Company: SCAG
Filing Date: 2025-11-12
Form Type: 20-F
Source: 0001213900-25-109190
Chunk: 213

Company: Scage Future
Filing Date: 2025-11-12
Form: 20-F
Item: Item 19
Chunk 213
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 to be included in the Group’s consolidated financial statements, once adopted.

In
November 2024, the FASB has released ASU 2024-03, Income Statement - Reporting Comprehensive Income - Expense Disaggregation
Disclosures. The purpose of this update is to improve the disclosures about a public business entity’s expenses and address requests
from investors for more detailed information about the types of expenses (including purchases of inventory, employee compensation, depreciation,
amortization, and depletion) in commonly presented expense captions (such as cost of sales, selling expenses, general and administrative
expenses, and research and development expenses). ASU 2024-04 is effective for all public business entities, for annual reporting periods
beginning after December 15, 2026, and interim reporting periods within annual reporting periods beginning after December 15, 2027. Any
entity qualified as public business entity shall apply ASU 2024-04 prospectively to financial statements issued for current period and
all comparative periods. Early adoption is permitted. The Group is in the process of evaluating the impact of adopting this new guidance
on its consolidated financial statements.

Except
for the above-mentioned pronouncements, there are no recently issued accounting standards that will have a material impact on the consolidated
financial position, statements of operations and cash flows.

F-23

SCAGE
FUTURE

NOTES
TO CONSOLIDATED FINANCIAL STATEMENTS

(In
U. S. dollars, except for share and per share data, or otherwise noted)

  GOING    

The Group has evaluated whether
there are conditions and events, considered in the aggregate, that raise substantial doubt about the Group’s ability to continue
as a going concern within one year after the date that the consolidated financial statements are issued. The Group has incurred losses
and negative operating cash flows since its inception. The Group incurred net losses of US$13,065,903, US$5,980,776and US$6,618,209for
the years ended June 30, 2025, 2024 and 2023, respectively. Net cash used in operating activities were US$5,894,330, US$6,223,797and
US$4,892,650for the years ended June 30, 2025, 2024 and 2023, respectively. The accumulated deficit amounted to US$40,217,153and US$27,273,366as of June 30,