First Breach (FBDT) Registration filing summary

Company overview and business model

• Manufactures high-quality ammunition and components for commercial, law enforcement, and military markets, with vertically integrated operations including in-house lead smelting and brass casing production.

• Operates a state-of-the-art facility in Maryland and maintains a diversified global supply chain for raw materials.

• Distributes products primarily through distributors, with additional direct-to-consumer and small business sales, serving over 140 sales channels.

• Entered a joint venture with ideaForge Technology Inc. to develop and manufacture advanced drones for defense and commercial applications, with initial production targeted for early 2026.

• Pursuing growth through capital investments, strategic acquisitions, and expansion of product lines and distribution networks.

Financial performance and metrics

• For the six months ended June 30, 2026: net revenues of $361,357, net loss of $28,523,232, and negative working capital of $8,234,772.

• For the year ended December 31, 2025: revenues of $384,129, net loss of $13,822,121, with a significant increase in selling, general, and administrative expenses due to non-cash stock-based compensation and public listing costs.

• Cash as of June 30, 2026 was $4,923,504, with net cash used in operating activities of $5,759,482 for the first half of 2026.

• Recurring operating losses and negative cash flows raise substantial doubt about the ability to continue as a going concern over the next 12 months.

Use of proceeds and capital allocation

• May receive up to $50 million in gross proceeds from the ELOC Purchase Agreement, with proceeds to be used for general corporate purposes.

• Management has broad discretion over use of proceeds, which may include working capital, R&D, and strategic initiatives.

• Additional capital raises through debt or equity may be necessary to achieve growth objectives and fund potential acquisitions.