10-K: Atlantis Glory Inc. Reports FY25 Net Loss, Seeks Reverse Merger

Atlantis Glory Inc., a shell company with no current operations, reported a net loss of $39,199 for fiscal year 2025 and is actively seeking a business combination through a reverse merger.

Summary

• Atlantis Glory Inc. is a Nevada-incorporated U.S. holding company that has been dormant since May 14, 2020, with no current operations or revenue.
• The company reported a net loss of $39,199 for the fiscal year ended December 31, 2025, a slight improvement from a net loss of $40,480 in 2024, primarily due to lower professional fees.
• As of December 31, 2025, the company had an accumulated deficit of $1,146,407 and negative working capital of $210,628, with no cash and cash equivalents.
• Management intends to identify and acquire an operating entity through a reverse merger, asset purchase, or similar transaction to commence revenue-generating operations.
• The company's ability to continue as a going concern is in substantial doubt, relying on continued financial support from stockholders or external financing.
• Mr. YUM Edward Liang Hsien serves as the sole officer and director, holding multiple key roles including President, CEO, CFO, Secretary, and Treasurer, and controls the company through Series A Preferred Stock.

Sentiment

Score: 2

Explanation: StockSavvy.ai views this as a highly speculative investment given the company's dormant status, lack of operations, significant accumulated deficit, and substantial doubt about its ability to continue as a going concern, offset only by a stated intention to seek a business combination.

Positives

• Net loss slightly decreased to $39,199 in 2025 from $40,480 in 2024, attributed to lower professional fees.
• Management is actively exploring business opportunities, including potential acquisitions via reverse merger, to establish revenue-generating operations.

Negatives

• The company has no current operations or revenue-generating business activities.
• Reported a net loss of $39,199 for the fiscal year ended December 31, 2025.
• Accumulated deficit reached $1,146,407 as of December 31, 2025.
• Negative working capital of $210,628 as of December 31, 2025.
• Zero cash and cash equivalents as of December 31, 2025.
• Substantial doubt exists about the company's ability to continue as a going concern.
• Operations are financed principally through borrowings from related parties, including a $195,108 in-demand loan from a related party where the CEO is the Managing Director.
• Internal control over financial reporting was deemed not effective due to material weaknesses, including insufficient segregation of duties, lack of an independent board or audit committee, and no written control policies.
• The company is entirely dependent on its sole officer and director, Mr. YUM Edward Liang Hsien, for management and oversight.

Risks

• No current operations, providing no basis for investors to evaluate future prospects.
• Uncertainty in identifying and completing a business combination in a reasonable timeframe or on favorable terms.
• Limited capital and potential inability to obtain necessary financing for an acquisition or ongoing operations, leading to potential loss of investment.
• Future capital raises through debt or equity securities will likely dilute current shareholders and may include senior rights.
• Inability to manage growth effectively if an operating business is acquired, potentially leading to financial losses.
• Dependence on Mr. YUM Edward Liang Hsien, the sole officer and director, whose loss could adversely affect business plans.
• Potential conflicts of interest due to the CEO's other business endeavors and the possibility of acquiring an affiliated business on non-arm's-length terms.
• Risk of significant time and capital expenditure on prospective business combinations that may not be consummated.
• Unlikely that shareholders will have an opportunity to evaluate or approve a business combination, relying solely on the judgment of the Board and CEO.
• The search for a business combination is not limited to a particular industry, making it difficult for investors to evaluate specific merits or risks.
• Potential for acquiring a private target company with limited or faulty information, leading to unexpected operational or financial outcomes.
• Limited ability to assess the management of a prospective target business, potentially resulting in an incompatible or unqualified management team post-acquisition.
• Any acquired business will likely lack diversification, increasing exposure to risks affecting a single industry or region.
• Changes in laws or regulations, or failure to comply, could adversely affect the business and require significant compliance expenditures.
• The company's stock price may be volatile due to a limited and illiquid market (OTC Pink Market), speculative fever, and potential large sales by shareholders.
• Future issuance of common stock, especially in connection with an acquisition, could substantially dilute existing shareholders' interests.

Future Outlook

The company anticipates incurring operating losses over the next 12 months, primarily due to SEC reporting obligations. Management plans to actively explore and identify business opportunities, including potential acquisitions of operating entities through reverse mergers, asset purchases, or similar transactions. The company expects to need additional capital to fund future operations and any potential acquisition, which will likely involve issuing new debt or equity securities, leading to significant dilution for current shareholders.

Management Comments

• "Management intends to explore and identify business opportunities, including a potential acquisition of an operating entity through a reverse merger, asset purchase or similar transaction."
• "Our management has not had any discussions with any representative of any other entity regarding a potential business combination."
• "Our management anticipates that we will likely only be able to effect one business combination due to our limited capital."
• "Based upon our current operations, we do not have sufficient working capital to fund our operations over the next 12 months."
• "If we are able to close a reverse merger, it is likely we will need capital as a condition of closing that acquisition."
• "In connection with a reverse merger, we will be required to issue a controlling block of our securities to the targets shareholders which will be very dilutive."
• "Management believes the Chief Executive Officer will provide additional cash to meet with the Company's obligations as they become due."

Industry Context

StockSavvy.ai notes that Atlantis Glory Inc. operates as a shell company, a common vehicle for private companies seeking to go public via a reverse merger without the complexities of a traditional IPO. The current economic climate, characterized by an "economic downturn," is noted to increase competition for acquisitions at "discounted rates," which could make the company's search for a suitable target more challenging. The company's lack of operations and revenue places it firmly in the development-stage category, a high-risk segment within the broader market.

Comparison to Industry Standards

• As a shell company with no operations or revenue, Atlantis Glory Inc. does not have direct industry-comparable financial performance.
• Its market capitalization of approximately $295,830 as of June 30, 2025, places it firmly in the microcap or nano-cap segment, often associated with higher volatility and liquidity risks compared to established public companies.
• The reliance on a single officer and director, Mr. YUM Edward Liang Hsien, for all operational and strategic decisions is typical for early-stage shell companies but contrasts sharply with the diversified management teams and independent boards of more mature public entities like those on major exchanges (e.g., Nasdaq, NYSE).
• The stated material weaknesses in internal controls, including a lack of segregation of duties and an independent audit committee, are significant deviations from corporate governance best practices expected of publicly traded companies, even smaller ones, and would be a red flag compared to peers with robust governance structures.
• The Series A Preferred Stock structure, which allows the holder (Mr. YUM's entity) to convert into 90% of the common stock post-conversion, is a common mechanism for control in reverse merger scenarios but represents a substantial concentration of voting power, unlike the more dispersed ownership typically seen in larger, established public companies.

Management Changes

Corporate Governance

Legal Proceedings

• The company is not currently involved in any legal proceedings and is not aware of any pending or potential legal actions.
• On September 8, 2021, an order was issued barring unasserted claims and terminating receivership, preventing claimants and creditors from presenting claims against the company that arose on or before that date.

Related Party Transactions

• As of December 31, 2025, the company had $195,108 in-demand loans advanced by a related party, of which Mr. YUM Edward Liang Hsien (CEO and Director) is the Managing Director.

Stakeholder Impact

• Shareholders: Face significant dilution risk from future equity issuances required for a business combination or to fund operations. Their investment is highly speculative due to the company's dormant status and going concern doubt. Limited ability to influence company direction due to concentrated control by the CEO.
• Employees: Currently only one employee (the CEO), so direct impact is minimal. Future employees of an acquired entity would be impacted by the integration process.
• Creditors: The company relies on related party borrowings, indicating a high risk for external creditors if the company fails to secure a viable business or additional funding. The order barring unasserted claims from before September 8, 2021, limits historical creditor claims.

Next Steps

• Management will continue to explore and identify business opportunities, including potential acquisitions through reverse mergers, asset purchases, or similar transactions.
• The company anticipates incurring costs related to investigating, evaluating, and negotiating potential business combinations.
• Management plans to rectify internal control weaknesses by implementing an independent board of directors, establishing written policies, and hiring additional accounting personnel after completing a reverse merger or similar business acquisition.
• The company may need to conduct one or more equity or debt financings within the next 12 months to meet capital requirements.

Key Dates

Recommendation

Atlantis Glory Inc. is a dormant shell company with no operations, no revenue, zero cash, significant accumulated deficit, and substantial doubt about its ability to continue as a going concern. Its internal controls are ineffective, and it relies entirely on a single officer who also controls the company through preferred stock. While it seeks a reverse merger, the risks of failure, significant dilution, and lack of transparency are extremely high, making it a highly speculative and unfavorable investment.

Keywords

Shell company, Reverse merger, SEC filing, 10-K, Atlantis Glory Inc., AGLY, Financial reporting, Going concern, Accumulated deficit, Capital raise, Corporate governance, Internal controls, OTC Pink Market, Business combination, Dilution, Risk factors, Management change