FORWARD-LOOKING STATEMENTS

Statements made in this Annual Report that are not historical or current facts are "forward-looking statements" made pursuant to the safe harbor provisions of Section 27A of the Securities Act of 1933 (the "Act") and Section 21E of the Securities Exchange Act of 1934. These statements often can be identified by the use of terms such as"may,""will,""expect,""believe,""anticipate,""estimate,""approximate" or "continue," or the negative thereof.

We intend that such forward-looking statements be subject to the safe harbors for such statements.

We wish to caution readers not to place undue reliance on any such forward-looking statements, which speak only as of the date made. Any forward-looking statements represent management's commercially reasonable judgment as to what may occur in the future. However, forward-looking statements are subject to risks, uncertainties and important factors beyond our control that could cause actual results and events to differ materially from historical results of operations and events and those presently anticipated or projected. We disclaim any obligation subsequently to revise any forward-looking statements to reflect events or circumstances after the date of such statement or to reflect the occurrence of anticipated or unanticipated events.







                             RESULTS OF OPERATIONS

Our financial statements have been prepared assuming that we will continue as a going concern. To evaluate this assumption, the section below with the title of "GOING CONCERN" should be reviewed carefully. In addition, NOTE - 5 to the unaudited Consolidated Financial Statements should also be reviewed carefully.

Based on the assumption stated above, we have not included adjustments relating to the recoverability and realization of assets and classification of liabilities that might be necessary if we are not able to continue in operation.

Our business has been impacted by the COVID-19 pandemic with the authorities implementation of various preventive measures including, but not limited to, travel bans and restrictions, mandatory quarantine requirements, limited business activities and operations, and shelter-in-place orders. These measures have led to, and are continuing to lead to, business slowdowns or shutdowns worldwide. The global economy and financial markets have been adversely influenced as well. Considering the features of our business in the tourism and recreation industries, the COVID-19 pandemic has caused a reduction in the demand for recreational trips and activities. Our business has been experiencing the downturn with the COVID-19 pandemic. It is expected that our business will be resumed, at least, after the abolition of the travel restrictions and mandatory quarantine requirements.

We generated net revenues of $19,194 and $111,877 for three months ended March 31, 2021 and 2020, respectively. The significant drop in net revenues was essentially caused by the COVID-19 outbreak, which has been pandemic more than one year worldwide and adversely influenced our consulting service fee on sales and marketing of yachts.

The costs of revenue were $8,012 and $5,158 for three months ended March 31, 2021 and 2020, respectively. The rise in the cost of revenue was because the marketing expenses increased for business promotion purpose.

The gross profits were $11,182 and $106,719 for three months ended March 31, 2021 and 2020, respectively. The fall in gross profit was mainly caused by the COVID-19 pandemic, which unfavorably affected our consulting service fee on sales and marketing of yachts.

The general and administrative expenses were $279,856 and $176,347 for three months ended March 31, 2021 and 2020, respectively. The main reasons for the rise in the general and administrative expenses were that the company expanded its operations with increased consultancy charges on business planning and projects and staff costs. General and administrative expenses basically included the business expenses and corporate overhead.

The other expenses were $1,127,270 and $373 for three months ended March 31, 2021 and 2020, respectively. The fluctuation between these two periods ended was mainly due to the impairment loss on goodwill on the acquisition of a subsidiary $1,126,324 for three months ended March 31, 2021.

The net losses were $1,395,944 and $79,330 for three months ended March 31, 2021 and 2020, respectively. The main reason for the increased losses was the impairment loss on goodwill on the acquisition of a subsidiary $1,126,324.

LIQUIDITY AND CAPITAL RESOURCES

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The total assets were $1,302,807 and $881,685 as of March 31, 2021 and December 31, 2020, respectively. The upturn in total assets between these two dates was chiefly due to the increase in the current assets, which were $1,067,247 and $635,410 as of March 31, 2021 and December 31, 2020 respectively. The boost in the current assets was mainly caused by the rise in deposits and prepayments, which were $393,531 and $77,213 as of March 31, 2021 and December 31, 2020, respectively.

The total liabilities were $1,626,778 and $733,675 as of March 31, 2021 and December 31, 2020, respectively. The boost in total liabilities between these two dates was chiefly due to the increase in the current liabilities, which were $1,536,738 and $641,914 as of March 31, 2021 and December 31, 2020, respectively. The rise in the current liabilities was mainly led by the increase in the accrued liabilities and other payables $764,986, receipt in advance $15,538, loan from third party $152,588 as of March 31, 2021.

As of March 31, 2021 and December 31, 2020, the accumulated deficits were $2,666,434 and $1,300,505 respectively. The increase in the accumulated deficits was basically caused by the decreased net revenues, which negatively affected by the COVID-19 pandemic, and the increased other expenses, which included the impairment loss on goodwill on the acquisition of a subsidiary $1,126,324. The total liabilities and shareholders' equity as of March 31, 2021 and December 31, 2020 were $1,302,807 and $881,685, respectively.

Cash Flows from Operating Activities

The net cash used in operating activities were $526,964 and 224,382 for three months ended March 31, 2021 and 2020, respectively. For three months ended March 31, 2021, the most affected the net cash used in operating activities were the net loss $1,395,944, offset by the impairment loss on goodwill on the acquisition of a subsidiary $1,126,324, receipt in advance $15,538.

Cash Flows from Investing Activities

The net cash generated from investing activities were $5,203 and $0 for three months ended March 31, 2021 and 2020, respectively. The sum represented the cash from acquisition of a subsidiary for three months ended March 31, 2021,

Cash Flows from Financing Activities

The net cash generated from financing activities were $618,777 for three months ended March 31, 2021 and the net cash used in financing activities were $21,703 for three months ended March 31, 2020. The fluctuation between these two periods ended were mainly due to the proceeds from issuance of common stocks $464,199 and proceeds from third party loan $152,588.





Going Concern

The condensed consolidated financial statements have been prepared "assuming that we will continue as a going concern," which contemplates that we will realize our assets and satisfy our liabilities and commitments in the ordinary course of business.

The Company has suffered from net loss of $1,395,944 during the three months ended March 31, 2021. Also, at March 31, 2021, the Company has incurred the accumulated deficits of $2,666,434 and working capital deficit of $469,491. In addition, with respect to the ongoing and evolving coronavirus (COVID-19) outbreak, which was designated as a pandemic by the World Health Organization on March 11, 2020, the outbreak has caused substantial disruption in international economies and global trades and if repercussions of the outbreak are prolonged, could have a significant adverse impact on the Company's business.

The continuation of the Company as a going concern through March 31, 2022 is dependent upon the continued financial support from its shareholders. Management believes the Company is currently pursuing additional financing for its operations. However, there is no assurance that the Company will be successful in securing sufficient funds to sustain the operations.

Our management believes that the current actions to obtain additional funding and implement our strategic plans provide the opportunity for us to continue as a going concern. There are no assurances that additional funds will be available when needed from any source or, if available, will be available on terms that are acceptable to us.

PLAN OF OPERATION AND FUNDING

We expect that working capital requirements will continue to be funded through a combination of our existing funds and further issuances of securities. Our working capital requirements are expected to increase in line with the growth of our business.


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Existing working capital, further advances and debt instruments, and anticipated cash flow are expected to be adequate to fund our operations over the next six months. We have no lines of credit or other bank financing arrangements. Generally, we have financed operations to date through the proceeds of the private placement of equity and debt instruments. In connection with our business plan, management anticipates additional increases in operating expenses and capital expenditures relating to: (i) developmental expenses associated with business and (ii) marketing expenses. We intend to finance these expenses with further issuances of securities, and debt issuances. Thereafter, we expect we will need to raise additional capital and generate revenues to meet long-term operating requirements. Additional issuances of equity or convertible debt securities will result in dilution to our current shareholders. Further, such securities might have rights, preferences or privileges senior to our common stock. Additional financing may not be available upon acceptable terms, or at all. If adequate funds are not available or are not available on acceptable terms, we may not be able to take advantage of prospective new business endeavors or opportunities, which could significantly and materially restrict our business operations.

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