10-Q: Green Planet Bioengineering Reports Q3 2024 Results: Minimal Activity and Ongoing Going Concern Concerns

Green Planet Bioengineering Co., Ltd. reports minimal activity and a net loss for the third quarter of 2024, with continued reliance on related party funding and going concern doubts.

Summary

• Green Planet Bioengineering Co., Ltd. released its unaudited financial results for the third quarter of 2024, showing no revenue and a net loss of $5,425 for the quarter and $22,753 for the nine months ended September 30, 2024.
• The company continues to operate as a public reorganized shell corporation with no active business operations, relying on a related party for funding.
• The company's total liabilities and stockholders deficit remain at $0, with a working capital deficit of $452,343.
• The company's accumulated deficit has increased to $1,081,963.
• There were no changes in the number of shares outstanding, which remains at 20,006,402.
• The financial statements are prepared under the assumption that the company will continue as a going concern, but there is substantial doubt about its ability to do so without continued related party support.

Sentiment

Score: 2

Explanation: The sentiment is very negative due to the lack of revenue, ongoing losses, reliance on related party funding, and substantial doubt about the company's ability to continue as a going concern.

Negatives

• The company has no revenue and continues to operate as a shell corporation.
• The company has a significant working capital deficit of $452,343.
• The company's accumulated deficit is $1,081,963.
• The company is entirely reliant on a related party for funding.
• There is substantial doubt about the company's ability to continue as a going concern.

Risks

• The company's ability to continue as a going concern is dependent on continued support from a related party.
• The company has no active business operations and is reliant on identifying and securing funding for future business opportunities.
• The company's financial position is weak, with a significant working capital deficit and accumulated deficit.
• The company's future success is uncertain and dependent on prevailing circumstances when funding or profitable business opportunities are identified.

Future Outlook

The company will continue to seek funding from future investors to execute business opportunities, but this is dependent on prevailing circumstances. The company's ability to continue as a going concern is dependent on continued support from a related party.

Management Comments

• Management believes that all adjustments necessary for a fair presentation have been made.
• Management acknowledges that the company's ability to continue as a going concern is dependent on continued support from a related party.
• Management states that the company's activities are subject to significant risks and uncertainties.

Industry Context

The company operates as a public reorganized shell corporation, which is a common structure for companies seeking to acquire or merge with an existing business. The lack of current business activity and reliance on related party funding is not uncommon for such entities.

Comparison to Industry Standards

• It is difficult to compare Green Planet Bioengineering to industry standards due to its status as a shell corporation with no active business operations.
• Most companies in the biotechnology or engineering sectors would have revenue and ongoing operations, unlike Green Planet Bioengineering.
• The company's financial metrics, such as the accumulated deficit and reliance on related party funding, are not typical of established companies in any sector.

Related Party Transactions

• The company relies on a related party of the majority stockholder to advance funds to finance its operating expenses.
• The amounts advanced of $448,343 are interest-free, unsecured and are repayable upon demand.
• The company's Chief Executive Officer, Chief Financial Officer and Director is also a director of the related party.

Stakeholder Impact

• Shareholders face significant risk due to the company's financial instability and going concern doubts.
• Employees are not directly impacted as the company has no active business operations.
• Creditors face risk due to the company's reliance on related party funding and lack of revenue.

Next Steps

• The company will continue to seek funding from future investors.
• The company will continue to look for business opportunities.

Key Dates

Keywords

shell corporation, going concern, related party, financial statements, net loss, working capital deficit, accumulated deficit, funding, public company