial increase from $25,000 in 2024.)
• 456,361,204 — Common stock shares outstanding (As of November 13, 2025, indicating potential for further dilution.)
• $696,000 — Proceeds from stock issued for cash (For nine months ended Sep 30, 2025, a primary source of cash inflow.)
• $1,710,000 — Customer deposits (As of Sep 30, 2025, a new liability indicating potential future revenue or obligations.)

Key Players & Entities

• GREENWAY TECHNOLOGIES, INC. & SUBSIDIARIES (company) — Registrant
• Greenway Innovative Energy, Inc. (company) — Wholly owned subsidiary engaged in GTL research and development
• Universal Media Corp (company) — Inactive wholly-owned subsidiary
• Logistix Technology Systems, Inc. (company) — Inactive wholly-owned subsidiary
• G-Reformer TM (product) — Greenway's first generation commercial-scale GTL syngas conversion unit
• President and Director (person) — Chief operating decision maker
• SEC (regulator) — Securities and Exchange Commission
• FASB (regulator) — Financial Accounting Standards Board
• FDIC (regulator) — Federal Deposit Insurance Corporation
• $250,000 (dollar_amount) — FDIC insurance limit

FAQ

Risk Factors

• Going Concern Uncertainty [high — financial]: Management acknowledges substantial doubt about the Company's ability to continue as a going concern. This is due to significant accumulated deficit of $42,774,329 and a stockholders' deficit of $15,611,606 as of September 30, 2025.
• Increasing Net Loss [high — financial]: The net loss for the nine months ended September 30, 2025, increased to $3,401,157 from $1,102,626 in the prior year. This deterioration is driven by a substantial rise in operating expenses.
• Surge in Operating Expenses [high — financial]: General and administrative expenses increased to $2,113,227 from $614,537, and research and development expenses rose to $825,789 from $25,000 for the nine months ended September 30, 2025. This rapid escalation outpaces revenue generation.
• Working Capital Deficit [high — financial]: The company reported a working capital deficit of $15,611,606 as of September 30, 2025. This indicates that current liabilities exceed current assets, posing short-term liquidity challenges.
• Low Cash Position [high — financial]: Cash on hand was only $36,632 as of September 30, 2025. While an improvement from $20,139 at December 31, 2024, this amount is critically low for sustaining operations.
• Net Cash Burn from Operations [high — financial]: The company used $674,507 in net cash for operating activities during the nine months ended September 30, 2025. This ongoing cash burn exacerbates liquidity concerns.
• Potential for Dilution [medium — financial]: With 456,361,204 common stock shares outstanding as of November 13, 2025, and a history of issuing stock for cash ($696,000 in proceeds), there is a significant risk of further dilution for existing shareholders.
• Customer Deposits as Liability [medium — financial]: The company has $1,710,000 in customer deposits as of September 30, 2025. This represents a new liability that will require future fulfillment or refund, impacting cash flow.

Industry Context

Greenway Technologies operates in a sector that likely involves technological innovation and product development. The significant increase in R&D expenses suggests a focus on developing new products or improving existing ones. However, the company faces intense competition, as evidenced by its struggle to generate revenue and its increasing losses, which are common in early-stage or highly competitive technology markets.

Regulatory Implications

As a publicly traded company, GWTI is subject to SEC regulations and accounting standards (U.S. GAAP). The 'going concern' disclosure is a critical regulatory requirement that signals significant financial distress to investors and auditors. Failure to address the financial challenges could lead to delisting or further regulatory scrutiny.

What Investors Should Do

1. Monitor cash burn rate closely: With only $36,632 in cash and negative operating cash flow, investors should track how long the company can sustain operations.
2. Evaluate the strategy for addressing going concern: Management's plans to 'execute business operations more fully and explore strategic partnerships' need to be scrutinized for feasibility and potential impact.
3. Assess the sustainability of increased R&D and G&A expenses: Understand if these increased costs are leading to tangible product development or revenue growth, or if they are simply contributing to losses.
4. Consider the impact of potential future stock issuances: The large number of authorized shares and past stock issuances for cash suggest further dilution is possible, which could negatively impact existing shareholders.
5. Analyze the implications of customer deposits: The $1.71 million in customer deposits represents a future obligation that needs to be met, potentially requiring significant cash outflow.

Key Dates

• 2025-09-30: Nine months ended September 30, 2025 — Reported a net loss of $3,401,157 and net cash used in operations of $674,507, highlighting significant financial distress.
• 2025-09-30: Consolidated Balance Sheet as of September 30, 2025 — Revealed a stockholders' deficit of $15,611,606 and a working capital deficit of $15,611,606, underscoring severe financial strain.
• 2024-12-31: Consolidated Balance Sheet as of December 31, 2024 — Showed a cash position of $20,139, which was lower than the $36,632 reported at September 30, 2025.
• 2025-11-13: Common stock shares outstanding as of November 13, 2025 — Stood at 456,361,204, indicating a substantial number of shares that could be subject to further dilution.

Glossary

Accumulated deficit

The total cumulative net losses of a company since its inception that have not been offset by net income. (Indicates the company has historically incurred more losses than profits, reaching $42,774,329 as of September 30, 2025.)

Stockholders' deficit

Occurs when a company's total liabilities exceed its total assets, resulting in a negative net worth for shareholders. (Shows that the company's liabilities ($15,717,091) exceed its assets ($105,485), resulting in a deficit of $15,611,606 as of September 30, 2025.)

Working capital deficit

A situation where a company's current liabilities are greater than its current assets. (Highlights the company's short-term liquidity issues, with a deficit of $15,611,606 as of September 30, 2025.)

Going concern

An assumption that a company will continue to operate for the foreseeable future without the threat of liquidation. (Management has expressed substantial doubt about GWTI's ability to continue as a going concern, a critical warning for investors.)

Customer deposits

Money received from customers for goods or services that have not yet been delivered or rendered. (Represents a liability for the company, with $1,710,000 recorded as of September 30, 2025, indicating future obligations.)

Management approach

A method for identifying reportable segments based on how management makes operating decisions and assesses performance. (GWTI uses this approach and has identified only one reportable segment, simplifying its business structure for reporting purposes.)

Fair value

The price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. (The company uses this standard for measuring financial instruments and applies a three-tier hierarchy for disclosure.)

Year-Over-Year Comparison

Compared to the prior year's nine-month period, GWTI has experienced a significant deterioration in financial performance. Net loss has more than tripled, rising from $1,102,626 to $3,401,157. This is primarily driven by a dramatic increase in operating expenses, with G&A expenses more than tripling and R&D expenses surging from $25,000 to $825,789. While cash on hand has improved, this is largely due to stock issuance rather than operational improvements, and the company's overall financial health, indicated by its accumulated and stockholders' deficits, has worsened.

Filing Documents

• form10-q.htm (10-Q) — 894KB
• ex31-1.htm (EX-31.1) — 12KB
• ex31-2.htm (EX-31.2) — 12KB
• ex32-1.htm (EX-32.1) — 6KB
• ex32-2.htm (EX-32.2) — 7KB
• ex32-3.htm (EX-32.3) — 1KB
• logo_001.jpg (GRAPHIC) — 56KB
• ex32-3_001.jpg (GRAPHIC) — 164KB
• 0001493152-25-022146.txt ( ) — 4353KB
• gwti-20250930.xsd (EX-101.SCH) — 32KB
• gwti-20250930_cal.xml (EX-101.CAL) — 33KB
• gwti-20250930_def.xml (EX-101.DEF) — 127KB
• gwti-20250930_lab.xml (EX-101.LAB) — 222KB
• gwti-20250930_pre.xml (EX-101.PRE) — 190KB
• form10-q_htm.xml (XML) — 541KB

– Financial Information

Part I – Financial Information. 3

Consolidated Financial Statements & Notes (Unaudited)

Item 1. Consolidated Financial Statements & Notes (Unaudited) 3

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

Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations 24

Quantitative and Qualitative Disclosures about Market Risk

Item 3. Quantitative and Qualitative Disclosures about Market Risk 34

Controls and Procedures

Item 4. Controls and Procedures 35

- Other Information

Part II - Other Information 37

Legal Proceedings

Item 1. Legal Proceedings 37

Risk Factors

Item 1A. Risk Factors 37

Unregistered Sales of Equity Securities and Use of Proceeds

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 37

Defaults Upon Senior Securities

Item 3. Defaults Upon Senior Securities 38

Mine Safety Disclosures

Item 4. Mine Safety Disclosures 38

Other Information

Item 5. Other Information 38

Exhibits

Item 6. Exhibits 38 2 PART I – FINANCIAL INFORMATION Item 1. Consolidated Financial Statements & Notes (Unaudited) Greenway Technologies, Inc. and Subsidiaries Page(s) Consolidated Balance Sheets 4 Consolidated Statements of Operations (Unaudited) 5 Consolidated Statements of Changes in Stockholders' Deficit (Unaudited) 6 - 7 Consolidated Statements of Cash Flows (Unaudited) 8

Notes to Consolidated Financial Statements (Unaudited)

Notes to Consolidated Financial Statements (Unaudited) 9 3 Greenway Technologies, Inc. and Subsidiaries Consolidated Balance Sheets September 30, 2025 December 31, 2024 (Unaudited) Assets Current Assets Cash $ 36,632 $ 20,139 Prepaids and other 68,853 112 Total Current Assets 105,485 20,251 Total Assets $ 105,485 $ 20,251 Liabilities and Stockholders' Deficit Current Liabilities Accounts payable and accrued expenses $ 5,070,212 $ 4,166,436 Accounts payable and accrued expenses - related party 5,314,438 5,232,823 Accounts payable and accrued expenses 5,314,438 5,232,823 Note payable 647,500 652,500 Notes payable - related parties - net 2,805,774 2,805,774 Notes payable 2,805,774 2,805,774 Convertible note payable - net 166,667 166,667 Advances - others 2,500 2,500 Customer deposits 1,710,000 - Total Current Liabilities 15,717,091 13,026,700 Commitments and Contingencies (Note 8) - - Stockholders' Deficit Common stock - $ 0.0001 par value, 500,000,000 shares authorized and 454,361,204 and 430,837,871 shares issued and outstanding, respectively 45,437 43,085 Additional paid-in capital 27,117,286 26,323,638 Accumulated deficit ( 42,774,329 ) ( 39,373,172 ) Total Stockholders' Deficit ( 15,611,606 ) ( 13,006,449 ) Total Liabilities and Stockholders' Deficit $ 105,485 $ 20,251 The accompanying notes are an integral part of these unaudited consolidated financial statements 4 Greenway Technologies, Inc. and Subsidiaries Consolidated (Unaudited) 2025 2024 2025 2024 For the Three Months Ended September 30, For the Nine Months Ended September 30, 2025 2024 2025 2024 Operating expenses General and administrative expenses $ 990,360 $ 214,589 $ 2,113,227 $ 614,537 Research and development 364,496 25,000 825,789 25,000 Total operating expenses 1,354,856 239,589 2,939,016 639,537 Loss from operations ( 1,354,

Business

Business Segments Our President and Director is the chief operating decision maker who reviews financial information on a basis for allocating resources and evaluating financial performance. The Company uses the "management approach" to identify its reportable segments. The management approach requires companies to report segment financial information consistent with information used by management for making operating decisions and assessing performance as the basis for identifying the Company's reportable segments. The Company has identified one single reportable operating segment. The Company manages its business on the basis of one operating and reportable segment and derives revenues from selling its products and related services. Our President and Director assessed performance and decides how to allocate primarily based on net income, which is reported on our Consolidated Statement of Operations. Total assets on the Consolidated Balance Sheets represent our segment assets. 10 GREENWAY TECHNOLOGIES, INC. AND SUBSIDIARIES NOTES TO CONSOLIDATED FINANCIAL STATEMENTS SEPTEMBER 30, 2025 (UNAUDITED) Use of Estimates Preparing financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and revenues and expenses during the reported period. Actual results could differ from those estimates, and those estimates may be material. Changes in estimates are recorded in the period in which they become known. The Company bases its estimates on historical experience and other assumptions, which include both quantitative and qualitative assessments that it believes to be reasonable under the circumstances. Significant estimates during the nine months ended September 30, 2025 and 2024, respectively, include valuation of stock-based compensation, uncertain tax posit

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