Company: FWFW
Filing Date: 2025-05-09
Form Type: 10-Q
Source: 0001641172-25-009382
Chunk: 4

Company: FLYWHEEL ADVANCED TECHNOLOGY, INC.
Filing Date: 2025-05-09
Form: 10-Q
Item: Part II, Item 8
Chunk 4
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The accompanying unaudited interim
consolidated financial statements (“consolidated financial statements”) have been prepared in accordance with the Financial
Accounting Standards Board (“FASB”) “FASB Accounting Standard Codification™” (the “Codification”)
which is the source of authoritative accounting principles recognized by the FASB to be applied by nongovernmental entities in the preparation
of consolidated financial statements in conformity with generally accepted accounting principles (“GAAP”) in the United States.

(B) Unaudited Interim Consolidated financial
statements

The accompanying interim unaudited
condensed consolidated financial statements (“Interim Financial Statements “) of the Company and its wholly owned and majority
owned subsidiaries have been prepared in accordance with accounting principles generally accepted in the United States of America ( “
GAAP ” ) for interim financial information and are presented in accordance with the requirements of Form 10-Q and Regulation S-X.
Accordingly, these Interim Financial Statements do not include all of the information and notes required by GAAP for complete financial
statements. These Interim Financial Statements should be read in conjunction with the consolidated financial statements and notes thereto
for the year ended September 30, 2024 included in the Company’s Form 10-K. In the opinion of management, the Interim Financial Statements
included herein contain all adjustments, including normal recurring adjustments, considered necessary to present fairly the Company’s
financial position, the results of operations and cash flows for the periods presented.

The operating results and cash flows of the interim periods
presented herein are not necessarily indicative of the results to be expected for any other interim period or the full year.

    11

FLYWHEEL ADVANCED TECHNOLOGY,
INC.

NOTES TO CONDENSED CONSOLIDATED
FINANCIAL STATEMENTS

(C) Going Concern

Pursuant to the guidance in ASC
205-40 Going Concern, for each annual and interim reporting period an entity’s management must evaluate whether there are conditions
and events, considered in the aggregate, that raise substantial doubt about an entity’s ability to continue as a going concern within
one year after the date that the financial statements are issued. To that extent, the Company incurred a net operating loss of approximately
$0.05 million, had negative cash flows from operating activities of $0.11 million during the six months ended March 31, 2025 and had minimum
cash balance as of its fiscal year end. With that said, the Company is currently in