Concrete Leveling Systems Inc SEC 10-Q Report

Concrete Leveling Systems Inc, a company specializing in the manufacturing and sale of concrete leveling machines and parts in the United States, has released its Form 10-Q report for the quarter ended April 30, 2025. The report provides a detailed overview of the company's financial performance and operational highlights, shedding light on both the challenges and opportunities faced by the company.

Financial Highlights

• Equipment, parts, and service sales: $175 for the three months ended April 30, 2025, flat compared to the same period in 2024. For the nine months ended April 30, 2025, sales were $483, an increase from $450 in the same period in 2024 due to higher parts sales.
• Gross margin: $120 for the three months ended April 30, 2025, compared to $116 for the same period in 2024. For the nine months ended April 30, 2025, gross margin was $359, compared to $331 for the same period in 2024.
• Loss from operations: $(9,162) for the three months ended April 30, 2025, compared to $(8,033) for the same period in 2024, primarily due to increased professional fees. For the nine months ended April 30, 2025, the loss from operations was $(41,481), compared to $(39,269) for the same period in 2024.
• Net loss: $(11,709) for the three months ended April 30, 2025, compared to $(10,640) for the same period in 2024. For the nine months ended April 30, 2025, the net loss was $(49,208), compared to $(47,096) for the same period in 2024, primarily due to higher legal and professional fees.
• Net loss per share - basic and fully diluted: $(0.00) for both the three and nine months ended April 30, 2025 and 2024.

Business Highlights

• Revenue Segments: The company operates in a single reportable segment, manufacturing and selling concrete leveling machines and parts in the United States. Revenue for the nine months ended April 30, 2025, increased slightly due to higher parts sales.
• Operational Performance: The company experienced a decrease in cost of sales for the three months ended April 30, 2025, due to a change in product mix from services to parts. However, for the nine months ended April 30, 2025, cost of sales increased due to the same change in product mix.
• Operating Expenses: Operating expenses increased for both the three and nine months ended April 30, 2025, primarily due to higher legal and professional fees, including accounting and auditing fees.
• Future Outlook: The company anticipates that the addition of its gaming and hospitality business will generate increased revenue over the 2025 fiscal year. However, there is substantial doubt about the company's ability to continue as a going concern without additional financing or increased revenue.
• Business Strategy: If the transaction with Jericho finalizes, the company plans to operate two business divisions: a concrete leveling division and a gaming and hospitality division. The latter will focus on casino gaming, hospitality, and entertainment industries, with potential operations in California and Nevada.

SEC Filing: Concrete Leveling Systems Inc [ CLEV ] - 10-Q - Jun. 13, 2025