NEW MOMENTUM CORPORATION The following information should be read in conjunction with (i) the financial
statements of
OVERVIEW
The Company was incorporated in the
Going Concern
To date the Company has little operations or revenues and consequently has incurred recurring losses from operations. No revenues are anticipated until we complete the financing we endeavor to obtain, as described in the Form 10-K, and implement our initial business plan. The ability of the Company to continue as a going concern is dependent on raising capital to fund our business plan and ultimately to attain profitable operations. Accordingly, these factors raise substantial doubt as to the Company's ability to continue as a going concern.
Our activities have been financed from related-party loans and the proceeds of
share subscriptions. During
The Company plans to raise additional funds through debt or equity offerings. There is no guarantee that the Company will be able to raise any capital through this or any other offerings.
PLAN OF OPERATION
We are an early stage corporation and have generated revenues of
If we are unsuccessful in raising the additional proceeds through a private placement offering we will then have to seek additional funds through debt financing, which would be highly difficult for an early-stage company to secure. Therefore, the Company is highly dependent upon the success of the anticipated private placement offering and failure thereof would result in the Company having to seek capital from other sources such as debt financing, which may not even be available to the Company. However, if such financing were available, because we are an early stage company, it would likely have to pay additional costs associated with high risk loans and be subject to an above market interest rate. At such time these funds are required, management would evaluate the terms of such debt financing and determine whether the business could sustain operations and growth and manage the debt load. If we cannot raise additional proceeds via a private placement of its common stock or secure debt financing it would be required to cease business operations. As a result, investors in our common stock would lose all of their investment.
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With new investors joining, the Company is operating a travel services businesses, which includes an online ticketing platform Gagfare, which provides to travelers a "Book Now, Pay Later" business model, for travelers to secure the best fares and reserve flights well ahead of time. The Company will also become the driving force behind a bold new hospitality concept that takes nature lovers and intrepid travelers to exciting new and established destinations. The curated collection of boutique properties, each with a focus on diving, sustainability, conservation, and cultural authenticity, offers a thoroughly contemporary travel experience that is intrinsically linked to the destination, its heritage and its culture.
RESULTS OF OPERATIONS
Comparison of the Three Months ended
The following table sets forth certain operational data for the three months
ended
Three Months Ended June 30,
2022 2021
Revenues $ 299,068 $ 328,825
Cost of revenue (297,891 ) (327,607 )
Gross profit 1,177 1,218
General and administrative expenses (30,431 ) (95,442 )
Other income (expense) 130 (2,170 )
Loss before income taxes (29,124 ) (96,394 )
Income tax expense - -
Net loss (29,124 ) (96,394 )
Revenue. We generated revenues of
Cost of Revenue. Cost of revenue for the three months ended
Gross Profit. We achieved a gross profit of
General and Administrative Expenses ("G&A"). We incurred G&A expenses of
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Income Tax Expense. Our income tax expenses for the three months ended
Net Loss. During the three months ended
Comparison of the Six Months ended
The following table sets forth certain operational data for the six months endedJune 30, 2022 and 2021: Six Months Ended June 30, 2022 2021 Revenues$ 299,070 $ 667,774 Cost of revenue (297,891 ) (665,433 ) Gross profit 1,179 2,341 General and administrative expenses (62,845 ) (133,801 ) Other income (expense) 12,943 (4,342 ) Loss before income taxes (48,723 ) (135,802 ) Income tax expense - - Net loss (48,723 ) (135,802 )
Revenue. We generated revenues of
Cost of Revenue. Cost of revenue for the six months ended
Gross Profit. We achieved a gross profit of
General and Administrative Expenses ("G&A"). We incurred G&A expenses of
Income Tax Expense. Our income tax expenses for the six months ended
Net Loss. During the six months ended
Liquidity and Capital Resources
As of
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The continuation of the Company as a going concern through the next twelve months is dependent upon the continued financial support from its shareholders. The Company is currently pursuing additional financing for its operations. However, there is no assurance that the Company will be successful in securing sufficient funds to sustain the operations.
Six Months Ended June 30,
2022 2021
Net cash used in operating activities
For the six months ended
For the six months ended
We expect to continue to rely on cash generated through financing from our existing shareholders and private placements of our securities, however, to finance our operations and future acquisitions.
Net Cash Provided By Investing Activities.
For the six months ended
Net Cash Provided By Financing Activities.
For the six months ended
For the six months ended
COVID-19
We continue to evaluate the impact of the COVID-19 pandemic on the industry and our Company and have concluded that while it is reasonably possible that the virus could have a negative effect on our financial position and results of our operations, the specific impact is not readily determinable as of the date of this filing. Our financial statements do not include any adjustments that might result from the outcome of this uncertainty.
Off-Balance Sheet Arrangements
We had no off-balance sheet arrangements as of
Subsequent Events
None through date of this filing.
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