Company: RIVF
Filing Date: 2025-09-10
Form Type: 10-Q
Source: 0001493152-25-013005
Chunk: 26

Company: Rivulet Entertainment, Inc.
Filing Date: 2025-09-10
Form: 10-Q
Item: Part I, Item 1
Chunk 26
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2025.

Debt
Payments

Payments
on various notes payable of approximately $2.3 million were repaid subsequent to March 31, 2025.

Debt
Issuance

Subsequent
to March 31, 2025, the Company issued approximately $2.7 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 its 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 $18,337,509 as of March 31, 2025. Further, the Company
still has a $3,500,000 outstanding balance to Rivulet Media, inc. stemming from the merger transaction.

The
Company will incur significant capital costs as it continues to produce feature length films, such as “The Dink”. In order
to continue to produce films, the Company will need to raise funds through additional borrowings until such time as our operating revenues
from the sale of films are sufficient to meet our cost structure, and ultimately provide profitable operations. There is no assurance
we will be successful in raising additional capital or achieving profitable operations.

Going
Concern

The
Company had cash of $100,633 as of