Medicale Corp. Reports Reduced Net Loss and Decreased Operating Expenses for December 2025 Quarter

Medicale Corp. has reported its financial results for the three months ending December 31, 2025, revealing a net loss of $5,290, a significant reduction from the $16,680 loss recorded during the same period in 2024. The company attributed this improvement primarily to a decrease in operating expenses, which fell by 79% to $3,144 from $14,995 year-over-year. The reduction in expenses is largely due to lower audit fees, reflecting the company's ongoing efforts to streamline costs as it continues to develop its business model.

In terms of financial position, Medicale Corp. reported total current liabilities of $32,202 as of December 31, 2025, a slight decrease from $33,652 at the end of the previous fiscal period. The company has not generated any revenue to date and continues to operate at a loss, with an accumulated deficit now totaling $222,288. The working capital deficiency improved marginally, indicating a slight reduction in financial strain, although the company remains reliant on external financing to support its operations.

Medicale Corp. has not yet commenced any operational activities since its change in control in January 2023, when the majority shareholder sold shares to Magenta Acres, Inc. This acquisition has positioned Magenta Acres to control the company's strategic direction. The current management, led by CEO Chen Zu De, is focused on preserving cash and raising capital to fund future operations, which include plans to offer consulting services and distribute dietary supplements.

The company’s cash flow analysis indicates that net cash used in operating activities was $6,740 for the quarter, a decrease from $10,000 in the prior year, suggesting improved cash management. Financing activities provided $6,740 in cash, consistent with the previous year, as the company continues to issue convertible notes to cover operational expenses. As of the reporting date, Medicale Corp. had no cash on hand, underscoring the urgency of securing additional funding.

Looking ahead, Medicale Corp. acknowledges the substantial doubt regarding its ability to continue as a going concern without additional investment capital. Management is actively seeking to raise funds through capital markets to stabilize operations. However, the company has not provided specific timelines or strategies for achieving operational viability, leaving its future performance contingent on successful capital acquisition and execution of its business plan.