Forward Looking Statements
This quarterly report on Form 10-Q contains forward-looking statements that involve risks and uncertainties. These statements relate to future events or our future financial performance. In some cases, you can identify forward-looking statements by terminology including "could", "may", "should", "expect", "plan", "anticipate", "believe", "estimate", "predict", "potential" and the negative of these terms or other comparable terminology. These statements are only predictions. Actual events or results may differ materially.
While these forward-looking statements, and any assumptions upon which they are based, are made in good faith and reflect our current judgment regarding the direction of our business, actual results will almost always vary, sometimes materially, from any estimates, predictions, projections, assumptions or other future performance suggested in this report.
Results of Operations
Comparison of the three months ended
For Three Months Ended September 30, 2020 2019 Operating expense Selling, general and administrative expense$ 76,435 $ 57,683 Total operating expense 76,435 57,683 Other expense: Interest expense 7,454 6,848 Total other expense 7,454 6,848 Net loss before income taxes (83,889) (64,531) Income taxes - - Net loss$ (83,889) $ (64,531) Revenue and Cost
We had no sales and cost for the three months ended
Operating expenses
During the three months ended
Net loss
For the three months ended
Liquidity and Capital Resources
The following table sets forth a summary of our cash flows for the periods indicated:
--------------------------------------------------------------------------------
11
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
For the Three Months Ended September 30, 2020 2019 Net cash used in operating activities$ (33,710) $ (27,547) Net cash provided by financing activity 35,090 26,971 Effect of exchange rate changes on cash and cash equivalents (1,026) (89) NET CHANGE IN CASH AND CASH EQUIVALENTS 354 (665) CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD 1,351 2,603 CASH AND CASH EQUIVALENTS AT END OF PERIOD$ 1,705 $ 1,938
As of
During the three months ended
During the three months ended
Our cash level increased by
We anticipate that we will meet our ongoing cash requirements through equity or debt financing. We plan to cooperate with various individuals and institutions to acquire the financing required to produce and distribute our products and anticipate this will continue until we accrue sufficient capital reserves to finance all of our productions independently.
We intend to meet our cash requirements for the next 12 months through a combination of debt financing and equity financing and partnerships with finance groups on television and movie projects.
Critical Accounting Policies and Estimates
Please refer to "Management's Discussion and Analysis of Financial Condition and
Results of Operations" in our 2020 10-K for disclosures regarding our critical
accounting policies and estimates. The interim financial statements follow the
same accounting policies and methods of computations as those for the year ended
Off-Balance Sheet Arrangements
We have no significant off-balance sheet arrangements that have or are reasonably likely to have a current or future effect on our financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources that are material to stockholders.
Impact of COVID-19 Pandemic
In late
--------------------------------------------------------------------------------
12
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
factors, including the duration and spread of the pandemic and any resurgence of
COVID-19 in
Inflation
The amounts presented in the financial statements do not provide for the effect of inflation on our operations or financial position. The net operating losses shown would be greater than reported if the effects of inflation were reflected either by charging operations with amounts that represent replacement costs or by using other inflation adjustments.
Audit Committee
The functions of the audit committee are currently carried out by our Board of Directors, who has determined that we do not have an audit committee financial expert on our Board of Directors to carry out the duties of the audit committee. The Board of Directors has determined that the cost of hiring a financial expert to act as a director and to be a member of the audit committee or otherwise perform audit committee functions outweighs the benefits of having a financial expert on the audit committee.
© Edgar Online, source