STOCK TITAN
  1. Home
  2. Sec-filings
  3. HFUS
  4. [10-Q/A] Hartford Creative Group, Inc. Amended Quarterly Earnings Report

[10-Q/A] Hartford Creative Group, Inc. Amended Quarterly Earnings Report

Filing Impact
(Low)
Filing Sentiment
(Neutral)
Form Type
10-Q/A
Rhea-AI Filing Summary

Hartford Creative Group, Inc. (HFUS) reported significant operational improvements in Q3 2025, with net income reaching $90,957, up 69% from $53,780 in the same quarter last year. For the nine months ended April 30, 2025, net income surged to $362,241 from $8,327 in the prior year period.

The company's core business involves advertising placement services, generating revenue of $0.4 million and $1.2 million for the three and nine months ended April 30, 2025, respectively. The company acts as an intermediary, connecting customers with media platforms on a net revenue basis.

However, HFUS faces significant financial challenges, with current liabilities of $5,229,246 against current assets of $2,103,623, and an accumulated deficit of $5,548,602, raising substantial going concern doubts. The company completed a 1-for-4 reverse stock split on March 31, 2025, reducing authorized shares to 75 million while maintaining the $0.001 par value.

Hartford Creative Group, Inc. (HFUS) ha riportato notevoli miglioramenti operativi nel terzo trimestre del 2025, con un utile netto di 90.957 dollari, aumentato del 69% rispetto a 53.780 dollari nello stesso trimestre dell'anno precedente. Per i primi nove mesi chiusi al 30 aprile 2025, l'utile netto è salito a 362.241 dollari rispetto a 8.327 dollari nello stesso periodo dell'anno precedente.

L'attività principale della società riguarda servizi di collocamento pubblicitario, generando ricavi di 0,4 milioni di dollari e 1,2 milioni di dollari per i tre e i nove mesi conclusi al 30 aprile 2025, rispettivamente. L'azienda agisce da intermediario, collegando i clienti alle piattaforme media su base di ricavi netti.

Tuttavia, HFUS affronta notevoli sfide finanziarie, con passività correnti di 5.229.246 dollari contro attività correnti di 2.103.623 dollari, e un deficit accumulato di 5.548.602 dollari, sollevando conseguenti notevoli dubbi sulla continuità aziendale. L'azienda ha completato una scissione azionaria inversa 1-for-4 il 31 marzo 2025, riducendo le azioni autorizzate a 75 milioni pur mantenendo il valore nominale di 0,001 dollari.

Hartford Creative Group, Inc. (HFUS) informó mejoras operativas significativas en el tercer trimestre de 2025, con ingresos netos de 90.957 dólares, un aumento del 69% desde 53.780 dólares en el mismo trimestre del año anterior. Para los nueve meses finalizados al 30 de abril de 2025, los ingresos netos se dispararon a 362.241 dólares desde 8.327 dólares en el periodo del año anterior.

El negocio principal de la empresa consiste en servicios de colocación de publicidad, generando ingresos de 0,4 millones de dólares y 1,2 millones de dólares para los tres y nueve meses finalizados al 30 de abril de 2025, respectivamente. La empresa actúa como intermediaria, conectando a los clientes con plataformas de medios sobre una base de ingresos netos.

Sin embargo, HFUS enfrenta importantes desafíos financieros, con pasivos circulantes de 5.229.246 dólares frente a activos circulantes de 2.103.623 dólares, y un déficit acumulado de 5.548.602 dólares, lo que genera serias dudas sobre la continuidad de la empresa. La compañía completó una división de acciones inversa de 1 por 4 el 31 de marzo de 2025, reduciendo las acciones autorizadas a 75 millones mientras se mantiene el valor nominal de 0,001 dólares.

Hartford Creative Group, Inc. (HFUS) 는 2025년 3분기에 상당한 운영 개선을 보고했으며, 순이익은 90,957달러로 전년 동기 53,780달러 대비 69% 증가했습니다. 2025년 4월 30일 종료된 9개월 동안의 순이익은 362,241달러로 전년 동기의 8,327달러에서 급증했습니다.

회사의 핵심 사업은 광고 배치 서비스로, 2025년 4월 30일 종료된 3개월 및 9개월 동안 각각 40만 달러 및 120만 달러의 매출을 창출했습니다. 회사는 매출 순수 이익을 기준으로 고객과 미디어 플랫폼을 연결하는 중개자 역할을 합니다.

그러나 HFUS는 현재 부채가 5,229,246달러이고 유동자산이 2,103,623달러이며 누적 적자가 5,548,602달러에 달하는 등 중대한 재정적 도전에 직면해 있으며, 계속기업 의문이 제기되고 있습니다. 회사는 2025년 3월 31일에 1대4의 역상장 분할을 완료하여 허가 주식을 7,500만 주로 축소하면서도 액면가를 0.001달러로 유지했습니다.

Hartford Creative Group, Inc. (HFUS) a enregistré d'importants progrès opérationnels au troisième trimestre 2025, avec un revenu net de 90 957 dollars, en hausse de 69 % par rapport à 53 780 dollars au même trimestre l'année précédente. Pour les neuf mois clos le 30 avril 2025, le revenu net a atteint 362 241 dollars, contre 8 327 dollars l'année précédente.

L'activité principale de la société consiste en des services de placement publicitaire, générant des revenus de 0,4 million de dollars et 1,2 million de dollars pour les trois et neuf mois clos le 30 avril 2025, respectivement. L'entreprise agit comme intermédiaire, mettant en relation les clients avec les plateformes médiatiques sur une base de recettes nettes.

Cependant, HFUS est confrontée à d'importants défis financiers, avec des passifs courants de 5 229 246 dollars contre des actifs courants de 2 103 623 dollars, et un déficit cumulé de 5 548 602 dollars, suscitant d'importantes doutes quant à la continuité d'exploitation. L'entreprise a procédé à une scission inverse de 1 pour 4 le 31 mars 2025, réduisant le nombre d'actions autorisées à 75 millions tout en conservant une valeur nominale de 0,001 dollar.

Hartford Creative Group, Inc. (HFUS) meldete signifikante operative Verbesserungen im dritten Quartal 2025, mit einem Nettogewinn von 90.957 USD, was einem Anstieg von 69 % gegenüber 53.780 USD im gleichen Quartal des Vorjahres entspricht. Für die ersten neun Monate endeten am 30. April 2025 stieg der Nettogewinn auf 362.241 USD von 8.327 USD im entsprechenden Vorjahreszeitraum.

Das Kerngeschäft des Unternehmens umfasst Werbeplatzierungsdienste, die im Zeitraum der drei bzw. neun Monate bis zum 30. April 2025 Einnahmen von 0,4 Mio. USD bzw. 1,2 Mio. USD erzielten. Das Unternehmen fungiert als Vermittler, der Kunden mit Medienplattformen auf Nettoumsatzbasis verbindet.

Allerdings sieht sich HFUS erheblichen finanziellen Herausforderungen gegenüber, mit kurzfristigen Verbindlichkeiten von 5.229.246 USD gegenüber kurzfristigen Vermögenswerten von 2.103.623 USD und einem kumulierten Defizit von 5.548.602 USD, was erhebliche Bedenken hinsichtlich der Fortführung des Unternehmens aufwirft. Das Unternehmen führte am 31. März 2025 eine 1-für-4-Aktienzusammenlegung durch und reduzierte die befugten Aktien auf 75 Millionen, während der Nennwert von 0,001 USD beibehalten wurde.

أظهرت Hartford Creative Group, Inc. (HFUS) تحسناً تشغيلياً ملحوظاً في الربع الثالث من عام 2025، حيث بلغ صافي الدخل 90,957 دولاراً، بارتفاع قدره 69% عن 53,780 دولاراً في نفس الربع من العام الماضي. لخمس الشهور التسعة المنتهية في 30 أبريل 2025، ارتفع صافي الدخل إلى 362,241 دولاراً من 8,327 دولاراً في الفترة المقابلة العام الماضي.

تتمثل أعمال الشركة الأساسية في خدمات وضع الإعلانات، محققةً إيرادات قدرها 0.4 مليون دولار و1.2 مليون دولار للثلاثة والـ9 أشهر المنتهية في 30 أبريل 2025 على التوالي. تعمل الشركة كوسيط، تربط العملاء بمنصات الإعلام على أساس صافي الإيرادات.

مع ذلك، تواجه HFUS تحديات مالية كبيرة، حيث توجد مطلوبات حالية تبلغ 5,229,246 دولار مقابل أصول حالية بقيمة 2,103,623 دولار، وعجز تراكمى مقداره 5,548,602 دولار، ما يثير شكوكاً كبيرة حول استمرار الأعمال. أتمت الشركة عملية تقسيم عكسي للأسهم بمقدار 1 مقابل 4 في 31 مارس 2025، مقلصة الأسهم المصرح بها إلى 75 مليون مع الحفاظ على القيمة الاسمية البالغة 0.001 دولار.

Hartford Creative Group, Inc. (HFUS) 在2025年第三季度报告了显著的运营改进，净利润为90,957美元，比去年同期的53,780美元增长了69%。截至2025年4月30日的前九个月，净利润从前一年同期的8,327美元跃升至362,241美元。

公司的核心业务涉及广告投放服务，在截至2025年4月30日的三个月和九个月分别产生了40万美元和120万美元的收入。公司以净收入为基础，充当客户与媒体平台之间的中介。

然而，HFUS 面临显著的财务挑战，流动负债为5,229,246美元，流动资产为2,103,623美元，累计赤字为5,548,602美元，引发了重大的持续经营疑虑。公司于2025年3月31日完成了1比4的反向股票拆分，将授权股份减至7500万股，同时维持面值为0.001美元。

Positive
  • Net income increased significantly to $362,241 for nine months (up 4250% YoY)
  • Operating income improved to $553,826 from a loss in the previous year
  • Successfully implemented advertising placement service generating $1.2M revenue in nine months
Negative
  • Substantial going concern doubts due to $5.5M accumulated deficit
  • High customer concentration with three clients accounting for 84% of billing
  • Current liabilities ($5.2M) significantly exceed current assets ($2.1M)
  • Heavy reliance on related party funding for operations

Insights

Despite revenue growth, Hartford Creative's weak balance sheet and concentrated customer base present significant risks.

The company's operating model as an advertising intermediary shows improving profitability, with net income margins expanding significantly. However, the balance sheet remains concerning with current liabilities exceeding current assets by over $3.1 million, suggesting potential liquidity challenges.

Customer concentration risk is particularly worrying, with just three customers accounting for 84% of gross billing. This dependency on a small customer base makes the company vulnerable to sudden revenue disruptions if any major client reduces spending or switches providers.

Recent reverse stock split and ownership changes signal corporate restructuring efforts amid financial strain.

The 1-for-4 reverse stock split implemented March 31, 2025, while technically neutral to enterprise value, often indicates management's attempt to maintain listing requirements or improve stock marketability. The reduction in authorized shares from 300 million to 75 million suggests a more concentrated ownership structure.

The company's complex ownership changes, including SH Qiaohong's 39% stake acquisition, point to ongoing corporate restructuring efforts to stabilize operations, though effectiveness remains uncertain given persistent financial challenges.

Hartford Creative Group, Inc. (HFUS) ha riportato notevoli miglioramenti operativi nel terzo trimestre del 2025, con un utile netto di 90.957 dollari, aumentato del 69% rispetto a 53.780 dollari nello stesso trimestre dell'anno precedente. Per i primi nove mesi chiusi al 30 aprile 2025, l'utile netto è salito a 362.241 dollari rispetto a 8.327 dollari nello stesso periodo dell'anno precedente.

L'attività principale della società riguarda servizi di collocamento pubblicitario, generando ricavi di 0,4 milioni di dollari e 1,2 milioni di dollari per i tre e i nove mesi conclusi al 30 aprile 2025, rispettivamente. L'azienda agisce da intermediario, collegando i clienti alle piattaforme media su base di ricavi netti.

Tuttavia, HFUS affronta notevoli sfide finanziarie, con passività correnti di 5.229.246 dollari contro attività correnti di 2.103.623 dollari, e un deficit accumulato di 5.548.602 dollari, sollevando conseguenti notevoli dubbi sulla continuità aziendale. L'azienda ha completato una scissione azionaria inversa 1-for-4 il 31 marzo 2025, riducendo le azioni autorizzate a 75 milioni pur mantenendo il valore nominale di 0,001 dollari.

Hartford Creative Group, Inc. (HFUS) informó mejoras operativas significativas en el tercer trimestre de 2025, con ingresos netos de 90.957 dólares, un aumento del 69% desde 53.780 dólares en el mismo trimestre del año anterior. Para los nueve meses finalizados al 30 de abril de 2025, los ingresos netos se dispararon a 362.241 dólares desde 8.327 dólares en el periodo del año anterior.

El negocio principal de la empresa consiste en servicios de colocación de publicidad, generando ingresos de 0,4 millones de dólares y 1,2 millones de dólares para los tres y nueve meses finalizados al 30 de abril de 2025, respectivamente. La empresa actúa como intermediaria, conectando a los clientes con plataformas de medios sobre una base de ingresos netos.

Sin embargo, HFUS enfrenta importantes desafíos financieros, con pasivos circulantes de 5.229.246 dólares frente a activos circulantes de 2.103.623 dólares, y un déficit acumulado de 5.548.602 dólares, lo que genera serias dudas sobre la continuidad de la empresa. La compañía completó una división de acciones inversa de 1 por 4 el 31 de marzo de 2025, reduciendo las acciones autorizadas a 75 millones mientras se mantiene el valor nominal de 0,001 dólares.

Hartford Creative Group, Inc. (HFUS) 는 2025년 3분기에 상당한 운영 개선을 보고했으며, 순이익은 90,957달러로 전년 동기 53,780달러 대비 69% 증가했습니다. 2025년 4월 30일 종료된 9개월 동안의 순이익은 362,241달러로 전년 동기의 8,327달러에서 급증했습니다.

회사의 핵심 사업은 광고 배치 서비스로, 2025년 4월 30일 종료된 3개월 및 9개월 동안 각각 40만 달러 및 120만 달러의 매출을 창출했습니다. 회사는 매출 순수 이익을 기준으로 고객과 미디어 플랫폼을 연결하는 중개자 역할을 합니다.

그러나 HFUS는 현재 부채가 5,229,246달러이고 유동자산이 2,103,623달러이며 누적 적자가 5,548,602달러에 달하는 등 중대한 재정적 도전에 직면해 있으며, 계속기업 의문이 제기되고 있습니다. 회사는 2025년 3월 31일에 1대4의 역상장 분할을 완료하여 허가 주식을 7,500만 주로 축소하면서도 액면가를 0.001달러로 유지했습니다.

Hartford Creative Group, Inc. (HFUS) a enregistré d'importants progrès opérationnels au troisième trimestre 2025, avec un revenu net de 90 957 dollars, en hausse de 69 % par rapport à 53 780 dollars au même trimestre l'année précédente. Pour les neuf mois clos le 30 avril 2025, le revenu net a atteint 362 241 dollars, contre 8 327 dollars l'année précédente.

L'activité principale de la société consiste en des services de placement publicitaire, générant des revenus de 0,4 million de dollars et 1,2 million de dollars pour les trois et neuf mois clos le 30 avril 2025, respectivement. L'entreprise agit comme intermédiaire, mettant en relation les clients avec les plateformes médiatiques sur une base de recettes nettes.

Cependant, HFUS est confrontée à d'importants défis financiers, avec des passifs courants de 5 229 246 dollars contre des actifs courants de 2 103 623 dollars, et un déficit cumulé de 5 548 602 dollars, suscitant d'importantes doutes quant à la continuité d'exploitation. L'entreprise a procédé à une scission inverse de 1 pour 4 le 31 mars 2025, réduisant le nombre d'actions autorisées à 75 millions tout en conservant une valeur nominale de 0,001 dollar.

Hartford Creative Group, Inc. (HFUS) meldete signifikante operative Verbesserungen im dritten Quartal 2025, mit einem Nettogewinn von 90.957 USD, was einem Anstieg von 69 % gegenüber 53.780 USD im gleichen Quartal des Vorjahres entspricht. Für die ersten neun Monate endeten am 30. April 2025 stieg der Nettogewinn auf 362.241 USD von 8.327 USD im entsprechenden Vorjahreszeitraum.

Das Kerngeschäft des Unternehmens umfasst Werbeplatzierungsdienste, die im Zeitraum der drei bzw. neun Monate bis zum 30. April 2025 Einnahmen von 0,4 Mio. USD bzw. 1,2 Mio. USD erzielten. Das Unternehmen fungiert als Vermittler, der Kunden mit Medienplattformen auf Nettoumsatzbasis verbindet.

Allerdings sieht sich HFUS erheblichen finanziellen Herausforderungen gegenüber, mit kurzfristigen Verbindlichkeiten von 5.229.246 USD gegenüber kurzfristigen Vermögenswerten von 2.103.623 USD und einem kumulierten Defizit von 5.548.602 USD, was erhebliche Bedenken hinsichtlich der Fortführung des Unternehmens aufwirft. Das Unternehmen führte am 31. März 2025 eine 1-für-4-Aktienzusammenlegung durch und reduzierte die befugten Aktien auf 75 Millionen, während der Nennwert von 0,001 USD beibehalten wurde.

true Q3 --07-31 0001482554 0001482554 2024-08-01 2025-04-30 0001482554 2025-10-08 0001482554 2025-04-30 0001482554 2024-07-31 0001482554 us-gaap:RelatedPartyMember 2025-04-30 0001482554 us-gaap:RelatedPartyMember 2024-07-31 0001482554 2025-03-31 2025-03-31 0001482554 us-gaap:NonrelatedPartyMember 2025-02-01 2025-04-30 0001482554 us-gaap:NonrelatedPartyMember 2024-02-01 2024-04-30 0001482554 us-gaap:NonrelatedPartyMember 2024-08-01 2025-04-30 0001482554 us-gaap:NonrelatedPartyMember 2023-08-01 2024-04-30 0001482554 us-gaap:RelatedPartyMember 2025-02-01 2025-04-30 0001482554 us-gaap:RelatedPartyMember 2024-02-01 2024-04-30 0001482554 us-gaap:RelatedPartyMember 2024-08-01 2025-04-30 0001482554 us-gaap:RelatedPartyMember 2023-08-01 2024-04-30 0001482554 2025-02-01 2025-04-30 0001482554 2024-02-01 2024-04-30 0001482554 2023-08-01 2024-04-30 0001482554 us-gaap:CommonStockMember 2024-07-31 0001482554 us-gaap:AdditionalPaidInCapitalMember 2024-07-31 0001482554 us-gaap:RetainedEarningsMember 2024-07-31 0001482554 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2024-07-31 0001482554 us-gaap:CommonStockMember 2024-10-31 0001482554 us-gaap:AdditionalPaidInCapitalMember 2024-10-31 0001482554 us-gaap:RetainedEarningsMember 2024-10-31 0001482554 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2024-10-31 0001482554 2024-10-31 0001482554 us-gaap:CommonStockMember 2025-01-31 0001482554 us-gaap:AdditionalPaidInCapitalMember 2025-01-31 0001482554 us-gaap:RetainedEarningsMember 2025-01-31 0001482554 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2025-01-31 0001482554 2025-01-31 0001482554 us-gaap:CommonStockMember 2023-07-31 0001482554 us-gaap:AdditionalPaidInCapitalMember 2023-07-31 0001482554 us-gaap:RetainedEarningsMember 2023-07-31 0001482554 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2023-07-31 0001482554 2023-07-31 0001482554 us-gaap:CommonStockMember 2023-10-31 0001482554 us-gaap:AdditionalPaidInCapitalMember 2023-10-31 0001482554 us-gaap:RetainedEarningsMember 2023-10-31 0001482554 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2023-10-31 0001482554 2023-10-31 0001482554 us-gaap:CommonStockMember 2024-01-31 0001482554 us-gaap:AdditionalPaidInCapitalMember 2024-01-31 0001482554 us-gaap:RetainedEarningsMember 2024-01-31 0001482554 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2024-01-31 0001482554 2024-01-31 0001482554 us-gaap:CommonStockMember 2024-08-01 2024-10-31 0001482554 us-gaap:AdditionalPaidInCapitalMember 2024-08-01 2024-10-31 0001482554 us-gaap:RetainedEarningsMember 2024-08-01 2024-10-31 0001482554 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2024-08-01 2024-10-31 0001482554 2024-08-01 2024-10-31 0001482554 us-gaap:CommonStockMember 2024-11-01 2025-01-31 0001482554 us-gaap:AdditionalPaidInCapitalMember 2024-11-01 2025-01-31 0001482554 us-gaap:RetainedEarningsMember 2024-11-01 2025-01-31 0001482554 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2024-11-01 2025-01-31 0001482554 2024-11-01 2025-01-31 0001482554 us-gaap:CommonStockMember 2025-02-01 2025-04-30 0001482554 us-gaap:AdditionalPaidInCapitalMember 2025-02-01 2025-04-30 0001482554 us-gaap:RetainedEarningsMember 2025-02-01 2025-04-30 0001482554 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2025-02-01 2025-04-30 0001482554 us-gaap:CommonStockMember 2023-08-01 2023-10-31 0001482554 us-gaap:AdditionalPaidInCapitalMember 2023-08-01 2023-10-31 0001482554 us-gaap:RetainedEarningsMember 2023-08-01 2023-10-31 0001482554 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2023-08-01 2023-10-31 0001482554 2023-08-01 2023-10-31 0001482554 us-gaap:CommonStockMember 2023-11-01 2024-01-31 0001482554 us-gaap:AdditionalPaidInCapitalMember 2023-11-01 2024-01-31 0001482554 us-gaap:RetainedEarningsMember 2023-11-01 2024-01-31 0001482554 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2023-11-01 2024-01-31 0001482554 2023-11-01 2024-01-31 0001482554 us-gaap:CommonStockMember 2024-02-01 2024-04-30 0001482554 us-gaap:AdditionalPaidInCapitalMember 2024-02-01 2024-04-30 0001482554 us-gaap:RetainedEarningsMember 2024-02-01 2024-04-30 0001482554 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2024-02-01 2024-04-30 0001482554 us-gaap:CommonStockMember 2025-04-30 0001482554 us-gaap:AdditionalPaidInCapitalMember 2025-04-30 0001482554 us-gaap:RetainedEarningsMember 2025-04-30 0001482554 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2025-04-30 0001482554 us-gaap:CommonStockMember 2024-04-30 0001482554 us-gaap:AdditionalPaidInCapitalMember 2024-04-30 0001482554 us-gaap:RetainedEarningsMember 2024-04-30 0001482554 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2024-04-30 0001482554 2024-04-30 0001482554 HFUS:HangzhouLongjingQiaoFuVacationHotelCoLtdMember 2020-12-31 0001482554 HFUS:ShanghaiQiaoGardenInternationalTravelAgencyMember 2020-12-31 0001482554 HFUS:ShanghaiOverseaChineseCultureMediaLtdMember us-gaap:DiscontinuedOperationsDisposedOfBySaleMember HFUS:HartfordInternationalEducationTechnologyCoLtdMember 2022-08-01 0001482554 HFUS:ShanghaiOverseaChineseCultureMediaLtdMember us-gaap:DiscontinuedOperationsDisposedOfBySaleMember HFUS:HangzhouHartfordComprehensiveHealthManagementLtdMember 2022-08-01 0001482554 HFUS:HangzhouHartfordWPCultureMediaLtdMember 2024-12-09 0001482554 HFUS:ShanghaiDZCultureMediaLtdMember 2025-01-01 0001482554 HFUS:SHOverseaMember 2024-08-01 2025-04-30 0001482554 2025-03-28 0001482554 2025-03-30 0001482554 2025-03-31 0001482554 HFUS:AdvertisementPlacementServicesMember 2025-02-01 2025-04-30 0001482554 HFUS:AdvertisementPlacementServicesMember 2024-08-01 2025-04-30 0001482554 us-gaap:ServiceMember 2023-08-01 2024-04-30 0001482554 us-gaap:LoansReceivableMember HFUS:ShanghaiKongluZeYiBrandsManagementLtdMember 2024-07-31 0001482554 us-gaap:LoansReceivableMember HFUS:ShanghaiKongluZeYiBrandsManagementLtdMember 2024-08-31 0001482554 HFUS:ShanghaiKongluZeYiBrandsManagementLtdMember 2024-07-31 0001482554 HFUS:ShanghaiKongluZeYiBrandsManagementLtdMember 2024-08-31 0001482554 HFUS:ShanghaiKongluZeYiBrandsManagementLtdMember 2024-07-01 2024-07-31 0001482554 HFUS:ShanghaiKongluZeYiBrandsManagementLtdMember 2024-08-01 2024-08-31 0001482554 us-gaap:LoansReceivableMember 2024-12-31 0001482554 HFUS:SHQiahongMember 2025-04-30 0001482554 HFUS:SHQiahongMember 2024-07-31 0001482554 HFUS:ShanghaiOverseaChineseCultureMediaLtdMember 2025-04-30 0001482554 HFUS:ShanghaiOverseaChineseCultureMediaLtdMember 2024-07-31 0001482554 HFUS:MsErinSongWangMember 2024-11-26 0001482554 HFUS:SHQiaohongMember 2024-11-26 0001482554 HFUS:SHOverseaMember 2024-11-26 0001482554 HFUS:HartfordHotelInvestmentIncMember 2025-04-30 0001482554 HFUS:HartfordHotelInvestmentIncMember 2025-02-01 2025-04-30 0001482554 HFUS:HartfordHotelInvestmentIncMember 2024-08-01 2025-04-30 0001482554 HFUS:HartfordHotelInvestmentIncMember 2024-02-01 2024-04-30 0001482554 HFUS:HartfordHotelInvestmentIncMember 2023-08-01 2024-04-30 0001482554 HFUS:HartfordHotelInvestmentIncMember 2024-07-31 0001482554 HFUS:MrLianyuSongMember 2024-02-29 0001482554 HFUS:MrLianyuSongMember 2024-04-22 0001482554 HFUS:MrLianyuSongMember 2025-02-01 2025-04-30 0001482554 HFUS:MrLianyuSongMember 2024-08-01 2025-04-30 0001482554 HFUS:MrLianyuSongMember 2024-12-10 0001482554 HFUS:MrLianyuSongMember 2025-04-30 0001482554 HFUS:MrLianyuSongMember 2024-07-31 0001482554 2024-02-18 0001482554 2024-02-18 2024-02-18 0001482554 2025-01-01 2025-01-01 0001482554 us-gaap:CustomerConcentrationRiskMember us-gaap:SalesRevenueNetMember HFUS:TwoCustomersMember 2025-02-01 2025-04-30 0001482554 us-gaap:CustomerConcentrationRiskMember us-gaap:SalesRevenueNetMember HFUS:ThreeCustomersMember 2024-08-01 2025-04-30 0001482554 us-gaap:CustomerConcentrationRiskMember us-gaap:SalesRevenueNetMember HFUS:FourCustomersMember 2024-02-01 2024-04-30 0001482554 us-gaap:CustomerConcentrationRiskMember us-gaap:SalesRevenueNetMember HFUS:FourCustomersMember 2023-08-01 2024-04-30 0001482554 us-gaap:CustomerConcentrationRiskMember us-gaap:AccountsReceivableMember HFUS:TwoCustomersMember 2025-04-30 0001482554 us-gaap:CustomerConcentrationRiskMember us-gaap:AccountsReceivableMember HFUS:TwoCustomersMember 2024-07-31 0001482554 us-gaap:CustomerConcentrationRiskMember HFUS:ContractLiabilitiesMember HFUS:ThreeCustomersMember 2025-02-01 2025-04-30 0001482554 us-gaap:CustomerConcentrationRiskMember HFUS:ContractLiabilitiesMember HFUS:TwoCustomersMember 2023-08-01 2024-07-31 0001482554 us-gaap:CustomerConcentrationRiskMember us-gaap:SalesRevenueNetMember HFUS:ThreeContractorsMember 2025-02-01 2025-04-30 0001482554 us-gaap:CustomerConcentrationRiskMember us-gaap:SalesRevenueNetMember HFUS:TwoContractorsMember 2024-08-01 2025-04-30 0001482554 us-gaap:CustomerConcentrationRiskMember us-gaap:SalesRevenueNetMember HFUS:OneContractorMember 2023-02-01 2024-04-30 0001482554 us-gaap:CustomerConcentrationRiskMember us-gaap:SalesRevenueNetMember HFUS:OneContractorMember 2023-08-01 2024-04-30 0001482554 us-gaap:CustomerConcentrationRiskMember us-gaap:AccountsPayableMember HFUS:TwoContractorsMember 2025-04-30 0001482554 us-gaap:CustomerConcentrationRiskMember us-gaap:AccountsPayableMember HFUS:TwoContractorsMember 2024-07-31 0001482554 us-gaap:CustomerConcentrationRiskMember HFUS:AdvancedPaymentsMember HFUS:TwoContractorsMember 2024-08-01 2025-04-30 0001482554 us-gaap:CustomerConcentrationRiskMember HFUS:AdvancedPaymentsMember HFUS:TwoContractorsMember 2023-08-01 2024-07-31 iso4217:USD xbrli:shares iso4217:USD xbrli:shares HFUS:Segment utr:sqm utr:sqft iso4217:CNY xbrli:pure

 

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

FORM 10-Q/A

 

☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

 

For the quarterly period ended: April 30, 2025

 

☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE EXCHANGE ACT For the transition period from ________ to ________

 

Commission File Number: 000-54439

 

HARTFORD CREATIVE GROUP, INC.

(Exact Name of Registrant as Specified in its Charter)

 

Nevada

(State or other jurisdiction of incorporation or organization)

 

51-0675116

(I.R.S. Employer Identification Number)

 

8832 Glendon Way, Rosemead, California 91770

(Address of Principal Executive Offices) (Zip Code)

 

Registrant’s telephone number including area code: (626)321-1915

 

HARTFORD GREAT HEALTH CORP.

Former name, former address, and former fiscal year, if changed since last report

 

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities 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. Yes ☒ No ☐

 

Indicate by check mark whether the registrant has submitted electronically, every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐

 

Indicate by checkmark whether the registrant is a large accelerated filer, a non-accelerated filer, or a smaller reporting company. See the definitions 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 ☒
Emerging growth company ☒  

 

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

 

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

 

Securities registered pursuant to Section 12(b) of the Act:

 

Title of each class   Trading Symbol(s)   Name of each exchange on which registered
Common stock, par value $0.001 par value   HFUS   OTC Markets Group

 

State the number of shares outstanding of each of the issuer’s classes of common equity, as of the latest practicable date: 25,027,004 shares of common stock outstanding as of October 08, 2025.

 

 

 

 

 

 

EXPLANATORY NOTE

 

Hartford Creative Group, Inc. (the “Company”) is filing this Amendment No. 1 to its Quarterly Report on Form 10-Q for the quarter ended April 30, 2025 (the “Original Filing”), originally filed with the Securities and Exchange Commission (the “SEC”) on June 13, 2025, solely to amend and restate the disclosures related to related party transactions.

 

After the filing of the Original Report, the Company determined that certain related party relationships had been reinstated as of November 26, 2024, and December 2, 2024, respectively, which were not identified or disclosed in the Original Report:

 

●On November 26, 2024, Ms. Erin SongWang acquired a 39% ownership interest in the Company and became a major shareholder, resulting in Shanghai Qiaohong Assets Ltd. (‘SH Qiaohong’), where she holds a 90% beneficial ownership, and its 95%-owned subsidiary, Shanghai Oversea Chinese Culture Media Ltd. (‘SH Oversea’), becoming related parties of the Company.
   
●Shanghai Konglu ZeYi Brands Management Ltd. (“KLZY”) became a related party of the Company on December 2, 2024, when it was acquired by SH Qiaohong.

 

This Amendment No. 1 is being filed to correct such omissions and provide the required disclosures. The following items have been amended in this Amendment No. 1:

 

● Part I — Item 1. Unaudited Condensed Consolidated Balance Sheets and Unaudited Condensed Consolidated Statements of Cash Flows
● Part I — Item 1. Note 3 and Note 4 of the Notes to the Unaudited Condensed Consolidated Financial Statements
● Part I – Item 2. “Management’s Discussion and Analysis of Financial Condition and Results of Operations – Recent Developments”

 

Except as described above, this Amendment does not amend, update, or change any other items or disclosures in the Original Report. This Amendment speaks as of the date of the Original Report, and does not reflect events occurring after the filing of the Original Report, except as noted herein.

 

 

 

 

Index

 

    Page
     
Part I - FINANCIAL INFORMATION  
     
Item 1. Unaudited Consolidated Financial Statements  
  Condensed Consolidated Balance Sheets as of April 30, 2025 (unaudited) and July 31, 2024 3
  Condensed Consolidated Statements of Operations for the Three and Nine months ended April 30, 2025 and 2024 (unaudited) 4
  Condensed Consolidated Statements of Comprehensive Income (Loss) for the Three and Nine months ended April 30, 2025 and 2024 (unaudited) 5
  Condensed Consolidated Statements of Changes in Stockholders’ Equity (Deficit) (unaudited) 6
  Condensed Consolidated Statements of Cash Flows for the Nine months ended April 30, 2025 and 2024 (unaudited) 7
  Notes to Condensed Consolidated Financial Statements (unaudited) 8
     
Item 2. Management’s Discussion and Analysis or Plan of Operation 12
     
Item 3. Quantitative and Qualitative Disclosures About Market Risk 16
     
Item 4. Controls and Procedures 16
     
Part II - OTHER INFORMATION  
     
Item 1. Legal Proceedings 17
     
Item 1A. Risk Factors 17
     
Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 17
     
Item 3. Defaults Upon Senior Securities 17
     
Item 4. Mine Safety Disclosures 17
     
Item 5. Other Information 17
     
Item 6. Exhibits 17
     
SIGNATURES 18
     

 

2

 

 

HARTFORD CREATIVE GROUP, INC.

(FORMERLY KNOWN AS HARTFORD GREAT HEALTH CORP.)

CONDENSED CONSOLIDATED BALANCE SHEETS

 

   April 30, 2025   July 31, 2024 
   (Unaudited)     
ASSETS          
Current Assets          
Cash and cash equivalents  $49,427   $310,763 
Accounts receivable   364,980    573,530 
Advance to contractor   912,733    2,422,392 
Related party receivable**   -    - 
Current loan receivable-related party** (as restated)   660,125    138,577 
Prepaid and Other current receivables   16,663    26,483 
Deferred offering costs   99,695    - 
Total Current Assets   2,103,623    3,471,745 
Non-current Assets          
Property and equipment, net   582    587 
ROU assets-operating lease   5,222    10,771 
Deferred tax assets   204,901    204,901 
Total Non-current Assets   210,705    216,259 
TOTAL ASSETS  $2,314,328   $3,688,004 
           
LIABILITIES AND STOCKHOLDERS’ EQUITY          
Current Liabilities          
Accounts payable  $425,781   $1,326,907 
Related party loan and payables** (as restated)   4,104,557    3,930,804 
Contract liabilities   252,808    1,315,189 
Current operating Lease liabilities   5,311    3,491 
Other current payable   440,789    461,319 
Non-interest-bearing payable** (as restated)   -    - 
Total Current Liabilities   5,229,246    7,037,710 
Lease liabilities, noncurrent   -    3,768 
TOTAL LIABILITIES   5,229,246    7,041,478 
           
Commitments and contingencies   -    - 
Stockholders’ Equity (Deficit)          
Preferred stock - $0.001 par value, 5,000,000 shares authorized, no shares issued and outstanding   -    - 
Common stock - $0.001 par value, 75,000,000 shares authorized, 25,027,004 shares outstanding at both of April 30, 2025 and July 31, 2024*   25,027    25,027 
Additional paid-in capital   2,248,602    2,248,602 
Accumulated deficit   (5,548,602)   (5,910,843)
Accumulated other comprehensive income   360,055    283,740 
Total Stockholders’ Deficit   (2,914,918)   (3,353,474)
TOTAL LIABILITIES AND STOCKHOLDERS’ DEFICIT  $2,314,328   $3,688,004 

 

*On March 31, 2025, the Company implemented a 1-for-4 reverse stock split (Note 1). All references to numbers of shares, common stock par value, additional paid-in capital and per-share data in the accompanying notes and condensed consolidated financial statements have been adjusted to reflect such reverse stock split on a retrospective basis.
**Balances reclassified due to related party relationship changes. See Note 3 and Note 4 as restated.

 

The accompanying notes are an integral part of these condensed consolidated unaudited financial statements.

 

3

 

 

HARTFORD CREATIVE GROUP, INC.

(FORMERLY KNOWN AS HARTFORD GREAT HEALTH CORP.)

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)

 

   2025   2024   2025   2024 
   Three months ended   Nine months ended 
   April 30,   April 30, 
   2025   2024   2025   2024 
Revenue  $354,791   $116,640   $1,200,290   $116,640 
Revenue - Related Party   -    -    -    62,443 
Total Revenue   354,791    116,640    1,200,290    179,083 
Operating cost and expenses:                    
Cost of revenue   -    -    109,822    - 
Cost of revenue - Related Party   -    -    -    55,505 
Selling, general and administrative   169,887    86,300    536,642    128,434 
Total operating cost and expenses   169,887    86,300    646,464    183,939 
Operating income (loss)   184,904    30,340    553,826    (4,856)
Other Income (Expense)                    
Interest income (expense), net   1,801    (5,488)   179    (15,819)
Gain on disposal of subsidiary   -    -    21,362    - 
Other income, net   32    28,928    21,235    29,002 
Other income (expense), net   1,833    23,440    42,776    13,183 
Income before income taxes   186,737    53,780    596,602    8,327 
Income Tax Expense   95,780    -    234,361    - 
Net income   90,957    53,780    362,241    8,327 
                     
Net income per common share:                    
Basic and diluted  $0.00   $0.00   $0.01   $0.00 
Weighted average shares outstanding:                    
Basic and diluted*   25,027,004    25,027,004    25,027,004    25,027,004 

 

*On March 31, 2025, the Company implemented a 1-for-4 reverse stock split (Note 1). All references to numbers of shares, common stock par value, additional paid-in capital and per-share data in the accompanying notes and condensed consolidated financial statements have been adjusted to reflect such reverse stock split on a retrospective basis.

 

The accompanying notes are an integral part of these condensed consolidated unaudited financial statements.

 

4

 

 

HARTFORD CREATIVE GROUP, INC.

(FORMERLY KNOWN AS HARTFORD GREAT HEALTH CORP.)

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (UNAUDITED)

 

   2025   2024   2025   2024 
   Three months ended   Nine months ended 
   April 30,   April 30, 
   2025   2024   2025   2024 
Net income  $90,957   $53,780   $362,241   $8,327 
Other Comprehensive income, net of income tax                    
Foreign currency translation adjustments   41,083    81,653    76,315    54,967 
Total other comprehensive income   41,083    81,653    76,315    54,967 
Total Comprehensive income  $132,040   $135,433   $438,556   $63,294 

 

The accompanying notes are an integral part of these condensed consolidated unaudited financial statements.

 

5

 

 

HARTFORD CREATIVE GROUP, INC.

(FORMERLY KNOWN AS HARTFORD GREAT HEALTH CORP.)

CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS’ EQUITY (DEFICIT)

 

   Shares   Amount*   Capital*   (Deficit)   Income (loss)   (Deficit) 
           Additional       Accumulated Other   Total Stockholders’ 
   Common Stock*   Paid - in   Accumulated   Comprehensive   Equity 
   Shares   Amount   Capital*   (Deficit)   Income (loss)   (Deficit) 
Balance, July 31, 2024   25,027,004    25,027    2,248,602    (5,910,843)   283,740    (3,353,474)
Net income   -    -    -    127,269    -    127,269 
Foreign currency translation adjustment   -    -    -    -    (43,641)   (43,641)
Balance, October 31, 2024 (unaudited)   25,027,004    25,027    2,248,602    (5,783,574)   240,099    (3,269,846)
Net income   -    -    -    144,015    -    144,015 
Foreign currency translation adjustment   -    -    -    -    78,873    78,873 
Balance, January 31, 2025 (unaudited)   25,027,004    25,027    2,248,602    (5,639,559)   318,972    (3,046,958)
Net income   -    -    -    90,957    -    90,957 
Foreign currency translation adjustment   -    -    -    -    41,083    41,083 
Balance, April 30, 2025 (unaudited)   25,027,004    25,027    2,248,602    (5,548,602)   360,055    (2,914,918)

 

           Additional        Accumulated Other    Total Stockholders’ 
   Common Stock*   Paid - in   Accumulated   Comprehensive   Equity 
   Shares   Amount   Capital*   (Deficit)   income   (Deficit) 
Balance, July 31, 2023   25,027,004    25,027    2,248,602    (7,003,717)   240,382    (4,489,706)
Net loss   -    -    -    (25,456)   -    (25,456)
Foreign currency translation adjustment   -    -    -    -    97,167    97,167 
Balance, October 31, 2023 (unaudited)   25,027,004    25,027    2,248,602    (7,029,173)   337,549    (4,417,995)
Net loss   -    -    -    (19,997)   -    (19,997)
Foreign currency translation adjustment   -    -    -    -    (123,853)   (123,853)
Balance, January 31, 2024 (unaudited)   25,027,004    25,027    2,248,602    (7,049,170)   213,696    (4,561,845)
Net income   -    -    -    53,780    -    53,780 
Foreign currency translation adjustment   -    -    -    -    81,653    81,653 
Balance, April 30, 2024 (unaudited)   25,027,004    25,027    2,248,602    (6,995,390)   295,349    (4,426,412)

 

*On March 31, 2025, the Company implemented a 1-for-4 reverse stock split (Note 1). All references to numbers of shares, common stock par value, additional paid-in capital and per-share data in the accompanying notes and condensed consolidated financial statements have been adjusted to reflect such reverse stock split on a retrospective basis.

 

The accompanying notes are an integral part of these condensed consolidated unaudited financial statements.

 

6

 

 

HARTFORD CREATIVE GROUP, INC.

(FORMERLY KNOWN AS HARTFORD GREAT HEALTH CORP.)

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)

 

   2025   2024 
   Nine months ended 
   April 30, 
   2025   2024 
Cash flows from operating activities:          
Net income  $362,241   $8,327 
Adjustments to reconcile net income to net cash used in operating activities:          
Depreciation   -    136 
Disposal of subsidiaries   (21,362)   - 
Changes in operating assets and liabilities:          
Accounts receivable, net   214,932    - 
Prepaid and Other current receivables   9,846    - 
Advance to contractor   1,504,496    (291,448)
Deferred offering costs   (99,968)   - 
Related party receivables and payables   16,302    15,818 
Contract liabilities   (1,061,531)   262,872 
Accounts payable   (898,895)   - 
Other current payable   (3,099)   29,757 
Operating lease assets and liabilities   1,746    (6,964)
Net cash provided by operating activities   24,708    18,498 
           
Cash flows from investing activities:          
Current loan receivable- related party* (as restated)   (665,437)   - 
Repayment of Loan receivable- related party* (as restated)   138,633    - 
Disposal of subsidiary   (243)   - 
Net cash used in investing activities   (527,047)   - 
           
Cash flows from financing activities:          
Proceeds of related party notes payable   201,200    141,978 
Repayment of related party notes payable   (195,000)   (70,000)
Advances from related parties   341,434    - 
Repayment of related party advances* (as restated)   (108,411)   (55,466)
Net cash provided by financing activities   239,223    16,512 
Effect of exchange rate changes on cash   1,780    (74)
Net change in Cash, cash equivalents and restricted cash   (261,336)   34,936 
Cash, cash equivalents and restricted cash at beginning of period   310,763    5,793 
Cash, cash equivalents and restricted cash at end of period  $49,427   $40,729 
           
Supplemental Cash Flow Information          
Interest paid  $-   $- 
Income taxes paid  $328,190   $- 

 

*Restated as related party transactions as a result of related party relationship changes. See Note 3 and Note 4 for detail.

 

The accompanying notes are an integral part of these condensed consolidated unaudited financial statements.

 

7

 

 

HARTFORD CREATIVE GROUP, INC.

(FORMERLY KNOWN AS HARTFORD GREAT HEALTH CORP.)

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

 

NOTE 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

 

This summary of significant accounting policies is presented to assist in understanding the Company’s financial statements. The financial statements and notes are the responsibility of the Company’s management. These accounting policies conform to accounting principles generally accepted in the United States of America (“US GAAP”) and have been consistently applied in the preparation of the financial statements. This disclosure should be read in conjunction with our audited financial statements for the year ended July 31, 2024, including footnotes, contained in our Annual Report on Form 10-K.

 

Organization

 

Hartford Creative Group, Inc. (Formerly name Hartford Great Health Corp.) was originally incorporated in the State of Nevada on April 2, 2008 under the name PhotoAmigo, Inc. It changed its name to Hartford Great Health Corp. on August 22, 2018. On May 11, 2024, the Company further changed its name to Hartford Creative Group, Inc.

 

Through its wholly owned subsidiary - Hangzhou Hartford Comprehensive Health Management, Ltd (“HZHF) and HZHF’s 60 percent owned subsidiary - Hangzhou Longjing Qiao Fu Vacation Hotel Co., Ltd. (“HZLJ”), and through Shanghai Hartford Health Management, Ltd. (“HFSH”) and its 90 percent owned subsidiary - Shanghai Qiao Garden International Travel Agency (“Qiao Garden Int’l Travel”), the Company engages in hospitality industry in China. Qiao Garden Int’l Travel was disposed on December 31, 2020.

 

The Company engaged in early childhood education industry at Hartford International Education Technology Co., Ltd (“HF Int’l Education”) and its subsidiaries setup or acquired.

 

Impacted by the government regulation implemented in education industry and the restrictions posted by the Chinese government to control the pandemic in China since 2021, to avoid further operation losses, on August 1, 2022, HFSH entered a contract with a related party, Shanghai Oversea Chinese Culture Media Ltd. (“SH Oversea”), to sell 90 percent ownership of HF Int’l Education and its subsidiaries for $900 (RMB 5,850). On August 1, 2022, HFUS entered a contract with SH Oversea and another individual, to sell 100 percent ownership of HZHF and its subsidiaries for $1,000 (RMB 6,500).

 

Beginning in January 2024, the Company embarked on the development of a new business within the Media and Marketing sector. As part of its rebranding strategy, on January 01, 2024, HFSH changed its legal name from Shanghai Hartford Health Management, Ltd. to Shanghai Hartford ZY Culture Media Ltd. (“HFZY”). HFZY mainly engages in social media advertising business on mainstream social media platforms such as Tik Tok, Toutiao, Kwai, RED, WeChat, and more. As an advertising partner of China’s major social media platforms, the Company relies on a high-quality and professional media strategy execution team and network to help customers use the massive media resources of different types of social media platforms and receive competitive prices due to large-scale media resource procurement to purchase media resources. It aims to become one of the total solution advertising providers for domestic social media industry in China and provide customers with vertical integration services from early-stage advertising video creativity, shooting, editing, to advertising operation and management on social media apps. Further expanding its business operations, HFUS reacquired full ownership of HZHF at no cost on April 1, 2024, and subsequently rebranded it as Hangzhou Hartford WP Culture Media Ltd. (“HZWP”). On April 11, 2024, HFUS continued its growth trajectory by establishing a new subsidiary named Shanghai DZ Culture Media Ltd. (“SHDZ”). However, due to prolonged inactivity, the Company entered agreements on December 9, 2024, and January 1, 2025, to transfer 70% ownership of HZWP and SHDZ to SH Oversea, with the remaining 30% transferred to an individual. These transfers were executed at no cost and realized a $21,272 gain from the disposal of these two subsidiaries. On June 18, 2024, HFUS successfully completed the acquisition of ShaoXing HuoMao Network Technology Ltd. (SXHM). The acquisition was executed at no cost, and there were no significant assets or liabilities exchanged during the transfer.

 

Reverse Stock Split

 

On March 28, 2025, the Board of Directors approved by unanimous written consent a reverse stock split of the Company’s authorized shares and issued and outstanding shares of common stock, par value $0.001 per share, at a ratio of 1-for-4. On March 31, 2025, the Company filed a certificate of amendment with the Secretary of State of the State of Nevada to effect the 1-for-4 Reverse Stock Split, which became effective as of March 31, 2025. As a result of the Reverse Split, every four shares of the Company’s pre-Reverse Split Common Stock has been combined into one share of the Company’s post-Reverse Split Common Stock, without any change in par value per share. Prior to the Reverse Split, the Company was authorized to issue (i) 300,000,000 shares of Common Stock and (ii) 5,000,000 shares of preferred stock, par value $0.001 per share (the “Preferred Stock”). As a result of the Reverse Split, the Company is authorized to issue 75,000,000 shares of Common Stock. The par value per share of the Common Stock will remain unchanged at $0.001 per share. The total number of shares of Preferred Stock authorized for issuance will not be impacted by the Reverse Stock Split.

 

Basis of Presentation

 

The consolidated financial statements include the accounts of Hartford Creative Group, Inc., its wholly-owned subsidiaries and subsidiaries in which it has a controlling interest. The Company reports noncontrolling interests of the consolidated entities as a component of equity separate from the Company’s equity. All material inter-company transactions between and among the Company and its consolidated subsidiaries have been eliminated in the consolidation.

 

Use of Estimates

 

The preparation of financial statements in conformity with US GAAP requires the Company’s management to make estimates and assumptions that affect the amounts of assets and liabilities, the identification and disclosure of impaired assets and contingent liabilities at the date of the financial statements, and the reported amounts of expenses during the reporting period. Actual results could differ from those estimates.

 

Reclassification

 

Certain prior period amounts have been reclassified to conform to the current year presentation. These reclassifications had no impact on the Company’s net income, net cash flows, or stockholders’ equity.

 

8

 

 

Revenue Recognition

 

The Company follows the five steps approach for revenue recognition under Topic 606: (i) identify the contract(s) with a customer, (ii) identify the performance obligations in the contract, (iii) determine the transaction price, (iv) allocate the transaction price to the performance obligations in the contract, and (v) recognize revenue when (or as) we satisfy a performance obligation. Billings to customers for which services are not rendered are considered deferred revenue. The Company’s revenue is recognized when it satisfies a single performance obligation by transferring control of its products or providing services to a customer. The Company’s general payment terms are short-term in duration. The Company does not have significant financing components or payment terms.

 

The Company is developing business plan and aim to provide customers with vertical integration services from early-stage advertising video creativity, shooting, editing, to advertising operation and management on social media apps. Most of the advertising revenue will be generated by placing ad products on Tik Tok, Toutiao, Kwai, RED, WeChat, and other third-party affiliated websites and mobile applications. Currently, the Company provides traffic acquisition service to place the advertisements produced by the advertisers. The advertisements are published on the targeted media platforms as determined by the customers. Besides, the Company provides advertisements account charging service to customers upon the request from customers. Revenue is recognized at a point in time when the distribution of advertisements and charging of advertisement accounts are completed upon the completion confirmation from customers and suppliers.

 

During the Nine months ended April 30, 2025, the Company has provided advertising placement services to customers and received approximately RMB 101.8 million (USD 14.1 million) as advanced payment from these customers. The Company also acquired advertising placement services from suppliers and prepaid RMB 84.8 million (USD 11.8 million). During the Three and Nine months ended April 30, 2025, the Company recognized revenue of USD 0.4 million and 1.2 million, respectively, from the advertisement placement services. The advertisements are published on the targeted media platforms as determined by the customers. The Company is not the principal in this arrangement as the Company does not control the specified service (i.e., the traffic) before that service is delivered to the customer, because (i) it is the targeted media platform, rather than the Company, who is primarily responsible for providing the media publishing service; (ii) the media platforms are identified and determined by the customers, rather than the Company, and the Company does not commit to acquire the traffic before transferring to the customers. Therefore, the Company is not the principal in executing these transactions. The Company reports the amount received from the customers and the amounts paid to the media suppliers related to these transactions on a net basis.

 

In the comparable period in prior year, the Company recognized $116,640 net revenue from the advertisement placement services and $62,443 revenue from designing, making, and placing video advertising for related party customers.

 

Recent Accounting Pronouncements.

 

Recently not yet adopted accounting pronouncements

 

In November 2024, the FASB issued ASU No. 2024-03, Disaggregation of Income Statement Expenses (“ASU 2024 03”), and in January 2025, the FASB issued ASU No. 2025-01, Clarifying the Effective Date (“ASU 2025-01”). The amendments are intended to enhance disclosures regarding an entity’s costs and expenses by requiring additional disaggregated information disclosures about certain income statement expense line items. The amendments, as clarified by ASU 2025-01, are effective for fiscal years beginning after December 15, 2026 and interim periods within fiscal years beginning after December 15, 2027. Early adoption is permitted. We are currently evaluating the impact of adopting this guidance on our Consolidated Financial Statements.

 

In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740), Improvements to Income Tax Disclosures. The new guidance requires enhanced disclosures about income tax expenses. The Company is required to adopt this guidance in the first quarter of the fiscal year 2026. Early adoption is permitted on a prospective basis. We are currently evaluating the impact of this ASU on our annual income tax disclosures.

 

In November 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280), Improvements to Reportable Segment Disclosures. The new guidance requires enhanced disclosures about significant segment expenses. The Company is required to adopt this guidance for its annual reporting in fiscal year 2025 and for interim period reporting beginning the first quarter of fiscal year 2026 on a retrospective basis. Early adoption is permitted. We are currently evaluating the impact of this ASU on our segment disclosures.

 

The Company does not believe other recently issued but not yet effective accounting standards, if currently adopted, would have a material effect on the consolidated financial position, statements of operations and cash flows.

 

9

 

 

NOTE 2. GOING CONCERN

 

The accompanying financial statements were prepared on a going concern basis, which contemplates the realization of assets and the satisfaction of obligations in the normal course of business. As of April 30, 2025, the Company had a working capital deficit of $3,125,623 and an accumulated deficit of $5,548,602. These conditions raise substantial doubt about the ability of Hartford Creative Group, Inc. to continue as a going concern.

 

In view of these matters, continuation as a going concern is dependent upon several factors, including the availability of debt or equity funding upon terms and conditions acceptable to the Company, and ultimately achieving profitable operations. Management believes that the Company’s business plan provides it with an opportunity to continue as a going concern. However, management cannot provide assurance that the Company will meet its objectives and be able to continue in operation.

 

The financial statements do not include any adjustments to reflect the possible future effects on the recoverability and classification of assets or the amounts and classification of liabilities that may result from the possible inability of the Company to continue as a going concern.

 

NOTE 3. CURRENT LOAN RECEIVABLE-RELATED PARTY (RESTATED)

 

During July and August 2024, the Company loaned $814,847 (RMB5,800,000) to Shanghai Konglu ZeYi Brands Management Ltd. (“KLZY”) at a 3% interest rate, maturing within 12 months. On December 31, 2024, $146,956 (RMB 1,000,000) was early terminated and repaid. The outstanding loan receivable balance was $660,125 as of April 30, 2025. Interest earned amounted to $4,991 and $16,450, respectively, for the three months and nine months ended April 30, 2025.

 

On December 2, 2024, KLZY became a related party of the Company following its acquisition by SH Qiaohong.

 

NOTE 4. RELATED PARTY PAYABLE (RESTATED)

 

Related Party Payables

 

As of April 30, 2025 and July 31, 2024, amounts of $349,382 and $460,189, respectively, are payable to SH Qiaohong. The balances were mainly funding support from SH Qiaohong for operation. The funding support bears no interest and due on demand.

 

HFSH had payable balances to Shanghai Oversea Chinese Culture Media Ltd. (“SH Oversea”), in the amounts of $2,801,793 and $2,821,972 as of April 30, 2025 and July 31, 2024, respectively. The payable is funding support from SH Oversea for operation, bears no interest and due on demand.

 

The Company’s related party relationship with SH Qiaohong and SH Oversea, previously due to shared management with HFSH, ended as of August 15, 2024. On November 26, 2024, Ms. Erin SongWang acquired a 39% ownership interest in the Company, resulting in SH Qiaohong, where she holds a 90% beneficial ownership, and its 95%-owned subsidiary, SH Oversea, becoming related parties of the Company again.

 

Related Party loans

 

HFUS borrowed in the form of a short-term loan at 5% per annum from a related party, Hartford Hotel Investment Inc., an entity managed by the same management team. $3,144 and $11,375 of interest expenses were recorded during the three and nine months ended April 30, 2025, respectively. $4,667 and $14,998 of interest expenses were recorded during the three and nine months ended April 30, 2024, respectively. As of April 30, 2025 and July 31, 2024, the unpaid principal and interest amount of $244,346 and $402,971, respectively, will be due on demand.

 

Since February 2024, the Company borrowed a total of $376,900 in short-term loans at an annual interest rate of 5% from a relative of one of its current major shareholders (the former primary shareholder). On April 22, 2024, $29,022 of the principal was used to offset profits that the former shareholder allegedly earned in violation of Section 16(b) of the Securities Exchange Act. As of July 31, 2024, the outstanding balance of principal and interest on these loans was $174,309, payable on demand. Interest expense of $ - and $ 4,927 was recorded for the three and nine months ended April 30, 2025, respectively. On December 10, 2024, the outstanding loan balance of $355,436 (principal and interest) was converted to a non-interest-bearing advance from the former shareholder. This advance, combined with other related party payables, resulted in a total of $709,036 and $71,363 in outstanding operating advances from the former primary shareholder as of April 30, 2025, and July 31, 2024, respectively. These advances are non-interest-bearing and due on demand.

 

Other Related Party Transactions

 

The Company has leased approximately 543 square feet (50.4 square meters) of office space in Shanghai from SH Dubian, a company managed by a relative of a major shareholder. The lease term is from February 18, 2024, to February 17, 2026, at a fixed monthly rent of USD 638 (RMB 4,600).

 

The Company’s office space, located 8832 Glendon Way, Rosemead, CA 91770, is leased from a related party, a former primary shareholder and relative of a current major shareholder. The lease term is from January 1, 2025 to December 31, 2025, at a fixed monthly rent of USD 1,000.

 

10

 

 

NOTE 5. ADVANCE TO CONTRACTOR AND CONTRACT LIABILITIES

 

In the advertisement placement services, the Company makes prepayments to the downstream agents or the media platforms (“contractor”) and receives advance payments from the customers. As of April 30, 2025 and July 31, 2024, the Company’s balance sheets reflect $912,733 and $2,422,392, respectively, in prepayments to contractors, categorized as “Advance to contractor” and $252,808 and $1,315,189, respectively, in customer advance payments, recorded under “Contract Liabilities”.

 

NOTE 6. OTHER CURRENT LIABILITIES

 

Other current payable consist as follows:

 

   Apil 30, 2025   July 31, 2024 
Taxes payable  $135,370   $275,193 
Accrued payroll   28,686    16,930 
Payable to former owners   276,733    125,729 
Other payables   -    43,467 
Other Current Liabilities  $440,789   $461,319 

 

NOTE 7. CONCENTRATION RISK

 

For the three and nine months ended April 30, 2025, two customers accounted for 85% and three customers accounted for 84% of the Company’s total gross billing, respectively. For the three and nine months ended April 30, 2024, four customers accounted for 81% and 79%, respectively, of the Company’s total gross billing. As of April 30, 2025, the Company had $364,980 in outstanding receivables due from two customer. As of July 31, 2024, the Company had $573,530 in outstanding receivables due from two customers. Prepayments received from three customers, recorded as contract liabilities, accounted for 95% of total contract liabilities as of April 30, 2025, compared to prepayments from two customers, which represented 73% of total contract liabilities as of July 31, 2024.

 

For the three and nine months ended April 30, 2025, three contractors accounted for 71% and two contractors accounted for 52% of the Company’s total services acquisition. For the three and nine months ended April 30, 2024, one contractor accounted for 100% and 98%, respectively, of the Company’s total services acquisition. As of April 30, 2025 and July 31, 2024, the Company had $425,781 and $1,326,907 outstanding payables to two contractors, respectively. As of April 30, 2025 and July 31, 2024, advances made to two contractors amount of 82% and 70%, respectively, of the Company’s total advanced payments.

 

NOTE 8. COMMITMENTS AND CONTINGENCIES

 

There has been no material contractual obligations and commitments as of April 30, 2025.

 

NOTE 9. SUBSEQUENT EVENTS

 

In accordance with ASC 855, “Subsequent Events”, the Company has evaluated subsequent events through the date of issuance of these unaudited financial statements and no material subsequent events were noted except the events as disclosed below:

 

On May 12, 2025, HFZY established a subsidiary, Nanjing HaoYiPeng Information Technology Ltd (“NJHY”), based in Nanjing, China. NJHY aims to expand and strengthen the Company’s social media advertising business.

 

11

 

 

Forward-Looking Statements

 

This Form 10-Q contains or incorporates by reference “forward-looking statements,” as that term is used in federal securities laws, about our financial condition, results of operations and business. These statements include, among others:

 

statements concerning the benefits that we expect will result from our business activities and results of business development that we contemplate or have completed, such as increased revenues; and statements of our expectations, beliefs, future plans and strategies, anticipated developments and other matters that are not historical facts. These statements may be made expressly in this document or may be incorporated by reference to other documents that we will file with the SEC. You can find many of these statements by looking for words such as “believes,” “expects,” “anticipates,” “estimates” or similar expressions used in this report or incorporated by reference in this report.

 

These forward-looking statements are subject to numerous assumptions, risks and uncertainties that may cause our actual results to be materially different from any future results expressed or implied in those statements. Because the statements are subject to risks and uncertainties, actual results may differ materially from those expressed or implied. We caution you not to put undue reliance on these statements, which speak only as of the date of this report. Further, the information contained in this document or incorporated herein by reference is a statement of our present intention and is based on present facts and assumptions, and may change at any time and without notice, based on changes in such facts or assumptions.

 

Item 2. Management’s Discussion and Analysis or Plan of Operation Overview

 

This discussion updates our business plan for the three and nine-months period ending April 30, 2025. It also analyzes our financial condition on April 30, 2025 and compares it to our financial condition at July 31, 2024. This discussion and analysis should be read in conjunction with our audited financial statements for the year ended July 31, 2024, including footnotes, contained in our Annual Report on Form 10-K, and with the unaudited financial statements for the interim period ended April 30, 2025, including footnotes, which are included in this quarterly report.

 

Overview of the Business

 

Hartford Creative Group, Inc. (Former name Hartford Great Health Corp.) was originally incorporated in the State of Nevada on April 2, 2008 under the name PhotoAmigo, Inc. It changed its name to Hartford Great Health Corp. on August 22, 2018. On May 11, 2024, the Company further changed its name to Hartford Creative Group, Inc.

 

Ability to continue as a “going concern”.

 

The independent registered public accounting firms’ reports on our financial statements as of July 31, 2024, includes a “going concern” explanatory paragraph that describes substantial doubt about the Company’s ability to continue as a going concern. Management’s plans regarding the factors prompting the explanatory paragraph are discussed in the financial statements, including footnotes thereto.

 

12

 

 

Plan of Operation

 

After years of experience in education and hospitality, the Company shifted its focus in January 2024 to social media advertising. On January 10, 2024, HFSH changed its legal name from Shanghai Hartford Health Management, Ltd. to Hartford ZY Culture Media (Shanghai) Co., Ltd., hereon refer to as “HFZY”. On June 18, 2024, the Company successfully completed the acquisition of ShangXing HuoMao Network Technology Ltd. (SXHM). HFZY and SXHM started to deliver media and advertisement services. The pent-up demand from social media influencers’ marketing needs on social media apps lead the Company to seize the opportunity in providing advertisement services. The Company begins to engage in social media advertising business on mainstream social media platforms such as Tik Tok, Toutiao, Kwai, RED, WeChat, and more. As an advertising partner of China’s major social media platforms, it aims to provide customers with vertical integration services from early-stage advertising video creativity, photograph shooting, editing, to advertising operation and management on social media apps. The Company will also gradually launch overseas TikTok advertising campaign, providing social media advertising solutions for domestic Chinese customers to engage in international markets in the United States.

 

During the three and nine months ended April 30, 2025, the Company recognized revenue of $0.4 million and $1.2 million, respectively, from the advertisement placement services. The advertisements are published on the targeted media platforms as determined by the customers. Revenue is recognized at a point in time when the placement of advertisements is completed. As disclosed in Note 1 under category “Revenue Recognition”, the Company is not the principal in executing these transactions. The Company reports the amount received from the customers and the amounts paid to the media platforms or upside agent related to these transactions on a net basis.

 

Based on market research and discussions among the Board and third-party suppliers and experts, the Company has further developed a plan of mini-drama business. The Company is strategically positioned to capture considerable market interest and enhance revenue streams from our innovative mini-drama business. While initial steps toward this ambitious goal have been initiated, it is important to note that the success of the mini-drama venture are not yet guaranteed.

 

Results of Operations – Three months ended April 30, 2025 Compared to Three months ended April 30, 2024.

 

The following table presents certain consolidated statement-of-operations information and presentation of that data as a percentage of change from year to year.

 

   For the Three Months ended April 30, 
   2025   2024   Variance 
Revenues  $354,791   $116,640    204%
Operating cost and expenses   169,887    86,300    97%
Operating income   184,904    30,340    509%
Other income   1,833    23,440    -92%
Income before income taxes   186,737    53,780    247%
Income tax expense   95,780    -    100%
Net income   90,957    53,780    69%

 

Revenue: Our revenue primarily comes from advertising placement services, launched in January 2024. During the three months ended April 30, 2025, our revenue significantly increased to $354,791, marking an astounding growth of 204% from $116,640 in the same period of the previous year. This significant growth is driven by effective market expansion strategies and a growing customer base.

 

Operating Cost and Expenses: Operating costs and expenses rose to $169,887, a 97% increase from $86,300 in the previous year. This increase was primarily due to investments in scaling our operations, including hiring additional labor force, expanding our infrastructure, and increased marketing spend to support the expansion of business operation and our revenue growth.

 

Operating Income: The operating income increased to $184,904 from $30,340 in the same period last year. This improvement reflects our ability to leverage our increased revenues more effectively against our operating cost base, improving our operational efficiency.

 

13

 

 

Other Income (as restated): Other income decreased to $1,833 from $23,440 in the same period last year. Other income for the three months ended April 30, 2025, primarily consisted of interest income from current related party loan receivables net with interest expense on loans from related parties. Other income for the three months ended April 30, 2024 was mainly due to the $29,022 recovery from a former major shareholder, following a Section 16 infraction as outlined in Note 4. This amount was partially offset by the interest expenses on loans from related parties.

 

Income tax expense: We incurred an income tax expense of $95,780 for the three months ended April 30, 2025, which was not present in the previous year. This income tax is a direct result of the increase of profitability.

 

Net Income: Net income for the three months ended April 30, 2025, was $90,957, a significant improvement from $53,780 in the same period last year. This growth is reflected across various financial metrics, showcasing our ability to scale operations and manage operating costs effectively.

 

Results of Operations – Nine months ended April 30, 2025 Compared to Nine months ended April 30, 2024.

 

The following table presents certain consolidated statement-of-operations information and presentation of that data as a percentage of change from year to year.

 

   For the Nine months ended April 30, 
   2025   2024   Variance 
Revenues  $1,200,290   $179,083    570%
Operating cost and expenses   646,464    183,939    251%
Operating income (loss)   553,826    (4,856)   -11505%
Other income   42,776    13,183    224%
Income before income taxes   596,602    8,327    7065%
Income tax expense   234,361    -    100%
Net income   362,241    8,327    4250%

 

Revenue: During the nine months ended April 30, 2025, our revenue significantly increased to $1,200,290, marking an astounding growth of 570% from $179,083 in the same period of the previous year. During the nine months ended April 30, 2025, the revenue was primarily from advertising placement services. Of the total revenue recognized in 2024, $116,640 was mainly generated through advertising placement services, while $62,443 was derived from the design, creation, and placement of video advertisements for Shanghai DuBian Assets Management Ltd. (“SH Dubian”), which was managed by our major shareholder’s relatives. The substantial growth in revenue is attributed to our successful market expansion strategies and a notable increase in our customer base.

 

Operating Cost and Expenses: Operating costs and expenses rose to $646,464, a 251% increase from $183,939 in the same period of the previous year. This increase was primarily due to investments in scaling our operations, including hiring additional labor force, expanding our infrastructure, and increased marketing spend to support the expansion of business operations and our revenue growth.

 

Operating Income (Loss): The operating income turned positive, reaching $553,826 from a loss of $4,856 in the same period last year. This improvement reflects our ability to leverage our increased revenues more effectively against our operating cost base, improving our operational efficiency.

 

Other Income (as restated): Other income increased to $42,776 from $13,183 in the same period last year. This improvement in other income was due to various factors, which include gains from subsidiary disposals, government grants, and interest income from current related party loan receivables net with interest expense on loans from related parties. Other income for the nine months ended April 30, 2024 was mainly due to the $29,022 recovery from a former major shareholder, following a Section 16 infraction as outlined in Note 4, and partially offset by the interest expenses on loans from related parties.

 

Income tax expense: We incurred an income tax expense of $234,361 for the nine months ended April 30, 2025, which was not present in the previous year. This income tax is a direct result of our increased profitability before taxes.

 

Net Income: We recorded a net income of $362,241 for the nine months ended April 30, 2025, compared to a net income of $8,327 for the same period of 2024. This growth is reflected across various financial metrics, showcasing our ability to scale operations and manage operating costs effectively.

 

14

 

 

Liquidity and Capital Resources

 

As of April 30, 2025, we had a working capital deficit of $3,125,623 comprised of current assets of $2,103,623 and current liabilities of $5,229,246. This represents a decrease of $440,342 in the working capital deficit from the July 31, 2024 amount of $3,565,965. We had an accumulated deficit of $5,548,602 compared to $5,910,843 at the previous year end. To date, we have funded our operations through short-term debt and equity financing.

 

As of April 30, 2025, the Company has issued a total of 25,027,004 shares (reflecting the 1 for 4 Reverse Stock Split) of common stock. On December 11, 2018, 24,022,500 shares of common stock were issued at the price of $0.08 per share to raise an additional $1,921,800 in capital. On November 24, 2020, the Company issued additional 250,000 shares of common stock to a significant shareholder of the Company at $0.08 per share.

 

We will seek additional financing in the form of debt or equity. There is no assurance that we will be able to obtain any needed financing on favorable terms, or at all, or that we will find qualified purchasers for the sale of our stock. If we are unable to raise sufficient capital, we will be required to delay or forego some of our business plan, which would have a material adverse effect on our anticipated results from operations and financial condition. Any sales of our securities would dilute the ownership of our existing investors.

 

Future Capital Expenditures

 

We believe that our funding requirements for the next twelve months will be in excess of $2,000,000. We are currently seeking further funding through related parties’ loan and finance.

 

We are in the process of uplisting the Company’s stock from the OTC market to the Nasdaq exchange. Assuming all conditions are met in our favor, we plan to raise capital through either debt or equity financing. The proceeds from this financing will be used to cover the costs related to the uplisting procedure.

 

Cash Flows – Nine months ended April 30, 2025 Compared to Nine months ended April 30, 2024

 

Operating Activities

 

Cash provided by operating activities was $24,708 for the nine months ended April 30, 2025 as compared to $18,498 in the comparable period in 2024. During the nine months ended April 30, 2025, we recorded net income of $362,241, a $1,504,496 decrease of advance to contractors, a $214,932 decrease of accounts receivable, a $16,302 increase of related party payables and a $9,846 decrease of prepaid and other current receivable, offset by a $1,061,531 decrease of contract liabilities, a $898,895 decrease of accounts payable, and a $99,968 increase of deferred offering cost.

 

During the nine months ended April 30, 2024, we recorded net income of $8,327, a $262,872 increase of contract liabilities, a $29,757 increase of other current payable, a $15,818 increase of related party payables, and offset by a $291,448 increase of advance to contractors.

 

Investing activities (as restated)

 

The cash used in investing activities was $527,047 for the nine months ended April 30, 2025 primarily as a result of short term related party loan receivables with 3% interest rate, matured in July and August, 2025. Nil of investing activities occurred during the comparable period in 2024.

 

Financing activities (as restated)

 

For the nine months ended April 30, 2025, cash provided by financing activities totaled $239,223, primarily from related-party advances of $341,434 from a relative of a current major shareholder and proceeds from notes payable of $201,200, partially offset by repayments of notes payable of $195,000 and related party advances of $108,411. For the comparable period of 2024, cash provided by financing activities amounted to $16,512, primarily from proceeds of notes payable of $141,978, partially offset by repayments of notes payable of $70,000 and related-party advances of $55,466. The notes payable was borrowed from related parties at a 5% annual interest rate. See Note 4 Related Party Transactions.

 

15

 

 

Off-Balance Sheet Arrangements

 

As of and subsequent to April 30, 2025, we have no off-balance sheet arrangements.

 

Contractual Commitments

 

As of April 30, 2025, we don’t have material contractual commitments.

 

Critical Accounting Policies

 

There have been no other changes in our critical accounting policies since our most recent audit dated July 31, 2024.

 

Item 3. Quantitative and Qualitative Disclosures about Market Risk

 

As a “smaller reporting company” as defined by Item 10 of Regulation S-K, we are not required to provide information required by this Item.

 

Item 4. Controls and Procedures

 

Evaluation of Disclosure Controls and Procedures

 

An evaluation was performed under the supervision of our management, including our Chief Executive Officer and Interim Chief Financial Officer (principal financial officer), of the effectiveness of the design and operation of our disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) of the Exchange Act) as of the end of the period covered by this Quarterly Report. Based on that evaluation, our management, including our Chief Executive Officer and Chief Financial Officer, concluded that, as of April 30, 2025, our disclosure controls and procedures were not effective to ensure that information we are required to disclose in reports that we file or submit under the Exchange Act is recorded, processed, summarized and reported within the time periods specified in the SEC’s rules and forms due to material weaknesses in our internal controls described below.

 

Management’s Report on Internal Control over Financial Reporting

 

Management’s assessment identified several material weaknesses in our internal control over financial reporting. These material weaknesses include the following:

 

● The Company did not implement sufficient working procedures and maintain proper accounting supporting for the new business operation model at the operational subsidiary level.

 

Changes in Internal Control

 

During the Nine months ended April 30, 2025, there has been no change in internal control within the Company.

 

16

 

 

PART II – OTHER INFORMATION

 

Item 1. Legal Proceedings.

 

We were not subject to any other legal proceedings during the nine months ended April 30, 2025, and are not currently subject to any legal proceedings, and to the best of our knowledge, no such proceeding is threatened, the results of which would have a material impact on our results of operation or financial condition. Nor, to the best of our knowledge, are any of our officers or directors involved in any legal proceedings in which we are an adverse party.

 

Item 1A. Risk Factors.

 

As a “smaller reporting company” as defined by Item 10 of Regulation S-K, we are not required to provide information required by this Item.

 

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds.

 

None

 

Item 3. Defaults Upon Senior Securities.

 

None

 

Item 4. Mine Safety Disclosures

 

Not applicable to our Company.

 

Item 5. Other Information

 

Not applicable to our Company.

 

Item 6. Exhibits.

 

The following exhibits are filed with or incorporated by referenced in this report:

 

Exhibit Index

 

Exhibit No.   Description
3.1   Certificate of Amendment to Articles of Incorporation filed with the Nevada Secretary of State on May 11, 2024
     
31.1*   Certification pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 for Sheng-Yih Chang.
     
31.2*   Certification pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 for Lili Dai
     
32.1*   Certification pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 for Sheng-Yih Chang and Lili Dai
     
101   Interactive Data Files
101.INS   Inline XBRL Instance Document
101.SCH   Inline XBRL Taxonomy Extension Schema Document
101.CAL   Inline XBRL Taxonomy Extension Calculation Linkbase Document
101.DEF   Inline XBRL Taxonomy Extension Definition Linkbase Document
101.LAB   Inline XBRL Taxonomy Extension Label Linkbase Document
101.PRE   Inline XBRL Taxonomy Extension Presentation Linkbase Document
104   Cover Page Interactive Data File (embedded within the Inline XBRL document)

 

17

 

 

SIGNATURES

 

In accordance with Section 13 or 15(d) of the Exchange Act of 1934, the registrant caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

 

  HARTFORD CREATIVE GROUP, INC.
     
Date: October 09, 2025 By: /s/ Sheng-Yih Chang
  Sheng-Yih Chang
  Chief Executive Officer

 

18

 

Source: View Original Filing on SEC EDGAR

FAQ

What is Hartford Creative Group's (HFUS) current financial position?

HFUS has current assets of $2.1M against current liabilities of $5.2M, with an accumulated deficit of $5.5M. While revenue is growing, the company faces significant liquidity challenges and going concern issues.

How did HFUS perform in Q3 2025 compared to last year?

Net income for Q3 2025 was $90,957, up 69% from $53,780 in Q3 2024. Nine-month net income reached $362,241, a substantial increase from $8,327 in the prior year period.

What was the impact of HFUS's recent reverse stock split?

The 1-for-4 reverse stock split effective March 31, 2025 reduced authorized shares from 300M to 75M while maintaining $0.001 par value. Every four pre-split shares were combined into one post-split share.

What is HFUS's main business model?

HFUS operates as an advertising intermediary, connecting customers with media platforms. They generated $0.4M and $1.2M in advertising placement service revenue for the three and nine months ended April 30, 2025, respectively.

What are the main risks facing HFUS?

Key risks include high customer concentration (three clients = 84% of billing), significant liquidity challenges, substantial related party dependencies, and going concern issues due to accumulated deficits.
Stock HFUS logo
Hartford Creative Group Inc

OTC:HFUS

HFUS Rankings

N/A Ranked by Market Cap
N/A Ranked by Dividends

HFUS Latest SEC Filings

Oct 9, 2025
[10-Q/A] Hartford Creative Group, Inc. Amended Quarterly Earnings Report
Aug 27, 2025
[S-1/A] Hartford Creative Group, Inc. Amends IPO Registration Statement
Sep 9, 2025
[S-1/A] Hartford Creative Group, Inc. Amends IPO Registration Statement
Sep 9, 2025
[S-1/A] Hartford Creative Group, Inc. Amends IPO Registration Statement
Sep 9, 2025
[S-1/A] Hartford Creative Group, Inc. Amends IPO Registration Statement

HFUS Stock Data

2.36M