Mon, Aug 19, 9:10 PM (26 days ago)
For Q1 2025 (ended June 30, 2024), LSEB Creative Corp. reported $6,282 in sales, a significant increase from zero in the same quarter last year, following the launch of its e-commerce platform. However, operating expenses rose to $40,326 from $31,207, primarily due to heightened consulting and travel costs. The net loss increased to $37,776 compared to $31,291 the previous year, reflecting ongoing investment in growth despite limited revenue generation. The company’s cash position declined to $1,789 from $4,448, raising concerns about liquidity and the ability to sustain operations. With an accumulated deficit of $592,310, management faces substantial doubt regarding the company's ability to continue as a going concern. Future operations depend on raising a minimum of $400,000 through private placements to support marketing and production costs. The company plans to leverage its unique luxury swimwear offerings and expand into new markets, but risks remain, including reliance on external financing and potential market fluctuations. Overall, while initial sales are promising, financial health is precarious, necessitating strategic funding efforts.