Fuse Group Holding Inc. Reports Significant Revenue Decline and Increased Net Loss for Six Months Ending March 31, 2025

Fuse Group Holding Inc. reported a significant decline in financial performance for the six months ending March 31, 2025, with total revenue of $19,942, a stark decrease from $119,786 in the same period the previous year. The company did not generate any revenue in the three months ending March 31, 2025, compared to $99,786 in the prior year. The gross profit for the six-month period was also down, reflecting the company's challenges in maintaining its consulting services, particularly in the hospitality sector, which accounted for all revenue during both periods.

Operating expenses for the first half of fiscal 2025 totaled $148,357, down from $194,243 in the previous year, primarily due to reduced general and administrative costs. The company reported a net loss of $131,421 for the six months ended March 31, 2025, compared to a loss of $79,865 for the same period in 2024. This increase in losses was attributed to a combination of lower revenues and ongoing operational costs, including interest expenses related to loans and convertible notes.

In terms of strategic developments, Fuse Group has been diversifying its business model, particularly by exploring opportunities in the catering and culinary consulting sectors. The company has also been involved in potential acquisitions, including a Letter of Intent with Beijing Catering Inc. to purchase its equity interest, although this deal has not yet been finalized. Additionally, the company is awaiting the completion of a share transfer related to its mining rights in Mexico, which is subject to government approval.

Operationally, Fuse Group's financial position has weakened, with total current assets dropping to $46,506 as of March 31, 2025, from $85,374 at the end of the previous fiscal year. Current liabilities increased significantly to $210,636, resulting in a working capital deficit of $164,130. The company has relied heavily on advances from its CEO, totaling $199,373, to meet its working capital needs. The decrease in cash and equivalents to $41,139 from $67,601 further underscores the company's liquidity challenges.

Looking ahead, Fuse Group's management has indicated the need to raise additional funds through private or public offerings or loans to sustain operations. The company acknowledges the uncertainty surrounding its ability to generate sufficient revenue and maintain liquidity, which raises substantial doubt about its ability to continue as a going concern. The management remains focused on implementing its business strategy and exploring financing options to improve its financial stability.