v3.26.1
DECONSOLIDATION AND RECONSOLIDATION OF SUBSIDIARIES (Tables)
 12 Months Ended
Dec. 31, 2025
Deconsolidation And Reconsolidation Of Subsidiaries  
Schedule of gain on deconsolidatio
     
   For the Year
Ended
December 31,
2024		 
Gresham net loss  $(2,792,000)
Gain on deconsolidation   2,013,000 
Net loss from discontinued operations  $(779,000)
Schedule of operations
     
   For the Year 
   Ended 
   December 31, 
   2024 
Revenue, products  $30,862,000 
Cost of revenue, products   23,339,000 
Gross profit   7,523,000 
Operating expenses     
Research and development   2,617,000 
Selling and marketing   1,166,000 
General and administrative   8,033,000 
Impairment of goodwill and intangible assets   - 
Total operating expenses   11,816,000 
Loss from operations   (4,293,000)
Other income (expense):     
Interest and other income   1,594,000 
Interest expense   (1,662,000)
Loss on extinguishment of debt   - 
Change in fair value of warrant liability   - 
Total other expense, net   (68,000)
Loss before income taxes   (4,361,000)
Income tax benefit   (15,000)
Net loss   (4,346,000)
Net loss attributable to non-controlling interest   1,554,000 
Net loss attributable to common stockholders  $(2,792,000)
Schedule of statement of cash flows
     
   For the Year 
   Ended 
   December 31, 
   2024 
Cash flows from operating activities:     
Net loss  $(4,346,000)
Adjustments to reconcile net loss to net cash provided by operating activities:     
Depreciation and amortization   618,000 
Amortization of right-of-use assets   684,000 
Amortization of intangibles   157,000 
Impairment of goodwill and intangible assets   - 
Stock-based compensation   (858,000)
Changes in operating assets and liabilities:     
Accounts receivable   (1,638,000)
Inventories   1,514,000 
Prepaid expenses and other current assets   (1,516,000)
Lease liabilities   (667,000)
Accounts payable and accrued expenses   (314,000)
Net cash used in operating activities   (6,366,000)
Cash flows from investing activities:     
Purchase of property and equipment   (249,000)
Cash decrease upon deconsolidation   (3,550,000)
Net cash used in investing activities   (3,799,000)
Cash flows from financing activities:     
Proceeds from notes payable   2,552,000 
Cash contributions from parent   3,383,000 
Net cash provided by financing activities   5,935,000 
      
Effect of exchange rate changes on cash and cash equivalents   (71,000)
      
Net (decrease) increase in cash and cash equivalents and restricted cash   (4,301,000)
      
Cash and cash equivalents and restricted cash at beginning of period   4,301,000 
      
Cash and cash equivalents and restricted cash at end of period  $- 
      
Supplemental disclosures of cash flow information:     
Cash paid during the period for interest  $946,000 
Schedule of consideration transferred
     
   Amount 
Exit financing funded  $10,000,000 
Fair value of prepetition debt exchanged for equity   18,753,000 
Fair value of non-controlling interest   1,294,000 
Total consideration  $30,047,000 
Schedule of preliminary allocation of purchase price
               
   Enertec   Other Gresham
Entities		   Total 
Identifiable net assets acquired:               
Cash  $-   $4,382,000   $4,382,000 
Restricted cash   850,000    -    850,000 
Trade accounts receivable   2,642,000    1,566,000    4,208,000 
Accrued revenue   8,170,000    -    8,170,000 
Inventories, net   975,000    2,452,000    3,427,000 
Prepaid expenses and other current assets   1,182,000    560,000    1,742,000 
Property and equipment   503,000    357,000    860,000 
Right-of-use asset   1,665,000    521,000    2,186,000 
Intangible asset - trade name (12-15 year estimated useful life)   1,350,000    120,000    1,470,000 
Intangible asset - developed technology (5-10 year estimated useful life)   4,780,000    810,000    5,590,000 
Intangible asset - customer relationships (10-12 year estimated useful life)   3,810,000    1,150,000    4,960,000 
Other assets   291,000    52,000    343,000 
Accounts payable and accrued expenses   (5,484,000)   (1,516,000)   (7,000,000)
Notes payable   (4,027,000)   -    (4,027,000)
Notes payable, related party   -    (315,000)   (315,000)
Pre-petition unsecured creditor obligations   -    (3,280,000)   (3,280,000)
Operating lease liabilities   (1,718,000)   (1,344,000)   (3,062,000)
Other non-current liabilities   (20,000)   (329,000)   (349,000)
Net assets acquired   14,969,000    5,186,000    20,155,000 
Goodwill  $5,031,000   $4,861,000   $9,892,000 
Schedule of intangible assets
        
Intangible Asset  Fair Value   Estimated Useful Life
Trade names  $1,470,000   12 years
Developed technology   5,590,000   5 years
Customer relationships   4,960,000   10 years
Total identifiable intangible assets  $12,020,000    
Schedule of financial information
          
   For the Year Ended December 31, 
   2025   2024 
 Total revenue  $138,764,000   $148,283,000 
 Net loss attributable to Hyperscale Data  $(70,541,000)  $(65,273,000)