KINETIC GROUP INC. Forward-Looking Statements and Associated Risks.
The following discussion should be read in conjunction with the financial statements and the notes to those statements included elsewhere in this Quarterly Report on Form 10-Q. This Quarterly Report on Form 10-Q contains certain statements that are forward-looking within the meaning of the Private Securities Litigation Reform Act of 1995. Certain statements contained in the MD&A are forward-looking statements that involve risks and uncertainties. The forward-looking statements are not historical facts, but rather are based on current expectations, estimates, assumptions and projections about our industry, business and future financial results. Our actual results could differ materially from the results contemplated by these forward-looking statements due to a number of factors, including those discussed in other sections of this Quarterly Report on Form 10-Q.
Our Business
In
The amendments in this Update remove the definition of a development stage
entity from the Master Glossary of the Accounting Standards Codification,
thereby removing the financial reporting distinction between development stage
entities and other reporting entities from
For public business entities, those amendments are effective for annual
reporting periods beginning after
Currently, with new offering of
Results of operations for the three-month periods ended
Revenue
Our gross revenue for the three-month periods ended
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Costs and Expenses
The major components of our expenses for the three-month periods ended
For the Three For the Three
Months Ended Months Ended
31-Dec-22 31-Dec-21 Increase
(Unaudited) (Unaudited) (Decrease)
Compensation - officers $ 6,750 $ 2,300 $ 4,450
Professional fees $ 7,500 $ - $ 7,500
General and administrative $ 2,069 $ - $ 2,069
$ 16,319 $ 2,300 $ 14,019
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The increase in our operating costs for the three-month periods ended
Debt Settlement
With acquisition and new stockholder's all debt from last management were
canceled. On
Accounts Payable - Related Parties
On
On
Liquidity
Our internal liquidity was provided for our shareholders and related companies.
During the three -month
To date we have financed our operations by cash provided for shareholders.
As of As of
Liquidity and Capital Resources
Total current assets $ 4,186 $ 13,655 Total current liabilities $ 50,652 $ 43,902 Working capital (deficiency) $ (46,466 ) $ (30,247 )
The above transactions were exempt under Section 4(a)2 of the Securities Act of 1933 as amended.
If we are not successful in expanding our client base, maintaining profitability and positive cash flows, additional capital may be required to maintain ongoing operations. We have explored, and are continuing to explore, options to provide additional financing to fund future operations, as well as other possible courses of action. Such actions include, but are not limited to, securing lines of credit, sales of debt or equity securities (which may result in dilution to existing shareholders), loans and cash advances from our directors or other third parties, and other similar actions.
There can be no assurance that we will be able to obtain additional funding, on acceptable terms or at all, through a sale of our common stock, loans from financial institutions, our directors, or other third parties, or any of the actions discussed above.
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Cash Flows
The table below, for the period indicated, provides selected cash flow
information:
For the Three For the Three
Months Ended Months Ended
December 31, December 31,
2022 2021
Cash Flow (Unaudited) (Unaudited)
Net cash provided (used) by operating activities $ 13,755 -
Cash used in investing activities - -
Cash provided by financing activities $ 9,569 -
Net change in cash $ 4,186 -
Recent Accounting Pronouncements
See Note 2 to the Unaudited Financial Statements.
Off Balance Sheet Arrangements
As of
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