Document and Entity Information
Document and Entity Information - $ / shares | Dec. 14, 2018 | Oct. 31, 2018 | Jul. 31, 2018 |
Details | |||
Registrant Name | HAMMER FIBER OPTICS HOLDINGS CORP | ||
Registrant CIK | 1,539,680 | ||
SEC Form | 10-Q | ||
Period End date | Oct. 31, 2018 | ||
Fiscal Year End | --07-31 | ||
Trading Symbol | hmmr | ||
Tax Identification Number (TIN) | 981,032,170 | ||
Filer Category | Non-accelerated Filer | ||
Current with reporting | Yes | ||
Small Business | true | ||
Emerging Growth Company | true | ||
Ex Transition Period | false | ||
Amendment Flag | false | ||
Document Fiscal Year Focus | 2,019 | ||
Document Fiscal Period Focus | Q1 | ||
Entity File Number | 000-1539680 | ||
Entity Incorporation, State Country Name | Nevada | ||
Entity Address, Address Line One | 15 Corporate Place South, Suite 100 | ||
Entity Address, City or Town | Piscataway | ||
Entity Address, State or Province | NJ | ||
Entity Address, Postal Zip Code | 8,854 | ||
Entity Address, Address Description | Address of principal executive offices | ||
City Area Code | 844 | ||
Local Phone Number | 413-2600 | ||
Phone Fax Number Description | Registrant’s telephone number, including area code | ||
Common Stock, Shares, Issued | 60,503,341 | 60,503,341 | 60,503,341 |
Entity Listing, Par Value Per Share | $ 0.001 | ||
Entity Common Stock, Shares Outstanding | 53,135,762 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets (October 31, 2018 unaudited, July 31, 2018 restated) - USD ($) | Oct. 31, 2018 | Jul. 31, 2018 |
Assets, Current | ||
Cash and cash equivalents | $ 1,150 | $ 3,441 |
Accounts Receivable, net | 22,185 | 19,332 |
Other Assets, Current | 4,829 | 9,488 |
Assets, Current | 28,164 | 32,261 |
Property, Plant and Equipment, Net | 4,330,238 | 4,593,635 |
Intangible Assets, Net (Excluding Goodwill) | 18,934 | 18,934 |
Total other assets | 4,360,482 | 4,623,879 |
Assets | 4,388,646 | 4,656,140 |
Deposits | 11,310 | 11,310 |
Liabilities, Current | ||
Accounts Payable, Current | 174,710 | 256,243 |
Notes Payable - related party | 230,000 | 230,000 |
Current portion of long-term notes payable - related parties | 3,394,067 | 3,394,067 |
Accrued interest | 382,474 | 289,050 |
Liabilities, Current | 4,181,251 | 4,169,360 |
Liabilities | 4,181,251 | 4,169,360 |
Stockholders' Equity Attributable to Parent | ||
Common Stock, Value, Issued | 60,503 | 60,503 |
Treasury stock | 0 | 0 |
Shares to be issued | 176,100 | 0 |
Additional Paid in Capital | 14,675,659 | 14,617,719 |
Retained Earnings (Accumulated Deficit) | (14,704,867) | (14,191,442) |
Stockholders' Equity Attributable to Parent | 207,395 | 486,780 |
Liabilities and Equity | $ 4,388,646 | $ 4,656,140 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (October 31, 2018 unaudited, July 31, 2018 restated) - Parenthetical - $ / shares | Oct. 31, 2018 | Jul. 31, 2018 |
Details | ||
Common Stock, Par or Stated Value Per Share | $ 0.001 | $ 0.001 |
Common Stock, Shares Authorized | 250,000,000 | 250,000,000 |
Common Stock, Shares, Issued | 60,503,341 | 60,503,341 |
Common Stock, Shares, Outstanding | 52,946,162 | 52,946,162 |
Condensed Consolidated Statemen
Condensed Consolidated Statement of Operations (unaudited) - USD ($) | 3 Months Ended | |
Oct. 31, 2018 | Oct. 31, 2017 | |
Details | ||
REVENUE | $ 47,232 | $ 37,293 |
Costs and Expenses | ||
Operations and maintenance | 5,597 | 2,207 |
General and administrative | 195,686 | 2,109,169 |
Depreciation expense | 263,397 | 279,036 |
Total operating expenses | 464,680 | 2,390,412 |
Operating Income (Loss) | (417,448) | (2,353,119) |
OTHER INCOME AND EXPENSE | ||
Interest Expense | (95,977) | (86,284) |
Interest income | 0 | 1,765 |
Total other income (expense) | (95,977) | (84,519) |
NET LOSS | $ (513,425) | $ (2,437,638) |
Weighted Average Number of Shares Outstanding, Basic and Diluted | 53,031,038 | 52,180,159 |
Loss per common share - basic and diluted | $ (0.01) | $ (0.05) |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Cash Flows (unaudited) - USD ($) | 3 Months Ended | |
Oct. 31, 2018 | Oct. 31, 2017 | |
Cash flows from operating activities: | ||
Net Income (Loss) | $ (513,425) | $ (2,437,638) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Depreciation and amortization | 263,397 | 279,036 |
Services received paid with shares of stock | 49,340 | 943,500 |
Changes in operating assets and liabilities | ||
Accounts receivable | (2,853) | (7,565) |
Other current assets | 4,659 | 11,617 |
Accounts payable | (81,533) | (80,293) |
Accrued interest | 93,424 | 12,507 |
Net cash used in operating activities | (186,991) | (1,278,836) |
Cash flows from investing activities: | ||
Acquisition of property and equipment | 0 | (389,830) |
Cash flows from financing activities: | ||
Repayment of loans | 0 | (6,905) |
Proceeds from sale of shares of treasury stock | 184,700 | 1,398,508 |
Net cash provided by financing activities | 184,700 | 1,391,603 |
Net increase (decrease) in cash | (2,291) | (277,063) |
Cash and cash equivalents | 3,441 | 528,380 |
Cash and cash equivalents | 1,150 | 251,317 |
Supplemental Cash Flow Information | ||
Interest Paid, Including Capitalized Interest, Operating and Investing Activities | 2,553 | 75,000 |
Income Taxes Paid, Net | $ 5,774 | $ 0 |
NOTE 1 - ORGANIZATION AND DESCR
NOTE 1 - ORGANIZATION AND DESCRIPTION OF BUSINESS | 3 Months Ended |
Oct. 31, 2018 | |
Notes | |
NOTE 1 - ORGANIZATION AND DESCRIPTION OF BUSINESS | NOTE A Hammer W |
NOTE 2 - CORPORATE HISTORY AND
NOTE 2 - CORPORATE HISTORY AND BACKGROUND ON MERGER | 3 Months Ended |
Oct. 31, 2018 | |
Notes | |
NOTE 2 - CORPORATE HISTORY AND BACKGROUND ON MERGER | NOTE 2 CORPORATE HISTORY AND BACKGROUND ON MERGER The Company was originally incorporated in the State of Nevada on September 23, 2010 , under the name Recursos Montana S.A. The Companys principal activity was an exploration stage company engaged in the acquisition of mineral properties then owned by the Company. On February 2, 2015, the Company entered into a Share Exchange Agreement with Tanaris Power Holdings, Inc., whereby the Company acquired 100% of Tanaris Power Holdings, Inc. issued and outstanding common stock in exchange for shares of the Companys common stock equal to 51% of the issued and outstanding common stock of the Company. Tanaris Power Holdings, Inc. was the owner of certain rights in connection with the marketing and sale of smart lithium-ion batteries and battery technologies for various industrial vehicles markets and related applications. On March 6, 2015, the Company amended its Articles of Incorporation to change its name to Tanaris Power Holdings, Inc. On April 25, 2016, Tanaris Power Holdings, Inc., a Nevada corporation entered into s Share Exchange Agreement (the Share Exchange Agreement) with Hammer Fiber Optics Investments, Ltd., a Delaware corporation (HFOI), and the controlling stockholders of HFOI (the HFOI Shareholders). Pursuant to the Share Exchange Agreement, the Company acquired 20,000,000 shares of common stock of HFOI from the HFOI shareholders (the HFOI Shares) and in exchange, the Company issued to the HFOI Shareholders 50,000,000 (post-Merger) restricted shares of its common stock (the HMMR Shares). As a result of the Share Exchange Agreement, HFOI shall become a wholly owned subsidiary of the Company. On April 13, 2016, the Board of Directors (BOD) approved a Plan of Merger (the Plan of Merger) under Nevada Revised Statuses (NRS) Section 92A.180 to merge (the Merger) with our wholly-owned subsidiary HFO Holdings, a Nevada corporation, to effect a name change from Tanaris Power Holdings Inc. to Hammer Fiber Optics Holdings Corp. The Plan of Merger also provides for a 1 for 1,000 exchange ratio for shareholders of both the Company and the HRO Holdings, which had the effect of a 1 for 1,000 reverse split of the common stock. Articles of Merger were filed with the Secretary of State of Nevada on April 13, 2016 and, on April 14, 2016, this corporate action was submitted to Financial Industry Regulatory Authority (the FINRA) for its review and approval. On May 3, 2016, the FINRA approved the merger with the wholly-owned subsidiary, HMMR Fiber Optics Holdings Corp. (HFO Holdings). Accordingly, thereafter, the Companys name was changed and the shares of common stock began trading under new ticker symbol HMMR as of May 27, 2016. The merger was effected on July 19, 2016. |
NOTE 3 - SUMMARY OF SIGNIFICANT
NOTE 3 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 3 Months Ended |
Oct. 31, 2018 | |
Notes | |
NOTE 3 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | NOTE 3 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis The October 31 r w v Use of estimates The f f Cash and cash equivalents Cash Property and equipment Property Impairment of long-lived assets The Indefinite lived intangible assets The y y The Revenue recognition We adopted ASC 606 on August 1, 2018. Revenue is measured based on a consideration specified in a contract or agreement with a customer. The Company recognizes revenue when it satisfies a performance obligation by transferring control over a product or service to a customer. Incidental items that are immaterial in the context of the contract are recognized as expense. Unearned revenues are recorded when cash payments are received or due in advance of the performance of the services. Taxes assessed by a governmental authority that are both imposed on and concurrent with a specific revenue-producing transaction, that are collected by the Company from a customer, are excluded from revenue. The Revenue is recorded net of discounts provided to customers. Discounts applied during the quarter ended October 31, 2018 and 2017 were $3,287 and $6,319, respectively. Income taxes The T f f f Fair value measurements The T V The ASC y Level Level Level Consolidation of financial statements Hammer W Basic and Diluted Earnings (Loss) per Common Share The r r y y Recent accounting pronouncements In June 2018, the FASB issued ASU No. 2018-07, Compensation Stock Compensation (Topic 718) (ASU 2018-07). ASU 2018-07 provides for improvements to nonemployee share-based payment accounting by expanding the scope of Topic 718 to include share-based payment transactions for acquiring goods and services from nonemployees. The awards will be measured at grant date, consistent with accounting for employee share-based payment awards. The measurement date has been redefined as the date at which the grantor and grantee reach a mutual understanding of the key terms and conditions of the award. The requirement to reassess classification of equity-classified awards upon vesting has been eliminated. We do not expect the adoption of this standard to have a material impact on the Companys financial statements. The Company adopted ASU 2018-07 August 1, 2018. In February 2016, FASB issued ASU No. 2016-02, Accounting Standards Update No. 2016-02, Leases (Topic 842). ASU 2016-02 provides for improvements for accounting guidance related to a leasing treatments on financial statements as a response to user input. The update maintains two classifications of leases, Financial lease and Operating leases. The Update is effective for fiscal years beginning after December 2015, 2018. The company has not yet adopted this standard but there may be impact to the presentation of the Companys financial statements during the period of adoption. |
NOTE 4 - COMMITMENTS AND LEASES
NOTE 4 - COMMITMENTS AND LEASES | 3 Months Ended |
Oct. 31, 2018 | |
Notes | |
NOTE 4 - COMMITMENTS AND LEASES | NOTE 4 COMMITMENTS AND LEASES The Company is committed under numerous operating leases for its offices and various installations of operating equipment. The office leases are commitments of 1 to 3 years and have extension of varying lives. Equipment and installation locations have varying leases of between 3 and 5 years and also have varying renewal option of up to 5 years at time for 15 additional years. The Company is also commited to long term technical agreements governed under service orders with several difference major telecommunications operators for access to dark fiber in conjunction with rack space and power at data centers. Commitments on these technical agreements run from 5 to 10 years. The future minimum lease payments are provided below. Amount For the fiscal year ended July 31, 2019 $ 834,969 For the fiscal year ended July 31, 2020 820,464 For the fiscal year ended July 31, 2021 404,276 For the fiscal year ended July 31, 2022 1,197,956 For the fiscal year ended July 31, 2023 and thereafter - |
NOTE 5 - GOING CONCERN
NOTE 5 - GOING CONCERN | 3 Months Ended |
Oct. 31, 2018 | |
Notes | |
NOTE 5 - GOING CONCERN | NOTE 5 GOING CONCERN The accompanying consolidated financial statements have been prepared on a going concern basis, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business. The Company has consistently sustained losses since its inception. These factors, among others, raise substantial doubt about the ability of the Company to continue as a going concern for a period of one year from the issuance of these financial statements. The Companys continuation as a going concern is dependent upon, among other things, its ability to increase revenues, adequately control operating expenses and receive debt and/or equity capital from third parties. No assurance can be given that the Company will be successful in these efforts. The financial statements do not include any adjustments relating to the recoverability and classification of recorded asset amounts or the amounts and classification of liabilities that might be necessary should the Company be unable to continue as a going concern. The Company intends to continue to address this condition by seeking to raise additional capital through the issuance of debt and/or the sale of equity until such time that ongoing revenues can sustain the business, at which time capitalization may be considered through other means. |
NOTE 6 - PROPERTY AND EQUIPMENT
NOTE 6 - PROPERTY AND EQUIPMENT | 3 Months Ended |
Oct. 31, 2018 | |
Notes | |
NOTE 6 - PROPERTY AND EQUIPMENT | NOTE 6 PROPERTY AND EQUIPMENT As of July 31, 2018, property and equipment consisted of the following: Amount Life Computer m $ 4,636,066 5 Building & Structures 119,416 10 Office i 94,287 5-6 Computer 79,952 3 Capitalized 1,880,554 5 Sub-total 6,810,275 Less: A (2,216,640) Total $ 4,593,635 Depreciation expense was $263,397 and $279,036 for the quarters ended October 31, 2018 and 2017, respectively. |
NOTE 7 - INDEFINITE LIVED INTAN
NOTE 7 - INDEFINITE LIVED INTANGIBLE ASSETS | 3 Months Ended |
Oct. 31, 2018 | |
Notes | |
NOTE 7 - INDEFINITE LIVED INTANGIBLE ASSETS | NOTE 7 INDEFINITE LIVED INTANGIBLE ASSETS The |
NOTE 8 - RELATED PARTY TRANSACT
NOTE 8 - RELATED PARTY TRANSACTIONS | 3 Months Ended |
Oct. 31, 2018 | |
Notes | |
NOTE 8 - RELATED PARTY TRANSACTIONS | NOTE 8 RELATED PARTY TRANSACTIONS During Company entered into two promissory notes with a related party for an aggregate amount of $2,400,000 and $1,000,000 , respectively. The $2,400,000 note matures on January 4, 2019. The terms consist of ten principal and interest payments due quarterly in the amount of $300,000 for total payments of $3,000,000. The Company is currently in default on this loan. To date, the Company has made payments on this note amounting to $725,831. The payments were applied to interest accrued as of the time of payment as well as to principal. The principal balance was $2,294,067 at July 31, 2018 and 2017. The interest accrued was $219,434 at July 31, 2018 and $69,594 at July 31, 2017, respectively. The $1,000,000 note matured on June 9, 2018 at which time the principal became due in its entirety, in addition to simple interest accrued at 3% . The company is currently in default on this loan. For period ending October 31, 2018, 142,500 treasury shares were purchased by a Director of the Company, for cash of $142,500. As none of these shares were issued as of October 31, 2018, the full amount is reported in Shares to be issued, on the balance sheet (see also additional shares to be issued, as identified below in footnote 9). As of October 31, 2018, all of the related party payables are reported as current liabilities in the Consolidated Balance Sheet. |
NOTE 9 - STOCKHOLDERS' EQUITY
NOTE 9 - STOCKHOLDERS' EQUITY | 3 Months Ended |
Oct. 31, 2018 | |
Notes | |
NOTE 9 - STOCKHOLDERS' EQUITY | NOTE 9 STOCKHOLDERS EQUITY Treasury Stock In certain y W (Treasury Shares), f During the three months ended October 31, 2018, the Company received cash of $184,700 from the sale of 255,700 treasury shares . 96,000 of these shares were sold at $0.35 per share; 142,500 of these shares were sold at $1 per share; and 17,200 shares were sold at $0.50 per share. Additionally, the Company issued 110,000 treasury shares to third parties for services provided during the period ended October 31, 2018. The Company valued these shares using the closing quoted price of the Companys common stock on the date of issuance. This resulted an increase in the Companys general and administrative expenses amounting to $49,340 in the first quarter of fiscal year 2019. Of the 255,700 treasury shares sold for cash during the period, 238,500 were yet to be issued as of October 31, 2018 (total value of $176,100 ). As a result of these transactions, the Company has a balance of 7,191,479 treasury shares as of October 31, 2018. |
NOTE 10 - SUBSEQUENT EVENTS
NOTE 10 - SUBSEQUENT EVENTS | 3 Months Ended |
Oct. 31, 2018 | |
Notes | |
NOTE 10 - SUBSEQUENT EVENTS | NOTE 10 SUBSEQUENT EVENTS On September 11, 2018 the Company entered into a stock purchase agreement with 1stPoint Communications, LLC (the Seller) for the purchase of their business. The acquisition was sought by the Company to complete ownership of key assets to support its hosted wireless services for entry into target markets. 1stPoint owns hosted carrier switching intellectual property for both voice and SMS, CLEC licenses in Florida and New York and a nationwide Commercial Mobile Radio Services license that will allow the company to move forward with its Everything Wireless integrated services strategy as well as hosting services that include cloud computing, virtual servers, virtual desktop and collaboration tools that will be used to advance the Companys hosted services platform. The managing member of 1stPoint Communications, LLC is the new CEO of Hammer Fiber. Additionally, the agreement contains a buyback provision that expires 180 days from the closing date. The purchase price for all of the Company Units is three million seven hundred and four thousand five hundred and seventeen (3,704,517) shares of the Companys Common Stock from treasury stock. Seventy five percent (75%) of the shares of the Companys Common Stock to be issued are restricted securities, as defined in Rule 144 of the Securities and Exchange Commission pursuant to the Securities Act of 1933, as amended. On November 1, 2018, the Company completed the previously announced purchase of 1stPoint Communications, LLC, whereby the Company acquired all of the outstanding equity ownership interests in 1stPoint Communications (the Acquisition). On September 11, 2018 the Company entered into a stock purchase agreement with Shelcomm, Inc. (the Seller) for the purchase of their business. Shelcomm offers Pocket Paging, VoIP telephone and messaging solutions that will be used to support the assets acquired by 1stPoint and Endstream and support future Smart City deployments as part of the Companys Everything Wireless strategy. The Co-Chairman of Shelcomm, Inc. is the new CEO of Hammer Fiber; although, he has no management responsibilities with Shelcomm, Inc. Additionally, the agreement contains a buyback provision that expires 180 days from the closing date. The purchase price for all of the Company Units is one million (1,000,000) shares of the Companys Common Stock from treasury stock. The shares of the Companys Common Stock to be issued are restricted securities, as defined in Rule 144 of the Securities and Exchange Commission pursuant to the Securities Act of 1933, as amended. On November 1, 2018, the Company completed the previously announced purchase of Shelcomm, Inc., whereby the Company acquired all of the outstanding equity ownership interests in Shelcomm (the Acquisition). On September 12, 2018 the Company entered into a stock purchase agreement with Open Data Centers, LLC (the Seller) for the purchase of their business. The acquisition was a crucial component of the Companys future hosted services and wireless services platform. Open Data Centers operates a brick-and-mortar colocation facility to support the development of new Company infrastructure and provides 24x7 remote network operations to help management the existing assets as well as the newly acquired 1stPoint and Endstream assets. The managing member of Open Data Centers, LLC is the new CEO of Hammer Fiber. Additionally, the agreement contains a buyback provision that expires 180 days from the closing date. The purchase price for all of the Company Units is two million nine hundred thirty thousand five hundred sixty-six (2,930,566) shares of the Companys Common Stock from treasury stock. The shares of the Companys Common Stock to be issued are restricted securities, as defined in Rule 144 of the Securities and Exchange Commission pursuant to the Securities Act of 1933, as amended. The Company shall also pay Sellers a sum of $200,000 in Cash, delivered to the Sellers no later than January 10, 2019. On November 1, 2018, the Company completed the previously announced purchase of Open Data Centers, LLC whereby the Company acquired all of the outstanding equity ownership interests in Open Data Centers (the Acquisition). On September 11, 2018 the Company entered into a stock purchase agreement with Endstream Communications, LLC (the Seller) for the purchase of their business. The acquisition will bring new cash flow to the Company and will support its wireless service strategy through the offering of voice and messaging services. Endstream offers global VoIP termination, Direct Inbound Calling and Calling Card services which will be utilized by the Company in projects contemplated both in the US and internationally. The managing member of Endstream Communications, LLC is the new CEO of Hammer Fiber. Additionally, the agreement contains a buyback provision that expires 180 days from the closing date. The purchase price for all of the Company Units is one million nine hundred and eighty-eight thousand six hundred and sixteen (1,988,617) shares of the Companys Common Stock from treasury stock. Seventy five percent (75%) of the shares of Buyer Common Stock to be issued are restricted securities, as defined in Rule 144 of the Securities and Exchange Commission pursuant to the Securities Act of 1933, as amended. Due to control of certain communications licenses by Endstream, pursuant to section 214 of the Communications Act of 1934, Endstream required Commission consent from the Federal Communications Commission (FCC) to transfer control of Endstream to the Company. On November 18, 2018 the FCC approved the transfer of control of Endstream Communications, LLC effective December 17, 2018. The Company and Endstream plan to close the same day. |
NOTE 3 - SUMMARY OF SIGNIFICA_2
NOTE 3 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES: Basis of presentation (Policies) | 3 Months Ended |
Oct. 31, 2018 | |
Policies | |
Basis of presentation | Basis The October 31 r w v |
NOTE 3 - SUMMARY OF SIGNIFICA_3
NOTE 3 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES: Use of estimates (Policies) | 3 Months Ended |
Oct. 31, 2018 | |
Policies | |
Use of estimates | Use of estimates The f f |
NOTE 3 - SUMMARY OF SIGNIFICA_4
NOTE 3 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES: Cash and cash equivalents (Policies) | 3 Months Ended |
Oct. 31, 2018 | |
Policies | |
Cash and cash equivalents | Cash and cash equivalents Cash |
NOTE 3 - SUMMARY OF SIGNIFICA_5
NOTE 3 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES: Property and equipment (Policies) | 3 Months Ended |
Oct. 31, 2018 | |
Policies | |
Property and equipment | Property and equipment Property |
NOTE 3 - SUMMARY OF SIGNIFICA_6
NOTE 3 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES: Impairment of long-lived assets (Policies) | 3 Months Ended |
Oct. 31, 2018 | |
Policies | |
Impairment of long-lived assets | Impairment of long-lived assets The |
NOTE 3 - SUMMARY OF SIGNIFICA_7
NOTE 3 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES: Indefinite-lived intangible assets (Policies) | 3 Months Ended |
Oct. 31, 2018 | |
Policies | |
Indefinite-lived intangible assets | Indefinite lived intangible assets The y y The |
NOTE 3 - SUMMARY OF SIGNIFICA_8
NOTE 3 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES: Revenue recognition (Policies) | 3 Months Ended |
Oct. 31, 2018 | |
Policies | |
Revenue recognition | Revenue recognition We adopted ASC 606 on August 1, 2018. Revenue is measured based on a consideration specified in a contract or agreement with a customer. The Company recognizes revenue when it satisfies a performance obligation by transferring control over a product or service to a customer. Incidental items that are immaterial in the context of the contract are recognized as expense. Unearned revenues are recorded when cash payments are received or due in advance of the performance of the services. Taxes assessed by a governmental authority that are both imposed on and concurrent with a specific revenue-producing transaction, that are collected by the Company from a customer, are excluded from revenue. The Revenue is recorded net of discounts provided to customers. Discounts applied during the quarter ended October 31, 2018 and 2017 were $3,287 and $6,319, respectively. |
NOTE 3 - SUMMARY OF SIGNIFICA_9
NOTE 3 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES: Income taxes (Policies) | 3 Months Ended |
Oct. 31, 2018 | |
Policies | |
Income taxes | Income taxes The T f f f |
NOTE 3 - SUMMARY OF SIGNIFIC_10
NOTE 3 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES: Fair value measurements (Policies) | 3 Months Ended |
Oct. 31, 2018 | |
Policies | |
Fair value measurements | Fair value measurements The T V The ASC y Level Level Level |
NOTE 3 - SUMMARY OF SIGNIFIC_11
NOTE 3 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES: Consolidation of financial statements (Policies) | 3 Months Ended |
Oct. 31, 2018 | |
Policies | |
Consolidation of financial statements | Consolidation of financial statements Hammer W |
NOTE 3 - SUMMARY OF SIGNIFIC_12
NOTE 3 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES: Basic and Diluted Earnings (Loss) per Common Share (Policies) | 3 Months Ended |
Oct. 31, 2018 | |
Policies | |
Basic and Diluted Earnings (Loss) per Common Share | Basic and Diluted Earnings (Loss) per Common Share The r r y y |
NOTE 3 - SUMMARY OF SIGNIFIC_13
NOTE 3 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES: Recent accounting pronouncements (Policies) | 3 Months Ended |
Oct. 31, 2018 | |
Policies | |
Recent accounting pronouncements | Recent accounting pronouncements In June 2018, the FASB issued ASU No. 2018-07, Compensation Stock Compensation (Topic 718) (ASU 2018-07). ASU 2018-07 provides for improvements to nonemployee share-based payment accounting by expanding the scope of Topic 718 to include share-based payment transactions for acquiring goods and services from nonemployees. The awards will be measured at grant date, consistent with accounting for employee share-based payment awards. The measurement date has been redefined as the date at which the grantor and grantee reach a mutual understanding of the key terms and conditions of the award. The requirement to reassess classification of equity-classified awards upon vesting has been eliminated. We do not expect the adoption of this standard to have a material impact on the Companys financial statements. The Company adopted ASU 2018-07 August 1, 2018. In February 2016, FASB issued ASU No. 2016-02, Accounting Standards Update No. 2016-02, Leases (Topic 842). ASU 2016-02 provides for improvements for accounting guidance related to a leasing treatments on financial statements as a response to user input. The update maintains two classifications of leases, Financial lease and Operating leases. The Update is effective for fiscal years beginning after December 2015, 2018. The company has not yet adopted this standard but there may be impact to the presentation of the Companys financial statements during the period of adoption. |
NOTE 4 - COMMITMENTS AND LEAS_2
NOTE 4 - COMMITMENTS AND LEASES: Schedule of Future Minimum Rental Payments for Operating Leases (Tables) | 3 Months Ended |
Oct. 31, 2018 | |
Tables/Schedules | |
Schedule of Future Minimum Rental Payments for Operating Leases | Amount For the fiscal year ended July 31, 2019 $ 834,969 For the fiscal year ended July 31, 2020 820,464 For the fiscal year ended July 31, 2021 404,276 For the fiscal year ended July 31, 2022 1,197,956 For the fiscal year ended July 31, 2023 and thereafter - |
NOTE 6 - PROPERTY AND EQUIPME_2
NOTE 6 - PROPERTY AND EQUIPMENT: Schedule of Property, Plant and Equipment (Tables) | 3 Months Ended |
Oct. 31, 2018 | |
Tables/Schedules | |
Schedule of Property, Plant and Equipment | Amount Life Computer m $ 4,636,066 5 Building & Structures 119,416 10 Office i 94,287 5-6 Computer 79,952 3 Capitalized 1,880,554 5 Sub-total 6,810,275 Less: A (2,216,640) Total $ 4,593,635 |
NOTE 2 - CORPORATE HISTORY AN_2
NOTE 2 - CORPORATE HISTORY AND BACKGROUND ON MERGER (Details) | 3 Months Ended |
Oct. 31, 2018 | |
Details | |
Entity Incorporation, State Country Name | Nevada |
Entity Incorporation, Date of Incorporation | Sep. 23, 2010 |
Entity Information, Former Legal or Registered Name | Recursos Montana S.A. |
Trading Symbol | hmmr |
NOTE 3 - SUMMARY OF SIGNIFIC_14
NOTE 3 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES: Revenue recognition (Details) - USD ($) | 3 Months Ended | |
Oct. 31, 2018 | Oct. 31, 2017 | |
Details | ||
Discounts | $ 3,287 | $ 6,319 |
NOTE 4 - COMMITMENTS AND LEAS_3
NOTE 4 - COMMITMENTS AND LEASES: Schedule of Future Minimum Rental Payments for Operating Leases (Details) | Oct. 31, 2018USD ($) |
Details | |
For the fiscal year ended July 31, 2019 | $ 834,969 |
For the fiscal year ended July 31, 2020 | 820,464 |
For the fiscal year ended July 31, 2021 | 404,276 |
For the fiscal year ended July 31, 2022 | 1,197,956 |
For the fiscal year ended July 31, 2023 and thereafter | $ 0 |
NOTE 6 - PROPERTY AND EQUIPME_3
NOTE 6 - PROPERTY AND EQUIPMENT: Schedule of Property, Plant and Equipment (Details) - USD ($) | Jul. 31, 2018 | Oct. 31, 2018 |
Property, Plant and Equipment, Gross | $ 6,810,275 | |
Accumulated Depreciation, Depletion and Amortization, Property, Plant, and Equipment | (2,216,640) | |
Property, Plant and Equipment, Net | $ 4,593,635 | $ 4,330,238 |
Computer and Telecom equipment | ||
Life | 5 years | |
Property, Plant and Equipment, Gross | $ 4,636,066 | |
Building & Structures | ||
Life | 10 years | |
Property, Plant and Equipment, Gross | $ 119,416 | |
Office equipment, furniture, fixtures | ||
Property, Plant and Equipment, Gross | $ 94,287 | |
Office equipment, furniture, fixtures | Minimum | ||
Life | 5 years | |
Office equipment, furniture, fixtures | Maximum | ||
Life | 6 years | |
Computer software | ||
Life | 3 years | |
Property, Plant and Equipment, Gross | $ 79,952 | |
Capitalized labor costs | ||
Life | 5 years | |
Property, Plant and Equipment, Gross | $ 1,880,554 |
NOTE 6 - PROPERTY AND EQUIPME_4
NOTE 6 - PROPERTY AND EQUIPMENT (Details) - USD ($) | 3 Months Ended | |
Oct. 31, 2018 | Oct. 31, 2017 | |
Details | ||
Depreciation and amortization | $ 263,397 | $ 279,036 |
NOTE 7 - INDEFINITE LIVED INT_2
NOTE 7 - INDEFINITE LIVED INTANGIBLE ASSETS (Details) - USD ($) | Oct. 31, 2018 | Jul. 31, 2018 |
Details | ||
Intangible Assets, Net (Excluding Goodwill) | $ 18,934 | $ 18,934 |
NOTE 8 - RELATED PARTY TRANSA_2
NOTE 8 - RELATED PARTY TRANSACTIONS (Details) - USD ($) | 3 Months Ended | ||
Oct. 31, 2018 | Jul. 31, 2018 | Jul. 31, 2017 | |
Treasury shares were purchased, shares | 142,500 | ||
Stock Issued During Period, Shares, Treasury Stock Reissued | 142,500 | ||
Promissory Note with related party | |||
Related Party Transaction, Description of Transaction | Company entered into two promissory notes with a related party | ||
Related Party Transaction, Terms and Manner of Settlement | terms consist of ten principal and interest payments due quarterly | ||
Long-term Debt | $ 2,294,067 | $ 2,294,067 | |
Interest Payable | $ 219,434 | $ 69,594 | |
Promissory Note with related party - 1 | |||
Related Party Transaction, Amounts of Transaction | $ 2,400,000 | ||
Promissory Note with related party - 2 | |||
Related Party Transaction, Amounts of Transaction | $ 1,000,000 | ||
Debt Instrument, Maturity Date | Jun. 9, 2018 | ||
Debt Instrument, Interest Rate, Stated Percentage | 3.00% |
NOTE 9 - STOCKHOLDERS' EQUITY (
NOTE 9 - STOCKHOLDERS' EQUITY (Details) - USD ($) | 3 Months Ended | |
Oct. 31, 2018 | Jul. 31, 2018 | |
Common Stock, Shares Subscribed but Unissued | 238,500 | |
Common Stock, Share Subscribed but Unissued, Subscriptions Receivable | $ (176,100) | $ 0 |
Treasury Stock, Shares | 7,191,479 | |
During the nine months ended April 30, 2018 | ||
Equity Method Investment, Additional Information | Company received cash of $184,700 from the sale of 255,700 treasury shares | |
On September 18, 2017 | ||
Equity Method Investment, Additional Information | Company issued 110,000 treasury shares to third parties for services provided |
NOTE 10 - SUBSEQUENT EVENTS (De
NOTE 10 - SUBSEQUENT EVENTS (Details) | 3 Months Ended |
Oct. 31, 2018 | |
Event 1 | |
Subsequent Event, Date | Sep. 11, 2018 |
Subsequent Event, Description | Company entered into a stock purchase agreement with 1stPoint Communications, LLC |
Event 2 | |
Subsequent Event, Date | Sep. 11, 2018 |
Subsequent Event, Description | Company entered into a stock purchase agreement with Shelcomm, Inc. |
Event 3 | |
Subsequent Event, Date | Sep. 12, 2018 |
Subsequent Event, Description | Company entered into a stock purchase agreement with Open Data Centers, LLC |
Event 4 | |
Subsequent Event, Date | Sep. 11, 2018 |
Subsequent Event, Description | Company entered into a stock purchase agreement with Endstream Communications, LLC |