The following discussion should be read in conjunction with our financial
statements, including the notes thereto, appearing elsewhere in this annual
report. The following discussion contains forward-looking statements that
reflect our plans, estimates and beliefs. Our actual results could differ
materially from those discussed in the forward looking statements. Factors that
could cause or contribute to such differences include, but are not limited to
those discussed below and elsewhere in this Annual Report. Our audited
consolidated financial statements are stated in
Results of Operations The following summary of our operations should be read in conjunction with our audited financial statements for the years endedAugust 31, 2021 and 2020, which are included herein. Year Ended August 31, 2021 2020 Changes % General and administrative expenses$ 61,545 $ 14,364 $ 47,181 328 % Net loss$ 61,545 $ 14,364 $ 47,181 328 % Revenues
We recognized no revenues for the years ended
Gross Margin
Gross margin is calculated by subtracting cost of sales from revenue. Gross margin percentage is calculated by dividing gross margins by revenue.
We did not record any cost of goods sold for either of the years ended
Operating Expenses
Operating expenses totaled
Our operating expenses are primarily comprised of professional fees or administrative contracted services, such as legal and accounting, and other general and administrative costs. The increase in operating expenses was due to an increase in professional services rendered in relation to our financial reporting and other matters.
Net loss
We incurred a net loss from of
Liquidity and Capital Resources
Working Capital Year Ended August 31, 2021 2020 Changes % Current Assets $ -$ 5,676 $ 5,676 (100 )% Current Liabilities$ 53,634 $ 11,400 $ 42,234 370 % Working Capital Deficiency$ 53,634 $ 5,724 $ 47,910 837 % 5 | Page Cash Flows Year Ended August 31, 2021 2020 Changes % Cash flows used in operating activities$ (53,652 ) $ (11,864 ) $ (41,788 ) 352 % Cash flows provided by financing activities$ 47,976 $ 1,800 $ 46,176 2565 % Net changes in cash$ (5,676 ) $ (10,064 ) $ 4,388 (44 )%
As at
As at
As at
Cash Flow from Operating Activities
We have not generated positive cash flow from operating activities. During the
year ended
Cash flows used in operating activities during the year ended
Cash flows used in operating activities during the year ended
The increase in cash used in operating activities during the year ended
Cash Flow from Investing Activities
During the years ended
Cash Flow from Financing Activities
During the year ended
During the year ended
6 | Page Going Concern
The Company's financial statements as of
In order to continue operating as a going concern, the Company is committed to work on procuring financial resources and develop business plans. The Management plans to procure financial resources from the Management and major shareholders to fund operating expenses as well as seeking third party equity and/or debt financing to implement its business plans. However, the Management is not able to provide any assurances that the Company will successfully executing the plans in the near term. These financial statements do not include any adjustments related to the recoverability and classification of assets or the amounts and classification of liabilities that might be necessary should the Company be unable to continue as a going concern.
Plan of Operation and Funding
We expect that working capital requirements will continue to be funded through further issuances of securities/ debt securities. Our working capital requirements are expected to increase in line with the growth of our business.
Existing working capital, further advances and equity/ debt financing, the anticipated cash flow are expected to be adequate to finance our operations over the next twelve months. We have no lines of credit or other bank financing arrangements. Generally, we have financed operations to date through the proceeds of the private placement of equity and debt instruments. In connection with our business plans, the Management anticipates additional increases in operating expenses and capital expenditures relating to: (i) developmental expenses associated with a start-up business and (ii) marketing expenses. We intend to finance these expenses with further issuances of securities, and debt issuances. Thereafter, we expect we will need to raise additional capital and generate revenues to meet long-term operating requirements. Additional issuances of equity or convertible debt securities will result in dilution to our current shareholders. Further, such securities might have rights, preferences or privileges senior to our common stock. Additional financing may not be available upon acceptable terms, or at all. If adequate funds are not available or are not available on acceptable terms, we may not be able to take advantage of prospective new business endeavors or opportunities, which could significantly and materially restrict our business operations.
Material Commitments
As of the date of this Annual Report, we do not have any material commitments.
Off-Balance Sheet Arrangements
As of the date of this Annual Report, we do not have any off balance sheet arrangements that have or are reasonably likely to have a current or future effect on our financial condition, changes in financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources that are material to investors.
Recent Accounting Pronouncements
Management has considered all recent accounting pronouncements issued. Our Company's management believes that these recent pronouncements will not have a material effect on our financial statements.
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