{"url_path":"/sec/ecxj/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":"2026-09-11","source_url":"https://www.sec.gov/Archives/edgar/data/1823635/0001493152-26-042301-index.html","accession_number":"0001493152-26-042301","cik":"0001823635","ticker":"ECXJ","issuer_name":"CXJ GROUP CO., Ltd","edgar_url":"https://www.sec.gov/Archives/edgar/data/1823635/0001493152-26-042301-index.html","primary_entity_key":"0001823635","primary_entity_name":"CXJ GROUP CO., Ltd"},"word_count":3131,"has_tables":true,"body_markdown":"**Item\n16. Form 10–K Summary**\n\n \n\nNone.\n\n \n\n58\n\n \n\n \n\n**SIGNATURES**\n\n \n\nPursuant\nto the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed\non its behalf by the undersigned, thereunto duly authorized.\n\n \n\n \n**CXJ\nGroup Co., Limited**\n\nDate:\nSeptember 11, 2026\n \n \n\n \nBy*:*\n*/s/\nLixin Cai*\n\n \nName:\nLixin\nCai\n\n \nTitle:\nChief\nExecutive Officer, Director and Secretary\n\n \n \n(Principal\nExecutive Officer)\n\n \n \n \n\n \nBy*:*\n*/s/\nCuiyao Luo*\n\n \nName:\nCuiyao\nLuo\n\n \nTitle:\nChief\nFinancial Officer and Treasurer\n\n \n \n(Principal\nFinancial and Accounting Officer)\n\n \n\n59\n\n \n\n \n\n**CXJ\nGroup Co., Limited**\n\n**Consolidated\nFinancial Statements**\n\n**For\nthe Years Ended May 31, 2026 and 2025**\n\n \n\n**Contents**\n**Page**\n\n \n \n\n[Report\nof Independent Registered Public Accounting Firm - J&S Associate PLT](#f_001) (PCAOB ID: 6743)\n\nF-1\n\n \n \n\n[Consolidated Balance Sheets](#f_002)\nF-2\n\n \n \n\n[Consolidated Statements of Operations and Comprehensive Loss](#f_003)\nF-3\n\n \n \n\n[Consolidated Statements of Changes in Equity](#f_004)\nF-4\n\n \n   \n\n[Consolidated Statements of Cash Flows](#f_005)\nF-5\n\n \n \n\n[Notes to Financial Statements](#f_006)\nF-6\nto F-36\n\n \n\n60\n\n \n\n \n\n \n\nJ&S\nASSOCIATE PLT\n\n202206000037\n(LLP0033395-LCA) & AF002380\n\nRegistered\nwith PCAOB and MIA)\n\nB-11-14,\nMegan Avenue II\n\n12,\nJalan Yap Kwan Seng, 50450, Kuala Lumpur, Malaysia\n\n \n\nTel:\n+603-4813 9469\n\nEmail: info@jns-associate.com\n\nWebsite:\njns-associate.com\n\n \n\n \n\n \n\n**REPORT\nOF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM**\n\n \n\nThe\nBoard of Directors and Shareholders of\n\nCXJ GROUP CO., LIMITED.\n\n \n\nOpinion\non the Financial Statement\n\n \n\nWe\nhave audited the accompanying consolidated balance sheets of CXJ Group Co., Limited and its subsidiaries (the ‘Company’)\nas of May 31, 2026 and the related consolidated statements of operations and comprehensive loss, statement of changes in equity, and\ncash flows for the year ended May 31, 2026, and the related notes (collectively referred to as the “financial statements”).\nIn our opinion, the financial statements present fairly, in all material respects, the financial position of the Company as of May 31,\n2026, and the results of its operations and its cash flows for the year ended May 31, 2026, in conformity with accounting principles\ngenerally accepted in the United States of America.\n\n \n\nSubstantial\nDoubt about the Company’s Ability to Continue as a Going Concern\n\n \n\nThe\naccompanying consolidated financial statements have been prepared assuming that the Company will continue as a going concern. As discussed\nin Note 3 to the consolidated financial statements, the Company incurred a net loss of $9,680 for the year ended May 31, 2026 and, as\nof May 31, 2026, had an accumulated deficit of $7,657,185 and negative net assets of $1,624,018. These matters raise substantial doubt\nabout the Company’s ability to continue as a going concern. Management’s evaluation of the events and conditions that gives\nrise to the substantial doubt that exists about the Company’s ability to continue as a going concern and management’s plans\nto mitigate this matter are also described in Note 3.\n\n \n\nThese\nfinancial statements do not include any adjustments that may be necessary to reflect the effects on the recoverability and classification\nof assets and additional liabilities that may arise if the Company is not able to continue as a going concern. Our opinion is not modified\nwith respect to this matter.\n\n \n\nBasis\nfor Opinion\n\n \n\nThese\nfinancial statements are the responsibility of the Company’s management. Our responsibility is to express an opinion on the Company’s\nfinancial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board\n(United States) (“PCAOB”) and are required to be independent with respect to the Company in accordance with the U.S. federal\nsecurities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.\n\n \n\nWe\nconducted our audit in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain\nreasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Company\nis not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting. As part of our audit,\nwe are required to obtain an understanding of internal control over financial reporting but not for the purpose of expressing an opinion\non the effectiveness of the Company’s internal control over financial reporting. Accordingly, we express no such opinion.\n\n \n\nOur\naudit included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or\nfraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding\nthe amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant\nestimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audit provides\na reasonable basis for our opinion.\n\n \n\nCritical\naudit matters\n\n \n\nCritical\naudit matters are matters arising from the current period audit of the financial statements that were communicated or required to be\ncommunicated to the audit committee and that: (1) relate to accounts or disclosures that are material to the financial statements and\n(2) involved our especially challenging, subjective, or complex judgments. We determined that there are no critical audit matters.\n\n \n\n*/s/\nJ&S Associate PLT*\n\nCertified\nPublic Accountants\n\nPCAOB\nNo: 6743\n\n \n\nWe\nhave served as the Company’s auditor since 2024.\n\n \n\nKuala\nLumpur, Malaysia\n\nSeptember\n11, 2026\n\n \n\nF-1\n\n \n\n \n\n**CXJ\nGroup Co., Limited**\n\n**Consolidated\nBalance Sheets**\n\n**As\nof May 31, 2026 and 2025**\n\n \n\n  \n2026  \n2025 \n\n  \nAudited  \nAudited \n\n  \n$  \n$ \n\nASSETS \n    \n   \n\nCURRENT ASSETS \n    \n   \n\nCash and cash equivalents \n 72,052  \n 10,037 \n\nAccounts receivables \n 3,156  \n 2,972 \n\nPrepayments \n 5,971  \n 37,520 \n\nDeposits and other receivables \n 43,775  \n 82,012 \n\nDue from related parties \n 129,489  \n 82,471 \n\nInventories \n 38,403  \n 69,291 \n\nTotal Current Assets \n 292,846  \n 284,303 \n\n  \n    \n   \n\nNON-CURRENT ASSETS \n    \n   \n\nProperty, plant and equipment, net \n 1,464  \n 2,797 \n\nOperating lease right-of-use assets \n 32,131  \n 13,075 \n\nTotal Non-current Assets \n 33,595  \n 15,872 \n\n  \n    \n   \n\nTOTAL ASSETS \n 326,441  \n 300,175 \n\n  \n    \n   \n\nLIABILITIES AND STOCKHOLDERS’ EQUITY \n    \n   \n\nCURRENT LIABILITIES \n    \n   \n\nAccounts payables \n 47,288  \n 68,524 \n\nContract liabilities \n 1,070,405  \n 595,108 \n\nAccrued expenses and other payables \n 407,732  \n 808,784 \n\nDue to related parties \n 392,903  \n 369,259 \n\nOperating lease liabilities, current portion \n 23,279  \n 13,611 \n\nTotal Current Liabilities \n 1,941,607  \n 1,855,286 \n\n  \n    \n   \n\nNON-CURRENT LIABILITIES \n    \n   \n\nOperating lease liabilities, non-current portion \n 8,852  \n - \n\n  \n    \n   \n\nTOTAL LIABILITIES \n 1,950,459  \n 1,855,286 \n\n  \n    \n   \n\nSTOCKHOLDERS’ EQUITY \n    \n   \n\nCommon stock, $0.001 par value, 490,000,000 and 490,000,000 shares authorized, 102,270,517 and 102,270,517 shares issued and outstanding as of May 31,2026 and 2025 respectively \n 102,271  \n 102,271 \n\nAdditional paid-in capital \n 5,958,556  \n 5,958,556 \n\nAccumulated other comprehensive (loss)/income \n (27,660) \n 31,567 \n\nAccumulated deficit \n (7,657,185) \n (7,647,505)\n\nTotal CXJ Group Stockholders’ Equity \n (1,624,018) \n (1,555,111)\n\nNon-controlling interest \n -  \n - \n\nTOTAL STOCKHOLDERS’ EQUITY \n (1,624,018) \n (1,555,111)\n\n  \n    \n   \n\nTOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY \n 326,441  \n 300,175 \n\n \n\n*See\naccompanying notes to the consolidated financial statements.*\n\n \n\nF-2\n\n \n\n \n\n**CXJ\nGroup Co., Limited**\n\n**Consolidated\nStatements of Operations and Comprehensive Loss**\n\n**For\nthe Years ended May 31, 2026 and 2025**\n\n \n\n  \n2026  \n2025 \n\n  \nAudited  \nAudited \n\n  \n$  \n$ \n\nRevenue \n 531,606  \n 458,632 \n\n  \n    \n   \n\nCost of Sales \n (175,396) \n (85,975)\n\nGross Profit \n 356,210  \n 372,657 \n\n  \n    \n   \n\nOther Income/ (Expenses) \n 299,870  \n (508)\n\n  \n    \n   \n\nSelling and Distribution Expenses \n (246,812) \n (195,295)\n\nGeneral & Administrative Expenses \n (409,946) \n (2,426,428)\n\nLoss from Operation \n (678) \n (2,249,574)\n\n  \n    \n   \n\nInterest Income \n 16  \n 10 \n\nLoss Before Income Tax \n (662) \n (2,249,564)\n\n  \n    \n   \n\nIncome Tax Expense \n (9,018) \n (34,461)\n\nNet Loss For The Year \n (9,680) \n (2,284,025)\n\n  \n    \n   \n\nOther Comprehensive Income/(Loss): \n    \n   \n\n- Foreign Exchange Adjustment Loss \n (59,227) \n (5,358)\n\nCOMPREHENSIVE LOSS \n (68,907) \n (2,289,383)\n\n  \n    \n   \n\nNet Loss Per Share - Basic And Diluted \n (0.00) \n (0.02)\n\n  \n    \n   \n\nWeighted average number of common shares outstanding – Basic and diluted \n 102,270,517  \n 102,128,818 \n\n \n\n*See\naccompanying notes to the consolidated financial statements.*\n\n* *\n\nF-3\n\n \n\n**\n\n* *\n\n**CXJ\nGroup Co., Limited**\n\n**Consolidated\nStatements of Changes in Equity**\n\n**For\nthe years ended May 31, 2026 and 2025**\n\n** **\n\n**For\nThe Year Ended May 31, 2026**\n\n \n\n  \n   \n   \n   \nAccumulated  \n   \n  \n\n  \nCommon Stock  \nAdditional  \nOther  \n   \nTotal \n\n  \nNumber of  \n   \nPaid-In  \nComprehensive  \nAccumulated  \nStockholders’ \n\n  \nShares  \nAmount  \nCapital  \nIncome  \nDeficit  \nEquity \n\n  \n   \n$  \n$  \n$  \n$  \n$ \n\nBalance as of May 31, 2025 \n 102,270,517  \n 102,271  \n 5,958,556  \n 31,567  \n (7,647,505) \n (1,555,111)\n\nAccumulated Other Comprehensive Loss \n -  \n -  \n -  \n (59,227) \n -  \n (59,227)\n\nNet Loss \n -  \n -  \n -  \n -  \n (9,680) \n (9,680)\n\nBalance as of May 31, 2026 \n 102,270,517  \n 102,271  \n 5,958,556  \n (27,660) \n (7,657,185) \n (1,624,018)\n\n** **\n\n**For\nThe Year Ended May 31, 2025**\n\n \n\n  \n   \n   \n   \nAccumulated  \n   \n  \n\n  \nCommon Stock  \nAdditional  \nOther  \n   \nTotal \n\n  \nNumber of  \n   \nPaid-In  \nComprehensive  \nAccumulated  \nStockholders’ \n\n  \nShares  \nAmount  \nCapital  \nIncome  \nDeficit  \nEquity \n\n  \n   \n$  \n$  \n$  \n$  \n$ \n\nBalance as of May 31, 2024 \n 101,710,517  \n 101,711  \n 5,589,388  \n 36,925  \n (5,363,480) \n 364,544 \n\nCommon Stock Issued \n 560,000  \n 560  \n 369,168  \n -  \n -  \n 369,728 \n\nAccumulated Other Comprehensive Loss \n -  \n -  \n -  \n (5,358) \n -  \n (5,358)\n\nNet Loss \n -  \n -  \n -  \n -  \n (2,284,025) \n (2,284,025)\n\nBalance as of May 31, 2025 \n 102,270,517  \n 102,271  \n 5,958,556  \n 31,567  \n (7,647,505) \n (1,555,111)\n\n \n\n*See\naccompanying notes to the consolidated financial statements.*\n\n* *\n\nF-4\n\n \n\n \n\n**CXJ\nGroup Co., Limited**\n\n**Consolidated\nStatements of Cash Flows**\n\n**For\nthe years ended May 31, 2026 and 2025**\n\n \n\n  \n2026  \n2025 \n\n  \n$  \n$ \n\nCASH FLOWS FROM OPERATING ACTIVITIES: \n    \n   \n\nNet Loss \n (9,680) \n (2,284,025)\n\nAdjustments to reconcile net loss to net cash used in operating activities \n    \n   \n\nDepreciation \n 1,451  \n 2,176 \n\nAmortization of right-of-use assets \n 51,745  \n 75,432 \n\nImpairment of goodwill \n -  \n 1,742,577 \n\nImpairment loss of other receivable \n 38,562  \n - \n\nInventory written-down \n 16,721  \n - \n\nWritten-off of accrual legal fee \n (300,000) \n - \n\n  \n    \n   \n\nChanges in operating assets and liabilities: \n    \n   \n\nAccounts receivables \n -  \n 56,491 \n\nPrepayments, deposits and other receivables \n 35,784  \n 234,191 \n\nInventories \n 17,164  \n (8,248)\n\nAccounts payables \n (24,544) \n (10,524)\n\nContract liabilities \n 422,165  \n (16,665)\n\nAccrued liabilities, deposit received and other payables \n (120,604) \n (131,937)\n\nOperating lease liabilities \n (52,281) \n (77,993)\n\nNet cash provided by/(used in) operating activities \n 76,483  \n (418,525)\n\n  \n    \n   \n\nCASH FLOWS FROM INVESTING ACTIVITY: \n    \n   \n\nNet cash used in investing activity \n -  \n - \n\n  \n    \n   \n\nCASH FLOWS FROM FINANCING ACTIVITIES: \n    \n   \n\nProceeds from share issuance \n -  \n 369,728 \n\nAdvance to related parties \n (40,370) \n (21,996)\n\nAdvances from directors \n 23,049  \n 75,440 \n\nNet cash (used in)/provided by financing activities \n (17,321) \n 423,172 \n\nEffect of exchange rate changes on cash and cash equivalents \n 2,853  \n 2,869 \n\nNet change in cash and cash equivalents \n 62,015  \n 7,516 \n\nCash and cash equivalents, beginning of year \n 10,037  \n 2,521 \n\nCASH AND CASH EQUIVALENTS, END OF YEAR \n 72,052  \n 10,037 \n\n  \n    \n   \n\nSupplemental disclosures of cash flow information: \n    \n   \n\nIncome tax paid (refund) \n -  \n 33,013 \n\nInterest paid \n -  \n - \n\n \n\n*See\naccompanying notes to the consolidated financial statements.*\n\n \n\nF-5\n\n \n\n \n\n**NOTE\n1 ORGANIZATION AND DESCRIPTION OF BUSINESS**\n\n \n\nCXJ\nGroup Co., Limited (“we”, “us”, the “Company” or “ECXJ”) was originally incorporated\nin State of Nevada on August 20, 1998 under the name Global II, Inc and underwent several name changes prior to its current name. Until\nAugust 2019, the Company was known as Global Entertainment Corp., which was a dormant company.\n\n \n\nOn\nMarch 4, 2019, the eight judicial District Court of Nevada appointed Custodian Ventures, LLC as custodian for the Company, proper notice\nhaving been given to the officers and directors of Global Entertainment Corporation. There was no opposition.\n\n \n\nOn\nJune 18, 2019, control of the Company was transferred by the entity controlled by Custodian Ventures, LLC to Xinrui Wang, our director,\nby selling him 10,000,000 shares of Series A Preferred stock and 17,700,000 shares of common stock for a purchase price of $175,000.\n\n \n\nOn\nJune 21, 2019, Lixin Cai was appointed act as the new President, CEO, Secretary and Chairman of the Board of Directors of the Company.\nOn June 21, 2019, Cuiyao Luo was appointed act as the new CFO, Treasurer and Member of the Board of Directors of the Company. On September\n30, 2019, the Company appointed three more members to the Board of Directors of the Company, and they are Xinrui Wang, Wenbin Mao and\nBaiwan Niu.\n\n \n\nEffective\nJuly 9, 2019 we changed our name from Global Entertainment Corp to CXJ Group Co., Limited. On July 12, 2019, the Company effectuated\na 1 for 200 reverse stock split, while the authorized shares of common stock and preferred shares totally had been increased to 500,000,000.\nAs a result of the foregoing we changed our trading symbol from GNTP and began trading as ECXJ on August 5, 2019.\n\n \n\nOn\nOctober 4, 2019, Xinrui Wang (the “Seller”), entered into a Stock Purchase Agreement to pursuant to which the Seller agreed\nto sell to Wenbin Mao and Baiwan Niu (the “Purchasers”), totaling 1,500,000 preferred stock of the Company (“Shares”)\nowned by the Seller, for an amount of $1,500. On October 8, 2019, Xinrui Wang, Wenbin Mao and Baiwan Niu effectuated a 1 for 10 conversion\nto convert all their preferred stock totaling 10,000,000 to 100,000,000 common shares. As a result of the conversion, there was no preferred\nstock outstanding of the Company as of October 8, 2019.\n\n \n\nOn\nMay 28, 2020, we consummated the transactions contemplated by the Share Exchange Agreement among the Company, CXJ Investment Group Company\nLimited, a British Virgin Islands Corporation (“CXJ”) and the shareholder of CXJ, pursuant to which we acquired all the ordinary\nshares of CXJ in exchange for the issuance to the shareholder of CXJ of an aggregate of 1,364,800 shares of the Company. The shareholder\nis the selling security holder in this prospectus and are all affiliates. As a result of the transactions contemplated by the Share Exchange,\nCXJ became a wholly-owned subsidiary of the Company.\n\n \n\nEffective\nMay 13, 2022, we have appointed Messrs. Tianbing Yang and Rudong Shi as members of our Board of Directors.\n\n \n\nOn\nJune 14, 2022, the Company completed the issuance and sales of an aggregate of 223,500 shares at a price of $0.66 per shares with each\nshare consisting of one share of the Company’s common stock, par value $0.001 per share (the “Common Stock”) in a private\nplacement to Minggang Qian (the “Purchaser”), pursuant to the Subscription Agreement dated as of June 9, 2022 between the\nCompany and the Purchaser. The net proceeds to the Company amounted to $147,510. The $147,510 in proceeds went directly to the Company\nas working capital.\n\n \n\nOn\nJuly 15, 2022, Mr. Wenbin Mao, Mr. Baiwan Niu, Mr. Tianbing Yang and Ms. Cuiyao Luo tendered their resignation for personal reasons and\nresigned as members of the Board of the Company effective from 28 July, 2022. The Board accepted the resignation of Mr. Wenbin Mao, Mr.\nBaiwan Niu, Mr. Tianbing Yang and Ms. Cuiyao Luo, and expressed sincere gratitude for their service term as a member of the Board.\n\n \n\nOn\nAugust 1, 2023, CXJ Technology (Hangzhou) Co., Ltd, a Chinese corporation and a subsidiary of the Company signed an equity transfer agreement\n(the “Agreement”) with Mr. Qing Wang. Under this agreement, the Company will dispose 51% equity of Xishijie Automobile Industry\nEcology Technology Co., Ltd (formerly known as Shenzhen Lanbei Ecological Technology Co., Ltd), a Chinese company (“Xishijie”)\nwith a purchase price of RMB 1 yuan. After this Agreement comes into force, Xishijie Automobile Industry Ecology Technology Co., Ltd\nwill no longer the subsidiary of CXJ Group Co., Ltd.\n\n \n\nF-6\n\n \n\n \n\nOn\nAugust 14, 2023, the Board approved the appointment of Zhen Hui Certified Public Accountant (“Zhen Hui”) as the Company’s\nnew independent registered public accounting firm for the fiscal year ending May 31, 2022 and May 31, 2023 effective immediately.\n\n \n\nOn\nMay 3, 2024, the Board approved the resignation of Zhen Hui as the Company’s independent registered public accounting firm with\nimmediate effective.\n\n \n\nOn\nMay 3, 2024, the Board approved the appointment of J & S Associate Plt (“J & S”) as the Company’s new independent\nregistered public accounting firm for the fiscal year ending May 31, 2024.\n\n \n\nOn\nSeptember 1, 2024, the Company entered the Subscription Agreement with Zhongxin Lei (the “Purchaser”) to issue and sales\nof an aggregate of 160,000 shares at a price of $0.657 per shares with each share consisting of one share of the Company’s common\nstock, par value $0.001 per share (the “Common Stock”). The net proceeds to the Company amounted to $105,128 and went directly\nto the Company as working capital\n\n \n\nOn\nSeptember 1, 2024, the Company entered the Subscription Agreement with Shiguo Wang (the “Purchaser”) to issue and sales of\nan aggregate of 200,000 shares at a price of $0.675 per shares with each share consisting of one share of the Company’s common\nstock, par value $0.001 per share (the “Common Stock”). The net proceeds to the Company amounted to $135,000 and went directly\nto the Company as working capital.\n\n \n\nOn\nSeptember 2, 2024, the Company entered the Subscription Agreement with Shiguo Wang (the “Purchaser”) to issue and sales of\nan aggregate of 200,000 shares at a price of $0.648 per shares with each share consisting of one share of the Company’s common\nstock, par value $0.001 per share (the “Common Stock”). The net proceeds to the Company amounted to $129,600 and went directly\nto the Company as working capital.\n\n \n\nECXJ,\nthrough its wholly owned subsidiary, CXJ and its subsidiaries and the VIE own and operate an active automobiles products trading and\nservices business in the People’s Republic of China.\n\n \n\n**NOTE\n2 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES**\n\n \n\n**Basis\nof presentation**\n\n \n\nThese\nconsolidated financial statements, accompanying notes, and related disclosures have been prepared pursuant to the rules and regulations\nof the U.S. Securities and Exchange Commission (“SEC”). These financial statements have been prepared using the accrual basis\nof accounting in accordance with the generally accepted accounting principles in the United States (“U.S. GAAP”). The Company’s\nfiscal year end is May 31. The Company’s financial statements are presented in U.S. dollars.\n\n \n\n**Basis\nof consolidation**\n\n** **\n\nThe\nconsolidated financial statements include the accounts of the Company, VIE and its subsidiaries. All intercompany accounts and transactions\nhave been eliminated. The results of subsidiaries acquired during the respective periods are included in the consolidated statements\nof operations from the effective date of acquisition or up to the effective date of disposal, as appropriate. The portion of the income\nor loss applicable to non-controlling interests in subsidiaries is reflected in the consolidated statements of operations.\n\n SCHEDULE\nOF OWNERSHIP INTEREST IN SUBSIDIARIES\n\nEntity Name \nDate of Incorporation \nParent Entity \n\n**Interest**\n\n**%**\n  \nNature of Operation \nPlace of Incorporation\n\nCXJ Investment Group Company Ltd (BVI CXJ) \n2020/2/19 \nUS CXJ \n 100% \nInvestment holding \nBritish Virgin Islands\n\nCXJ (HK) Technology Group Company Ltd (HK CXJ) \n2020/3/11 \nBVI CXJ \n 100% \nInvestment holding \nHong Kong, PRC\n\nCXJ (Shenzhen) Technology Co., Ltd (SZ CXJ) \n2020/5/26 \nHK CXJ \n 100% \nInvestment holding \nPRC\n\nLongkou Xianganfu Trading Co., Ltd. (Longkou CXJ) \n2018/4/23 \nSZ CXJ \n 100% \nTrading and consultancy services \nPRC\n\nVIE: \n  \n  \n    \n  \n \n\nCXJ Technology (Hangzhou) Co., Ltd. (HZ CXJ) \n2019/3/28 \nSZ CXJ \n 100% \nTrading,brand name management fee and consultancy services \nPRC\n\nQingdao Hong Run Kuo Ye Network Technology Co., Ltd. (Qingdao CXJ) \n2019/8/19 \nHZ CXJ \n 100% \nTrading and consultancy services \nPRC\n\n \n\nF-7\n\n \n\n** **\n\n**VIE\nConsolidation Schedule**\n\n** **\n\nThe\nfollowing tables set forth the summary consolidated balance sheets data as of May 31, 2026 and 2025 of (i) the Parent, (ii) the WFOE,\n(iii) the VIE Group, and the summary of the consolidated statement of income and cash flows for the years ended May 31, 2026 and 2025.\nOur and the VIE Group’s consolidated financial statements are prepared and presented in accordance with accounting principles generally\naccepted in the United States, or U.S. GAAP. Our and the VIE Group’s historical results are not necessarily indicative of results\nexpected for future periods. Assets of the VIEs can only be used to settle their obligation and creditors of the VIEs have no recourse\nto the Company’s or WFOE’s general credit.\n\n \n\nYou\nshould read this information together with our and the VIE Group’s consolidated financial statements and the related notes and"}