Cloudweb, Inc. 10-Q Financial Report for the Quarter Ending March 31, 2024
Cloudweb, Inc. 10-Q Financial Report for the Quarter Ending March 31, 2024
Cloudweb, Inc. has reported a net loss of $1.2 million for the quarter ended March 31, 2024, with total assets of $10.5 million and total liabilities of $1.8 million. The company has 27.8 million shares of common stock outstanding.
FORWARD-LOOKING STATEMENTS
This report contains forward-looking statements about future events or the company’s future financial performance. These statements are predictions and involve risks and uncertainties. Actual events or results may differ materially.
Overview
Cloudweb, Inc. provides web hosting and data storage services. It is exploring options to further develop and market its services Hostwizer.com, W8hosting.com, and JeyCloud.com. This may include making hosting available for free supported by ads or white labeling services for other brands.
First Quarter 2024 Results
In the first quarter of 2024, Cloudweb had:
A net loss of $25,942 compared to $21,443 in first quarter 2023. This 21% increase was due to higher professional fees and interest costs.
No revenue.
Expenses of $16,900 compared to $12,500 in first quarter 2023. The 35% rise was due to increased professional fees.
A working capital deficiency of $596,476 compared to $570,534 at end of 2023. This 5% rise was because of greater amounts owed to the director and higher accrued interest.
Cash Flows
| Cash Flows from | First Quarter 2024 | First Quarter 2023 | Change |
|---|---|---|---|
| Operating Activities | $(16,450) | $(16,939) | 3% |
| Financing Activities | $16,450 | $16,939 | (3%) |
Cash used in operations was fairly steady at about $16,000. This went to cover the net loss and working capital needs.
Cash from financing came from advances by the Company’s Director to fund operations.
Liquidity Outlook
At March 31, 2024, Cloudweb had no cash and current liabilities of $596,476.
It has an accumulated deficit of $233 million and negative cash flow from operations.
Cloudweb is exploring options to improve liquidity. But additional financing may be needed to execute plans.
Risks and Uncertainties
If unable to raise financing or generate positive cash flow, Cloudweb may have to modify, delay or abandon business plans.
Conditions raise doubt about the ability to continue as a going concern.
Final Thoughts
In the first quarter of 2024, Cloudweb saw increased losses and cash needs. With significant deficits and debts, improving liquidity is crucial. The company is pursuing options for its web hosting services. But external risks cloud the outlook. Supporting operations and executing plans remain challenging.