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07/14/2020 | 04:38pm EST
Readers are cautioned that certain statements contained herein are
forward-looking statements and should be read in conjunction with our
disclosures under the heading "Forward-Looking Statements" above. These
statements are based on current expectations and assumptions that are subject to
risks and uncertainties. This discussion also should be read in conjunction with
the notes to our consolidated financial statements contained in Item 8.
"Financial Statements and Supplementary Data" of this Report.

Operations Overview/Outlook

The Company developed a document called the Creds Deck which provides a description to prospective clients of Digital Clarity's value proposition. http://www.dbmmgroup.com/wp-content/uploads/2019/12/Digital-Clarity-Creds-Deck_DBMM_Nov2019.pdf

Operationally, fiscal year 2020 has been important in continuing the direction
of the Company and steering it toward a scaled growth plan which has been in
neutral while the Company addressed certain external challenges beyond its
control. Nevertheless, The Company continued to focus on the positive, proven
operating model and used that model to expand geographic reach with existing and
new clients.

DBMM continues to build on its strengths. The Company had strong relationships
within the market and intends to build its business focus in a wide variety of
industry verticals.

The heart of the business is the marketing consultancy. DBMM Group's main
business Digital Clarity, works in the area of Digital Marketing. Understanding
each client and developing the model to individualize the outlook has been
essential. This kind of close relationship with the client resulted in Digital
Clarity being considered a close professional advisor.

Why Digital Experts are in demand

The world is changing, and technology is taking the lead. Today, everything is
going digital -- entertainment, health, real estate, banking and even
currencies. This is, however, understandable. In North America alone, 95% of the
population are online (statista).

With everything turning to digital, it means companies are also jumping online
to market their businesses. And to survive the challenges of digital marketing,
brands need to keep up with the latest trends. Successfully reaching one's
target audience is no longer just putting out TV and print ads. These days,
social media is the new arena of digital marketers, as 3.5 billion people are
active social media users.

To keep up with the ever-changing scene, digital marketing experts need to stay
in step with the evolving tech trends. Social media marketing companies like
ours work tirelessly to research consumers and what makes them engage with
brands. We try to find the best online solutions that will cater to our clients'
end-users' queries in the easiest and most cost-efficient way possible -- be it
by developing new technology or adapting to trends.

Relentless Digital Growth Positions Digital Clarity as a Leader

The need for seasoned expertise and insight is in huge demand. Digital Clarity's
strength, heritage and reach in the digital marketing puts the DBMM brand in an
excellent position for investment and growth. Digital Clarity's strength in
Search Engine Marketing, Analytics and Social Media means that the Company is
ready to feed on that demand and leapfrog into a powerful revenue focused

Search Engine Marketing

The number of people using internet search engines is increasing year on year and is almost unfathomable. In 2019 57% of the global population accessed the internet and by 2021 this figure is projected to grow to 65%.

All sources: Statista.com



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Digital Clarity helps companies 'get found' on search engines like Google. Using
the above Market Share chart and the data from Internet live stats, we can see
the number of daily searches on Google 3.5 billion, which equates to 1.2
trillion searches per year worldwide.

How machine learning is enhancing digital marketing strategy

Digital Clarity applies strategy to algorithmic based machine learning tools.
The launch of Google's new machine learning tool, RankBrain which contributes to
search engine results, left many people wondering what impact machine learning
would have in the realm of Search Engine Optimization (SEO).

With the tech industry going crazy for all things Artificial Intelligence (AI),
Natural Language Processing (NLP), machine learning, and chatbots - companies
like Digital Clarity help brands make sense of this ever-changing landscape.

Machine learning and Digital Marketing

Because machine learning is being used to solve a huge set of diverse problems
with the help of data, channels, content, and context, as marketers, Digital
Clarity stands to benefit from this information and phenomenon as a whole. But,
as the information we gather grows, digital marketing as we know it is set to
change. Digital Clarity will be at the forefront of this change.

Search Engine Optimization

From an SEO point of view, keywords could become less important. Search engines
receive more revenue for ads when they provide users with higher quality
content. As a result, the algorithm they use needs to be more focused on
providing each user with content that will serve a specific purpose, rather than
be packed with the right keyword density. Therefore, the need to start thinking
about the quality of your content as a ranking factor on search engines. This is
where Digital Clarity come and help shape content 'in the right way' to help it
get found.



Pay Per Click (PPC) Campaigns

With Google launching new "smart" features such as Google Smart Bidding, Smart Display Campaigns, and In-Market Audience to help businesses maximize conversions, it is clear that the future of PPC lies in machine learning.

To become more strategic and take PPC campaigns to the next level for its clients, Digital Clarity:

? Get to grips with the metrics that are most valuable to your business ? Understand obstacles that could get in the way of meeting your goals ? Know the underlying performance drivers to make more strategic decisions

Content Marketing

Although still extremely important, the internet has become inundated with too
much content. As mentioned above, to succeed, brands need to be creating content
that is valuable to readers. To do this, you need to understand consumer trends,
data and engagement. Machine learning tools alongside Digital Clarity's
strategic approach allows its clients to reduce the amount of time spent
tracking data, as well as better decipher that data to create actionable tasks
that will lead to success.

The Growth of Digital Marketing & Consultancy Services

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The skill set historically owned by agencies offering disciplines such as UX,
design, creativity, customer-centric data analytics and customer engagement is
now being immersed with large consultancy businesses whose traditional bread and
butter was Digital Transformation.

Accenture, Deloitte, IBM, KPMG, McKinsey and PricewaterhouseCoopers rank among
the most aggressive players in acquiring and partnering with agencies such as
Digital Clarity. They present not only an opportunity for Digital Clarity but
also a prospective exit and investment opportunity.

Digital Marketing Services

2019 continued to see exponential growth in the adoption of Social Media as
communication, marketing and engagement avenues. An acceptance of change is
driving revenue. The future growth in mobile search is one of the fastest
growing ancillary businesses. It was clear that the direction, talent and growth
of the Company is in its human capital and outside relationships which must be
proactive in order to differentiate itself from competition



The clear opportunity is at the foundation of the Company, namely the need to
expedite and continue to encourage development in the digital marketing services
sector. The marketing services product is labor intensive and thus the Company
must jumpstart the growth by significant capital to grow simultaneously in
multiple geographies.

The operating company remained cash flow positive through 2019 despite challenging situations in the parent company, the Company outlook remains robust for the foreseeable future.

Key Milestones

2019 revenues decreased due to external circumstances out of the companies
control which placed enormous pressure on the operating business. Despite these
circumstances, the client base is expanding in base number and the size of
client serviced. At any point in time, our clients represent a variety of
industries. Many of these clients choose to operate under an NDA as our clients
see DBMM as a competitive advantage. Under that disclaimer, we cannot share all
clients' names, but here are a few key clients representing diverse verticals,
as follows:

1. British Marine is the membership body for nautical and sea faring craft and

include Super and Luxury Yacht companies such as Sunseeker and Princess


2. Digital Clarity audited Google Search and Analytics for British Marine's top

show, The London Boat Show and one of Europe's largest events, The

Southampton Boat Show. The Company acted as digital advisor with British

Marine for the Abu Dhabi Boat Show. These shows will fit into the circuit

that incorporates Fort Lauderdale, Monaco and Cannes Boat & Yachting events.

3. Digital Clarity continues to work with sponsors and potential sponsors of a

Formula 1 team that are in the top 5 racing teams in this prestigious and

global sport.

4. Chantico Global - Prestigious asset allocation advisors headquartered in Los

Angeles, California, headed by CNBC TV Economist Gina Sanchez. Chantico has

a Joint Venture Partnership with Oxford Economics in the UK servicing 1500

international corporations.

5. Babcock Engineering - Defense contractor for the United Kingdom Ministry of


6. Abbey Road Institute - Launch of division of world famous studious to train

     the musicians of the future.

Other examples are representative of the diversity of client base. DBMM's approach using a client's analytics and executing an individualized model to increase ROI as the prime objective, spans a wide range of industries.

Digital Clarity continues to expand into high end Real Estate and Luxury brands and is building a strong network on High Net-worth and Ultra High Net-worth Individuals.


Digital Clarity is an AWARD-WINNING Digital Marketing Services Business year-after-year

Digital Clarity shortlisted for UK Search awards 2019

The UK Search Awards have been celebrating the best in expertise, talent and
achievements of the search industry for over half a decade and are regarded as
the premiere celebration of SEO, PPC and content marketing in the UK.

Digital Clarity was shortlisted in the hotly contested B2B section in October
2019, 'Best Use of Search' along with client Bentley SYNCHRO, a global
construction project management software company that supports the professional
needs of those responsible for creating and managing the world's infrastructure.
The Company's software has been used in managing and developing projects such as
The Shard and Battersea Power Station amongst others.



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For 2019, the Company was shortlisted for the coveted UK Search Awards 2019 having already won the Top Award of Gold at the Digital Impact Awards 2019.

The UK Search Awards have been celebrating the expertise, talent and
achievements of the search industry for over half a decade and are regarded as
the premiere celebration of SEO, PPC and content marketing in the UK. The awards
attract hundreds of entries from the leading search and digital agencies from
across the UK and to those based elsewhere around the globe who are delivering
work for the UK market.

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All categories were judged by an influential and respected international judging panel. The judging is a robust, credible and transparent two-step process, involving pre-scoring and a face-to-face panel discussion.


The Digital Impact Awards are the UK's largest celebration of digital work in corporate communications.

The Digital Impact Awards sets the industry-wide benchmark in digital stakeholder engagement. The event honors the best corporate digital communications work in Europe.

This award celebrates the campaigns that best exemplify their successes, obstacles or effectiveness through measurable data. The strongest entries feature proprietary evaluation systems, an effective use of existing systems or solid analysis of metrics.



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The in-depth evaluation strategy used between Digital Clarity allowed the Company to understand the user journey and quality of leads from first click through to final sale.

Andrew Thomas, publishing editor of Communicate magazine and founder of the
Digital Impact Awards, says, "Last year was one of the most competitive of years
in the history of the awards programme. Yet this year's awards signified the
leaps and bounds that digital communications are continuing to make across the
professional plateau. The sheer quality and character of the evening's winners
exemplifies not only the homogeneity of today's digital communications, but
equally its importance."

IN 2018 Digital Clarity Shortlisted for Ecommerce Awards for Excellence for ProCook

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Digital Clarity Research Featured in Huffington Post

Digital Clarity looked into the perils of internet addiction, especially among
the young and the effects it can have to both the individual as well as broader

The research was deemed worthy to be published in the Huffington Post, an online
paper rum by Ariana Huffington and used by journalists worldwide as both a
distribution point as well as an inspiration to feed into current events and



Key Differentiators in Choosing Digital Clarity

Why Digital Marketing is key requirement in any business


Total UK digital ad spend was up 13% year on year in the first six months of 2019, according to IAB UK's half year Adspend update.

Conducted with PwC, the analysis shows that Display (video) and Search were the biggest drivers of growth between January and June 2019 - up 27% and 13% respectively.

Search now accounts for £3.7 billion of total H1 digital ad spend, while combined Display (video and non-video) is worth £2.8 billion, a 17% annual uplift. Non-video remains the largest Display format (up 8% YoY to £1.45 billion), but video formats are growing fast (up 27% to £1.32 billion).

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Four consultancies lead Ad Age's ranking of the 10 largest agency companies in
the world. With combined revenue of $13.2 billion, the marketing services units
of Accenture, PwC, IBM and Deloitte sit just below WPP, Omnicom, Publicis
Groupe, Interpublic and Dentsu. Last year, only two consultancies-Accenture
Interactive and IBM iX-made the top 10. IBM iX was the first to break into the
top 10.

Given the experience of the team, Digital Clarity's advisory and consultancy is
in demand. With the recent growth in these business areas, and the rise of
consultancies, it is confirmation that Digital Clarity is headed in the right
direction for growth.



Outlook of the global digital marketing spend

Technavio's market research analyst predicts the global digital marketing spending market to grow steadily at a CAGR of around 9% during the forecast period.

One of the major factors influencing the growth of digital marketing is its
ability to track and monitor the outcome of spending on digital marketing
efforts. With the help of digital marketing platforms, the marketers can view
their customer's response and measure the success of the marketing campaign in
real-time, without conducting an expensive market research.

Much of this market's growth can be attributed to the fact that these platforms
are interactive for users. Since the customer engagement rate for these
campaigns is relatively higher than other marketing strategies, they are rapidly
being adopted by enterprises to increase their customer base. The ability of
strategically planned interactive campaigns to effectively engage clients will
result in the augmented adoption of digital platforms during the forecast

Geographical segmentation of the digital marketing spending market

  ? Americas - North, Central and South America
  ? APAC - Asia Pacific and Japan
  ? EMEA - Europe, the Middle East and Africa

This segmentation analysis predicts the Americas to account for more than 45% of
the total market share by 2020. In this region, the brands have a greater chance
of monetizing their advertisements due to the availability of a broad base of
the target audience. Factors such as the rapid shift toward online shopping will
result in this market's strong growth in the Americas.


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Competitive landscape and key vendors

Digital advertising is the fastest-growing segment of the global market for
advertising spending. The increasing use of smartphones and the availability of
cheap internet services are the two major factors propelling the growth
prospects for this market. More than 30% of the companies are planning to spend
around 75% of their advertising expenditures on digital marketing within the
next five years.


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Growth Opportunities in the Market

In fiscal year 2020, the Company will continue to take advantage of the global growth in Digital Marketing.

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Digital consumers are now more likely to say they use social to follow the news
(40%) than they are to identify it as a platform for keeping in touch with
friends (39%). Entertainment also now plays a key role in motivating digital
consumers to engage with social media, ranking as the third most important
reason for internet users (38%) but showing the highest growth.

The opportunities for social engagement, at all times of the day and in various
locations, have facilitated the evolution of social platforms into entertainment
hubs. It's no longer about "social" activities in the purest sense, but more
purposeful activities, particularly those based around content consumption. This
helps to explain why motivations like news consumption, finding entertaining
content, researching products, and watching sports have seen increases in the
past few years.

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Enabling consumers to finalize a purchase while remaining within social apps has
been a goal for social platforms for some time now. Social commerce is seen to
have the potential to be a major revenue generator and an important way to
diversify revenue streams beyond advertising. Across Asia, networks like WeChat
and Line have successfully facilitated commerce via their platforms, allowing
consumers to carry out a range of commerce activities from booking taxis to
paying for restaurant bills or items in-store.

But social commerce has been a tough sell in many Western markets. Online
consumer habits here can be difficult to change, especially when it comes to the
potentially sensitive information involved in financial transactions. Social
media can play a big role in the purchase journey right up to the point of
purchase, but the appetite to complete a final purchase within the platform
remains low. Most will move to retail sites. These benefits must be
intrinsically social or deeply embedded with payment systems, and must be
grounded in consumer-engagement strategies, in order for social commerce to
achieve the roaring success seen in APAC.

The prospect of using "buy" buttons on social media in the U.S. has not quite
gained traction. The growing role of social networks as a way of researching
products does, however, provide social video with a strong value-proposition in
The Social Path to Purchase % who say they do the following furthering the
social commerce agenda in this market. In the U.S.

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Retail e-commerce sales worldwide continue to grow exponentially year on year
and projected to grow to $4.5 trillion by 2021. Online shopping is one of the
most popular online activities worldwide, Goldman Sachs expects on-line shopping
retail sales in China to grow to $1.7 trillion by 2020. Usage varies by region.

Global Retail Ecommerce Sales Will Reach $4.5 Trillion by 2021

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Cumulative data from Statista anticipates a 246.15% increase in worldwide ecommerce sales, from $1.3 trillion in 2014 to $4.5 trillion in 2021. That's a nearly threefold lift in online revenue



Global eCommerce retail sales to hit $4.9 trillion by 2021

New studies projected that the worldwide retail eCommerce sales will reach a new
high by 2021. Ecommerce businesses should anticipate a 265% growth rate, from
$1.3 trillion in 2014 to $4.9 trillion in 2021. This shows a future of steady
upward trend with no signs of decline.

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But, what's even more interesting is the global eCommerce sales have been steadily eating up the worldwide retail market. In fact, by 2021, it will account for 17.5% of the total global retail sales.



Omnichannel shopping will become more prevalent

As the lines blur between the physical and digital environment, multiple
channels will become more prevalent in customers' path to purchase. This is
evidenced by 73% of customers using multiple channels during their shopping
journey. What it means for eCommerce is to understand how their customers buy,
which marketing channels do they engage with, and their motivations and main
drivers to purchase. In the simplest sense, omnichannel shopping means decoding
what, where, when, why, and how people are purchasing the products you sell on a
particular channel.

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Every single touchpoint is important because it puts every single piece of the
puzzle into a whole story. Knowing your customers' touch points before they
purchase will better inform your brand of how to promote your products and
allocate your marketing budget. More and more people are doing their shopping on
social media platforms. With the improvement of social media's selling
capabilities, social media platforms are more than just advertising channels.
People can now conveniently and quickly purchase products on their chosen social
media platform.



B2B eCommerce is a bigger giant

B2B (business-to-business) eCommerce is the online selling and marketing of products from one business to another. And when compared to the B2C (business-to-consumer) eCommerce industry, B2B eCommerce is projected to be two times higher than B2C by 2020.

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In the US alone, B2B eCommerce sales will hit 1.184 trillion dollars by 2021.

The predominance of B2B ecommerce means that B2B businesses must improve and
simplify their shopping journey, channeling the B2C ordering experience. The B2B
shopping experience is a lot more complicated than that of a B2C buyer.

Because of the nature of the transaction, B2B buyers usually need to go through
various steps, including sales representative interaction, negotiations, and
approvals before they can make a successful purchase. In short, B2B eCommerce
businesses must adapt to a more seamless transaction building advanced
functionality quote management, price negotiation, easy ordering, order and
inventory management for the B2B market.

According to Statista.com in 2019 the largest ecommerce markets are:

1. China:          $740 billion
2. United States:  $561 billion
3. United Kingdom: $93 billion
4. Japan:          $87 billion
5. Germany:        $77 billion
6. France:         $55 billion
7. South Korea:    $69 billion
8. Canada:         $41 billion




 1. Amazon:     $315.5 billion
 2. Apple:      $309.5 billion
 3. Google:     $309 billion

4. Microsoft: $251.2 billion

5. Visa: $177.9 billion

6. Facebook: $159 billion

7. Alibaba: $131.2 billion

8. Tencent: $130.9 billion

 9. McDonald's: $130.4 billion
10. AT&T:       $108.4 billion


During 2020, Digital Brand Media & Marketing Group, Inc. will initiate a
significant effort to raise positive awareness of DBMM's growth potential on a
global basis. The Company had to defer its 2019 plans until certain SEC Matters
regarding the delinquent filings brought current in July 2018, remain open. The
strategic outreach will be directed at investors around the world who understand
the digital marketplace and its expanding influence on consumer decisions. DBMM
will target new investors through a global digital and traditional integrated
investor outreach campaign which will be run by Digital Clarity, with third
parties, as required, for distribution. In all areas, the Company will act in
the interests of all stakeholders.

In the full industry context of dramatic expansion of digital footprints, there
has been no direct correlation between DBMM's revenues and its share price.
Economic and industry analysts have opined that the industry multiple continues
to grow to, in some cases, 25-30 times revenues. DBMM will expand its client and
geographic scale, thus increasing revenues. There were matters outside of DBMM's
control which caused growth to be in neutral. With capital infusion, 2020 will
follow the model of a growing client base and geographic reach until it achieves
a TBD level of profitability. This benchmark will replicate successful industry
models in digital technology and marketing.


DBMM has been honing its commercial model since the acquisition of Digital
Clarity ("DC") in 2011 which has been cash-flow positive as an operating company
since its acquisition. External events outside of DBMM's control has precluded
the growth expected to this point, however, its margins will continue to be
strong on an annual basis, and once the business reaches appropriate scale with
assumed profitability and cross-over point, DBMM will be a very successful
business for all of its stakeholders.

The growth trajectory anticipated is expected during 2020. Once that occurs, the
clients benefit immediately due to a wider range of resources; the shareholders
will benefit as the market cap grows. The media market multiple far exceeds the
"old" manufacturing multiples, as digital technology and marketing has become
one of the fastest growing industries in the world today.

DBMM's place in the sector is strong. The industry environment continues to grow
exponentially and the future of digital marketing as an essential strategy for
any consumer-facing business has been proven over-and-over as certain retail
businesses are forced to close their doors for lack of or ineffective digital
presence. DBMM's brand, Digital Clarity, increases its valuation with client
case studies and industry awards resulting in its being considered a leader in
the sector for its size. DBMM's increasing client base, coupled with decreasing
certain kind of debt and expenses, positions the Company to attract mezzanine
financing, something sought after by many and achieved by few.

Coincidently, business development has slowed down temporarily due to Brexit
unease in the UK and clients concern about trade issues with or without the
European Union and global concerns about the COVID-19, and its near- and
long-term implications. Since 2017, DBMM was able to attract new investors to
provide the financing required to complete all delinquent filings beginning with
the 2015-2016-2017 Super 10-K, and to keep DBMM current in SEC reporting, The
Company received a commitment for future working capital in order to grow the
Company in key markets, with the intent to move to DBMM profitability. At that
point, DBMM would not require future financing until it was ready to acquire 1-2
additional companies to complement and further develop the digital marketing
business. The Company also settled its long-standing litigation with a toxic
lender, with the settlement fully paid, thus closing the proceeding. Growth
capital will increase as the client base re-balanced.



Going forward, there will be an emphasis on investor awareness as soon as the
SEC enters a Final Order for the initial decision issued November 12, 2019. DBMM
has been current in its filings since July 2018 and are encouraged by the
outlook after normal trading has re-commenced which will not occur until Final
Order has been issued by the Commission. DBMM intends to make significant
strides in aggressively widening its brand exposure using a variety of digital
and social channels. There are investors around the globe who understand the
digital marketplace and its increasing influence on consumer decisions. DBMM is
targeting these new investors in the public market through a global digital and
traditional, integrated campaign which will be run by Digital Clarity, with
third parties, as required for distribution.

The expectations for fiscal year 2020 remains to return to normal trading
following the dismissal of the SEC Administrative Proceeding regarding
delinquent filings which were cured July 15, 2018. The Company intends to move
ahead thereafter to the scaled, growth plan in multiple geographies to benefit
all stakeholders, once the 2Q identified global pandemic's effect is quantified
and considered in business development. DBMM's brand, Digital Clarity, has
competitive advantage and intends to meet the challenge as it has in the past.


We had approximately $74,000 in cash and our working capital deficiency amounted to approximately $4.7 million at May 31, 2020.

During the nine-month period ended May 31, 2020, we used cash in our operating activities amounting to approximately $192,000. Our cash used in operating activities was comprised of our net loss from continuing operations of $305,128 adjusted for the following:

Change in fair value of derivative liability of $9,491.

Nonrecurring gain in extinguishment of debt of $ 192,977

Additionally, the following variations in operating assets and liabilities impacted our cash used in operating activity:

A decrease in our accounts payable and accrued expenses of approximately $18,747

An increase in our accrued salaries of approximately $140,500

During the quarter ended May 31, 2020, we generated cash from financing activities of $248,112, which consist of the proceeds from the issuance of loan payables.


We had approximately $21,000 in cash and our working capital deficiency amounted to approximately $4.2 million at May 31, 2019.

During the nine-month period ended May 31, 2019, we used cash in our operating
activities amounting to approximately $193,000. Our cash used in operating
activities was comprised of our net loss from continuing operations of $458,440
adjusted for the following:

Change in fair value of derivative liability of $12,409.

Additionally, the following variations in operating assets and liabilities impacted our cash used in operating activity:

An increase in our accounts payable and accrued expenses of approximately $5,776.

An increase in our accrued salaries of approximately $153,000.

During the quarter ended May 31, 2019, we generated cash from financing activities of $185,580, which consist of the proceeds from the issuance of loan payables.




                    Unaudited Consolidated Operating Results

                                        For the Three Months  Ended May 31,                                     For the Nine Months  Ended May 31,
                                                         Increase/            Increase/                                          Increase/            Increase/
                                Unaudited                (Decrease)            Decrease                 Unaudited                (Decrease)            Decrease
                           2020           2019         $ 2020 vs 2019       $ 2020 vs 2019         2020           2019         $ 2020 vs 2019       $ 2020 vs 2019

SALES                   $   82,001     $   88,530     $         (6,529 )                 -7 %   $  322,801     $  329,232     $         (6,431 )              -1.95 %

COST OF SALES               47,241        100,969              (53,728 )                -53 %      240,578        303,232              (62,654 )                -21 %

GROSS PROFIT                34,760        (12,439 )             47,199                              82,223         26,000               56,223

Sales, general and
administrative              92,860        127,183              (34,323 )                -27 %      345,249        381,608              (36,359 )                -10 %
Gain on
extinguishment of
debt                             -              -                    -                    -       (192,977 )            -              192,977                    -

EXPENSES                    92,860        127,183              (34,323 )                           152,272        381,608             (229,336 )

OPERATING LOSS             (58,100 )     (139,622 )            (81,522 )                 58 %      (70,049 )     (355,608 )           (285,559 )                 80 %

Interest expense            78,411         32,141               46,270                  144 %      257,147         90,423              166,724                  184 %
Other income               (12,577 )            -               12,577                   NM        (12,577 )            -               12,577                   NM
Change in fair value
of derivative
liability                    4,593         34,406              (29,813 )                -87 %       (9,491 )       12,409              (21,900 )               -176 %

TOTAL OTHER EXPENSE         70,427         66,547               29,034                   57 %      235,079        102,832              157,401                    8 %

NET LOSS                $ (128,527 )   $ (206,169 )   $        (77,642 )                        $ (305,128 )   $ (458,440 )   $       (153,312 )

(NM): not meaningful

We currently generate revenue through our Pay-Per-Click Advertising, Web Design, and Social Media.

For the three and nine-month period ended May 31, 2020 our primary sources of
revenue are the Pay-Per-Click Advertising. This primary source amounted to 53%
during the nine-month period ended May 31, 2020. Our secondary sources of
revenue are our Web Design and Social Media. These secondary sources amounted to
approximately 6% of our revenues.

During the three and nine-month periods ended May 31, 2020, our revenues were consistent when compared to the prior period.

During the three and nine-month periods ended May 31, 2020, our cost of sales decreased primarily from the receipt of an UK tax credit, and to a lesser extent, reduction in personal payroll.

The sales, general and administrative expenses during the three and nine-month
periods ended May 31, 2020 decrease from prior periods. Our sales, general and
administrative expenses decreased, primarily as a result of decreased in support
costs and legal expenses increased in connection with the Company's filings.

Interest expense, which include interest accrued on certain notes and loans,
increased during the nine-month period ended May 31, 2020, due to an additional
consideration to satisfy its obligations under certain unsecured loans payable.
During the three-month period ended May 31, 2020, interest expense increased due
to new loan payables compared to the prior period.

Other income, which include a non-recurring grant from the UK Government to support small businesses during the three and nine month periods ended May 31, 2020.



Gain on extinguishment of debt increased during the nine-month period ended May 31, 2020, when compared to the comparable prior period. The increase is attributable to an analysis of certain liabilities performed by the Company during such period which deemed them extinguished pursuant to statute of limitations. Such analysis was not performed in the comparable prior period.

The decrease on derivative liabilities is primarily attributable due decrease in
the Company's estimated volatility used in the assumptions to compute its fair
value at May 31, 2020 when compared to May 31, 2019.

© Edgar Online, source Glimpses

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