Company: RIVF
Filing Date: 2025-09-10
Form Type: 10-Q
Source: 0001493152-25-013005
Chunk: 41

Company: Rivulet Entertainment, Inc.
Filing Date: 2025-09-10
Form: 10-Q
Item: Part I, Item 2
Chunk 41
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 $10.0 million in revenues during the nine months ended March 31, 2025. There were no recognized revenues during the
nine months ended March 31, 2024. The increase in revenues recognized during the nine months ended March 31, 2025 as compared to the
nine months ended March 31, 2024 was due to the sale of a film during the current year period for $10.0 million.

 18

Cost
of Service

Cost
of service was $10.5 million for the nine months ended March 31, 2025. The cost of service relates solely to the amortization of capitalized
film. As the Company does not expect to generate additional revenues from the film the entire film cost balance was amortized and all
of the necessary participation costs were accrued during the period. The Company did not incur any cost of service during the nine months
ended March 31, 2024.

General
and Administrative

General
and administrative expense for the nine months ended March 31, 2025 and 2024 totaled $3,074,162 and $120,402, respectively. General and
administrative costs for the nine months ended March 31, 2025 of $3,074,162 consisted of participation costs of $1,995,058, professional
fees of $461,855, music and musician expenses $87,275, travel & meals and entertainment of $95,780, payroll costs of $251,208, external
communication of $53,232 and other expenses of $129,754.

General
and administrative costs for the nine months ended March 31, 2024 of $120,402 consisted of participation costs of $100,000, pre-production
costs of $7,500 and other expenses of $12,902.

The
increase in general and administrative for the nine months ended March 31, 2025 as compared to the nine months ended March 31, 2024 was
primarily related to participation costs recognized in the amount of $1,995,058 in the current period, related to a film sale. The remainder
of the increases were primarily due to general organizational ramp-up to administratively support the Company’s in-production and
pre-production films.

Other
(expense) income

For
the nine months ended March 31, 2025, other income (expense) totaled $638,725 which consisted of interest expense of $640,837