Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Dec. 31, 2022 | Feb. 21, 2023 | |
Cover [Abstract] | ||
Entity Registrant Name | W&E Source Corp. | |
Entity Central Index Key | 0001368275 | |
Document Type | 10-Q | |
Document Period End Date | Dec. 31, 2022 | |
Entity Filer Category | Non-accelerated Filer | |
Current Fiscal Year End Date | --06-30 | |
Entity Common Stock, Shares Outstanding | 130,085,501 | |
Entity Current Reporting Status | Yes | |
Document Fiscal Year Focus | 2023 | |
Document Fiscal Period Focus | Q2 | |
Entity Small Business | true | |
Amendment Flag | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Interactive Data Current | Yes | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Entity File Number | 000-52276 | |
Entity Incorporation, State or Country Code | DE | |
Entity Address, Address Line One | 113 Barksdale Professional Center | |
Entity Address, City or Town | Newark | |
Entity Address, State or Province | DE | |
Entity Address, Postal Zip Code | 19711 | |
City Area Code | 302 | |
Local Phone Number | 722-6266 | |
Entity Tax Identification Number | 98-0471083 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Financial Position (Unaudited) - USD ($) | Dec. 31, 2022 | Jun. 30, 2022 |
Current Assets | ||
Cash | $ 826 | $ 853 |
Other Receivables | 38 | 40 |
Total current assets | 864 | 893 |
Non-Current Assets | ||
Prepayments/Deposits | 11,049 | 11,653 |
Total non-current assets | 11,049 | 11,653 |
TOTAL ASSETS | 11,913 | 12,546 |
Current liabilities | ||
Accounts payable and accrued liabilities | 26,771 | 49,310 |
Advances from related parties and related party payables | 102,540 | 51,474 |
Total current liabilities | 129,311 | 100,784 |
TOTAL LIABILITIES | 129,311 | 100,784 |
Shareholders' deficit | ||
Common stock, $0.0001 par value, 500,000,000 shares authorized, 130,085,501 and 130,085,501 shares issued and outstanding as of December 31, 2022 and June 30, 2022, respectively | 13,009 | 13,009 |
Additional paid-in capital | 1,218,986 | 1,217,646 |
Accumulated deficit | (1,364,957) | (1,327,434) |
Accumulated other comprehensive income | 15,564 | 8,541 |
Total shareholders' deficit | (117,398) | (88,238) |
TOTAL LIABILITIES AND SHAREHOLDERS' DEFICIT | $ 11,913 | $ 12,546 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Financial Position (Unaudited) (Parentheticals) - $ / shares | Dec. 31, 2022 | Jun. 30, 2022 |
Statement of Financial Position [Abstract] | ||
Common Stock, Par Value Per Share | $ 0.0001 | $ 0.0001 |
Common Stock, Shares Authorized | 500,000,000 | 500,000,000 |
Common Stock, Shares, Issued | 130,085,501 | 130,085,501 |
Common Stock, Shares, Outstanding | 130,085,501 | 130,085,501 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Operations and Comprehensive Loss (Unaudited) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | |
Operating expenses | ||||
General and administrative expenses | $ (18,714) | $ (11,031) | $ (30,403) | $ (20,662) |
Total operating expenses | (18,714) | (11,031) | (30,403) | (20,662) |
Operating Loss | (18,714) | (11,031) | (30,403) | (20,662) |
Other expenses | ||||
Interest expenses | (749) | (70) | (1,337) | (108) |
Foreign currency exchange loss | 2,688 | 556 | (5,783) | (1,840) |
Total other expenses | 1,939 | 486 | (7,120) | (1,948) |
Net loss | (16,775) | (10,545) | (37,523) | (22,610) |
Other comprehensive income | ||||
Cumulative foreign currency translation adjustment | (3,019) | (2,849) | 7,023 | (527) |
Comprehensive loss | $ (19,794) | $ (13,394) | $ (30,500) | $ (23,137) |
Weighted average number of shares outstanding - basic | 130,085,501 | 130,085,501 | 130,085,501 | 130,085,501 |
Weighted average number of shares outstanding - diluted | 130,085,501 | 130,085,501 | 130,085,501 | 130,085,501 |
Loss per share - basic | $ 0 | $ 0 | $ 0 | $ 0 |
Loss per share - diluted | $ 0 | $ 0 | $ 0 | $ 0 |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) | 6 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Cash Flow from Operating Activities | ||
Net loss | $ (37,523) | $ (22,610) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Imputed interest | 1,337 | 108 |
Change in operating assets and liabilities: | ||
Increase in prepaid and deposit | 0 | 535 |
Increase (decrease) in accounts payable and accrued liabilities | (21,733) | 13,440 |
Net cash used in operating activities | (57,919) | (8,527) |
Cash Flows from Financing Activities | ||
Net proceeds from related parties | 52,136 | 7,232 |
Net cash provided by financing activities | 52,136 | 7,232 |
Cumulative translation adjustment | 5,757 | 1,292 |
Net decrease in cash | (28) | (3) |
Cash, beginning of period | 853 | 2,248 |
Cash, end of period | 826 | 2,245 |
Supplemental cash flows information | ||
Interest paid | 0 | 0 |
Income tax paid | 0 | 0 |
Non cash investing and financing activities | ||
Share issuance for debt settlement | $ 0 | $ 0 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Shareholders' (Deficit) (Unaudited) - USD ($) | Common Stock [Member] | Additional Paid-in Capital [Member] | Accumulated other Comprehensive Income [Member] | Accumulated Deficit [Member] | Total |
Balance at Jun. 30, 2021 | $ 13,009 | $ 1,217,106 | $ 3,465 | $ (1,255,841) | $ (22,261) |
Balance (Shares) at Jun. 30, 2021 | 130,085,501 | ||||
Imputed Interest | 38 | 38 | |||
Foreign currency translation adjustment | 2,322 | 2,322 | |||
Net loss | (12,065) | (12,065) | |||
Balance at Sep. 30, 2021 | $ 13,009 | 1,217,144 | 5,787 | (1,267,906) | (31,966) |
Balance (Shares) at Sep. 30, 2021 | 130,085,501 | ||||
Balance at Jun. 30, 2021 | $ 13,009 | 1,217,106 | 3,465 | (1,255,841) | (22,261) |
Balance (Shares) at Jun. 30, 2021 | 130,085,501 | ||||
Net loss | (22,610) | ||||
Balance at Dec. 31, 2021 | $ 13,009 | 1,217,214 | 5,259 | (1,278,451) | (42,969) |
Balance (Shares) at Dec. 31, 2021 | 130,085,501 | ||||
Balance at Sep. 30, 2021 | $ 13,009 | 1,217,144 | 5,787 | (1,267,906) | (31,966) |
Balance (Shares) at Sep. 30, 2021 | 130,085,501 | ||||
Imputed Interest | 70 | 70 | |||
Foreign currency translation adjustment | (528) | (528) | |||
Net loss | (10,545) | (10,545) | |||
Balance at Dec. 31, 2021 | $ 13,009 | 1,217,214 | 5,259 | (1,278,451) | (42,969) |
Balance (Shares) at Dec. 31, 2021 | 130,085,501 | ||||
Balance at Jun. 30, 2022 | $ 13,009 | 1,217,646 | 8,541 | (1,327,434) | (88,238) |
Balance (Shares) at Jun. 30, 2022 | 130,085,501 | ||||
Imputed Interest | 588 | 588 | |||
Foreign currency translation adjustment | 10,042 | 10,042 | |||
Net loss | (20,748) | (20,748) | |||
Balance at Sep. 30, 2022 | $ 13,009 | 1,218,234 | 18,583 | (1,348,182) | (98,356) |
Balance (Shares) at Sep. 30, 2022 | 130,085,501 | ||||
Balance at Jun. 30, 2022 | $ 13,009 | 1,217,646 | 8,541 | (1,327,434) | (88,238) |
Balance (Shares) at Jun. 30, 2022 | 130,085,501 | ||||
Net loss | (37,523) | ||||
Balance at Dec. 31, 2022 | $ 13,009 | 1,218,986 | 15,564 | (1,364,957) | (117,398) |
Balance (Shares) at Dec. 31, 2022 | 130,085,501 | ||||
Balance at Sep. 30, 2022 | $ 13,009 | 1,218,234 | 18,583 | (1,348,182) | (98,356) |
Balance (Shares) at Sep. 30, 2022 | 130,085,501 | ||||
Imputed Interest | 752 | 752 | |||
Foreign currency translation adjustment | (3,019) | (3,019) | |||
Net loss | (16,775) | (16,775) | |||
Balance at Dec. 31, 2022 | $ 13,009 | $ 1,218,986 | $ 15,564 | $ (1,364,957) | $ (117,398) |
Balance (Shares) at Dec. 31, 2022 | 130,085,501 |
Organization, Nature of Operati
Organization, Nature of Operations and Basis of Presentation | 6 Months Ended |
Dec. 31, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization and Nature of Operations [Text Block] | Note 1 - Organization, Nature of Operations and Basis of Presentation W&E Source Corp. ("the Company") was incorporated in the State of Delaware on October 11, 2005 and is based in Montréal, Québec, Canada. The Company is providing air ticket reservations, hotel reservations and other travel related services. On August 25, 2011, the Company incorporated a company called Airchn Travel Global, Inc. ("ATGI") in the State of Washington, USA. ATGI is a wholly owned subsidiary of the Company. ATGI focuses on a business segment of travel businesses which includes air ticket reservations, hotel reservations and other travel services. On October 4, 2011, the Company incorporated a company called Airchn Travel (Canada) Inc. ("ATCI") in the Province of British Columbia, Canada. ATCI is a wholly owned subsidiary of ATGI. ATCI has a similar business segment as ATGI. In January 2012, the Company changed its name from News of China, Inc. to W&E Source Corp. and increased its authorized shares to 500,000,000 shares. As a result of the name change, the Company's listing symbol on OTC Markets was also changed to WESC. During the quarter ended March 31, 2012, the Company incorporated a company named Airchn Travel (Beijing) Inc. ("ATBI") in Beijing, China. ATBI is also a wholly owned subsidiary of ATGI. ATBI has a similar business segment as ATGI. On December 15, 2012, Airchn Travel (Beijing) Inc., a wholly owned subsidiary of W&E Source Corp. (the "Company"), entered into the Share Purchase Agreement (the "Agreement") with Mr. Wu Hao (the "Seller"), a majority shareholder of Chengdu Baopiao Internet Co., Ltd. ("Baopiao"), to acquire part of his ownership in Baopiao which equals 51% of all issued and outstanding stock of Baopiao (the "Shares"). The Company will pay for the aggregate purchase price of RMB 2,550,000 for the Shares in cash and by assuming the Seller's debt to Baopiao in the amount of RMB1,800,000 (approximately US $289,000) (the "Debt"). According to the terms of the Agreement, the Company will assume the Debt upon execution of the Agreement and pay the Seller the remaining RMB750,000 of the purchase price within 20 days from the execution of the Agreement. Also at execution, the Company will pay Baopiao RMB200,000 as repayment of the Debt and satisfy the remaining Debt of RMB 1,600,000 within 20 days from the execution of the Agreement. Also pursuant to the Agreement, the Seller will provide guaranties that other than the information including financial statements provided to the Company, Baopiao does not have any other debts, and no third party has any rights or liens on the assets of Baopiao. The Seller and Baopiao will also indemnify the Company against any damages, liabilities, losses and expenses which the Company may sustain or suffer due to any breach of the guaranties made by the Seller or Baopiao. Baopiao has obtained the necessary shareholder approval for the transfer of the Shares and will register the transfer of the Shares with the applicable State Administration for Industry and Commerce within three days from the date of the Agreement. In connection with the Agreement, the Company also entered into an agreement with the Seller and Baopiao that as an incentive for the management team of Baopiao, the Company will reserve up to 26 million shares of its common stock for issuance to the Baopiao employees upon achievement of certain milestones over the next three years. The Share Purchase Agreement with Mr. Wu Hao was not completed in January 2013 and both the Company and Mr. Wu Hao agreed to terminate the agreement entered on December 15, 2012. On June 6, 2022, certain shareholders of the Company entered into a Stock Purchase Agreement (the "SPA") with Hong Ba and Xingru (Christina) Chen for the sale and purchase of an aggregate of 118,123,001 shares of common stock of the Company. On June 8, 2022, the transaction contemplated by the SPA closed, representing approximately 90.8% of the Company's issued and outstanding common shares. For detail refer to the Form 8-K filed on June 10, 2022. It resulted in change of control of the Company. Pursuant to the provisions of the SPA, effective June 8, 2022, Junjun Wu resigned as a member of the Board of Directors, Hong Ba continued to serve as a director, CEO and CFO of the Company and the Board of Directors appointed Christina Chen as a director of the Company. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 6 Months Ended |
Dec. 31, 2022 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies [Text Block] | Note 2 - Summary of Significant Accounting Policies a. Basis of presentation. The accompanying interim consolidated financial statements have been prepared in accordance with generally accepted accounting principles for interim financial information and with the instructions to Form 10-Q and Article 8 of Regulation S-X as promulgated by the Securities and Exchange Commission (the "SEC"). In the opinion of management, the financial statements include all adjustments of a normal recurring nature necessary for a fair statement of the results for the periods presented. Certain information and footnote disclosures normally included in financial statements prepared in conjunction with generally accepted accounting principles have been condensed or omitted as permitted by the rules and regulations of the United States Securities and Exchange Commission ("SEC"), although the Company believes that the disclosures contained in this report are adequate to make the information presented not misleading. The unaudited consolidated balance sheet information as of December 31, 2022 was derived from the consolidated audited financial statements included in the Company's Annual Report on Form 10-K for the year ended June 30, 2022. These unaudited consolidated financial statements should be read in conjunction with the annual consolidated audited financial statements and the notes thereto included in the Company's Annual Report on Form 10-K for the year ended June 30, 2022, and other reports filed with the SEC. Operating results for the three and six months ended December 31, 2022 are not necessarily indicative of the results that may be expected for the full year ended June 30, 2023. b. Foreign currency translation. ATCI's and ATBI's functional currency for operations is the Canadian dollar and Chinese yuan. However, the Company's reporting currency is the U.S. dollar. Therefore, the consolidated financial statements for all periods presented have been translated into the U.S. dollar using the current rate method. Under this method, the income statement and the cash flows for each period have been translated into U.S. dollars using the average rate of the reporting period, and assets and liabilities have been translated using the exchange rate at the end of the period. All resulting exchange differences are reported in the cumulative translation adjustment account as a separate component of shareholders' equity. The foreign exchange rates were adopted as of December 31, 2022: RMB to USD CAD to USD Spots rate: 0.1450 0.7366 Average rate: 0.1427 0.7463 c. Principles of consolidation. The consolidated statements include the accounts of the Company and its wholly owned subsidiaries, ATGI, ATCI and ATBI. All inter-company transactions and balances were eliminated. d. Use of Estimates. The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the consolidated financial statements and the reported amounts of revenues and expense during the period. Actual results could differ from those estimates. e. Loss per share. Basic loss per share ("EPS") is computed by dividing net loss available to common stockholders by the weighted average number of common shares outstanding during the period, excluding the effects of any potentially dilutive securities. Diluted EPS gives effect to all dilutive potential of shares of common stock outstanding during the period including stock options or warrants, using the treasury stock method (by using the average stock price for the period to determine the number of shares assumed to be purchased from the exercise of stock options or warrants), and convertible debt or convertible preferred stock, using the if-converted method. EPS excludes all potential dilutive shares of common stock if their effect is anti-dilutive. There were no dilutive securities as at December 31, 2022 and June 30, 2022. f. Revenue recognition. The Company recognizes revenue when it is realized or realizable and earned. The Company considers revenue realized or realizable and earned when it has persuasive evidence of an arrangement, delivery has occurred, the sales price is fixed or determinable, and collectability is reasonably assured. Revenue, which primarily consists of commission fees from air ticketing and hotel booking operations, is recognized as tickets and hotels are booked and non-cancellable, and is recorded on a net basis (that is, the amount billed to a customer less the amount paid to a supplier) as the Company acts as an agent in these transactions. Effective January 1, 2018, the Company adopted the guidance of Accounting Standards Codification (ASC) 606, Revenue from Contracts. The implementation of ASC 606 did not have a material impact on the Company's consolidated financial statements. ASC 606 create a five-step model that requires entities to exercise judgement when considering the terms of contract, which includes (1) identifying the contracts or agreement with a customer, (2) identifying our performance obligations in the contract or agreement, (3) determining the transaction price, (4) allocating the transaction price to the separate performance obligation, and (5) recognizing revenue as each performance obligation is satisfied. The Company only applies the five-step model to contracts when it is probable that the Company will collect the consideration it is entitled to in exchange for the services it transfers to its clients. The Company's revenue consists of revenue from providing travel consulting and travel arrangement advisory services ("service revenue"), and service revenue from travel schedule arrangements and advisory. g. Cash and cash equivalents. The Company includes in cash and cash equivalents all short-term, highly liquid investments that mature within three months or less of their acquisition date. Cash equivalents consist principally of investments in interest-bearing demand deposit accounts and liquidity funds with financial institutions and are stated at cost, which approximates fair value. As of December 31, 2022 and June 30, 2022, we have no cash equivalents. i. Income taxes. Deferred tax assets and liabilities are recognized for future tax consequences attributable to differences between financial statement carrying amounts of existing assets and liabilities and their respective tax bases. In addition, the Company recognizes future tax benefits, such as carryforwards, to the extent that realization of such benefits is more likely than not and that a valuation allowance is provided when it is more likely than not that some portion of the deferred tax asset will not be realized. The Company's net operating losses carryforwards are subject to Section 382 limitation. j. Recently issued accounting pronouncements. The Company does not expect that any recently issued accounting pronouncement will have a significant impact on the consolidated results of operations, financial position, or cash flows of the Company. Recently Issued Accounting Pronouncements On March 2021, the FASB issued Accounting Standards Update (ASU) 2021-03, "Intangibles-Goodwill and Other (Topic 350): Accounting Alternative for Evaluating Triggering Events" ("ASU 2021-03"). The amendments in ASU 2021-03 provide private companies and not-for-profit (NFP) entities with an accounting alternative to perform the goodwill impairment triggering event evaluation as required in FASB Accounting Standards Codification (FASB ASC) 350-20, Intangibles-Goodwill and Other-Goodwill, as of the end of the reporting period, whether the reporting period is an interim or annual period. An entity that elects this alternative is not required to monitor for goodwill impairment triggering events during the reporting period but, instead, should evaluate the facts and circumstances as of the end of each reporting period to determine whether a triggering event exists and, if so, whether it is more likely than not that goodwill is impaired. The amendments in this ASU are effective on a prospective basis for fiscal years beginning after December 15, 2019. Early adoption is permitted for both interim and annual financial statements that have not yet been issued as of December 31, 2022. The Company has adopted this ASU on the consolidated financial statements in the period ended December 31, 2022. The adoption had no material impact on the consolidated financial statements in the periods ended December 31, 2022 and 2021. On April 2021, the FASB issued ASU 2021-04, "Earnings Per Share (Topic 260), Debt- Modifications and Extinguishments (Subtopic 470-50), Compensation-Stock Compensation (Topic 718), and Derivatives and Hedging- Contracts in Entity's Own Equity (Subtopic 815-40): Issuer's Accounting for Certain Modifications or Exchanges of Freestanding Equity-Classified Written Call Options" ("ASU 2021-04") to clarify the accounting by issuers for modifications or exchanges of equity-classified warrants. The new ASU is available here and effective for all entities in fiscal years starting after December 15, 2021. Early adoption is permitted. The Company is currently evaluating the impact of ASU 2021-04 on its consolidated financial statements. The adoption had no material impact on the consolidated financial statements in the periods ended December 31, 2022 and 2021. On July 2021, the FASB issued ASU 2021-05, "Leases (Topic 842): Lessors-Certain Leases with Variable Lease Payments", which upon adoption requires a lessor to classify a lease with variable lease payments (that do not depend on a rate or index) as an operating lease on commencement date if classifying the lease as a sales-type or direct financing lease would result in a selling loss. The amendments in this ASU are effective for all entities in fiscal years, and interim periods within those fiscal years, beginning after December 15, 2021. The adoption had no material impact on the consolidated financial statements for the period ended December 31, 2022. On July 2021, the FASB issued ASU 2021-07, "Stock Compensation (Topic 718): Stock Compensation" ("ASU 2021-07") to address the concerns from stakeholders about the cost and complexity of determining the fair value of equity-classified share-based awards for private companies. It specifically permits private companies to use 409A valuations prepared under US Treasury regulations to estimate the fair value of certain awards under ASC 718. The Update is effective for private companies in fiscal years starting after December 15, 2021. Early adoption is permitted. The Company is currently evaluating the impact of ASU 2021-07 on its consolidated financial statements. The adoption had no material impact on the consolidated financial statements in the periods ended December 31, 2022 and 2021. On August 2021, the FASB issued ASU 2021-08, "Business Combinations (Topic 805): Accounting for Contract Assets and Contract Liabilities from Contracts with Customers" ("ASU 2021-08") to require an acquirer to recognize and measure contract assets and contract liabilities acquired in a business combination in accordance with revenue recognition guidance as if the acquirer had originated the contract. That is, such acquired contracts will not be measured at fair value. ASU 2021-08 is effective for privately held companies with fiscal years beginning after December 15, 2023, with early adoption permitted. The Company is currently evaluating the impact of ASU 2021-08 on its consolidated financial statements. |
Going Concern
Going Concern | 6 Months Ended |
Dec. 31, 2022 | |
Going Concern [Abstract] | |
Going Concern [Text Block] | Note 3 - Going Concern As reflected in the accompanying consolidated financial statements, the Company had accumulated deficits of $1,364,957 and $1,327,434 as of December 31, 2022 and June 30, 2022, and net losses of $37,523 and $22,610, respectively, for the six months ended December 31, 2022 and 2021. The Company currently has business activities to generate funds for its own operations, however, has not yet achieved profitable operations. These factors raise substantial doubt about our ability to continue as a going concern. The Company's ability to continue as a going concern is dependent on its ability to raise additional capital and implement its business plan. These financial statements do not include any 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 going concern. Management believes that the current actions to obtain additional funding from independent investors or from the management and to implement its strategic plans should allow the Company 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. |
Prepayment
Prepayment | 6 Months Ended |
Dec. 31, 2022 | |
Prepayment [Abstract] | |
Prepayment [Text Block] | Note 4 - Prepayment As of December 31, 2022, the Company prepaid a security deposit of $11,049 (CAD$15,000) (June 30, 2022 - $11,653 (CAD$15,000)) to Consumer Protection British Columbia Province for the guarantee of service quality. |
Accounts Payable and Accrued Li
Accounts Payable and Accrued Liabilities | 6 Months Ended |
Dec. 31, 2022 | |
Payables and Accruals [Abstract] | |
Accounts Payable and Accrued Liabilities [Text Block] | Note 5 - Accounts Payable and Accrued Liabilities Accounts Payable and Accrued Liabilities of $26,771 as of December 31, 2022 (June 30, 2022 - $49,310) consists of vendor payables of $2,975 in legal fees, $8,083 in audit and accounting fees, $981 in stock transfer agent fees and filing fees and $14,732 in other payables to a former shareholder of the Company advanced for operating expenses. |
Related Parties
Related Parties | 6 Months Ended |
Dec. 31, 2022 | |
Related Party Transactions [Abstract] | |
Related Parties [Text Block] | Note 6 - Related Parties Mrs. Hong Ba serves as the Chief Executive Officer and Director of the Company. Mr. Feng Li, the husband of Mrs. Hong Ba, is the owner of the Canada Airchn Financial Inc. ("CAFI"). The shareholders make advances to the Company from time to time for the Company's operations. These advances are due on demand and non-interest bearing. As of December 31, 2022, there was $102,540 (June 30, 2022 - $51,474) due to related parties in total. As of December 31, 2022, the CEO of the Company advanced $43,128 (June 30, 2022 - $28,910) to the Company for operating expenditures. During the six months ended December 31, 2022, a company owned by Feng Li, the husband of Mrs. Hong Ba, our CEO, charged the Company $3,582 (CAD$4,800) (December 31, 2021 - $3,802 (CAD$4,800) in rent and the debt of $14,143 has been due to the related party (June 30, 2022 - $11,187). As of December 31, 2022, Mr. Feng Li advanced $4,086 (June 302022 - $3,529) to the Company for operating expenditures. As of December 31, 2022, the Company has received advances of $40,975 (June 30, 2022 - $7,633) for operating expenditures from a related party, a director of the Company. As of December 31, 2022, the Company has received an advance of $208 (June 30, 2022 - $214) for operating expenditure from a related party who was an over 10% shareholder of the Company. |
Commitment and Contingencies
Commitment and Contingencies | 6 Months Ended |
Dec. 31, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitment and Contingencies [Text Block] | Note 7 - Commitment and Contingencies The Company leases an office space in Canada for a term under month by month operating lease agreement. Monthly rent is $635 (CAD$800). 2023 CAD $9,600 2024 CAD $9,600 2025 CAD $9,600 2026 CAD $9,600 2027 CAD $9,600 For each of the six months ended December 31, 2022 and 2021, the Company recorded a rent expense of $3,582 (CAD$4,800) and $3,802 (CAD$4,800), respectively. |
Common Stock
Common Stock | 6 Months Ended |
Dec. 31, 2022 | |
Stockholders' Equity Note [Abstract] | |
Common Stock [Text Block] | Note 8 - Common Stock On June 6, 2022, certain shareholders of the Company entered into a Stock Purchase Agreement (the "SPA") with Hong Ba and Xingru (Christina) Chen for the sale and purchase of an aggregate of 118,123,001 shares of common stock of the Company. On June 8, 2022, the transaction contemplated by the SPA closed, representing approximately 90.8% of the Company's issued and outstanding common shares. It resulted in change of control of the Company. As the filing date of the unaudited condensed consolidated financial statements, there are 130,085,501 shares issued and outstanding. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 6 Months Ended |
Dec. 31, 2022 | |
Accounting Policies [Abstract] | |
Basis of presentation [Policy Text Block] | a. Basis of presentation. The accompanying interim consolidated financial statements have been prepared in accordance with generally accepted accounting principles for interim financial information and with the instructions to Form 10-Q and Article 8 of Regulation S-X as promulgated by the Securities and Exchange Commission (the "SEC"). In the opinion of management, the financial statements include all adjustments of a normal recurring nature necessary for a fair statement of the results for the periods presented. Certain information and footnote disclosures normally included in financial statements prepared in conjunction with generally accepted accounting principles have been condensed or omitted as permitted by the rules and regulations of the United States Securities and Exchange Commission ("SEC"), although the Company believes that the disclosures contained in this report are adequate to make the information presented not misleading. The unaudited consolidated balance sheet information as of December 31, 2022 was derived from the consolidated audited financial statements included in the Company's Annual Report on Form 10-K for the year ended June 30, 2022. These unaudited consolidated financial statements should be read in conjunction with the annual consolidated audited financial statements and the notes thereto included in the Company's Annual Report on Form 10-K for the year ended June 30, 2022, and other reports filed with the SEC. Operating results for the three and six months ended December 31, 2022 are not necessarily indicative of the results that may be expected for the full year ended June 30, 2023. |
Foreign currency translation [Policy Text Block] | b. Foreign currency translation. ATCI's and ATBI's functional currency for operations is the Canadian dollar and Chinese yuan. However, the Company's reporting currency is the U.S. dollar. Therefore, the consolidated financial statements for all periods presented have been translated into the U.S. dollar using the current rate method. Under this method, the income statement and the cash flows for each period have been translated into U.S. dollars using the average rate of the reporting period, and assets and liabilities have been translated using the exchange rate at the end of the period. All resulting exchange differences are reported in the cumulative translation adjustment account as a separate component of shareholders' equity. The foreign exchange rates were adopted as of December 31, 2022: RMB to USD CAD to USD Spots rate: 0.1450 0.7366 Average rate: 0.1427 0.7463 |
Principles of consolidation [Policy Text Block] | c. Principles of consolidation. The consolidated statements include the accounts of the Company and its wholly owned subsidiaries, ATGI, ATCI and ATBI. All inter-company transactions and balances were eliminated. |
Use of Estimates [Policy Text Block] | d. Use of Estimates. The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the consolidated financial statements and the reported amounts of revenues and expense during the period. Actual results could differ from those estimates. |
Loss per share [Policy Text Block] | e. Loss per share. Basic loss per share ("EPS") is computed by dividing net loss available to common stockholders by the weighted average number of common shares outstanding during the period, excluding the effects of any potentially dilutive securities. Diluted EPS gives effect to all dilutive potential of shares of common stock outstanding during the period including stock options or warrants, using the treasury stock method (by using the average stock price for the period to determine the number of shares assumed to be purchased from the exercise of stock options or warrants), and convertible debt or convertible preferred stock, using the if-converted method. EPS excludes all potential dilutive shares of common stock if their effect is anti-dilutive. There were no dilutive securities as at December 31, 2022 and June 30, 2022. |
Revenue recognition [Policy Text Block] | f. Revenue recognition. The Company recognizes revenue when it is realized or realizable and earned. The Company considers revenue realized or realizable and earned when it has persuasive evidence of an arrangement, delivery has occurred, the sales price is fixed or determinable, and collectability is reasonably assured. Revenue, which primarily consists of commission fees from air ticketing and hotel booking operations, is recognized as tickets and hotels are booked and non-cancellable, and is recorded on a net basis (that is, the amount billed to a customer less the amount paid to a supplier) as the Company acts as an agent in these transactions. Effective January 1, 2018, the Company adopted the guidance of Accounting Standards Codification (ASC) 606, Revenue from Contracts. The implementation of ASC 606 did not have a material impact on the Company's consolidated financial statements. ASC 606 create a five-step model that requires entities to exercise judgement when considering the terms of contract, which includes (1) identifying the contracts or agreement with a customer, (2) identifying our performance obligations in the contract or agreement, (3) determining the transaction price, (4) allocating the transaction price to the separate performance obligation, and (5) recognizing revenue as each performance obligation is satisfied. The Company only applies the five-step model to contracts when it is probable that the Company will collect the consideration it is entitled to in exchange for the services it transfers to its clients. The Company's revenue consists of revenue from providing travel consulting and travel arrangement advisory services ("service revenue"), and service revenue from travel schedule arrangements and advisory. |
Cash and cash equivalents [Policy Text Block] | g. Cash and cash equivalents. The Company includes in cash and cash equivalents all short-term, highly liquid investments that mature within three months or less of their acquisition date. Cash equivalents consist principally of investments in interest-bearing demand deposit accounts and liquidity funds with financial institutions and are stated at cost, which approximates fair value. As of December 31, 2022 and June 30, 2022, we have no cash equivalents. |
Income taxes [Policy Text Block] | i. Income taxes. Deferred tax assets and liabilities are recognized for future tax consequences attributable to differences between financial statement carrying amounts of existing assets and liabilities and their respective tax bases. In addition, the Company recognizes future tax benefits, such as carryforwards, to the extent that realization of such benefits is more likely than not and that a valuation allowance is provided when it is more likely than not that some portion of the deferred tax asset will not be realized. The Company's net operating losses carryforwards are subject to Section 382 limitation. |
Recently issued accounting pronouncements [Policy Text Block] | j. Recently issued accounting pronouncements. The Company does not expect that any recently issued accounting pronouncement will have a significant impact on the consolidated results of operations, financial position, or cash flows of the Company. Recently Issued Accounting Pronouncements On March 2021, the FASB issued Accounting Standards Update (ASU) 2021-03, "Intangibles-Goodwill and Other (Topic 350): Accounting Alternative for Evaluating Triggering Events" ("ASU 2021-03"). The amendments in ASU 2021-03 provide private companies and not-for-profit (NFP) entities with an accounting alternative to perform the goodwill impairment triggering event evaluation as required in FASB Accounting Standards Codification (FASB ASC) 350-20, Intangibles-Goodwill and Other-Goodwill, as of the end of the reporting period, whether the reporting period is an interim or annual period. An entity that elects this alternative is not required to monitor for goodwill impairment triggering events during the reporting period but, instead, should evaluate the facts and circumstances as of the end of each reporting period to determine whether a triggering event exists and, if so, whether it is more likely than not that goodwill is impaired. The amendments in this ASU are effective on a prospective basis for fiscal years beginning after December 15, 2019. Early adoption is permitted for both interim and annual financial statements that have not yet been issued as of December 31, 2022. The Company has adopted this ASU on the consolidated financial statements in the period ended December 31, 2022. The adoption had no material impact on the consolidated financial statements in the periods ended December 31, 2022 and 2021. On April 2021, the FASB issued ASU 2021-04, "Earnings Per Share (Topic 260), Debt- Modifications and Extinguishments (Subtopic 470-50), Compensation-Stock Compensation (Topic 718), and Derivatives and Hedging- Contracts in Entity's Own Equity (Subtopic 815-40): Issuer's Accounting for Certain Modifications or Exchanges of Freestanding Equity-Classified Written Call Options" ("ASU 2021-04") to clarify the accounting by issuers for modifications or exchanges of equity-classified warrants. The new ASU is available here and effective for all entities in fiscal years starting after December 15, 2021. Early adoption is permitted. The Company is currently evaluating the impact of ASU 2021-04 on its consolidated financial statements. The adoption had no material impact on the consolidated financial statements in the periods ended December 31, 2022 and 2021. On July 2021, the FASB issued ASU 2021-05, "Leases (Topic 842): Lessors-Certain Leases with Variable Lease Payments", which upon adoption requires a lessor to classify a lease with variable lease payments (that do not depend on a rate or index) as an operating lease on commencement date if classifying the lease as a sales-type or direct financing lease would result in a selling loss. The amendments in this ASU are effective for all entities in fiscal years, and interim periods within those fiscal years, beginning after December 15, 2021. The adoption had no material impact on the consolidated financial statements for the period ended December 31, 2022. On July 2021, the FASB issued ASU 2021-07, "Stock Compensation (Topic 718): Stock Compensation" ("ASU 2021-07") to address the concerns from stakeholders about the cost and complexity of determining the fair value of equity-classified share-based awards for private companies. It specifically permits private companies to use 409A valuations prepared under US Treasury regulations to estimate the fair value of certain awards under ASC 718. The Update is effective for private companies in fiscal years starting after December 15, 2021. Early adoption is permitted. The Company is currently evaluating the impact of ASU 2021-07 on its consolidated financial statements. The adoption had no material impact on the consolidated financial statements in the periods ended December 31, 2022 and 2021. On August 2021, the FASB issued ASU 2021-08, "Business Combinations (Topic 805): Accounting for Contract Assets and Contract Liabilities from Contracts with Customers" ("ASU 2021-08") to require an acquirer to recognize and measure contract assets and contract liabilities acquired in a business combination in accordance with revenue recognition guidance as if the acquirer had originated the contract. That is, such acquired contracts will not be measured at fair value. ASU 2021-08 is effective for privately held companies with fiscal years beginning after December 15, 2023, with early adoption permitted. The Company is currently evaluating the impact of ASU 2021-08 on its consolidated financial statements. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 6 Months Ended |
Dec. 31, 2022 | |
Accounting Policies [Abstract] | |
Schedule of foreign exchange rates [Table Text Block] | RMB to USD CAD to USD Spots rate: 0.1450 0.7366 Average rate: 0.1427 0.7463 |
Commitment and Contingencies (T
Commitment and Contingencies (Tables) | 6 Months Ended |
Dec. 31, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of future minimum lease payments of operating lease liabilities [Table Text Block] | 2023 CAD $9,600 2024 CAD $9,600 2025 CAD $9,600 2026 CAD $9,600 2027 CAD $9,600 |
Organization, Nature of Opera_2
Organization, Nature of Operations and Basis of Presentation (Narrative) (Details) | Jun. 08, 2022 | Jun. 06, 2022 shares | Dec. 15, 2012 CNY (¥) | Dec. 15, 2012 USD ($) | Dec. 31, 2022 CNY (¥) shares | Jun. 30, 2022 shares | Jan. 31, 2012 shares |
Organization, Consolidation and Presentation of Financial Statements [Line Items] | |||||||
Common Stock, Shares Authorized | shares | 500,000,000 | 500,000,000 | 500,000,000 | ||||
Baopiao [Member] | |||||||
Organization, Consolidation and Presentation of Financial Statements [Line Items] | |||||||
Noncash or Part Noncash Acquisition, Interest Acquired | 51% | 51% | |||||
Noncash or Part Noncash Acquisition, Net Non monetary Assets Acquired (Liabilities Assumed) | ¥ 2,550,000 | ||||||
Noncash or Part Noncash Acquisition, Debt Assumed | 1,800,000 | $ 289,000 | |||||
Payments to Acquire Interest in Subsidiaries and Affiliates | 750,000 | ||||||
Repayments of Debt | ¥ 200,000 | ||||||
Other Long-term Debt | ¥ 1,600,000 | ||||||
Period For Execution Of Agreement | 20 days | 20 days | |||||
Common stock reserved for issuance | shares | 26,000,000 | ||||||
Hong Ba and Xingru (Christina) Chen [Member] | |||||||
Organization, Consolidation and Presentation of Financial Statements [Line Items] | |||||||
Number of common shares sold | shares | 118,123,001 | ||||||
Percentage of issued and outstanding common shares | 90.80% |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Schedule of foreign exchange rates (Details) - Dec. 31, 2022 | $ / $ | ¥ / $ |
Accounting Policies [Abstract] | ||
Spots rate | 0.7366 | 0.145 |
Average rate | 0.7463 | 0.1427 |
Going Concern (Narrative) (Deta
Going Concern (Narrative) (Details) - USD ($) | 3 Months Ended | 6 Months Ended | |||||
Dec. 31, 2022 | Sep. 30, 2022 | Dec. 31, 2021 | Sep. 30, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | Jun. 30, 2022 | |
Going Concern [Abstract] | |||||||
Accumulated deficit | $ (1,364,957) | $ (1,364,957) | $ (1,327,434) | ||||
Net income (loss) | $ (16,775) | $ (20,748) | $ (10,545) | $ (12,065) | $ (37,523) | $ (22,610) |
Prepayment (Narrative) (Details
Prepayment (Narrative) (Details) | Dec. 31, 2022 CAD ($) | Dec. 31, 2022 USD ($) | Jun. 30, 2022 CAD ($) | Jun. 30, 2022 USD ($) |
Prepayment [Line Items] | ||||
Prepayments/Deposits | $ 11,049 | $ 11,653 | ||
Consumer Protection British Columbia Province [Member] | ||||
Prepayment [Line Items] | ||||
Prepayments/Deposits | $ 15,000 | $ 11,049 | $ 15,000 | $ 11,653 |
Accounts Payable and Accrued _2
Accounts Payable and Accrued Liabilities (Narrative) (Details) - USD ($) | Dec. 31, 2022 | Jun. 30, 2022 |
Payables and Accruals [Abstract] | ||
Accounts payable and accrued liabilities | $ 26,771 | $ 49,310 |
Legal fees payable | 2,975 | |
Audit and accounting fees payable | 8,083 | |
Stock transfer agent fees | 981 | |
Other payables to shareholder | $ 14,732 |
Related Parties (Narrative) (De
Related Parties (Narrative) (Details) | 6 Months Ended | 12 Months Ended | |||
Dec. 31, 2022 CAD ($) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 CAD ($) | Dec. 31, 2021 USD ($) | Jun. 30, 2022 USD ($) | |
Related Party Transaction [Line Items] | |||||
Due to related parties | $ 102,540 | $ 51,474 | |||
Proceeds from advances from related parties | 52,136 | $ 7,232 | |||
CEO [Member] | |||||
Related Party Transaction [Line Items] | |||||
Proceeds from advances from related parties | 43,128 | 28,910 | |||
A company owned by Feng Li [Member] | |||||
Related Party Transaction [Line Items] | |||||
Related party transaction amounts | $ 4,800 | 3,582 | $ 4,800 | $ 3,802 | |
Due to other related parties, current | 14,143 | 11,187 | |||
Feng Li [Member] | |||||
Related Party Transaction [Line Items] | |||||
Proceeds from advances from related parties | 4,086 | 3,529 | |||
Operating expenditures from related party, director of company [Member] | |||||
Related Party Transaction [Line Items] | |||||
Proceeds from advances from related parties | 40,975 | 7,633 | |||
A related party who was an over 10% shareholder of the Company [Member] | |||||
Related Party Transaction [Line Items] | |||||
Proceeds from advances from related parties | $ 208 | $ 214 | |||
Percentage of stock ownership | 10% |
Commitment and Contingencies (N
Commitment and Contingencies (Narrative) (Details) | 6 Months Ended | ||||
Dec. 31, 2022 CAD ($) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 CAD ($) | Dec. 31, 2021 USD ($) | Dec. 31, 2022 USD ($) | |
Commitments and Contingencies Disclosure [Abstract] | |||||
Monthly rent payment | $ 800 | $ 635 | |||
Rent expense | $ 4,800 | $ 3,582 | $ 4,800 | $ 3,802 |
Commitment and Contingencies -
Commitment and Contingencies - Schedule of future minimum lease payments of operating lease liabilities (Details) | Dec. 31, 2022 CAD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
2023 | $ 9,600 |
2024 | 9,600 |
2025 | 9,600 |
2026 | 9,600 |
2027 | $ 9,600 |
Common Stock (Narrative) (Detai
Common Stock (Narrative) (Details) - shares | Jun. 08, 2022 | Jun. 06, 2022 | Dec. 31, 2022 | Jun. 30, 2022 |
Class of Stock [Line Items] | ||||
Common stock shares issued | 130,085,501 | 130,085,501 | ||
Common stock shares outstanding | 130,085,501 | 130,085,501 | ||
Hong Ba and Xingru (Christina) Chen [Member] | ||||
Class of Stock [Line Items] | ||||
Number of common shares sold | 118,123,001 | |||
Percentage of issued and outstanding common shares | 90.80% |