VYCOR MEDICAL INC 10-Q

false Q1 --12-31 0001424768 0001424768 2025-01-01 2025-03-31 0001424768 2025-05-15 0001424768 2025-03-31 0001424768 2024-12-31 0001424768 us-gaap:NonrelatedPartyMember 2025-03-31 0001424768 us-gaap:NonrelatedPartyMember 2024-12-31 0001424768 us-gaap:RelatedPartyMember 2025-03-31 0001424768 us-gaap:RelatedPartyMember 2024-12-31 0001424768 us-gaap:SeriesCPreferredStockMember 2025-03-31 0001424768 us-gaap:SeriesCPreferredStockMember 2024-12-31 0001424768 us-gaap:SeriesDPreferredStockMember 2025-03-31 0001424768 us-gaap:SeriesDPreferredStockMember 2024-12-31 0001424768 2024-01-01 2024-03-31 0001424768 us-gaap:RelatedPartyMember 2025-01-01 2025-03-31 0001424768 us-gaap:RelatedPartyMember 2024-01-01 2024-03-31 0001424768 us-gaap:NonrelatedPartyMember 2025-01-01 2025-03-31 0001424768 us-gaap:NonrelatedPartyMember 2024-01-01 2024-03-31 0001424768 us-gaap:CommonStockMember 2024-12-31 0001424768 us-gaap:SeriesCPreferredStockMember us-gaap:PreferredStockMember 2024-12-31 0001424768 us-gaap:PreferredStockMember us-gaap:SeriesDPreferredStockMember 2024-12-31 0001424768 us-gaap:TreasuryStockCommonMember 2024-12-31 0001424768 us-gaap:AdditionalPaidInCapitalMember 2024-12-31 0001424768 us-gaap:RetainedEarningsMember 2024-12-31 0001424768 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2024-12-31 0001424768 us-gaap:CommonStockMember 2025-01-01 2025-03-31 0001424768 us-gaap:SeriesCPreferredStockMember us-gaap:PreferredStockMember 2025-01-01 2025-03-31 0001424768 us-gaap:PreferredStockMember us-gaap:SeriesDPreferredStockMember 2025-01-01 2025-03-31 0001424768 us-gaap:TreasuryStockCommonMember 2025-01-01 2025-03-31 0001424768 us-gaap:AdditionalPaidInCapitalMember 2025-01-01 2025-03-31 0001424768 us-gaap:RetainedEarningsMember 2025-01-01 2025-03-31 0001424768 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2025-01-01 2025-03-31 0001424768 us-gaap:CommonStockMember 2025-03-31 0001424768 us-gaap:SeriesCPreferredStockMember us-gaap:PreferredStockMember 2025-03-31 0001424768 us-gaap:PreferredStockMember us-gaap:SeriesDPreferredStockMember 2025-03-31 0001424768 us-gaap:TreasuryStockCommonMember 2025-03-31 0001424768 us-gaap:AdditionalPaidInCapitalMember 2025-03-31 0001424768 us-gaap:RetainedEarningsMember 2025-03-31 0001424768 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2025-03-31 0001424768 us-gaap:CommonStockMember 2023-12-31 0001424768 us-gaap:SeriesCPreferredStockMember us-gaap:PreferredStockMember 2023-12-31 0001424768 us-gaap:PreferredStockMember us-gaap:SeriesDPreferredStockMember 2023-12-31 0001424768 us-gaap:TreasuryStockCommonMember 2023-12-31 0001424768 us-gaap:AdditionalPaidInCapitalMember 2023-12-31 0001424768 us-gaap:RetainedEarningsMember 2023-12-31 0001424768 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2023-12-31 0001424768 2023-12-31 0001424768 us-gaap:CommonStockMember 2024-01-01 2024-03-31 0001424768 us-gaap:SeriesCPreferredStockMember us-gaap:PreferredStockMember 2024-01-01 2024-03-31 0001424768 us-gaap:PreferredStockMember us-gaap:SeriesDPreferredStockMember 2024-01-01 2024-03-31 0001424768 us-gaap:TreasuryStockCommonMember 2024-01-01 2024-03-31 0001424768 us-gaap:AdditionalPaidInCapitalMember 2024-01-01 2024-03-31 0001424768 us-gaap:RetainedEarningsMember 2024-01-01 2024-03-31 0001424768 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2024-01-01 2024-03-31 0001424768 us-gaap:CommonStockMember 2024-03-31 0001424768 us-gaap:SeriesCPreferredStockMember us-gaap:PreferredStockMember 2024-03-31 0001424768 us-gaap:PreferredStockMember us-gaap:SeriesDPreferredStockMember 2024-03-31 0001424768 us-gaap:TreasuryStockCommonMember 2024-03-31 0001424768 us-gaap:AdditionalPaidInCapitalMember 2024-03-31 0001424768 us-gaap:RetainedEarningsMember 2024-03-31 0001424768 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2024-03-31 0001424768 2024-03-31 0001424768 VYCO:EuroAmericanInvestmentCorpMember 2025-03-31 0001424768 VYCO:EuroAmericanInvestmentCorpMember 2025-01-01 2025-03-31 0001424768 VYCO:DebenturesConvertibleIntoCommonStockMember 2025-01-01 2025-03-31 0001424768 VYCO:DebenturesConvertibleIntoCommonStockMember 2024-01-01 2024-03-31 0001424768 VYCO:PreferredSharesConvertibleToCommonStockMember 2025-01-01 2025-03-31 0001424768 VYCO:PreferredSharesConvertibleToCommonStockMember 2024-01-01 2024-03-31 0001424768 VYCO:PeterZachariouMember 2025-03-31 0001424768 VYCO:PeterZachariouMember 2024-12-31 0001424768 VYCO:FountainheadCapitalManagementLimitedMember 2025-03-31 0001424768 VYCO:FountainheadCapitalManagementLimitedMember 2024-12-31 0001424768 VYCO:EuroAmericanInvestmentCorpMember 2024-12-31 0001424768 VYCO:InsurancePolicyFinanceAgreementsMember 2025-03-31 0001424768 VYCO:InsurancePolicyFinanceAgreementsMember 2024-12-31 0001424768 VYCO:EconomicInjuryDisasterLoanProgramMember VYCO:CaresActMember 2025-03-31 0001424768 VYCO:EconomicInjuryDisasterLoanProgramMember VYCO:CaresActMember 2024-12-31 0001424768 VYCO:PeterZachariouMember 2018-06-25 0001424768 VYCO:PeterZachariouMember 2018-06-24 2018-06-25 0001424768 VYCO:FountainheadCapitalManagementLimitedMember 2022-11-17 0001424768 VYCO:FountainheadCapitalManagementLimitedMember 2018-03-26 2022-11-17 0001424768 VYCO:EuroAmericanInvestmentCorpMember 2011-03-25 0001424768 VYCO:EuroAmericanInvestmentCorpMember us-gaap:ExtendedMaturityMember 2011-03-25 2011-03-25 0001424768 VYCO:EconomicInjuryDisasterLoanProgramMember VYCO:CaresActMember 2020-07-07 0001424768 VYCO:EconomicInjuryDisasterLoanProgramMember VYCO:CaresActMember 2020-07-06 2020-07-07 0001424768 VYCO:EuroAmericanInvestmentCorpMember VYCO:AmendmentAgreementMember 2018-01-24 0001424768 VYCO:EuroAmericanInvestmentCorpMember VYCO:AmendmentAgreementMember 2018-01-23 2018-01-24 0001424768 VYCO:BusinessSegmentMember 2025-01-01 2025-03-31 0001424768 VYCO:GeographicSegmentsMember 2025-01-01 2025-03-31 0001424768 VYCO:VycorMedicalIncMember 2025-01-01 2025-03-31 0001424768 VYCO:VycorMedicalIncMember 2024-01-01 2024-03-31 0001424768 VYCO:NovaVisionIncMember 2025-01-01 2025-03-31 0001424768 VYCO:NovaVisionIncMember 2024-01-01 2024-03-31 0001424768 us-gaap:CorporateMember 2025-01-01 2025-03-31 0001424768 us-gaap:CorporateMember 2024-01-01 2024-03-31 0001424768 VYCO:VycorMedicalIncMember 2025-03-31 0001424768 VYCO:VycorMedicalIncMember 2024-12-31 0001424768 VYCO:NovaVisionIncMember 2025-03-31 0001424768 VYCO:NovaVisionIncMember 2024-12-31 0001424768 us-gaap:SegmentDiscontinuedOperationsMember 2025-03-31 0001424768 us-gaap:SegmentDiscontinuedOperationsMember 2024-12-31 0001424768 country:US 2025-01-01 2025-03-31 0001424768 country:US 2024-01-01 2024-03-31 0001424768 srt:EuropeMember 2025-01-01 2025-03-31 0001424768 srt:EuropeMember 2024-01-01 2024-03-31 0001424768 us-gaap:CorporateMember 2025-01-01 2025-03-31 0001424768 us-gaap:CorporateMember 2024-01-01 2024-03-31 0001424768 country:US 2025-03-31 0001424768 country:US 2024-12-31 0001424768 srt:EuropeMember 2025-03-31 0001424768 srt:EuropeMember 2024-12-31 0001424768 VYCO:SeriesConvertibleCPreferredStockMember 2025-01-01 2025-03-31 0001424768 VYCO:SeriesConvertibleCPreferredStockMember 2025-03-31 0001424768 VYCO:SeriesConvertibleDPreferredStockMember 2025-03-31 0001424768 VYCO:SeriesConvertibleDPreferredStockMember 2025-01-01 2025-03-31 0001424768 VYCO:NonemployeesMember 2025-01-01 2025-03-31 0001424768 VYCO:NonemployeesMember 2024-01-01 2024-03-31 0001424768 VYCO:NonemployeesMember 2025-03-31 0001424768 VYCO:NonemployeesMember 2024-12-31 0001424768 VYCO:OfficeSpaceMember 2025-01-01 2025-03-31 0001424768 2012-06-30 0001424768 2012-06-29 2012-06-30 0001424768 2016-10-31 0001424768 2016-10-29 2016-10-31 0001424768 VYCO:FinancialAdvisoryAndInvestmentBankingServicesAgreementMember 2024-08-27 2024-08-27 0001424768 VYCO:RicardoKomotarMember VYCO:ConsultingAgreementMember 2023-04-01 2023-04-02 0001424768 VYCO:DirectorsMember VYCO:FountainheadMember us-gaap:CommonStockMember 2025-03-31 0001424768 VYCO:DirectorsMember VYCO:FountainheadMember us-gaap:SeriesDPreferredStockMember 2025-03-31 0001424768 VYCO:ChairmanMember VYCO:FountainheadMember us-gaap:CommonStockMember 2025-03-31 0001424768 VYCO:ChairmanMember VYCO:FountainheadMember us-gaap:SeriesDPreferredStockMember 2025-03-31 0001424768 VYCO:FountainheadMember 2024-01-01 2024-03-31 0001424768 VYCO:PeterZachariouMember 2024-01-01 2024-03-31 0001424768 2024-01-01 2024-12-31 0001424768 VYCO:FountainheadMember 2025-01-01 2025-03-31 0001424768 VYCO:FountainheadMember 2024-01-01 2024-12-31 0001424768 VYCO:PeterZachariouMember 2025-01-01 2025-03-31 0001424768 VYCO:PeterZachariouMember 2024-01-01 2024-12-31 0001424768 us-gaap:SalesRevenueNetMember us-gaap:CustomerConcentrationRiskMember 2025-01-01 2025-03-31 0001424768 us-gaap:SalesRevenueNetMember us-gaap:CustomerConcentrationRiskMember 2024-01-01 2024-03-31 0001424768 VYCO:CustomersMember us-gaap:SalesRevenueNetMember us-gaap:CustomerConcentrationRiskMember 2025-01-01 2025-03-31 0001424768 VYCO:CustomersMember us-gaap:SalesRevenueNetMember us-gaap:CustomerConcentrationRiskMember 2024-01-01 2024-03-31 0001424768 us-gaap:AccountsReceivableMember us-gaap:CustomerConcentrationRiskMember 2025-01-01 2025-03-31 0001424768 us-gaap:AccountsReceivableMember us-gaap:CustomerConcentrationRiskMember 2024-01-01 2024-12-31 0001424768 VYCO:CustomersMember us-gaap:AccountsReceivableMember us-gaap:CustomerConcentrationRiskMember 2025-01-01 2025-03-31 0001424768 VYCO:CustomersMember us-gaap:AccountsReceivableMember us-gaap:CustomerConcentrationRiskMember 2024-01-01 2024-12-31 0001424768 VYCO:ManufacturerThreeMember VYCO:PurchaseMember us-gaap:CustomerConcentrationRiskMember 2025-01-01 2025-03-31 iso4217:USD xbrli:shares iso4217:USD xbrli:shares iso4217:EUR VYCO:Integer xbrli:pure

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D. C. 20549

FORM 10-Q

(Mark One)

☒	QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

	For the fiscal quarter ended March 31, 2025

☐	TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE EXCHANGE ACT

	For the transition period from to

VYCOR MEDICAL, INC.

(Exact name of small business issuer as specified in its charter)

Delaware	001-34932	20-3369218
(State of	(Commission	(IRS Employer
Incorporation)	File Number)	Identification No.)

951 Broken Sound Parkway, Suite 320, Boca Raton, FL 33487

(Address of principal executive offices) (Zip code)

Issuer’s telephone number: (561) 558-2020

Securities registered pursuant to Section 12(b) of the Act:

Title of each class		Trading Symbol		Name of each exchange on which registered
Common Stock		VYCO		OTCQB

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files). Yes ☐ No ☒

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act.

Large Accelerated Filer ☐	Accelerated Filer ☐
Non-accelerated Filer ☐ (Do not check if a smaller reporting company)	Smaller Reporting Company ☒
	Emerging Growth Company ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). ☐ Yes ☒ No

There were 33,372,796 shares outstanding of registrant’s common stock, par value $0.0001 per share, as of May 15, 2025.

Transitional Small Business Disclosure Format (check one): Yes ☐ No ☒

TABLE OF CONTENTS

		Page
	PART I

Item 1.	Financial Statements	3

	Unaudited Consolidated Balance Sheets as of March 31, 2025 and December 31, 2024	3

	Unaudited Consolidated Statements of Comprehensive Loss for the three months ended March 31, 2025 and 2024.	4

	Unaudited Consolidated Statements of Stockholders’ Deficiency for the three months ended March 31, 2025 and 2024.	5

	Unaudited Consolidated Statements of Cash Flows for the three months ended March 31, 2025 and 2024.	6

	Notes to Unaudited Consolidated Financial Statements	7

Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operation	16

Item 3.	Quantitative and Qualitative Disclosures About Market Risk	19

Item 4.	Controls and Procedures	19

	PART II

Item 1.	Legal Proceedings	20

Item 1A.	Risk Factors	20

Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	20

Item 3.	Defaults Upon Senior Securities	20

Item 4.	Mine Safety Disclosures	20

Item 5.	Other Information	20

Item 6.	Exhibits	20

SIGNATURES		21

PART 1

ITEM 1. FINANCIAL STATEMENTS

VYCOR MEDICAL, INC.

Consolidated Balance Sheets

(Unaudited)

	March 31,			December 31,
	2025			2024
ASSETS
Current Assets
Cash	$	61,049		$	105,648
Trade accounts receivable		229,411			245,260
Inventory		176,373			159,452
Prepaid expenses and other current assets		132,994			121,705
Current assets of discontinued operations		868			917
Total Current Assets		600,695			632,982

Fixed assets, net		176,585			192,693

Other assets
Non-current inventory		65,729			62,737
Security deposits		6,000			6,000
Operating lease - right of use assets		91,822			103,705
Total Other assets		163,551			172,442
TOTAL ASSETS	$	940,831		$	998,117

LIABILITIES AND STOCKHOLDERS’ DEFICIENCY
Current Liabilities
Accounts payable	$	165,151		$	147,569
Accrued interest		532,866			521,030
Accrued interest - Related party		222,966			210,395
Accrued interest		222,966			210,395
Accrued liabilities		126,212			157,545
Dividends payable - Related Party		2,757,145			2,594,960
Notes payable		307,382			324,185
Notes payable - Related Party		493,373			493,373
Notes payable		493,373			493,373
Current operating lease liabilities		49,151			48,158
Current liabilities of discontinued operations		(672	)		(672	)
Total Current Liabilities		4,653,574			4,496,543

Operating lease liability - long term		39,540			52,221
Loan payable - SBA EIDL		138,548			139,436

Total Liabilities		4,831,662			4,688,200

STOCKHOLDERS’ DEFICIENCY
Preferred stock, $0.0001 par value, 10,000,000 shares authorized
Preferred C Stock, 1 and 1 share issued and outstanding as at March 31, 2025 and December 31, 2024 respectively		-			-
Preferred D Stock, 270,306 and 270,306 shares issued and outstanding as at March 31, 2025 and December 31, 2024 respectively		27			27
Preferred Stock, Value		27			27
Common Stock, $0.0001 par value, 55,000,000 shares authorized at March 31, 2025 and December 31, 2024; 33,476,130 shares issued and 33,372,796 shares outstanding at March 31, 2025 and December 31, 2024, respectively		3,347			3,347
Additional Paid-in Capital		29,431,959			29,431,959
Treasury Stock (103,334 shares of Common Stock as at March 31, 2025 and December 31, 2024, at cost)		(1,033	)		(1,033	)
Accumulated Deficit		(33,452,808	)		(33,252,060	)
Accumulated Other Comprehensive Income		127,677			127,677
Total Stockholders’ Deficiency		(3,890,831	)		(3,690,083	)
TOTAL LIABILITIES AND STOCKHOLDERS’ DEFICIENCY	$	940,831		$	998,117

See accompanying notes to consolidated financial statements

VYCOR MEDICAL, INC.

Consolidated Statements of Comprehensive Loss

(Unaudited)

	2025			2024
	For the three months ended March 31,
	2025			2024

Revenue	$	436,378		$	336,968
Cost of Goods Sold		77,844			37,006
Gross Profit		358,534			299,962

Operating Expenses:
Research and development		5,762			-
Depreciation and amortization		14,880			14,880
Selling, general and administrative		350,698			294,614
Total Operating Expenses		371,340			309,494
Operating loss		(12,806	)		(9,532	)

Other Income (Expense)
Interest expense: Related Party		(12,570	)		(12,031	)
Interest expense: Other		(13,139	)		(13,338	)
Interest expense		(13,139	)		(13,338	)
Other income		-			4,544
Gain (loss) on foreign currency exchange		1			(150	)
Total Other Income (Expense)		(25,708	)		(20,975	)

Loss Before Provision for Income Taxes		(38,514	)		(30,507	)
Provision for income taxes		-			-
Net loss from continuing operations		(38,514	)		(30,507	)
Loss from discontinued operations, net of tax		(49	)		(101	)
Net Loss		(38,563	)		(30,608	)

Preferred stock dividends		(162,185	)		(162,185	)
Net Loss Available to Common Stockholders	$	(200,748	)	$	(192,793	)

Other Comprehensive Income (Loss)
Foreign Currency Translation Adjustment		-			-
Comprehensive Loss	$	(38,563	)	$	(30,608	)

Loss Per Share - basic and diluted
Loss from continuing operations	$	(0.01	)	$	(0.01	)
Loss from discontinued operations	$	(0.00	)	$	(0.00	)
Loss available to common stockholders	$	(0.01	)	$	(0.01	)

Weighted Average Number of Shares Outstanding – Basic and Diluted		33,372,796			32,628,835

See accompanying notes to consolidated financial statements

VYCOR MEDICAL, INC.

Consolidated Statements of Stockholders’ Deficiency

(Unaudited)

	Number		Amount		Number		Amount		Number		Amount		Number			Amount			Capital		Deficit			(Loss)		Total
	Common Stock				Preferred C				Preferred D				Treasury Stock						Additional Paid-in		Accumulated			Accum OCI
	Number		Amount		Number		Amount		Number		Amount		Number			Amount			Capital		Deficit			(Loss)		Total

Balance at December 31, 2024		33,476,130	$	3,347		1	$	0		270,306	$	27		(103,334	)	$	(1,033	)	$	29,431,959	$	(33,252,060	)	$	127,677	$	(3,690,083	)
Net loss for the three months ended March 31, 2025		-		-				-				-					-			-		(38,563	)		-		(38,563	)
Preferred stock dividends		-		-				-				-					-			-		(162,185	)		-		(162,185	)
Balance at March 31, 2025		33,476,130	$	3,347		1	$	0		270,306	$	27		(103,334	)	$	(1,033	)	$	29,431,959	$	(33,452,808	)	$	127,677	$	(3,890,831	)

Balance at December 31, 2023		32,732,169	$	3,273		1	$	0		270,306	$	27		(103,334	)	$	(1,033	)	$	29,365,070	$	(32,820,490	)	$	127,677	$	(3,325,476	)
Balance		32,732,169	$	3,273		1	$	0		270,306	$	27		(103,334	)	$	(1,033	)	$	29,365,070	$	(32,820,490	)	$	127,677	$	(3,325,476	)
Net loss for the three months ended March 31, 2024		-		-				-				-					-			-		(30,608	)		-		(30,608	)
Net loss		-		-				-				-					-			-		(30,608	)		-		(30,608	)
Preferred stock dividends		-		-				-				-					-			-		(162,185	)		-		(162,185	)
Balance at March 31, 2024		32,732,169	$	3,273		1	$	0		270,306	$	27		(103,334	)	$	(1,033	)	$	29,365,070	$	(33,013,283	)	$	127,677	$	(3,518,269	)
Balance		32,732,169	$	3,273		1	$	0		270,306	$	27		(103,334	)	$	(1,033	)	$	29,365,070	$	(33,013,283	)	$	127,677		(3,518,269	)

See accompanying notes to consolidated financial statements

VYCOR MEDICAL, INC.

Consolidated Statements of Cash Flows

(Unaudited)

	2025			2024
	For the three months ended
	March 31,			March 31,
	2025			2024
Cash flows from operating activities:
Net loss	$	(38,563	)	$	(30,608	)
Adjustments to reconcile net loss to cash (used in) provided by operating activities:
Depreciation of fixed assets		16,110			15,620
Allowance for doubtful accounts - accounts receivable		-			4,865
Stock based compensation		18,315			2,364

Changes in operating assets and liabilities:
Accounts receivable		15,846			(33,703	)
Inventory		(19,913	)		12,417
Prepaid expenses		(29,603	)		(2,944	)
Accrued interest - Related Party		12,571			12,031
Accrued interest		11,835			11,969
Accounts payable		17,582			30,058
Accrued liabilities		(31,138	)		(20,284	)
Changes in discontinued operations, net		49			102
Cash (used in) provided by operating activities		(26,909	)		1,887
Cash flows from investing activities:
Sale of fixed assets net of sales		-			662
Cash provided by investing activities		-			662
Cash flows from financing activities:
Proceeds - Notes Payable Other		-			-
Repayments - Notes Payable Other		(17,690	)		(15,983	)
Cash used in financing activities		(17,690	)		(15,983	)
Effect of exchange rate changes on cash		-			-
Net decrease in cash		(44,599	)		(13,434	)
Cash at beginning of period		105,648			57,291
Cash at end of period	$	61,049		$	43,857

Supplemental Disclosures of Cash Flow information:
Cash paid for interest	$	2,233		$	1,369
Cash paid for income tax	$	-		$	-
Non-Cash Activities:
Non-cash accrued dividends	$	162,185		$	162,185
Unamortized stock compensation	$	30,523		$	-

See accompanying notes to consolidated financial statements

VYCOR MEDICAL, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

March 31, 2025

(Unaudited)

1. BASIS OF PRESENTATION

The accompanying unaudited consolidated financial statements of Vycor Medical, Inc. (the “Company” or “Vycor”) have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 8 of Regulation S-X of the Securities Exchange Commission. In accordance with those rules and regulations certain information and footnote disclosures normally included in consolidated financial statements have been omitted pursuant to such rules and regulations. The consolidated balance sheet as of December 31, 2024 derives from the audited financial statements at that date but does not include all the information and footnotes required by GAAP. These unaudited consolidated financial statements should be read in conjunction with the audited financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2024.

The unaudited consolidated financial statements as of and for the three months ended March 31, 2025 and 2024, in the opinion of management, include all adjustments, consisting only of normal recurring adjustments, necessary for a fair presentation of the Company’s financial condition, results of operations and cash flows. The results of operations for the three months ended March 31, 2025 are not necessarily indicative of the results to be expected for any other interim period or for the entire year.

Ability to continue as a Going Concern

The accompanying unaudited consolidated financial statements have been prepared assuming that the Company will continue as a going concern. The Company has incurred losses since its inception, including a net loss of $38,563 for the three months ended March 31, 2025 and has not generated sufficient positive cash flows from operations. As of March 31, 2025 the Company had a working capital deficiency of $4,052,879 which includes related party liabilities of $3,473,484. These conditions, among others, raise substantial doubt regarding our ability to continue as a going concern. The unaudited consolidated financial statements do not include any adjustments to reflect the possible future effects on the recoverability and classification of assets or the amounts and classification of liabilities that may result from the outcome of this uncertainty.

The Company is executing on a plan to achieve a reduction in cash operating losses. Included within the working capital deficiency above is a term note for $300,000 to EuroAmerican Investment Corp. (“EuroAmerican”), together with accrued interest of $532,866, which has a maturity date of September 30, 2025, having been extended on a number of occasions from its initial due date of June 11, 2011. At this time, it is not known whether any further extension of the note beyond September 30, 2025 will be available. However, the Company believes it may not have sufficient cash to meet its various cash needs through May 31, 2026 unless the Company is able to obtain additional cash from the issuance of debt or equity securities. Fountainhead, the Company’s largest shareholder, has provided working capital funding to the Company on an as-needed basis, although there is no guarantee that this will continue to be the case. The Company may consider seeking additional equity or debt funding, although there is no assurance that this would be available on acceptable terms or at all. If adequate funds are not available, the Company may have to delay or curtail development or commercialization of products, or cease some of its operations.

2. SIGNIFICANT ACCOUNTING POLICIES

Principles of Consolidation

The unaudited consolidated financial statements include the accounts of Vycor Medical, Inc., and its wholly-owned subsidiaries, NovaVision, Inc. (a Delaware corporation), NovaVision GmbH (a German corporation) and Sight Science Limited (a UK corporation), both wholly owned subsidiaries of NovaVision, Inc. The Company is headquartered in Boca Raton, FL. All material inter-company account balances, transactions, and profits have been eliminated in consolidation. Following the decision in April 2020 to close the German office of NovaVision, the activities of NovaVision GmbH have been accounted for as discontinued operations.

Recent Accounting Pronouncements

From time-to-time new accounting pronouncements are issued by the Financial Accounting Standards Board (“FASB”) or other standard setting bodies that may have an impact on the Company’s accounting and reporting. Unless otherwise discussed, the Company believes that other recently issued accounting pronouncements and other authoritative guidance for which the effective date is in the future will not have an impact on its accounting or reporting or that such impact will not be material to its financial position, results of operations and cash flows when implemented.

Recently adopted accounting pronouncements

Segment Reporting

In November 2023, the FASB issued Accounting Standards Update (ASU) No. 2023-07, Improvements to Reportable Segment Disclosures (Topic 280). This ASU updates reportable segment disclosure requirements by requiring disclosures of significant reportable segment expenses that are regularly provided to the Company’s Chief Operating Decision Maker (“CODM”), who is our Chief Executive officer, and included within each reported measure of a segment’s profit or loss. This ASU also requires disclosure of the title and position of the individual identified as the CODM and an explanation of how the CODM uses the reported measures of a segment’s profit or loss in assessing segment performance and deciding how to allocate resources. The ASU is effective for annual periods beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024. We adopted this ASU retrospectively on December 31, 2024. The adoption of ASU 2023-07 did not have a significant impact on the Company’s consolidated financial statements and related disclosures. Refer to Note 7 for the inclusion of the new required disclosures.

Recently issued accounting pronouncements not yet adopted

Income Taxes

In December 2023, the FASB issued ASU No. 2023-09, Improvements to Income Tax Disclosures (“ASU 2023-09”). ASU 2023-09 is intended to improve income tax disclosures primarily through enhanced disclosure of income tax rate reconciliation items, and disaggregation of income (loss) from continuing operations, income tax expense (benefit) and income taxes paid, net disclosures by federal, state and foreign jurisdictions, among others. ASU 2023-09 is effective for annual reporting periods beginning after December 15, 2024, and early adoption is permitted. The Company is evaluating the impact that ASU 2023-09 will have on the consolidated financial statements and its plan for adoption, including the adoption date and transition method.

Disaggregation of Income Statement Expenses

In November 2024, the FASB issued ASU No. 2024-03, “Income Statement—Reporting Comprehensive Income—Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses”, which requires disaggregated disclosure of income statement expenses for public business entities. ASU 2024-03 requires new financial statement disclosures in tabular format, disaggregating information about prescribed categories underlying any relevant income statement expense caption. The prescribed categories include, among other things, purchases of inventory, employee compensation, depreciation, and intangible asset amortization. Additionally, entities must disclose the total amount of selling expenses and, in annual reporting periods, an entity’s definition of selling expenses. ASU 2024-03 is effective for annual reporting periods beginning after December 15, 2026, and for interim reporting periods within fiscal years beginning after December 15, 2027. The guidance can be applied prospectively with an option for retrospective application. Early adoption is also permitted. We are currently evaluating the provisions of this ASU.

Revenue Recognition

On January 1, 2018 the Company adopted ASC 606, Revenue from Contracts with Customers and all the related amendments (new revenue standard) to all contracts.

Vycor Medical generates revenue from the sale of its surgical access system to hospitals and other medical professionals. Vycor Medical records revenue from product sales when obligations under the terms of a contract with customers are satisfied. Generally, this occurs with the transfer of control of the goods to customers. Vycor Medical does not provide for product returns or warranty costs.

Vycor determines revenue recognition through the following steps:

	●	Identification of the contract, or contracts, with a customer

	●	Identification of the performance obligations in the contract

	●	Determination of the transaction price

	●	Allocation of the transaction price to the performance obligations in the contract

	●	Recognition of revenue when Vycor satisfy a performance obligation

NovaVision generates revenues from various programs, therapy services and other sources such as software license sales. Therapy services revenues represent fees from NovaVision’s vision restoration therapy software, eye movement training software, diagnostic software, clinic set up and training fees, and the professional and support services associated with the therapy. NovaVision provides vision restoration therapy directly to patients. The typical therapy program consists of NeuroEyeCoach, performed over 2-4 weeks, and six modules of Vision Restoration Therapy, performed over 6 months. A patient contract comprises set-up fees and monthly therapy fees. Set-up fees are recognized at the outset of the contract and therapy revenue is recognized ratably over the therapy period. Patient therapy is restricted to being completed by a patient within a specified time frame.

Contract liabilities (Deferred revenue) results from patients paying for the therapy in advance of receiving the therapy.

The Company disaggregates its revenue by division – Vycor and NovaVision – and by geography – United States and Europe – and presents the disaggregation in Note 7.

Net Income (Loss) Per Share

Basic net income (loss) per share is computed by dividing net income (loss) available to common stockholders by the weighted-average number of common shares outstanding during the period. Diluted net income (loss) per share is computed giving effect to all dilutive potential common shares that were outstanding during the period. Dilutive potential common shares consist of incremental shares issuable upon conversion of preferred stock and convertible debt. Such potentially dilutive shares are excluded when the effect would be to increase a net income per share or reduce a net loss per share. No dilution adjustment has been made to the weighted average outstanding common shares in the periods presented of net loss because the assumed conversion of preferred stock and debt would be anti-dilutive.

The following table sets forth the potential shares of common stock that are not included in the calculation of diluted net loss per share where a net loss is reported:

	March 31, 2025		March 31, 2024
Debentures convertible into common stock		3,966,028		3,737,457
Preferred shares convertible into common stock		1,272,052		1,272,052
Total		5,238,080		5,009,509

Reclassifications

Certain prior period amounts have been reclassified to conform with the current period presentation: on the balance sheets, inventory has been separated out in current and non-current assets; on the statements of stockholders’ deficiency, net loss for the period and preferred stock dividends have been separated out rather than being combined.

3. DISCONTINUED OPERATIONS

In April 2020, the board of Vycor took the decision to close the German operations of NovaVision, including the German office and NovaVision GmbH, and instead migrate to a licensed business model; effective July 1, 2020, Vycor entered into a license agreement with a German-based partner. The NovaVision German office was closed effective June 30, 2020. The Company will continue to fund the remaining expenses of the German operations, which are non-material, until such a time as NovaVision GmbH will be formally wound up.

Reconciliation of the major line items from discontinued operations that are presented in the unaudited consolidated balance sheets and unaudited consolidated statements of comprehensive loss are as follows:

SCHEDULE OF DISCONTINUED OPERATIONS

Major line items constituting assets and liabilities in the unaudited consolidated balance sheets

	March 31,			December 31,
	2025			2024
ASSETS
Current Assets
Cash	$	868		$	917
Total Current Assets		868			917

TOTAL ASSETS	$	868		$	917

LIABILITIES
Current Liabilities
Accounts payable	$	4		$	4
Other current liabilities		(676	)		(676	)
Total Current Liabilities	$	(672	)	$	(672	)

Major line items constituting loss from discontinued operations

	2025			2024
	For the three months ended March 31,
	2025			2024

Revenue	$	-		$	-
Cost of Goods Sold		-			-
Gross Profit		-			-

Operating Expenses:
Selling, general and administrative		49			101
Total Operating Expenses		49			101
Operating Loss		(49	)		(101	)

Other Income (Expense)
Loss on foreign currency exchange		-			-
Total Other Income (Expense)		-			-

Loss Before Provision for Income Taxes		(49	)		(101	)
Provision for income taxes		-			-
Loss from discontinued operations, net of tax	$	(49	)	$	(101	)

4. NOTES PAYABLE

Related Parties Notes Payable

Related Party Notes Payable consists of:

SUMMARY OF NOTES PAYABLE

	March 31, 2025		December 31, 2024

On June 25, 2018 the Company issued promissory notes to Peter Zachariou for $30,000. The notes bear interest at 10% per annum and are payable on the earlier of one year or five days following the delivery of written demand for payment by the Payee. The note was extended for another twelve months on its due date to June 25, 2025 or on demand by the Payee.	$	30,000	$	30,000
Between March 26, 2018 and November 17, 2022 the Company issued fifteen promissory notes to Fountainhead Capital Management Limited for $463,373. The notes bear interest at 10% per annum and are payable on the earlier of one year or five days following the delivery of written demand for payment by the Payee. All the notes were extended on their due dates for another twelve months. The Notes will be due between July 2025 and May 2026 or on demand by the Payee.		463,373		463,373
Total Related Party Notes Payable	$	493,373	$	493,373

Other Notes Payable

Other Notes Payable consists of:

	March 31, 2025		December 31, 2024
On March 25, 2011 the Company issued a term note for $300,000 to EuroAmerican Investment Corp. (“EuroAmerican”). The term note bears interest at 16% per annum and was due June 25, 2011, and has been extended on a number of occasions. On the note’s most recent due date, the note was amended and extended to September 30, 2025. See further note below.	$	300,000	$	300,000
Insurance policy finance agreements and current portion of EIDL Loan (see Long-Term Notes Payable below)		7,832		24,185
Total Other Notes Payable	$	307,832	$	324,185

Long-Term Notes Payable consists of:

	March 31, 2025		December 31, 2024
On July 7, 2020, the Company was advised that the Small Business Administration (SBA) had approved a $150,000 loan under the Economic Injury Disaster Loan Program pursuant to the Coronavirus Aid, Relief and Economic Security (CARES) Act (“Loan”). The Loan, evidenced by a promissory note dated July 7, 2020, has a term of thirty (30) years, bears interest at a fixed rate of three and three-quarters percent (3.75%) per annum, with monthly payments in the amount of $731 per month commencing July 7, 2021 and is secured by essentially all of the assets of the Company. The proceeds of the Loan have been used for general working capital purposes to alleviate economic injury caused by disaster occurring in the month of January 2020 and continuing thereafter.	$	138,548	$	139,436
Total Long-term Notes Payable	$	138,548	$	139,436

In January 2018 the Company entered into an amendment agreement (the “Amendment”) with EuroAmerican Investments (“EuroAmerican”) regarding its $300,000 loan note (the “Note”). Under the Amendment, the Note was extended and the conversion terms of the Note were reduced to $0.21, the same as the offering price of the 2018 Offering. Conversion of the Note and accrued interest would result in the issuance of 3,966,028 shares of Common Stock as of March 31, 2025. Notwithstanding, EuroAmerican agreed that the Note could not be converted without first offering the Company the right to redeem the Note at principal and accrued interest, and secondly Fountainhead the right to purchase the Note, which cannot be converted prior to such offer and the failure of the Company and Fountainhead to exercise such option in accordance with the amendment terms. The amendment was recognized as a modification, based on the guidance in ASC 470-50.

The Company routinely finances all their insurance policies through a third-party finance company which requires a down payment and subsequent monthly payments, the time periods vary from 10 months to 12 equal monthly payments.

5. INVENTORY

SCHEDULE OF INVENTORY

	March 31, 2025			December 31, 2024
Current Inventory
Raw materials and work in process	$	58,310		$	48,024
Finished goods		118,063			111,428
Total Current Inventory	$	176,373		$	159,452

Non-Current Inventory
Raw materials and work in process	$	41,691		$	39,735
Finished goods		41,080			40,213
Total		82,771			79,948
Less: obsolescence provision - finished goods		(17,042	)		(17,211	)
Total Non-Current Inventory	$	65,729		$	62,737

The Company estimates the consumption of inventories and separates the inventories that may be consumed after 12 months as non-current inventory.

6. LEASE

The Company recognized the following related to a lease in its unaudited consolidated balance sheets at March 31, 2025 and December 31, 2024:

	March 31, 2025		December 31, 2024

Operating Lease ROU Assets	$	91,822	$	103,705

Operating Lease Liabilities
Current portion	$	49,151	$	48,158
Long-term portion		39,540		52,221
Operating Lease Liabilities	$	88,691	$	100,379

7. SEGMENT REPORTING, GEOGRAPHICAL INFORMATION

(a) Business segments

The Company operates in two business segments: Vycor Medical, which focuses on devices for neurosurgery; and NovaVision, which provides non-invasive, computer-based rehabilitation therapies targeted at people who have impaired vision as a result of stroke or other brain injury and which includes Sight Science. Discontinued operations were part of NovaVision and revenues and assets were in Europe; see Note 3. Set out below are the disaggregated revenues, gross profits, operating income (loss) and total assets for each segment. Our Chief Executive Officer, as the CODM, organizes our company, manages resource allocations and measures performance among the two operating and reportable segments.

	2025			2024
	Three Months Ended March 31,
	2025			2024
Revenue:
Vycor Medical	$	418,520		$	318,558
NovaVision		17,858			18,410
Revenue	$	436,378		$	336,968
Gross Profit
Vycor Medical	$	341,798		$	283,076
NovaVision		16,736			16,886
Gross Profit	$	358,534		$	299,962

Operating Income (Loss)
Vycor Medical	$	77,488		$	71,885
NovaVision		(36,843	)		(41,467	)
Corporate		(53,451	)		(39,950	)
Operating Income (Loss)	$	(12,806	)	$	(9,532	)

	March 31,		December 31,
	2025		2024
Total Assets:
Vycor Medical	$	904,508	$	956,061
NovaVision		35,455		41,139
Discontinued operations		868		917
Total Assets	$	940,831	$	998,117

(b) Geographic segments

The Company operates in two geographic segments, the United States and Europe. Discontinued operations were part of NovaVision and revenues and assets were in Europe; see Note 3. Set out below are the disaggregated revenues, gross profits, operating income (loss) and total assets for each segment.

SUMMARY OF GEOGRAPHIC INFORMATION

	2025			2024
	Three Months Ended March 31,
	2025			2024
Revenue:
United States	$	435,984		$	335,931
Europe		394			1,037
Revenue	$	436,378		$	336,968
Gross Profit
United States	$	358,151		$	298,925
Europe		383			1,037
Gross Profit	$	358,534		$	299,962

Operating Income (Loss)
United States	$	47,126		$	36,020
Europe		(6,481	)		(5,602	)
Corporate		(53,451	)		(39,950	)
Operating Income (Loss)	$	(12,806	)	$	(9,532	)

	March 31,		December 31,
	2025		2024
Total Assets:
United States	$	935,965	$	991,210
Europe		3,998		5,990
Discontinued operations		868		917
Total Assets	$	940,831	$	998,117

8. EQUITY

Equity Transactions

During each of the three months ended March 31, 2025 and 2024, the Company accrued $162,185 of dividends in respect of Company Series D Convertible Preferred shares (see Note 12).

Equity Classes

Our authorized capital stock consists of 55,000,000 shares of common stock, par value $0.0001 per share, and 10,000,000 shares of preferred stock, par value $0.0001 per share, the rights and preferences of which may be established from time to time by our board. As at March 31, 2025, there were 33,372,796 shares of common stock, one (1) share of Series C Preferred Stock and 270,306 shares of Series D Preferred Stock outstanding.

Holders of our common stock are entitled to one vote for each share on all matters voted upon by our stockholders, including the election of directors, and do not have cumulative voting rights. Subject to the rights of holders of any then outstanding shares of our preferred stock, our common stockholders are entitled to any dividends that may be declared by our board. Holders of our common stock are entitled to share ratably in our net assets upon our dissolution or liquidation after payment or provision for all liabilities and any preferential liquidation rights of our preferred stock then outstanding. Holders of our common stock have no preemptive rights to purchase shares of our stock. The shares of our common stock are not subject to any redemption provisions and are not convertible into any other shares of our capital stock. All outstanding shares of our common stock are, and the shares of common stock to be issued will be, upon payment therefor, fully paid and non-assessable. The rights, preferences and privileges of holders of our common stock will be subject to those of the holders of any shares of our preferred stock we may issue in the future.

Series C Convertible Preferred Stock shares (“Preferred C Stock”) are convertible (at the Holder’s option or mandatorily upon the occurrence of certain events) into 14,815 shares of the Company’s Common Stock (at $3.75 per share). The Preferred C Stock carries no dividend or other rights.

Series D Convertible Preferred Stock shares (“Preferred D Stock”) are convertible into Company Common Shares at a price of $2.15. The Series D carry a cumulative preferred dividend of 12% per annum, payable in cash semi-annually in February and August of each year. The Company is able to redeem the Series D at par at any time, at its sole option.

9. STOCK-BASED COMPENSATION

The Company from time-to-time issues common stock, stock options or common stock warrants to acquire services or goods from non-employees. Common stock, stock options and common stock warrants issued to other than employees or directors are recorded on the basis of their fair value, which is measured as of the “measurement date” using an option pricing model, or their contractual value if different in the case of common stock. The “measurement date” for options and warrants related to contracts that have substantial disincentives to non-performance is the date of the contract, and for all other contracts is the vesting date. Expense related to the options and warrants is recognized on a straight-line basis over the shorter of the period over which services are to be received or the life of the option or warrant.

Non-Employee Stock Compensation

Aggregate stock-based compensation for shares of common stock granted to non-employees for each of the three months ended March 31, 2025 and 2024 was $18,315 and $2,364 respectively. As of March 31, 2025 and December 31, 2024, there was $30,523 and $48,838 respectively of total unrecognized compensation costs related to stock awards, which were included in Prepaid expenses and other current assets on the consolidated balance sheets (see Note 11).

10. COMMITMENTS AND CONTINGENCIES

Lease

The Company leases office space located at 951 Broken Sound Parkway, Suite 320, Boca Raton, FL 33487 from WPT Land 2 L.P., for a gross rent of approximately $4,300 per month, plus other charges of approximately $2,700 per month. The current lease commenced on September 1, 2023 with a termination date of December 31, 2026. Rent expense for the three months ended March 31, 2025 and 2024 was $20,488 and $21,032 respectively.

Potential German tax liability

In June 2012 the Company’s NovaVision German subsidiary received a preliminary assessment for Magdeburg City trade tax of €75,000 (approximately $82,000), with an additional interest charge of €12,000 (approximately $13,200). This assessment is for the 2010 fiscal year and relates to the Company’s acquisition of the assets of the former NovaVision, Inc. An initial assessment for corporate tax for the same period was preliminarily reduced to zero. The Company did not accept this trade tax assessment and appealed against it to the relevant tax authorities with a view to its reduction. The relevant tax authorities agreed to suspend the assessment and the Company agreed to make monthly payments on account totaling €75,000 (approximately $82,000) which were completed in October 2016 and fully expensed. At that time the Company appealed against the interest charge of €12,000 (approximately $13,200) which the tax authorities did not accept but also agreed to suspend pending the outcome of the hearings and proposed legislation outlined above. Accordingly, the Company has made no provision for this liability as of March 31, 2025 and December 31, 2024 respectively. The Company is in the process of winding down the entity, as disclosed in Note 3.

11. CONSULTING AND OTHER AGREEMENTS

The following agreements were entered into or remained in force during the periods ended March 31, 2025 and 2024:

On August 27, 2024 Vycor entered into a financial advisory and investment banking services agreement (“Agreement”) with Maxim. Under the terms of the Agreement, Maxim will assist Vycor in its strategy to grow the Company through strategic acquisitions and assist the Company with efforts to position itself for a potential uplisting to a US exchange. Vycor issued 813,971 shares of Company Common Stock (valued at $73,257) and additional fees would be payable under the agreement subject to the closing of acquisitions or other investment banking transactions. The amortization for the three months ended March 31, 2025 was $18,315 (see Note 9).

On March 30, 2021, Vycor entered into a Consulting Agreement with Ricardo J. Komotar, M.D. (the “Agreement”) to provide certain specified services over the three-year term of the Agreement. On April 1, 2023, 101,663 shares of Company Common Stock (valued at $9,455) were issued under the terms of the Agreement, which was amortized over twelve months, with amortization for the three months ended March 31, 2024 of $2,364 (see Note 9).

12. RELATED PARTY TRANSACTIONS AND BALANCES

Peter Zachariou and David Cantor, directors of the Company, are investment managers of Fountainhead which owned, at March 31, 2025, 60.9% of the Company’s Common Stock and 69.7% of the Company’s Series D Preferred Stock. Peter Zachariou owns 0.15% of the Company’s Common Stock and 25.7% of the Company’s Series D Preferred Stock. Adrian Liddell, Chairman is a consultant to Fountainhead.

During each of the three months ended March 31, 2025 and 2024, the Company accrued an aggregate of $162,185 of Preferred D Stock dividends, of which $113,019 was regarding Fountainhead and $41,693 was regarding Peter Zachariou. Total accrued Preferred D Stock dividends at March 31, 2025 and December 31, 2024 was $2,757,145 and $2,594,960, respectively, of which $1,921,315 and $1,808,296, respectively, was regarding Fountainhead and $708,780 and $667,087, respectively, was regarding Peter Zachariou.

During the three months ended March 31, 2025 and 2024 the Company accrued interest on related party loans of $12,570 and $12,031, respectively.

13. CONCENTRATION

Vycor Medical sells its neurosurgical devices in the US primarily direct to hospitals, and internationally through distributors who in turn sell to hospitals.

Sales Concentration:

SCHEDULE OF CONCENTRATION

Accounts Receivable Concentration

	At March 31, 2025		At December 31, 2024

Number of customers over 10%	1		1
Percentage of accounts receivable	11	%	11	%

The Company has three sub-contract manufacturers from which it purchases, respectively, VBAS injection molded parts, completed and sterilized VBAS units, and extension arms. Purchases from these manufacturers vary from quarter to quarter, with no purchases in some quarters, however on an annual basis, purchases from each manufacturer represent over 10% of total annual purchases.

ITEM 2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS.

Forward Looking Statements

This Interim Report on Form 10-Q contains, in addition to historical information, certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 (“PLSRA”), Section 27A of the Securities Act of 1933, as amended (the “Securities Act”), and section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”) regarding Vycor Medical, Inc. (the “Company” or “Vycor,” also referred to as “us”, “we” or “our”). Forward-looking statements give our current expectations or forecasts of future events. You can identify these statements by the fact that they do not relate strictly to historical or current facts. Forward-looking statements involve risks and uncertainties. Forward-looking statements include statements regarding, among other things, (a) our projected sales, profitability, and cash flows, (b) our growth strategies, (c) anticipated trends in our industries, (d) our future financing plans and (e) our anticipated needs for working capital. They are generally identifiable by use of the words “may,” “will,” “should,” “anticipate,” “estimate,” “plans,” “potential,” “projects,” “continuing,” “ongoing,” “expects,” “management believes,” “we believe,” “we intend” or the negative of these words or other variations on these words or comparable terminology. These statements may be found under “Management’s Discussion and Analysis of Financial Condition and Results of Operations” and “Description of Business,” as well as in this Form 10-Q generally. In particular, these include statements relating to future actions, prospective products or product approvals, future performance or results of current and anticipated products, sales efforts, expenses, the outcome of contingencies such as legal proceedings, and financial results.

Any or all of our forward-looking statements in this report may turn out to be inaccurate. They can be affected by inaccurate assumptions we might make or by known or unknown risks or uncertainties. Consequently, no forward-looking statement can be guaranteed. Actual future results may vary materially as a result of various factors, including, without limitation, the risks outlined under “Risk Factors” and matters described in this Form 10-Q generally. In light of these risks and uncertainties, there can be no assurance that the forward-looking statements contained in this filing will in fact occur. You should not place undue reliance on these forward-looking statements. The forward-looking statements speak only as of the date on which they are made, and, except to the extent required by federal securities laws, we undertake no obligation to publicly update any forward-looking statements, whether as the result of new information, future events, or otherwise. We intend that all forward-looking statements be subject to the safe harbor provisions of the PSLRA.

1. Organizational History

The Company was formed as a limited liability company under the laws of the State of New York on June 17, 2005 as “Vycor Medical LLC”. On August 14, 2007, we converted into a Delaware corporation and changed our name to “Vycor Medical, Inc.” (“Vycor”). The Company’s listing went effective on February 2009 and on November 29, 2010 Vycor completed the acquisition of substantially all of the assets of NovaVision, Inc. (“NovaVision”) and on January 4, 2012 Vycor, through its wholly-owned NovaVision subsidiary, completed the acquisition of all the shares of Sight Science Limited (“Sight Science”), a previous competitor to NovaVision.

2. Overview of Business

Vycor is dedicated to providing the medical community with innovative and superior surgical and therapeutic solutions and operates two distinct business units within the medical device industry. Vycor Medical designs, develops and markets medical devices for use in neurosurgery. NovaVision provides non-invasive rehabilitation therapies for those who have vision disorders resulting from neurological brain damage such as that caused by a stroke. Both businesses adopt a minimally or non-invasive approach. The Company leverages joint resources across the divisions to operate in a cost-efficient manner.

Vycor Medical

Vycor Medical designs, develops and markets medical devices for use in neurosurgery. Vycor Medical’s ViewSite Brain Access System (“VBAS”) is a next generation retraction and access system. Vycor Medical is ISO 13485:2016 and MDSAP (Medical Device Single Audit Program) certified, and VBAS has U.S. FDA 510(k) clearance and CE Marking for Europe (Class III) for brain and spine surgeries, and regulatory approvals in several other international markets.

NovaVision

NovaVision provides non-invasive, computer-based rehabilitation therapies targeted at people who have impaired vision as a result of stroke or other brain injury.

Strategy

The Company is continuing to execute on a plan to achieve revenue growth. The strategy for Vycor Medical includes: increasing market penetration in the US; increasing international growth in territories where we are not represented or under-represented; continued new product development in response to market demands and demonstrating applicability in a broader range of pathologies; and adding products complementary to VBAS where the Company is able to leverage its existing distribution network.

Given NovaVision’s resources, and the large size and diversity of its end markets, we believe that the most efficient way to tackle the distribution of its patient and professional products is by partnering with entities that have either direct access to the end users or the technological capability to leverage the NovaVision therapy platform, particularly in digital health and into non-medical areas. Management is also open to a broad range of alternatives for NovaVision as a whole, which could comprise distribution and marketing partnerships, licensing, merger or sale.

In August 2024 the Company engaged the services of Maxim Group LLC to assist in its strategy to accelerate the growth of the Company through strategic acquisitions and partnerships.

Comparison of the Three Months Ended March 31, 2025 to the Three Months Ended March 31, 2024

Revenue and Gross Margin:

	Three months ended
	March 31,
	2025		2024		% Change
Revenue:
Vycor Medical	$	418,520	$	318,558		31	%
NovaVision		17,858		18,410		-3	%
	$	436,378	$	336,968		30	%
Gross Profit
Vycor Medical	$	341,798	$	283,076		21	%
NovaVision		16,736		16,886		-1	%
	$	358,534	$	299,962		20	%

Vycor Medical recorded revenue of $418,520 from the sale of its products for the three months ended March 31, 2025, an increase of $99,962, or 31%, over the same period in 2024; approximately one-third of the increase was from growth in sales to hospitals in the US and approximately two-thirds in international markets. Gross margin of 82% and 89% was recorded for the three months ended March 31, 2025 and 2024, respectively, with the lower gross margin in 2025 due to validation and shipping costs of new production as well as sales mix.

NovaVision recorded revenues of $17,858 for the three months ended March 31, 2025, a decrease of $552, or (3%), over the same period in 2024. Gross margin was 94%, compared to 92% for the same period in 2024.

Research & Development:

Research & Development expenses were $5,762 for the three months ended March 31, 2025 compared to $0 for the same period in 2024, reflected new product development in the Vycor Medical division.

Selling, General and Administrative Expenses:

Selling, general and administrative expenses increased by $56,084 to $350,698 for the three months ended March 31, 2025 from $294,614 for the same period in 2024. Included within Selling, General and Administrative Expenses are non-cash charges for stock-based compensation as the result of amortizing non-employee shares which have been issued by the Company. The charge for the three months ended March 31, 2025 was $18,315, a $15,951 increase from the charge in 2024 due to amortization of the Maxim financial advisory agreement. Also included within Selling, General and Administrative Expenses are Sales Commissions, which increased by $22,212 from $63,315 in 2024 to $85,527 in 2025 reflecting higher US sales during the current period of 2025.

The remaining Selling, General and Administrative expenses increased by $17,921 from $228,935 in 2024 to $246,856 in 2025, as follows:

Payroll	$	31,237
Software development		(9,204	)
Other		(4,112	)
	$	17,921

Interest Expense:

Interest comprises expense on the Company’s debt and insurance policy financing. Related Party Interest expense for the three months ended March 31, 2025 was $12,570 compared to $12,031 for 2024. Other Interest expense for the three months ended March 31, 2025 was $13,139 compared to $13,338 for 2024.

Other Income:

Other income comprises $4,544 of historic customer credits written off during the three months ended March 31, 2024.

Operating loss from Discontinued Operations:

Operating loss from Discontinued Operations decreased by $52 to $49 in 2025 from $101 in 2024; the Company has some minor ongoing costs related to the wind-down of the discontinued operations in Germany but no revenues.

Liquidity

The following table shows liquidity data as of March 31, 2025 and December 31, 2024:

	March 31, 2025			December 31, 2024			$ Change
Cash	$	61,049		$	105,648		$	(44,599	)
Accounts receivable, inventory and other current assets	$	539,646		$	527,334		$	12,312
Total current liabilities	$	(4,653,574	)	$	(4,496,543	)	$	(157,031	)
Working capital deficit	$	(4,052,879	)	$	(3,863,561	)	$	(189,318	)

The following table shows cash flow for the periods ended March 31, 2025 and 2024:

	March 31, 2025			March 31, 2024			$ Change
Cash (used in) provided by operating activities	$	(26,909	)	$	1,887		$	(28,796	)
Cash provided by investing activities	$	-		$	662		$	(662	)
Cash used in financing activities	$	(17,690	)	$	(15,983	)	$	(1,707	)
Net decrease in cash	$	(44,599	)	$	(13,434	)	$	(31,165	)

Operating Activities. Cash provided by operating activities comprises net loss adjusted for non-cash items and the effect of changes in working capital and other activities. The net repayment of normal insurance financing should also be taken into account when considering cash provided by operating activities.

The following table shows the principal components of cash provided by operating activities during the three months ended March 31, 2025 and 2024, with a commentary of changes during the periods and known or anticipated future changes:

	March 31, 2025			March 31, 2024			$ Change
Net loss	$	(38,563	)	$	(30,608	)	$	(7,955	)

Adjustments to reconcile net loss to cash (used in) provided by operating activities:
Depreciation of fixed assets	$	16,110		$	15,620		$	490
Allowance for doubtful accounts - accounts receivable	$	-		$	4,865		$	(4,865	)
Stock based compensation	$	18,315		$	2,364		$	15,951
	$	34,425		$	22,849		$	11,576

Changes in operating assets and liabilities
Accounts receivable	$	15,846		$	(33,703	)	$	49,549
Accounts payable and accrued liabilities	$	(13,556	)	$	9,774		$	(23,330	)
Inventory	$	(19,913	)	$	12,417		$	(32,330	)
Prepaid expenses	$	(29,603	)	$	(2,944	)	$	(26,659	)
Accrued interest (not paid in cash)	$	24,406		$	24,000		$	406
Changes in discontinued operations, net	$	49		$	102		$	(53	)
	$	(22,771	)	$	9,646		$	(32,417	)

Cash (used in) provided by operating activities	$	(26,909	)	$	1,887		$	(28,796	)

Additional inventory of $71,869 was purchased during the three months ended March 31, 2025 as part of normal production, and the Company anticipates purchasing additional new inventory of approximately $75,000 during the next twelve months for VBAS devices.

Investing Activities. There was no cash used in or provided by investing activities during the three months ended March 31, 2025. Cash provided by investing activities during the three months ended March 31, 2024 was $662 due to sales of fixed assets (chinrests). The Company anticipates limited investing activities during the next twelve months.

Financing Activities. During the three months ended March 31, 2025, the Company repaid loans primarily related to insurance of $17,690. During the three months ended March 31, 2024 the Company made repayments of $15,983.

Liquidity and Plan of Operations, Ability to Continue as a Going Concern

The accompanying unaudited consolidated financial statements have been prepared assuming that the Company will continue as a going concern. The Company has incurred losses since its inception, including a net loss of $38,563 for the three months ended March 31, 2025 and has not generated sufficient positive cash flows from operations. As of March 31, 2025 the Company had a working capital deficiency of $4,052,879, which includes related party liabilities of $3,473,484. These conditions, among others, raise substantial doubt regarding our ability to continue as a going concern. The unaudited consolidated financial statements do not include any adjustments to reflect the possible future effects on the recoverability and classification of assets or the amounts and classification of liabilities that may result from the outcome of this uncertainty.

As described earlier in this ITEM 1 “Strategy”, the Company is executing on a plan to achieve a growth in revenues. Included within the working capital deficiency above is a term note for $300,000 to EuroAmerican Investment Corp. (“EuroAmerican”), together with accrued interest of $532,886 which has a maturity date of September 30, 2025, having been extended on a number of occasions from its initial due date of June 11, 2011. At this time, it is not known whether any further extension of the note beyond September 30, 2025 will be available. However, the Company believes it may not have sufficient cash to meet its various cash needs through May 31, 2026 unless the Company is able to obtain additional cash from the issuance of debt or equity securities. Fountainhead, the Company’s largest shareholder, has provided working capital funding to the Company on an as-needed basis, although there is no guarantee that this will continue to be the case. The Company may consider seeking additional equity or debt funding, although there is no assurance that this would be available on acceptable terms or at all. If adequate funds are not available, the Company may have to delay or curtail development or commercialization of products or cease some of its operations.

Imposition of trade tariffs

In recent months, following the change in the U.S. presidential administration, there has been an imposition by the U.S. of increased trade tariffs on imported goods entering the United States and the imposition by some countries of retaliatory tariffs. Vycor Medical’s products and the raw materials that are used to manufacture the products are all manufactured in the United States. The imposition of import tariffs should not, therefore, impact our costs, however raw material prices may increase, and raw material supply chains could be disrupted. Although the majority of our sales are to hospitals in the United States, we export to a number of countries, with important export territories including Canada, Japan, the UK and the EU. The imposition of additional retaliatory tariffs by these or other countries to which we export could negatively impact our international revenues. The escalation of tariffs globally could have broader economic impacts which could adversely affect our results of operations and liquidity.

Critical Accounting Policies and Estimates

The Company’s unaudited consolidated financial statements are prepared in accordance with generally accepted accounting principles in the United States. The preparation of its unaudited consolidated financial statements and related disclosures requires it to make estimates and judgments that affect the reported amounts of assets, liabilities, revenue, costs and expenses, and the disclosure of contingent assets and liabilities in the Company’s unaudited consolidated financial statements. The Company bases its estimates on historical experience, known trends and events and various other factors that it believes are reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. The Company evaluates its estimates and assumptions on an ongoing basis. Actual results may differ from these estimates under different assumptions or conditions

Our senior management has reviewed the critical accounting policies and estimates with our Board of Directors. For a description of the Company’s critical accounting policies and estimates, refer to “Part II—Item 7—Management’s Discussion and Analysis of Financial Condition and Results of Operations—Critical Accounting Policies and Estimates” in our most recent Annual Report on Form 10-K for the year ended December 31, 2024, which was filed with the SEC on April 15, 2025. Critical accounting policies are those that are most important to the portrayal of our financial condition, results of operations and cash flows and require management’s most difficult, subjective and complex judgments, often as a result of the need to make estimates about the effect of matters that are inherently uncertain. If actual results were to differ significantly from estimates made, the reported results could be materially affected. There were no significant changes to our critical accounting policies and estimates during the three months ended March 31, 2025.

ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

Not applicable

ITEM 4. CONTROLS AND PROCEDURES

(a) Disclosure Controls and Procedures

We are required to maintain disclosure controls and procedures that are designed to ensure that information required to be disclosed in our reports filed under the Securities Exchange Act of 1934, as amended, is recorded, processed, summarized and reported within the time periods specified in the Securities and Exchange Commission’s rules and forms, and that such information is accumulated and communicated to our management, including our chief executive officer (also our principal executive officer) and our chief financial officer (also our principal financial and accounting officer) to allow for timely decisions regarding required disclosure.

Pursuant to Rule 13a-15(b) under the Securities Exchange Act of 1934 (“Exchange Act”), the Company’s management, including the Company’s Chief Executive Officer (“CEO”) (the Company’s principal executive officer) and Chief Financial Officer (“CFO”) (the Company’s principal financial and accounting officer), has evaluated the effectiveness of the Company’s disclosure controls and procedures (as defined under Rule 13a-15(e) under the Exchange Act) as of the end of the period covered by this report. Based on such evaluation, our CEO and our CFO have concluded that a material weakness occurred as of April 1, 2021 with the resignation of the independent members of the Company’s Audit Committee as of that date. Effective that date, our disclosure and controls were no longer effective to ensure that information required to be disclosed by the Company in the reports its files or submits under the Exchange Act is accumulated and communicated to the Company’s management, including its CEO and its CFO, as appropriate, to allow timely decisions regarding required disclosure.

The matter involving internal controls and procedures that our management considered to be material weaknesses under the standards of the Public Company Accounting Oversight Board were a lack of a functioning audit committee with independent members, resulting in ineffective oversight in the establishment and monitoring of required internal controls and procedures. This weakness occurred as of April 1, 2021 due to the resignation of the independent members of the Audit Committee from the Board of Directors effective as of April 1, 2021.

Management believes that the lack of a functioning audit committee and the lack of a majority of outside directors on our board of directors, results in ineffective oversight in the establishment and monitoring of required internal controls and procedures, which could result in a material misstatement in our financial statements in future periods.

(b) Changes in Internal Controls

There have not been any changes in the Company’s internal control over financial reporting (as such term is defined in Rules 13a-15(f) under the Exchange Act) during the fiscal period to which this report relates that have materially affected, or are reasonably likely to materially affect, the Company’s internal control over financial reporting.

The Company’s management, including the Company’s CEO and CFO, does not expect that the Company’s internal control over financial reporting will prevent all errors and all fraud. Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. Also, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree or compliance with the policies or procedures may deteriorate.

PART II

ITEM 1. LEGAL PROCEEDINGS

We are subject from time to time to litigation, claims and suits arising in the ordinary course of business. As of May 15, 2025, we were not a party to any material litigation, claim or suit whose outcome could have a material effect on our financial statements.

ITEM 1A. RISK FACTORS.

As a “smaller reporting company” as defined by Item 10 of Regulation S-K, the Company is not required to provide information required by this Item.

ITEM 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS

None

ITEM 3. DEFAULTS UPON SENIOR SECURITIES

None.

ITEM 4. MINE SAFETY DISCLOSURES

Not applicable.

ITEM 5. OTHER INFORMATION

None

Index to Exhibits

31.1		Certification of the Principal Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.

31.2		Certification of the Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.

32.1		Certification of Principal Executive Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

32.2		Certification of Chief Financial Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

101.INS		Inline XBRL Instance Document
101.SCH		Inline XBRL Taxonomy Extension Schema Document
101.CAL		Inline XBRL Taxonomy Extension Calculation Linkbase Document
101.DEF		Inline XBRL Taxonomy Extension Definition Linkbase Document
101.LAB		Inline XBRL Taxonomy Extension Label Linkbase Document
101.PRE		Inline XBRL Taxonomy Extension Presentation Linkbase Document
104		Cover Page Interactive Data File (embedded within the Inline XBRL document)

SIGNATURES

In accordance with Section 13 or 15(d) of the Exchange Act, the registrant caused this report to be signed on its behalf by the undersigned, thereunto duly authorized, on May 15, 2025

	Vycor Medical, Inc.
	(Registrant)

	By:	/s/ Peter C. Zachariou
		Peter C. Zachariou
		Chief Executive Officer and Director
		(Principal Executive Officer)

	Date May 15, 2025

	By:	/s/ Adrian Liddell
		Adrian Liddell
		Chairman of the Board and Director
		(Principal Financial and Accounting Officer)

	Date May 15, 2025

Three Months Ended March 31,

Number of customers over 10%

Percentage of sales