UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
Form 10-QSB
[X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934
For the quarterly period ended August 31, 2003
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OR
[_] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934
For the transition period from ____________ to ____________
Commission File Number 333-61801
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JURAK CORPORATION WORLD WIDE, INC.
(Exact name of registrant as specified in its charter)
MINNESOTA 88-0407679
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(State or other jurisdiction of (IRS Employer Identification No.)
incorporation or organization)
1181 Grier Drive, Suite C, Las Vegas, NV 89119-3746
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(Address of principal executive offices)
(702) 914-9688
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(Registrant's telephone number, including area code)
Indicate by check mark whether the registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during
the preceding 12 months, (or for such shorter period that the registrant was
required to file such reports) and (2) has been subject to such filing
requirements for the past 90 days.
Yes X No
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15,527,750 Common Shares were outstanding as of October 15, 2003
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JURAK CORPORATION WORLD WIDE, INC.
I N D E X
Page
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PART I. FINANCIAL INFORMATION
Item 1. Financial Statements (Unaudited)
Condensed Balance Sheets
August 31, 2003 (Unaudited) and
May 31, 2003 1
Statements of Operations
Three months ended August 31,
2003 and 2002 (Unaudited) 2
Condensed Statements of Cash Flows
Three months ended August 31,
2003 and 2002 (Unaudited) 3
Selected Notes to Condensed Financial
Statements (Unaudited) 4
Item 2. Management's Discussion and Analysis of Financial
Condition and Results of Operations 5
Item 2. Controls and Procedures 6
PART II. OTHER INFORMATION
Item 1. Legal Proceedings 7
Item 2. Changes in Securities 7
Item 3. Defaults Upon Senior Securities 7
Item 4. Submission of Matters to a Vote of Security Holders 7
Item 5. Other Information 7
Item 6. Exhibits and Reports on Form 8-K
(a) Exhibits 7
(b) Reports on Form 8-K 7
Part I. FINANCIAL INFORMATION
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Item I. FINANCIAL STATEMENTS
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JURAK CORPORATION WORLD WIDE, INC.
CONDENSED BALANCE SHEETS
August 31, May 31,
ASSETS 2003 2003
----------- -----------
(Unaudited) (Audited)
Cash (including savings) $ 31,955 $ 13,749
Inventories 122,722 251,779
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Total current assets 154,677 265,528
Property, plant and equipment - net 15,826 15,808
Other assets 64,544 64,544
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$ 235,047 $ 345,880
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LIABILITIES AND STOCKHOLDERS' DEFICIT
Accounts payable 264,166 331,662
Accrued compensation 500,643 497,238
Accrued royalties 276,245 235,736
Payable to stockholder, officer 1,452,437 1,440,066
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Total current liabilities 2,493,491 2,504,702
STOCKHOLDERS' DEFICIT:
Common stock 15,528 15,528
Additional paid-in capital 569,158 569,158
Accumulated deficit (2,843,130) (2,743,508)
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(2,258,444) (2,158,822)
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$ 235,047 $ 345,880
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Note: The balance sheet at May 31, 2003 has been taken from the audited
financial statements at that date, and has been condensed.
See Notes to Condensed Financial Statements.
1
JURAK CORPORATION WORLD WIDE, INC.
STATEMENTS OF OPERATIONS
(Unaudited)
Three Months Ended
August 31
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2003 2002
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Sales $ 717,874 $ 549,378
Cost of sales 133,393 116,575
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Gross profit 584,481 432,803
Selling, general and administrative expense 651,538 556,717
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Loss from operations (67,057) (123,914)
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Other income (expense):
Interest income 5 10
Interest expense (32,570) (26,293)
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(32,565) (26,283)
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Loss before income taxes (99,622) (150,197)
Income taxes -- --
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Net loss $ (99,622) $ (150,197)
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Loss per common share $ (.01) $ (.01)
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Loss per common share assuming dilution $ (.01) $ (.01)
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Weighted average outstanding shares 15,527,750 15,527,750
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See Notes to Condensed Financial Statements.
2
JURAK CORPORATION WORLD WIDE, INC.
CONDENSED STATEMENTS OF CASH FLOWS
(Unaudited)
Three Months Ended
August 31
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2003 2002
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CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss $ (99,622) $(150,197)
Depreciation 1,850 7,000
Changes in current assets and liabilities:
Inventories 129,057 46,578
Accounts payable (67,496) 14,870
Accrued compensation and accrued royalties 43,914 65,770
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Net cash provided by (used in) operating activities 7,703 (15,979)
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CASH FLOWS FROM INVESTING ACTIVITIES:
Purchase of office equipment (1,868) --
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Net cash used in investing activities (1,868) --
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CASH FLOWS FROM FINANCING AND OTHER ACTIVITIES:
Increase in payable to stockholder, officer 12,371 16,265
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Net cash used in investing and other activities 12,371 16,265
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Net increase in cash 18,206 286
Cash and savings:
Beginning of period 13,749 --
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End of period $ 31,955 $ 286
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See Notes to Condensed Financial Statements.
3
JURAK CORPORATION WORLD WIDE, INC.
NOTES TO CONDENSED FINANCIAL STATEMENTS
(Unaudited)
Note 1. Condensed Financial Statements:
The condensed balance sheet as of August 31, 2003, the statement of
operations for the three-month periods ended August 31, 2003 and 2002,
and the condensed statement of cash flows for the three-month periods
then ended have been prepared by the Company, without audit. Operating
results for the three months ended August 31, 2003 are not necessarily
indicative of the results that may be expected for the fiscal year
ending May 31, 2004. In the opinion of management, all adjustments
(which include only normal recurring adjustments) necessary to present
fairly the financial position, results of operations and changes in
cash flows at August 31, 2003 and for all periods presented have been
made.
Certain information and footnote disclosures normally included in
financial statements prepared in accordance with accounting principles
generally accepted in the United States of America have been condensed
or omitted. It is suggested that these condensed financial statements
be read in conjunction with the financial statements and notes thereto
included in the Company's May 31, 2003 audited financial statements.
The results of operations for the period ended August 31, 2003 are not
necessarily indicative of the operating results for the full year.
Note 2. Inventories:
Inventories consist of the following:
August 31, May 31,
2003 2003
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Raw materials $ 2,906 $ 14,422
Finished goods and supplies 119,816 237,357
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Totals $ 122,722 $ 251,779
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Note 3. Stockholders' Deficit:
During the three months ended August 31, 2003, stockholders' deficit
changed for net loss of $99,622.
4
JURAK CORPORATION WORLD WIDE, INC.
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION
AND RESULTS OF OPERATIONS
The Company has continued to increase its revenue from sales of its
products. There were sales of $717,874 during the three months ended August 31,
2003, compared to $549,378 for the same period in 2002. There were cost of sales
of $133,393 in 2003, and cost of sales in 2002 was $116,575; for a gross profit
of $584,481 in 2003, compared to a gross profit of $432,803 in 2002. The cost of
sales rose in the last year because the price of the ingredients of the product
doubled, and because the Company changed to more pure botanicals.
During the same period the Company expended selling, general, and
administrative expenses of $651,538 in 2003 for a net loss of $99,622; in 2002
it expended selling, general and administrative expenses of $556,717 for a net
loss of $150,197. The net loss in both years was $.01 per share.
5
JURAK CORPORATION WORLD WIDE, INC.
CONTROLS AND PROCEDURES
The Company maintains disclosure controls and procedures (as defined in
Rules 13a-15(e) and 15(d)-15(e) under the Securities Exchange Act of 1934, as
amended (the "Exchange Act")) that are designed to ensure that information
required to be disclosed in the Company's reports under the Exchange Act, is
recorded, processed, summarized and reported within the time periods specified
in the SEC's rules and forms, and that such information is accumulated and
communicated to the Company's management, including the Company's Chief
Executive Officer and its President and Chief Financial Officer, as appropriate,
to allow timely decisions regarding required disclosure.
The Company carried out an evaluation, under the supervision and with
the participation of the Company's management, including the Company's Chief
Executive Officer and its President and Chief Financial Officer, of the
effectiveness of the Company's "disclosure controls and procedures" as of the
end of the period covered by this report, pursuant to Rules 13a-15(b) and
15d-15(b) under the Exchange Act. Based on that evaluation, the Company's Chief
Executive Officer and its President and Chief Financial Officer have concluded
that the Company's disclosure controls and procedures, as of the end of the
period covered by this report, were effective in timely alerting them to
material information relating to the Company required to be included in the
Company's periodic SEC filings.
There has been no change in the Company's internal control over
financial reporting (as defined in Rules 13(a)-15(f) and 15(d)-15(f) under the
Exchange Act) during the period covered by this report that has materially
affected, or is reasonably likely to materially affect, the Company's internal
control over financial reporting.
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PART II. OTHER INFORMATION
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ITEM 1. LEGAL PROCEEDINGS.
Not applicable.
ITEM 2. CHANGES IN SECURITIES.
(a) Not Applicable.
(b) Not Applicable.
(c) Not Applicable.
(d) Not Applicable.
ITEM 3. DEFAULTS UPON SENIOR SECURITIES.
(a) Not Applicable.
(b) Not Applicable.
ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.
Not Applicable.
ITEM 5. OTHER INFORMATION.
Not Applicable.
ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K.
(a) Exhibits.
31. Certification Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002+
32. Certification Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002+
(b) Reports on Form 8-K
We did not file any reports on Form 8-K during the quarter ended
August 31, 2003.
+ Filed herewith.
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SIGNATURE
In accordance with the requirements of the Exchange Act, the registrant
caused this report to be signed on its behalf by the undersigned, thereunto duly
authorized.
JURAK CORPORATION WORLD WIDE, INC.
Date October 21, 2003 By: /s/ Anthony Carl Jurak
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Anthony Carl Jurak
Chairman of the Board and Director
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