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BONK, INC.

BNKK
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Business Summary

Bonk, Inc. (formerly Safety Shot, Inc. and Jupiter Wellness, Inc.) has undergone a significant strategic repositioning during the fiscal year ended December 31, 2025, shifting its primary focus from beverage sales to opportunities within the digital asset and decentralized finance sectors, particularly aligning with the BONK ecosystem . Historically, the company generated revenue from the sale of its Sure Shot Dietary Supplement and Yerbaé’s plant-based energy beverages, distributed online and through retail channels . The company's current activities are centered on developing, investing in, and participating in projects aligned with the BONK ecosystem and other blockchain-based initiatives .

The core business model has transitioned from primarily selling functional beverages to engaging in digital asset activities and revenue sharing agreements. Revenue is now generated from beverage sales and related party income from digital assets . The company's performance obligations for beverage products are satisfied when goods are shipped on an FOB shipping point basis, with payment generally received in advance or within 30 days . For digital asset income, revenue is recognized as underlying platform revenues are earned by Bonk Digital, Inc. and the company's share becomes realizable, based on a fixed percentage of gross receipts .

The company's product and service lines include the Sure Shot Dietary Supplement and Yerbaé’s plant-based beverages, alongside its new digital asset initiatives. The Sure Shot Dietary Supplement, an over-the-counter drink designed to lower blood alcohol content, was launched in December 2023 through its website, Amazon, and several Big Box stores, and is available in 12oz., 4 oz., and "Stick Pack" SKUs . The acquisition of Yerbaé Brands Corp. on June 27, 2025, expanded the company's presence in the functional beverage market with plant-based energy drinks . In September 2025, the company entered into a digital asset transaction, receiving Bonk tokens, which are accounted for as indefinite-lived intangible assets . On August 8, 2025, the company also entered into a revenue sharing agreement with Bonk Digital, Inc., obtaining rights to a share of future revenue streams from Bonk’s digital platform, initially 10% and later amended to 51% of all gross revenue of LetsBonk.fun as of December 10, 2025 .

For the fiscal year ended December 31, 2025, total revenues were $3,929,661 , an increase from $701,967 in 2024 . Beverage sales contributed $2,117,309 and related party income from digital assets contributed $1,812,352 . Cost of sales was $2,691,555 , resulting in a gross profit of $1,238,106 . Operating expenses totaled $40,676,508 , including general and administrative expenses of $35,725,558 and an intangible asset impairment of $4,950,950 . The company reported a net loss of $68,185,762 for 2025, compared to a net loss of $49,409,632 in 2024 . Diluted EPS was $(17.02) for 2025, compared to $(31.77) for 2024 . Cash and equivalents stood at $2,278,340 as of December 31, 2025, up from $348,816 in 2024 . The company had an accumulated deficit of $183,492,179 and cash flow used in operations of $25,275,735 for the year ended December 31, 2025. Total liabilities were $5,977,071 and total shareholders' equity was $34,996,344 as of December 31, 2025.

Year-over-year, total revenues increased significantly from $701,967 in 2024 to $3,929,661 in 2025, primarily due to the acquisition of Yerbaé Brands and the commencement of digital asset investments . Gross profit improved from a loss of $(2,445,757) in 2024 to a profit of $1,238,106 in 2025 . Operating expenses increased from $39,611,915 in 2024 to $40,676,508 in 2025, with a notable intangible asset impairment expense of $4,950,950 in 2025 that was not present in 2024 . Net loss widened from $49,409,632 in 2024 to $68,185,762 in 2025, partly due to significant unrealized losses on digital assets of $35,372,217 .

Significant operational developments during the period include the acquisition of Yerbaé Brands Corp. on June 27, 2025, which expanded the company's functional beverage market presence . On October 10, 2025, the company changed its corporate name to Bonk, Inc. and its NASDAQ trading symbols to "BNKK" and "BNKKW" to reflect its strategic repositioning towards the BONK ecosystem . In September 2025, the company entered into a digital asset transaction, receiving Bonk tokens . A revenue sharing agreement with Bonk Digital, Inc. was established on August 8, 2025, initially for 10% of gross revenue from LetsBonk.fun, which was later amended to 51% on December 10, 2025 . The company also completed a 1-for-35 reverse stock split effective December 11, 2025, decreasing outstanding common stock from 184,976,280 shares to 5,285,037 shares .

Business Outlook

The company's strategic focus is transitioning away from beverage sales towards opportunities within the digital asset and decentralized finance sectors, with current activities centered on developing, investing in, and participating in projects aligned with the BONK ecosystem and other blockchain-based initiatives . While no formal revenue, margin, or EPS guidance for the upcoming period is explicitly stated, the company's shift in strategy suggests a future revenue mix heavily weighted towards digital assets.

A major growth area is the digital asset space, specifically the BONK ecosystem. The company entered this space in September 2025 with a digital asset transaction involving Bonk tokens . Furthermore, a revenue sharing agreement with Bonk Digital, Inc., established on August 8, 2025, provides the company with a share of future revenue streams from Bonk’s digital platform, initially 10% and subsequently increased to 51% of all gross revenue of LetsBonk.fun as of December 10, 2025 . This indicates a significant commitment to leveraging the BONK ecosystem for long-term growth potential. The company's strategic objective is to accumulate BONK in treasury to support long-term token stability and ecosystem value .

Operationally, the company intends to continue its current product lines in beverages, except for CBD products which have been discontinued . The Sure Shot Dietary Supplement continues to be sold in its current SKUs . The acquisition of Yerbaé Brands Corp. on June 27, 2025, is expected to support strategic growth in the functional beverage market by expanding its presence in clean energy drinks . The company also plans to relaunch its Photocil product as an OTC product in the US in the fourth quarter of 2024 through e-commerce channels . The company is exploring complementary opportunities that expand its brand presence, distribution channels, and long-term growth potential in both functional wellness and emerging digital ecosystems .

Regarding capital allocation, the company incurred research and development expenses of $24,190 for the year ended December 31, 2025 . The company expects to use net proceeds from the August 2025 Offering, which generated approximately $29,250,000 in aggregate gross proceeds (consisting of $4,250,000 in cash and $25,000,000 in BONK tokens) , for working capital and general corporate purposes . The company does not intend to pay dividends for the foreseeable future, instead planning to retain any future earnings to finance the operation and expansion of its business and to fund the expansion of its business .

The company explicitly flagged structural headwinds and execution risks related to the highly volatile nature of the BONK token, stating that fluctuations in its price are likely to affect financial results and the market price of its listed securities . A significant decrease in the market value of BONK token holdings could adversely affect the company's ability to satisfy financial obligations . The concentration of BONK token holdings enhances the risks inherent in its treasury strategy . The emergence or growth of other digital assets, including stablecoins or government-issued digital currencies, could negatively impact the price of BONK tokens . The company also faces risks related to the security of digital asset wallets, including loss or destruction of private keys and cyberattacks . Regulatory, legislative, enforcement, and judicial actions that adversely affect the price, ownership, transferability, trading volumes, legality, or public perception of BONK tokens could also materially impact the business .

Risk Factors

The company faces material risks, particularly concerning its significant concentration in BONK token holdings, which are highly volatile assets and subject to substantial price fluctuations that could adversely affect financial results and the market price of its listed securities . A significant decrease in the market value of these holdings could impair the company's ability to meet financial obligations, including debt and cash dividend obligations, potentially requiring the sale of BONK tokens at a loss . The BONK token and other digital assets are novel and subject to significant legal, commercial, regulatory, and technical uncertainty, with potential for new laws or regulations, or changes to existing ones, that could adversely affect the BONK token's price or the company's ability to hold or transact in them . There is a risk that the BONK token may be classified as a "security," which would subject the company to additional regulation, potentially as an "investment company" under the Investment Company Act of 1940, leading to significant regulatory controls and changes to its business operations . The company's accountant has also indicated doubt about its ability to continue as a going concern, given accumulated deficits of $183,492,179 and cash flow used in operations of $25,275,735 for the year ended December 31, 2025, and the expectation of continued significant costs for expansion and development . Operational risks include reliance on third parties for manufacturing and clinical trials, potential product liability claims, and the need to continuously develop and introduce new products to remain competitive in a rapidly changing market . Geopolitical factors such as the military action in Ukraine and the Israel-Hamas conflict could also materially and adversely affect the company's financial position and operations, particularly its ability to raise debt and equity finance .

Management Priorities

Management's message to shareholders emphasizes a significant strategic pivot towards the digital asset and decentralized finance sectors, aligning with the BONK ecosystem, while continuing to operate and expand its functional beverage business. The company has explicitly stated its intention to transition its strategic focus away from beverage sales toward opportunities within the digital asset and decentralized finance sectors, with current activities centered on developing, investing in, and participating in projects aligned with the BONK ecosystem and other blockchain-based initiatives . This strategic repositioning is underscored by the corporate name change to Bonk, Inc. and the new NASDAQ trading symbols "BNKK" and "BNKKW" effective October 10, 2025 . Management's strategic priorities include leveraging the BONK ecosystem for long-term growth potential, as evidenced by the digital asset transaction in September 2025 and the revenue sharing agreement with Bonk Digital, Inc., which increased from 10% to 51% of gross revenue from LetsBonk.fun as of December 10, 2025 . Another priority is the continued commercialization of its beverage products, including the Sure Shot Dietary Supplement and Yerbaé’s plant-based beverages, and the planned relaunch of Photocil in the US in Q4 2024 . The company also highlights its commitment to innovation through investments in research and development and its intellectual property portfolio .

View Source Annual Report on SEC.gov ↗

References

  1. [1] Item 1, Business — Overview
  2. [2] Item 1, Business — Overview
  3. [3] Item 1, Business — Overview
  4. [4] Item 7, MD&A — Results of Operations
  5. [5] Item 2, Significant Accounting Policies — Revenue Recognition
  6. [6] Item 2, Significant Accounting Policies — Digital Asset Income
  7. [7] Item 1, Business — Products Roadmap
  8. [8] Item 1, Business — Acquisition of Yerbaé Brands
  9. [9] Item 1, Business — Digital Assets
  10. [10] Item 1, Business — August Purchase Agreement
  11. [11] Item 7, MD&A — Revenues
  12. [12] Item 7, MD&A — Revenues
  13. [13] Item 7, MD&A — Results of Operations
  14. [14] Item 7, MD&A — Results of Operations
  15. [15] Item 7, MD&A — Results of Operations
  16. [16] Item 7, MD&A — Results of Operations
  17. [17] Item 7, MD&A — Operating Expenses
  18. [18] Item 7, MD&A — Operating Expenses
  19. [19] Item 7, MD&A — Operating Expenses
  20. [20] Item 7, MD&A — Income/Losses
  21. [21] Item 7, MD&A — Income/Losses
  22. [22] Item 7, MD&A — Earnings (Loss) Per Share
  23. [23] Item 7, MD&A — Earnings (Loss) Per Share
  24. [24] Item 8, Consolidated Balance Sheets — Cash
  25. [25] Item 8, Consolidated Balance Sheets — Cash
  26. [26] Item 8, Consolidated Balance Sheets — Accumulated deficit
  27. [27] Item 1A, Risk Factors — Risks Related to our Financial Position and Capital Needs
  28. [28] Item 8, Consolidated Balance Sheets — Total liabilities
  29. [29] Item 8, Consolidated Balance Sheets — Total shareholders’ equity (deficit)
  30. [30] Item 7, MD&A — Revenues
  31. [31] Item 7, MD&A — Gross profit
  32. [32] Item 7, MD&A — Operating Expenses
  33. [33] Item 7, MD&A — Other income and expense
  34. [34] Item 1, Business — Acquisition of Yerbaé Brands
  35. [35] Item 1, Business — Overview
  36. [36] Item 1, Business — Digital Assets
  37. [37] Item 1, Business — August Purchase Agreement
  38. [38] Item 1, Business — Recent Developments
  39. [39] Item 1, Business — Overview
  40. [40] Item 1, Business — Digital Assets
  41. [41] Item 1, Business — August Purchase Agreement
  42. [42] Item 2, Significant Accounting Policies — Digital Assets
  43. [43] Item 1, Business — Overview
  44. [44] Item 1, Business — Products Roadmap
  45. [45] Item 1, Business — Acquisition of Yerbaé Brands
  46. [46] Item 7, MD&A — Company Overview
  47. [47] Item 1, Business — Digital Assets
  48. [48] Item 7, MD&A — Research and Development
  49. [49] Item 1, Business — Registered Direct Offering and Concurrent Private Placement
  50. [50] Item 1, Business — Registered Direct Offering and Concurrent Private Placement
  51. [51] Item 5, Market for Common Equity, Related Stockholder Matters, and Issuer Purchases of Equity Securities — Dividends
  52. [52] Item 1A, Risk Factors — Risks Related to Our BONK Holdings and Treasury Strategy
  53. [53] Item 1A, Risk Factors — A significant decrease in the market value of our BONK token holdings could adversely affect our ability to satisfy our financial obligations.
  54. [54] Item 1A, Risk Factors — The concentration of our BONK token holdings enhances the risks inherent in our BONK treasury strategy.
  55. [55] Item 1A, Risk Factors — The emergence or growth of other digital assets, including those with significant private or public sector backing, could have a negative impact on the price of BONK tokens and adversely affect our business.
  56. [56] Item 1A, Risk Factors — We face risks relating to the security of the wallets holding our BONK tokens, including the loss or destruction of private keys required to access our BONK tokens and cyberattacks or other data loss relating to our BONK tokens.
  57. [57] Item 1A, Risk Factors — The BONK token and other digital assets are novel assets, and are subject to significant legal, commercial, regulatory and technical uncertainty.
  58. [58] Item 1A, Risk Factors — The BONK token is a highly volatile asset, and fluctuations in the price of the BONK token are likely to affect our financial results and the market price of our listed securities.
  59. [59] Item 1A, Risk Factors — A significant decrease in the market value of our BONK token holdings could adversely affect our ability to satisfy our financial obligations.
  60. [60] Item 1A, Risk Factors — The BONK token and other digital assets are novel assets, and are subject to significant legal, commercial, regulatory and technical uncertainty.
  61. [61] Item 1A, Risk Factors — Absent federal regulations, there is a possibility that the BONK token may be classified as a “security.” Any classification of the BONK token as a “security” would subject us to additional regulation and could materially impact the operation of our business.
  62. [62] Item 1A, Risk Factors — Our accountant has indicated doubt about our ability to continue as a going concern.
  63. [63] Item 1A, Risk Factors — Our accountant has indicated doubt about our ability to continue as a going concern.
  64. [64] Item 1A, Risk Factors — Our accountant has indicated doubt about our ability to continue as a going concern.
  65. [65] Item 1A, Risk Factors — Risks Related to Our Business
  66. [66] Item 1A, Risk Factors — Our business, operations, financial position and timelines, could be materially adversely affected by the continuing military action in Ukraine and the war between Israel and Hamas.
  67. [67] Item 1, Business — Overview
  68. [68] Item 1, Business — Overview
  69. [69] Item 1, Business — August Purchase Agreement
  70. [70] Item 7, MD&A — Company Overview
  71. [71] Item 1, Business — Our Competitive Strengths

Analysis on 5/20/2026