STRATEGIC ACQUISITIONS INC /NV/

Previous wording

The discussion below pertains to our financial results for the three months ended March 31, 2023 and for the period commencing March 16, 2022, the date Exworth Union was formed and ending March 31, 2022. For a discussion and analysis of our financial condition and results of operations prior to the formation of Exworth Union please refer to filings made with the U.S. Securities and Exchange Commission before consummation of the Merger Agreement.

Current wording

The discussion below pertains to our financial results for the three and months ended June 30, 2025 and 2024. For a discussion and analysis of our financial condition and results of operations prior to the formation of Exworth Union please refer to filings made with the U.S. Securities and Exchange Commission before consummation of the Merger Agreement.

Previous wording

Interest income, our major source of income, was $nil and 8,679 for the three months ended March 31, 2025 and 2024. On July 10, 2024, Union collected its loan receivable of $1,374,691.

Current wording

Interest income, our major source of income, was $nil for the three and six months ended June 30, 2025, respectively, and $13,747 and $27,494 for the three and six months ended June 30, 2024, respectively.

Previous wording

Selling, general and administrative expenses for the three months ended March 31, 2025 and 2024 were $25,044 and $46,782, respectively. For the three months ended March 31, 2025 and 2024, it primarily includes legal, accounting and other professional expense related to company’s daily operation.

Current wording

Selling, general and administrative expenses for the three and six months ended June 30, 2025 were $2,547 and $27,591, respectively, and for the three and six months ended June 30, 2024 were $25,842 and $72,624, respectively. For the six months ended June 30, 2025 and 2024, it primarily includes legal, accounting and other professional expense related to company’s daily operation.

Previous wording

Interest expense for the three months ended March 31, 2025 and 2024 was nil and $8,679, respectively, incurred pursuant to a master loan agreement we entered with a U.S. based lender. The loan has a term of 24 months with quarterly interest-only payments with principal to be paid at maturity. No margin call was initiated by our lender during the period from inception of the loan to December 31, 2022. On July 12, 2024, Union repaid its note payable of $1,388,576.

Current wording

Interest expense was nil for the three and six months ended June 30, 2025, and $8,678 and $17,357 for the three and six months ended June 30, 2024, incurred pursuant to a master loan agreement we entered with a U.S. based lender. The loan has a term of 24 months with quarterly interest-only payments with principal to be paid at maturity. No margin call was initiated by our lender during the period from inception of the loan to December 31, 2022. On July 12, 2024, Union repaid its note payable of $1,388,576.

Previous wording

Our lender charged a 1% origination fee of the principal amount that we borrowed. The origination fee was deducted from the loan principal and will be amortized evenly through the loan term. Total amortization of loan origination fee for the three months ended March 31, 2025 and 2024 was $nil and 1,736, respectively. On July 12, 2024, Union repaid its note payable of $1,388,576.

Current wording

Our lender charged a 1% origination fee of the principal amount that we borrowed. The origination fee was deducted from the loan principal and will be amortized evenly through the loan term. Total amortization of loan origination fee for the three and six months ended June 30, 2025 was $0, and $1,735 and 3,471 for the three and six months ended June 30, 2024. On July 12, 2024, Union repaid its note payable of $1,388,576.

Previous wording

Our net loss was $25,044 and $43,450, respectively, for the three months ended March 31, 2025 and 2024, which was primarily driven by the increase in the price of the Bitcoin that we pledged to our lender. Among the more significant factors that may cause our net income to vary from period to period are: 1) the number of loans; 2) the interest rates that we charge our borrowers; 3) the interest rate that we pay to our lenders; 4) the fair market value of collateral held by us or pledged to our lenders; and 5) The allowance for loan loss of our loans. On July 10, 2024, Union collected its loan receivable of $1,374,691. On July 12, 2024, Union repaid its note payable of $1,388,576. On July 15, 2024, the 100 Bitcoins collateral was returned from the lender and returned to the borrower.

Current wording

Our net loss was $2,547 and $27,591, respectively, for the three and six months ended June 30, 2025, respectively, and $22,508 and $69,958, respectively, for the three and six months ended June 30, 2024, which was primarily driven by the increase in the price of the Bitcoin that we pledged to our lender. Among the more significant factors that may cause our net income to vary from period to period are: 1) the number of loans; 2) the interest rates that we charge our borrowers; 3) the interest rate that we pay to our lenders; 4) the fair market value of collateral held by us or pledged to our lenders; and 5) The allowance for loan loss of our loans. On July 10, 2024, Union collected its loan receivable of $1,374,691. On July 12, 2024, Union repaid its note payable of $1,388,576. On July 15, 2024, the 100 Bitcoins collateral was returned from the lender and returned to the borrower.

Previous wording

As of March 31, 2025 and December 31, 2024, we had cash of $6,287 and $23,281, respectively. The accompanying condensed financial statements have been prepared assuming that we will continue as a going concern. 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. To date, we have financed our operations through a private placement of equity raising approximately $350,000.

Current wording

As of June 30, 2025 and December 31, 2024, we had cash of $3,703 and $23,281, respectively. The accompanying condensed financial statements have been prepared assuming that we will continue as a going concern. 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. To date, we have financed our operations through a private placement of equity raising approximately $350,000.

Previous wording

The following summarizes key components of our cash flows for the three months ended March 31, 2025 and 2024:

Current wording

The following summarizes key components of our cash flows for the six months ended June 30, 2025 and 2024:

Previous wording

Net cash used in operating activities was $24,194 for the three months ended March 31, 2025. Cash consumed in operations reflects our net loss of $ (25,044), and changes in prepaid expense $864 and accounts payable and accrued expenses of $14.

Current wording

Net cash used in operating activities was $27,278 for the six months ended June 30, 2025. Cash consumed in operations reflects our net loss of $(27,591), and changes in prepaid expense $864 and accounts payable and accrued expenses of $551.

Previous wording

Net cash used in operating activities was $21,632 for the three months ended March 31, 2024. Cash consumed in operations reflects our net loss of $(43,450), and changes in prepaid expense $2,360 and accounts payable and accrued expenses of $22,443.

Current wording

Net cash used in operating activities was $57,389 for the six months ended June 30, 2024. Cash consumed in operations reflects our net loss of $(69,985), and changes in prepaid expense $7,098 and accounts payable and accrued expenses of $2,000.

Previous wording

There were no investing activities for the three months ended March 31, 2025 and 2024.

Current wording

There were no investing activities For the six months ended June 30, 2025 and 2024.

Previous wording

Net cash provided by financing activities was $7,200 and $3,120, respectively, for the three months ended March 31, 2025 and 2024, which related to the proceeds from Exworth Management for business operation.

Current wording

Net cash provided by financing activities was $7,200 and $13,120, respectively, For the six months ended June 30, 2025 and 2024, which related to the proceeds from Exworth Management for business operation.