Company: DKI
Filing Date: 2025-03-17
Form Type: DRS
Source: 0001493152-25-010539
Chunk: 92

Company: DarkIris Inc.
Filing Date: 2025-03-17
Form: DRS
Chunk 92
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 an increase of approximately $2.4 million from net loss of approximately $1.3 million in FY2023.

Liquidity and Capital Resources

As of September 30, 2024, the Company had
cash of approximately $0.3 million.

In assessing liquidity, management monitors
and analyzes our cash on-hand, ability to generate sufficient revenue sources in the future, and operating and capital expenditure commitments.

As of September 30, 2024, the Company had
working capital of approximately $0.9 million. The Company’s working capital requirements are influenced by the level of operations,
revenue generated from mobile digital games, costs and expenses controlled, encashment of accounts receivable.

The
Company intends to finance future working capital requirements and capital expenditures from
cash generated from operating activities and funds raised from financing activities. The
Company may, however, require additional cash due to changing business conditions or other
future developments, including any investments or acquisitions that the Company may decide
to pursue. With the financial support from shareholders, the Company believes that the current
cash together with cash generated from operating activities and financing activities will
be sufficient to meet the present anticipated working capital requirements and capital expenditures.
If existing cash is insufficient to meet requirements, the Company may seek to issue debt
or equity securities or obtain additional credit facilities. Financing may be unavailable
in the amounts the Company’s need or on terms acceptable to the Company, if at all.
Issuance of additional equity securities, including convertible debt securities, would dilute
earnings per share. The incurrence of debt would divert cash for working capital and capital
expenditures to service debt obligations and could result in operating and financial covenants
that restrict operations and ability to pay dividends to shareholders. If the Company is
unable to obtain additional equity or debt financing as required, the Company’s business
and prospects may suffer.

Indebtedness. As of September
30, 2024, the Company has approximately $0.2 million loans from a related party. Beside this indebtedness, the Company did not have any
debts, finance leases, purchase commitments, guarantees, or other material contingent liabilities.

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Off-Balance Sheet Arrangements.The Company has not entered into any financial guarantees or other commitments to guarantee the payment obligations of any third parties. In addition, the Company has not entered into any derivative contracts that are indexed to shares and classified as shareholders’ equity, or that are not reflected in our