Company: HNIT
Filing Date: 2025-10-15
Form Type: 10-Q
Source: 0001493152-25-018080
Chunk: 5

Company: Huineng Technology Corp
Filing Date: 2025-10-15
Form: 10-Q
Item: Item 2
Chunk 5
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on our board of directors, resulting in ineffective oversight in the establishment and monitoring of required internal controls and procedures;
(ii) inadequate segregation of duties and effective risk assessment; and (iii) insufficient written policies and procedures for accounting
and financial reporting with respect to the requirements and application of both US GAAP and SEC guidelines. The aforementioned material
weaknesses were identified by our chief executive officer in connection with the review of our financial statements as of August 31,
2025.

Management’s
Report on Internal Control over Financial Reporting

Our
management is responsible for establishing and maintaining adequate internal control over financial reporting as defined in Rules 13a-15(f)
and 15d-15(f) under the Exchange Act. Our internal control over financial reporting is designed to provide reasonable assurance regarding
the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally
accepted accounting principles. The internal controls for the Company are provided by executive management’s review and approval
of all transactions. Our internal control over financial reporting also includes those policies and procedures that:

    1.
    pertain
    to the maintenance of records that in reasonable detail accurately and fairly reflect the transactions and dispositions of our assets;

    2.
    provide
    reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with
    U.S. GAAP, and that our receipts and expenditures are being made only in accordance with the authorization of our management; and

    3.
    provide
    reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use or disposition of our assets that
    could have a material effect on the financial statements.

-6-

Because
of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. Also, projections of
any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions,
or that the degree of compliance with the policies or procedures may deteriorate.

Management
assessed the effectiveness of the Company’s internal control over financial reporting as of August 31, 2025. In making this assessment,
management used the criteria set forth by the Committee of Sponsoring Organizations of the Treadway Commission in Internal Control-Integrated
Framework. Management’s assessment included an evaluation of the design of our internal control over financial reporting and testing
of the operational effectiveness of these controls.

As
of August 31, 2025, management assessed the effectiveness of our internal control over financial