Onfolio Holdings Inc. Announces Second Quarter 2025 Financial Results and Provides Corporate Update

Rhea-AI Summary

Onfolio Holdings (NASDAQ: ONFO), a digital marketing and online education portfolio company, reported strong Q2 2025 financial results. Revenue surged 82.5% year-over-year to $3.14M, while gross profit jumped 98.9% to $1.93M. The company reduced its net loss by 16.5% to $0.5M, with approximately $150K attributed to one-time audit costs.

CEO Dominic Wells highlighted the launch of Pace Generative LLC, an AI visibility agency, and a new revenue-share partnership program for course creators. While no acquisitions were made since Q4 2024, the company maintains a strong pipeline of prospective deals while focusing on improving current portfolio performance.

Positive

• Revenue growth of 82.5% year-over-year to $3.14M
• Gross profit increased 98.9% year-over-year to $1.93M
• Net loss decreased 16.5% year-over-year and 37.5% quarter-over-quarter
• Launch of new AI visibility agency already generating recurring revenue
• Strong interest in new revenue-share partnership program

Negative

• Operating expenses increased 54.4% year-over-year to $2.44M
• Continued net loss of $0.5M in Q2 2025
• Low cash position of $0.51M as of June 30, 2025
• No new acquisitions since Q4 2024

Insights

Financial Analyst

Onfolio shows strong revenue growth and narrowing losses while launching new AI initiatives, though still not profitable.

Onfolio Holdings has delivered an encouraging Q2 2025 financial performance with $3.14M in revenue, representing a substantial 82.5% year-over-year increase and a 11.7% sequential improvement from Q1. More impressive is the gross profit growth of 98.9% year-over-year to $1.93M, indicating improving margins as the company scales its digital marketing and online education portfolio.

The company is making notable progress on cost control, with operating expenses declining 2% sequentially to $2.44M, though still up 54.4% year-over-year. This disciplined approach to expenses has contributed to a narrowing net loss of $0.5M, down 16.5% year-over-year and 37.5% from Q1.

The most significant insight from this report is Onfolio's proximity to breakeven when excluding $150K in one-time costs related to audits, $300K in non-cash amortization, and $25K in stock-based compensation. With these adjustments, the company is approaching operational profitability even after interest payments.

Looking forward, two strategic initiatives bear watching: the launch of Pace Generative LLC (an AI visibility agency) which has already begun generating recurring revenue, and a new revenue-share partnership program for course creators that has attracted significant interest. These ventures represent potential growth catalysts without requiring capital-intensive acquisitions.

The company's cash position remains stable at $0.51M, a slight improvement from $0.48M at the end of 2024. While this provides limited runway, the focus on improving existing operations rather than pursuing acquisitions suggests prudent capital allocation given the current financial profile.

WILMINGTON, Del., Aug. 14, 2025 (GLOBE NEWSWIRE) -- Onfolio Holdings Inc. (NASDAQ: ONFO, ONFOW) (OTC: ONFOP) ("Onfolio" or the "Company"), a company that acquires and manages a portfolio of digital marketing and online education businesses, announces financial results for the first quarter ended June 30, 2025.

Financial Highlights

• Second quarter revenue for fiscal 2025 increased 82.5% to $3.14M vs. $1.72M for the same period in the prior year and increased 11.7% from $2.81M in Q1 of 2025
• Second quarter gross profit for fiscal 2025 increased 98.9% to $1.93M vs. $0.97M for the same period in the prior year and increased 13.5% from $1.7M in Q1 of 2025
• Second quarter total operating expenses for fiscal 2025 increased 54.4% to $2.44M vs. $1.58M for the same period in the prior year but decreased 2% from $2.49M in Q1 of 2025
• Second quarter net loss for fiscal 2025 decreased 16.5% to $0.5M vs. $0.6M for the same period in the prior year and decreased 37.5% from $0.8M in Q1 of 2025
• Cash at 6/30/25 was $0.51M vs. $0.48M at 12/31/24
  

"We once again made progress in all important metrics in the second quarter. Our revenue and gross profit increased year on year and quarter on quarter. Our operating expenses increased year on year but decreased quarter on quarter, and our net loss decreased both year on year and quarter on quarter. We are getting to where we need to be,” said Onfolio Holdings CEO Dominic Wells.

"In addition, we were still carrying some costs from the 2023 re-audit, and the 2024 Eastern Standard audit in Q2. Those are now completed, so we can anticipate far lower accounting and other professional fees in Q3 and for the remainder of the fiscal year.”

“Around $150k of our losses in Q2 came from these one-time, extra costs that we do not expect to continue. There was also $300k in amortization, $25k in stock-based compensation, which when removed, bring us very close to breaking even for the quarter, even after interest payments.”

"While we haven’t made an acquisition since Q4 2024, our pipeline of prospective deal flow is strong. We are currently focusing our efforts on improving the operating results of the current portfolio. We are not in a rush to consummate an acquisition unless it is highly strategic,” continued Wells.

"We launched Pace Generative LLC, an AI visibility agency, at the end of Q2, and it immediately started generating recurring monthly revenue. We believe we are very early in the earnings potential of this business.”

“We also launched a revenue-share partnership program for course creators, and we’ve been inundated with applications. We will be commencing work with our first few partnerships before the end of this month and will continue onboarding new partners throughout the rest of 2025.”

“Between these two new ventures, and the portfolio we already have, our financial results have room for growth,” 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. 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 and Form 10-Q; 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:

investors@onfolio.com

Onfolio Holdings, Inc.
Consolidated Balance Sheets
	June 30				December 31
		2025				2024
Assets
Current Assets:
Cash	$	514,259			$	476,874
Accounts receivable, net		538,420				755,804
Inventory		29,540				65,876
Prepaids and other current assets		196,437				138,007
Total Current Assets		1,278,656				1,436,561
Intangible assets		2,720,986				3,323,211
Goodwill		4,203,145				4,210,557
Fixed Assets		4,279				5,135
Due from related party		130,804				126,530
Investment in unconsolidated joint ventures, cost method		213,007				213,007
Investment in unconsolidated joint ventures, equity method		268,998				268,231
Other assets		11,869				9,465
Total Assets	$	8,831,744			$	9,592,697
Liabilities and Stockholders Equity
Current Liabilities:
Accounts payable and other current liabilities	$	965,797			$	969,068
Dividends payable		98,800				100,797
Notes payable, current		462,810				312,634
Notes Payable - Related Party, current		425,965				790,000
Contingent consideration		267,034				981,591
Deferred revenue		339,730				589,913
Total Current Liabilities		2,560,136				3,744,003
Notes payable		732,329				450,000
Notes payable - related parties		1,049,000				1,049,000
Due to joint ventures - long term		-				-
Total Liabilities		4,341,465				5,243,003
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, 171,900 and 134,460 issued and outstanding at June 30, 2025 and December 31, 2024		170				134
Common stock, $0.001 par value, 50,000,000 shares authorized, 5,127,395 issued and outstanding at June 30, 2025 December 31, 2024		5,128				5,128
Additional paid-in capital		23,615,658				22,316,751
Accumulated other comprehensive income		88,145				68,105
Accumulated deficit		(20,642,129	)			(19,078,287	)
Total Onfolio Inc. stockholders equity		3,066,972				3,311,831
Non-Controlling Interests		1,423,307				1,037,863
Total Stockholders' Equity		4,490,279				4,349,694
Total Liabilities and Stockholders' Equity	$	8,831,744			$	9,592,697
The accompanying notes are an integral part of these consolidated financial statements

Onfolio Holdings, Inc.
Consolidated Statements of Operations
		For the Three Months Ended June 30,								For the Six Months Ended June 30,
			2025				2024				2025				2024
Revenue, services		$	2,062,603			$	993,166			$	3,859,198			$	1,716,717
Revenue, product sales			1,085,606				733,433				2,100,954				1,596,784
Total Revenue			3,148,209				1,726,599				5,960,152				3,313,501
Cost of revenue, services			1,074,065				557,518				2,086,349				924,224
Cost of revenue, product sales			135,867				193,650				228,406				409,510
Total cost of revenue			1,209,932				751,168				2,314,755				1,333,734
Gross profit			1,938,277				975,431				3,645,397				1,979,767
Operating expenses
Selling, general and administrative			2,066,796				1,351,655				4,288,142				2,536,839
Professional fees			345,741				221,255				583,646				401,445
Acquisition costs			32,263				8,946				65,673				103,287
Impairement of goodwill and intangible assets			-				-				-				-
Total operating expenses			2,444,800				1,581,856				4,937,461				3,041,571
Loss from operations			(506,523	)			(606,425	)			(1,292,064	)			(1,061,804	)
Other income (expense)
Equity method income (loss)			(142	)			(1,063	)			767				(6,217	)
Dividend income			7,671				-				9,921				-
Interest income (expense), net			(72,602	)			(22,718	)			(173,322	)			(40,438	)
Other income			20,746				1,163				25,729				1,590
Gain on change in fair value of contingent consideration			16,539				-				70,712				-
Impairment of investments			-				-				-				-
Gain on sale of business			-				-				-				-
Total other income			(27,788	)			(22,618	)			(66,193	)			(45,065	)
Loss before income taxes			(534,311	)			(629,043	)			(1,358,257	)			(1,106,869	)
Income tax (provision) benefit			(128	)			-				17,390				-
Net loss			(534,439	)			(629,043	)			(1,340,867	)			(1,106,869	)
Net loss attributable to noncontrolling interest			(35,165	)			1,254				(23,124	)			1,918
Net loss attributable to Onfolio Holdings Inc.			(569,604	)			(627,789	)			(1,363,991	)			(1,104,951	)
Preferred Dividends			(95,930	)			(84,468	)			(199,851	)			(166,113	)
Net loss to common shareholders		$	(665,534	)		$	(712,257	)		$	(1,563,842	)		$	(1,271,064	)
Net loss per common shareholder
Basic and diluted		$	(0.13	)		$	(0.14	)		$	(0.30	)		$	(0.25	)
Weighted average shares outstanding
Basic and diluted			5,127,395				5,109,373				5,127,395				5,108,384
The accompanying notes are an integral part of these consolidated financial statements

Onfolio Holdings, Inc.
Consolidated Statements of Stockholders' Equity
For the Three and Six Months Ended June 30, 2025 and 2024
	Preferred Stock, $0.001 Par value					Common Stock, $0.001 Par Value						Additional				Accumulated				Accumulated Other				Non				Stockholders'
	Shares		Amount			Shares			Amount			Paid-In Capital				Deficit				Comprehensive Income				Controlling Interest				Equity
Balance, December 31, 2024	134,460		$	134		5,127,395			$	5,128		$	22,316,751			$	(19,078,287	)		$	68,105			$	1,037,863			$	4,349,694
						-				-							-				-				-				-
Sale of preferred stock for cash	28,000			28		-				-			699,972				-				-				-				700,000
Preferred stock and common stock options issued for payment of contingent consideration	2,800			3		-				-			169,997				-				-				-				170,000
Stock-based compensation	-			-		-				-			272,930				-				-				-				272,930
Payment of note payble by NCI																									400,000				400,000
Preferred dividends	-			-		-				-			-				(103,921	)			-				-				(103,921	)
Foreign currency translation	-			-		-				-			-				-				29,047				-				29,047
Distribution to non-controlling interest																									(17,820	)			(17,820	)
Net loss	-			-		-				-			-				(794,387	)			-				(12,041	)			(806,428	)
Balance, March 31, 2025	165,260			165		5,127,395				5,128			23,459,650				(19,976,595	)			97,152				1,408,002				4,993,502
						-				-							-				-				-				-
Sale of preferred stock for cash	5,200			5		-				-			129,995				-				-				-				130,000
Stock-based compensation	-			-		-				-			26,013				-				-				-				26,013
Preferred dividends	-			-		-				-			-				(95,930	)			-				-				(95,930	)
Foreign currency translation	-			-		-				-			-				-				(9,007	)			-				(9,007	)
Distribution to non-controlling interest																									(19,860	)			(19,860	)
Net loss	-			-		-				-			-				(569,604	)			-				35,165				(534,439	)
Balance, June 30, 2025	170,460		$	170		5,127,395			$	5,128		$	23,615,658			$	(20,642,129	)		$	88,145			$	1,423,307			$	4,490,279
Balance, December 31, 2023	92,260			93		5,107,395				5,108			21,107,311				(16,957,854	)			182,465				-				4,337,123
Acquisition of Business	17,000			17		-				-			484,983				-				-				126,000				611,000
Sale of preferred stock for cash	400			-		-				-			10,000				-				-				-				10,000
Stock-based compensation	-			-		-				-			17,887				-				-				-				17,887
Preferred dividends	-			-		-				-			-				(81,645	)			-				-				(81,645	)
Foreign currency translation	-			-		-				-			-				-				(39,134	)							(39,134	)
Distribution to non-controlling interest	-			-		-				-			-				-				-				-				-
Net loss	-			-		-				-			-				(477,162	)			-				(664	)			(477,826	)
Balance, March 31, 2024	109,660			110		5,107,395				5,108			21,620,181				(17,516,661	)			143,331				125,336				4,377,405
Acquisition of Business	8,000			8		-				-			199,992				-				-				200,000				400,000
Stock-based compensation				-		-				-			27,510				-				-				-				27,510
Common stock issued for exercise of options	-			-		20,000				20			(20	)			-				-				-				-
Preferred dividends	-			-		-				-			-				(84,468	)			-				-				(84,468	)
Foreign currency translation	-			-		-				-			-				-				15,778								15,778
Distribution to non-controlling interest	-			-		-				-			-				-				-				(3,600	)			(3,600	)
Net loss	-			-		-				-			-				(627,789	)			-				(1,254	)			(629,043	)
Balance, June 30, 2024	117,660		$	118		5,127,395			$	5,128		$	21,847,663			$	(18,228,918	)		$	159,109			$	320,482			$	4,103,582
The accompanying notes are an integral part of these consolidated financial statements

Onfolio Holdings, Inc.
Consolidated Statements of Cash Flows
For the six Months Ended June 30, 2025 and 2024
		2025				2024
Cash Flows from Operating Activities
Net loss	$	(1,340,867	)		$	(1,106,869	)
Adjustments to reconcile net loss to net cash provided by operating activities:
Stock-based compensation expense		298,943				45,397
Equity method loss (income)		(767	)			6,217
Dividends received from equity method investment		-				-
Amortization of intangible assets		602,225				250,437
Depreciation expense		856
Impairment of intangible assets		-				-
Change in FV of contingent consideration		(70,712	)			-
Net change in:
Accounts receivable		217,384				(174,807	)
Inventory		36,336				8,051
Prepaids and other current assets		(60,834	)			(53,532	)
Accounts payable and other current liabilities		(3,271	)			209,661
Due to joint ventures		(4,274	)			29,653
Deferred revenue		(250,183	)			22,045
Due to related parties		-				-
Net cash used in operating activities		(575,164	)			(763,747	)
Cash Flows from Investing Activities
Cash paid to acquire businesses		-				(255,000	)
Investments in unconsolidated entities		-				(49,000	)
Investment in cryptocurrency		-				-
Net cash used in investing activities		-				(304,000	)
Cash Flows from Financing Activities
Proceeds from sale of Series A preferred stock		830,000				10,000
Proceeds from exercise of stock options		-				-
Payments of preferred dividends		(201,848	)			(151,035	)
Distributions to non-controlling interest holders		(37,680	)			(3,600	)
Proceeds from notes payable		358,800				417,900
Payments on note payables		(266,295	)			(56,516	)
Payments on acquisition note payables		-				-
Proceeds from notes payable - related parties		35,965				200,000
Payments on note payables - related parties		-				(1,000	)
Payments on contigent consideration		(133,845	)			-
Net cash provided by financing activities		585,097				415,749
Effect of foreign currency translation		27,452				(20,238	)
Net Change in Cash		37,385				(672,236	)
Cash, Beginning of Period		476,874				982,261
Cash, End of Period		514,259			$	310,025
Cash Paid For:
Income Taxes	$	-			$	-
Interest	$	122,733			$	41,700
Non-cash transactions:
Preferred dividends accrued	$	199,851			$	166,113
Notes payable issued for asset acquisitions	$	-			$	640,000
Preferred stock issued for acquisitions	$	-			$	625,000
Contingent consideration issued for acquisition	$	-			$	1,869,000
Common stock issued for acquisitions	$	-			$	60,000
Non-controlling interest for acquisition					$	126,000
Settlement of contingent consideration	$	510,000			$	-
Non-controlling interest issued for settlement of note payable	$	400,000			$	-
Common stock issued for conversion of stock options	$	-			$	20
The accompanying notes are an integral part of these consolidated financial statements

FAQ

What were Onfolio Holdings (ONFO) Q2 2025 earnings results?

Onfolio reported Q2 2025 revenue of $3.14M (up 82.5% YoY), gross profit of $1.93M (up 98.9% YoY), and a net loss of $0.5M (improved 16.5% YoY).

How much cash does Onfolio Holdings (ONFO) have?

Onfolio reported $0.51M in cash as of June 30, 2025, compared to $0.48M at December 31, 2024.

What new initiatives did Onfolio Holdings launch in Q2 2025?

Onfolio launched Pace Generative LLC, an AI visibility agency, and introduced a revenue-share partnership program for course creators.

Why did Onfolio's operating expenses increase in Q2 2025?

Operating expenses rose 54.4% YoY to $2.44M, partly due to $150K in one-time costs related to 2023 re-audit and 2024 Eastern Standard audit.

What is Onfolio Holdings' acquisition strategy for 2025?

While maintaining a strong pipeline, Onfolio is currently focusing on improving existing portfolio performance and will only pursue highly strategic acquisitions.