Company: BSAI
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001096906-25-000818
Chunk: 21

Company: BLUSKY AI INC.
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 8
Chunk 21
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 venture capital, private equity, or convertible debt financing. Economic downturns or investor sentiment shifts can create funding uncertainty, making it difficult to secure the necessary growth capital.    7.Technological Obsolescence – Rapid advancements in AI and hardware mean that startups must continually invest in innovation. Falling behind technologically can diminish competitiveness and lead to sunk costs in outdated infrastructure.

Strategic Initiatives

BluSky AI Inc. is actively working on:

 ·Branding and Market Positioning: Strengthening its identity as a leader in AI-driven data centers. ·Regulatory Compliance: Addressing cybersecurity threats and operational risks. ·Equity Financing: Structuring convertible notes and stock issuance to support growth.

 4Table of Contents

Outlook

The company is focused on improving financial stability through strategic investments, operational efficiencies, and enhanced revenue streams. Future initiatives include expanding AI-driven infrastructure and optimizing financial performance.

Results of Operations

Three months ended March 31, 2025 compared to the three months ended March 31, 2024

We had net income of $175,389 for the three-month period ended March 31, 2025, and a net loss of $256,980 for the three-month period ended March 31, 2024. This change in our results over the two periods is primarily the result of the gain on forgiveness of debt during the current period. The following table summarizes key items of comparison and their related increase (decrease) for the three-month periods ended March 31, 2025 and 2024:

  Three Months Ended  Increase/   March 31, 2025  March 31, 2024  (Decrease) General and Administrative $146,105  $123,757  $22,348 Depreciation and Amortization Expenses  -   181   (181)Total Operating Expenses  146,105   123,938   22,167 Income (Loss) from Operations  (146,105)  (123,938)  (22,167)Other Income (expense)  96   -   96 Change in Derivative Liabilities  -   (16,258)  16,258 Initial Derivative Expense  -   (57,116)  57,116 Gain on Extinguishment of Debt  338,673   -