Company: KPEA
Filing Date: 2025-01-14
Form Type: 10-K
Source: 0001493152-25-002124
Chunk: 479

Company: Kun Peng International Ltd.
Filing Date: 2025-01-14
Form: 10-K
Item: Item 1
Chunk 479
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2024, the Company incurred
cash inflows from operating activities of $17,880, a net loss of $1,991,747
and negative working capital of $7,997,902; as of September 30, 2023, the Company
incurred cash outflows from operating activities of $427,030, a net loss of $2,149,213, and negative working capital of $5,523,743These
conditions raise substantial doubt about the ability of the Company to continue as a going concern. The ability to continue as a going
concern is dependent upon generating profitable operations in the future and/or obtaining the necessary financing to meet our obligations
and repay our liabilities arising from normal business operations when they become due. In order to continue as a going concern for the
next 12 months, the Company is focusing on promoting and selling its own brand of preventive health care products to wholesalers through
Kun Zhi Jian, an online platform launched in October 2022, streamlining its overhead costs, and, as necessary, obtaining financing or
capital funding from its stockholders or directors. In addition, in November 2023, the Company launched the Kun Zhi Jian Mini Program
through which it offers health screening and monitoring at the Kun Zhi Jian customer service center and promotes and sells health care
supplements and products to its customers and members. Management may seek additional funds, primarily through the issuance of equity
securities for cash or through loans from our officers and controlling stockholders, to operate our business. Management estimates that
additional capital will be necessary to support our operations and growth.

48

We
may continue to incur losses in the future, and may not be able to return to profitability, which may cause the market price of our shares
to decline.

The
Company incurred a net loss of $1,991,747 and $2,149,213, for the years ended September
30, 2024 and 2023, respectively. We have generated very limited revenue. Our current operations are small with a short history. We
may be unable to achieve our performance targets, which will impact the Company’s operating results. Our ability to achieve
profitability depends on the competitiveness of our products and services as well as our ability to control costs and to provide new
products and services to meet the market demands and attract new customers. Due to the numerous risks and uncertainties associated
with the development of our business, we cannot guarantee that we will be able