Mon, Sep 16, 6:28 PM (95 days ago)
For the quarter ended July 31, 2024, GMTech Inc. reported revenues of $12,000, a significant decline from $32,500 in the same period of 2023. For the nine-month period, revenue decreased to $46,800 from $82,500 year-over-year. The company incurred net losses of $6,048 and $28,177 for the respective quarters, contrasting sharply with net income of $22,496 and $20,994 in the previous year. Total assets increased to $113,997 from $24,267, primarily due to cash reserves of $109,329 following a $140,000 capital raise through equity issuance. Current liabilities were minimal at $301. Cash flow from operations was negative at $(52,770), compared to a positive cash flow of $20,994 in 2023. The company's financial health reflects significant operational challenges, with revenues heavily concentrated among a few customers. Future operations may hinge on the ability to diversify revenue streams and secure additional funding, as management anticipates further capital requirements to sustain operations. The effectiveness of internal controls remains a concern, with management acknowledging deficiencies in reporting processes.