MDwerks, Inc.

What they do

MDWerks develops patented energy wave technology, including radio frequency and microwave applications, that targets molecules at multiple points in a system. Its RF Specialties subsidiary builds automated RF equipment, notably the Spirits Rapid Aging System (SRAS) for rapidly aging distilled spirits, and has deployed a Molecular Sawdust Drying System at a large lumber mill. Its wholly-owned subsidiary Two Trees Beverage Company produces aged alcoholic beverages using the SRAS at its Appalachian facility, with over 50 SKUs produced.

Revenue drivers

• Whiskey-as-a-Service (WaaS) licensing — Customers license SRAS units under recurring monthly license payments, with RFS manufacturing and servicing the units; the company reported two signed SRAS construction and deployment contracts and an exclusivity agreement with an international spirits fund covering three non-U.S. countries.
• Two Trees craft spirits — Two Trees produces aged alcoholic beverages using rapid-aging technology; the company states it has produced over 50 SKUs and many award-winning products, describing the products as nearly indistinguishable from traditionally aged spirits.
• On-site and bulk spirit aging — In 2025 the company began aging tanker loads of distillate at its facility for an SRAS customer, and in early 2026 it completed installation of a higher-capacity SRAS at the Two Trees facility to increase capacity.
• RF Specialties industrial applications — RFS applies automated radio frequency technology to industrial problems, including the Molecular Sawdust Drying System deployed at a large lumber mill; the company says it is also targeting engineered wood products, adhesives, wood forest products, and food and beverages.

Recent performance

Annual revenue was $2,214,542 in 2025, down from $2,364,093 in 2024, after $104,066 in 2023. Net losses widened to $3,797,990 in 2025 from $1,621,117 in 2024, and the accumulated deficit was $6,158,495 at December 31, 2025 versus $2,360,505 a year earlier. Operating cash flow was negative $1.6M in 2025 and negative $781,970 in 2024. Recent quarterly revenue was $780,141 in the quarter ended 2025-09-30, $499,862 in 2025-12-31, $434,087 in 2026-03-31, and $524,090 in 2026-06-30. At 2026-06-30, total assets were $3.9M, total liabilities $3.6M, shareholder equity $267,476, long-term debt $541,268, and cash and equivalents $0.00 as of 2022-03-31.

Strategy

Management's stated priorities center on commercializing the SRAS through the launched Whiskey-as-a-Service model, which licenses the technology for recurring monthly payments with minimal customer upfront investment. Two SRAS contracts were signed for construction and deployment, one anticipated at a large U.S. distillery in Q2 2026 and another with a U.S. bulk spirits wholesaler estimated for Q3 2026, with the company citing potential for additional deployments by both customers within twelve months. A separate agreement grants an international spirits investment fund limited exclusivity in three countries outside the U.S., conditional on deploying at least one SRAS unit annually in each country. The company also expanded aging capacity at the Two Trees facility and continues to pursue industrial applications of its RF technology.

Risks

• Going concern — The independent registered public accounting firm's opinion for 2025 and 2024 included an explanatory paragraph citing recurring losses and substantial doubt about the company's ability to continue as a going concern without additional capital.
• Persistent losses and accumulated deficit — The company has not been profitable since inception, with net losses of $3,797,990 in 2025 and $1,621,117 in 2024 and an accumulated deficit of $6,158,495 at December 31, 2025.
• Declining revenue — Revenue fell to $2,214,542 in 2025 from $2,364,093 in 2024, and the company states its ability to generate and grow revenue depends on timely execution and expansion of its business model.
• Dependence on specialized service and parts — Operations rely on the availability of qualified servicers of the company's specialized microwave technology machinery and on the availability of parts.

Outlook

Management points to two signed SRAS contracts, with the first unit anticipated to be installed at one of the largest U.S. distilleries in Q2 2026 and the second roughly three months later, and a third unit with a U.S. bulk spirits wholesaler estimated for Q3 2026. It also cites potential for multiple additional deployments by those customers within the next twelve months and by other third parties. The international spirits fund agreement requires annual SRAS deployments in each of three countries outside the U.S. to retain exclusivity, which management frames as a recurring revenue stream alongside servicing and maintenance fees.