10-K: AMJ Global Technology Reports Form 10-K for Fiscal Year Ended November 30, 2024, Citing Going Concern Qualification

AMJ Global Technology's Form 10-K filing reveals a net loss of $85,697 for the fiscal year ended November 30, 2024, and a going concern qualification due to recurring losses and reliance on external funding.

Summary

• AMJ Global Technology, formerly Kange Corp., filed its Form 10-K for the fiscal year ended November 30, 2024.
• The company is a start-up focused on mobile software products and wholistic health treatments.
• The company is evaluating operations in the wholistic health industry, revenue sharing generated from Medicare enrollees, life and annuity insurance sales, and having 8% right and interest on software.
• The company reported revenue of $39 from a revenue sharing agreement with a related party.
• The company's operating loss increased to $183,845, compared to $166,065 in the previous year.
• The company incurred a net loss of $85,697, a decrease from the $136,789 net loss in the prior year.
• The company's auditor issued a going concern qualification due to recurring losses and reliance on external funding.
• As of November 30, 2024, the company had no full-time employees.
• The company's common stock is traded on the OTC Link ATS under the symbol AMJT.
• The aggregate market value of the registrant’s common stock held by non-affiliates was approximately $26,185,253 on May 31, 2024.
• The company issued shares of common stock for software and development acquisition, revenue sharing agreements, settlement of debt, and compensation.
• The company has material weaknesses in its internal control over financial reporting.

Sentiment

Score: 3

Explanation: The document presents a negative outlook due to the going concern qualification, increasing operating loss, accumulated deficit, and internal control weaknesses. While there are some positive aspects, the overall financial health of the company raises significant concerns.

Positives

• The company's net loss decreased from $136,789 in 2023 to $85,697 in 2024.
• The company recognized $39 in revenue from a revenue sharing agreement.
• The company settled debt with related parties, resulting in a gain.
• The company acquired software and technology assets in exchange for common stock.

Negatives

• The company's auditor issued a going concern qualification.
• The company's operating loss increased to $183,845.
• The company has an accumulated deficit of $476,274.
• The company has material weaknesses in its internal control over financial reporting.
• The company relies on related parties for funding.

Risks

• The company's ability to continue as a going concern is dependent on generating revenues and securing additional funding.
• The company's internal control weaknesses could affect the reliability of financial reporting.
• The company's reliance on related parties for funding poses a risk.
• The company may not be successful in preventing or mitigating a cybersecurity incident.
• The company has limited operations and has been issued a going concern opinion by its auditor.

Future Outlook

The company intends to fund operations through debt and/or equity financing arrangements, but there is no assurance that it will be successful in raising additional funding.

Management Comments

• Such a discussion represents only the best present assessment from our Management.

Industry Context

The company operates in the mobile software and wholistic health treatment sectors, which are both competitive and rapidly evolving.

Comparison to Industry Standards

• It is difficult to compare AMJ Global Technology's results to industry standards due to its early stage of development and unique business model.
• Many software development companies rely on venture capital or angel investors for funding, similar to AMJ Global Technology's reliance on related parties.
• Companies in the wholistic health industry often face regulatory challenges and require significant investment in research and development.

Related Party Transactions

• The company entered into a Revenue Sharing agreement with a company controlled by a related party.
• AMJ Global Entertainment LLC, a related party controlled by the Company's CEO and director advanced to the Company an amount of $47,827.
• The Company accrued management fees of $120,000 to a related party.
• The Company issued shares of common stock for settlement of debt to a related party.
• The Company recognized office rent expenses to a company controlled by a related party.

Stakeholder Impact

• Shareholders face the risk of potential losses due to the company's financial difficulties and going concern qualification.
• Employees may be affected by the company's ability to continue operations and secure funding.
• Customers may be impacted by the company's ability to deliver its products and services.
• Creditors face the risk of non-payment due to the company's financial challenges.

Next Steps

• The company intends to implement measures to remediate its internal control weaknesses.
• The company will add sufficient number of independent directors to the board and appoint an audit committee.
• The company will add sufficient knowledgeable accounting personnel to properly segregate duties and to effect a timely, accurate preparation of the financial statements.
• Upon the hiring of additional accounting personnel, the company will develop and maintain adequate written accounting policies and procedures.

Key Dates