Results of Operations

Nine-Month Period Ended July 31, 2021 Compared to Nine-Month Period Ended July 31, 2020

The Registrant's results of operations for the nine-month periods ended July 30, 2021 and 2020 are summarized below:





                          Nine months ended
                      7/31/2021      7/31/2020

Revenues             $        -     $        -
Operating Expenses      671,040        317,104

Net Loss             $ (671,040 )   $ (317,104 )




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Revenues and Other Income

During the nine-month periods ended July 31, 2021 and 2020, the Registrant did not realize any revenues from operations.





Operating Expenses

Operating expenses of $671,040and $317,104 for the nine-month periods ended July 31, 2021 and 2020, respectively consisted entirely of costs related to maintaining reporting status with the Securities and Exchange Commission (the "Commission") and finalizing payments of the Registrants convertible debts.





Net Losses

The Registrant incurred a net loss of $(671,040) for the nine-month period ended July 31, 2021 compared to a net loss of $317,104) for the corresponding nin-month period ended July 31, 2020.

Liquidity and Capital Resources





Liquidity and capital reserves at July 31, 2021 and October 31, 2020 are
summarized as follows:



                                                          Increase
                           4/30/2021      10/31/2020     (Decrease)

Cash                      $       49     $       55     $       (6 )
Total assets              $       49     $       55     $       (6 )

Total Liabilities         $  228,245     $  324,147     $  (95,902 )
Stockholders' Deficit     $ (228,245 )   $ (324,092 )   $   95,847

Working Capital Deficit   $ (228,196 )   $ (324,092 )   $   95,896

As of the date of this report, the Registrant had yet to generate any revenues from its business operations.

As of July 31, 2021, the Registrant had current assets of $49, liabilities of $228,245, and its working capital deficiency was $(228,196). The Registrant anticipates that its current liquidity is not sufficient to meet the obligations associated with being a fully reporting company with the Commission without recourse to additional financing.

Except for a $50,000 revolving loan agreement with its parent, Qest Consulting Group, Inc., the Registrant currently has no external sources of liquidity such as arrangements with credit institutions or off-balance sheet arrangements that will have or are reasonably likely to have a current or future effect on its financial condition or immediate access to capital.

The Registrant's financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America ("GAAP"), which contemplates its continuation as a going concern. The Registrant has not yet generated any revenue except for a total of approximately $49,000 from previous now discontinued operations and has incurred losses to date of $(6,637,606). In addition, the Registrant's current liabilities exceed its current assets by $(228,245). These factors raise substantial doubt about the Registrant's ability to continue operating as a going concern. The Registrant's ability to continue its operations as a going concern, realize the carrying value of its assets, and discharge the Registrant's liabilities in the normal course of business is dependent upon the Registrant's ability to raise capital sufficient to fund the Registrant's commitments and ongoing losses, and ultimately generate profitable operations.





22







Cash Flows



Cash flows for the nine months ended July 31, 2021 and 2020 are summarized as
follows:



                                Six months ended
                            7/31/2021      7/31/2020

Cash (used) Provided by:



Operations                 $ (165,544 )   $    (234 )
Investing                           -             -
Financing                     165,538           170

Net change in cash         $       (6 )   $     (64 )




Operating Activities

For the nine-months ended July 31, 2021, net cash used in operating activities was $(165,544), related to the Registrant's net loss of $(671,040), reduced by an increase in cash provided from financing activities and from loans the Registrant received from a shareholder.

For the nine-months ended July 31, 2020, net cash used in operating activities was $(234), related to the Registrant's net loss of $(317,104), reduced by an increase in cash provided from financing activities from advances the Registrant received from a shareholder.

During the nine months ended July 31, 2021, the Registrant received loans of $195,297 ($105,297 in cash and $90,000 in accrued contract fees) from shareholders for business operation purpose, respectively.





Investing Activities

The Registrant did not use any funds for investing activities during the six-months ended July 31, 2021 and 2020, respectively.





Financing Activities

Financing activities provided $165,538 and $170 during the six-months ended July 31, 2021 and 2020, respectively.

Recent Accounting Pronouncements

For a description of the Registrant's recently issued accounting pronouncements, see "Note 2 - Summary of Significant Accounting Policies" of this Quarterly Report on Form 10-Q.

Critical Accounting Policies and Estimates

The preparation of financial statements in conformity with generally accepted accounting principles requires management to select appropriate accounting policies and to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses.

Off-Balance Sheet Arrangements

The Registrant has never entered into any off-balance sheet financing arrangements and has not formed any special purpose entities. The Registrant has not guaranteed any debt or commitments of other entities or entered into any options on non-financial assets.





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Contractual Obligations

The Registrant is a smaller reporting company as defined by Rule 12b-2 of the Exchange Act and is not required to provide the information under this item.

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