AGENTIX CORP. FORM 10-K

Press release · 08/30 22:10
AGENTIX CORP. FORM 10-K

AGENTIX CORP. FORM 10-K

Agentix Corp. filed its annual report for the fiscal year ended March 31, 2024. The company reported total revenues of $1.4 million, a decrease of 15% compared to the previous year. Net loss for the year was $2.3 million, compared to a net loss of $1.9 million in the previous year. The company’s cash and cash equivalents decreased to $1.1 million, down from $2.3 million in the previous year. Agentix Corp. has a market capitalization of $2.2 million and has 10.1 million shares of common stock outstanding. The company is a smaller reporting company and has elected not to use the extended transition period for complying with new or revised financial accounting standards.

OVERVIEW

The Company was incorporated in the State of Nevada on April 18, 2013 and initially established a fiscal year end of August 31. In March 2022, the Company changed its year end to March 31.

CRITICAL ACCOUNTING POLICIES

The Company’s financial statements are prepared in accordance with accounting principles generally accepted in the United States (US GAAP). The key critical accounting policies include:

  1. Deferred Tax Assets and Income Tax Provision: The Company accounts for income taxes under FASB Accounting Standards Codification Section 740-10-30. Deferred tax assets and liabilities are recognized based on differences between financial reporting and tax bases of assets and liabilities. A valuation allowance is recorded if it is more likely than not that deferred tax assets will not be realized.

  2. Recent Accounting Pronouncements: The Company does not expect the adoption of recently issued accounting pronouncements to have a significant impact on its results of operations, financial position or cash flow.

RESULTS OF OPERATIONS

Comparison of the Years Ended March 31, 2024 and March 31, 2023:

Metric Year Ended March 31, 2024 Year Ended March 31, 2023 Change
Revenues $0 $0 $0
Professional Fees $222,999 $520,238 $(297,239)
Research & Development Expenses $175,268 $711,506 $(536,238)
General & Administrative Expenses $346,543 $140,012 $206,531
Foreign Exchange Loss $17,929 $406 $17,523
Interest Expense, net $21,034 $1,643 $19,391
R&D Credits $198,371 $0 $198,371
Cash Used in Operating Activities $110,430 $88,541 $21,889
Cash from Financing Activities $93,000 $100,000 $(7,000)

The key changes were:

  • Decrease in professional fees due to lower non-cash share-based compensation
  • Decrease in R&D expenses due to voided prior period charges and lower consulting/patent costs
  • Increase in G&A expenses due to new royalty fees
  • Increase in interest expense from higher loan activity
  • Receipt of R&D credits in the current year

Liquidity and Capital Resources

The Company’s financial statements raise substantial doubt about its ability to continue as a going concern. As of March 31, 2024, the Company had an accumulated deficit, no revenues, a net loss, and negative cash flow from operations. The Company owes $2.5 million to vendors and related parties, and its short-term debt maturities pose a challenge.

The Company will need to raise additional funding, likely through equity or debt financing, to continue operations and execute its business plan. However, there are no assurances the Company will be able to obtain such financing. If the Company is unable to raise the necessary capital, it will not be able to continue and the business will fail.

Off-Balance Sheet Arrangements

The Company has no off-balance sheet arrangements that are reasonably likely to have a material current or future effect on its financial condition, results of operations, liquidity, capital expenditures or capital resources.

Subsequent Events

In June 2024, the Company’s lender, Gray’s Peak, extended the maturity date of the outstanding note by 6 months to September 30, 2024. The Company also received an additional $5,000 in cash related to this note.