SPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTS

This periodic report contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 with respect to the financial condition, results of operations, business strategies, operating efficiencies or synergies, competitive positions, growth opportunities for existing products, plans and objectives of management. Statements in this periodic report that are not historical facts are hereby identified as forward-looking statements. Our Company and our representatives may from time to time make written or oral statements that are "forward-looking," including statements contained in this Quarterly Report and other filings with the Securities and Exchange Commission and in reports to our Company's stockholders. Management believes that all statements that express expectations and projections with respect to future matters, as well as from developments beyond our Company's control including changes in global economic conditions are forward-looking statements within the meaning of the Act. These statements are made on the basis of management's views and assumptions, as of the time the statements are made, regarding future events and business performance. There can be no assurance, however, that management's expectations will necessarily come to pass. Factors that may affect forward-looking statements include a wide range of factors that could materially affect future developments and performance, including the following:

Changes in Company-wide strategies, which may result in changes in the types or mix of businesses in which our Company is involved or chooses to invest; changes in U.S., global or regional economic conditions; changes in U.S. and global financial and equity markets, including significant interest rate fluctuations, which may impede our Company's access to, or increase the cost of, external financing for our operations and investments; increased competitive pressures, both domestically and internationally; legal and regulatory developments, such as regulatory actions affecting environmental activities; the imposition by foreign countries of trade restrictions and changes in international tax laws or currency controls; adverse weather conditions or natural disasters, such as hurricanes and earthquakes; and labor disputes, which may lead to increased costs or disruption of operations.

This list of factors that may affect future performance and the accuracy of forward-looking statements are illustrative, but by no means exhaustive. Accordingly, all forward-looking statements should be evaluated with the understanding of their inherent uncertainty.





Business Overview

We are a health and wellness company that develops, markets, promotes and distributes a variety of customized health and wellness care products and services, including supplements, healthy snacks, meal replacements, skincare products, and nutritional consultation services to consumers in China. We work with certain licensed healthcare food factories to develop and manufacture products and services that are distributed conventionally through sales agents and also through a network of e-commerce and social media platforms.

In addition to products, we are committed to providing customized science based wellness consultation and service programs to customers. Our diverse products and services target health conscious customers and differentiate based upon age and gender and seek to manage different conditions. We reach out to customers fitting certain health and lifestyle profiles through our offline and online consultation services, and track eating habits and health indicators to provide customized products such as supplements. We believe this will facilitate the ability of customers to monitor, understand and adjust their health practices and lifestyle anytime and anywhere for increased customer engagement and retention.

We conduct our business through our wholly owned subsidiary Guangzhou Xiao Xiang Health Industry Company Limited, a limited liability company organized under the laws of China on March 8, 2017 and Alpha Wellness (HK) Limited, a limited liability company organized under the laws of Hong Kong on April 24, 2019. Elite Creation Group, a limited liability company formed under the laws of the British Virgin Islands formed on September 5, 2018, is holding companies without operations.





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Our Products and Services

Our health products are designed to help enhance immunity and improve general wellbeing. We provide the following categories of healthcare products and customized healthcare consultation services in China: (i) Nutrition Catering (ii) Special Health Food (iii) Health Supplement and (iv) Skincare. The products target all age groups with different needs.





Product category   Representative     Description
                   Products
Nutrition          Jasmine Beauty     Meal replacement and healthy snacks
Catering Series
Special Health     Power Centinent    Products that support a healthy active
Food Series                           lifestyle and enhance Immunity
Health             Fuli Fruit Juice   Functional fruit beverages and dietary and
Supplement                            nutritional supplements containing
Series                                resveratrol, anthocyanin, superoxide enzyme
Skincare Series    Tightness          Facial skin care and recovery

Our products are taken as healthcare supplements in accordance with the principles of traditional Chinese medicine including the principle complementary medicine and ideal ratios and combinations of ingredients.





Markets and Regions

The Great Health Industry refers to production, operation, service and information dissemination, maintenance, restoration, and promotions linked to health. It covers medical products, health supplements, nutritional foods, medical devices, health appliances, fitness, health management, health consulting and many other production and service areas closely related to human health. The Great Health Industry is an emerging industry with huge market potential, especially in China.

According to the "China Great Health Industry Strategic Planning and Enterprise Strategy Consulting Report" published by Qianzhan Industry Institute (???????), the scale of the Great Health Industry in 2017 was RMB6.2 trillion, which increased to over RMB7 trillion in 2018. The report predicted RMB8.78 trillion volume for 2019 and forecast over RMB10 trillion for 2020. In the years till 2023, the average annual compound growth rate will be approximately 12.55%, and with the Great Health Industry reaching approximately RMB14.09 trillion in 2023.





Our Strategies

We are focused on achieving long-term growth in revenues, cash flow and profit. We believe that we can achieve this by developing multiple distribution channels and strengthening our marketing and promotions, leading to better product turnover and revenue. We also expect to broaden our product range as well as product differentiation in the future. Based on the business experience accumulated over the years, we believe we can improve the efficiency of our supply chain with time-saving and cost-saving supply chain management and marketing planning for the target customer base with our one-stop service.

Our primary aims are (i) to strengthen our product saleability; (ii) to cut logistics cost and time spent and (iii) to further expand the market share in China. Toward this end, we plan to pursue the following business strategies:

? Collaborate with third-party e-commerce platforms to boost product exposure,


  e.g. Tmall, Jingdong mall
? Deliver healthcare knowledge and consultation service via social media and

We-media

? Build brand image and reputation through customer experience and word of mouth ? Increase the number of downstream distributors and wholesalers ? Strengthen the relationship with manufacturers, suppliers, drug agents and

distributors

? Pursue strategic acquisitions and partnerships

We intend to develop both online and offline distribution channels to increase sales volume and revenue. We expect to partner with third party e-commerce platforms, social media and We-media such as Wechat, TikTok and Xiaohongshu to build our online presence. We believe that online channels will allow us to provide real-time nutrition and healthcare consultation services as well as increase customer engagement and retention. Starting from the second half of 2020, we plan to launch our "nutrition consulting" support services using a major social media software to allow customer groups to receive pre-purchase consultation and after-sales service for products anytime and anywhere.

Our current offline sales channel relies on distributors and sales agents. To enhance the visibility and marketability of our products and services and to improve brand recognition and awareness, we hope to develop store-in-shop and counter experiences. We also intend to partner with high-end gyms to form nutrition clubs and hold weight-loss training camps, health assessment and fitness training camps and other activities.





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We intend to create a 'one-stop' solution for our customers by creating a multi-channel health product supply and retail system. We not only provide personalized consultation service to our customers, but also summarize and analyze our customer feedback and experiences through our consultation service and after-sales service. We intend to share this data with our manufacturers and supply chain partners to develop products and services that better meet the demands of our customers. By pooling and addressing the needs of downstream businesses and combining it with the Consumer to Manufacturer model for upstream transformation, we anticipate establishing a close relationship between manufacturers and suppliers. We believe this model can also reduce circulation costs and improve the efficiency of our supply chain.





Competition

We operate in a highly competitive and fragmented industry that is sensitive to price and service. We compete with leading e-commerce companies such as Alibaba (China) which may offer substantially the same or similar product offerings as us. We also compete with businesses that focus on particular merchant categories or markets such as UNI HEALTH (HK stock code: 02211) and ALI HEALTH (HK stock code:0241). We also compete with traditional cash payments and other popular online shopping websites and apps, and other traditional media companies that provide discounts on products and services. We believe the principal competitive factors in our market include the following:

? Breadth of member base and the products and services featured.

? Close and fast pre-sales and after-sales service response.

? Ability to reduce the product turnover time and inventory cost.

? Relationship and bargaining power with supplier and manufacturer.

? Healthcare product effectiveness and acceptance from customer.

? Local presence and understanding of local business trends.

? Ability to deliver a high volume of relevant services and information to


  consumers.

? Ability to produce high purchase rates for products and services among members.

? Strength and recognition of our brand.

Although we believe we compete favorably on the factors described above, many of our current and potential competitors have longer operating histories, significantly greater financial, technical, marketing and other resources, larger product and services offerings, larger customer base and greater brand recognition. These factors may allow our competitors to benefit from their existing customer base with lower development costs or to respond more quickly than we can to new or emerging technologies and changes in customer requirements. These competitors may engage in more extensive research and development efforts, undertake more far-reaching marketing campaigns and adopt more aggressive pricing policies, which may allow them to build a larger customer base more effectively than us. Our competitors may develop products or services that are similar to our products and services or that achieve greater market acceptance than our products and services. In addition, although we do not believe that customer payment terms are a principal competitive factor in our market, they may become such a factor, and we may be unable to compete on such terms.

Government and Industry Regulations

We are subject to the general laws in China governing businesses including labor, occupational safety and health, general corporations, intellectual property and other similar laws.





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Product Liability and Consumers Protection

Product liability claims may arise if any of our healthcare products have a harmful effect on a consumer, who may make a claim for damages or compensation as an injured party. The General Principles of the Civil Law of the PRC, which became effective in January 1987, state that manufacturers and sellers of defective products causing property damage or injury shall incur civil liabilities for such damage or injuries.

The Product Quality Law of the PRC was enacted in 1993 and amended in 2000 to strengthen the quality control of products and protect consumers' rights and interests. Under this law, manufacturers and distributors who produce or sell defective products may be subject to confiscation of earnings from such sales, revocation of business licenses and imposition of fines, and in severe circumstances, may be subject to criminal liability.

The Law of the PRC on the Protection of the Rights and Interests of Consumers was promulgated on October 31, 1993 and became effective on January 1, 1994 to protect consumers when they purchase or use goods or services. All business operators must comply with this law when they manufacture or sell goods and/or provide services to customers. In extreme situations, product manufacturers and distributors may be subject to criminal liability if their goods or services lead to the death or injuries of customers or other third parties.

Critical Accounting Policies, Judgments and Estimates

The preparation of financial statements in conformity with accounting principles generally accepted in the United States requires our management to make assumptions, estimates and judgments that affect the amounts reported, including the notes thereto, and related disclosures of commitments and contingencies, if any. We have identified certain accounting policies that are significant to the preparation of our financial statements. These accounting policies are important for an understanding of our financial condition and results of operations. Critical accounting policies are those that are most important to the presentation of our financial condition and results of operations and require management's subjective or complex judgment, often as a result of the need to make estimates about the effect of matters that are inherently uncertain and may change in subsequent periods. Certain accounting estimates are particularly sensitive because of their significance to financial statements and because of the possibility that future events affecting the estimate may differ significantly from management's current judgments. We believe the following accounting policies are critical in the preparation of our financial statements.

The Company's accounting policies are more fully described in Note 1 and 2 of the financial statements. As discussed in Note 1 and 2, the preparation of financial statements and related disclosures in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions about the future events that affect the amounts reported in the financial statements and the accompanying notes. Management bases its estimates on historical experience and on various other assumptions that are believed to be reasonable under the circumstances. Actual differences could differ from these estimates under different assumptions or conditions. The Company believes that the following addresses the Company's most critical accounting policies.

Deferred tax assets and liabilities are measured using enacted tax rates in effect for the year in which the differences are expected to reverse. Deferred tax assets will be reflected on the balance sheet when it is determined that it is more likely than not that the asset will be realized. A valuation allowance has currently been recorded to reduce our deferred tax asset to $0.

Discussion and Analysis of Financial Condition and Results of Operations





RESULTS OF OPERATIONS

We have been significantly impacted by COVID-19 global pandemic. In addition to the devastating effects on human life, the pandemic is having a negative ripple effect on the global economy, leading to disruptions and volatility in the global financial markets. China and many other countries have issued policies intended to stop or slow the further spread of the disease.

COVID-19 and China's response to the pandemic are significantly affecting the economy. There are no comparable events that provide guidance as to the effect the COVID-19 pandemic may have, and, as a result, the ultimate effect of the pandemic is highly uncertain and subject to change. We do not yet know the full extent of the effects on the economy, the markets we serve, our business or our operations.





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The following table sets forth certain operational data for the three months and six months ended June 30, 2021 and 2020:





                                   Three Months       Three Months
                                      Ended              Ended
                                  June 30, 2021      June 30, 2020
Revenue, net                      $      266,926     $      101,235
Cost of revenue                          (59,284 )          (40,724 )
Gross profit                             207,642             60,511
Total operating expenses                (173,363 )         (133,450 )
Total other income                           391                826
Income (loss) before income tax           34,670            (72,113 )
Income tax expenses                            -                  -
Net income (loss)                         34,670            (72,113 )




                             Six Months          Six Months
                                Ended               Ended
                            June 30, 2021       June 30, 2020
Revenue, net               $       434,569     $       136,256
Cost of revenue                   (212,968 )           (68,959 )
Gross profit                       221,601              67,297
Total operating expenses          (399,188 )          (273,341 )
Total other income                   7,190               3,034
Loss before income tax            (170,397 )          (203,010 )
Income tax expenses                      -                   -
Net loss                          (170,397 )          (203,010 )

Revenue. For the three and six months ended June 30, 2021, we generated revenues of $266,926 and $434,569, respectively. For the comparative three and six months ended June 30, 2020, we derived income $101,235 and $136,256, respectively. All the major customers are located in the PRC. The increase in the revenue due to a revenue amounted $165,640 generated in the HK, we expected the revenue would be increased in the future once an efficacious COVID-19 vaccine emerges.

Cost of Revenue. For the three and six months ended June 30, 2021, the cost of revenue was $59,284 and $212,968, respectively, and as a percentage of net revenue, approximately 22% and 49%, respectively. Cost of revenue for the three and six months ended June 30, 2020, was $40,724 and $68,959, respectively, and as a percentage of net revenue, approximately 40% and 51%, respectively. The percentage of gross profit increased due to an increase in the revenue.

Net Loss. For the three and six months ended June 30, 2020, we incurred a net income of $34,670 and a net loss of $170,397, respectively, compared for the three and six months ended June 30, 2020, we incurred a net loss of $72,113 and $203,010, respectively. The increase in the revenue due to a revenue amounted $165,640 generated in the HK

Liquidity and Capital Resources

As of June 30, 2021, we had cash and cash equivalents of $783,771, trade receivables of $167,223, inventories of $140,861, right of use assets of $507,134 and prepayments and other receivables of $130,686.





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As of December 31, 2020, we had cash and cash equivalents of $1,006,394, inventories of $206,272, and prepayments and other receivables of $121,501.

We believe that our current cash and other sources of liquidity discussed below are adequate to support general operations for at least the next 12 months.





                                                        Six Months Ended June 30,
                                                           2021              2020

Net cash provided by (used in) operating activities $ (277,780 ) $ 355,588 Net cash used in investing activities

                              -         (27,088 )
Net cash provided by financing activities                     50,178          69,384

Net Cash Provided By (Used In) Operating Activities.

For the six months ended June 30, 2021, net cash used in operating activities was $277,780, which consisted primarily of the increase in accounts receivables of $167,223, decrease in prepayment and other receivables of $9,185, decrease in inventories of $65,411, increase in accrued liabilities and other payables of $46,084, decrease in accounts payable of $7,827, decrease in income tax payable of 7,305, decrease in customers deposit of $128,499, and increase in lease liabilities of $36,135.

For the six months ended June 30, 2020, net cash provided by operating activities was $355,588, which consisted primarily of the decrease in accounts receivables of $530,196, prepayment and other receivables of $142,239, increase in inventories of $161,044 accrued liabilities and other payables of $401,903, decrease in customers deposit of $389,922 and tax payable of $583.

We expect to continue to rely on cash generated through financing from our existing shareholders and private placements of our securities, however, to finance our operations and future acquisitions.

Net Cash Used In Investing Activities.

For the six months ended June 30, 2021, there is no net cash provided by investing activities.

For the six months ended June 30, 2020, net cash used in investing activities was $27,088, consisted primarily of purchase of motor vehicle.

Net Cash Provided By Financing Activities.

For the six months ended June 30, 2021 net cash provided by financing activities was $50,178, which consisted primarily of advance from a director of $81,899

and repayment of lease liabilities of $31,721

For the six months ended June 30 2020, net cash provided by financing activities was $69,384, consisting primarily of advances from the Company's related company.

Off Balance Sheet Arrangements

We have not entered into any off-balance sheet arrangements and it is not anticipated that the Company will enter into any off-balance sheet arrangements.





Forward-looking Statements

The Private Securities Litigation Reform Act of 1995 (the "Act") provides a safe harbor for forward-looking statements made by or on behalf of our Company. Our Company and our representatives may from time to time make written or oral statements that are "forward-looking," including statements contained in this report and other filings with the Securities and Exchange Commission and in reports to our Company's stockholders. Management believes that all statements that express expectations and projections with respect to future matters, as well as from developments beyond our Company's control including changes in global economic conditions are forward-looking statements within the meaning of the Act. These statements are made on the basis of management's views and assumptions, as of the time the statements are made, regarding future events and business performance. There can be no assurance, however, that management's expectations will necessarily come to pass. Factors that may affect forward-looking statements include a wide range of factors that could materially affect future developments and performance, including the following:





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Changes in Company-wide strategies, which may result in changes in the types or mix of businesses in which our Company is involved or chooses to invest; changes in U.S., global or regional economic conditions; changes in U.S. and global financial and equity markets, including significant interest rate fluctuations, which may impede our Company's access to, or increase the cost of, external financing for our operations and investments; increased competitive pressures, both domestically and internationally; legal and regulatory developments, such as regulatory actions affecting environmental activities; the imposition by foreign countries of trade restrictions and changes in international tax laws or currency controls; adverse weather conditions or natural disasters, such as hurricanes and earthquakes; and labor disputes, which may lead to increased costs or disruption of operations.

This list of factors that may affect future performance and the accuracy of forward-looking statements is illustrative, but by no means exhaustive. Accordingly, all forward-looking statements should be evaluated with the understanding of their inherent uncertainty.

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