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Los Angeles, CA - June 30, 2023: Cavitation Technologies, Inc. [CVAT] (CTi) has reported a net loss of $2.04 million for the fiscal year ended June 30, 2023. The company, a leader in providing technologies for the processing of fluids, generated annual revenue of $413 million. Despite the challenging economic conditions, CTi has maintained its market position and experienced revenue growth during the year.
CTi's financial performance for the year reflected a decline in operating income, as the company faced increased general and administrative expenses of $1.2 million and impairment charges of $178,000 on its equipment. These factors contributed to a loss from operations of $886,000. Additionally, the company incurred losses from its equity method investment, resulting in a total loss before income taxes of $2.04 million.
Although CTi experienced a decrease in revenue compared to the previous year, the company demonstrated resilience and generated $413 million in annual revenue. The decline in revenue can be attributed to various factors, including the impact of market disruptions caused by the ongoing global pandemic.
CTi's balance sheet indicates a decrease in total assets from $1.87 billion to $143 million, primarily driven by a decrease in cash and cash equivalents. The company's current liabilities increased from $558,000 to $864,000, mainly due to higher accounts payable and customer advances. However, CTi maintains a strong equity position with total stockholders' equity of $919,000, providing a solid foundation for its operations.
The basic and diluted earnings per share for the fiscal year 2023 were not provided in the financial statements. Therefore, it is not possible to assess the company's earnings per share performance for the period.
Looking ahead, CTi aims to improve its financial performance by implementing cost-cutting measures and enhancing its operational efficiency. The company will continue to invest in research and development to drive innovation and product differentiation. CTi is optimistic about the long-term prospects of its business and remains committed to delivering value to its stakeholders.
Despite the challenges faced during the fiscal year 2023, Cavitation Technologies, Inc. has demonstrated resilience by maintaining its market position and generating $413 million in annual revenue. The company remains focused on enhancing its financial performance and is well-positioned for future growth and success.