Global-Smart.Tech Narrows Losses, Initiates Cloud-Rendering Revenue

TL;DR

**GSMT is a high-risk microcap showing nascent revenue but still bleeding cash and relying on insider loans, making it a speculative bet at best.**

AI Summary

Global-Smart.Tech Inc. (GSMT) reported a net loss of $6,439 for the three months ended November 30, 2025, a significant improvement from the $57,858 net loss in the same period of 2024. For the six months ended November 30, 2025, the company's net loss was $53,115, down from $85,407 in the prior year. Revenue for the six months ended November 30, 2025, was $43,774, compared to $0 in the corresponding period of 2024, indicating a successful transition to cloud-rendering services. Operating expenses for the six months increased to $96,889 from $85,407 year-over-year, primarily driven by professional fees and depreciation. The company's cash balance decreased from $12,943 on May 31, 2025, to $9,177 on November 30, 2025. Total liabilities increased to $480,477 from $459,665, largely due to a $434,425 loan from related parties. GSMT has an accumulated deficit of $323,720 as of November 30, 2025, raising substantial doubt about its ability to continue as a going concern, despite generating initial revenue from its new business model.

Why It Matters

For investors, GSMT's ability to generate $43,774 in revenue from its new cloud-rendering services is a critical first step, but the persistent accumulated deficit of $323,720 and reliance on related-party loans for financing signal significant operational challenges and a high-risk profile. Employees and customers might see this revenue generation as a positive sign of business viability, yet the going concern warning indicates potential instability. In a competitive cloud-rendering market, GSMT's small scale and financial fragility make it vulnerable, suggesting it needs substantial external funding or rapid profitability to compete effectively and ensure long-term sustainability.

Risk Assessment

Risk Level: high — Global-Smart.Tech Inc. faces a high risk level due to its accumulated deficit of $323,720 as of November 30, 2025, and a net loss of $53,115 for the six months ended November 30, 2025. The company also used $15,279 in cash from operations during the same period, and its ability to continue as a going concern is dependent on future profitable operations or obtaining additional financing, which is not assured.

Analyst Insight

Investors should exercise extreme caution and consider GSMT a highly speculative investment. Monitor closely for significant increases in revenue and a clear path to profitability, as well as any new, non-related-party financing. Without these, the going concern risk remains paramount.

Financial Highlights

debt To Equity

N/A

revenue

$43,774

operating Margin

N/A

total Assets

$195,804

total Debt

$480,477

net Income

-$53,115

eps

N/A

gross Margin

N/A

cash Position

$9,177

revenue Growth

N/A

Revenue Breakdown

Key Numbers

• $43,774 — Revenue (Generated for the six months ended November 30, 2025, up from $0 in the prior year, marking the start of cloud-rendering service income.)
• $53,115 — Net Loss (For the six months ended November 30, 2025, an improvement from $85,407 in the same period of 2024, but still a significant loss.)
• $323,720 — Accumulated Deficit (As of November 30, 2025, indicating substantial historical losses and raising going concern doubts.)
• $15,279 — Cash Used in Operating Activities (For the six months ended November 30, 2025, highlighting continued cash burn from operations.)
• $434,425 — Loan from Related Parties (As of November 30, 2025, representing a primary source of financing and a significant liability.)
• $9,177 — Cash Balance (As of November 30, 2025, a decrease from $12,943 on May 31, 2025, indicating dwindling liquidity.)
• 6,134,780 — Common Shares Outstanding (As of December 30, 2025, reflecting recent share issuance for cash.)
• $7,203 — Proceeds from Sale of Common Stock (For the six months ended November 30, 2025, a small amount of equity financing.)

Key Players & Entities

• Global-Smart.Tech Inc. (company) — registrant
• Yehor Rodin (person) — Company's officer and director, related party lender
• SEC (regulator) — Securities and Exchange Commission
• $323,720 (dollar_amount) — accumulated deficit as of November 30, 2025
• $43,774 (dollar_amount) — revenue for the six months ended November 30, 2025
• $53,115 (dollar_amount) — net loss for the six months ended November 30, 2025
• $15,279 (dollar_amount) — cash used in operating activities for the six months ended November 30, 2025
• $434,425 (dollar_amount) — loan from related parties as of November 30, 2025
• Wyoming (company) — State of incorporation
• Montenegro (company) — Location of principal executive offices

FAQ

Risk Factors

• Going Concern Uncertainty [high — financial]: The company has an accumulated deficit of $323,720 as of November 30, 2025, and a decreasing cash balance of $9,177. This raises substantial doubt about its ability to continue as a going concern.
• Dependence on Related Party Loans [high — financial]: Total liabilities increased to $480,477, primarily due to a $434,425 loan from related parties. This significant reliance on related party financing poses a risk if these funds are not sustainable.
• Increasing Operating Expenses [medium — operational]: Operating expenses increased to $96,889 for the six months ended November 30, 2025, from $85,407 in the prior year, driven by professional fees and depreciation. This trend needs to be managed to achieve profitability.
• Negative Operating Cash Flow [medium — financial]: The company used $15,279 in cash for operating activities during the six months ended November 30, 2025, indicating continued cash burn from its core operations.
• New Business Model Adoption [medium — market]: The company is transitioning to cloud-rendering services. While initial revenue of $43,774 has been generated, the success and scalability of this new model are yet to be fully proven.
• Compliance with Regulations [low — regulatory]: The company will be required to comply with all regulations, rules, and directives of governmental authorities. Failure to comply could result in penalties or operational disruptions.

Industry Context

The cloud rendering market is experiencing growth driven by demand for high-quality visual content in industries like gaming, film, and design. Companies are increasingly adopting cloud-based solutions for their scalability and cost-effectiveness compared to on-premise infrastructure. GSMT aims to capitalize on this trend by targeting 3D interior designers and visualizers with its GPU-powered platform.

Regulatory Implications

As an emerging technology company, GSMT must adhere to various regulations, including data privacy laws and potentially industry-specific compliance standards. Failure to comply with these regulations could lead to fines, legal challenges, and reputational damage.

What Investors Should Do

1. Monitor cash burn and path to profitability.
2. Assess the sustainability of related party financing.
3. Evaluate the growth and customer adoption of cloud rendering services.
4. Watch for improvements in operating expense management.

Key Dates

• 2025-11-30: Reporting Period End — Marks the end of the six-month period for which financial results are reported, showing initial revenue generation but continued losses.
• 2025-05-31: Previous Balance Sheet Date — Provides a comparison point for the decrease in cash balance and increase in liabilities.
• 2024-11-30: Prior Year Period End — Used for year-over-year comparison of revenue and net loss, highlighting the shift to revenue generation.

Glossary

Accumulated Deficit

The total cumulative net losses of a company that have not been offset by net income. It represents a negative balance in retained earnings. (Indicates substantial historical losses for GSMT, raising concerns about its long-term viability.)

Going Concern

An accounting assumption that a business will continue to operate for the foreseeable future. If there is substantial doubt, it must be disclosed. (The company's financial condition raises substantial doubt about its ability to continue as a going concern.)

Cloud Rendering Services

A service where computing power (GPUs) is rented over the internet to perform complex 3D rendering tasks. (This is GSMT's new business model, which has started generating revenue.)

Loan from Related Parties

Debt owed to individuals or entities that have a close relationship with the company, such as founders or major shareholders. (A significant portion of GSMT's liabilities ($434,425) is from related parties, indicating a key financing source.)

Depreciation Expense

The systematic allocation of the cost of a tangible asset over its useful life. (A component of operating expenses that increased for GSMT, contributing to higher overall costs.)

Year-Over-Year Comparison

Compared to the prior year's six-month period, Global-Smart.Tech Inc. has successfully launched its cloud-rendering services, generating $43,774 in revenue, a significant improvement from $0. However, the company still reported a net loss of $53,115, albeit an improvement from $85,407. Operating expenses have risen to $96,889 from $85,407, primarily due to increased professional fees and depreciation. The cash position has declined from $12,943 to $9,177, and total liabilities have increased, largely driven by a substantial loan from related parties.

Key Financial Figures

• $0 — ompany recorded revenue of $ 43,774 and $0, respectively. Accounts receivable was
• $4,000 — 2025. Deferred revenue was $ 10,502 and $4,000, as of November 30, 2025 and May 31, 20
• $100,000 — whereby Mr. Rodin agreed to loan up to $100,000 on an unsecured and interest-free basis
• $300,000 — amended to increase the loan amount by $300,000, for a maximum loan amount of $400,000,
• $400,000 — $300,000, for a maximum loan amount of $400,000, and to change the maturity date to Oct
• $50,000 — amended to increase the loan amount by $50,000, for a maximum loan amount of $450,000,
• $450,000 — y $50,000, for a maximum loan amount of $450,000, and to change the maturity date to Apr
• $550,000 — $100,000, for a maximum loan amount of $550,000. As of November 30, 2025 Mr. Rodin was
• $434,425 — of November 30, 2025 Mr. Rodin was owed $434,425 under the loan agreement. During the si
• $0.001 — n shares authorized with a par value of $0.001 per share. During the six months ended

Filing Documents

• form10qgst30112025.htm (10-Q) — 260KB
• ex31.htm (EX-31.1) — 19KB
• ex32.htm (EX-32.1) — 6KB
• 0001940243-25-000038.txt ( ) — 1463KB
• none-20251130.xsd (EX-101.SCH) — 11KB
• none-20251130_cal.xml (EX-101.CAL) — 23KB
• none-20251130_def.xml (EX-101.DEF) — 13KB
• none-20251130_lab.xml (EX-101.LAB) — 105KB
• none-20251130_pre.xml (EX-101.PRE) — 75KB
• form10qgst30112025_htm.xml (XML) — 138KB

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 14 Item 3.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 17 Item 4.

Controls and Procedures

Controls and Procedures 17 PART II OTHER INFORMATION: Item 1.

Legal Proceedings

Legal Proceedings 18 Item 1A

Risk Factors

Risk Factors 18 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 18 Item 3. Defaults Upon Senior Securities 18 Item 4. Submission of Matters to a Vote of Securities Holders 18 Item 5. Other Information 18 Item 6. Exhibits 18

– FINANCIAL INFORMATION

PART I – FINANCIAL INFORMATION

Financial Statements

Item 1. Financial Statements The accompanying interim financial statements of GLOBAL-SMART.TECH INC. (the "Company", "we", "us" or "our"), have been prepared without audit pursuant to the rules and regulations of the Securities and Exchange Commission. Certain information and footnote disclosures normally included in financial statements prepared in accordance with United States generally accepted accounting principles have been condensed or omitted pursuant to such rules and regulations. The interim financial statements are condensed and should be read in conjunction with the Company's latest annual financial statements. In the opinion of management, the financial financial condition, results of operations, and cash flows of the Company for the interim periods presented. 4 GLOBAL-SMART.TECH INC. Condensed Balance Sheets November 30, 2025 May 31, 2025 (Unaudited) Assets Current Assets Cash $ 9,177 $ 12,943 Prepaid Expenses 34,060 18,295 Total Current Assets 43,237 31,238 Fixed Assets Equipment, net 150,117 186,516 Website Development, net 2,450 3,150 Total Fixed Assets 152,567 189,666 Total Assets $ 195,804 $ 220,904 Liabilities and Stockholders' Equity (Deficit) Current Liabilities Accounts Payable $ 10,000 $ - Accrued Salaries 25,550 25,550 Deferred Revenue 10,502 4,000 Loan from Related Parties 434,425 430,115 Total Current Liabilities 480,477 459,665 Total Liabilities 480,477 459,665 Stockholders' Equity (Deficit) Common Stock ($ 0.001 par value, 75,000,000 shares authorized; 6,134,780 and 5,894,680 shares issued and outstanding as of November 30, 2025 and May 31, 2025, respectively) 6,135 5,895 Additional Paid-in Capital 32,909 25,946 Accumulated Other Comprehensive Income 3 3 Accumulated Deficit ( 323,

Management's Discussion and Analysis

Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations Business Overview We are an emerging technology company incorporated under the laws of the state of Wyoming on April 15, 2022. As part of our business evolution, we are focusing on expanding our operations in cloud rendering. Our primary objective is the development of an advanced platform dedicated to 3D interior designers and visualizers. Leveraging the power of GPUs, our platform aims to transform the rendering process, delivering exceptional performance and revolutionizing the industry. Plan of Operations The Company's business model centers on cloud rendering services. We believe that revenue growth and long-term profitability can be achieved in the year 2025 and beyond by ensuring the technical performance of our cloud rendering platform remains highly cost-effective. As we continue to expand, the gradual growth of our cloud rendering will provide opportunities to increase revenue from the sale of rendering capacities. We generate revenue primarily through the sale of pricing plans for our cloud rendering services, which are provided through our online platform. Clients initiate a project request by contacting our team via the "Contacts" section of our website (https://global-smart.tech/contacts/). Following this initial contact, clients are required to submit a link to their project files stored in a cloud-based storage service. Once the files are received, our specialists conduct a comprehensive evaluation of the project. This includes analyzing the file contents, assessing data volume, scene complexity, and necessary rendering parameters. Based on this assessment, we recommend the most suitable pricing plan that aligns with the project's technical requirements and the client's needs. Our pricing plans vary based on the number of video cards (10, 25, or 40 GPUs) allocated to the rendering process, as well as the estimated rendering time, which starts at a mi

View Full Filing

View this 10-Q filing on SEC EDGAR