DYNAMIC AEROSPACE SYSTEMS Corp

Current report

As of March 31, 2025, we had a working capital deficit of approximately $405,140. While this presents a challenge, the Company has taken meaningful steps to address its liquidity position. Aerospace Capital Partners, one of our largest shareholders, has already contributed financial support, and we are actively working with our investment bank, AGP, and other strategic advisors to raise additional capital to support our ongoing operations and growth initiatives. We anticipate that revenues from commercial sales will begin to offset operating costs over the next 12 months as we scale production and execution of customer contracts. While we may continue to experience short-term operating losses, the Company remains focused on executing its business strategy and believes it is positioned to significantly improve its financial position through increased sales and targeted capital raises.

Current report

Our ability to continue as a going concern is dependent upon successful execution of our revenue plan and access to additional capital. The Company is optimistic about its progress and opportunities, and is continuing its Plan of Operations, which includes:

Current report

While uncertainties remain, we believe the actions currently underway combined with continued support from key stakeholders provide a viable path forward. The condensed financial statements do not reflect any adjustments that might be necessary if the Company is ultimately unable to execute on its plans; however, management is confident in its ability to navigate the current environment and build long-term shareholder value.

Current report

The increase in operating expenses reflects the Company’s investment in scaling its operations and preparing for future growth. Notably, a portion of these expenses were hard costs directly associated with the planned acquisition and integration of aerospace assets transactions that successfully closed on April 1, 2025. These investments included legal, due diligence, and advisory fees that were essential to closing the deals and positioning the Company for revenue generation across its UAV manufacturing and autonomous logistics divisions.

Current report

Additionally, we anticipate approximately $185,000 in legal and audit-related costs over the next twelve months, tied to our ongoing obligations as a reporting company, our planned S-1 filing, and our intent to pursue a listing on the NYSE later this year.

Current report

While we expect to continue operating at a net loss in the near term, management believes these strategic investments will support long-term growth, and that commercial activity from acquired assets will begin offsetting operating costs over the coming quarters.

Current report

Since inception, we have generated modest revenues while funding operations primarily through support from affiliates, shareholders, and related parties. Notably, Aerospace Capital Partners, one of our largest shareholders, has already contributed financial resources to help support the Company during this period of growth. In addition, we have engaged an investment bank, AGP, to assist in raising additional capital to accelerate our business plan and ensure sufficient liquidity.

Current report

As of March 31, 2025, we had a working capital deficit of $405,140. However, the Company is actively pursuing financing opportunities and anticipates revenue growth from sales that are expected to begin offsetting operating expenses within the next twelve months.

Current report

Although we may require additional equity or debt financing in the short term, management believes the Company is well-positioned to execute on its strategic objectives with the support of existing investors and engaged advisors. While any future financing may involve dilution or debt obligations, we are focused on securing capital on terms that preserve long-term shareholder value and support our path to profitability.

Previous report

At September 30, 2024, we had a working capital deficit of approximately $403,014. Our current liquidity resources are insufficient to fund the anticipated level of operations for at least the next 12 months from the date these condensed financial statements were issued. As a result, there is substantial doubt regarding our ability to continue as a going concern.

Previous report

Our ability to continue operations depends on our ability to generate and grow revenue and results of operations as well as our ability to access capital markets when necessary to accomplish our strategic objectives. We expect that we will continue to incur losses in the immediate future and will need additional equity or debt financing until we can achieve profitability and positive cash flows from operating activities. Our future capital requirements for operations will depend on many factors, including the ability to generate revenues and the ability to obtain capital. There is no assurance that we will be successful in any capital-raising efforts that may be undertaken to fund operations and implement our business plan in the future.

Previous report

We will continue our Plan of Operations by:

Previous report

The foregoing goals will increase expenses and lead to possible net losses. There is no assurance that we will ever be profitable or that debt or equity financing will be available to us. The condensed financial statements do not include any adjustments to reflect the possible future effects on the recoverability and classification of assets or the amounts and classifications of liabilities that may result should we be unable to continue as a going concern. There is no assurance we will be successful in any of these goals.

Previous report

For the three months ended September 30, 2024and September 30, 2023, we generated $85 and $1 in total revenue, respectively.

Previous report

For the three months ended September 30, 2024 and September 30, 2023, we incurred $86,462 and $77,539 in operating expenses, respectively. The increase is mainly due to accrued salaries for the officers.

Previous report

We also had a loss of $0 for the three months and $376,000 and $0 on the conversion of two convertible notes for the nine months ended September 30, 2024, and September 30, 2023, respectively.

Previous report

For the nine months ended September 30, 2024, we recognized a net loss from operations of $782,294,that is attributed to $252,210 in operating expenses, $154,351 in interest expense and $376,000 from the loss on conversion of two convertible notes. For the nine months ended September 30, 2023, we recognized a net loss from operations of $278,622 that is due to $247,030 in operating expenses and $31,864 in interest expense.

Previous report

We anticipate losses from operations will increase during the next twelve months due to the anticipated $85,000 in legal and auditing expenses associated with maintaining a reporting company. We expect that we will continue to have net losses from operations until revenues become sufficient to offset operating expenses.

Previous report

We have generated minimal revenues since inception. We have obtained cash for operating expenses mainly through advances and/or loans from affiliates and stockholders. Currently, we have made arrangements with a registered broker dealer to raise additional capital, where they will identify potential investors and negotiate appropriate agreements with them. We may be unable to arrange enough investment within the time the investment is required or that if it is arranged, that it will be on favorable terms. If we cannot obtain the needed capital, we may be unable to become profitable and may have to curtail or cease our operations. Additional equity financing, if available, may be dilutive to the holders of our capital stock. Debt financing may involve significant cash payment obligations, covenants and financial ratios that may restrict our ability to operate and grow our business.

Previous report

At September 30, 2024, we had a working capital deficit of $403,014. Our current liquidity resources are insufficient to fund our anticipated level of operations. As a result, there is substantial doubt regarding our ability to continue as a going concern. Our ability to continue operations depends on our ability to generate and grow revenue as well as access capital markets when necessary to fund strategic objectives. We expect to continue to incur losses in the immediate future and will need additional equity or debt financing until we can achieve profitability and positive cash flows from operating activities. There is no assurance that the Company will be successful in any capital-raising efforts that it may undertake to fund operations and implement our business plan in the future.