Business Context and Reporting Period
This Form 10-Q covers the quarterly period ended September 30, 2012, for Berry Only Inc. (Note: The input metadata references "Tuhura Biosciences," but the filing text explicitly identifies the registrant as Berry Only Inc.). The Company is a Nevada corporation classified as a development stage company and a shell company. It has no active revenue-generating operations and is currently seeking business opportunities, specifically mergers or acquisitions with established entities, to utilize its public reporting status.
Key Financial Metrics
| Metric | Three Months Ended Sep 30, 2012 | Three Months Ended Sep 30, 2011 | Cumulative (Inception to Sep 30, 2012) |
|---|---|---|---|
| Revenue | $0 | $0 | $0 |
| Net Loss | $(4,155) | $(3,858) | $(61,758) |
| Cash and Equivalents (End of Period) | $609 | $6,837 | $609 |
| Total Liabilities | $12,954 | N/A | N/A |
| Stockholders' Equity (Deficit) | $(12,345) | N/A | N/A |
| Shares Outstanding | 3,944,000 | 5,950,000 (Weighted Avg) | 3,944,000 |
Liquidity: The Company holds minimal cash ($609) and relies entirely on related-party loans and equity sales for funding. Debt: Total liabilities consist of $2,500 in accounts payable and $10,454 due to an officer (related party loan).
Material Changes vs. Prior Period
- Net Loss: The net loss increased slightly from $3,858 in the prior year quarter to $4,155 in the current quarter, driven primarily by an increase in professional fees ($3,780 vs. $3,162).
- Cash Position: Cash decreased significantly from $6,837 at the end of the prior year quarter to $609 at the end of the current quarter, reflecting ongoing operating losses.
- Related Party Debt: The officer loan balance increased by $2,970 during the quarter, bringing the total due to the officer to $10,454.
- Share Count: The weighted average shares outstanding decreased from 5,950,000 in the prior year to 3,944,000 in the current period, following a share cancellation event in late 2011.
Outlook, Risks, and Management Commentary
- Going Concern: The filing explicitly states substantial doubt about the Company's ability to continue as a going concern. The Company has not generated revenue and has an accumulated deficit of $61,758. Continued operations depend on raising additional capital.
- Business Strategy: The Company is actively negotiating with several parties for a merger or acquisition but has no definitive agreements. Management anticipates that any acquisition will require additional financing, which is not guaranteed.
- Previous Operations: A prior exclusive dealership agreement for sanitizing wipes lapsed due to the Company's inability to meet minimum sales requirements.
- Risks: Key risks include the inability to secure financing, failure to locate a suitable business combination, and the potential loss of shareholder investment if operations cease.
- Subsequent Events: No material subsequent events were identified through December 13, 2012.
Investor Verification Checklist
- Verify the Company's current cash balance ($609) and its ability to fund operations without immediate additional capital.
- Confirm the status of negotiations for a merger or acquisition, as the Company has no standalone revenue stream.
- Review the terms of the $10,454 related-party loan due to the controlling shareholder (Lisa Guise), which is non-interest bearing and payable on demand.
- Assess the risk of the "Going Concern" opinion and the likelihood of the Company ceasing operations if financing is not secured.
- Check for any updates on the share count or capital structure, noting the significant reduction in shares outstanding in 2011.