Leopard Energy 10-K: Going-Concern Warning, $34K Annual Loss, Material Weaknesses

summarizeSummary

Leopard Energy's fiscal 2026 10-K shows a $34,150 net loss, a $11.7M accumulated deficit, and a going-concern warning, with survival dependent on continued funding from controlling stockholder Zenith Energy.

check_boxKey Events · Earnings and Guidance · LEEN

• Going-Concern Warning Disclosed

  Auditor WWC, P.C. and management cite recurring losses, an $11,727,265 accumulated deficit, and a $118,978 working capital deficit as raising substantial doubt about the company's ability to continue as a going concern.

• Fiscal 2026 Net Loss of $34,150

  Revenue from the 5% Eagle Ford royalty interest was $5,863 against $4,986 of depletion and $34,667 of G&A, producing a $34,150 net loss versus a $31,835 profit in fiscal 2025 (which included a $91,071 payable-settlement gain).

• Material Weaknesses in Internal Controls

  Management identified no functioning audit committee, no independent directors, inadequate segregation of duties, and ineffective period-end reporting controls; disclosure controls were concluded not effective as of July 31, 2026.

• Survival Rests on Zenith Energy Funding

  Controlling stockholder Zenith Energy has provided $421,007 in expense payments plus $45,000 cash since August 2023 and has indicated it intends to continue financing operations and acquisitions pending additional funding.

auto_awesomeAnalysis · LEEN · Trade & Services

A going-concern warning from both auditor and management sits at the center of Leopard Energy's fiscal 2026 annual report. The company lost $34,150 for the year, carries an accumulated deficit of $11,727,265, and has current liabilities exceeding current assets by $118,978. Revenue from its only asset — a 5% royalty interest in seven Eagle Ford Shale oil wells — was just $5,863, down slightly from $5,974, and the company has no employees beyond its officers and no operating cash flow of its own. Survival depends entirely on controlling stockholder Zenith Energy, which has funded $421,007 in expense payments plus $45,000 cash since August 2023 and says it intends to keep financing the company. The filing also discloses material weaknesses in internal controls — no audit committee, no independent directors, inadequate segregation of duties — and notes that no shares were issued or cancelled in either fiscal 2026 or 2025, leaving 1,272,917 shares outstanding. With a market value in the low six figures and a Pink-tier listing, the going-concern language is the central fact: absent continued related-party funding, the company cannot fund its commitments.