United States

Securities and Exchange Commission

Washington, D.C. 20549



FORM 10-Q



x    Quarterly report pursuant
to section 13 or 15(d) of the Securities Exchange Act of 1934 For the quarterly period ended:

June 30, 2012



 ̈     Transition
report pursuant to section 13 or 15(d) of the Securities Exchange Act of 1934



For the transition period from _____ to
_____



Commission file number:000-51727



SYDYS CORPORATION

(Exact name of registrant as specified in
its charter)



|Nevada                                                        | 98-0418961                       
|------------------------------------------------------------- | ---------------------------------
|(Stateor other jurisdiction of incorporation or organization) | (IRS Employer Identification No.)



7 Orchard Lane

Lebanon, NJ 08833

(Address of Principal Executive Offices)



(908) 236-9885

(Registrant’s Telephone Number, Including
Area Code)



Indicate by check
mark whether the registrant:  (1) has filed all reports required to be filed by Section 13 or 15(d) of the Exchange Act
of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2)
has been subject to such filing requirements for the past 90 days.     x  Yes    ̈  No



Indicate by check
mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File
required to be submitted and posted pursuant to Rule 405 of Regulations S-T (§232.405 of this chapter) during the preceding
12 months (or for such shorter period that the registrant was required to submit and post such files).   x  Yes    ̈  No



Indicate by check
mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer or a smaller reporting
company.  See the definition of “large accelerated filer,” “accelerated filer,” and
“smaller reporting company” in rule 12b-2 of the Exchange Act.



|Large Accelerated Filer  ̈ | Accelerated Filer  ̈         
|------------------------- | ----------------------------
|Non-Accelerated Filer   ̈  | Smaller Reporting Company  x

(do not check if smaller reporting company)



Indicate by check mark whether
the registrant is a shell company (as defined in rule 12b-2 of the Exchange Act).  Yes x  No  ̈



As of August 17, 2012, there were 211,201shares
issued and outstanding of the issuer's common stock, $.001 par value per share.













TABLE OF CONTENTS



SYDYS CORPORATION

FORM 10-Q

FOR THE QUARTER ENDED JUNE 30, 2012



PART I - FINANCIAL INFORMATION



|                                                                                                | Page
|----------------------------------------------------------------------------------------------- | ----
|                                                                                                |     
|Item 1:   Financial Statements (Unaudited)                                                      | 3   
|                                                                                                |     
|Item 2:   Management's Discussion and Analysis of Financial Condition and Results of Operations | 9   
|                                                                                                |     
|Item 4:  Controls and Procedures                                                                | 10  
|                                                                                                |     
|PART II - OTHER INFORMATION                                                                    
|Item 5:  Other Information                                                                      | 10  
|                                                                                                |     
|Item 6:  Exhibits                                                                               | 11  
|                                                                                                |     
|Signatures                                                                                      | 12  





2
















PART I - FINANCIAL INFORMATION



Item 1. Financial Statements



SYDYS CORPORATION

(A Development Stage Company)

Condensed Balance Sheets

(Unaudited)



|                                                                                                                                     |  | June 30,    |            |   | September 30, |  
|------------------------------------------------------------------------------------------------------------------------------------ |  | ----------- | ---------- | - | ------------- | -
|                                                                                                                                     |  | 2012        |            |   | 2011          |  
|                                                                                                                                     |  | (Unaudited) |            |   | *             |  
|ASSETS                                                                                                                               |  |             |            |   |               |  
|Current Assets                                                                                                                       |  |             |            |   |               |  
|Cash and cash equivalents                                                                                                            |  | $           | 1,006      |   |               | $
|                                                                                                                                     |  |             |            |   |               |  
|Total Assets                                                                                                                         |  | $           | 1,006      |   |               | $
|                                                                                                                                     |  |             |            |   |               |  
|LIABILITIES AND STOCKHOLDERS’ DEFICIT                                                                                                |  |             |            |   |               |  
|                                                                                                                                     |  |             |            |   |               |  
|Current Liabilities                                                                                                                  |  |             |            |   |               |  
|Accounts payable and accrued expenses                                                                                                |  | $           | 195,285    |   |               | $
|Accrued rent - related party                                                                                                         |  |             | 33,559     |   |               |  
|Accrued interest - related party                                                                                                     |  |             | 691        |   |               |  
|Notes payable - related party                                                                                                        |  |             | 85,200     |   |               |  
|Notes payable                                                                                                                        |  |             | 3,300      |   |               |  
|                                                                                                                                     |  |             |            |   |               |  
|Total Current Liabilities                                                                                                            |  |             | 318,035    |   |               |  
|                                                                                                                                     |  |             |            |   |               |  
|Commitments and Contingencies                                                                                                        |  |             |            |   |               |  
|                                                                                                                                     |  |             |            |   |               |  
|Stockholders’ Deficit                                                                                                                |  |             |            |   |               |  
|Preferred stock; $.001 par value; 20,000,000 shares authorized; and 0 issued and outstanding at June 30, 2012 and September 30, 2011 |  |             |            |   |               |  
|Common stock; $.001 par value; 100,000,000 shares
    authorized; and 211,201 issued and outstanding at                              |  |             |            |   |               |  
|June 30, 2012 and September 30, 2011, respectively                                                                                   |  |             | 211        |   |               |  
|Additional paid-in capital                                                                                                           |  |             | 913,869    |   |               |  
|Deficit accumulated in the development stage                                                                                         |  |             | (1,231,109 | ) |               |  
|                                                                                                                                     |  |             |            |   |               |  
|Total Stockholders’ Deficit                                                                                                          |  |             | (317,029   | ) |               |  
|                                                                                                                                     |  |             |            |   |               |  
|                                                                                                                                     |  | $           | 1,006      |   |               | $

* Derived from audited information

See notes to these condensed financial statements.





3














SYDYS CORPORATION

(A Development Stage Company)

Condensed Statements of Operations

(Unaudited)



|                                        |  |                    |         |   |                   |   |         |                |  |   |         |   |  | February 9, |        
|--------------------------------------- |  | ------------------ | ------- | - | ----------------- | - | ------- | -------------- |  | - | ------- | - |  | ----------- | -------
|                                        |  |                    |         |   |                   |   |         |                |  |   |         |   |  | 2004        |        
|                                        |  | Three Months Ended |         |   | Nine Months Ended |   |         | (Inception) to | 
|                                        |  | June 30,           |         |   | June 30,          |   |         | June 30,       | 
|                                        |  | 2012               |         |   | 2011              |   |         | 2012           |  |   | 2011    |   |  | 2012        |        
|                                        |  |                    |         |   |                   |   |         |                |  |   |         |   |  |             |        
|Revenues                                |  | $                  |         |   |                   | $ |         |                |  | $ |         |   |  | $           |        
|                                        |  |                    |         |   |                   |   |         |                |  |   |         |   |  |             |        
|Costs of Goods Sold                     |  |                    |         |   |                   |   |         |                |  |   |         |   |  |             |        
|                                        |  |                    |         |   |                   |   |         |                |  |   |         |   |  |             |        
|Gross Profit                            |  |                    |         |   |                   |   |         |                |  |   |         |   |  |             |        
|                                        |  |                    |         |   |                   |   |         |                |  |   |         |   |  |             |        
|Operating Expenses                      |  |                    |         |   |                   |   |         |                |  |   |         |   |  |             |        
|Accounting and legal fees               |  |                    | 7,528   |   |                   |   | 9,397   |                |  |   | 26,692  |   |  |             | 43,640 
|Consulting fees - related party         |  |                    |         |   |                   |   |         |                |  |   |         |   |  |             |        
|Consulting fees                         |  |                    | 9,000   |   |                   |   | 9,000   |                |  |   | 27,000  |   |  |             | 27,000 
|Share based compensation                |  |                    |         |   |                   |   |         |                |  |   |         |   |  |             |        
|Bad debt expense                        |  |                    |         |   |                   |   |         |                |  |   |         |   |  |             |        
|Rent expense - related party            |  |                    | 1,725   |   |                   |   |         |                |  |   | 5,175   |   |  |             |        
|General and administrative              |  |                    | 1,844   |   |                   |   | 3,021   |                |  |   | 7,350   |   |  |             | 14,834 
|                                        |  |                    |         |   |                   |   |         |                |  |   |         |   |  |             |        
|Total Operating Expenses                |  |                    | 20,097  |   |                   |   | 21,418  |                |  |   | 66,217  |   |  |             | 85,474 
|                                        |  |                    |         |   |                   |   |         |                |  |   |         |   |  |             |        
|Loss From Operations                    |  |                    | (20,097 | ) |                   |   | (21,418 | )              |  |   | (66,217 | ) |  |             | (85,474
|                                        |  |                    |         |   |                   |   |         |                |  |   |         |   |  |             |        
|Interest expense, net                   |  |                    | (692    | ) |                   |   | (58     | )              |  |   | (3,257  | ) |  |             | (173   
|                                        |  |                    |         |   |                   |   |         |                |  |   |         |   |  |             |        
|Net Loss to Common Stockholders         |  | $                  | (20,789 | ) |                   | $ | (21,476 | )              |  | $ | (69,474 | ) |  | $           | (85,647
|                                        |  |                    |         |   |                   |   |         |                |  |   |         |   |  |             |        
|Basic and Diluted Loss per Common Share |  | $                  | (0.13   | ) |                   | $ | (0.10   | )              |  | $ | (0.33   | ) |  | $           | (0.42  
|                                        |  |                    |         |   |                   |   |         |                |  |   |         |   |  |             |        
|Basic and Diluted Weighted Average      |  |                    |         |   |                   |   |         |                |  |   |         |   |  |             |        
|                                        |  |                    |         |   |                   |   |         |                |  |   |         |   |  |             |        
|Number of Common Shares Outstanding     |  |                    | 211,201 |   |                   |   | 211,201 |                |  |   | 211,201 |   |  |             | 204,627



See notes to these condensed financial
statements.





4







SYDYS CORPORATION

(A Development Stage Company)

Condensed Statements of Cash Flows

(Unaudited)



|                                                             |  |                   |         |   |                |   |         | February 9, 2004 | 
|------------------------------------------------------------ |  | ----------------- | ------- | - | -------------- | - | ------- | ---------------- | 
|                                                             |  | Nine Months Ended |         |   | (Inception) to |  
|                                                             |  | June 30,          |         |   | June 30,       |  
|                                                             |  | 2012              |         |   | 2011           |   |         | 2012             | 
|                                                             |  |                   |         |   |                |   |         |                  | 
|Net Cash Used in Operating Activities                        |  | $                 | (16,842 | ) |                | $ | (66,079 | )                | 
|                                                             |  |                   |         |   |                |   |         |                  | 
|Cash Flows from Investing Activities                         |  |                   |         |   |                |   |         |                  | 
|Collection on note receivable                                |  |                   |         |   |                |   |         |                  | 
|Loan made under notes receivable                             |  |                   |         |   |                |   |         |                  | 
|                                                             |  |                   |         |   |                |   |         |                  | 
|Net Cash Used in Investing Activities                        |  |                   |         |   |                |   |         |                  | 
|                                                             |  |                   |         |   |                |   |         |                  | 
|Cash Flows from Financing Activities                         |  |                   |         |   |                |   |         |                  | 
|Proceeds from note payable                                   |  |                   |         |   |                |   |         |                  | 
|Proceeds from note payable - related party                   |  |                   | 17,000  |   |                |   | 66,500  |                  | 
|Repayment of note payable                                    |  |                   |         |   |                |   |         |                  | 
|Repayment of note payable - related party                    |  |                   |         |   |                |   |         |                  | 
|Issuance of common stock, net of offering costs              |  |                   |         |   |                |   |         |                  | 
|Cancellation of common stock, net of refunded offering costs |  |                   |         |   |                |   |         |                  | 
|                                                             |  |                   |         |   |                |   |         |                  | 
|Net Cash Provided by Financing Activities                    |  |                   | 17,000  |   |                |   | 66,500  |                  | 
|                                                             |  |                   |         |   |                |   |         |                  | 
|Net (Decrease) Increase in Cash and Cash Equivalents         |  |                   | 158     |   |                |   | 421     |                  | 
|                                                             |  |                   |         |   |                |   |         |                  | 
|Cash and Cash Equivalents, Beginning of Period               |  |                   | 848     |   |                |   | 476     |                  | 
|                                                             |  |                   |         |   |                |   |         |                  | 
|Cash and Cash Equivalents, End of Period                     |  | $                 | 1,006   |   |                | $ | 897     |                  | 



See notes to these condensed financial statements.





5







SYDYS CORPORATION

(A Development Stage Company)

Notes to Unaudited Condensed Financial Statements



NOTE 1 - BASIS OF PRESENTATION



The unaudited condensed
financial statements included herein have been prepared by Sydys Corporation (the "Company", or Sydys”), without
audit, pursuant to the rules and regulations of the Securities and Exchange Commission. The financial statements reflect all adjustments
that are, in the opinion of management, necessary to fairly present such information. All adjustments are of a normal recurring
nature. Theses interim results are not necessarily indicative of the results to be expected for the fiscal year ending September
31, 2012 or for any other period. Although the Company believes that the disclosures are adequate to make the information presented
not misleading, certain information and footnote disclosures, including a description of significant accounting policies normally
included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America
(US GAAP”), have been condensed or omitted pursuant to such rules and regulations.



These financial statements
should be read in conjunction with the financial statements and the notes thereto included in the Company's Annual Report for the
fiscal year ended September 30, 2011 in Form 10-K filed with the Securities and Exchange Commission. The results of operations
for interim periods are not necessarily indicative of the results for any subsequent quarter or the entire fiscal year ending September
30, 2012.



For comparability purposes,
certain figures for the prior periods have been reclassified where appropriate to conform to the financial statement presentation
used in current reporting period. These reclassifications had no effect on reported net loss.



NOTE 2 - DESCRIPTION OF BUSINESS



Sydys is a Nevada corporation
incorporated on February 9, 2004 and based in Lebanon, New Jersey. The Company's fiscal year end is September 30.



The Company was formed
for the purpose of engaging in the on-line advertising business. The Company has been unable to execute its business plan, and
has exited the online advertising business. The Company is now considered a shell corporation under applicable rules of the Securities
Exchange Commission promulgated under the Securities Exchange Act of 1934, as amended.



On May 10, 2006, the
Company's former management team and board of directors resigned and sold all of their shares of common stock to Kenneth Koock,
the then sole executive officer and a director of the Company, which resulted in a change of control.



On August 25, 2008,
the Company received the resignation of both Darren Breitkreuz and Alan Stier.   The board now consists of Kenneth
J. Koock and Scotty D. Cook.



NOTE 3 - GOING CONCERN



The Company is in the
development stage and has incurred losses since its inception. As of June 30, 2012, the Company had limited amount of cash and
a deficit accumulated in the development stage of $1,231,109. There are no assurances the Company will receive funding necessary
to implement its business plan or acquire a business venture or operating company. This raises substantial doubt about the ability
of the Company to continue as a going concern.



The Company’s
ability to continue as a going concern is dependent upon raising capital through debt and equity financing on terms desirable to
the Company. If the Company is unable to obtain additional funds when they are required or if the funds cannot be obtained on terms
favorable to the Company, the Company may, in the extreme situation, cease operations. The financial statements do not include
any adjustments that might result from the outcome of this uncertainty.





6







SYDYS CORPORATION

(A Development Stage Company)

Notes to Unaudited Condensed Financial Statements



NOTE 4 - NOTES PAYABLE



In September 2009, the Company issued a
convertible note in the amount of $3,300, with a six percent interest rate per annum.  The principal is due on the earlier
of (1) the completion of of 15:1 reverse split of the Company’s common stock and the completion of an equity financing by
the Company of a minimum of $100,000 or (2) one year from the date of the note.  The note may be converted at the request
of the lender at the per share purchase price, subject to adjustment, upon the completion of an equity financing as described above.  The
note has not been paid and is in default.



Between August 2010 and October 2010, we
issued promissory notes (collectively, the “Notes”) in the principal amounts of $10,000, $13,000, $6,000 and $2,500
to FEQ Farms, LLC (“FEQ”), Capital Growth Investment Trust (“CGIT”), DIT Equity Holdings, LLC (“DIT”),
and RMS Advisors, Inc., respectively.  The Notes accrue interest annually at a rate of 3.25% and are payable upon demand
by the lenders.



During October 2010, pursuant to a series
of securities purchase agreements, we sold 66,000 shares of common stock at a purchase price of $0.30 per share for an aggregate
purchase price of $19,800.  In lieu of cash payment for the shares purchased in the offering to FEQ, DIT and CGIT, Notes
payable to FEQ in the amount of $10,000 and DIT in the amount of $6,000 were cancelled and the principal amount outstanding under
a Note payable to CGIT was reduced by $3,800 to $9,200.  The foregoing issuances have been adjusted for the reverse stock
split (1:150) that occurred in March 2011.



During November 2010, the Company issued
a promissory note to Capital Growth Investment Trust in the amount of $1,000.  The note accrues interest at the annual
rate of 3.25% and was payable on November 30, 2011, or upon demand.  The maturity was extended on November 30, 2011 to
upon completion of an equity raise or upon demand.  The note holder is a related party.



During December 2010, the Company issued
promissory notes (collectively the “December Notes”) in the principal amounts of $5,500 and $8,500, to FEQ Realty,
LLC (“FEQR”) and CGIT.  The December Notes accrue interest at the annual rate of 3.25%. The FEQR notes are
payable upon demand and the CGIT notes are payable on November 30, 2011 or upon demand.  The CGIT notes were extended
on November 30, 2011 to upon completion of an equity raise or upon demand.  The note holders are related parties.



During January 2011, the Company issued
a promissory note to RMS Advisors (“RMS”) in the amount of $10,000.  The note accrues interest at the annual
rate of 3.25% and is payable upon demand.  In February and March 2011, the Company issued promissory notes to CGIT totaling
$12,500, which are due on demand.  The notes accrue interest at 3.25% per annum.  The note holders are related
parties except for RMS.



During May 2011, the Company issued a promissory
note to RMS in the amount of $6,000.  The note is due on demand and accrues interest at the annual rate of 3.25%.



During July 2011, the Company issued promissory
notes in the principal amounts of $3,000 to RMS and $10,000 to FEQR, a related party.  The notes accrue interest at the
annual rate of 3.25% and are payable on demand.



During October 2011, the Company issued
promissory notes in the amount of $2,000 to FEQR and $2,000 to RMS.  The notes accrue interest at the annual rate of
3.25% and are due upon demand.



In January 2012, the Company issued a promissory
note in the amount of $3,000 to RMS. The note accrues interest at 3.25% per annum and is due on demand.



In May 2012, the Company issued two promissory
notes in the aggregate amount of $10,000 to CGIT. Both notes accrue interest at 3.25% per annum and are due on demand.



NOTE 5 - RELATED PARTY TRANSACTION



For the nine months
ended June 30, 2012 and 2011, the Company incurred rent expense of $ 5,175for office space provided by its sole officer.



On November 30, 2011, Capital Growth Investment
Trust extended the maturity date of four promissory notes from November 30, 2011 or upon demand to until completion of an equity
raise or upon demand.





7







FORWARD-LOOKING STATEMENTS



The information contained in this report
on Form 10-Q and in other public statements by the Company and Company officers or directors includes or may contain certain forward-looking
statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities
Exchange Act of 1934, as amended.  All statements other than statements of historical facts included or incorporated
by reference in this report, including, without limitation, statements regarding our future financial position, business strategy,
budgets, projected revenues, projected costs and plans and objectives of management for future operations, are forward-looking
statements.  Forward-looking statements generally can be identified by the use of forward-looking terminology such as
may,” will,” expect,” intend,” project,” estimate,” anticipate,” or believe” or
the negative thereof or any variation thereon or similar terminology.



Such forward-looking statements are made
based on management's beliefs, as well as assumptions made by, and information currently available to, management pursuant to the
safe-harbor” provisions of the Private Securities Litigation Reform Act of 1995.  Although we believe that the
expectations reflected in such forward-looking statements are reasonable, we can give no assurance that such expectations will
prove to have been correct.  Such statements are not guarantees of future performance or events and are subject to known
and unknown risks and uncertainties that could cause the Company's actual results, events or financial positions to differ materially
from those included within the forward-looking statements.  Important factors that could cause actual results to differ
materially from our expectations include, but are not limited to, the availability of capital resources, our ability to identify
a suitable operating company to acquire and complete an acquisition of such a company, changes in the securities or capital markets,
and other factors disclosed under the caption Risk Factors” in our Annual Report on Form 10-K for the year ended September
30, 2011 filed with the Securities and Exchange Commission.  Readers are cautioned not to place undue reliance on these
forward-looking statements, which speak only as of the date made.  All subsequent written and oral forward-looking statements
attributable to us, or persons acting on our behalf, are expressly qualified in their entirety by these cautionary statements.  Except
as required by law, we undertake no obligation to disclose any revision to these forward-looking statements to reflect events or
circumstances after the date made, changes in internal estimates or expectations, or the occurrence of unanticipated events.



Item 2:   Management's
Discussion and Analysis of Financial Condition and Results of Operation.



Unless otherwise indicated or the context
otherwise requires, all references to Sydys Corporation,” the Company,” we,” us” or our” and similar
terms refer to Sydys Corporation and its subsidiaries.



The following Management’s Discussion
and Analysis is intended to assist the reader in understanding our results of operations and financial condition.  Management’s
Discussion and Analysis is provided as a supplement to, and should be read in conjunction with, our financial statements and the
accompanying notes thereto included above in Item 1 of Part I of this report.



Overview



We were formed in February 2004 for the
purpose of engaging in on-line advertising business.  Having been unable to execute our business plan, we have exited
this business and are, therefore, considered a shell company under applicable rules of the Securities and Exchange Commission (the
SEC”), promulgated under the Securities Exchange Act of 1934, as amended (the Exchange Act”).  In that regard,
we are actively seeking to complete a business combination with an operating company.



In January 2011, our board of directors
authorized a 1:150 reverse split of our common stock. Under the laws of the state of Nevada, when a reverse split is not authorized
by a majority of the stockholders, a company is required to reduce the number of authorized shares in proportion to the reverse
split. As a result, the authorized number of shares of our common stock was reduced to 222,223. All common stock share amounts
and common stock per share amounts in this filing have been restated to reflect the 1:150 reverse split as if it had occurred at
our inception. In March 2011, our stockholders approved an increase in the number of shares of common stock that we are authorized
to issue from 222,223 to 100,000,000. In addition, our stockholders approved the authorization of 20,000,000 shares of preferred
stock.



We have limited cash resources, have incurred
losses since inception, and have been unable to execute our business plan.  We will need to raise funds during the next
twelve months to execute our business plan to acquire an operating company.  In order to continue operations, we must
continue to raise the capital necessary to fund our activities and our long-term viability and growth will ultimately depend upon
acquiring a successful operating company, as to which there can be no assurance.



Plan to Acquire an Operating Company



Our current business plan consists solely
of identifying and acquiring a suitable operating company and compliance with our reporting obligations under federal securities
laws.





8







We anticipate that the selection
of a business combination will be complex and subject to substantial risk.  Based on general economic conditions, technological
advances being made in some industries and shortages of available capital, we believe that there are numerous firms seeking access
to the capital markets and/or the perceived benefits of becoming a publicly traded corporation.  Such perceived benefits
include, among other things, facilitating or improving the terms on which additional equity financing may be obtained, providing
liquidity for the principals of and investors in a business, creating a means for providing incentive stock options or similar
benefits to incentivize key employees, and offering greater flexibility in structuring acquisitions, joint ventures and the like
through the issuance of stock.  Potentially available business combinations may occur in many different industries and
at various stages of development, all of which will make the task of comparative investigation and analysis of such business opportunities
extremely difficult and complex.



Unless we acquire an operating company,
we do not expect to retain any additional personnel, incur any capital expenditures, or incur any research and development expenses.



Our ability to generate future revenue
and earnings is dependent on identifying and acquiring an operating company.  Although we have evaluated potential acquisition
targets and engaged in general discussions and due diligence activities regarding the acquisition of an operating company, we have
not entered into any agreement to acquire an operating company.  There can be no assurance that we will be able to identify
an acceptable operating company, complete an acquisition, or that any business we acquire will generate profits or increase the
value of the Company.



Results of Operations



We currently have no operations.  Our
results of operations consist solely of operating expenses.  We incurred a net loss of $20,789 and $69,474 for the three
and nine months ended June 30, 2012, respectively, as compared to a net loss of $21,476 and $85,647 for the three and nine months
ended June 30, 2011, respectively.  The decrease in net loss was due primarily to a decrease in accounting and legal
fees and general and administrative expenses.



Liquidity and Capital Resources



We do not currently maintain a line of
credit or term loan with any commercial bank or other financial institution.  To date, our capital needs have been principally
met through the receipt of proceeds from sales of our equity.  Unless we acquire an operating company, we do not expect
to incur any material capital expenditures during the next twelve months nor do we expect to hire additional employees. As of June
30, 2012, we had a working capital deficit of $317,029.



On September 9, 2009, Alan Stier, a shareholder
of the Company, loaned to us an amount of $3,300 pursuant to a convertible promissory note (the “Stier Note”).  The
Stier Note accrues interest at an annual rate of 6%.  The Stier Note is payable in full on the earlier of (1) the completion
of a 1:15 reverse split of our common stock and the completion of an equity financing of our securities of a minimum amount of
$100,000, or (2) one year from the date of the Stier Note. The Stier Note has not been paid and is in default. To date, Mr. Stier
has not demanded payment.



Between August 2010 and October 2010, we
issued promissory notes in the principal amounts of $10,000, $13,000, $6,000 and $2,500 to FEQ Farms, LLC (“FEQF”),
Capital Growth Investment Trust (“CGIT”), DIT Equity Holdings, LLC (“DIT”), and RMS Advisors, Inc. (“RMS”),
respectively. The notes accrue interest annually at a rate of 3.25% and are payable upon demand by the lenders.



During October 2010, pursuant to a series
of securities purchase agreements, we sold 66,000 shares of common stock at a value of $0.30 per share for an aggregate purchase
price of $19,800. In lieu of cash payment for the shares purchased in the offering by FEQF, DIT and CGIT, the notes payable to
FEQF and DIT were cancelled and the principal amount outstanding under the note payable to CGIT was reduced by $3,800 to $9,200.



On November 29, 2010, we issued a promissory
note to Capital Growth Investment Trust in the principal amount of $1,000. During December 2010, we issued promissory notes in
the principal amounts of $5,500 and $8,500, respectively, to FEQ Realty, LLC (“FEQR”) and CGIT. On January 19, 2011,
we issued a promissory note to RMS in the principal amount of $10,000. The notes accrue interest at the annual rate of 3.25% and
are payable on November 30, 2011, or upon demand.



In February and March 2011, we issued promissory
notes to CGIT in the aggregate amount of $12,500, which accrue interest at 3.25% per annum and are due on demand.



On May 19, 2011, we issued a promissory
note to RMS in the amount of $6,000. The note is due on demand and accrues interest at 3.25% per annum.



During July 2011, we issued promissory
notes to RMS and FEQR in the principal amounts of $3,000 and $10,000, respectively. The notes accrue interest at the annual rate
of 3.25% and are payable on demand. During October 2011, we issued to each of FEQR and RMS a promissory note in the principal amount
of $2,000. The notes are due on demand and accrue interest at a rate of 3.25%.





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During January 2012, we issued to RMS a
promissory note in the principal amount of $3,000. The note accrues interest at the annual rate of 3.25% and is due on demand.



In May 2012, we issued two promissory notes
to CGIT in the aggregate principal amount of $10,000. The notes accrue interest at 3.25% per annum and are due on demand.



As of June 30, 2012, we had cash resources
of approximately $1,000.  Our activities consist solely of identifying a suitable operating company to acquire and complying
with our obligations under federal securities laws.  We believe that our current cash resources will not be sufficient
to fund operations for the next twelve months.  In the event that we identify a suitable operating company to acquire,
we expect that we will need to raise additional capital to complete such a transaction and to satisfy the working capital or operational
requirements of any company we acquire.  We expect that any additional capital required will be obtained through sales
of our debt or equity securities. The sale of additional equity securities will result in additional dilution to our stockholders.  In
the event we have to issue additional debt, we would incur increased interest expenses and could be subject to covenants that may
have the effect of restricting our operations.  We have no commitment for any of the additional financing necessary to
execute our business plan and we can provide no assurance that such financing will be available in an amount or on terms acceptable
to us, if at all.  If we are unable to obtain additional funds when they are needed or if such funds cannot be obtained
on terms favorable to us, we may not be able to complete the acquisition of an operating company, may not have enough funds to
execute the business plan of any company that we do acquire, and in the extreme case, may be required to terminate operations and
liquidate the Company.



Off-Balance Sheet Arrangements



As of June 30, 2012, we did not have any
relationships with unconsolidated entities or financial partners, such as entities often referred to as structured finance or special
purpose entities, which had been established for the purpose of facilitating off-balance sheet arrangements or other contractually
narrow or limited purposes.  As such, we are not materially exposed to any financing, liquidity, market or credit risk
that could arise if we had engaged in such relationships.



Item 4. Controls and Procedures



An evaluation of the effectiveness of our
disclosure controls and procedures (as defined in Rules 13a-15(e) or 15d-15(e) under the Securities Exchange Act of 1934) was carried
out by us under the supervision and with the participation of our Chief Executive Officer and Chief Financial Officer.  Based
upon that evaluation, our Chief Executive Officer and Chief Financial Officer concluded that as of June 30, 2012, our disclosure
controls and procedures were effective to ensure (i) that information we are required to disclose in reports that we file or submit
under the Securities Exchange Act of 1934 is recorded, processed, summarized and reported within the time periods specified in
the SEC’s rules and forms and (ii) that such information is accumulated and communicated to management, including our Chief
Executive Officer and Chief Financial Officer, in order to allow timely decisions regarding required disclosure.



There have not been any changes in our
internal control over financial reporting (as defined in Rules 13a-15(f) and 15d-15(f) under the Securities Exchange Act) that
occurred during the fiscal quarter ended June 30, 2012 that have materially affected, or are reasonably likely to materially affect,
our internal control over financial reporting.



PART II - OTHER INFORMATION



Item 5.  Other Information.



The information set forth below is included herewith for
the purpose of providing the disclosure required under “Item 1.01- Entry into a Material Definitive Agreement” and
“Item 2.03 Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant”
of Form 8-K.



In May 2012, we issued two promissory notes
to CGIT in the aggregate principal amount of $10,000. The notes accrue interest at 3.25% per annum and are due on demand.



The description of the notes is qualified in its entirety by
reference to a copy of the form of promissory note filed as an exhibit to this and other reports filed with the Securities and
Exchange Commission.





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Item 6.  Exhibits.



The following exhibits are included or
incorporated by reference herein:



|Exhibit No. | Exhibit                                                                                                                                                                                 
|----------- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|            |                                                                                                                                                                                         
|10.1        | Form of Promissory Note (incorporated by reference to Exhibit 10.2 of the quarterly report on Form 10-Q for the quarter ended March 31, 2011, filed with the Commission on May 12, 2011)
|            |                                                                                                                                                                                         
|31.1        | Certification of Chief Executive Officer and Chief Financial Officer of the Company required by Rule 13a-14(a) under the Securities Exchange Act of 1934, as amended                    
|            |                                                                                                                                                                                         
|32.1        | Certification of Chief Executive Officer and Chief Financial Officer of the Company required by Rule 13a-14(b) under the Securities Exchange Act of 1934, as amended                    





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SIGNATURES



Pursuant to the requirements of the Securities
Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.





|                      | Sydys Corporation                                                   
|--------------------- | --------------------------------------------------------------------
|                      |                                                                     
|Date: August 20, 2012 | /s/ Kenneth J. Koock                                                
|                      | Kenneth J. Koock Chief Executive Officer and Chief Financial Officer





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EXHIBIT INDEX



|Exhibit Number | Description                                                                                                                                                         
|-------------- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------
|               |                                                                                                                                                                     
|31.1           | Certification of Chief Executive Officer and Chief Financial Officer of the Company required by Rule 13a-14(a) under the Securities Exchange Act of 1934, as amended
|               |                                                                                                                                                                     
|32.1           | Certification of Chief Executive Officer and Chief Financial Officer of the Company required by Rule 13a-14(b) under the Securities Exchange Act of 1934, as amended





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