UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
(Mark One)
☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended: December 31, 2023
or
☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from ____________ to _____________
Commission File Number: 000-32361
YUMMIES, INC.
(Exact name of registrant as specified in its charter)
| Nevada | | 87-0615629 |
(State or other jurisdiction of
incorporation or organization) | | (I.R.S. Employer
Identification No.) |
6F., No.516, Sec. 1, Neihu Road, Neihu District., Taipei City 114, Taiwan
(Address of principal executive offices)
+88 6287511886
(Registrant’s telephone number, including area code)
(Former name, former address and former fiscal year, if changed since last report)
Securities registered pursuant to Section 12(b) of the Act:
| Title of each class | | Trading Symbol(s) | | Name of each exchange on which registered |
| None | | N/A | | N/A |
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 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 ☒ No ☐
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, 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.
| | Large accelerated filer ☐ | | Accelerated filer ☐ | |
| | Non-accelerated filer ☒ | | Smaller reporting company ☒ | |
| | | | Emerging growth company ☒ | |
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for comply with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ☒
As of July 29, 2024, there were 449,626,500 shares of the registrant’s common stock issued and outstanding.
TABLE OF CONTENTS
PART I
FINANCIAL INFORMATION
| ITEM 1. | FINANCIAL STATEMENTS. |
YUMMIES, INC.
FINANCIAL STATEMENTS
YUMMIES, INC.
CONDENSED CONSOLIDATED INTERIM BALANCE SHEETS
DECEMBER 31, 2023 AND SEPTEMBER 30, 2023
| | | December 31,
2023
(unaudited) | | | September 30,
2023 | |
| Assets | | | | | | |
| | | | | | | |
| Current Assets: | | | | | | |
| Bank | | $ | 215 | | | $ | 176 | |
| Total current assets | | | 215 | | | | 176 | |
| | | | | | | | | |
| Total Assets | | $ | 215 | | | $ | 176 | |
| | | | | | | | | |
| Liabilities and Stockholders’ Equity | | | | | | | | |
| | | | | | | | | |
| Current Liabilities: | | | | | | | | |
| Accounts payable | | | 10,826 | | | | 13,948 | |
| Notes payable, stockholders | | | -- | | | | -- | |
| Total net current liabilities | | | 10,826 | | | | 13,948 | |
| | | | | | | | | |
| Stockholders’ Deficit: | | | | | | | | |
| Common stock, $0.0001 par value, 450,000,000 shares authorized, 449,627,500 issued and outstanding as of December 31, 2023 and September 30, 2023 | | | | | | | | |
| Preferred stock $0.0001 par value, 50,000,000 shares authorized, -0- and -0- issued and outstanding | | | 47,217 | | | | 47,217 | |
| Additional paid-in capital | | | 291,889 | | | | 288,404 | |
| Accumulated deficit | | | (349,717 | ) | | | (349,393 | ) |
| | | | | | | | | |
| Total Stockholders’ Deficit | | | (10,611 | ) | | | (13,772 | ) |
| | | | | | | | | |
| Total Liabilities and Stockholders’ Deficit | | $ | 215 | | | $ | 176 | |
The accompanying notes are an integral part of the condensed consolidated interim financial statements.
YUMMIES, INC.
CONDENSED CONSOLIDATED INTERIM STATEMENTS OF OPERATIONS
THREE MONTHS ENDED DECEMBER 31, 2023 AND DECEMBER 31 2022
(Unaudited)
| | | Three Months
Ended
December 31,
2023 | | | Three Months
Ended
December 31,
2022 | |
| Revenues – related party | | $ | - | | | $ | - | |
| | | | | | | | | |
| Expenses, general and administrative | | | (324 | ) | | | (10,687 | ) |
| | | | | | | | | |
| Operating loss | | | (324 | ) | | | (10,687 | ) |
| | | | | | | | | |
| Loss before provision for income taxes | | | (324 | ) | | | (10,687 | ) |
| | | | | | | | | |
| Provision for income taxes | | | - | | | | - | |
| | | | | | | | | |
| Net loss | | $ | (324 | ) | | $ | (10,687 | ) |
| | | | | | | | | |
| Weighted average shares outstanding | | $ | 449,626,500 | | | $ | 449,626,500 | |
| | | | | | | | | |
| Net loss per share | | | - | | | | - | |
The accompanying notes are an integral part of the condensed consolidated interim financial statements.
YUMMIES, INC.
CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ DEFICIT
PERIOD ENDED DECEMBER 31, 2023
(Unaudited)
| | | | | | | | | Additional | | | | | | Total Stock | |
| | | Common Stock | | | Paid-in | | | Accumulated | | | Equity | |
| | | Shares | | | Amount | | | Capital | | | Deficit | | | (Deficit) | |
| | | | | | | | | | | | | | | | |
| Balance, September 30, 2022 | | | 449,626,500 | | | | 47,217 | | | | 257,836 | | | | (286,318 | ) | | | 18,735 | |
| | | | | | | | | | | | | | | | | | | | | |
| Contribution by shareholder for company expenses paid directly by shareholder | | | -- | | | | -- | | | | 1,300 | | | | -- | | | | 1,300 | |
| | | | | | | | | | | | | | | | | | | | | |
| Net loss for the period ended December 31, 2022 | | | --- | | | | -- | | | | -- | | | | (10,687 | ) | | | (10,687 | ) |
| | | | | | | | | | | | | | | | | | | | | |
| Balance, December 31, 2022 | | | 449,626,500 | | | | 47,217 | | | | 259,136 | | | | (297,005 | ) | | | 9,348 | |
| | | | | | | | | | | | | | | | | | | | | |
| Balance, September 30, 2023 | | | 449,626,500 | | | | 47,217 | | | | 288,404 | | | | (349,393 | ) | | | (13,772 | ) |
| | | | | | | | | | | | | | | | | | | | | |
| Contribution by shareholder for company expenses paid directly by shareholder | | | -- | | | | -- | | | | 3,485 | | | | -- | | | | 3,485 | |
| | | | | | | | | | | | | | | | | | | | | |
| Net loss for the period ended September 30, 2023 | | | -- | | | | -- | | | | -- | | | | (324 | ) | | | (324 | ) |
| | | | | | | | | | | | | | | | | | | | | |
| Balance, December 31, 2023 | | | 449,626,500 | | | | 47,217 | | | | 291,889 | | | | (349,717 | ) | | | (10,611 | ) |
The accompanying notes are an integral part of the condensed consolidated interim financial statements
YUMMIES, INC.
CONDENSED CONSOLIDATED INTEROM STATEMENTS OF CASH FLOWS
THREE MONTHS ENDED DECEMBER 31, 2023 AND 2022
(Unaudited)
| | | Three Months Ended
December 31,
2023 | | | Three Months Ended
December 31,
2022 | |
| Cash flows from operating activities: | | | | | | | | |
| Net loss | | $ | (324 | ) | | $ | (10,687 | ) |
| Adjustments to reconcile net loss to cash provided by operating activities: | | | | | | | | |
| (Decrease) / Increase in accounts payable | | | (3,122 | ) | | | 9,000 | |
| Net cash used in operating activities | | | (3,466 | ) | | | (1,687 | ) |
| | | | | | | | | |
| Cash flows from investing activities | | | | | | | | |
| Cash flows from financing activities: | | | | | | | | |
| Contribution from a shareholder | | | 3,485 | | | | 1,300 | |
| Net cash generated from financing activities | | | 3,485 | | | | 1,300 | |
| Net cash generated from financing activities | | | -- | | | | -- | |
| Net increase (decrease) in cash | | | 39 | | | | (387 | ) |
| | | | | | | | | |
| Cash, beginning of period | | | 176 | | | | 420 | |
| | | | | | | | | |
| Cash, end of period | | $ | 215 | | | $ | 33 | |
| | | | | | | | | |
| Supplemental disclosure of cash flow information: | | | - | | | | - | |
| Interest paid | | $ | - | | | $ | - | |
The accompanying notes are an integral part of the condensed consolidated interim financial statements.
YUMMIES, INC.
NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS
| 1. | Summary of Business and Significant Accounting Policies |
The Company was incorporated under the laws of the State of Nevada on June 10, 1998 and commenced it business as consulting, training and event Management Company through its subsidiary.
The accompanying financial statements have been prepared in accordance with generally accepted accounting principles (“GAAP”) as promulgated in the United States of America.
For purposes of the statement of cash flows, the Company considers all highly liquid investments purchased with a maturity of three months or less to be cash or cash equivalents.
The net loss per share calculation is based on the weighted average number of shares outstanding during the period.
Net loss per common share is computed pursuant to section 260-10-45 of the FASB Accounting Standards Codification. Basic net loss per common share is computed by dividing net loss by the weighted average number of shares of common stock outstanding during the period. Diluted net loss per common share is computed by dividing net loss by the weighted average number of shares of common stock and potentially dilutive outstanding shares of common stock during the period to reflect the potential dilution that could occur from common shares issuable through contingent share arrangements, stock options and warrants. There were no potentially dilutive common shares outstanding for the years ended December 31, 2023 and 2022.
The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect certain reported amounts and disclosures. Accordingly, actual results could differ from those estimates.
| | f. | Fair Value of Financial Instruments |
ASC 820-10 requires entities to disclose the fair value of financial instruments, both assets and liabilities recognized and not recognized on the balance sheet, for which it is practicable to estimate fair value. ASC 820-10 defines the fair value of a financial instrument as the amount at which the instrument could be exchanged in a current transaction between willing parties. As of December 31, 2023 and 2022, the carrying value of certain financial instruments approximates fair value due to the short-term nature of such instruments.The Company follows paragraph 825-10-50-10 of the FASB Accounting Standards Codification for disclosures about fair value of its financial instruments and paragraph 820-10-35-37 of the FASB Accounting Standards Codification (“Paragraph 820-10-35-37”) to measure the fair value of its financial instruments. Paragraph 820-10-35-37 establishes a framework for measuring fair value in accounting principles generally accepted in the United States of America (U.S. GAAP), and expands disclosures about fair value measurements. To increase consistency and comparability in fair value measurements and related disclosures, Paragraph 820-10-35-37 establishes a fair value hierarchy which prioritizes the inputs to valuation techniques used to measure fair value into three (3) broad levels. The fair value hierarchy gives the highest priority to quoted prices (unadjusted) in active markets for identical assets or liabilities and the lowest priority to unobservable inputs. The three (3) levels of fair value hierarchy defined by Paragraph 820-10-35-37 are described below:
Level 1 - Quoted market prices available in active markets for identical assets or liabilities that the Company has the ability to access at the measurement date.
Level 2 - Inputs include quoted prices for similar assets and liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the asset or liability (e.g., interest rates, yield curves, etc.), and inputs that are derived principally from or corroborated by observable market data by correlation or other means (market corroborated inputs).
Level 3 - Unobservable inputs that reflect our assumptions about the assumptions that market participants would use in pricing the asset or liability.
The Company’s financial instruments are consisted principally of accrued expenses and short term debt. The carrying amounts of such financial instruments in the accompanying balance sheets approximate their fair values due to their relatively short-term nature.
| | g. | Recently Issued Accounting Pronouncements |
There are no recently Issued Accounting Pronouncements that may have a material impact on financial position and results.
| | h. | Principles of Consolidation |
The accompanying consolidated financial statements include the accounts of the Company and its wholly-owned subsidiary, Yummies, SG. All significant intercompany transactions and balances have been eliminated.
| | i. | Foreign Currency Translation |
The Company follows Section 830-10-45 of the FASB Accounting Standards Codification (“Section 830-10-45”) for foreign currency translation to translate the financial statements of the foreign subsidiary from the functional currency, generally the local currency, into U.S. Dollars. Section 830-10-45 sets out the guidance relating to how a reporting entity determines the functional currency of a foreign entity (including of a foreign entity in a highly inflationary economy), re-measures the books of record (if necessary), and characterizes transaction gains and losses. the assets, liabilities, and operations of a foreign entity shall be measured using the functional currency of that entity. An entity’s functional currency is the currency of the primary economic environment in which the entity operates; normally, that is the currency of the environment, or local currency, in which an entity primarily generates and expends cash.
The functional currency of each foreign subsidiary is determined based on management’s judgment and involves consideration of all relevant economic facts and circumstances affecting the subsidiary. Generally, the currency in which the subsidiary transacts a majority of its transactions, including billings, financing, payroll and other expenditures, would be considered the functional currency, but any dependency upon the parent and the nature of the subsidiary’s operations must also be considered. If a subsidiary’s functional currency is deemed to be the local currency, then any gain or loss associated with the translation of that subsidiary’s financial statements is included in accumulated other comprehensive income. However, if the functional currency is deemed to be the U.S. Dollar, then any gain or loss associated with the re-measurement of these financial statements from the local currency to the functional currency would be included in the consolidated statements of comprehensive income (loss). If the Company disposes of foreign subsidiaries, then any cumulative translation gains or losses would be recorded into the consolidated statements of comprehensive income (loss). If the Company determines that there has been a change in the functional currency of a subsidiary to the U.S. Dollar, any translation gains or losses arising after the date of change would be included within the statement of comprehensive income (loss). Based on an assessment of the factors discussed above, the management of the Company determined the relevant subsidiaries’ local currencies to be their respective functional currencies.
As shown in the accompanying financial statements, the Company incurred a net loss of $324 during the three months ended December 31, 2022 and accumulated losses of $349,717 since inception at June 10, 1998. The Company’s current liabilities exceed its current assets by $10,611 at December 31, 2023. These factors create an uncertainty as to the Company’s ability to continue as a going concern. The ability of the Company to continue as a going concern is dependent upon the success of raising additional capital through the issuance of common stock and the ability to generate sufficient operating revenue. The financial statements do not include any adjustments that might be necessary should the Company be unable to continue as a going concern.
| 2. | Issuance of Common Stock |
On December 17, 2018, the Company amended and restated its articles of incorporation. The authorized shares of common stock were increased from 50,000,000 shares to 450,000,000 shares and the par value was changed from $0.001 to $0.0001 per share. The change has been reflected retroactively in the accompanying financial statements. In addition, the Company authorized the issuance of 50,000,000 shares of preferred stock having a par value of $0.0001 per share. As of December 31, 2020, no preferred shares have been issued.
In February 2019, pursuant to an exemption from the registration requirements of the Securities Act of 1933, as amended, (the “Securities Act”) provided by Section 4(a)(2) and Regulation S thereunder, the Company sold 446,472,607 shares of its common stock at a price of $0.0001 per share for an aggregate price of $44,647. Issuance costs of $45,725 were offset against additional paid in capital in the accompanying financial statements.
In October, 2019, the Company issued 3,527,393 shares of its $.0001 par value common stock for an aggregate price of $352.74.
In August 2020, the Company issued 121,500 shares of its $.0001 par value common stock for an aggregate price of $12.15.
| 3. | Warrants and Stock Options |
No options or warrants are outstanding to acquire the Company’s common stock.
The Company has no taxable income under Federal or State tax laws. The Company has loss carry forwards totaling $349,717 and $297,005 and during the three-month period ended December 31, 2023 and 31 December 2022 that may be offset against future federal income taxes. If not used, the carry forwards will expire between 2024 and 2038. Due to the Company being in the development stage and incurring net operating losses, a valuation allowance has been provided to reduce the deferred tax assets from the net operating losses to zero. Therefore, there are no tax benefits recognized in the accompanying statement of operations. The income tax effect of the Tax Cuts and Jobs Act have been completed in accordance with FASB ASC740.
Management has evaluated subsequent events through July 29, 2024, the date on which the financial statements were available to be issued.
| ITEM 2. | MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS. |
The following management’s discussion and analysis should be read in conjunction with our financial statements and the notes thereto and the other financial information appearing elsewhere in this report.
Use of Terms
Except as otherwise indicated by the context and for the purposes of this report only, references in this report to “we,” “our” and the “Company” refer to Yummies, Inc., a Nevada corporation.
Special Note Regarding Forward Looking Statements
In addition to historical information, this report contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, or the Securities Act, and Section 21E of the Securities Exchange Act of 1934, as amended, or the Exchange Act. We use words such as “believe,” “expect,” “anticipate,” “project,” “target,” “plan,” “optimistic,” “intend,” “aim,” “will” or similar expressions which are intended to identify forward-looking statements. Such statements include, among others, those concerning any projections of earnings, revenue, margins or other financial items; any statements of the plans, strategies and objectives of management for future operations; any statements regarding future economic conditions or performance; as well as all assumptions, expectations, predictions, intentions or beliefs about future events. You are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, as well as assumptions, which, if they were to ever materialize or prove incorrect, could cause the results of the Company to differ materially from those expressed or implied by such forward-looking statements.
Readers are urged to carefully review and consider the various disclosures made by us in this report and our other filings with the Securities and Exchange Commission, or the SEC. These reports attempt to advise interested parties of the risks and factors that may affect our business, financial condition and results of operations and prospects. The forward-looking statements made in this report speak only as of the date hereof and we disclaim any obligation, except as required by law, to provide updates, revisions or amendments to any forward-looking statements to reflect changes in our expectations or future events.
Overview
The Company was originally incorporated in the State of Nevada on June 11, 1998. The Company was formed with the stated purpose of engaging in the business of the rental of boats and personal water craft but was not successful in that business. For the past number of years, the Company has checked the “shell company” box on the cover page of its Form 10-K annual reports filed with the Securities and Exchange Commission.
On August 29, 2018, the Company entered into and closed the transactions contemplated by a stock purchase agreement between the Company, Wei-Hsien Lin, and Susan Santage, the sole director, President, Treasurer, Secretary and controlling stockholder of the Company prior to that date. Pursuant to the stock purchase agreement, Mr. Lin purchased 1,690,000 shares of the Company’s common stock from Ms. Santage for $325,000, or $0.19231 per share. Such shares represented approximately 67.5% of the Company’s issued and outstanding common stock as of the closing. Accordingly, as a result of the transaction, on August 29, 2018, there was a change of control of the Company and Mr. Lin became the controlling stockholder of the Company.
In connection with the closing of the stock purchase transaction, Susan Santage resigned from all offices of the Company that she held and Mr. Wei-Hsien Lin was appointed as the President, Treasurer, and Secretary of the Company, effective as of August 29, 2018. Mr. Lin was also appointed to the board of directors (the “Board”) of the Company effective as of August 29, 2018. Ms. Santage resigned from the board of directors of the Company effective automatically on the 10th day following the Company’s filing and mailing of an information statement on Schedule 14f-1. Such information statement was mailed on August 31, 2018, so Ms. Santage’s resignation was effective as of September 10, 2018.
On May 7, 2019, the Board of Directors of the Company, by written consent determined to increase the size of the Board to three (3) members and appointed Ms. Chi-Yin Lee and Ms. Yu-Jo Liao to the Board to fill the vacancies on the Board created by the increase.
On June 18, 2019, the Company formed a wholly owned subsidiary under the laws of Singapore, Yummies Knowledge Management Pte. Ltd., or the Singapore Subsidiary. The Singapore Subsidiary is authorized to issue 5,000 ordinary shares, denominated in Singapore dollars, all of which have been issued to the Company and are outstanding. The address of the Singapore Subsidiary is 82 Lorong 23 Geylang, #06-05, Atrix Building, Singapore 88409, and the telephone number is +65 6338 8801. The Managing Director of the Singapore Subsidiary is Mr. Wei-Hsien Lin, who is also the Chairman and Chief Executive Officer of the Company.
The principal activities of the Singapore Subsidiary are in the field of management consultancy services and the provision of corporate training programs and motivational courses in various areas of management. More specifically, the Singapore Subsidiary has begun assisting an affiliated company, Doers Knowledge Management Pte Ltd (“Doers Singapore”), a private Singapore based company owned by Mr. Lin, with marketing, promotional and management training activities relating to an event organized by Doers Singapore titled “Heartland Enterprises: Transform and Thrive,” a Bintan Island cruise for up to 150 entrepreneur-attendees took place from July 26 to July 28, 2019 on the cruise ship Genting Dream (the “Heartland Event”). The Singapore Subsidiary will provide similar services to future educational cruises and other programs to be sponsored by Doers Singapore and is being paid for the services it provides to Doers Singapore. Immediately following this Bintan Island cruise, the Singapore Subsidiary began providing educational site visits to entrepreneurs who have participated in the cruise and to sponsor related business development skill building seminars, all of which are expected to generate revenues to the Singapore Subsidiary. The Singapore Subsidiary will also sponsor its own educational programs separate from those of Doers Singapore.
As a result of the formation of the Singapore Subsidiary and the Singapore Subsidiary’s beginning of its business activities as described above, as of June 25, 2019, the Company ceased to be a “shell company,” as that term is defined in Rule 405 of the Securities Act of 1933, as amended, and Rule 12b-2 of the Exchange Act of 1934, as amended. On July 1, 2019, the Company filed a Form 8-K with the SEC indicating that the Board had made the determination that the Company had left shell company status on June 25, 2019. As such, in its future periodic reports to be filed with the SEC beginning with this annual report on Form 10-K, the Company will change the reporting of its status as a shell company and will check the box to indicate that the Company is not a shell company.
Going Concern
As shown in the accompanying financial statements, the Company incurred a net loss of $324 during the three months ended December 31, 2022 and accumulated losses of $349,717 since inception at June 10, 1998. The Company’s current liabilities exceed its current assets by $10,611 at December 31, 2023. These factors create an uncertainty as to the Company’s ability to continue as a going concern. The ability of the Company to continue as a going concern is dependent upon the success of raising additional capital through the issuance of common stock and the ability to generate sufficient operating revenue. The financial statements do not include any adjustments that might be necessary should the Company be unable to continue as a going concern
Emerging Growth Company
We qualify as an “emerging growth company” under the Jumpstart Our Business Startups Act of 2012, or the JOBS Act. As a result, we are permitted to, and intend to, rely on exemptions from certain disclosure requirements. For so long as we are an emerging growth company, we will not be required to:
| ● | have an auditor report on our internal controls over financial reporting pursuant to Section 404(b) of the Sarbanes-Oxley Act; |
| ● | comply with any requirement that may be adopted by the Public Company Accounting Oversight Board regarding mandatory audit firm rotation or a supplement to the auditor’s report providing additional information about the audit and the financial statements (i.e., an auditor discussion and analysis); |
| ● | submit certain executive compensation matters to shareholder advisory votes, such as “say-on-pay” and “say-on-frequency;” and |
| ● | disclose certain executive compensation related items such as the correlation between executive compensation and performance and comparisons of the chief executive officer’s compensation to median employee compensation. |
In addition, Section 107 of the JOBS Act also provides that an emerging growth company can take advantage of the extended transition period provided in Section 7(a)(2)(B) of the Securities Act for complying with new or revised accounting standards. In other words, an emerging growth company can delay the adoption of certain accounting standards until those standards would otherwise apply to private companies. We have elected to take advantage of the benefits of this extended transition period. Our financial statements may therefore not be comparable to those of companies that comply with such new or revised accounting standards.
We will remain an “emerging growth company” for up to five years, or until the earliest of (i) the last day of the first fiscal year in which our total annual gross revenues exceed $1 billion, (ii) the date that we become a “large accelerated filer” as defined in Rule 12b-2 under the Exchange Act, which would occur if the market value of our common shares that is held by non-affiliates exceeds $700 million as of the last business day of our most recently completed second fiscal quarter or (iii) the date on which we have issued more than $1 billion in non-convertible debt during the preceding three year period.
Results of Operations
The Company is a development stage company and conducted the following operations during the three months ended December 31, 2023 and 2022.
The Company’s revenues for the three months ended December 31, 2023 and 2022 were $0 and $0, respectively.
General and administrative expenses for the three months ended December 31, 2023 were $324, as compared to $10,687 for the three months ended December 31, 2022, an approximately 97% decrease.
As a result of the foregoing factors, we had a net loss of $324 for the three months ended December 31, 2023, as compared to $10,687 for the three months ended December 31, 2022.
Liquidity and Capital Resources
As of December 31, 2023, the Company had minimal current assets of $215 to fund its operations. The Company intends to maintain its operations in a manner which will minimize expenses but believes that present cash resources are not sufficient for its operations for the next 12 months. However, it believes that present officers and stockholders will provide any necessary funds through either the purchase of stock or loans to the Company. However, management could be incorrect in its belief and no commitment has been made by any party to further fund the Company’s operations.
Net cash used in operating activities was $3,466 for the three months ended December 31, 2023, as compared to $1,687 for the three months ended December 31, 2022.
Net cash generated from financing activities was $3,485, mainly due to the amount contribution from a shareholder.
We had no investing activities in the three months ended December 31, 2023 and 2022.
Off-Balance Sheet Arrangements
We have no off-balance sheet arrangements that have or are reasonably likely to have a current or future effect on our financial condition, changes in financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources.
| ITEM 3. | QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK. |
Not applicable.
| ITEM 4. | CONTROLS AND PROCEDURES. |
Evaluation of Disclosure Controls and Procedures
We maintain disclosure controls and procedures (as defined in Rule 13a-15(e) under the Exchange Act). Disclosure controls and procedures refer to controls and other procedures designed to ensure that information required to be disclosed in the reports we file or submit under the Exchange Act is recorded, processed, summarized and reported within the time periods specified in the rules and forms of the SEC and that such information is accumulated and communicated to our management, including our principal executive officer and principal financial officer, as appropriate, to allow timely decisions regarding required disclosure.
As required by Rule 13a-15(e) of the Exchange Act, our management has carried out an evaluation, with the participation and under the supervision of our principal executive officer and principal financial officer, of the effectiveness of the design and operation of our disclosure controls and procedures, as of December 31, 2021. Based upon, and as of the date of this evaluation, our principal executive officer and principal financial officer determined that our disclosure controls and procedures were effective.
Changes in Internal Control Over Financial Reporting
We regularly review our system of internal control over financial reporting and make changes to our processes and systems to improve controls and increase efficiency, while ensuring that we maintain an effective internal control environment. Changes may include such activities as implementing new, more efficient systems, consolidating activities, and migrating processes.
There were no changes in our internal controls over financial reporting during the quarter ended December 31, 2022 that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.
PART II
OTHER INFORMATION
| ITEM 1. | LEGAL PROCEEDINGS. |
From time to time, we may become involved in various lawsuits and legal proceedings, which arise, in the ordinary course of business. However, litigation is subject to inherent uncertainties, and an adverse result in these, or other matters, may arise from time to time that may harm our business. Except as discussed below, we are currently not aware of any such legal proceedings or claims that we believe will have a material adverse effect on our business, financial condition or operating results.
For a discussion of the risk factors affecting our business, see our Annual Report on Form 10-K for our fiscal year ended September 30, 2023, filed with the Securities and Exchange Commission on February 27, 2024.
| ITEM 2. | UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS. |
We have not sold any equity securities during the quarter ended December 31, 2023 that were not previously disclosed in a current report on Form 8-K that was filed during the quarter.
During the quarter ended December 31, 2023, we did not repurchase any shares of our common stock.
| ITEM 3. | DEFAULTS UPON SENIOR SECURITIES. |
None.
| ITEM 4. | MINE SAFETY DISCLOSURES. |
Not applicable.
| ITEM 5. | OTHER INFORMATION. |
We have no information to disclose that was required to be in a report on Form 8-K during the quarter ended December 31, 2022 but was not reported. There have been no material changes to the procedures by which security holders may recommend nominees to our board of directors.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.
Date: August 20, 2024 | YUMMIES, INC. |
| | |
| | /s/ Wei-Hsien Lin |
| | Name: Wei-Hsien Lin |
| | Title: President |
| | (Principal Executive Officer and Principal Financial and Accounting Officer) |
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