ZenaTech, Inc.

What they do

ZenaTech operates in the prepackaged software industry, focusing on developing and commercializing software products. The company is headquartered in Vancouver, Canada, and its common shares trade on the Nasdaq under the symbol ZENA. Specific product lines are not detailed in the provided excerpts.

Revenue drivers

• Software products — The company generates revenue from software sales, with annual revenue of $1.8M in 2023 and $2.0M in 2024, indicating a small but growing base.

Recent performance

For the fiscal year ended December 31, 2025, ZenaTech reported a net loss of $45.2M, a dramatic increase from losses of $241,504 in 2023 and $4.5M in 2024. Diluted EPS worsened from -$0.01 in 2023 to -$1.32 in 2025. Operating cash flow was deeply negative at -$35.5M in 2025, compared to -$2.0M in 2023 and -$9.8M in 2024. As of December 31, 2025, the company had $6.0M in cash and $68.0M in shareholder equity.

Strategy

The filing mentions management's expectations regarding revenue, expenses, production, operations, costs, cash flows, and future growth, particularly in light of tariffs imposed by the US government and other countries. The company aims to grow its business and operations but acknowledges execution risk and the need for additional financing. Specific strategic initiatives are not detailed in the provided excerpts.

Risks

• Substantial going-concern risk — The company's escalating net losses and negative operating cash flow suggest a high risk of needing additional capital to continue operations.
• Dependence on external financing — Management explicitly notes the need for additional funds through equity or debt, and the low cash balance ($6.0M) relative to cash burn could force dilutive or costly financing.
• Tariff and trade policy exposure — The forward-looking statements call out tariffs imposed by the US and other countries as a factor that could adversely affect revenue and costs.
• Execution and market risks — The company faces risks from difficulty in forecasting industry trends, competitive conditions, and the ability to hire key personnel, which could impede growth plans.

Outlook

Management's outlook, as reflected in forward-looking information, includes expectations for revenue, expenses, and cash flows, with an emphasis on future growth. The company plans to complete the listing of its common shares on an exchange (though it is already Nasdaq-listed, this may refer to additional listings). Anticipated cash needs and the requirement for additional financing are central to the near-term outlook.