QLY Biotech (LQLY) 10-Q 13 Jan 23 2023 Q1 Quarterly report Financial data

Cover

Cover - shares	3 Months Ended
	Nov. 30, 2022	Jan. 13, 2023
Cover [Abstract]
Entity Registrant Name	QLY BIOTECH GROUP CORP.
Entity Central Index Key	0001787123
Document Type	10-Q
Amendment Flag	false
Current Fiscal Year End Date	--08-31
Entity Small Business	true
Entity Shell Company	false
Entity Emerging Growth Company	true
Entity Current Reporting Status	Yes
Document Period End Date	Nov. 30, 2022
Entity Filer Category	Non-accelerated Filer
Document Fiscal Period Focus	Q1
Document Fiscal Year Focus	2023
Entity Ex Transition Period	false
Entity Common Stock Shares Outstanding		3,895,000
Document Quarterly Report	true
Document Transition Report	false
Entity File Number	333-234137
Entity Incorporation State Country Code	NV
Entity Tax Identification Number	98-1448750
Entity Address Address Line 1	5348 VEGAS DRIVE
Entity Address City Or Town	LAS VEGAS
Entity Address State Or Province	NV
Entity Address Postal Zip Code	89108
City Area Code	86
Local Phone Number	18678961296
Security 12g Title	Common stock, $.001 par value
Trading Symbol	LQLY
Entity Interactive Data Current	Yes

CONDENSED BALANCE SHEETS

CONDENSED BALANCE SHEETS - USD ($)	Nov. 30, 2022	Aug. 31, 2022
ASSETS
TOTAL ASSETS	$ 0	$ 0
CURRENT LIABILITIES
Accrued liabilities	3,500	0
Amount due to a director	4,548	0
Total current liabilities	8,048	0
TOTAL LIABILITIES	8,048	0
STOCKHOLDERS' DEFICIT
Common stock, $0.001 par value, 1,000,000,000 shares authorized, 3,895,000 shares issued and outstanding as of November 30, 2022 and August 31, 2022, respectively	3,895	3,895
Additional paid-in capital	47,150	46,030
Accumulated deficit	(59,093)	(49,925)
TOTAL STOCKHOLDERS' DEFICIT	(8,048)	0
TOTAL LIABILITIES AND STOCKHOLDERS' DEFICIT	$ 0	$ 0

CONDENSED BALANCE SHEETS (Paren

CONDENSED BALANCE SHEETS (Parenthetical) - $ / shares	Nov. 30, 2022	Aug. 31, 2022
CONDENSED BALANCE SHEETS
Common stock, shares par value	$ 0.001	$ 0.001
Common stock, shares authorized	1,000,000,000	1,000,000,000
Common stock, shares issued	3,895,000	3,895,000
Common stock, shares outstanding	3,895,000	3,895,000

CONDENSED STATEMENTS OF OPERATI

CONDENSED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS (Unaudited) - USD ($)	3 Months Ended
	Nov. 30, 2022	Nov. 30, 2021
CONDENSED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS (Unaudited)
REVENUES	$ 0	$ 0
COSTS OF REVENUES	0	0
GROSS INCOME	0	0
GENERAL & ADMINISTRATIVE EXPENSES	9,168	4,212
LOSS BEFORE INCOME TAX	(9,168)	(4,212)
INCOME TAX EXPENSES	0
NET LOSS	(9,168)	(4,212)
Other comprehensive gain (loss):
Foreign exchange adjustment gain (loss)	0
COMPREHENSIVE LOSS	$ (9,168)	$ (4,212)
Net loss per share - Basic and diluted	$ 0	$ 0
Weighted average number of common shares outstanding - Basic and diluted	3,895,000	3,895,000

CONDENSED STATEMENTS OF CHANGES

CONDENSED STATEMENTS OF CHANGES IN STOCKHOLDERS DEFICIT (Unaudited) - USD ($)	Total	Common Stock	Additional Paid-In Capital	Retained Earnings (Accumulated Deficit)
Balance, shares at Aug. 31, 2021		3,895,000
Balance, amount at Aug. 31, 2021	$ (5,963)	$ 3,895	$ 25,955	$ (35,813)
Net Income (Loss)	(4,212)	$ 0	0	(4,212)
Satisfaction of amount due to current shareholder	0
Balance, shares at Nov. 30, 2021		3,895,000
Balance, amount at Nov. 30, 2021	(10,175)	$ 3,895	25,955	(40,025)
Balance, shares at Aug. 31, 2022		3,895,000
Balance, amount at Aug. 31, 2022	0	$ 3,895	46,030	(49,925)
Net Income (Loss)	(9,168)	0	0	(9,168)
Satisfaction of amount due to current shareholder	1,120	$ 0	1,120	0
Balance, shares at Nov. 30, 2022		3,895,000
Balance, amount at Nov. 30, 2022	$ (8,048)	$ 3,895	$ 47,150	$ (59,093)

CONDENSED STATEMENTS OF CASH FL

CONDENSED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($)	3 Months Ended
	Nov. 30, 2022	Nov. 30, 2021
CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss	$ (9,168)	$ (4,212)
Adjustments To Reconcile Net Loss To Net Cash Used In Operating Activities
Amortization cost and depreciation	0	428
Changes in operating assets and liabilities:
Accounts payable	0	(1,025)
Accrued liabilities	3,500	0
Net cash used in operating activities	(5,668)	(4,809)
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds of loan from former shareholder	0	800
Proceeds of loan from current shareholder	5,668	0
Net cash generated from financing activities	5,668	800
Effect of exchange rate changes on cash and cash equivalents	0	0
Net change in cash and cash equivalents	0	(4,009)
Cash and cash equivalents, beginning of year	0	5,169
CASH AND CASH EQUIVALENTS, END OF YEAR	0	1,160
SUPPLEMENTAL CASH FLOWS INFORMATION
Income taxes paid	0	0
Interest paid	0	0
NON-CASH INVESTMENT AND FINANCING ACTIVITIES
Satisfaction of amount due to current shareholder on November 30, 2022	$ 1,120	$ 0

ORGANIZATION AND BUSINESS BACKG

ORGANIZATION AND BUSINESS BACKGROUND	3 Months Ended
	Nov. 30, 2022
ORGANIZATION AND BUSINESS BACKGROUND
NOTE 1 - ORGANIZATION AND BUSINESS BACKGROUND	NOTE 1 – ORGANIZATION AND BUSINESS BACKGROUND QLY Biotech Group Corp., a Nevada corporation (“the Company” or “QLY”) was incorporated under the laws of the State of Nevada on September 20, 2018. The Company was used to engaged in the tourism. The company used to organize individual and group sailing tours in the Dominican Republic. Services and itineraries were used to be provide by our company include custom packages according to the client’s specifications. And we used to develop and offer our own sailing tours in the North part of Dominican Republic as well as third-party suppliers. On July 8, 2022, as a result of a private transactions, 3,000,000 shares of common stock, $0.001 par value per share (the “Shares”) of QLY Biotech Group Corp. (Former name: Azar International Corp.)., were transferred from Hilario Lopez Vargas to Lixue Yang. As a result, Lixue Yang became holders of approximately 77% of the voting rights of the issued and outstanding share capital of the Company and became the controlling shareholder. The consideration paid for the Shares was $350,000. The source of the cash consideration for the Shares was personal funds of Lixue Yang. In connection with the transaction, Hilario Lopez Vargas released the Company from all debts owed to him, and the Company agreed to assign the Computer and Designer (that were acquired by the Company on September 30, 2019 and November 1, 2019, respectively) to him. On July 8, 2022, the existing director and officer resigned immediately. Accordingly, Hilario Lopez Vargas, serving as a director and an officer, ceased to be the Company’s Chief Executive Officer, Chief Financial Officer, President, Treasurer, Secretary and a Director. At the effective date of the transfer, Lixue Yang consented to act as the new Chief Executive Officer, Chief Financial Officer, President, Treasurer, Secretary and a Director of the Company.

GOING CONCERN UNCERTAINTIES

GOING CONCERN UNCERTAINTIES	3 Months Ended
	Nov. 30, 2022
GOING CONCERN UNCERTAINTIES
NOTE 2 - GOING CONCERN UNCERTAINTIES	NOTE 2 - GOING CONCERN UNCERTAINTIES As of November 30, 2022, the Company suffered an accumulated deficit of $59,093 and incurred a net loss of $9,168. The continuation of the Company as a going concern through November 30, 2022 is dependent upon improving the profitability and the continuing financial support from its stockholders. Management believes the existing shareholders or external financing will provide the additional cash to meet the Company’s obligations as they become due. These and other factors raise substantial doubt about the Company’s ability to continue as a going concern. These financial statements do not include any adjustments to reflect the possible future effects on the recoverability and classification of assets or the amounts and classification of liabilities that may result in the Company not being able to continue as a going concern.

SUMMARY OF SIGNIFICANT ACCOUNTI

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	3 Months Ended
	Nov. 30, 2022
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
NOTE 3 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	NOTE 3 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The accompanying unaudited condensed financial statements reflect the application of certain significant accounting policies as described in this note and elsewhere in the accompanying financial statements and notes. ● 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. The Company’s fiscal year end is August 31. The Company’s financial statements are presented in U.S. dollars. ● Use of estimates In preparing these condensed financial statements, management makes estimates and assumptions that affect the reported amounts of assets and liabilities in the balance sheets and revenues and expenses during the periods reported. Actual results may differ from these estimates. ● Cash and cash equivalents The company considers all highly liquid instruments with a maturity of three months or less at the time of issuance to be cash equivalents. ● Property, plant and equipment Property, plant and equipment are carried at cost less accumulated depreciation. Depreciation is provided over their estimated useful lives, using the straight-line method. Estimated useful lives of the property and equipment are as follows: Office equipment 3 years The cost of maintenance and repairs is charged to expenses as incurred, whereas significant renewals and betterments are capitalized. ● Intangible assets, net Intangible assets with definite lives are stated at cost less accumulated amortization. Amortization is calculated on the straight-line basis over the following estimated useful lives: Website 3 years ● Revenue recognition The Company assesses and follows the guidance of ASC 606, revenue from contracts with customers is recognized using the following five steps: 1. Identify the contract(s) with a customer; 2. Identify the performance obligations in the contract; 3. Determine the transaction price; 4. Allocate the transaction price to the performance obligations in the contract; and 5. Recognize revenue when (or as) the entity satisfies a performance obligation. The Company had generated zero revenue during the three months ended November 30, 2022 and 2021, respectively. ● Income taxes The Company followed the liability method of accounting for income taxes in accordance with ASC 740, Income Taxes, or ASC 740. Under this method, deferred tax assets and liabilities are determined based on the difference between the financial reporting and tax bases of assets and liabilities using enacted tax rates that will be in effect in the period in which the differences are expected to reverse. The Company recorded a valuation allowance to offset deferred tax assets if based on the weight of available evidence, it is more-likely-than-not that some portion, or all, of the deferred tax assets will not be realized. The effect on deferred taxes of a change in tax rate is recognized in tax expense in the period that includes the enactment date of the change in tax rate. The Company accounted for uncertainties in income taxes in accordance with ASC 740. Interest and penalties related to unrecognizable tax benefit recognized in accordance with ASC 740 are classified in the statements of comprehensive loss as income tax expense. ● Earnings per share The Company computes earnings per share (“EPS”) in accordance with ASC Topic 260, “Earnings per share”. Basic EPS is measured as the income or loss available to common shareholders divided by the weighted average common shares outstanding for the period. Diluted EPS is similar to basic EPS but presents the dilutive effect on a per share basis of potential common shares (e.g., convertible securities, options, and warrants) as if they had been converted at the beginning of the periods presented, or issuance date, if later. Any potential common shares in 2022 and 2021 that have an anti-dilutive effect (i.e. those that increase income per share or decrease loss per share) are excluded from the calculation of diluted EPS. ● Related party transaction A related party is generally defined as (i) any person that holds 10% or more of the Company’s securities and their immediate families, (ii) the Company’s management, (iii) someone that directly or indirectly controls, is controlled by or is under common control with the Company, or (iv) anyone who can significantly influence the financial and operating decisions of the Company. A transaction is considered to be a related party transaction when there is a transfer of resources or obligations between related parties. Transactions involving related parties cannot be presumed to be carried out on an arm’s-length basis, as the requisite conditions of competitive, free market dealings may not exist. Representations about transactions with related parties, if made, shall not imply that the related party transactions were consummated on terms equivalent to those that prevail in arm’s-length transactions unless such representations can be substantiated. ● Recent accounting pronouncements The Company has reviewed all recently issued, but not yet effective, accounting pronouncements and does not believe the future adoption of any such pronouncements may be expected to cause a material impact on its financial condition or the results of its operations.

ACCRUED LIABILITIES

ACCRUED LIABILITIES	3 Months Ended
	Nov. 30, 2022
ACCRUED LIABILITIES
NOTE 4 - ACCRUED LIABILITIES	NOTE 4 – ACCRUED LIABILITIES As of November 30, 2022, the balance of accrued liabilities was $3,500 that including the audit fee and stock agency expenses. As of August 31, 2022, the balance of accrued liabilities was $0.

AMOUNT DUE TO A DIRECTOR

AMOUNT DUE TO A DIRECTOR	3 Months Ended
	Nov. 30, 2022
AMOUNT DUE TO A DIRECTOR
NOTE 5 - AMOUNT DUE TO A DIRECTOR	NOTE 5 - AMOUNT DUE TO A DIRECTOR As of November 30, 2022 and August 31, 2022, the director of the Company, Mr. Lixue Yang, advanced $4,548 and $0 to the Company, respectively, which is unsecured, interest-free with no fixed payment term, for working capital purpose.

COMMON STOCK

COMMON STOCK	3 Months Ended
	Nov. 30, 2022
COMMON STOCK
NOTE 6 - COMMON STOCK	NOTE 6 – COMMON STOCK As of November 30, 2022 and August 31, 2022, the Company has 1,000,000,000 share authorized, 3,895,000 shares issued and outstanding, respectively. There are no shares of preferred stock issued and outstanding.

ADDITIONAL PAID-IN CAPITAL - CA

ADDITIONAL PAID-IN CAPITAL - CAPITAL CONTRIBUTION	3 Months Ended
	Nov. 30, 2022
ADDITIONAL PAID-IN CAPITAL - CAPITAL CONTRIBUTION
NOTE 7 - ADDITIONAL PAID-IN CAPITAL - CAPITAL CONTRIBUTION	NOTE 7 – ADDITIONAL PAID-IN CAPITAL – CAPITAL CONTRIBUTION As of November 30, 2022 and August 31, 2022, the Company has a total additional paid-in capital - capital contribution balance of $47,150 and $46,030, respectively. Such increase was due to the satisfaction of amount of $1,120 due to current shareholder on November 30, 2022.

SUBSEQUENT EVENT

SUBSEQUENT EVENT	3 Months Ended
	Nov. 30, 2022
SUBSEQUENT EVENT
NOTE 8 - SUBSEQUENT EVENT	NOTE 8 – SUBSEQUENT EVENT In accordance with ASC Topic 855, “Subsequent Events”, which establishes general standards of accounting for and disclosure of events that occur after the balance sheet date but before condensed financial statements are issued, the Company has evaluated all events or transactions that occurred up to January 13, 2023, the date the financial statements were available to issue. Based upon this review, the Company did not identify any subsequent events that would have required adjustment or disclosure in the condensed financial statements.

SUMMARY OF SIGNIFICANT ACCOUN_2

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	3 Months Ended
	Nov. 30, 2022
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
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. The Company’s fiscal year end is August 31. The Company’s financial statements are presented in U.S. dollars.
Use of estimates	In preparing these condensed financial statements, management makes estimates and assumptions that affect the reported amounts of assets and liabilities in the balance sheets and revenues and expenses during the periods reported. Actual results may differ from these estimates.
Cash and Cash Equivalents	The company considers all highly liquid instruments with a maturity of three months or less at the time of issuance to be cash equivalents.
Property, plant and equipment	Property, plant and equipment are carried at cost less accumulated depreciation. Depreciation is provided over their estimated useful lives, using the straight-line method. Estimated useful lives of the property and equipment are as follows: Office equipment 3 years The cost of maintenance and repairs is charged to expenses as incurred, whereas significant renewals and betterments are capitalized.
Intangible assets, net	Intangible assets with definite lives are stated at cost less accumulated amortization. Amortization is calculated on the straight-line basis over the following estimated useful lives: Website 3 years
Revenue Recognition	The Company assesses and follows the guidance of ASC 606, revenue from contracts with customers is recognized using the following five steps: 1. Identify the contract(s) with a customer; 2. Identify the performance obligations in the contract; 3. Determine the transaction price; 4. Allocate the transaction price to the performance obligations in the contract; and 5. Recognize revenue when (or as) the entity satisfies a performance obligation. The Company had generated zero revenue during the three months ended November 30, 2022 and 2021, respectively.
Income Taxes	The Company followed the liability method of accounting for income taxes in accordance with ASC 740, Income Taxes, or ASC 740. Under this method, deferred tax assets and liabilities are determined based on the difference between the financial reporting and tax bases of assets and liabilities using enacted tax rates that will be in effect in the period in which the differences are expected to reverse. The Company recorded a valuation allowance to offset deferred tax assets if based on the weight of available evidence, it is more-likely-than-not that some portion, or all, of the deferred tax assets will not be realized. The effect on deferred taxes of a change in tax rate is recognized in tax expense in the period that includes the enactment date of the change in tax rate. The Company accounted for uncertainties in income taxes in accordance with ASC 740. Interest and penalties related to unrecognizable tax benefit recognized in accordance with ASC 740 are classified in the statements of comprehensive loss as income tax expense.
Earnings per Share	The Company computes earnings per share (“EPS”) in accordance with ASC Topic 260, “Earnings per share”. Basic EPS is measured as the income or loss available to common shareholders divided by the weighted average common shares outstanding for the period. Diluted EPS is similar to basic EPS but presents the dilutive effect on a per share basis of potential common shares (e.g., convertible securities, options, and warrants) as if they had been converted at the beginning of the periods presented, or issuance date, if later. Any potential common shares in 2022 and 2021 that have an anti-dilutive effect (i.e. those that increase income per share or decrease loss per share) are excluded from the calculation of diluted EPS.
Related party transaction	A related party is generally defined as (i) any person that holds 10% or more of the Company’s securities and their immediate families, (ii) the Company’s management, (iii) someone that directly or indirectly controls, is controlled by or is under common control with the Company, or (iv) anyone who can significantly influence the financial and operating decisions of the Company. A transaction is considered to be a related party transaction when there is a transfer of resources or obligations between related parties. Transactions involving related parties cannot be presumed to be carried out on an arm’s-length basis, as the requisite conditions of competitive, free market dealings may not exist. Representations about transactions with related parties, if made, shall not imply that the related party transactions were consummated on terms equivalent to those that prevail in arm’s-length transactions unless such representations can be substantiated.
Recent Accounting Pronouncements	The Company has reviewed all recently issued, but not yet effective, accounting pronouncements and does not believe the future adoption of any such pronouncements may be expected to cause a material impact on its financial condition or the results of its operations.

ORGANIZATION AND BUSINESS (Deta

ORGANIZATION AND BUSINESS (Details Narrative) - USD ($)	3 Months Ended
	Nov. 30, 2022	Jul. 08, 2022
ORGANIZATION AND BUSINESS BACKGROUND
Common share par value		$ 0.001
Entity Incorporation Date Of Incorporation	Sep. 20, 2018
Receiving of common share	3,000,000
Voting rights	77%
Consideration amount	$ 350,000

GOING CONCERN (Details Narrativ

GOING CONCERN (Details Narrative) - USD ($)	3 Months Ended
	Nov. 30, 2022	Nov. 30, 2021	Aug. 31, 2022
GOING CONCERN UNCERTAINTIES
Net loss	$ (9,168)	$ (4,212)
Accumulated Deficit	$ (59,093)		$ (49,925)

SUMMARY OF SIGNIFICANT ACCOUN_3

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details)	3 Months Ended
	Nov. 30, 2022
Office Equipment [Member]
Property, plant and equipment useful life	3 years

SUMMARY OF SIGNIFICANT ACCOUN_4

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details 1)	3 Months Ended
	Nov. 30, 2022
Website [Member]
Property, plant and equipment useful life	3 years

ACCRUED LIABILITIES (Details Na

ACCRUED LIABILITIES (Details Narrative) - USD ($)	Nov. 30, 2022	Aug. 31, 2022
ACCRUED LIABILITIES (Details Narrative)
Accrued liabilities	$ 3,500	$ 0

AMOUNT DUE TO A DIRECTOR (Detai

AMOUNT DUE TO A DIRECTOR (Details Narrative) - USD ($)	Nov. 30, 2022	Aug. 31, 2022
Amount due to a director	$ 4,548	$ 0
Mr. Lixue Yang [Member]
Amount due to a director	$ 4,548	$ 0

COMMON STOCK (Details Narrative

COMMON STOCK (Details Narrative) - shares	Nov. 30, 2022	Aug. 31, 2022
COMMON STOCK (Details Narrative)
Common stock, Authorized shares	1,000,000,000	1,000,000,000
Common stock issued	3,895,000	3,895,000
Common stock outstanding	3,895,000	3,895,000
Preferred stock, shares Issued	0	0
Preferred stock, shares outstanding	0	0

ADDITIONAL PAIDIN CAPITAL CAPIT

ADDITIONAL PAIDIN CAPITAL CAPITAL CONTRIBUTION (Details Narrative) - USD ($)	3 Months Ended
	Nov. 30, 2022	Nov. 30, 2021	Aug. 31, 2022
ADDITIONAL PAIDIN CAPITAL CAPITAL CONTRIBUTION (Details Narrative)
Additional paid in capital	$ 47,150		$ 46,030
Satisfaction of amount due to current shareholder on November 30, 2022	$ 1,120	$ 0