ECDA

• Introduced new Chief Financial Officer Vicki Hay and new Director of Corporate Development Ben Piggott.
• Second quarter had record revenue of $7 million driven by bespoke demand and manufacturing efficiencies.
• Launched Project Ghost, the first custom Mustang, which won best of class at the Route 66 Road Fest.
• Retail locations like stores within a store in West Palm Beach and pop-up in Nantucket performed well, contributing to backlog growth.
• Implemented proactive cost savings initiatives to right size cost structure and enhance operational efficiency.
• Secured a $500 million equity facility for strategic accumulation of Bitcoin and growth initiatives.

• Engaged an advisory firm to navigate NASDAQ delisting notice and filed an S-1 registration statement to register shares for the $500 million equity line of credit.
• Exchanged convertible debt into preferred stock to improve shareholders' deficit position.
• Raised additional $1.7 million of equity capital to fund business and improve shareholder deficit.
• Focus on executing growth strategy, streamlining G&A, and achieving margin improvements to regain NASDAQ compliance.

ECD reported second quarter revenue of $7 million, a $0.5 million increase over Q2 '24, which is the highest quarterly revenue in the company's history. Gross profit for the quarter was $1.4 million, down $0.7 million from Q2 '24, with a gross margin of 20% compared to 32% in the prior year quarter. The 5 core offerings include Land Rover Defenders, Range Rover Classics, Jaguar E-Types, Ford Mustangs and Toyota FJs. The revenue contribution isn't explicitly broken down by each segment in terms of percentage, but the focus is on the overall performance across these segments.

• Received a delisting notice from NASDAQ on August 6 due to noncompliance of continued listing requirements.

Q: Could you give some more details on the Mustang rollout and what you see in the pipeline and deliveries for the next 12 months?

A: The Mustang has faced part supply chain challenges but is in production with backlog building. It took time to get the model right, but by unit #2 or 3, they expect a streamlined production model.

Q: On the Bitcoin $500 million financing, is that really more of a marketing tool or a financing tool or some combination of the 2?

A: It's a combination of the 2. The equity line of credit will be used for both accumulating Bitcoin and expanding the business, including opening new retail units and production lines.