{"url_path":"/sec/cik-0001897525/10-k/2026/item-16","section_key":"item-16","section_title":"Item 16 FORM 10-K SUMMARY**","topic":"sec","document":{"doc_type":"10-K","doc_date":"2026-06-03","source_url":"https://www.sec.gov/Archives/edgar/data/1897525/0001829126-26-006016-index.html","accession_number":"0001829126-26-006016","cik":"0001897525","ticker":null,"issuer_name":"KB Global Holdings Ltd","edgar_url":"https://www.sec.gov/Archives/edgar/data/1897525/0001829126-26-006016-index.html","primary_entity_key":"0001897525","primary_entity_name":"KB Global Holdings Ltd"},"word_count":5767,"has_tables":true,"body_markdown":"**ITEM 16. FORM 10-K SUMMARY**\n\n \n\n**Form 10-K Summary**\n\n \n\n**Business Overview**: KB Global Holdings Limited is a holding company for a Chinese subsidiary for which Beijing Kezhao Technology Co., Ltd. (“BJKZ”) is a variable interest entity. BJKZ specializes in high-tech software development and high-end material manufacturing. The company focuses on creating innovative digital management systems and leveraging advanced materials to enhance its technological solutions.\n\n \n\n**Operational Highlights**:\n\n \n\n \n●\n**Enterprise Digital Management System Integration**: Development reached 100%. Bring operating income to the company.\n\n \n\n \n●\n**Property and equipment**: In 2023, the Company purchased $36,114 in computer devices to bolster software development capabilities.\n\n \n\n \n●\n**Client Engagement**: Received a payment for goods of $179,613 for software system development from a major client.\n\n \n\n**Risk Factors**:\n\n \n\n \n●\n**Market Risks**: Includes potential volatility in demand for software solutions and materials.\n\n \n\n \n●\n**Operational Risks**: Challenges in scaling operations and maintaining technological advancements.\n\n \n\n \n●\n**Regulatory Risks**: Compliance with diverse regulations across different jurisdictions.\n\n \n\n**Corporate Governance**:\n\n \n\n \n●\n**Board of Directors**: Led by CEO Li Guo, with a focus on strategic oversight and risk management.\n\n \n\n \n●\n**Executive Leadership**: Experienced team driving the company’s growth and innovation initiatives.\n\n \n\n \n●\n**Governance Policies**: Emphasis on transparency, accountability, and ethical business practices.\n\n \n\n**Forward-Looking Statements**: This report contains forward-looking statements regarding the company’s future performance, including anticipated growth, market expansion, and technological advancements. These statements are based on current expectations and are subject to risks and uncertainties that could cause actual results to differ materially.\n\n \n\nThe Form 10-K Summary provides an overview of the comprehensive details found in the full Form 10-K, offering insights into KB Global Holdings Limited’s business operations, financial condition, and strategic direction.\n\n \n\n17\n\n \n\n \n\n**SIGNATURES**\n\n \n\nPursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, as amended, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.\n\n \n\n \nKB Global Holdings Limited\n\n \n \n\nDate: June 3, 2026\nBy:\n/s/ Li Guo\n\n \n \nName:\nLi Guo\n\n \n \nTitle:\nChief Executive Officer, Director\n\n \n \n \n(principal executive officer)\n\n \n \n \n \n\nDate: June 3, 2026\nBy:\n/s/ Ziyong Hu\n\n \n \nName:\nZiyong Hu\n\n \n \nTitle:\nChief Financial Officer\n\n \n \n \n(principal financial officer and principal accounting officer)\n\n \n\n18\n\n \n\n \n\n**KB Global Holdings Limited**\n\n**Exhibit Index to Annual Report on Form 10-K**\n\n**For the Fiscal Year Ended December 31, 2025**\n\n \n\n**Exhibit No.**\n \n**Description**\n\n10.2\n \n[Exclusive Business Cooperation Agreement dated November 30, 2018 between Suzhou Keju Management Consulting Co., Ltd. and Beijing Kezhao Technology Co., Ltd. – filed as an exhibit to the Company’s Annual Report on Form 10-K for the year ended December 31, 2023 and incorporated herein by reference.](https://www.sec.gov/Archives/edgar/data/1897525/000182912624003512/kbglobal_ex10-2.htm)\n\n \n \n \n\n31.1*\n \n[Certification of Chief Executive Officer pursuant to Rule 13a-14 and Rule 15d-14(a) of the Exchange Act.](kbglobal_ex31-1.htm)\n\n \n \n \n\n31.2*\n \n[Certification of Chief Financial Officer pursuant to Rule 13a-14 and Rule 15d-14(a) of the Exchange Act.](kbglobal_ex31-2.htm)\n\n \n \n \n\n32.1*\n \n[Certification of Chief Executive Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.](kbglobal_ex32-1.htm)\n\n \n \n \n\n32.2*\n \n[Certification of Chief Financial Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.](kbglobal_ex32-2.htm)\n\n \n \n \n\n101*\n \nInteractive data files pursuant to Rule 405 of Regulation S-T\n\n101.INS\n \nInline XBRL Instance Document.*\n\n101.SCH\n \nInline XBRL Taxonomy Extension Schema Document.*\n\n101.CAL\n \nInline XBRL Taxonomy Extension Calculation Linkbase Document.*\n\n101.DEF\n \nInline XBRL Taxonomy Extension Definition Linkbase Document.*\n\n101.LAB\n \nInline XBRL Taxonomy Extension Label Linkbase Document.*\n\n101.PRE\n \nInline XBRL Taxonomy Extension Presentation Linkbase Document.*\n\n104\n \nCover Page Interactive Data File (Embedded as Inline XBRL document and contained in Exhibit 101).*\n\n \n\n \n\n*\nExhibits filed herewith.\n\n \n\n19\n\n \n\n \n\n**Part IV**\n\n \n\n**KB GLOBAL HOLDINGS LIMITED**\n\n \n\n**INDEX TO FINANCIAL STATEMENTS**\n\n \n\n \n \n**Page**\n\n[Report of Independent Registered Public Accounting Firm](#b_001)\n \nF-2\n\n \n \n \n\n[Consolidated Balance Sheets as of December 31, 2025 and 2024](#b_002)\n \nF-3\n\n \n \n \n\n[Consolidated Statements of Operations and Comprehensive Loss for the years ended December 31, 2025 and 2024](#b_003)\n \nF-4\n\n \n \n \n\n[Consolidated Statements of Shareholders’ Equity for the years ended December 31, 2025 and 2024](#b_004)\n \nF-5\n\n \n \n \n\n[Consolidated Statements of Cash Flows for the years ended December 31, 2025 and 2024](#b_005)\n \nF-6\n\n \n \n \n\n[Notes to Consolidated Financial Statements](#b_006)\n \nF-7 – F-15\n\n \n\nF-1\n\n \n\n \n\n**REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM**\n\n \n\nTo the Director and Stockholders of\n\nKB Global Holdings Limited\n\n \n\n**Opinion on the Financial Statements**\n\n** **\n\nWe have audited the accompanying consolidated balance sheets of KB Global Holdings Limited and its subsidiaries (collectively the “Company”) as of December 31, 2025 and 2024, and the related consolidated statements of operations and comprehensive income, change in stockholder’s equity, and cash flows for the years ended December 31, 2025 and 2024, and the related notes (collectively referred to as the financial statements). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Company as of December 31, 2025 and 2024, and the results of its operations and its cash flows for the years ended December 31, 2025 and 2024, in conformity with accounting principles generally accepted in the United States of America.\n\n****\n\n** **\n\n**Basis for Opinion**\n\n \n\nThese financial statements are the responsibility of the Company’s management. Our responsibility is to express an opinion on the Company’s financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.\n\n \n\nWe conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Company is not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting. As part of our audits, we are required to obtain an understanding of internal control over financial reporting, but not for the purpose of expressing an opinion on the effectiveness of the Company’s internal control over financial reporting. Accordingly, we express no such opinion.\n\n \n\nOur audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.\n\n \n\n/s/ KD & Co.\n\n \n\nWe have served as the Company’s auditor since 2025\n\n \n\nHong Kong, China\n\n \n\nJune 3, 2026\n\nPCAOB ID: 7137\n\n \n\nF-2\n\n \n\n \n\n**KB GLOBAL HOLDINGS LIMITED**\n\n \n\n**Consolidated Balance Sheets**\n\n \n\n \n \n \n \n \n \n \n \n \n\n \n \nDecember 31,\n \n\n \n \n2025\n \n \n2024\n \n\nASSETS\n \n \n \n \n \n \n \n \n\nNon-current assets\n \n \n \n \n \n \n \n \n\nComputer equipment\n \n$\n22,227\n \n \n$\n28,096\n \n\n**Total non-current assets**\n** **\n** **\n**22,227**\n** **\n** **\n** **\n**28,096**\n** **\n\n \n \n \n \n \n \n \n \n \n\nCurrent assets\n \n \n \n \n \n \n \n \n\nAccount receivables\n \n \n-\n \n \n \n17,872\n \n\nOther receivables\n \n \n1,140\n \n \n \n1,096\n \n\nAmounts due from a related party\n \n \n45,604\n \n \n \n-\n \n\nCash and cash equivalents\n \n \n715\n \n \n \n3,253\n \n\n**Total current assets**\n** **\n** **\n**47,459**\n** **\n** **\n** **\n**22,221**\n** **\n\nTotal assets\n \n$\n69,686\n \n \n$\n50,317\n \n\n \n \n \n \n \n \n \n \n \n\nLIABILITIES AND SHAREHOLDERS’ DEFICIT\n \n \n \n \n \n \n \n \n\nCurrent liabilities\n \n \n \n \n \n \n \n \n\nAccruals and other current payables\n \n$\n249,898\n \n \n$\n294,934\n \n\nTax payable\n \n \n2,471\n \n \n \n2,376\n \n\nAmount due to a related party\n \n \n198,977\n \n \n \n23,661\n \n\n**Total current liabilities**\n** **\n** **\n**451,346**\n** **\n** **\n** **\n**320,971**\n** **\n\nTotal liabilities\n \n \n451,346\n \n \n \n320,971\n \n\n \n \n \n \n \n \n \n \n \n\nShareholders’ equity\n \n \n \n \n \n \n \n \n\nOrdinary shares, $0.00001 par value; 500,000,000 shares authorized; 130,097,000 and 130,097,000 were shares issued and outstanding at December 31, 2025 and 2024, respectively.\n \n \n1,301\n \n \n \n1,301\n \n\nAdditional paid-in capital\n \n \n96,999\n \n \n \n96,999\n \n\nAccumulated deficit\n \n \n(478,465\n)\n \n \n(366,416\n)\n\nAccumulated other comprehensive loss\n \n \n(1,495\n) \n \n \n(2,538\n)\n\n**Total shareholders’ deficit**\n** **\n** **\n**(381,660**\n**)**\n** **\n** **\n**(270,654**\n**)**\n\nTotal liabilities and shareholders’ equity\n \n$\n69,686\n \n \n$\n50,317\n \n\n \n\nThe accompanying notes are an integral part of these financial statements.\n\n \n\nF-3\n\n \n\n \n\n**KB GLOBAL HOLDINGS LIMITED**\n\n \n\n**Consolidated Statements of Operations and Comprehensive Loss**\n\n \n\n \n \n \n \n \n \n \n \n \n\n \n \n\n**For the years ended December 31,**\n\n \n\n \n \n2025\n \n \n2024\n \n\nRevenue\n \n \n \n \n \n \n \n \n\n**Software development service – related party**\n** **\n**$**\n**-**\n** **\n** **\n**$**\n**179,613**\n** **\n\n**Cost of sales**\n \n \n-\n \n \n \n(148,879\n)\n\n**Gross profit**\n** **\n** **\n**-**\n** **\n** **\n** **\n**30,734**\n** **\n\nOperating expenses\n \n \n(112,059\n)\n \n \n(133,595\n)\n\n**Loss from operations**\n** **\n** **\n**(112,059**\n**)**\n** **\n** **\n**(102,861**\n**)**\n\nOther income\n \n \n10\n \n \n \n28,640\n \n\n**Loss before income tax**\n** **\n** **\n**(112,049**\n**)**\n** **\n** **\n**(74,221**\n**)**\n\nIncome tax expense\n \n \n-\n \n \n \n-\n \n\n**Net loss**\n** **\n**$**\n**(112,049**\n**)**\n** **\n**$**\n**(74,221**\n**)**\n\n \n \n \n \n \n \n \n \n \n\nOther comprehensive (loss) income\n \n \n \n \n \n \n \n \n\nForeign currency translation adjustments\n \n \n1,043\n \n \n \n(1,350\n)\n\n**Comprehensive loss**\n** **\n** **\n**(111,006**\n**)**\n** **\n** **\n**(75,571**\n**)**\n\nBasic and diluted earnings per ordinary share\n \n \n(0.00\n)\n \n \n(0.00\n)\n\nBasic and diluted weighted average ordinary shares outstanding\n \n \n130,097,000\n \n \n \n130,097,000\n \n\n \n\nThe accompanying notes are an integral part of these financial statements.\n\n \n\nF-4\n\n \n\n \n\n**KB GLOBAL HOLDINGS LIMITED**\n\n \n\n**Consolidated Statements of Shareholders’ Equity**\n\n \n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n** **\n** **\n**Ordinary shares**\n** **\n** **\n**Additional paid-in**\n** **\n** **\n**Accumulated**\n** **\n** **\n**Accumulated other comprehensive income**\n** **\n** **\n**Shareholders’**\n** **\n\n** **\n** **\n**Number**\n** **\n** **\n**Amount**\n** **\n** **\n**capital**\n** **\n** **\n**deficit**\n** **\n** **\n**(loss)**\n** **\n** **\n**equity**\n** **\n\nBalance as of January 1, 2025\n \n \n130,097,000\n \n \n$\n1,301\n \n \n$\n96,999\n \n \n$\n(366,416\n)\n \n$\n(2,538\n)\n \n$\n(270,654\n)\n\nNet loss\n \n \n-\n \n \n \n-\n \n \n \n-\n \n \n \n(112,049\n)\n \n \n-\n \n \n \n(112,049\n)\n\nForeign currency translation adjustment\n \n \n-\n \n \n \n-\n \n \n \n-\n \n \n \n-\n \n \n \n1,043\n \n \n \n1,043\n \n\nBalance as of December 31, 2025\n \n \n130,097,000\n \n \n$\n1,301\n \n \n$\n96,999\n \n \n$\n(478,465\n)\n \n$\n(1,495\n)\n \n$\n(381,660\n)\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\nBalance as of January 1, 2024\n \n \n130,097,000\n \n \n$\n1,301\n \n \n$\n96,999\n \n \n$\n(292,195\n)\n \n$\n(1,188\n)\n \n$\n(195,083\n)\n\nNet loss\n \n \n-\n \n \n \n-\n \n \n \n-\n \n \n \n(74,221\n)\n \n \n-\n \n \n \n(74,221\n)\n\nForeign currency translation adjustment\n \n \n-\n \n \n \n-\n \n \n \n-\n \n \n \n-\n \n \n \n(1,350\n)\n \n \n(1,350\n)\n\nBalance as of December 31, 2024\n \n \n130,097,000\n \n \n$\n1,301\n \n \n$\n96,999\n \n \n$\n(366,416\n)\n \n$\n(2,538\n)\n \n$\n(270,654\n)\n\n \n\nThe accompanying notes are an integral part of these financial statements.\n\n \n\nF-5\n\n \n\n \n\n**KB GLOBAL HOLDINGS LIMITED**\n\n \n\n**Consolidated Statements of Cash Flows**\n\n \n\n \n \n \n \n \n \n \n \n \n\n \n \nFor the\nyears ended\nDecember 31,\n \n\n \n \n2025\n \n \n2024\n \n\nCash flows from operations:\n \n \n \n \n \n \n \n \n\nNet loss\n \n$\n(112,049\n)\n \n$\n(74,221\n)\n\nImpairment of account receivables\n \n \n18,149\n \n \n \n-\n \n\nDepreciation\n \n \n6,833\n \n \n \n6,830\n \n\nInterest income\n \n \n(1\n)\n \n \n(26,554\n)\n\nChanges in operating assets and liabilities:\n \n \n \n \n \n \n \n \n\nAccount receivables\n \n \n-\n \n \n \n(18,141\n)\n\nSubscription receivables\n \n \n-\n \n \n \n1,100\n \n\nOther receivables\n \n \n-\n \n \n \n(556\n)\n\nAccruals\n \n \n(48,752\n)\n \n \n142,469\n \n\nOther payables\n \n \n-\n \n \n \n(7,453\n)\n\nAdvance from customer\n \n \n-\n \n \n \n(145,127\n)\n\n**Net cash used in operations**\n** **\n** **\n**(135,820**\n**)**\n** **\n** **\n**(121,653**\n**)**\n\n \n \n \n \n \n \n \n \n \n\nCash flows from investing activities:\n \n \n \n \n \n \n \n \n\nInterest received\n \n \n1\n \n \n \n26,554\n \n\nLoan to a related party\n \n \n-\n \n \n \n(122,898\n)\n\nAdvances to related parties\n \n \n(44,517\n)\n \n \n-\n \n\nAdvances from a related party\n \n \n-\n \n \n \n462,196\n \n\n**Net Cash (used in)/provided by investing activities**\n** **\n** **\n**(44,516**\n**)**\n** **\n** **\n**365,852**\n** **\n\n \n \n \n \n \n \n \n \n \n\nCash flows from financing activities:\n \n \n \n \n \n \n \n \n\nAdvances from related parties\n \n \n178,606\n \n \n \n184,296\n \n\nRepayment to related parties\n \n \n(887\n)\n \n \n(453,906\n)\n\n**Net cash provided by/(used in) financing activities**\n** **\n** **\n**177,719**\n** **\n** **\n** **\n**(269,610**\n**)**\n\n \n \n \n \n \n \n \n \n \n\nEffect of exchange rate change on cash and cash equivalents\n \n \n79\n \n \n \n(216\n)\n\n \n \n \n \n \n \n \n \n \n\n**Net decrease in cash and cash equivalents**\n** **\n** **\n**(2,538**\n**)**\n** **\n** **\n**(25,627**\n**)**\n\nCash and cash equivalents, beginning of year\n \n \n3,253\n \n \n \n28,880\n \n\n**Cash and cash equivalents, end of year**\n** **\n**$**\n**715**\n** **\n** **\n**$**\n**3,253**\n** **\n\n \n \n \n \n \n \n \n \n \n\nSupplemental cash flow disclosure:\n \n \n \n \n \n \n \n \n\nCash paid for interest expense\n \n$\n-\n \n \n$\n-\n \n\nCash paid for income taxes\n \n$\n-\n \n \n$\n-\n \n\n \n\nThe accompanying notes are an integral part of these financial statements.\n\n \n\nF-6\n\n \n\n \n\n**KB GLOBAL HOLDINGS LIMITED**\n\n**FOR THE YEAR ENDED DECEMBER 31, 2025**\n\n**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS**\n\n \n\n**NOTE 1 – Organization and Business Description**\n\n \n\nKB Global Holdings Limited (the “Company”) is incorporated in the Cayman Islands on November 17, 2017 with the authorized capital of 5 billion ordinary shares, par value of $0.00001 per share.\n\n \n\nOn November 20, 2017, Kesheng Global (HK) Limited, or Kesheng HK, was incorporated in Hong Kong as a wholly-owned subsidiary of KB Global Holdings Limited.\n\n \n\nOn January 18, 2018, Suzhou Keju Enterprise Management Consulting Limited, or Suzhou Keju, our Wholly Foreign-Owned Enterprise (the “WFOE”), was incorporated in Suzhou, PRC, with registered capital of $10 million, as a wholly-owned subsidiary of Kesheng HK.\n\n \n\nBeijing Kezhao Technology Co., Ltd. (the “BJKZ”) was incorporated in PRC on August 13, 2018. BJKZ is an information technology company which engaged in information technology development and consulting services.\n\n \n\nOn November 30, 2018, WFOE entered into an exclusive business cooperation agreement with the shareholders of BJKZ, through which WFOE has gained full control over the management and receive the economic benefits of BJKZ.\n\n \n\n**Note 2 – Summary of Significant Accounting Policies**\n\n \n\n**Basis of Presentation**\n\n \n\nThe consolidated financial statements of the Company have been prepared in accordance with generally accepted accounting principles in the United States of America (“US GAAP”) and reflect the activities of the following subsidiaries and variable interest entity (“VIE”): Kesheng HK, Suzhou Keju, and BJKZ. All inter-company transactions and balances have been eliminated in the consolidation.\n\n \n\nIn accordance with U.S. GAAP, VIE are generally entities that lack sufficient equity to finance their activities without additional financial support from other parties or whose equity holders lack adequate decision-making ability. All VIE with which the Company is involved must be evaluated to determine the primary beneficiary of the risks and rewards of the VIE. The primary beneficiary is required to consolidate the VIEs for financial reporting purposes.\n\n \n\nAccounting Standards Codification (“ASC”) 810-10 “Consolidation” addresses whether certain types of entities referred to as VIE, such as BJKZ, should be consolidated in a company’s consolidated financial statements. Pursuant to the exclusive business cooperation agreement, WFOE has the exclusive right to provide to BJKZ technical development, technical support, management consultation and other related services on an exclusive basis. In accordance with the provisions of ASC 810, the Company has determined that BJKZ is a VIE of the WFOE and that the Company is the primary beneficiary, and accordingly, the financial statements of BJKZ are consolidated into the results of the Company.\n\n \n\nThe following assets and liabilities of the VIE are included in the accompanying consolidated financial statements of the Company as of December 31, 2025 and 2024:\n\n \n\nSchedule of assets and liabilities\n \n \n \n \n \n \n \n \n\n \n \nYear ended\nDecember 31,\n \n\n \n \n2025\n \n \n2024\n \n\nNon-current assets\n \n$\n22,227\n \n \n$\n28,096\n \n\nCurrent assets\n \n$\n57,666\n \n \n$\n32,033\n \n\n**Total assets**\n** **\n**$**\n**79,893**\n** **\n** **\n**$**\n**60,129**\n** **\n\n \n \n \n \n \n \n \n \n \n\nCurrent liabilities\n \n$\n164,265\n \n \n$\n80,491\n \n\n**Total liabilities**\n** **\n**$**\n**164,265**\n** **\n** **\n**$**\n**80,491**\n** **\n\n \n\nF-7\n\n \n\n \n\n**Going Concern**\n\n \n\nThe accompanying consolidated financial statements have been prepared on a going concern basis, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business. As reflected in the consolidated financial statements, the Company incurred a net loss of $112,049 during the year ended December 31, 2025, generated no revenue during 2025, and as of that date had a working capital deficiency of $403,887 (current liabilities of $451,346 less current assets of $47,459), an accumulated deficit of $478,465, a shareholders’ deficit of $381,660, and cash and cash equivalents of $715. These conditions raise substantial doubt about the Company’s ability to continue as a going concern within one year after the date that these consolidated financial statements are issued.\n\n \n\nManagement has evaluated these conditions and concluded that its plans, as described below, alleviate the substantial doubt:\n\n \n\n(i) Director Ms. Guo Li has continued to provide financial support to the Company. During the year ended December 31, 2025, the amount due to Ms. Guo Li increased from $23,661 to $198,977. Ms. Guo Li has confirmed her intention to continue providing financial support to the Company, and to not call for repayment of the amounts due to her, for a period of at least twelve months from the date these consolidated financial statements are issued, to the extent necessary to enable the Company to meet its obligations as they fall due;\n\n \n\n(ii) management is actively pursuing additional software development engagements that are expected to generate operating cash flows in the next twelve months; and\n\n \n\n(iii) the Company will continue to control its operating expenses and to defer non-essential expenditure, including the deferral of executive compensation, until cash flows from operations become positive.\n\n \n\nBased on these plans, management believes that the Company will have sufficient resources to meet its obligations as they fall due for at least twelve months from the date these consolidated financial statements are issued. The consolidated financial statements do not include any adjustments that might result from the outcome of this uncertainty.\n\n \n\n**Use of Estimates**\n\n \n\nThe preparation of the Company’s financial statements in conformity with generally accepted accounting principles of the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Management makes its best estimate of the ultimate outcome for these items based on historical trends and other information available when the financial statements are prepared. Actual results could differ from those estimates.\n\n \n\n**Foreign Currency Translation**\n\n \n\nThe Company’s financial statements are presented in the U.S. dollar ($), which is the Company’s reporting currency. The Company use Renminbi (“RMB”) as its functional currency. Transactions in foreign currencies are initially recorded at the functional currency rate ruling at the date of transaction. Any differences between the initially recorded amount and the settlement amount are recorded as a gain or loss on foreign currency transaction in the statements of income. Monetary assets and liabilities denominated in foreign currency are translated at the functional currency rate of exchange ruling at the balance sheet date. Any differences are taken to profit or loss as a gain or loss on foreign currency translation in the statements of income.\n\n \n\nIn accordance with ASC 830, Foreign Currency Matters, the Company translated the assets and liabilities into U.S. dollar using the rate of exchange prevailing at the applicable balance sheet date and the statements of income and cash flows are translated at an average rate during the reporting period. Adjustments resulting from the translation are recorded in shareholders’ equity as part of accumulated other comprehensive income.\n\n \n\nF-8\n\n \n\n \n\n**Fair Value Measurements**\n\n \n\nASC Topic 820, Fair Value Measurement and Disclosures, defines fair value as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. This topic also establishes a fair value hierarchy, which requires classification based on observable and unobservable inputs when measuring fair value. Certain current assets and current liabilities are financial instruments. Management believes their carrying amounts are a reasonable estimate of fair value because of the short period of time between the origination of such instruments and their expected realization and, if applicable, their current interest rates are equivalent to interest rates currently available. The three levels of valuation hierarchy are defined as follows:\n\n \n\n \n●\nLevel 1 inputs to the valuation methodology are quoted prices (unadjusted) for identical assets or liabilities in active markets.\n\n \n \n \n\n \n●\nLevel 2 inputs to the valuation methodology include quoted prices for similar assets and liabilities in active markets, and inputs that are observable for the assets or liability, either directly or indirectly, for substantially the full term of the financial instruments.\n\n \n \n \n\n \n●\nLevel 3 inputs to the valuation methodology are unobservable and significant to the fair value measurement.\n\n \n\nThe carrying amounts of financial assets and liabilities, such as balance with related parties approximate their fair values because of the short maturity of these instruments or the rate of interest of these instruments approximate the market rate of interest.\n\n \n\n**Advance from Customer**\n\n \n\nThe proceeds received from sales are initially recorded as advance from customer, which was usually related to unsatisfied performance obligations at the end of an applicable reporting period. Due to the generally short-term duration of the relevant contracts, most of the performance obligations are satisfied in the following reporting period.\n\n \n\n**Cash and Cash Equivalents**\n\n \n\nCash and cash equivalents represent cash on hand, demand deposits, and other short-term highly liquid investments placed with banks, which have original maturities of three months or less and are readily convertible to known amounts of cash.\n\n \n\n**Computer equipment**\n\n \n\nComputer equipment is stated at cost less accumulated depreciation and impairment losses. Depreciation is provided using the straight-line method based on the estimated useful life. The estimated useful life of computer equipment is 5 years.\n\n \n\n**Revenue Recognition**\n\n \n\nThe Company recognizes revenue in accordance with Accounting Standards Codification (ASC) Topic 606 – Revenue from Contracts with Customers. Revenue is recognized when control of the promised service is transferred to the customer in an amount that reflects the consideration the Company expects to be entitled to in exchange for those services.\n\n \n\nThe Company generates revenue exclusively from software development services, which involve the design, development, and delivery of customized software solutions based on customer specifications. Each contract typically includes a single performance obligation — the delivery of the completed software solution. Revenue is recognized at a point in time, upon customer acceptance or delivery of the completed software, whichever occurs later. This reflects the point at which the customer obtains control of the software and the Company has fulfilled its performance obligation.\n\n \n\nF-9\n\n \n\n \n\n**Income Tax**\n\n \n\nThe Company uses the asset and liability method of accounting for income taxes in accordance with Accounting Standards Codification (“ASC”) 740, “Income Taxes” (“ASC 740”). Under this method, income tax expense is recognized as the amount of: (i) taxes payable or refundable for the current year and (ii) future tax consequences attributable to differences between financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in the results of operations in the period that includes the enactment date. A valuation allowance is provided to reduce the deferred tax assets reported if based on the weight of available evidence it is more likely than not that some portion or all of the deferred tax assets will not be realized.\n\n \n\n**Accounts Receivable and Allowance for Credit Losses**\n\n \n\nAccounts receivable are recorded at the invoiced amount, net of an allowance for expected credit losses. The Company adopted ASC 326, Financial Instruments — Credit Losses, and applies the current expected credit loss (“CECL”) model to its accounts receivable. The Company estimates expected credit losses based on a combination of historical loss experience, current conditions, and reasonable and supportable forecasts of future economic conditions, including the financial condition and creditworthiness of the counterparty. Accounts receivable are written off when the Company concludes that all reasonable collection efforts have been exhausted and the receivable is no longer considered recoverable.\n\n \n\n**Recent Accounting Pronouncements**\n\n \n\nRecent Accounting Pronouncements, not yet adopted\n\n \n\nASU 2023-09, Income Taxes (“ASU 2023-09”), requires disclosure of specific categories and disaggregation of information in the rate reconciliation table and expands disclosures related to income taxes paid. The new standard is effective for fiscal years beginning after December 15, 2024 and is to be applied prospectively. The Company is currently evaluating the impact, if any, adoption will have on its consolidated financial statements and disclosures.\n\n \n\nASU 2024-02, Codification Improvements-Amendments to Remove References to the Concepts Statements (“ASU 2024-02”) updates accounting standards for revenue recognition (ASC 606), lease accounting (ASC 842), and impairment of long-lived assets (ASC 360). ASU 2024-02 provides enhanced guidance for estimating variable consideration, accounting for contract modifications, determining lease terms, and simplifying impairment testing for long-lived assets. It also introduces increased disclosure requirements for financial instruments and derivatives. ASU 2024-02 is effective for fiscal years beginning after December 15, 2024, with early adoption permitted. The Company is currently evaluating the impact, if any, adoption will have on its consolidated financial statements and disclosures.\n\n \n\nASU 2024-03, Disaggregation of Income Statement Expenses (“ASU 2024-03”), requires public companies to disaggregate key expense categories, such as inventory purchases, employee compensation and depreciation in their financial statements. This aims to improve investor insight into company performance. ASU 2024-03 is effective for fiscal years beginning after December 15, 2024, and interim periods within fiscal years beginning after December 15, 2025, with early adoption permitted. The Company is currently evaluating the impact, if any, adoption will have on its consolidated financial statements and disclosures.\n\n \n\nThe Company has evaluated other new accounting standards issued by the FASB and SEC that are not yet effective. Management does not expect these standards to have a material impact on the consolidated financial statements upon adoption.\n\n \n\nRecently Adopted Accounting Pronouncements\n\n \n\nASU 2023-07, Segment Reporting – Improvements to Reportable Segment Disclosures (“ASU 2023-07”), requires enhanced disclosures related to significant segment expenses and a description of how the chief operating decision maker utilizes segment operating profit or loss to allocate resources and assess segment performance for all public entities. Additionally, the standard requires disclosures of significant segment expenses and other segment items as well as incremental qualitative disclosures.\n\n \n\nThe Company adopted ASU 2023-07 effective January 1, 2024, on a retrospective basis. For additional information, refer to Note 12: Segment Information.\n\n \n\nF-10\n\n \n\n \n\n**Note 3 – Revenue**\n\n \n\nWe recorded $0 and $179,613 in revenue, respectively, for the years ended December 31, 2025 and 2024:\n\n \n\nSchedule of revenue\n \n \n \n \n \n \n\n \n \nYears ended\nDecember 31,\n \n\n \n \n2025\n \n \n2024\n \n\nSoftware development service\n \n$\n-\n \n \n$\n179,613\n \n\n \n \n \n-\n \n \n \n179,613\n \n\n \n\n**Note 4 – Net Loss per Ordinary Share**\n\n \n\nThe following table sets forth the computation of basic and diluted net loss per share for years indicated:\n\n \n\nSchedule of basic and diluted net loss per ordinary share\n \n \n \n \n \n \n \n \n\n \n \nYears ended\nDecember 31,\n \n\n \n \n2025\n \n \n2024\n \n\n**Net loss attributable to the Company, basic and diluted shares**\n** **\n**$**\n**(112,049**\n**)**\n** **\n**$**\n**(74,221**\n**)**\n\nWeighted average ordinary shares used in computing basic and dilutive net loss per share\n \n \n130,097,000\n \n \n \n130,097,000\n \n\nNet loss per common share, basic\n \n \n(0.00\n)\n \n \n(0.00\n)\n\n \n\nThere were no dilutive securities for the years ended December 31, 2025 and 2024.\n\n \n\n**Note 5 – Income Tax**\n\n \n\nBJKZ is incorporated in the PRC. It is governed by the income tax law of the PRC and is subject to PRC enterprise income tax (“EIT”). The EIT rate for companies operating in the PRC is 25%.\n\n \n\nThe Company’s effective income tax rates were 0% for the years ended December 31, 2025 and 2024 because of accumulated tax losses brought forward. The applicable rates of income taxes are as follows:\n\n \n\nSchedule of effective rates of income taxes\n \n \n \n \n \n \n \n \n\n \n \nYears ended\nDecember 31,\n \n\n \n \n2025\n \n \n2024\n \n\nU.S. statutory rate\n \n \n34.0\n%\n \n \n34.0\n%\n\nForeign income not registered in the U.S.\n \n \n(34.0\n)%\n \n \n(34.0\n)%\n\nPRC statutory rate\n \n \n25.0\n%\n \n \n25.0\n%\n\nChanges in valuation allowance and others\n \n \n(25.0\n)%\n \n \n(25.0\n)%\n\nEffective tax rate\n \n \n0\n%\n \n \n0\n%\n\n \n\nF-11\n\n \n\n \n\nIncome tax payable represented enterprise income tax at a rate of 25% of taxable income that the Company accrued but not paid. Income tax payable as of December 31, 2025 and 2024 comprises:\n\n \n\nSchedule of income tax expense\n \n \n \n \n \n \n \n \n\n \n \nYears ended\nDecember 31,\n \n\n \n \n2025\n \n \n2024\n \n\nCurrent income tax expense\n \n$\n-\n \n \n$\n-\n \n\nDeferred tax expense (benefit)\n \n \n-\n \n \n \n-\n \n\nCurrent income tax expense\n \n$\n-\n \n \n$\n-\n \n\n \n\nThe Company has not recognized an income tax benefit for its operating losses generated based on uncertainties concerning its ability to generate taxable income in future periods. The tax benefit for the periods presented is offset by a valuation allowance established against deferred tax assets arising from the net operating losses and other temporary differences, the realization of which could not be considered more likely than not. In future periods, tax benefits and related deferred tax assets will be recognized when management considers realization of such amounts to be more likely than not. A valuation allowance will be maintained until sufficient positive evidence exists to support the reversal of any portion or all of the valuation allowance:\n\n \n\nSchedule of deferred tax asset\n \n \n \n \n \n \n \n \n\n \n \nDecember 31,\n \n\n \n \n2025\n \n \n2024\n \n\nDeferred tax asset from operating losses carry-forwards\n \n$\n28,012\n \n \n$\n18,555\n \n\nValuation allowance\n \n \n(28,012\n)\n \n \n(18,555\n)\n\nDeferred tax asset, net\n \n$\n-\n \n \n$\n-\n \n\n \n\n**Note 6 – Computer Equipment**\n\n \n\nThe computer equipment consisted of the following:\n\n \n\nSchedule of property and equipment\n \n \n \n \n \n \n \n \n\n \n \nDecember 31,\n \n\n \n \n2025\n \n \n2024\n \n\nAt cost\n \n$\n36,841\n \n \n$\n35,415\n \n\nLess: accumulated depreciation\n \n \n(14,614\n)\n \n \n(7,319\n)\n\nProperty and Equipment\n \n$\n22,227\n \n \n$\n28,096\n \n\n \n\nNo significant residual value is estimated for the computer equipment. Depreciation expense for the years ended December 31, 2025 and 2024 totaled $6,833 and $6,830, respectively.\n\n \n\n**Note 7 – Impairment of Accounts Receivable**\n\n \n\nAs of December 31, 2024, the Company had an outstanding accounts receivable balance of $17,872 from Beijing Cabelongteng Investment Center (Limited Partnership), a related party (see Note 9). The receivable arose from software development services delivered by the Company during the first quarter of 2024. Despite repeated collection efforts during the year ended December 31, 2025, the counterparty did not make any payment in respect of the outstanding balance, and management has assessed the receivable as no longer recoverable due to the continued non-payment.\n\n \n\nAccordingly, an impairment loss of $18,149, representing the full carrying amount of the receivable translated at the average exchange rate for the year, was recognised in the consolidated statement of operations for the year ended December 31, 2025, and is presented within “Operating expenses”. The impairment loss is also separately identified in the segment information presented in Note 12. The accounts receivable balance was fully written off as of December 31, 2025.\n\n \n\nNo impairment loss was recognised on accounts receivable during the year ended December 31, 2024.\n\n \n\nF-12\n\n \n\n \n\n**Note 8 – Accruals and Other Payables**\n\n \n\nAccruals and other payables consisted of the following:\n\n \n\nSchedule of accruals and other payables\n \n \n \n \n \n \n \n \n\n \n \nDecember 31,\n \n\n \n \n2025\n \n \n2024\n \n\nAccrued audit fee\n \n$\n35,000\n \n \n$\n50,000\n \n\nExecutive compensation\n \n \n214,533\n \n \n \n244,565\n \n\nOther\n \n \n365\n \n \n \n369\n \n\n \n \n$\n249,898\n \n \n$\n294,934\n \n\n \n\n**Note 9 – Related Party Transactions and Balances**\n\n \n\na.\nRelated party\n\n \n\nSchedule of related party\n \n \n\n**Name of related party**\n \n**Relationship with the Company**\n\nSuzhou Kesheng Investment Management Co., Ltd.\n \nMs. Guo Li is common director\n\nGuo Li\n \nMs. Guo Li is the director of the Company\n\nBeijing Cabelongteng\n \nThe controlling party of this entity is also a shareholder of the Company\n\nShenzhen Jiecheng Enterprise Management Consulting Co., Ltd (“Jiecheng”)\n \nMr. Hu Ziyong, the Company’s Chief Financial Officer holds a 60% ownership interest in Jiecheng\n\nSichuan Chuanghe Culture Media Co., Ltd (“Chuanghe”)\n \nMr. Hu Ziyong, the Company’s Chief Financial Officer serves as supervisor of Chuanghe\n\n \n\nb.\nRelated Party Transactions\n\n \n\nDuring the year ended December 31, 2025, the Company made advances totalling $19,952 to Shenzhen Jiecheng Enterprise Management Consulting Co., Ltd (“Jiecheng”), and advances totalling $25,652 to Sichuan Chuanghe Culture Media Co., Ltd (“Chuanghe”). The advances are unsecured, non-interest bearing, repayable on demand, and are intended to support the working capital requirements of the respective related parties. No interest income, expense, or other income statement effect was recognised in respect of these advances during the year. As of December 31, 2025, the full amounts remained outstanding and are presented within “Amounts due from related parties” on the consolidated balance sheet.\n\n \n\nNo revenue was recognised from any related party for the year ended December 31, 2025 (2024: $179,613 of software development service revenue from Beijing Cabelongteng Investment Center (Limited Partnership)).\n\n \n\nDuring the year ended December 31, 2024, the Company provided software development services to Beijing Cabelongteng Investment Center (Limited Partnership), a related party, and recognised revenue of $179,613.\n\n \n\nF-13\n\n \n\n \n\nc.\nRelated party balances\n\n \n\nThe Company had the following related party balances at December 31, 2025 and 2024:\n\n \n\nSchedule of related party balances\n \n \n \n \n \n \n \n \n\n \n \nDecember 31,\n \n\n \n \n2025\n \n \n2024\n \n\nDue from (to) related parties:\n \n \n \n \n \n \n \n \n\nShenzhen Jiecheng Enterprise Management Consulting Co., Ltd\n \n \n19,952\n \n \n \n-\n \n\nSichuan Chuanghe Culture Media Co., Ltd\n \n \n25,652\n \n \n \n-\n \n\nGuo Li\n \n \n(198,977\n)\n \n \n(23,661\n)\n\n \n\nThe amounts due from (to) related parties are without interest and due on demand.\n\n \n\n**Note 10 – Commitments and Contingencies**\n\n \n\n*Operating leases*\n\n \n\nDuring 2025, the Company entered into several short-term operating lease agreements for office space in China. These leases are each for a term of one year or less and are therefore not recognized on the balance sheet in accordance with the short-term lease exemption under ASC 842.\n\n \n\n●\nIn July 2024, the Company leased approximately 8 square meters of office space, commencing July 4, 2024, and expiring July 3, 2025, with monthly lease payments of approximately $93. This lease was renewed on July 3, 2025, for an additional term expiring July 3, 2026, with the same monthly payments.\n\n \n\n●\nIn August 2024, the Company commenced another lease expiring July 31, 2025, with monthly payments of approximately $278. This lease was renewed in July 2025 for an additional term expiring October 31, 2025, with the same monthly payments. This lease was renewed in October 2025 for an additional term expiring February 28, 2026, with the same monthly payments.\n\n \n\n●\nIn November 2024, the Company entered into a lease expiring October 31, 2025, with monthly payments of approximately $348. This lease was renewed in October 2025 for an additional term expiring October 30, 2026, with the same monthly payments.\n\n \n\nThe Company recognizes lease expense on a straight-line basis over the lease term. For the years ended December 31, 2025 and 2024, total lease expenses were $8,625 and $4,936, respectively.\n\n \n\n*Legal proceedings*\n\n \n\nThere has been no legal proceeding in which the Company is a party as of December 31, 2025.\n\n \n\n**Note 11 – Ordinary Shares**\n\n \n\nIn January and February 2023, the Company sold 97,000 ordinary shares at a purchase price of $1.00 per share.\n\n \n\n**Note 12 – Segment Reporting**\n\n \n\nThe Company operates as one operating segment, providing information technology (IT) development and consulting services to a broad range of clients across various industries. The Company’s primary revenue streams include custom software development, IT consulting, and system integration services. These services collectively account for approximately 100% of the Company’s revenue.\n\n \n\nThe Company’s Chief Operating Decision Maker (CODM) is its Chief Executive Officer (CEO), who evaluates financial performance and allocates resources based on information presented on a consolidated basis. The CODM uses consolidated net income as the primary measure of financial performance and assesses results by comparing actual performance to historical trends and internal forecasts. The categories of significant segment expenses regularly provided to the CODM and included in the measure of segment loss are set out in the table below.\n\n \n\nF-14\n\n \n\n \n\nThe following table presents selected financial information with respect to the Company’s single operating segment for the years ended December 31, 2025, and 2024:\n\n \n\nSchedule of operating segment\n \n \n \n \n \n \n \n \n\n** **\n** **\n**For the years ended December 31,**\n** **\n\n** **\n** **\n**2025**\n** **\n** **\n**2024**\n** **\n\nRevenue\n \n$\n-\n \n \n$\n179,613\n \n\nCost of sales\n \n \n-\n \n \n \n(148,879\n)\n\n**Gross profit**\n** **\n** **\n**-**\n** **\n** **\n** **\n**30,734**\n** **\n\nOperating expenses:\n \n \n \n \n \n \n \n \n\nDepreciation\n \n \n6,833\n \n \n \n6,830\n \n\nOffice expense\n \n \n8,625\n \n \n \n5,069\n \n\nProfessional fee\n \n \n50,364\n \n \n \n56,062\n \n\nStaff costs\n \n \n22,111\n \n \n \n60,146\n \n\nImpairment of account receivables\n \n \n18,149\n \n \n \n-\n \n\nOther operating expenses\n \n \n5,977\n \n \n \n5,488\n \n\n**Total operating expenses**\n** **\n** **\n**(112,059**\n**)**\n** **\n** **\n**(133,595**\n**)**\n\n**Loss from operations**\n** **\n** **\n**(112,059**\n**)**\n** **\n** **\n**(102,861**\n**)**\n\nOther income\n \n \n10\n \n \n \n28,640\n \n\n**Loss before income tax**\n** **\n** **\n**(112,049**\n**)**\n** **\n** **\n**(74,221**\n**)**\n\nIncome tax expense\n \n \n-\n \n \n \n-\n \n\n**Net loss**\n** **\n**$**\n**(112,049**\n**)**\n** **\n**$**\n**(74,221**\n**)**\n\n \n\n**Note 13 – Subsequent Event**\n\n \n\nThere were no subsequent events or transactions that would require recognition or disclosure in financial statements for the year ended December 31, 2025.\n\n \n\nF-15"}