Company: CSDX
Filing Date: 2025-11-13
Form Type: 10-Q
Source: 0001214659-25-016410
Chunk: 7

Company: CS DIAGNOSTICS CORP.
Filing Date: 2025-11-13
Form: 10-Q
Item: Part I, Item 1
Chunk 7
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: 137,340,200 shares issued and outstanding

Preferred Stock Series A: 10 shares issued and outstanding

Preferred Stock Series B: 19,992,575 shares issued and outstanding

Preferred Stock Series C: 4,000,000 shares issued and outstanding

Total additional paid-in capital amounted to $504,161,878, with an
accumulated deficit of $(4,735,847).

Going Concern Considerations

The accompanying financial statements have been prepared assuming that
the Company will continue as a going concern. The Company’s continuation depends upon its ability to achieve profitability and obtain
additional financing to fund its operations. Although management believes that current shareholders and potential investors will continue
to provide financial support, there can be no assurance that such funding will be available on acceptable terms. These conditions raise
substantial doubt about the Company’s ability to continue as a going concern. The financial statements do not include any adjustments
that may result from this uncertainty.

Outlook and Strategic Initiatives

Management remains committed to executing its growth strategy, which
focuses on:

  Expansion of Diagnostic Services: Increasing market penetration in the United States, Europe, and MENA regions.  

  Product Development: Advancing proprietary technologies through research collaborations and internal R& D.  

  Licensing and IP Commercialization: Leveraging existing and newly acquired intellectual property to generate recurring revenues.  

  Operational Efficiency: Maintaining disciplined cost control and improving internal processes to sustain profitability.  

The Company anticipates moderate revenue growth and improved cash flow
in the second half of 2025 as newly executed licensing agreements begin to yield results and operational efficiencies continue to strengthen.

  12  

Conclusion

For the quarter ended September 30, 2025, CS Diagnostics Corp. demonstrated
notable improvements in operational efficiency and cost control despite a reduction in revenues. The Company achieved positive net income
and maintains a strong equity position supported by substantial intangible assets and shareholder funding.

Management remains focused on achieving sustainable growth through
innovation, strategic partnerships, and prudent financial management to enhance long-term shareholder value.

Item 3. Quantitative and Qualitative Disclosures About Market
Risk.

Not applicable.

Item 4. Controls and Procedures.

Under the supervision and with the participation of our management,
including our Principal Executive Officer (“ PEO”) and Principal Financial Officer (“ PFO”), we evaluated the effectiveness
of the Company’s disclosure controls and procedures as defined in Rules 13a-15(e) and 15d-15(e) under the Securities