Company Summary: Powerdyne International, Inc.

Overview

Powerdyne International, Inc. is a technology and manufacturing company engaged in multiple business segments, primarily focusing on custom motor manufacturing and related solutions, along with a related picture framing business.

Corporate History

• Incorporated in Delaware in September 2006.
• Merged with Powerdyne, Inc. (Nevada) in 2011, which was established for mergers and acquisitions.
• Acquired Creative Motion Technology, LLC (CM Tech) in March 2022 through a securities purchase agreement, paying via 2 million shares of Series A Preferred Stock valued at $1.5 million.
• CM Tech has over 19 years of experience in designing and building industrial servomotors, mainly for robots used in industrial automation and semiconductor manufacturing.

Business Segments

1. Motor Manufacturing (CM Tech)

• Designs and manufactures custom industrial servomotors (brush and brushless).
• Specializes in motors for low-volume, high-quality, cost-effective applications.
• Focuses on the industrial robotics sector, particularly for semiconductor manufacturing equipment.
• Products are used in X, Y, Z axes in factory automation robots.
• Primary customers are global semiconductor equipment manufacturers.
• During 2024, international customers accounted for 18% of CM Tech sales, with 82% from domestic customers.

2. Picture Framing (Frame One)

• Located in North Reading, Massachusetts.
• Business since 2006.
• Serves local schools, colleges, artist guilds, individual artists, interior decorators, museums, photographers, art galleries, and theaters.
• Provides custom picture framing services.

Financial Highlights (2024)

• Revenues: $1,251,545 (a decrease from $1,452,950 in 2023)
• Gross Profit: $365,849 (gross margin approx. 29.23%)
• Operating Expenses: $545,335 (a 5.9% increase from $515,000 in 2023)
• Net Loss: $179,497 (more than double the net loss of $84,173 in 2023)
• Total Assets (2024): $219,330 (down from $232,013 in 2023)
• Working Capital Deficit (2024): $253,545 (up from $74,057 in 2023)
• Shareholders' Equity: -$253,543 (indicating a deficit)

Employees and Customers

• Employees: 9 full-time employees and 5 consultants (including legal, accounting, and IT)
• Number of Stockholders: Approximately 39 active holders of common stock.
• Major Customers: Two main customers, representing about 66% of accounts receivable as of 2024; these also account for approximately 30% of sales in 2024.

Revenue and Income

• The company experienced a decline in revenue due to lower demand, especially in CM Tech, attributable to slower sales during the election year.
• No dividends have been paid or declared.
• The company continues to operate at a loss with an accumulated deficit of approximately $5.26 million as of the end of 2024.

Principal Revenue Sources

• Sales of industrial motors to original equipment manufacturers (OEMs) in the semiconductor sector.
• Custom picture framing services to local and regional clients.

Regulatory and Trade

• Some products are imported from Asia, including China, subject to tariffs and import regulations.
• The company disposed of all cryptocurrency assets in 2023 after entering into crypto mining in 2019 but found it unproductive.

Summary

Powerdyne International, Inc. is a small-scale manufacturer specializing in custom industrial servo motors for robotics and semiconductor equipment, with a complementary picture framing business. It has a limited local and international customer base, primarily serving OEMs, and experienced financial challenges with a net loss and negative working capital in 2024. Its business operates with a lean team, and it relies on financing from major shareholders, including the CEO.