WILMINGTON, Del., May 21, 2024 (GLOBE NEWSWIRE) -- Onfolio Holdings Inc. (NASDAQ:ONFO, ONFOW)) ("Onfolio" or the "Company"), a holding company that acquires and manages a diversified portfolio of online businesses across a broad range of verticals, announces financial results for the first quarter ended March 31st 2024. Financial Highlights First quarter revenue grew 17% to $1.59M vs. $1.35M in the prior year period and vs. $1.27M in 4Q23 First quarter gross profit grew 35% to $1.00M vs. $0.74M in the prior year period and vs. $0.84M in 4Q23 First quarter total operating expenses decreased 23% to $1.61M vs. $2.09M in the prior year period and vs. $1.67M in 4Q23 First quarter net loss decreased 51% to $0.63M vs. $1.28M in the prior year period and vs. $0.9M in 4Q23 Cash at 3/31/24 was $0.53M vs. $0.98M at 12/31/23 "The first quarter of 2024 saw our revenue improve, gross margins improve, and net loss decrease significantly. Our cash used in operations for the quarter was $431,007, the lowest use of cash for operating activities since our IPO, compared to cash used in operations of $1,021,969 during the three months ended March 31, 2023," commented Onfolio Holdings CEO Dominic Wells. "The year-on-year improvements are most noticeable in the net loss, which roughly halved in 2024 vs 2023 from $1,284,075 during the three months ended March 31, 2023 decreasing to a net loss of $630,497 for the three months ended March 31, 2024. This was also a quarter-on-quarter improvement down from $833,462 in the three months ended December 31, 2023. "Based upon our historical financial statements, the first quarter is often the weakest performing quarter of the year, so we are eager to see the results for the remainder of the year. "A significant factor in our improvement is the decrease in costs that we implemented, which we have been discussing for several quarters. Additionally, the acquisition of RevenueZen in January 2024 has been a valuable addition to our portfolio. From both qualitative and quantitative perspectives, it has shown promising results. "These operational improvements are significant and facilitate our path to overall profitability. As we pursue additional cash flowing acquisitions, our enhanced operational efficiency will continue to contribute positively while maintaining our focus on accretive acquisitions. Path To Profitability "In the earnings release for our 10-K, dated April 2. 2024, we discussed launching a private raise for "Onfolio Agency SPV" – a joint venture with retail investors that would essentially allow ONFO to acquire companies without putting any cash into the deals ourselves. "We have negotiated several acquisitions which we hope to close in the coming weeks where Onfolio will acquire 60-90% of various profitable marketing companies, while using outside investor capital to fund the cash component of the acquisitions. If we close on these acquisitions as anticipated, we expect to add additional profits to our bottom line and bridge the gap to profitability in the near term. "Based on the deals currently in our pipeline, we believe that if Onfolio Agency SPV raises approximately $1M to $1.5M and we close on these acquisitions, then Onfolio Holdings could reach profitability in the near term. To date, Onfolio Agency SPV has raised approximately $1M. "This gives us optimism that we can become profitable within the coming months, as acquisitions start to complete," concluded Wells. About Onfolio Holdings Onfolio Holdings acquires controlling interests in and actively manage small online businesses that we believe (i) operate in sectors with long-term growth opportunities, (ii) have positive and stable cash flows, (iii) face minimal threats of technological or competitive obsolescence and (iv) can be managed by our existing team or have strong management teams largely in place. Through the acquisition and growth of a diversified group of online businesses with these characteristics, we believe we offer investors in our shares an opportunity to diversify their own portfolio risk. Our company excels at finding acquisition opportunities where the seller has not fully optimized their business, and our experience and skillset allows us to add increased value to these existing businesses. Visit www.onfolio.com for more information. Forward-Looking Statements The information posted in this release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. You can identify these statements by use of the words "may" "will," "should," "plans," "explores," "expects," "anticipates," "continues," "estimates," "projects," "intends," and similar expressions. Examples of forward-looking statements include, among others, statements we make regarding expected operating results, such as revenue growth and earnings, and strategy for growth and financial results. Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on our current beliefs, expectations and assumptions regarding the future of our business, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of our control. Our actual results and financial condition may differ materially from those indicated in the forward-looking statements. Therefore, you should not rely on any of these forward-looking statements. Important factors that could cause our actual results and financial condition to differ materially from those indicated in the forward-looking statements include, among others, the following: general economic and business conditions, effects of continued geopolitical unrest and regional conflicts, competition, changes in technology and methods of marketing, delays in completing new customer offerings, changes in customer order patterns, changes in customer offering mix, continued success in technological advances and delivering technological innovations, delays due to issues with outsourced service providers, those events and factors described by us in Item 1A "Risk Factors" in our most recent Form 10-K; other risks to which our company is subject; other factors beyond the company's control. Any forward-looking statement made by us in this press release is based only on information currently available to us and speaks only as of the date on which it is made. We undertake no obligation to publicly update any forward-looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise. For investor inquiries:   Onfolio Holdings, Inc. Consolidated Balance Sheets     March 31   December 31     2024       2023   Assets (Unaudited)             Current Assets:       Cash and cash equivalents $ 529,777     $ 982,261   Accounts receivable, net   123,751       90,070   Inventory   92,520       92,637   Prepaids and other current assets   192,425       111,097   Total Current Assets   938,473       1,276,065           Intangible assets, net   4,060,049       3,110,204   Goodwill   3,095,937       1,167,194   Due from related party   147,414       150,971   Investment in unconsolidated entities, cost method   164,007       154,007   Investment in unconsolidated joint ventures, equity method   267,888       273,042           Total Assets $ 8,673,768     $ 6,131,483           Liabilities and Stockholder's Equity               Current Liabilities:       Accounts payable and other current liabilities $ 460,426     $ 493,816   Dividends payable   79,534       68,011   Notes payable   791,580       17,323   Contingent consideration   1,929,000       60,000   Deferred revenue   184,249       149,965   Total Current Liabilities   2,753,789       789,115           Notes Payable   690,000       -   Total Liabilities   3,443,789       789,115           Commitments and Contingencies               Stockholders' Equity:       Preferred stock, $0.001 per value, 5,000,000 shares authorized       Series A Preferred stock, $0.001 par value, 1,000,000 shares authorized, 109,260 and 92,260 issued and outstanding at March 31, 2024 and December 31, 2023, respectively;   110       93   Common stock, $0.001 par value, 50,000,000 shares authorized, 5,107,395 issued and outstanding at March 31, 2024 and December 31, 2023   5,108       5,108   Additional paid-in capital   21,620,181       21,107,311   Accumulated other comprehensive income   143,331       182,465   Accumulated deficit   (16,664,087 )     (15,952,609 ) Total Onfolio Inc. stockholders' equity   5,104,643       5,342,368   Non-controlling interest   125,336       -   Total Stockholders' Equity   5,229,979       5,342,368           Total Liabilities and Stockholders' Equity $ 8,673,768     $ 6,131,483           The accompanying notes are an integral part of these unaudited consolidated financial statements Onfolio Holdings, Inc. Consolidated Statements of Operations (Unaudited)               For the Three Months Ended March 31,     2024   2023           Revenue, services   $ 723,551     $ 392,401   Revenue, product sales     863,351       959,333   Total Revenue     1,586,902       1,351,734                     Cost of revenue, services     366,706       273,313   Cost of revenue, product sales     215,860       335,208   Total cost of revenue     582,566       608,521                     Gross profit     1,004,336       743,213                     Operating expenses                 Selling, general and administrative     1,337,855       1,696,380   Professional fees     180,190       247,385   Acquisition costs     94,341       150,614   Total operating expenses     1,612,386       2,094,379                     Loss from operations     (608,050 )