Company: RIVF
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001641172-25-024216
Chunk: 25

Company: Rivulet Entertainment, Inc.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 1
Chunk 25
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 for the issue of such shares of Preferred Stock.

NOTE
10 – SUBSEQUENT EVENTS

In
accordance with ASC 855, Subsequent Events, the Company has evaluated events and transactions subsequent to December 31, 2024
through the date these condensed consolidated financial statements were issued. Other than the below, there are no subsequent events
identified that would require disclosure in these condensed consolidated financial statements.

Film
Rights Sale

Subsequent
to December 31, 2024, the Company collected the remaining $6.6
million of accounts receivable related to film sale that occurred
during the three months ended December 31, 2024.

Debt
Payments

Payments
on various notes payable of approximately $6.2 million were repaid subsequent to December 31, 2024.

Debt
Issuance

Subsequent
to December 31, 2024, the Company issued approximately $3.0 million of notes payable bearing interest at rates of 10% to 15%.

Litigation

During June of 2025, the Company received
an OSHA complaint which was made against one of our wholly owned subsidiaries (i.e. “The Nutcracker”). The Company does not
believe that there is any merit to the claim. Further, an estimate of the possible loss cannot be made at this time. 

15

Item
2. Management’s Discussion and Analysis of Financial Condition and Results of Operations

The
following discussion and analysis should be read in conjunction with the financial statements and related notes included elsewhere in
this Form 10-Q. To that extent, the information discussed below solely reflects the results of the combined entities that were transferred
as part of the agreement with Rivulet Entertainment, Inc. This document contains certain forward-looking statements that involve risks
and uncertainties, such as statements of the Company’s plans, objectives, expectations and intentions. When used in this document,
the words “expects”, “anticipates”, “intends” and “plans” and similar expressions are
intended to identify certain of these forward-looking statements. The cautionary statements made in this document should be read as being
applicable to all related forward-looking statements wherever they appear in this document. Our actual results could differ materially
from those discussed in this document.

Liquidity
and Capital Resources

The
Company had notes payable, which were used to fund our film production, totaling $21,330,438 as of December 31, 202