SEC Filing Document

Company: Ambitious Entertainment, Inc.
Ticker: 
CIK: 1900851
Filing Type: S-1
Document Type: S-1
Date Filed: 2026-05-15
Accession Number: 0001493152-26-023581
Exchange: 
SIC Code: 7812
SIC Description: Services-Motion Picture & Video Tape Production
URL: https://www.sec.gov/Archives/edgar/data/1900851/000149315226023581/forms-1.htm

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sensitivity analyses to assess the impact of changes in key assumptions on the fair value estimates. evaluated the adequacy of the Company’s related disclosures in the financial statements, including the description of the key terms of the instruments and the significant valuation assumptions used. Auditor’s Evaluation: Based on the analysis above, we conclude that the Company’s valuation of convertible debt and derivative liabilities meet the criteria for classification as a Critical Audit Matters. This determination is supported by the material nature of the accounts, the significant management and auditor judgment involved, and the complexity of the audit procedures required to obtain sufficient appropriate audit evidence. /s/Bush & Associates CPA LLC have served as the Company’s auditor since 2025 Las Vegas, Nevada May 15, 2026 PCAOB ID Number 6797 AMBITIOUS ENTERTAINMENT, INC. CONSOLIDATED BALANCE SHEETS December 31, December 31, ASSETS Current Assets Cash $ 1,070 $ 3,621 Cash reserve - 8,735

Accounts receivable - 290,597

Other receivable - 31,396

Prepaid expenses and other current assets - 116,742

Investments 11,794 128,650

Deferred offering cost 250,000 250,000

Total Current Assets 262,864 829,741

TOTAL ASSETS $	262,864 $	829,741

LIABILITIES AND STOCKHOLDERS’ EQUITY

Current Liabilities

Accounts payable $	466,992 $	955,696

Accrued expenses 1,816,587 656,418

Due to related parties 1,538,004 633,332

Production financing - 775,761

Short-term production loans 25,000 -

Convertible notes payable, net 2,092,762 1,915,781

Derivative liability 8,714,459 8,474,173

Total Current Liabilities 14,653,804 13,411,161

TOTAL LIABILITIES 14,653,804 13,411,161

Commitments and contingencies

Stockholders’ Equity

Preferred stock, $0.0001 par value; 1,000,000 shares authorized; 237,341 shares issued and outstanding
as of December 31, 2025, and December 31, 2024 24 24

Common stock, $0.0001 par value; 150,000,000 shares authorized; 11,492,500 and 7,440,000 shares
issued and outstanding, as of December 31, 2025, and December 31, 2024, respectively 1,149 744

Additional paid in capital 227,068 224,572

Accumulated deficit (14,619,181	) (12,858,112	)

Accumulated other comprehensive income - 51,352

TOTAL STOCKHOLDERS’ DEFICIT (14,390,940	) (12,581,420	)

TOTAL LIABILITIES AND STOCKHOLDERS’
DEFICIT $	262,864 $	829,741

The
accompanying notes are an integral part of these audited consolidated financial statements

AMBITIOUS
ENTERTAINMENT, INC.

CONSOLIDATED
STATEMENTS OF OPERATIONS

Years Ended December 31,

Revenue $	1,225,000 $	9,289,445

Cost of revenues 1,225,000 10,330,076

Gross loss - (1,040,631	)

Operating expenses

Shared-based compensation 475,000 -

Professional fees 879,645 137,940

Consulting 623,289 128,000

Marketing and Advertising - 7,747

Other general and administrative 181,715 465,093

Total operating expenses 2,159,649 738,780

Loss from operations (2,159,649	) (1,779,411	)

Other Income (Expenses):

Other income - 23,099

Interest expense (504,650	) (953,163	)

Loss on issuance of debt (362,912	) (226,820	)

Loss on impairment of investment (128,650	) (85,837	)

Change in fair value of derivative liability 342,626 (201,422	)

Gain on transfer of corporate and member interest 1,008,070 1,933,261

Exchange loss (7,333	) -

Total other income 347,151 489,118

Net Loss $	(1,812,498	) $	(1,290,293	)

Foreign exchange translation 51,429 (10,302	)

Net Loss and comprehensive loss $	(1,761,069	) $	(1,300,595	)

Loss per share of common stock - basic and diluted $	(0.20	) $	(0.18	)

Weighted average number of shares of common stock outstanding - basic and diluted 8,847,381 7,162,027

The
accompanying notes are an integral part of these audited consolidated financial statements

AMBITIOUS
ENTERTAINMENT, INC.

CONSOLIDATED
STATEMENTS OF CHANGES IN SHAREHOLDERS’ DEFICIT

Additional Accumulated
Other

Preferred Stock Common Stock Paid in Accumulated Comprehensive

Shares Amount Shares Amount Capital Deficit Loss Total

Balance - December 31, 2023 237,340 $	24 6,800,000 $	680 $	229,522 $	(11,513,455	) $	78 $	(11,283,151	)

Common stock issued for services - - 640,000 64 (4,950	) - - (4,886	)

Other comprehensive income - - - - - (44,062	) 51,274 7,212

Net loss - - - - - (1,300,595	) - (1,300,595	)

Balance - December 31, 2024 237,340 $	24 7,440,000 $	744 $	224,572 $	(12,858,112	) $	51,352 $	(12,581,420	)

Common stock issued for cash - - 25,000 3 2,497 - - 2,500

Common stock issued for services - - 4,027,500 402 (1	) - - 401

Other comprehensive loss - - - - - - (51,352	) (51,352	)

Net loss - - - - - (1,761,069	) - (1,761,069	)

Balance - December 31, 2025 237,340 $	24 11,492,500 $	1,149 $	227,068 $	(14,619,181	) $	- $	(14,390,940	)

The
accompanying notes are an integral part of these audited consolidated financial statements

AMBITIOUS
ENTERTAINMENT, INC.

CONSOLIDATED
STATEMENTS OF CASH FLOWS

Years Ended December 31,

CASH FLOWS FROM OPERATING ACTIVITIES

Net loss $	(1,761,069	) $	(1,300,595	)

Adjustments to reconcile net loss to net cash provided by (used in) operating
activities:

Amortization of debt discount and debt issuance costs 196,981 273,877

Loss on issuance of convertible debt 362,912 226,820

Change in FV of derivative (342,625	) 201,422

Stock based compensation 475,000 -

Impairment loss 128,650 85,837

Non-cash gain on transfer of interest in subsidiaries (1,008,070	) (1,933,261	)

Changes in operating assets and liabilities:

Accounts receivable 5,060 (2,866,923	)

Tax credit receivable - (681,727	)

Other receivable - (28,101	)

Subscription receivable - 5,000

Prepaid expenses 5,000 123,610

Accounts payable 184,373 463,551

Accrued expenses 685,169 690,138

Other - 25,428

Net cash used in operating activities (1,068,619	) (4,714,924	)

CASH FLOWS FROM INVESTING ACTIVITIES

Net cash used in the transfer of interest (11,603	) (88,928	)

Investments (11,794	) (20,837	)

Net cash used in investing activities (23,397	) (109,765	)

CASH FLOWS FROM FINANCING ACTIVITIES

Proceeds from notes payable 25,000 -

Proceeds from production financing - 3,591,017

Repayments of production financing - (1,048,893	)

Debt issuance costs / loan origination fees - (11,645	)

Proceeds from short term production loans - 242,702

Advances from related parties 1,035,935 217,005

Repayments to related parties (131,263	) (101,572	)

Proceeds (adjustments) from issuance of common stock 2,500 (4,951	)

Proceeds from issuance of convertible notes payable 200,000 125,000

Capital contributions - 2,146,778

Net cash provided by financing activities 1,132,172 5,155,441

Effect of foreign exchange rates on cash and cash equivalents (51,442	) (395,284	)

Net change in cash (11,286	) (64,532	)

Cash at beginning of period 12,356 76,888

Cash at end of period $	1,070 $	12,356

SUPPLEMENTAL CASH FLOW INFORMATION:

Cash paid for income taxes $	- $	-

Cash paid for interest $	- $	-

NON CASH INVESTING AND FINANCING ACTIVITIES

Transfer of interest in subsidiaries (1,008,070	) (1,933,261	)

Initial derivative liabilities recognized as a debt
discount $	220,000 $	137,500

The
accompanying notes are an integral part of these audited consolidated financial statements

AMBITIOUS
ENTERTAINMENT, INC.

NOTES
TO CONSOLIDATED FINANCIAL STATEMENTS

December
31, 2025, and 2024

NOTE
1 - ORGANIZATION AND LIQUIDITY

Organization
and Business Overview

Ambitious
Entertainment, Inc., (“Ambitious”, “the Company”, “We”, “Us”) a Nevada corporation, was
incorporated in September 2020 to pursue an innovative media content development strategy that pursues opportunities generated from the
rapid proliferation of video streaming services such as Netflix, Disney+, Amazon Prime Video, Hulu, and Max (formerly HBO Max) as well
as all major movie studios. With offices in New York and Los Angeles, Ambitious is a leading independent media entertainment company
which sources, finances, develops and produces IP-based series and movies in “partnership” with the industry’s foremost
creative artists, streaming sites, and studios. The Company acquires and controls its own movie or series IP which it then packages internally
into a lucrative asset for sale directly to streaming sites and movie studios or, when strategically practical, the Company produces
its IP in-house. The IP we secure are rights to books, scripts, life-rights, or other IP such as blogs, vlogs, and short videos.

The
Company has six wholly owned subsidiaries including Dead Man’s Hand Production, LLC, (“DMH”), 1421135 B.C. LTD (“Cold
Deck Film, LLC” or “CD” or “Cold Deck”), AMFAD Productions CAD Inc. (“All My Friends Are Dead”,
“AMFAD”), Scorpion Productions, Inc. (“Scorpion”, “Viper”), FATE USA, LLC (“FATE”), and
Rage Movie, LLC (“Guns of Redemption” or “GOR” or “Rage”) included in the consolidated financial
statements for the year ended December 31, 2024. Five of the subsidiaries were transferred out of the Company during the year ended December

The
Company has one wholly owned subsidiary, FATE USA, LLC (“FATE”), included in the consolidated financial statements for the
year ended December 31, 2025. The subsidiary was transferred out of the Company during the year ended December 31, 2025.

Going
Concern