UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

[X]QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 

☒	QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended:July January 31, 20172022

[   ]TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 

☐	TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

Commission File Number: 333-182566

Line Up Advertisement, Inc.

(Exact name of registrant as specified in its charter)

2108 Santolan St. San Antonio Village,

Makati1111 South Roop Street, #100, Carson City, PhilippinesNV 89702

(Address of principal executive offices) (Zip Code)

(702) 478-2122+63-28-4412-083

(Registrant’s telephone number, including area code)

Securities registered pursuant to Section 12(b) of the Act:

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15 (d)15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.

Yes [X]☒ No [   ]☐

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).

Yes[X] Yes ☒ No [   ]☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Non-accelerated filer

[   ] (Do not check if a smaller reporting company)

Smaller reporting company

[X]

Indicate by check mark whether the registrant is a shell company (as defined in ruleRule 12b-2 of the Exchange Act). Yes ☐ No ☒

Yes [X] No [   ]

TheIndicate the number of shares outstanding of each of the Registrant'sissuer’s classes of common stock, as of October 1, 2017 was 760,000the latest practicable date: 21,990,013 common shares $0.001 par value per share.

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issued and outstanding as of March 10, 2022.

LINE UP ADVERTISEMENT, INC.

CGS INTERNATIONAL, INC.

QUARTERLY REPORT

TABLE OF CONTENTS

CGS INTERNATIONAL, INC.

CONDENSED FINANCIAL STATEMENTS

January 31, 2022

Unaudited

CGS INTERNATIONAL, INC. 

(formerly Tactical Services Inc.) 

BALANCE SHEETS

(UNAUDITED)

 The accompanying notes are an integral part of these unaudited financial statements

CGS INTERNATIONAL, INC. 

(formerly Tactical Services Inc.) 

STATEMENTS OF OPERATIONS 

(UNAUDITED)

The accompanying notes are an integral part of these unaudited financial statements

CGS INTERNATIONAL, INC. 

(formerly Tactical Services Inc.) 

STATEMENTS OF STOCKHOLDERS’ DEFICIT

(UNAUDITED)

The accompanying notes are an integral part of these unaudited financial statements

CGS INTERNATIONAL, INC. 

(formerly Tactical Services Inc.) 

STATEMENTS OF CASH FLOWS 

(UNAUDITED)

The accompanying notes are an integral part of these unaudited financial statements

CGS INTERNATIONAL, INC.

(formerly Tactical Services Inc.)

Notes to the Financial Statements

CGS INTERNATIONAL, INC.

(formerly Tactical Services Inc.)

Notes to the Financial Statements

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CGS INTERNATIONAL, INC.

(formerly Tactical Services Inc.)

Notes to the Financial Statements

3

CGS INTERNATIONAL, INC.

(formerly Tactical Services Inc.)

Notes to the Financial Statements

LINE UP ADVERTISEMENT, INC.

NOTES TO THE UNAUDITED CONDENSED INTERIM FINANCIAL STATEMENTS

Unaudited

July 31, 2017

CGS INTERNATIONAL, INC.

(formerly Tactical Services Inc.)

Notes to the Financial Statements

NOTE 1 – CONDENSED FINANCIAL STATEMENTS

CGS INTERNATIONAL, INC.

(formerly Tactical Services Inc.)

Notes to the Financial Statements

The Company was incorporated

On December 13, 2013,20, 2021, the “Company ratified and appointed Mr. Vagner Gomes Tome, surrendered for cancellation 7,000,000 shares of common stockVirgilio Acuna to serve as the Independent Chairman of the Company. On March 10, 2014, Ms. Alcantara, our current sole executive officer and director, acquiredCompany’s Board of Directors until the remaining 500,000 shares of common stocknext annual meeting of the Company formerly ownedCorporation or until his respective successor is duly appointed. The Board has also determined that Mr. Acuna is an “independent director” as defined by Mr. Tome for a purchase price of $0.05 per share. Ms. Alcantara is currently the holder of 65.7%Rule 4200(a)(15) of the issuedMarketplace Rules of The Nasdaq Stock Market, Inc.

Results of Operations

Results of Operations for the three months Ended January 31, 2022 and outstanding shares2021

The following summary of common stockour results of operations should be read in conjunction with our audited financial statements for the three months ended January 31, 2022 and 2021 which are included herein.

Our operating results for the three months ended January 31, 2022 and 2021 are summarized as follows:

As of the CompanyJanuary 31, 2022 and April 30, 2021, we had current assets of $39,556 and $0 cash, respectively, consisting of cash and prepaid assets .

As of January 31, 2021, we had total liabilities of $306,595 compared with $264,888 as of April 30, 2021. The decrease in total liabilities was attributed to the datesettlement of this quarterly report,debt during the period.

Cash Flows

Cashflow from Operating Activities

During the nine months ended January 31, 2022, we used $92,114 of cash for operating activities as compared to $25,250 during the nin months ended January 31, 2021. The increase was primarily attributed to increased professional and regulatory fees.

Cashflow from Financing Activities

During the nine months ended January 31, 2022, the Company received $126,804 of financing as compared to $25,250 during the nine months ended January 31, 2021. The increase is due to an increase in debt financing for the period.

Going Concern

These financial statements have not yet contacted any potential clients. Furthermore, we have not yet developed our systemsbeen prepared on a going concern basis, which implies that the Company will continue to realize its assets and services.discharge its liabilities in the normal course of business. The Company has not yet implementeda working capital deficit of $267,039 and has an accumulated deficit of $95,168,186. The continuation of the Company as a going concern is dependent upon the continued financial support from its business model and to date has generated no revenues.

We have been unableshareholders, the ability to raise additional funds to implement ourequity or debt financing, and the attainment of profitable operations and we do not believe that we currently have sufficient resources to do so without additional funding. As a result, our Board of Directors has begun to analyze strategic alternatives available to our Companyfrom the Company’s future business. These factors raise substantial doubt regarding the Company’s ability to continue as a going concern. Such alternativesThese financial statements do not include raising additional debt or equity financing or consummatingany adjustments to the recoverability and classification of recorded asset amounts and classification of liabilities that might be necessary should the Company be unable to continue as a merger or acquisition with a partner that may involve a change in our business plan.going concern.

Although our Board of Directors' preference would be to obtain additional funding to implement our business plan, the Board believes that it must consider all viable strategic alternatives that are in the best interests of our shareholders. Such strategic alternatives include a merger, acquisition, share exchange, asset purchase, or similar transaction in which our present management will no longer be in control of our CompanyManagement is currently looking at various options and our business operations will be replaced by that of our transaction partner. We believe we would be an attractive candidate for such a business combination due to the perceived benefits of being a publicly registered company, thereby providing a transaction partner access to the public marketplace to raise capital.

We have had preliminary discussions with other potential business combination partners, but have not signed a definitive agreement to engage in a strategic transaction. Any such business combination and the selection of a partner for such a business combination involves certain risks, including analyzing and selecting a business partner that is compatible to engage in a transaction with us or has business operations that are or will prove to be profitable. In the event we select a partner for a strategic transaction and sign a definitive agreement to consummate such a transaction, we will report this event on a Form 8-K to be filed with the Securities and Exchange Commission. If we are unable to locate a suitable business combination partner and are otherwise unable to raise additional funding, we will likely be forced to cease business operations.

Results of Operations

Revenue

We did not generate any revenue during the three-month periods ending July 31, 2017 and 2016.

Expenses

We incurred expenses in the amount of $22,023 during the three-month period ending July 31, 2017 and $4,016 during the three-month period ending July 31, 2016. The increase in expenses was caused by an increase in office and general expenses.

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Net Loss

We incurred a net loss of $22,023 and $4,016 during the three-month periods ending July 31, 2017 and 2016, respectively.

Liquidity and Capital Resources

As of July 31, 2017, we had $0 in cash, with liabilities of $141,990, as compared to $0 in cash and $119,967 in liabilities at April 30, 2017. Our current cash holdings will not satisfy our liquidity requirements and we will require additional financing to pursue our planned business activities.

Net cash used in operating activities for the three-month period ending July 31, 2017 and 2016 was $0 and $0, respectively. We had $0 net cash provided by financing activities for the three-month period ending July 31, 2017 and 2016.

As of July 31, 2017 and April 30, 2017, the Company has received $127,461 and $101,697 respectively, in loans and payment of expenses from a related party. The loans are payable on demand and without interest.

investment opportunities. Additional equity financing may not be available to us onupon acceptable terms, or at all, and thus we could fail to satisfy our future cash requirements. The failure to secure additional equity financing would result in need to seek capital from other resources such as debt financing, whichall. If adequate funds are not available on acceptable terms, the Company may not be availableable to take advantage of prospective business endeavours or opportunities which could significantly and materially restrict the Company’s operations. These financial statements do not include any adjustments to the Company. However, if such financing were available, because we are a Company with no operations to date, it would likely have to pay additional costs associated with high risk loansrecoverability and classification of recorded asset amounts and classification of liabilities that might be subject to an above market interest rate. At such time these funds are required, management would evaluate the terms of such debt financing. Ifnecessary should the Company cannot raise additional proceeds viabe unable to continue as a private placement of its common stock or secure debt financing, it would be required to cease business operations. As a result, investors may lose all of their investment.going concern.

The company has evaluated all the recent accounting pronouncements and believes that none of them will have a material effect on the company’s financial statement.

Off-balance sheet arrangements

The Company has no off-balance sheet arrangements that have or are reasonably likely to have a current or future effect or change on the Company’s financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources that are material to investors. The term “off-balance sheet arrangement” generally means any transaction, agreement or other contractual arrangement to which an entity unconsolidated with the Company is a party, under which the Company has (i) any obligation arising under a guarantee contract, derivative instrument or variable interest; or (ii) a retained or contingent interest in assets transferred to such entity or similar arrangement that serves as credit, liquidity or market risk support for such assets.

Item 3. Quantitative and Qualitative Disclosures about Market Risk

Not required.

Item 4. Controls and Procedures

Evaluation of Disclosure Controls and Procedures

We carried out an evaluation, under the supervision and with the participation of our management, including our Chief Executive Officer (who is our Principal Executive Officer) and our Chief Financial Officer (who is our Principal Financial Officer and Principal Accounting Officer), of the effectiveness of the design of our disclosure controls and procedures (as defined by Exchange Act Rules 13a-15(e) or 15d-15(e)) as of JulyJanuary 31, 2017,2022, pursuant to Exchange Act Rule 13a-15. Based upon that evaluation, our Principal Executive Officer and Principal Financial Officer concluded that our disclosure controls and procedures were not effective as of JulyJanuary 31, 20172022, in ensuring that information required to be disclosed by us in reports that we file or submit under the Exchange Act is recorded, processed, summarized, and reported within the time periods specified in the Securities and Exchange Commission’s (the “SEC”) rules and forms. This conclusion is based on findings that constituted material weaknesses. A material weakness is a deficiency, or a combination of control deficiencies, in internal control over financial reporting such that there is a reasonable possibility that a material misstatement of the Company’s interim financial statements will not be prevented or detected on a timely basis.

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In performing the above-referenced assessment, our management identified the following material weaknesses:

1.Lack of formal policies and procedures necessary to adequately review significant accounting transactions.The Company utilizes a third party independent contractor for the preparation of its financial statements. Although the financial statements and footnotes are reviewed by our management, we do not have a formal policy to review significant accounting transactions and the accounting treatment of such transactions. The third party independent contractor is not involved in the day to day operations of the Company and may not be provided information from management on a timely basis to allow for adequate reporting/consideration of certain transactions.

2.Audit Committee and Financial Expert

	1.	Lack of formal policies and procedures necessary to adequately review significant accounting transactions.The Company utilizes a third-party independent contractor for the preparation of its financial statements. Although the financial statements and footnotes are reviewed by our management, we do not have a formal policy to review significant accounting transactions and the accounting treatment of such transactions. The third-party independent contractor is not involved in the day-to-day operations of the Company and may not be provided information from management on a timely basis to allow for adequate reporting/consideration of certain transactions.
	2.	Audit Committee and Financial Expert. The Company does not have a formal audit committee with a financial expert, and thus the Company lacks the board oversight role within the financial reporting process.

Our management feels the weaknesses identified above have not had any material effect on our financial results. However, we are currently reviewing our disclosure controls and procedures related to these material weaknesses and expect to implement changes in the near term, including identifying specific areas within our governance, accounting, and financial reporting processes to add adequate resources to potentially mitigate these material weaknesses.

Our management team will continue to monitor and evaluate the effectiveness of our internal controls and procedures and our internal controls over financial reporting on an ongoing basis and is committed to taking further action and implementing additional enhancements or improvements, as necessary and as funds allow.

Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. Projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate. All internal control systems, no matter how well designed, have inherent limitations. Therefore, even those systems determined to be effective can provide only reasonable assurance with respect to financial statement preparation and presentation.

Changes in Internal Controls Over Financial Reporting

There were no changes in our internal controls over financial reporting that occurred during the quarterly period ended JulyJanuary 31, 20172022, that have materially affected, or are reasonably likely to materially affect, our internal controls over financial reporting. We believe that a control system, no matter how well designed and operated, cannot provide absolute assurance that the objectives of the control system are met, and no evaluation of controls can provide absolute assurance that all control issues and instances of fraud, if any, within any company have been detected.

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PART II - OTHER INFORMATION

Item 1. Legal Proceedings

The Company is not a party to any pending legal proceedings, and no such proceedings are known to be contemplated.

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds

None.

Item 3. Defaults Upon Senior Securities

None

Item 4. (Removed and Reserved)

Item 5. Other Information

Resignation of Independent Certifying Accountant

None

Item 4. (Removed and Reserved)

Item 5. Other Information

None

Item 6. Exhibits

Exhibit No.Document Description