Company: KPEA
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001641172-25-010699
Chunk: 103

Company: Kun Peng International Ltd.
Filing Date: 2025-05-15
Form: 10-Q
Item: Item 2
Chunk 103
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 to 3 Years  
    3 to 5 Years  
    More Than 5 Years  
    Total 
  
    Contractual Obligations: 

    Operating lease obligations 
    $-  
    $    -  
    $    -  
    $    -  
    $- 
  
    Finance lease obligations 
     163,013  
     -  
     -  
     -  
     163,013 
  
    Short-term borrowing 
     98,116  
     -  
     -  
     -  
     98,116 
  
    Purchase and service agreements 
     502  
     -  
     -  
     -  
     502 

    Total contractual obligations 
    $261,631  
    $-  
    $-  
    $-  
    $261,631 

Off-Balance Sheet Arrangements

We have no off-balance sheet arrangements,
including arrangements that would affect our liquidity, capital resources, market risk support, credit risk support, or other benefits.

Future Financings

We will continue to rely on loans
from our directors and major shareholders and on equity sales of our common shares in order to continue to fund our business operations.
Issuances of additional shares will result in dilution to existing stockholders. There is no assurance that we will achieve any additional
sales of equity securities or arrange for debt or other financing to fund our operations and other activities, or if we are able, there
is no guarantee that existing shareholders will not be substantially diluted.

Critical Accounting Policies

We regularly evaluate the accounting
policies and estimates that we use to make budgetary and financial statement assumptions. A complete summary of these policies is included
in the notes to our financial statements. In general, management’s estimates are based on historical experience, on information
from third party professionals, and on various other assumptions that are believed to be reasonable under the facts and circumstances.
Actual results could differ from those estimates made by management.

See Note 2 to the financial statements
included herewith and Note 2 to the financial statements in the Company’s Form 10-K for the fiscal year ended September 30, 2024
previously filed with the SEC.

Recent Accounting Pronouncements

See Note 2 to the financial statements
included herewith and Note 2 to the financial statements