10-Q - Summit Networks Inc. (0001619096) (Filer)

Tue, May 14, 5:20 PM (73 days ago)

Summit Networks Inc. reported a net loss of $113,515 for the quarter ending March 31, 2024, compared to a net loss of $77,998 for the same period in 2023. The company had no revenue for both periods. Operating expenses increased to $115,285 from $79,833, primarily due to higher salaries, rent, and professional fees. Total assets decreased slightly to $158,738 from $164,377, while liabilities decreased to $610,723 from $702,847. The company issued additional common stock, raising $200,000, which helped reduce the working capital deficit to $451,985 from $538,470. Summit Networks Inc. continues to rely on shareholder loans for liquidity, raising concerns about its ability to continue as a going concern. The company is exploring new business opportunities and plans to raise additional financing. A recent stock purchase agreement to acquire St. Mega Enterprises aims to diversify its operations. Internal control weaknesses were noted, and management is taking steps to address them.