Exceed World, Inc. Files Q2 2024 10-Q

TL;DR

Exceed World (formerly Brilliant Acquisition) filed its 10-Q for March 31, 2024. Check financials.

AI Summary

Exceed World, Inc. filed its 10-Q for the period ending March 31, 2024. The company, formerly known as Brilliant Acquisition, Inc., is based in Osaka, Japan, and operates in the educational services sector. The filing covers financial information for the quarter and year-to-date periods, including comparative data from previous fiscal years.

Why It Matters

This filing provides investors with the latest financial performance and position of Exceed World, Inc., crucial for understanding its current operational health and future prospects.

Risk Assessment

Risk Level: low — This is a routine quarterly filing providing standard financial disclosures with no immediate red flags.

Key Numbers

• 2024-03-31 — Reporting Period End Date (Indicates the end of the financial quarter being reported.)
• 2024-05-20 — Filing Date (The date the 10-Q was officially submitted to the SEC.)
• 0930 — Fiscal Year End (Specifies the end of the company's fiscal year.)

Key Players & Entities

• Exceed World, Inc. (company) — Filer of the 10-Q
• Brilliant Acquisition, Inc. (company) — Former name of Exceed World, Inc.
• 20240331 (date) — End of the reporting period
• 20240520 (date) — Filing date
• 8200 (number) — Standard Industrial Classification code for Educational Services

FAQ

Key Financial Figures

• $26,000 — st of the Company at a consideration of $26,000. On September 26, 2018, the same date,
• $1 — any issued 12,700,000 common stock at US$1 each to Force Internationale. The resul
• $ — rrency is not US$ are translated into US$, using the exchange rate on the balance
• $641,890 — 2023, the Company's deferred income was $641,890 and $1,163,548 respectively. During the
• $1,163,548 — pany's deferred income was $641,890 and $1,163,548 respectively. During the six months end
• $544,911 — d income tax expenses of $ 472,131 and $544,911, respectively. Effective tax rate was 1

Filing Documents

• exceed_10q224o.htm (10-Q) — 456KB
• ex31.htm (EX-31) — 12KB
• ex32.htm (EX-32) — 8KB
• 0001599916-24-000136.txt ( ) — 2277KB
• exdw-20240331.xsd (EX-101.SCH) — 18KB
• exdw-20240331_cal.xml (EX-101.CAL) — 11KB
• exdw-20240331_def.xml (EX-101.DEF) — 16KB
• exdw-20240331_lab.xml (EX-101.LAB) — 145KB
• exdw-20240331_pre.xml (EX-101.PRE) — 108KB
• exceed_10q224o_htm.xml (XML) — 297KB

- FINANCIAL INFORMATION

PART I - FINANCIAL INFORMATION ITEM 1

FINANCIAL STATEMENTS - UNAUDITED

FINANCIAL STATEMENTS - UNAUDITED F1 CONSOLIDATED BALANCE SHEETS - UNAUDITED F1 CONSOLIDATED F2 CONSOLIDATED F3 CONSOLIDATED STATEMENTS OF CASH FLOWS - UNAUDITED F4 NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS F5-F6 ITEM 2

MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITIONS AND RESULTS OF OPERATIONS

MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITIONS AND RESULTS OF OPERATIONS 3 ITEM 3

QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK 3 ITEM 4

CONTROLS AND PROCEDURES

CONTROLS AND PROCEDURES 4

-OTHER INFORMATION

PART II-OTHER INFORMATION ITEM 1

LEGAL PROCEEDINGS

LEGAL PROCEEDINGS 5 ITEM 1A

RISK FACTORS

RISK FACTORS ITEM 2 UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS 5 ITEM 3 DEFAULTS UPON SENIOR SECURITIES 5 ITEM 4 MINE SAFETY DISCLOSURES 5 ITEM 5 OTHER INFORMATION 5 ITEM 6 EXHIBITS 5

SIGNATURES

SIGNATURES 6 -2- Table of Contents

- FINANCIAL INFORMATION

PART I - FINANCIAL INFORMATION ITEM 1

FINANCIAL STATEMENTS

FINANCIAL STATEMENTS EXCEED WORLD, INC. CONSOLIDATED BALANCE SHEETS (Unaudited) As of As of March 31, 2024 September 30, 2023 ASSETS Current Assets Cash $ 18,985,974 $ 18,165,169 Accounts receivable 52,329 49,860 Income tax recoverable - 587,663 Prepaid expenses 145,149 112,363 Inventories 1,269,374 1,759,542 Other current assets 1,814 411,343 TOTAL CURRENT ASSETS 20,454,640 21,085,940 Non-current Assets Property, plant and equipment, net 548,313 310,943 Software, net 122,569 189,431 Operating lease right-of-use assets 454,760 623,650 Other intangible assets, net 119,638 120,852 Long-term prepaid expenses 33,053 34,527 Deferred tax assets 549,715 675,000 Insurance funds 56,149 53,796 Security deposits 187,601 189,630 TOTAL NON-CURRENT ASSETS 2,071,798 2,197,829 TOTAL ASSETS $ 22,526,438 $ 23,283,769 LIABILITIES AND SHAREHOLDERS' EQUITY Current Liabilities Accounts payable $ 1,049,609 $ 642,483 Accrued expenses and other payables 694,281 592,740 Contingency liability 37,400 406,635 Income tax payable 343,871 436,448 Deferred income 641,890 1,163,548 Finance lease obligations, current 7,527 13,925 Operating lease liabilities, current 231,157 299,947 Due to related parties 1,882,300 1,640,160 Due to director 741,248 741,248 Other current liabilities 743,093 410,106 TOTAL CURRENT LIABILITIES 6,372,376 6,347,240 Non-current Liabilities Finance lease obligations, non-current 23,463 27,020 Operating lease liabilities, non-current 195,767 295,566 TOTAL NON-CURRENT LIABILITIES 219,230 322,586 TOTAL LIABILITIES 6,591,606 6,669,826 Shareholders' Equity Preferred stock ($ 0.0001 par value, 20,000,000 shares authorized; 0 issued and outstanding as of March 31, 2024 and September 30, 2023) - - Common stock ($ 0.0001 par value, 500,000,000 shares authorized

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS AS OF March 31, 2024 (UNAUDITED) NOTE 1 - ORGANIZATION, DESCRIPTION OF BUSINESS AND BASIS OF PRESENTATION Exceed World, Inc. (the "Company"), was incorporated under the laws of the State of Delaware on November 25, 2014. On September 26, 2018, e-Learning Laboratory Co., Ltd. ("e-Learning"), a direct wholly owned subsidiary of Force Internationale Holdings Limited, which was incorporated in Hong Kong with limited liability ("Force Holdings"), entered into a share purchase agreement with Force Internationale Limited ("Force Internationale"), the holding company of Force Holdings, in which e-Learning agreed to sell and Force Internationale agreed to purchase 74.5% equity interest of the Company at a consideration of $26,000. On September 26, 2018, the same date, Force Internationale entered into a share purchase agreement with the Company, in which Force Internationale agreed to sell and the Company agreed to purchase 100% equity interest of Force Holdings. In consideration of the agreement, the Company issued 12,700,000 common stock at US$1 each to Force Internationale. The results of these transactions are that Force Internationale is an 84.4% owner of the Company and the Company is a 100% owner of Force Holdings. On December 6, 2018, the Company entered into a share contribution agreement with Force Internationale. Under this agreement, the Company transferred 100% of the equity interest of School TV Co., Ltd. ("School TV"), to Force Internationale without consideration. This agreement was approved by the board of directors of the Company, Force Internationale and School TV. Upon the completion of the disposal, School TV was deconsolidated from the Company's consolidated financial statements. As of March 31, 2024, the Company operates through our wholly owned subsidiaries, which are engaged in provision of the educational services through an internet platform called "Force Club". The Company has elected Septemb

financial statements for the year ended September 30, 2023, included in our Form 10-K

financial statements for the year ended September 30, 2023, included in our Form 10-K. NOTE 2 - SIGNIFICANT ACCOUNTING POLICIES PRINCIPLES OF CONSOLIDATION The accompanying consolidated financial statements include the accounts of the Company and its subsidiaries. Inter-company accounts and transactions have been eliminated. USE OF ESTIMATES The presentation of financial statements and related disclosures in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities as the date of the financial statements and the reported amounts of revenue and expenses reported in those financial statements. Certain accounting policies that contain subjective management estimates and assumptions include those related to write-down in value of inventory, useful lives and impairment of long-lived assets and legal contingencies. Operating results in the future could vary from the amounts derived from management's estimates and assumptions. RELATED PARTY TRANSACTION A related party is generally defined as (i) any person that holds 10% or more of the Company's securities and their immediate families, (ii) the Company's management, (iii) someone that directly or indirectly controls, is controlled by or is under common control with the Company, or (iv) anyone who can significantly influence the financial and operating decisions of the Company. A transaction is considered to be a related party transaction when there is a transfer of resources or obligations between related parties. Transactions involving related parties cannot be presumed to be carried out on an arm's-length basis, as the requisite conditions of competitive, free market dealings may not exist. Representations about transactions with related parties, if made, shall not imply that the related party transactions were consummated on terms equivalent to those that prevail in arm's-leng

View Full Filing

View this 10-Q filing on SEC EDGAR