TKLS Trutankless, Inc.

Overview and Growth

In fiscal 2025, Trutankless, Inc. recorded $1.08M of revenue, net loss of $4.75M, and an operating cash outflow of $1.48M. The $1.08M revenue base provides substantial context for the company’s earnings, cash generation, and capital requirements. Compared with $242.35K in fiscal 2024, revenue recorded a 346.8% year-over-year increase. The company reported diluted EPS of -$0.04, adding a shareholder-level measure to the absolute income figures considered below. At period end, total assets were $3.11M, framing the scale of the company’s operating and financing commitments. Revenue equaled 0.35x of total assets, indicating how much reported top-line activity the company produced relative to its period-end asset base.

Profitability

The first profit layer was $42.02K of gross profit, the amount available after reported direct revenue costs to absorb operating expenses. Gross margin was 3.9%, so that share of each revenue unit remained after the cost of revenue reported for the period. The company recorded an operating loss of $3.57M after the reported operating expense base. An operating margin of -329.7% reflected costs exceeding revenue-level gross profit by 329.7% of sales. After all below-operating-line items, the company recorded a net loss of $4.75M for the fiscal year. Net margin was -438.7%, reflecting a loss equal to 438.7% of reported revenue. EBITDA was negative $3.49M, showing a deficit before interest, taxes, depreciation, and amortization. Relative to total assets, the net loss represented 152.6%. The net loss narrowed to $4.75M from $10.19M in fiscal 2024.

Liquidity and Capital Structure

Total assets were $3.11M, supported by $13.07M of liabilities and -$9.96M of shareholder equity. The company reported negative equity of -$9.96M, a capital deficit that reduces its ability to absorb losses through book equity. The near-term balance sheet paired $1.82M of current assets with $12.43M of current liabilities at the reporting date. At 0.15x, current liabilities exceeded current assets and placed pressure on the company’s near-term liquidity position. Reported cash and equivalents were $21.62K, separating immediately recognizable cash resources from the rest of the current-asset base. The cash balance equaled 0.2% of current liabilities, showing how much near-term coverage came from cash alone. Equity equaled -320.1% of assets, showing the shareholder-capital layer within the company’s balance sheet. The liabilities-to-assets relationship was 420.1%, placing reported obligations against the full positive asset balance. The cash-to-assets relationship was 0.7%, comparing reported cash and equivalents with the full positive asset balance. The asset base changed 8.4% from $3.40M in fiscal 2024, leaving current total assets lower year over year. Cash and equivalents were 97.8% lower than fiscal 2024 cash of $1.00M, showing the year-over-year change in liquid resources.

Cash Flow and Earnings Quality

Cash flow from operations was an outflow of $1.48M, showing that operations absorbed cash during the period. Capital spending of $297.69K added to the period’s operating cash use, reinforcing the overall cash deficit after investment for the year. Negative free cash flow was $1.78M, leaving a cash deficit after capital spending and reducing financial flexibility. Relative to revenue, the post-investment cash deficit represented 164.5%. The cash deficit after capital spending represented 57.2% of the period-end asset base. The operating cash outflow narrowed to $1.48M from $2.32M in fiscal 2024.

Based on the annual report for the fiscal year ending Dec 31, 2025. Analysis generated Oct 21, 2026.