OTC:USDW
MADE IN USA INC.
A high-risk OTC entity reporting net losses exceeding 60% of its annual revenue with severe liquidity constraints and a deep accumulated deficit.
Key Metrics
Investment Thesis
Bull Case
Speculative investors might target USDW only if there is imminent news of a strategic acquisition or restructuring that could resolve the current liquidity shortfall and halt the cash burn. The low share price typical of OTC penny stocks offers high potential upside if the company successfully pivots to profitability, though this remains purely hypothetical.
Bear Case
The stock should be avoided due to the imminent threat of insolvency, evidenced by liabilities exceeding assets and a retained earnings deficit of $33.5M. Without visible revenue growth or a clear path to positive cash flow, the company is likely to face dilution through equity financing or bankruptcy.
About MADE IN USA INC.
MADE IN USA INC. (USDW) reports a significant deficit of $22.6M on $37.8M in revenue for the latest fiscal period, showing substantial cash burn from operations and investing activities while maintaining minimal long-term debt.
Analysis
Management Discussion
Management faces a critical challenge as cash flow from operations ($23.5M) was insufficient to cover the massive investment outflow of $55.4M, resulting in a net change in cash that barely offset the operating burn and financing inflows. The company recorded a net loss of $22.7M while revenue remained stagnant at $37.8M, suggesting an inability to convert sales into profitability.
Industry Overview
The OTC market is populated by companies with high volatility and limited regulatory oversight, where fundamental analysis often reveals distressed balance sheets rather than stable industry leaders. Companies in this sector frequently struggle with transparency and liquidity, making them suitable only for high-risk capital allocation strategies.
Financial Statements
Income Statement
Balance Sheet
Cash Flow
| Metric | 2024 | 2025 |
|---|---|---|
| Revenue | $21.5K | $37.8K |
| Cost of Revenue | $21.5K | $37.8K |
| Gross Profit | $21.5K | $37.8K |
| Operating Expenses | $27.4K | $60.4K |
| Operating Income | $-5.9K | $-22.7K |
| G&A | $27.4K | $60.4K |
| Depreciation | $2.6K | — |
| Amortization | — | $3.5K |
| Other OpEx | $0 | $0 |
| Non-Operating Income | $-867 | $0 |
| Pre-Tax Income | $-6.8K | $-22.7K |
| Income Tax | $0 | $0 |
| Continuing Ops | $-6.8K | $-22.7K |
| Discontinued Ops | $0 | $0 |
| Net Income | $-6.8K | $-22.7K |
| Minority Interest | $0 | $0 |
| Net to Common | $-6.8K | $-22.7K |
| Metric | 2024 | 2025 |
|---|---|---|
| Current Assets | $84.9K | $41.4K |
| Cash & Equivalents | $9.1K | $13.9K |
| Other Current Assets | $75.8K | $27.5K |
| Long-Term Assets | $23.2K | $75.1K |
| Intangibles | $23.2K | $75.1K |
| Other LT Assets | $0 | $0 |
| Total Assets | $108.1K | $116.5K |
| Current Liabilities | $80.0K | $111.1K |
| Accounts Payable | $43.6K | $27.1K |
| Other Current Liab | $36.4K | $83.9K |
| Long-Term Liabilities | $0 | $0 |
| Total Liabilities | $80.0K | $111.1K |
| Shareholders' Equity | $28.1K | $5.4K |
| Paid-In Capital | $32.2K | $32.2K |
| Retained Earnings | $-10.8K | $-33.5K |
| Total L&E | $108.1K | $116.5K |
| Metric | 2024 | 2025 |
|---|---|---|
| Net Income (CFO) | $-6.8K | $-22.7K |
| Non-Cash Adjustments | $1.4K | $3.5K |
| Working Capital Changes | $-57.0K | $42.7K |
| Cash from Operations | $-62.3K | $23.5K |
| Cash from Investing | $10.0K | $-55.4K |
| Cash from Financing | $53.9K | $36.7K |
| FX Effect | $0 | $0 |
| Net Change in Cash | $1.6K | $4.8K |
| Beginning Cash | $7.5K | $9.1K |
| Ending Cash | $9.1K | $13.9K |
Frequently Asked Questions
How does MADE IN USA INC. make money?
The company appears to operate through a single primary revenue stream, as operating expenses ($60.4M) significantly exceed gross profit ($37.8M), indicating high cost-to-revenue ratios typical of early-stage or distressed service providers without clear segment diversification.
What are the main risks for USDW?
1. Severe liquidity crisis with current liabilities ($111M) vastly outpacing current assets ($41M). 2. Deep accumulated deficit of $33.5M eroding shareholder equity to just $5.4M. 3. Massive cash burn from investing activities (-$55.4M) without corresponding revenue generation. 4. Negative operating profit driven by expenses nearly double the gross profit margin.
What is USDW's competitive advantage?
The firm holds no apparent financial moats given its negative net income and lack of long-term assets; its primary 'advantage' is the potential for a turnaround if operational restructuring can reduce its massive general and administrative expenses.
Not financial advice. All content is for informational purposes only. Data may contain errors. Consult a qualified financial advisor before making investment decisions.