11/14/2025 | Press release | Distributed by Public on 11/14/2025 14:32
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS.
Forward-Looking Statements and Associated Risks.
This form 10-Q contains certain statements that are forward-looking within the meaning of the Private Securities Litigation Reform Act of 1995. For this purpose, any statements contained in this Form 10-Q that are not statements of historical fact may be deemed to be forward-looking statements. Without limiting the foregoing, words such as "may", "will", "expect", "believe", "anticipate", "estimate, or "continue" or comparable terminology are intended to identify forward-looking statements. These statements by their nature involve substantial risks and uncertainties, and actual results may differ materially depending on a variety of factors, many of which are not within our control. These factors include but are not limited to economic conditions generally and in the industries in which we may participate; competition within our chosen industry, including competition from much larger competitors; technological advances and failure to successfully develop business relationships.
The following discussion and analysis of our financial condition and results of operations should be read in conjunction with the financial statements and the notes thereto contained elsewhere in this Report. Certain information contained in the discussion and analysis set forth below includes forward-looking statements that involve risks and uncertainties.
Our auditors have issued a going concern opinion on the financial statements for the year ended December 31, 2024. This means that our auditors believe there is substantial doubt that we can continue as an ongoing business for the next twelve months from the date of issuance of these financial statements unless we obtain additional capital to pay our bills. This is because we have generated little revenue. Accordingly, we must raise cash from sources other than operations. Our only other source for cash at this time is investments by others in our company and the revenue we generate from the sales of our products. We must raise cash to continue our project and build our operations.
Plan of Operation - Milestones
We are at an early stage of our new business operations focusing on pre-installing games on mobile devices through our partnership with ViaOne Services. Over the next twelve months, our primary target milestones include:
| 1. | Create a partnership with a game developer and preinstall a game on thousands of ViaOne Services devices. |
| 2. | Measure the results of pre-installing games through a series of controlled tests. Make adjustments as a result of the test. |
| 3. | Seek additional game developers and publishers seeking player acquisition through having their game pre-installed on tens of thousands of devices. |
Limited operating history and need for additional capital
There is limited historical financial information about us upon which to base an evaluation of our performance relating to our new business direction. We have generated little revenue. We cannot guarantee we will be successful in our business operations. Our business is subject to risks inherent in the establishment of a new business enterprise, including limited capital resources and possible cost overruns due to price and cost increases in services and products.
Results of Operations
The three months ended September 30, 2025 as compared to September 30, 2024
● Operating Revenues
We have generated $0 and $174 in revenue in the three months ended September 30, 2025 and 2024, respectively which reflects a decrease of $174 or 100%. The decrease in revenue was attributed to the decision to halt Minecraft development.
● Operating Expenses and Net Loss
Operating expenses for the three months ended September 30, 2025 and 2024 were $49,669 and $171,833, respectively, which reflects a decrease of $122,164 or 71.09%. During the third quarter 2024, the Company decided to cease operations and separate with some employees and contractors that were working on certain projects. The project was not profitable. The Company has not been actively developing or maintaining any projects since the third quarter of 2024 which has resulted in a decrease of all related advertising, software, consulting, payroll, PR & legal expenses.
During the three months ended September 30, 2025 and 2024, the Company recorded a net loss of $50,675 and $178,269, respectively, which reflects a decrease of $127,594 or 71.57%. The decrease in net loss was attributed to a decrease in operating expenses.
The nine months ended September 30, 2025 as compared to September 30, 2024
● Operating Revenues
We have generated $0 and $506 in revenue in the nine months ended September 30, 2025 and 2024, respectively which reflects a decrease of $506 or 100%. The decrease in revenue was attributed to the decision to halt Minecraft development.
● Operating Expenses and Net Loss
Operating expenses for the nine months ended September 30, 2025 and 2024 were $181,949 and $703,997, respectively, which reflects a decrease of $522,048 or 74.15%. During the third quarter 2024, the Company decided to cease operations and separate with some employees and contractors that were working on certain projects. The project was not profitable. The Company has not been actively developing or maintaining any projects since the third quarter of 2024 which has resulted in a decrease of all related advertising, software, consulting, payroll, PR & legal expenses.
During the nine months ended September 30, 2025 and 2024, the Company recorded a net loss of $184,957 and $853,317, respectively, which reflects a decrease of $668,360 or 78.32%. The decrease in net loss was attributed to the Company ceasing operation on a project in 2024. The Company has not commenced on any projects since 2024.
● Liquidity and Capital Resources
Working Capital
| September 30, | December 31, | |||||||
| 2025 | 2024 | |||||||
| Current Assets | $ | 44,179 | $ | 91,857 | ||||
| Current Liabilities | 1,101,153 | 977,539 | ||||||
| Working Capital (Deficit) | $ | (1,056,974 | ) | $ | (885,682 | ) | ||
As of September 30, 2025 and December 31, 2024, the Company's cash balance consisted of $22,798 and $14,499, respectively. The decrease in the cash balance was attributed to the expenses paid for day to day activities. As of September 30, 2025 and December 31, 2024, the Company had $44,179 and $91,857 in total assets, respectively. The decrease in total assets was mostly attributed to the amortization of prepaid expenses.
As of September 30, 2025 and December 31, 2024, the Company had total liabilities of $1,101,153 and $977,539, respectively. The increase in liabilities was attributable to the operating expenses to be paid in coming months.
As of September 30, 2025 and December 31, 2024, the Company has a working capital of ($1,056,974) and ($885,682), respectively. The increase in working capital is due to a decline in cash expended for day to day activity resulting in an increase in accounts payable.
Cash flow from Operating Activities
During the nine months ended September 30, 2025 and 2024, the Company provided $8,299 and used $285,631 of cash for operating activities, respectively, which reflects an increase of $293,930 or 102.91%. The increase in the use of cash for operating activities was attributed to the company's decrease in operating expenses.
Cash flow from Investing Activities
The Company used $0 and $16,639 cash in investing activities during the nine months ended September 30, 2025 and 2024, respectively. The decrease of $16,639 in cash used in investing activities was attributed to the Company's acquisition of intangible assets and sale of digital assets in 2024.
Going Concern
We have not attained profitable operations and are dependent upon obtaining financing to pursue any extensive acquisitions and activities. For these reasons, our auditors stated in their report on our audited financial statements that they have substantial doubt that we will be able to continue as a going concern for a period of one year from the issuance of these financial statements without further financing.
Off-Balance Sheet Arrangements
As of September 30, 2025, we had no significant off-balance sheet arrangements that have or are reasonably likely to have a current or future effect on our financial condition, changes in financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources that are material to stockholders.
Future Financings
We will continue to rely on equity sales of our preferred shares in order to continue to fund our business operations. Issuances of additional shares will result in dilution to existing stockholders.
There is no assurance that we will achieve any additional sales of the equity securities or arrange for debt or other financing to fund our operations and other activities.
Critical Accounting Policies
Our financial statements and accompanying notes have been prepared in accordance with United States generally accepted accounting principles applied on a consistent basis. The preparation of financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities as of the date of the financial statements and the reported amounts of revenues and expenses during the reporting periods.
We regularly evaluate the accounting policies and estimates we use to prepare our consolidated financial statements. Management's estimates are based on historical experience, on information from third party professionals, and on various other assumptions that are believed to be reasonable under the facts and circumstances. Actual results could differ from those estimates made by management.