NOTE 3: LIQUIDITY

The Company incurred a net loss of $306,711 and $960,443 for the three and six months ended June 30, 2026, respectively. As of June 30, 2026, the Company had cash balance of $4,698,480 and working capital of $7,380,810. The Company had cash outflow of $918,415 used for operating activities, cash inflow of $3,914,500 from financing activities and cash inflow of $500,000 from investing activities for the six months ended June 30, 2026. Since the completion of its IPO in January 2025, the Company has primarily funded its working capital needs through equity financings. During the three months ended June 30, 2026, the Company received net proceeds of approximately $4.1 million from the issuance of common stock. See Note 10 for additional information regarding the equity financing. The working capital requirements are affected by the efficiency of operations and depend on the Company’s ability to increase its revenue. During the six months ended June 30, 2026, the Company has expanded its business operations to certain new territories, has raised its service prices in response to market changes, and has raised funds through the issuance of common stock. Additionally, as disclosed in Note 5, approximately $2 million outstanding loan receivable are expected to be collected in 2026 and will be used in its operations.

Currently, the Company is working to improve its liquidity and capital sources. In order to fully implement its business plan and sustain continued growth, the Company may need additional cash resources in the future if the Company experiences changed business conditions or other developments and may also need additional cash resources in the future. The Company is in the process of discussing working capital and financing through various lenders and financial institutions. At the present time, however, the Company does not have commitments of funds from any lenders or potential investors.