Fri, Jan 10, 4:41 PM (32 days ago)
GMTech Inc. (OTC: GMTH) reported a revenue of $52.8K for the fiscal year ending October 31, 2024, a decrease from $86.2K in 2023, attributed to reduced IT service engagements. Operating expenses rose to $75.9K from $59.9K, primarily due to increased general and administrative costs linked to public filing requirements, while advertising expenses dropped to zero. The company incurred a net loss of $32.6K, contrasting with a net income of $2.4K in the previous year. As of October 31, 2024, GMTech had cash reserves of $107.5K, significantly up from $22.1K in 2023, bolstered by $140K from a public offering. The company's total liabilities decreased to $7.5K, with stockholders' equity reaching $109.3K. Strategically, GMTech aims to enhance its service offerings with an AI-powered development tool for CRM systems, websites, and mobile apps. Future risks include heavy reliance on a few clients, as three customers accounted for all revenue in 2024. The company lacks an audit committee and has identified material weaknesses in internal controls. Overall, GMTech's financial condition reflects growth potential but faces challenges in client diversification and operational oversight.