SafeSpace Global Corp
For the period ended Apr 30, 2026. Filed Jun 15, 2026.
View on SEC.govAbout this filing
A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Apr 30, 2026 · Filed Jun 15, 2026
SSGCStored price and day change unavailable
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2026-01-31; filed 2026-03-17.
0001493152-26-010534
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2026-04-30; filed 2026-06-15.
0001493152-26-028711
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 116 previous paragraphs and 98 current paragraphs.
27 unchanged; 43 reworded; 27 added; 46 removed; 0 previous and 1 current paragraphs rearranged.
Tables are not compared: 6 previous and 6 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (27)
Current report
Impairment of Capitalized Software Development Costs
Current report
During the quarter ended April 30, 2026, the Company recorded a non-cash impairment charge of $1,222,580 related to capitalized software development costs. The impairment resulted from management’s reassessment of commercialization expectations and future economic benefit associated with the Company’s software platform. While management previously believed the developed technology possessed value that would be recognized by market participants and supported by anticipated customer adoption and commercialization opportunities, those assumptions did not materialize during the current period. Specifically, anticipated contract activity and commercialization milestones were delayed or did not occur as expected, resulting in a reassessment of recoverability and the recognition of a full impairment charge.
Current report
Highlights and Achievements
Current report
We generated revenue of $11,258 during the three months ended April 30, 2026, compared to no revenue during the three months ended April 30, 2025. The revenue was generated from contracts with customers for our multimodal AI safety solutions as we began to commercialize our products during the current period.
Current report
Cost of Revenue
Current report
Cost of revenue was $39,271 during the three months ended April 30, 2026, compared to no cost of revenue during the three months ended April 30, 2025. Cost of revenue consists primarily of the direct costs of delivering our solutions during the initial commercialization of our products. We expensed these direct installation costs as this was our first customer, however we expect future costs like these will be borne by the customer, and do not expect to have margin losses going forward.
Current report
Gross Margin
Current report
We recognized a gross margin loss of $28,013 during the three months ended April 30, 2026, compared to no gross margin during the three months ended April 30, 2025. The negative gross margin reflects the early stage of our commercialization efforts, during which the direct costs of delivering our initial contracts exceeded the related revenue recognized.
Current report
Other- Other expenses decreased $10,379, or 98%, compared to the prior-year period due to decreases in office expense activity over the same period in the prior year.
Current report
Extinguishment of liabilities - Extinguishment of liabilities decreased $113,645 over the same period in the prior year due to holders exchanging 5% Convertible Promissory Notes plus accrued interest through the conversion date at a conversion price of $0.50 per share during 2025, the settlement of the Note Payable to Acorn Management Partners in 2025 offset by a loss for the unamortized issuance costs from Platinum.
Current report
Nine Months Ending April 30, 2026 Compared to the Nine Months Ending April 30, 2025
Current report
We generated revenue of $11,258 during the nine months ended April 30, 2026, compared to no revenue during the nine months ended April 30, 2025. The revenue was generated from contracts with customers for our multimodal AI safety solutions as we began to commercialize our products during the current period.
Current report
Cost of Revenue
Current report
Cost of revenue was $39,271 during the nine months ended April 30, 2026, compared to no cost of revenue during the nine months ended April 30, 2025. Cost of revenue consists primarily of the direct costs of delivering our solutions during the initial commercialization of our products.
Current report
Gross Margin
Current report
We recognized a gross margin loss of $28,013 during the nine months ended April 30, 2026, compared to no gross margin during the nine months ended April 30, 2025. The negative gross margin reflects the early stage of our commercialization efforts, during which the direct costs of delivering our initial contracts exceeded the related revenue recognized.
Current report
*Impairment of intangibles –*Impairment of intangibles increased $1,176,355 compared to the prior-year period. We recognized a $1,222,580 impairment charge during the current period related to capitalized in-process software development costs, compared to a $46,225 charge in the prior-year period.
Current report
Extinguishment of liabilities - Extinguishment of liabilities decreased $113,645 over the same period in the prior year due to holders exchanging 5% Convertible Promissory Notes plus accrued interest through the conversion date at a conversion price of $0.50 per share during 2025, the settlement of the Note Payable to Acorn Management Partners in 2025 offset by a loss for the unamortized issuance costs from Platinum.
Current report
The accompanying consolidated financial statements have been prepared in conformity with U.S. GAAP, which contemplates continuation of the Company as a going concern. The Company had net losses of $6,209,993 for the nine months ended April 30, 2026 and $3,261,217 for the nine months ended April 30, 2025. The Company currently maintains positive working capital; however, recurring losses, an accumulated deficit, and negative cash flows from operations raise substantial doubt regarding the Company’s ability to continue as a going concern.
Current report
In view of these matters, our ability to continue as a going concern is dependent upon the continuing marketing and sales of our product to achieve a level of profitability. We intend to finance our future development activities and our working capital needs from the sale of private and public equity securities with possible additional funding from other traditional financing sources, including term notes, until such time that funds provided by operations are sufficient to fund working capital requirements. There is no assurance funding will be available at this time or at acceptable terms, however. Although the Company believes in the viability of management’s strategy to generate sufficient revenue, control costs and the ability to raise additional capital, there can be no assurances to that effect. Therefore, the accompanying consolidated financial statements have been prepared assuming that the Company will continue as a going concern. The consolidated financial statements do not include any adjustments relating to the recoverability and classification of recorded assets, or the amounts and classifications of liabilities that might be necessary should we be unable to continue as a going concern.
Current report
The Company expects that its cash and cash equivalents of $1.7 million as of April 30, 2026 will not be sufficient to fund its operating expenses and capital expenditures for the 12 months from the issuance of these financial statements.
Current report
Liquidity
Current report
The following table summarizes our liquidity position as of April 30, 2026 and July 31, 2025:
Current report
Our total liabilities as of April 30, 2026 increased $679,222 as compared to July 31, 2025. The increase is primarily due to the recognition of operating lease obligations during the current period.
Current report
Critical Accounting Estimates
Current report
We consider an accounting estimate to be critical if: (i) the accounting estimate requires us to make assumptions about matters that were highly uncertain at the time the accounting estimate was made, and (ii) changes in the estimate that are reasonably likely to occur from period to period or use of different estimates that we reasonably could have used in the current period, would have a material impact on our financial condition or results of operations. There are items within our financial statements that require estimation but are not deemed critical, as defined above.
Current report
For a detailed discussion of our significant accounting policies and related judgments, see Note 1 of the Notes to Consolidated Financial Statements in “Item 8. Financial Statements and Supplementary Data” of this report.
Removed paragraphs (46)
Previous report
Our business did not produce revenue during the three-month periods ending January 31, 2026 or 2025.
Previous report
Office expense- Office expense decreased $116 and in line with expenses in the same period in the prior year.
Previous report
Other- Other expenses decreased $66,609 or 394% over the same period in the prior period and primarily reflects the reclassification of $51,632 to selling, general and administration related to stock forfeitures from stock-based compensation.
Previous report
Six Months Ending January 31, 2026 Compared to the Six Months Ending January 31, 2025
Previous report
Our business did not produce revenue during the six-month periods ending January 31, 2026 and 2025.
Previous report
*Impairment of intangibles –*Impairment of intangibles decreased $46,225 compared to the prior-year period. There was no impairment expense recorded during the current period.
Previous report
Working Capital
Previous report
The following table summarizes our working capital for the six months ended January 31, 2026 and fiscal year ended July 31, 2025:
Previous report
Current liabilities for the period ending January 31, 2026 decreased $45,286 as compared to the fiscal year ended July 31, 2025. The decrease is primarily due to decreases in accounts payable and accrued expenses over the comparable period.
Previous report
Critical Accounting Policies and Estimates
Previous report
Our consolidated financial statements and related public financial information are based on the application of U.S. GAAP. U.S. GAAP requires the use of estimates; assumptions, judgments and subjective interpretations of accounting principles that have an impact on the assets, liabilities, revenues and expense amounts reported. These estimates can also affect supplemental information contained in our external disclosures including information regarding contingencies, risk and financial condition. We believe our use of estimates and underlying accounting assumptions adhere to U.S. GAAP and are consistently and conservatively applied. We base our estimates on historical experience and on various other assumptions that we believe to be reasonable under the circumstances. Actual results may differ materially from these estimates under different assumptions or conditions. We continue to monitor significant estimates made during the preparation of our financial statements.
Previous report
Our significant accounting policies are summarized in Note 1 of our consolidated financial statements.
Previous report
We believe the following critical policies impact our more significant judgments and estimates used in preparation of our consolidated financial statements.
Previous report
Business Combinations
Previous report
We account for business combinations under the acquisition method of accounting. The acquisition method requires that the acquired assets and liabilities, including contingencies, be recorded at fair value determined on the acquisition date and that changes thereafter be reflected in income (loss). The estimation of fair values of the assets and liabilities assumed involves several estimates and assumptions that could differ materially from the actual amounts recorded. The results of the acquired businesses are included in our results from operations beginning from the day of acquisition.
Previous report
Risk and Uncertainties
Previous report
Factors that could affect our future operating results and cause actual results to vary materially from management’s expectation include, but are not limited to: our ability to maintain and secure adequate capital to fund our operations and fully develop our product(s); our ability to source strong opportunities with sufficient risk adjusted returns; acceptance of the terms and conditions of our licenses and/or the acceptance of our royalties and fees; the nature and extent of competition from other companies that may reduce market share and create pressure on pricing and investment return expectations; changes in the projects in which we plan to invest which result from factors beyond our control, including, but not limited to, a change in circumstances, capacity and economic impacts; changes in laws, regulations, accounting, taxation, and other requirements affecting our operations and business. Negative developments in these or other risk factors could have a significant adverse effect on our financial position, results of operations and cash flows.
Previous report
Use of Estimates
Previous report
Fair Value of Financial Instruments
Previous report
Fair value is defined as the price that would be received to sell an asset, or paid to transfer a liability, in an orderly transaction between market participants. A fair value hierarchy has been established for valuation inputs that gives the highest priority to quoted prices in active markets for identical assets or liabilities and the lowest priority to unobservable inputs. The fair value hierarchy is as follows:
Previous report
Level 1 Inputs - Unadjusted quoted prices in active markets for identical assets or liabilities that the reporting entity can access at the measurement date.
Previous report
Level 2 Inputs - Inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly or indirectly. These might include quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the asset or liability (such as interest rates, volatilities, prepayment speeds, credit risks, etc.) or inputs that are derived principally from or corroborated by market data by correlation or other means.
Previous report
Level 3 Inputs - Unobservable inputs for determining the fair values of assets or liabilities that reflect an entity’s own assumptions about the assumptions that market participants would use in pricing the assets or liabilities.
Previous report
Financial instruments consist of cash and cash equivalents, accounts receivable, accounts payable and borrowings. The fair value of current financial assets and current financial liabilities approximates their carrying value because of the short-term maturity of these financial instruments.
Previous report
Intangible Assets
Previous report
Intangible assets consist of patents, our website, and the costs of software developed for internal use. Certain payroll and stock-based compensation costs incurred are allocated to the intangible assets. We determine the amount of costs to be capitalized based on the time spent by employees or outside contractors on the projects. Intangible assets are amortized over their expected useful life on a straight-line basis. We evaluate the useful lives of these assets on an annual basis and test for impairment whenever events or changes in circumstances occur that could impact the recoverability of these assets. If the estimate of an intangible asset’s remaining life is changed, the remaining carrying value of the intangible asset is amortized prospectively over the revised remaining useful life.
Previous report
Impairment of Long-Lived Assets
Previous report
Long-lived assets such as property, equipment, and identifiable intangibles are reviewed for impairment at least annually or whenever facts and circumstances indicate that the carrying value may not be recoverable. When required, impairment losses on assets to be held and used are recognized based on the fair value of the asset. The fair value is determined based on estimates of future cash flows, market value of similar assets, if available, or independent appraisals, if required. If the carrying amount of the long-lived asset is not recoverable, an impairment loss is recognized for the difference between the carrying amount and fair value of the asset.
Previous report
Derivative Liability
Previous report
Options, warrants, convertible notes, or other contracts, if any, are evaluated to determine if those contracts, or embedded components of those contracts, qualify as derivatives to be separately accounted for in accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 815,“Derivatives and Hedging,” (paragraph 815-10-05-4 and Section 815-40-25). The result of this accounting treatment is that the fair value of the embedded derivative is marked-to-market each balance sheet date and recorded as either an asset or a liability. The change in fair value is recorded in the consolidated statements of operations as other income or expense. Upon conversion, exercise or cancellation of a derivative instrument, the instrument is marked to fair value at the date of conversion, exercise, or cancellation and then the related fair value is reclassified to equity.
Previous report
In circumstances where the embedded conversion option in a convertible instrument is required to be bifurcated, and there are also other embedded derivative instruments in the convertible instrument that are required to be bifurcated, the bifurcated derivative instruments are accounted for as a single, compound derivative instrument.
Previous report
The classification of derivative instruments, including whether such instruments should be recorded as liabilities or as equity, is re-assessed at the end of each reporting period. Equity instruments that are initially classified as equity that become subject to reclassification are reclassified to liability at the fair value of the instrument on the reclassification date. Derivative instrument liabilities will be classified in the balance sheet as current or non-current based on whether or not net-cash settlement of the derivative instrument is expected within 12 months of the balance sheet date.
Previous report
The Company adopted Section 815-40-15 of the FASB ASC*(“Section 815-40-15”)*to determine whether an instrument (or an embedded feature) is indexed to the Company’s own stock. Section 815-40-15 provides that an entity should use a two- step approach to evaluate whether an equity-linked financial instrument (or embedded feature) is indexed to its own stock, including evaluating the instrument’s contingent exercise and settlement provisions.
Previous report
We utilize a binomial option pricing model to compute the fair value of the derivative liability and to mark to market the fair value of the derivative at each balance sheet date. We record the change in the fair value of the derivative as other income or expense in the consolidated statements of operations.
Previous report
Related Parties
Previous report
The Company follows subtopic ASC 850-10 for the identification of related parties and disclosure of related party transactions. Pursuant to Section 850-10-20, the related parties include: (a) affiliates of the Company (“Affiliate” means, with respect to any specified person, any other person that, directly or indirectly through one or more intermediaries, controls, is controlled by or is under common control with such person, as such terms are used in and construed under Rule 405 under the Securities Act); (b) entities for which investments in their equity securities would be required, absent the election of the fair value option under the Fair Value Option Subsection of Section 825-10-15, to be accounted for by the equity method by the investing entity; (c) trusts for the benefit of employees, such as pension and profit-sharing trusts that are managed by or under the trusteeship of management; (d) principal owners of the Company; (e) management of the Company; (f) other parties with which the Company may deal if one party controls or can significantly influence the management or operating policies of the other to an extent that one of the transacting parties might be prevented from fully pursuing its own separate interests; and (g) other parties that can significantly influence the management or operating policies of the transacting parties or that have an ownership interest in one of the transacting parties and can significantly influence the other to an extent that one or more of the transacting parties might be prevented from fully pursuing its own separate interests.
Previous report
Contract Liabilities
Previous report
The Company receives payments from customers based upon contractual billing schedules. Contract liabilities include payments received in advance of performance under the contract. Contract assets include amounts related to the Company’s contractual right to consideration for completed performance obligations not yet invoiced. Our contract assets and liabilities are reported on an individual contract basis at the end of each reporting period. Contract liabilities are classified as current or noncurrent based on the timing of when we expect to recognize revenue. The Company expects to recognize all outstanding contract liabilities over the next 12 months.
Previous report
Contract Combination
Previous report
The Company may execute more than one contract or agreement with a single customer. The Company evaluates whether the agreements were negotiated as a package with a single objective, whether the amount of consideration to be paid in one agreement depends on the price and/or performance of another agreement, or whether the goods or services promised in the agreements represent a single performance obligation. The conclusions reached can impact the allocation of the transaction price to each performance obligation and the timing of revenue recognition related to those arrangements. The Company applied the revenue model to a portfolio of contracts with similar characteristics where we expected that the financial statements would not differ materially from applying it to the individual contracts within that portfolio.
Showing the first 40 of 46 passages. Open the source sections for the rest.
Reworded paragraphs (43)
Previous wording
As of the date of this filing, the Company has approximately $2,900,000 in cash and cash equivalents from recent private placements. Management believes this adequately supports the Company’s five-year strategic plan enabling strategic initiatives, such as acquisitions, investments in advanced AI technology, and the expansion of its technology development team. SafeSpace Global Corporation remains committed to driving innovation in healthcare technology, with a focus on solutions that enhance safety, efficiency, and patient outcomes across various care settings.
Current wording
As of the date of this filing, the Company has approximately $900,000 in cash and cash equivalents, including amounts from recent private placements. While management is actively pursuing additional capital raising activities, the proceeds raised to date are not expected to be sufficient to fully fund the Company’s operations and planned strategic initiatives, including investments in advanced AI technology and the expansion of its technology development team, over the next five years. The Company’s operations are primarily focused on the development and commercialization of technology solutions and are currently financed principally through equity capital activities rather than through a traditional operating cycle. As discussed in Note 2, the Company’s recurring losses, accumulated deficit, and negative cash flows from operations raise substantial doubt regarding the Company’s ability to continue as a going concern, and the Company’s ability to execute on its strategic plan will depend on its success in raising additional capital. Notwithstanding these conditions, SafeSpace Global Corporation remains committed to driving innovation in healthcare technology, with a focus on solutions that enhance safety, efficiency, and patient outcomes across various care settings.
Previous wording
Officers’ compensation - Officers’ compensation increased $204,096, or 145%, compared to the prior-year period. The increase was primarily attributable to higher executive compensation from the addition of executive leadership personnel and annual compensation increases.
Current wording
Officers’ compensation - Officers’ compensation increased $253,463, or 171%, compared to the prior-year period. The increase was primarily attributable to higher executive compensation from the addition of executive leadership personnel and annual compensation increases.
Previous wording
Salaries and wages – Salaries and wages increased $152,823 compared to the prior-year period, which had no comparable expense. The increase was primarily attributable to the addition of finance, accounting, and administrative personnel during the current quarter.
Current wording
Salaries and wages – Salaries and wages increased $201,882, or 426%, compared to the prior-year period. The increase was primarily attributable to the addition of finance, accounting, and administrative personnel during the current quarter.
Previous wording
Bonuses and incentives – Bonuses and incentives increased $25,957 compared to the prior-year period, which had no comparable expense. The increase reflects performance-based incentive compensation recognized during the current quarter.
Current wording
Bonuses and incentives – Bonuses and incentives decreased $102,442, or 84%, compared to the prior-year period. The decrease reflects lower performance-based incentive compensation recognized during the current quarter.
Previous wording
Contract labor – Contract labor increased $122,436, or 396%, compared to the prior-year period. The increase was primarily attributable to the engagement of contract operational, finance, accounting, and administrative personnel to support expanded business activities.
Current wording
Contract labor – Contract labor increased $123,954, or 129%, compared to the prior-year period. The increase was primarily attributable to the engagement of contract operational, finance, accounting, and administrative personnel to support expanded business activities.
Previous wording
*Professional Fees -*Professional fees increased $166,329, or 344%, compared to the prior-year period. The increase was primarily due to higher legal, accounting, and IT support fees incurred during the current quarter.
Current wording
*Professional Fees -*Professional fees decreased $33,387, or 17%, compared to the prior-year period. The decrease was primarily due to lower legal, accounting, and IT support fees incurred during the current quarter.
Previous wording
*Insurance -*Insurance expense increased to $88,748 compared to the prior-year period, which had no comparable expense. The increase reflects the addition of corporate insurance policies, including directors’ and officers’ insurance, as well as other business coverage obtained during the current period.
Current wording
*Insurance -*Insurance expense increased $71,407, or 476%, compared to the prior-year period. The increase reflects the addition of corporate insurance policies, including directors’ and officers’ insurance, as well as other business coverage obtained during the current period.
Previous wording
Software Development – Software development expenses decreased $28,886, or 74%, compared to the prior-year period. The decrease was primarily attributable to the capitalization of certain in-process development project costs during the current quarter.
Current wording
Software Development – Software development expenses increased $529,516, or 695%, compared to the prior-year period. The increase was primarily attributable to expanded software development activities during the current quarter.
Previous wording
Sales support – Sales support expenses increased $14,270 compared to the prior-year period, which had no comparable expense. The increase reflects the addition of sales support activities during the current quarter.
Current wording
Sales support – Sales support expenses decreased $36,667, or 72%, compared to the prior-year period. The decrease reflects reduced sales support activities during the current quarter.
Previous wording
*Travel and entertainment –*Travel and entertainment expense increased $29,763, or 49%, compared to the prior-year period. The increase was primarily due to increased business travel by senior management and business development personnel.
Current wording
*Travel and entertainment –*Travel and entertainment expense increased $60,957, or 93%, compared to the prior-year period. The increase was primarily due to increased business travel by senior management and business development personnel.
Previous wording
*Advertising and Marketing -*Advertising and marketing expense decreased $40,105, or 55%, compared to the prior-year period. The decrease reflects reduced marketing campaigns and promotional activities during the current quarter.
Current wording
*Advertising and Marketing -*Advertising and marketing expense decreased $5,058, or 7%, compared to the prior-year period. The decrease reflects reduced marketing campaigns and promotional activities during the current quarter.
Previous wording
Rent expense – Rent expense increased $15,221, or 98%, compared to the prior-year period. The increase was primarily due to the addition of rent expense from space in the Nashville area recognized during the current quarter.
Current wording
Rent expense – Rent expense increased $51,963, or 250%, compared to the prior-year period. The increase was primarily due to the addition of rent expense from space in the Nashville area recognized during the current quarter.
Previous wording
*Stock-based Compensation -*Stock-based compensation expense decreased $466,930, or 75%, compared to the prior-year period. The decrease was primarily attributable to the forfeiture and cancellation of certain restricted stock awards during the current quarter.
Current wording
*Stock-based Compensation -*Stock-based compensation expense decreased $208,574, or 57%, compared to the prior-year period. The decrease was primarily attributable to the forfeiture and cancellation of certain restricted stock awards during the current quarter.
Previous wording
Amortization expense- Amortization expense decreased $122,908, or 99%, compared to the prior-year period. The decrease was primarily due to the full amortization of previously capitalized software development costs.
Current wording
Amortization expense- Amortization expense decreased $121,312, or 99%, compared to the prior-year period. The decrease was primarily due to the full amortization of previously capitalized software development costs.
Previous wording
Depreciation expense- Depreciation expense increased $9,505 compared to the prior year period, which had no comparable expense. The increase reflects property and equipment placed in service during the current period.
Current wording
Depreciation expense- Depreciation expense increased $1,448 compared to the prior-year period, which had no comparable expense. The increase reflects property and equipment placed in service during the current period.
Previous wording
*Impairment of intangibles –*Impairment of intangibles decreased $30,547 compared to the prior-year period. There was no impairment expense recorded during the current quarter.
Current wording
*Impairment of intangibles –*Impairment of intangibles increased $1,222,580 compared to the prior-year period. We recognized a $1,222,580 impairment charge during the current quarter related to capitalized in-process software development costs.
Previous wording
Interest Expense - Interest expense decreased $17,700 over the prior year. Interest expense decreased due to the payoff of all outstanding debt.
Current wording
Interest Expense - Interest expense decreased $6,872 over the prior year. Interest expense decreased due to the payoff of all outstanding debt.
Previous wording
Interest income - Interest income increased $42,101 for the three months ended January 31, 2026, resulting from interest earned from our outstanding cash balances. We had no interest income during the three months ending January 31, 2025.
Current wording
Interest income - Interest income increased $16,039 for the three months ended April 30, 2026, resulting from interest earned from our outstanding cash balances, compared to $7,367 of interest income during the three months ended April 30, 2025.
Previous wording
The table below presents a comparison of our operating expenses for the six months ending January 31, 2026 and 2025:
Current wording
The table below presents a comparison of our operating expenses for the nine months ending April 30, 2026 and 2025:
Previous wording
Officers’ compensation - Officers’ compensation increased $374,845, or 135%, compared to the prior year period. The increase was primarily attributable to higher executive compensation resulting from the addition of executive leadership personnel and annual compensation increases during the current period.
Current wording
Officers’ compensation - Officers’ compensation increased $628,309, or 147%, compared to the prior year period. The increase was primarily attributable to higher executive compensation resulting from the addition of executive leadership personnel and annual compensation increases during the current period.
Previous wording
Salaries and wages – Salaries and wages increased $306,029 compared to the prior year period, which had no comparable expense. The increase was primarily attributable to the conversion of certain contract personnel to employee status and the addition of finance, accounting, and administrative personnel to support expanded operations during the current period.
Current wording
Salaries and wages – Salaries and wages increased $507,911, or 1,073%, compared to the prior year period. The increase was primarily attributable to the conversion of certain contract personnel to employee status and the addition of finance, accounting, and administrative personnel to support expanded operations during the current period. The Company employed 32 employees as of April 30, 2026, as compared to 32 employees on April 30, 2025.
Previous wording
Bonuses and incentives – Bonuses and incentives increased $40,957 compared to the prior year period, which had no comparable expense. The increase reflects performance-based incentive compensation recognized during the current period.
Current wording
Bonuses and incentives – Bonuses and incentives decreased $61,485, or 50%, compared to the prior year period. The decrease reflects lower performance-based incentive compensation recognized during the current period.
Previous wording
Contract labor – Contract labor increased $200,927, or 300%, compared to the prior year period. The increase was primarily attributable to the engagement of independent contractors to support operational, administrative, and development initiatives during the current period.
Current wording
Contract labor – Contract labor increased $324,881, or 200%, compared to the prior year period. The increase was primarily attributable to the engagement of independent contractors to support operational, administrative, and development initiatives during the current period.
Previous wording
*Professional Fees -*Professional fees increased $347,105, or 288%, compared to the prior year period. The increase was primarily due to higher legal, accounting, and IT support fees, including costs associated with regulatory compliance and reporting requirements during the current period.
Current wording
*Professional Fees -*Professional fees increased $313,718, or 101%, compared to the prior year period. The increase was primarily due to higher legal, accounting, and IT support fees, including costs associated with regulatory compliance and reporting requirements during the current period.
Previous wording
*Insurance -*Insurance expense increased to $157,611 compared to the prior year period, which had no comparable expense. The increase reflects the addition of corporate insurance policies, including directors’ and officers’ insurance, as well as other business coverage obtained during the current period.
Current wording
*Insurance -*Insurance expense increased $229,018, or 1,527%, compared to the prior year period. The increase reflects the addition of corporate insurance policies, including directors’ and officers’ insurance, as well as other business coverage obtained during the current period.
Previous wording
Software Development – Software development expenses decreased $51,814, or 71%, compared to the prior year period. The decrease was primarily attributable to the capitalization of certain in-process development project costs and changes in the timing of development activities during the current period.
Current wording
Software Development – Software development expenses increased $477,702, or 321%, compared to the prior year period. The increase was primarily attributable to expanded software development activities during the current period.
Previous wording
Sales support – Sales support expenses increased $17,060 compared to the prior year period, which had no comparable expense. The increase reflects expanded sales support activities during the current period.
Current wording
Sales support – Sales support expenses decreased $19,607, or 39%, compared to the prior year period. The decrease reflects reduced sales support activities during the current period.
Previous wording
*Travel and entertainment –*Travel and entertainment expense increased $94,729, or 111%, compared to the prior year period. The increase was primarily due to increased business travel by senior management and expanded business development efforts during the current period.
Current wording
*Travel and entertainment –*Travel and entertainment expense increased $155,686, or 103%, compared to the prior year period. The increase was primarily due to increased business travel by senior management and expanded business development efforts during the current period.
Previous wording
*Advertising and Marketing -*Advertising and marketing expenses decreased $15,673, or 17%, compared to the prior year period. The decrease reflects reduced marketing campaigns and promotional activities during the current period.
Current wording
*Advertising and Marketing -*Advertising and marketing expenses decreased $20,731, or 13%, compared to the prior year period. The decrease reflects reduced marketing campaigns and promotional activities during the current period.
Previous wording
Rent expense – Rent expense increased $35,782, or 140%, compared to the prior-year period. The increase was primarily due to the addition of leased office space and rent expense from space in the Nashville area during the current period.
Current wording
Rent expense – Rent expense increased $87,745, or 189%, compared to the prior-year period. The increase was primarily due to the addition of leased office space and rent expense from space in the Nashville area during the current period.
Previous wording
Office expense- Office expense increased $28,557, or 50%, compared to the prior year period. The increase reflects higher general office-related costs associated with expanded operations during the current period.
Current wording
Office expense- Office expense increased $67,822, or 86%, compared to the prior year period. The increase reflects higher general office-related costs associated with expanded operations during the current period.
Previous wording
Other- Other expenses decreased $13,256, or 77%, compared to the prior year period. The decrease reflects lower miscellaneous operating expenses during the current period.
Current wording
Other- Other expenses increased $27,996, or 101%, compared to the prior year period. The increase reflects higher miscellaneous operating expenses during the current period.
Previous wording
*Stock-based Compensation -*Stock-based compensation expense decreased $377,385, or 19%, compared to the prior year period. The decrease reflects lower expense recognized during the current period due to the forfeiture, cancellation, or near completion of amortization of certain equity awards granted in prior periods.
Current wording
*Stock-based Compensation -*Stock-based compensation expense decreased $637,592, or 51%, compared to the prior year period. The decrease reflects lower expense recognized during the current period due to the forfeiture, cancellation, or near completion of amortization of certain equity awards granted in prior periods.
Previous wording
Amortization expense- Amortization expense decreased $176,573, or 99%, compared to the prior year period. The decrease was primarily due to the full amortization of previously capitalized software development costs.
Current wording
Amortization expense- Amortization expense decreased $297,885, or 99%, compared to the prior year period. The decrease was primarily due to the full amortization of previously capitalized software development costs.
Previous wording
Depreciation expense- Depreciation expense increased $9,505 compared to the prior-year period, which had no comparable expense. The increase reflects property and equipment placed in service during the current quarter.
Current wording
Depreciation expense- Depreciation expense increased $10,953 compared to the prior year period, which had no comparable expense. The increase reflects property and equipment placed in service during the current period.
Previous wording
The table below presents a comparison of our other income (expense) for the six months ended January 31, 2026 and 2025:
Current wording
The table below presents a comparison of our other income (expense) for the nine months ended April 30, 2026 and 2025:
Previous wording
Interest Expense - Interest expense decreased $31,637 over the same period in the prior year due to a decrease in the average outstanding debt balance during this same period in the prior period.
Current wording
Interest Expense - Interest expense decreased $38,509 over the same period in the prior year due to a decrease in the average outstanding debt balance during this same period in the prior period.
Previous wording
Interest income - Interest income increased $109,130 for the six months ended January 31, 2026, resulting from interest earned from our outstanding cash balances. We had no interest income during the six months ended January 31, 2025.
Current wording
Interest income - Interest income increased $125,169 for the nine months ended April 30, 2026, resulting from interest earned from our outstanding cash balances, compared to $7,367 of interest income during the nine months ended April 30, 2025.
Previous wording
Current assets for the period ending January 31, 2026 decreased $3,680,277 as compared to the fiscal year ended July 31, 2025. The decrease is primarily due to $2,851,117 in operating expenses experienced during the current period.
Current wording
Our total current assets as of April 30, 2026 decreased $5,530,698 as compared to July 31, 2025. The decrease is primarily due to cash used to fund operating expenses and capital expenditures during the current period.
Previous wording
We currently do not have a revenue source and will continue to have negative cash flow from operations for the near future. The factors in determining operating cash flows are largely the same as those that affect net earnings, except for non-cash expenses such as depreciation and amortization, stock-based compensation, and impairment of intangibles, which affect earnings but do not affect operating cash flow. Net cash used by operating activities was $2,446,642 for the six months ending January 31, 2026, as compared to net cash used by operating activities of $873,002 for the comparable prior period. The increase in cash used by operating activities is primarily attributable to an increase in operating costs and the payment of accounts payable and accrued expenses, related party items.
Current wording
We currently do not have a strong revenue source and will continue to have negative cash flow from operations for the near future. The factors in determining operating cash flows are largely the same as those that affect net earnings, except for non-cash expenses such as depreciation and amortization, stock-based compensation, and impairment of intangibles, which affect earnings but do not affect operating cash flow. Net cash used by operating activities was $4,607,003 for the nine months ending April 30, 2026, as compared to net cash used by operating activities of $1,754,005 for the comparable prior period. The increase in cash used by operating activities is primarily attributable to an increase in operating costs and the payment of accounts payable and accrued expenses, related party items.
Showing the first 40 of 43 pairs. Open the source sections for the rest.
Rearranged current paragraphs (1)
Current report — wording carried from elsewhere
Office expense- Office expense increased $39,265, or 182%, compared to the prior-year period, reflecting higher general office-related costs associated with expanded operations.