CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS

This Quarterly Report on Form 10-Q contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended ("Securities Act"), and Section 21E of the Securities Exchange Act of 1934, as amended ("Exchange Act"). This information may involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of Stark Focus Group Inc. (the "Company"), to be materially different from future results, performance or achievements expressed or implied by any forward-looking statements. Forward-looking statements, which involve assumptions and describe future plans, strategies and expectations of the Company, are generally identifiable by use of the words "may," "will," "should," "expect," "anticipate," "estimate," "believe," "intend," or "project" or the negative of these words or other variations on these words or comparable terminology. These forward-looking statements are based on assumptions that may be incorrect, and there can be no assurance that these projections included in these forward-looking statements will come to pass. Actual results of the Company could differ materially from those expressed or implied by the forward-looking statements as a result of various factors. Except as required by applicable laws, the Company has no obligation to update publicly any forward-looking statements for any reason.

In this Quarterly Report, unless otherwise noted, the words "we," "our," "us," or the "Company" refer to Stark Focus Group Inc. and our wholly owned subsidiary, Common Design Limited.





General Overview

We were incorporated on July 3, 2018 in the state of Nevada, USA. We acquired 100% interest of Common Design, a Hong Kong corporation as our wholly-owned subsidiary pursuant to a share exchange agreement dated September 20, 2019. Common Design was a start-up wholesale clothing supplier, established on April 10, 2019, specializing in the supply and trading of niche apparel for distribution to markets worldwide. With operating headquarters located in Hong Kong, Common Design was primarily focused on sourcing and marketing a diverse portfolio of dress up, casual and athletic apparel products to its global clients.

On August 9, 2021 we entered into a share purchase agreement wherein the Company is to sell its 10,000 shares of its wholly owned subsidiary, Common Design Limited of Hong Kong, for a consideration of Ten Thousand Hong Kong Dollars (HK$10,000.00). The 10,000 shares represent all of the issued and outstanding shares of Common Design Limited. The transaction was consummated on September 9, 2021.





Results of Operations

Three months ended March 31, 2022 compared to the three months ended March 31, 2021

Revenues and Operating Expenses:

We generated $Nil in revenues and incurred $Nil in cost of sales for the three months ended March 31, 2022 and 2021. as During the quarter ended September 30, 2021, we sold our 100% interest of our wholly subsidiary, Common Design Limited, and the operations of Common Design have been consolidated and shown on the March 31, 2021 operations statement as loss on discontinued operations.

Selling, General and Administrative Expense:

Selling, general and administrative expenses primarily consist of legal, accounting, consulting and other professional service fees. Selling, general and administrative expenses were $3,382 for the three months ended March 31, 2022 compared to $14,254 for the three months ended March 31, 2021.





Net Loss:

Net loss was $3,382 for the three months ended March 31, 2022 compared to a net loss of $15,140 for the three months ended March 31, 2021.






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Cash Used in Operating Activities

Net cash used in operating activities for the three months ended March 31, 2022 was $9,382 compared to net cash used in operating activities of $11,375 for the three months ended March 31, 2021.

Cash Provided by Financing Activities

Net cash provided by financing activities for the three months ended March 31, 2022 was $9,382 consisting of loan from third parties compared to net cash provided by financing activities of $11,168 for the three months ended March 31, 2021.





Total Assets:

The Company's total assets were $Nil as at March 31, 2022 and also $Nil as at December 31, 2021.





Total Liabilities:

The Company's total liabilities were $15,512 as at March 31, 2022 compared to total liabilities of $12,130 as at December 31, 2021.





Stockholders' Deficit:

The Company's shareholders' deficit was $15,512 as at March 31, 2022 compared to a shareholder's deficit of $12,130 as at at December 31, 2021.

Liquidity and Capital Resources

As at March 31, 2022, we $Nil current assets and total current liabilities of $15,512.

We had working capital deficiency of $15,512 as at March 31, 2022 compared to working capital deficiency of $12,130 as at December 31, 2021.





Capital Resources

We anticipate we will need $50,000 for operations for the next 12 months, which includes $12,500 for selling, general and administrative purposes; $22,500 for professional fees, including legal and audit fees; $5,000 for consulting fees; and $10,000 for working capital. Based on the foregoing, our cash on hand will not be adequate to satisfy our ongoing cash requirements.





Future Financings

We anticipate we will need additional financing to fund our business operations in the future and will primarily rely on equity sales of our common stock and loans from related parties. We presently do not have any arrangements or commitments for additional financing in place. There is no assurance that we will achieve additional financing by either sales of our equity securities or by debt financing. In addition, issuances of additional shares will result in dilution to our existing stockholders.

Off-Balance Sheet Arrangements

As of March 31, 2022, we did not have any off-balance sheet arrangements that have or are reasonably likely to have a current or future effect on our financial conditions, changes in financial conditions, revenues or expenses, results of operations, liquidity capital expenditures, or capital resources that is material to investors.






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Contractual Obligations and Commitments

As of March 31, 2022, we did not have any contractual obligations and commitments.

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