Luckwel Pharmaceuticals (LWEL) 10-K 2 May 16 2016 FY Annual report Financial data

Document and Entity Information

Document and Entity Information - USD ($)	12 Months Ended
	Feb. 29, 2016	May. 02, 2016
Document And Entity Information
Entity Registrant Name	LUCKYCOM INC
Entity Central Index Key	1,567,098
Document Type	10-K
Document Period End Date	Feb. 29, 2016
Amendment Flag	false
Current Fiscal Year End Date	--02-29
Is Entity a Well-known Seasoned Issuer?	No
Is Entity a Voluntary Filer?	No
Is Entity's Reporting Status Current?	Yes
Entity Filer Category	Smaller Reporting Company
Entity Public Float		$ 0
Entity Common Stock, Shares Outstanding		17,500,000
Document Fiscal Period Focus	FY
Document Fiscal Year Focus	2,016

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($)	Feb. 29, 2016	Feb. 28, 2015
Current assets
Cash and cash equivalents	$ 116,642	$ 48,286
Prepaid expense and other current assets	125
Total Current Assets	$ 116,767	$ 48,286
Other asset
Drug License, net of $55,000 and $45,833 amortization		9,167
Total Other Assets		9,167
TOTAL ASSETS	$ 116,767	57,453
Current Liabilities
Accounts payable and accrued expenses	741	2,314
Due to officer	32,081	390,466
Total Current Liabilities	32,822	392,780
Total Liabilities	32,822	392,780
Stockholders' Deficit
Common stock, $0.01 par value; 100,000,000 shares authorized; 17,500,000 and 10,500,000 shares issued and outstanding, respectively	175,000	105,000
Additional paid in capital	856,000	86,000
Accumulated other comprehensive income	10	10
Accumulated deficit	(947,065)	(526,337)
Total Stockholders' Deficit	83,945	(335,327)
TOTAL LIABILITIES AND STOCKHOLDERS' DEFICIT	$ 116,767	$ 57,453

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($)	Feb. 29, 2016	Feb. 28, 2015
Statement of Financial Position [Abstract]
Drug license amortization	$ 55,000	$ 45,833
Common Stock, par value	$ 0.01	$ 0.01
Common Stock, Shares Authorised	100,000,000	100,000,000
Common Stock, Shares Issued	17,500,000	10,500,000
Common Stock, Shares Outstanding	17,500,000	10,500,000

CONSOLIDATED STATEMENTS OF OPER

CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($)	12 Months Ended
	Feb. 29, 2016	Feb. 28, 2015
Income Statement [Abstract]
General and administrative expenses	$ 420,772	$ 265,105
Other income	44	950
Net Loss	$ (420,728)	$ (264,155)
Net loss per share - basic and diluted	$ (0.03)	$ (0.03)
Weighted average common shares - basic and diluted	14,562,077	10,500,000

CONSOLIDATED STATEMENT OF STOCK

CONSOLIDATED STATEMENT OF STOCKHOLDERS' EQUITY (DEFICIT) - USD ($)	Common Stock	Additional Paid-In Capital	Accumulated other comprehensive income	Deficit Accumulated	Total
Beginning Balance at Feb. 28, 2014	$ 105,000	$ 86,000	$ 10	$ (262,182)	$ (71,172)
Beginning Balance (in shares) at Feb. 28, 2014	10,500,000
Net loss				(264,155)	(264,155)
Ending Balance at Feb. 28, 2015	$ 105,000	$ 86,000	$ 10	$ (526,337)	$ (335,327)
Ending Balance (in shares) at Feb. 28, 2015	10,500,000				10,500,000
Common stock issued for cash	$ 35,000	385,000			$ 420,000
Common stock issued for cash (in shares)	3,500,000
Debt settlement	$ 35,000	315,000			350,000
Debt settlement	3,500,000
Stock-based compensation		$ 70,000			70,000
Net loss				$ (420,728)	(420,728)
Ending Balance at Feb. 29, 2016	$ 175,000	$ 856,000	$ 10	$ (947,065)	$ 83,945
Ending Balance (in shares) at Feb. 29, 2016	17,500,000				17,500,000

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)	12 Months Ended
	Feb. 29, 2016	Feb. 28, 2015
Cash Flows from Operating Activities
Net loss for the period	$ (420,728)	$ (264,155)
Adjustment to reconcile net loss to net cash used in operating activities:
Amortization of drug license	9,167	$ 27,500
Stock-based compensation	70,000
Changes in assets and liabilities:
Increase (decrease) in prepaid expenses	(125)
Increase (decrease) in accounts payable and accrued expenses	(1,573)	$ (7,994)
Net Cash Used in Operating Activities	(343,259)	$ (244,649)
Cash Flows from Financing Activities
Proceeds from issuance of common stock	420,000
Proceeds from officer loans	93,278	$ 198,615
Repayments of officer loans	(101,663)
Net Cash Provided by Financing Activities	411,615	$ 198,615
Net Increase in Cash and Cash Equivalents	68,356	(46,034)
Cash and cash equivalents, beginning of period	48,286	94,320
Cash and cash equivalents, end of period	$ 116,642	$ 48,286
SUPPLEMENTAL CASH FLOW INFORMATION:
Interest paid
Income taxes paid
SUPPLEMENTAL NON-CASH INVESTING AND FINANCING INFORMATION:
Shares issued for debt conversion	$ 350,000

SUMMARY OF SIGNIFICANT ACCOUNTI

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	12 Months Ended
	Feb. 29, 2016
Accounting Policies [Abstract]
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	Note 1 – Summary of Significant Accounting Policies Organization and Description of Busines Luckycom, Inc. (“the Company” or “Lucky”) was incorporated under the laws of the State of Nevada on January 2, 2013. Luckycom, Inc. plans to acquire, develop, manufacture and market pharmaceutical medication. In the next few years, we plan to qualify and gain acceptance in international public tenders for anti-malarial drugs through the prequalification programme process governed by the World Health Organization (”WHO”). Luckycom Limited, a wholly-owned subsidiary of Luckycom, Inc, was incorporated in Hong Kong as Goldsans Capital (Hong Kong) Limited (“Goldsans”) on November 08, 2011. Goldsans name was changed to Wudor Capital Hong Kong Limited on May 22, 2012 and subsequently to Luckycom Limited on June 28, 2013. Basis of Presentation The financial statements of the Company have been prepared in accordance with generally accepted accounting principles in the United States of America and are presented in US dollars (“USD”). On February 11, 2016, the Board of Directors of Luckycom, Inc. approved a change in the fiscal year end from a fiscal year ending on February 28 or 29 (as the case may be) to March 31, effective beginning with fiscal year 2016. The Company expects to make the fiscal year change on a prospective basis and will not adjust operating results for prior periods. The change to the Company's fiscal year will not impact the Company's fiscal year results for the year ended February 29, 2016. However, the change will impact the prior year comparability of each of the fiscal quarters and annual period in 2016 in future filings. The Company's next Annual Report on Form 10-K will be for the fiscal year ending February 29, 2016 and the Company's first Quarterly Report on Form 10-Q will be for the four-month period ended June 30, 2016. The Company believes this change will provide numerous benefits, including aligning its reporting periods to be more consistent with peer companies and improving comparability between periods. Principles of Consolidation These consolidated financial statements include the accounts of Luckycom, Inc., and its wholly-owned subsidiary Luckycom Limited. All intercompany balances and transactions have been eliminated in consolidation. Cash and Cash Equivalents The Company considers all highly liquid investments with the original maturities of three months or less to be cash equivalents. The Company had $116,642 and $48,286 of cash as of February 29, 2016 and February 28, 2015, respectively. Fair Value of Financial Instruments The Company’s financial instruments consist of cash and cash equivalents, accrued expenses and loans payable to an officer. The carrying amount of these financial instruments approximates fair value due either to length of maturity or interest rates that approximate prevailing market rates unless otherwise disclosed in these financial statements. Income Taxes Income taxes are computed using the asset and liability method. Under the asset and liability method, deferred income tax assets and liabilities are determined based on the differences between the financial reporting and tax bases of assets and liabilities and are measured using the currently enacted tax rates and laws. A valuation allowance is provided for the amount of deferred tax assets that, based on available evidence, are not expected to be realized. Use of Estimates The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date the financial statements and the reported amount of revenues and expenses during the reporting period. Actual results could differ from those estimates. Revenue Recognition The Company recognizes revenue when products are fully delivered or services have been provided and collection is reasonably assured. Stock-Based Compensation Stock-based compensation is accounted for at fair value in accordance with ASC Topic 718. To date, the Company has not adopted a stock option plan and has not granted any stock options. Basic Income (Loss) Per Share Basic income (loss) per share is calculated by dividing the Company’s net loss applicable to common shareholders by the weighted average number of common shares during the period. Diluted earnings per share is calculated by dividing the Company’s net income available to common shareholders by the diluted weighted average number of shares outstanding during the year. The diluted weighted average number of shares outstanding is the basic weighted number of shares adjusted for any potentially dilutive debt or equity. There are no such common stock equivalents outstanding as of February 29, 2016. Comprehensive Income The Company has which established standards for reporting and display of comprehensive income, its components and accumulated balances. When applicable, the Company would disclose this information on its Statement of Stockholders’ Equity. Comprehensive income comprises equity except those resulting from investments by owners and distributions to owners. The Company has not had any significant transactions that are required to be reported in other comprehensive income. Foreign Currency Translation The Company is based in Hong Kong although it is incorporated in Nevada. The functional currency of the Company is the Hong Kong Dollar and is translated to U.S. dollars using the exchange rate effective for the date reported for assets and liabilities and the average exchange rate for the period reported for revenues and expenses. Recent Accounting Pronouncements The Company does not expect the adoption of recently issued accounting pronouncements to have a significant impact on the Company’s results of operations, financial position or cash flow.

GOING CONCERN

GOING CONCERN	12 Months Ended
	Feb. 29, 2016
Notes to Financial Statements
GOING CONCERN	Note 2 – Going Concern The financial statements have been prepared on a going concern basis which assumes the Company will be able to realize its assets and discharge its liabilities in the normal course of business for the foreseeable future. The Company has incurred losses since inception resulting in an accumulated deficit of $947,065 as of February 29, 2016 and further losses are anticipated in the development of its business raising substantial doubt about the Company’s ability to continue as a going concern. The ability to continue as a going concern is dependent upon the Company generating profitable operations in the future and/or to obtain the necessary financing to meet its obligations and repay its liabilities arising from normal business operations when they come due. Management intends to finance operating costs over the next twelve months with existing cash on hand and loans from directors and or private placement of common stock.

LOANS PAYABLE - RELATED PARTY

LOANS PAYABLE - RELATED PARTY	12 Months Ended
	Feb. 29, 2016
Payables and Accruals [Abstract]
LOANS PAYABLE - RELATED PARTY	Note 3 – Related Party Transactions On August 3, 2015, the Company agreed to convert $350,000 debt owed to it sole officer and director, Mr. Kingrich Lee, into 3,500,000 shares of its common stock at $0.10 per share. The Company has fair valued the total shares as $420,000 and recognized the $70,000 as the stock based compensation to Mr. Lee. The Company’s sole officer and director, and a shareholder, Mr. Kingrich Lee, loaned an aggregate of $93,278 to the Company during the year ended February 29, 2016, and Mr. Lee is owed an aggregate of $32,081 as of February 29, 2016. The amounts are unsecured, non-interest bearing and due on demand. During the year ended February 29, 2016, $101,663 was paid in cash to Mr. Kingrich Lee. On October 2, 2015, the Company entered into a one-year employment agreement with Mr. Kingrich Lee to serve as its CEO. For his services, the Company agreed to pay an annual salary of $180,000. The Company had an oral agreement with its officer and director to pay him a monthly salary of approximately HK$35,000 or approximately US$4,520. The agreement terminated on June 30, 2013, and an employment agreement was entered into at that time providing for officer compensation of approximately US$10,000 per month. Total officer compensation was $120,000 for the year ended February 28, 2015.

CAPITAL STOCK

CAPITAL STOCK	12 Months Ended
	Feb. 29, 2016
Equity [Abstract]
CAPITAL STOCK	Note 4 – Capital Stock During the year ended February 29, 2016, the Company issued 7,000,000 shares of its common stock, including 3,500,000 shares of its common stock at $0.12 per share to eleven investors for total proceeds of $420,000, and 3,500,000 of its common stock at $0.10 per share in conversion of $350,000 owed to its sole officer and director, Mr. Lee. As of February 29, 2016, the Company had 17,500,000 shares of common stock issued and outstanding.

INCOME TAXES

INCOME TAXES	12 Months Ended
	Feb. 29, 2016
Income Tax Disclosure [Abstract]
INCOME TAXES	Note 5 – Income Taxes As of February 29, 2016, the Company had net operating loss carry forwards of $869,000 that may be available to reduce future years’ taxable income in varying amounts through 2034. Future tax benefits which may arise as a result of these losses have not been recognized in these financial statements, as their realization is determined not likely to occur and accordingly, the Company has recorded a valuation allowance for the deferred tax asset relating to these tax loss carry-forwards. The approximate cumulative tax effect at the expected rate of 34% of significant items comprising our net deferred tax amount is as follows as of February 29, 2016: February 29, 2016 February 28, 2015 Federal income tax benefit attributable to: Current Operations $ 295,500 $ 178,954 Less: valuation allowance (295,500 ) (178,954 ) Net provision for Federal income taxes $ 0 $ 0

SUMMARY OF SIGNIFICANT ACCOUN12

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	12 Months Ended
	Feb. 29, 2016
Accounting Policies [Abstract]
Organization and Description of Business	Organization and Description of Busines Luckycom, Inc. (“the Company” or “Lucky”) was incorporated under the laws of the State of Nevada on January 2, 2013. Luckycom, Inc. plans to acquire, develop, manufacture and market pharmaceutical medication. In the next few years, we plan to qualify and gain acceptance in international public tenders for anti-malarial drugs through the prequalification programme process governed by the World Health Organization (”WHO”). Luckycom Limited, a wholly-owned subsidiary of Luckycom, Inc, was incorporated in Hong Kong as Goldsans Capital (Hong Kong) Limited (“Goldsans”) on November 08, 2011. Goldsans name was changed to Wudor Capital Hong Kong Limited on May 22, 2012 and subsequently to Luckycom Limited on June 28, 2013.
Basis of Presentation	Basis of Presentation The financial statements of the Company have been prepared in accordance with generally accepted accounting principles in the United States of America and are presented in US dollars (“USD”). On February 11, 2016, the Board of Directors of Luckycom, Inc. approved a change in the fiscal year end from a fiscal year ending on February 28 or 29 (as the case may be) to March 31, effective beginning with fiscal year 2016. The Company expects to make the fiscal year change on a prospective basis and will not adjust operating results for prior periods. The change to the Company's fiscal year will not impact the Company's fiscal year results for the year ended February 29, 2016. However, the change will impact the prior year comparability of each of the fiscal quarters and annual period in 2016 in future filings. The Company's next Annual Report on Form 10-K will be for the fiscal year ending February 29, 2016 and the Company's first Quarterly Report on Form 10-Q will be for the four-month period ended June 30, 2016. The Company believes this change will provide numerous benefits, including aligning its reporting periods to be more consistent with peer companies and improving comparability between periods.
Principles of Consolidation	Principles of Consolidation These consolidated financial statements include the accounts of Luckycom, Inc., and its wholly-owned subsidiary Luckycom Limited. All intercompany balances and transactions have been eliminated in consolidation.
Cash and Cash Equivalents	Cash and Cash Equivalents The Company considers all highly liquid investments with the original maturities of three months or less to be cash equivalents. The Company had $116,642 and $48,286 of cash as of February 29, 2016 and February 28, 2015, respectively.
Fair Value of Financial Instruments	Fair Value of Financial Instruments The Company’s financial instruments consist of cash and cash equivalents, accrued expenses and loans payable to an officer. The carrying amount of these financial instruments approximates fair value due either to length of maturity or interest rates that approximate prevailing market rates unless otherwise disclosed in these financial statements.
Income Taxes	Income Taxes Income taxes are computed using the asset and liability method. Under the asset and liability method, deferred income tax assets and liabilities are determined based on the differences between the financial reporting and tax bases of assets and liabilities and are measured using the currently enacted tax rates and laws. A valuation allowance is provided for the amount of deferred tax assets that, based on available evidence, are not expected to be realized.
Use of Estimates	Use of Estimates The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date the financial statements and the reported amount of revenues and expenses during the reporting period. Actual results could differ from those estimates.
Revenue Recognition	Revenue Recognition The Company recognizes revenue when products are fully delivered or services have been provided and collection is reasonably assured.
Stock-Based Compensation	Stock-Based Compensation Stock-based compensation is accounted for at fair value in accordance with ASC Topic 718. To date, the Company has not adopted a stock option plan and has not granted any stock options.
Basic Income (Loss) Per Share	Basic Income (Loss) Per Share Basic income (loss) per share is calculated by dividing the Company’s net loss applicable to common shareholders by the weighted average number of common shares during the period. Diluted earnings per share is calculated by dividing the Company’s net income available to common shareholders by the diluted weighted average number of shares outstanding during the year. The diluted weighted average number of shares outstanding is the basic weighted number of shares adjusted for any potentially dilutive debt or equity. There are no such common stock equivalents outstanding as of February 29, 2016.
Comprehensive Income	Comprehensive Income The Company has which established standards for reporting and display of comprehensive income, its components and accumulated balances. When applicable, the Company would disclose this information on its Statement of Stockholders’ Equity. Comprehensive income comprises equity except those resulting from investments by owners and distributions to owners. The Company has not had any significant transactions that are required to be reported in other comprehensive income.
Foreign Currency Translation	Foreign Currency Translation The Company is based in Hong Kong although it is incorporated in Nevada. The functional currency of the Company is the Hong Kong Dollar and is translated to U.S. dollars using the exchange rate effective for the date reported for assets and liabilities and the average exchange rate for the period reported for revenues and expenses.
Recent Accounting Pronouncements	Recent Accounting Pronouncements The Company does not expect the adoption of recently issued accounting pronouncements to have a significant impact on the Company’s results of operations, financial position or cash flow.

INCOME TAXES (Tables)

INCOME TAXES (Tables)	12 Months Ended
	Feb. 29, 2016
Income Taxes Tables
Schedule of effective income tax rate reconciliation	February 29, 2016 February 28, 2015 Federal income tax benefit attributable to: Current Operations $ 295,500 $ 178,954 Less: valuation allowance (295,500 ) (178,954 ) Net provision for Federal income taxes $ 0 $ 0

SUMMARY OF SIGNIFICANT ACCOUN14

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) - USD ($)	Feb. 29, 2016	Feb. 28, 2015	Feb. 28, 2014
Summary Of Significant Accounting Policies Details Narrative
Cash and cash equivalents	$ 116,642	$ 48,286	$ 94,320

GOING CONCERN (Details Narrativ

GOING CONCERN (Details Narrative) - USD ($)	Feb. 29, 2016	Feb. 28, 2015
Notes to Financial Statements
Accumulated Deficit	$ 947,065	$ 526,337

RELATED PARTY TRANSACTIONS (Det

RELATED PARTY TRANSACTIONS (Details Narrative) - USD ($)	1 Months Ended	12 Months Ended
	Jun. 30, 2014	Feb. 28, 2015
Officer Compensation		$ 120,000
Officer And Director [Member]
Monthly Fees	$ 10,000

INCOME TAXES (Details Narrative

INCOME TAXES (Details Narrative)	12 Months Ended
	Feb. 29, 2016USD ($)
Income Taxes Details Narrative
Cumulative Tax Effect at the Expected Rate	34.00%
Net Operating Loss Carry Forwards	$ 869,000

INCOME TAXES (Details)

INCOME TAXES (Details) - USD ($)	12 Months Ended
	Feb. 29, 2016	Feb. 28, 2015
Income Taxes Details
Current Operations	$ 295,500	$ 178,954
Less: valuation allowance	$ (295,500)	$ (178,954)
Net provision for Federal income taxes