Business Context and Reporting Period
Company: NEXTNRG, INC. (formerly EzFill Holdings, Inc.)
Filing Type: Form 10-Q (Unaudited)
Period Ended: September 30, 2025
Business Overview: NextNRG operates two primary segments: Mobile Fuel Delivery (on-demand fuel services) and Energy Infrastructure (AI-driven smart microgrids, solar, battery storage, and wireless EV charging). The company recently completed a common control merger with NextNRG Holding Corp. on February 13, 2025, and changed its name from EzFill Holdings, Inc.
Key Financial Metrics (Nine Months Ended Sept 30, 2025)
| Metric | Amount (USD) |
|---|---|
| Net Sales | $58,824,282 |
| Gross Profit | $4,529,752 |
| Gross Margin | 7.7% |
| Operating Loss | $(45,521,442) |
| Net Loss | $(60,046,267) |
| Net Loss Available to Common Stockholders | $(59,464,757) |
| Cash and Cash Equivalents (Sept 30, 2025) | $653,869 |
| Total Debt (Notes Payable) | $13,097,434 (Current: $13,041,099; Long-term: $56,335) |
| Working Capital Deficit | $(29,972,856) |
| Stockholders' Deficit | $(17,269,661) |
Material Changes vs. Prior Period
- Revenue Growth: Net sales increased 180% to $58.8 million from $21.0 million in the prior year period, driven by expanded customer base, fleet partnerships, and higher average price per gallon.
- Expense Surge: Operating expenses jumped to $48.2 million from $7.9 million. This was primarily due to $31.1 million in stock-based compensation related to employee and consultant issuances.
- Loss Expansion: Net loss widened to $60.0 million from $18.8 million, largely attributable to the non-cash stock-based compensation and increased interest expense ($12.0 million vs. $10.7 million).
- Asset Restructuring: The company sold 69 trucks (34 in May, 35 in August) and leased them back, resulting in significant losses on settlement of liabilities ($2.7 million for the nine months).
- Financing Activity: The company raised approximately $13.8 million net from a public offering in February 2025 and secured various merchant cash advances and related-party loans.
Guidance, Outlook, Risks, and Unusual Items
- Going Concern Warning: Management has expressed substantial doubt about the company's ability to continue as a going concern for the next 12 months. The company has an accumulated deficit of $127.2 million and relies heavily on related-party debt and external financing.
- Liquidity Needs: The company anticipates an immediate need to raise additional capital to fund operations. There is no assurance that funds will be available on commercially acceptable terms.
- Unusual Items:
- Stock-Based Compensation: $31.1 million recognized in the nine months ended Sept 30, 2025, significantly distorting GAAP operating results.
- Debt Settlement Losses: Losses on the sale and leaseback of vehicles and settlement of accounts payable.
- Related Party Transactions: Significant debt and equity transactions with the CEO and other related parties, including a $1.67 million debt-to-equity conversion pending issuance.
- Outlook: Strategy focuses on expanding into new markets, obtaining additional debt/equity financing, and acquiring businesses to accelerate growth. No specific financial guidance was provided.
Investor Verification Checklist
- Capital Adequacy: Verify the company's ability to secure immediate financing given the $29.9 million working capital deficit and $653k cash balance.
- Stock-Based Compensation: Assess the sustainability of operations excluding the $31.1 million non-cash expense and the dilution impact of future equity issuances.
- Debt Structure: Review the terms of merchant cash advances (MCAs) and related-party notes, specifically regarding high interest rates, default penalties, and conversion features.
- Asset Sales: Confirm the long-term viability of the "sell and leaseback" strategy for the truck fleet and its impact on future cash flows.
- Related Party Dependence: Evaluate the extent of reliance on the CEO and related parties for funding and guarantees.