Kun Peng International Ltd. reported very weak results for the transition period ending June 30, 2026. Total assets were $423,510 against total liabilities of $9,994,380, leaving a stockholders’ deficit of $9,570,870. Cash and cash equivalents fell to $6,606.
For the nine months ended June 30, 2026, revenue was $228,714, down sharply from $1,073,606 a year earlier, and the company recorded a net loss of $959,243. Management discloses negative working capital of $9,613,480 and an accumulated deficit of $9,997,227, stating that these conditions raise substantial doubt about its ability to continue as a going concern. Operating cash flow was slightly positive at $21,833, helped by increases in amounts due to related parties.
The filing details a complex China-focused structure relying on variable interest entity (VIE) agreements with King Eagle (Tianjin) and its subsidiaries, and notes regulatory and enforceability uncertainties in the PRC. On June 2, 2026, the company implemented a 1-for-10 reverse stock split, reducing outstanding common shares to approximately 40,000,624 and increasing par value to $0.001 per share.
Kun Peng International Ltd. is implementing a 1‑for‑10 reverse stock split of its common stock, effective in the marketplace as of June 2, 2026. Every ten existing shares will convert into one share, reducing issued and outstanding common shares from 400,000,000 to approximately 40,000,000, with fractional shares rounded up to the nearest whole share.
The board and shareholders holding approximately 85.4% of the company’s outstanding common stock approved the reverse split and related charter changes. The company will also reduce authorized common shares from 1,000,000,000 to 100,000,000 and increase par value per share from $0.0001 to $0.001 through a Certificate of Change filed under Nevada law.
Kun Peng continues to operate its preventive health care and wellness distribution business in China, selling dietary supplements, health foods, beauty cosmeceuticals, physiotherapy equipment, and related household products through its King Eagle Mall and Kun Zhi Jian online platforms and mini program.