IMA Tech's Revenue Jumps 377%, But Going Concern Doubts Persist

TL;DR

**IMA Tech's revenue surge is a mirage; the company is burning cash and facing existential going concern doubts, making it a high-risk bet.**

AI Summary

IMA Tech reported a significant increase in revenue for the six months ended October 31, 2025, reaching $70,126, a substantial rise from $14,700 in the same period of 2024. Despite this revenue growth, the company incurred a net loss of $22,799 for the six months ended October 31, 2025, an improvement from a net loss of $29,976 in the prior year. The accumulated deficit since inception grew to $105,736 as of October 31, 2025, indicating ongoing financial challenges. Cash on hand drastically decreased to $598 as of October 31, 2025, from $4,500 on April 30, 2025. A key business change was the cancellation of 2,500,000 common shares held by CEO Liliia Havrykh during the six months ended October 31, 2025. The company continues to rely on loans from related parties, with Liliia Havrykh advancing an additional $22,020 during the period, bringing the total loan from related parties to $273,518. The filing explicitly states 'substantial doubt about the Company's ability to operate as a going concern' due to anticipated future losses and reliance on external funding.

Why It Matters

IMA Tech's substantial revenue growth of 377% year-over-year is a positive signal for investors, indicating increasing market acceptance for its AI-driven avatar technology. However, the persistent net losses and the explicit 'going concern' warning raise significant red flags, suggesting that operational profitability remains elusive. For employees, this signals potential instability, while customers might question the long-term viability of a company with such financial fragility. In the competitive AI avatar space, IMA Tech's struggle to achieve sustained profitability despite revenue gains could make it vulnerable to better-capitalized rivals, impacting its ability to innovate and scale.

Risk Assessment

Risk Level: high — The company explicitly states 'substantial doubt about the Company's ability to operate as a going concern' due to an accumulated deficit of $105,736 as of October 31, 2025, and anticipated future losses. Cash on hand is critically low at $598, a significant drop from $4,500 just six months prior, indicating rapid cash burn and reliance on related party loans, which totaled $273,518 from CEO Liliia Havrykh.

Analyst Insight

Investors should exercise extreme caution and avoid IMA Tech (IMAA) given the explicit going concern warning and critically low cash reserves. Potential investors should wait for clear evidence of sustained profitability and a robust, independent funding strategy before considering any investment.

Financial Highlights

debt To Equity

N/A

revenue

$70,126

operating Margin

-32.5%

total Assets

$210,526

total Debt

$278,966

net Income

($22,799)

eps

($0.01)

gross Margin

N/A

cash Position

$598

revenue Growth

+377%

Revenue Breakdown

Key Numbers

• $70.1K — Revenue (Increased 377% for six months ended Oct 31, 2025, from $14.7K in prior year.)
• ($22.8K) — Net Loss (Improved from ($29.9K) in prior year, but still a loss for six months ended Oct 31, 2025.)
• ($105.7K) — Accumulated Deficit (Increased as of Oct 31, 2025, indicating ongoing losses since inception.)
• $598 — Cash (Critically low cash balance as of Oct 31, 2025, down from $4.5K on April 30, 2025.)
• $273.5K — Loan from Related Parties (Significant reliance on related party funding as of Oct 31, 2025.)
• 2.5M — Common Shares Cancelled (Shares held by CEO Liliia Havrykh were returned and cancelled.)
• 2,609,878 — Common Shares Outstanding (As of December 12, 2025, after share cancellation.)
• 3,920,095 — Weighted Average Shares Outstanding (For six months ended Oct 31, 2025, for EPS calculation.)
• $28.5K — Amortization Expense (Consistent expense for six months ended Oct 31, 2025 and 2024.)
• $21.2K — Increase in Prepaid Expenses (Significant increase in prepaid expenses for six months ended Oct 31, 2025.)

Key Players & Entities

• IMA Tech (company) — registrant
• Liliia Havrykh (person) — President, Chief Executive Officer, Treasurer, Secretary, Director
• SEC (regulator) — Securities and Exchange Commission
• $70,126 (dollar_amount) — revenue for six months ended October 31, 2025
• $14,700 (dollar_amount) — revenue for six months ended October 31, 2024
• $22,799 (dollar_amount) — net loss for six months ended October 31, 2025
• $29,976 (dollar_amount) — net loss for six months ended October 31, 2024
• $105,736 (dollar_amount) — accumulated deficit as of October 31, 2025
• $598 (dollar_amount) — cash balance as of October 31, 2025
• $273,518 (dollar_amount) — total loan from related parties as of October 31, 2025

FAQ

Risk Factors

• Going Concern Uncertainty [high — financial]: The company explicitly states 'substantial doubt about the Company's ability to operate as a going concern' due to anticipated future losses and reliance on external funding. This is supported by a critical cash balance of $598 as of October 31, 2025, down from $4,500 on April 30, 2025.
• Accumulated Deficit [high — financial]: The accumulated deficit grew to $105,736 as of October 31, 2025. This indicates that the company has consistently incurred losses since its inception, highlighting ongoing financial challenges.
• Reliance on Related Party Loans [medium — financial]: The company heavily relies on loans from related parties, with Liliia Havrykh advancing an additional $22,020 during the period, bringing the total loan from related parties to $273,518 as of October 31, 2025. This concentration of debt poses a risk.
• Drastic Cash Reduction [high — operational]: Cash on hand decreased dramatically from $4,500 on April 30, 2025, to $598 as of October 31, 2025. This severe reduction in liquidity poses an immediate operational risk.
• Share Cancellation by CEO [medium — operational]: The cancellation of 2,500,000 common shares held by CEO Liliia Havrykh during the period is a significant event. While it reduces outstanding shares to 2,609,878, the underlying reasons and impact on governance need further scrutiny.
• Internet and Data Privacy Regulations [medium — regulatory]: The company is subject to various federal, state, and international laws concerning internet business, virtual currencies, data protection, and privacy, including data from minors. Future regulatory changes could significantly impact operations.
• Increasing Operating Expenses [medium — financial]: Total operating expenses for the six months ended October 31, 2025, were $92,925, a substantial increase from $44,676 in the prior year. This outpaced revenue growth in absolute terms, contributing to the net loss.
• Increase in Prepaid Expenses [low — financial]: Prepaid expenses saw a significant increase from $4,900 as of April 30, 2025, to $26,135 as of October 31, 2025. This could indicate future cash outflows or potential write-offs if not utilized.

Industry Context

IMA Tech operates in the digital avatar and website development space, offering customizable avatars and multilingual support. The industry is characterized by rapid technological advancements, evolving user engagement models, and increasing competition in the metaverse and virtual interaction platforms. Companies in this sector often face challenges related to user acquisition, content creation, and monetization strategies.

Regulatory Implications

The company is subject to a complex web of regulations governing internet businesses, data privacy (including for minors), virtual currencies, and blockchain technology. Compliance with these evolving laws, both domestically and internationally, presents ongoing challenges and potential liabilities. Changes in privacy laws or data protection regulations could significantly impact IMA Tech's operations and user base.

What Investors Should Do

1. Monitor Cash Burn Rate
2. Scrutinize Related Party Transactions
3. Evaluate Revenue Sustainability
4. Assess Operational Viability Post-Share Cancellation
5. Review Future Funding Plans

Key Dates

• 2025-10-31: End of Six-Month Period — Reporting period for the 10-Q, showing significant revenue growth but a continued net loss and critically low cash balance.
• 2025-04-30: Previous Balance Sheet Date — Indicates a substantial decrease in cash from $4,500 to $598 over the six-month period.
• 2025-10-31: Accumulated Deficit as of Date — Reached ($105,736), highlighting persistent losses since inception.
• 2025-10-31: Loan from Related Parties as of Date — Totaled $273,518, demonstrating ongoing reliance on funding from Liliia Havrykh.
• 2025-10-31: Common Shares Outstanding as of Date — 2,609,878 shares outstanding after CEO's share cancellation.
• 2024-10-31: Prior Year Six-Month Period End — Revenue was $14,700 and net loss was ($29,976), providing a baseline for comparison.

Glossary

Accumulated Deficit

The total net losses of a company since its inception, minus any net profits. It represents a negative balance in retained earnings. (Indicates the company has consistently operated at a loss, growing to ($105,736) as of October 31, 2025.)

Going Concern

An assumption that a company will continue to operate for the foreseeable future, typically at least 12 months. If there is substantial doubt, it must be disclosed. (The company explicitly states substantial doubt about its ability to continue as a going concern, a critical warning to investors.)

Related Parties

Entities or individuals that have the ability to control or significantly influence the financial or operating decisions of another entity. (IMA Tech relies heavily on loans from Liliia Havrykh, a related party, totaling $273,518.)

Amortization

The systematic allocation of the cost of an intangible asset over its useful life. (A consistent expense of $28,463 for the six-month periods, indicating stable intangible asset charges.)

Prepaid Expenses

Expenses that have been paid in advance but have not yet been incurred or consumed. (A significant increase to $26,135 from $4,900 suggests potential future cash outflows or unutilized services.)

Common Stock

Represents ownership in a corporation and typically carries voting rights. (The number of outstanding shares changed significantly due to the cancellation of 2,500,000 shares by the CEO.)

Intangible Assets, net

Non-physical assets that have value, such as patents, copyrights, and goodwill, net of accumulated amortization. (Represents a significant portion of the company's assets ($183,793), but has decreased from $212,256.)

Deferred Revenue

Revenue that has been received by a company for goods or services that have not yet been delivered or rendered. (A modest amount of $5,250, indicating some future revenue obligations.)

Year-Over-Year Comparison

Compared to the prior year's six-month period ended October 31, 2024, IMA Tech has experienced a dramatic revenue increase from $14,700 to $70,126, a growth of 377%. Despite this top-line surge, the company's net loss has narrowed but persists, standing at ($22,799) compared to ($29,976) in the prior year. Operating expenses have more than doubled, outpacing revenue growth in absolute terms. A critical concern is the drastic reduction in cash from $4,500 to $598, alongside an increasing accumulated deficit to ($105,736), reinforcing the 'going concern' warning. New risks related to increased prepaid expenses have emerged.

Key Financial Figures

• $70,126 — the near future. IMA Tech has generated $70,126 of revenue and incurred a net loss of $
• $100,845 — recognized accumulated amortization of $100,845. The capitalized expenses are being amo
• $28,463 — 5, we recorded amortization expenses of $28,463. We expect to recognize amortization ex
• $28,465 — ct to recognize amortization expense of $28,465 for the remainder of the fiscal year en
• $56,928 — the fiscal year ending April 30, 2026, $56,928 for each of the fiscal years ending Apr
• $41,472 — ending April 30, 2027 through 2028, and $41,472 for the fiscal year ending April 30, 20
• $0.001 — n shares authorized with a par value of $0.001 per share. During the six months ende
• $0.03 — es of common stock for cash proceeds at $0.03 per share for a total of $28,647. As o
• $28,647 — ceeds at $0.03 per share for a total of $28,647. As of October 31, 2025, the Company h
• $22,020 — nced $ 273,518 to the Company, of which $22,020 was advanced and $1,300 was repaid duri
• $1,300 — pany, of which $22,020 was advanced and $1,300 was repaid during the six months ended
• $90,000 — dated March 29, 2023 for advances up to $90,000, which was amended on December 22, 2023
• $140,000 — 22, 2023 to increase the loan amount to $140,000 and amended on April 1, 2024 to increas
• $200,000 — 1, 2024 to increase the loan amount to $200,000 and amended on December 16, 2024 to inc
• $300,000 — 16, 2024 to increase the loan amount to $300,000. The loan is for working capital purpos

Filing Documents

• ima10q_31oct2025.htm (10-Q) — 290KB
• cert31.htm (EX-31.1) — 13KB
• cer32.htm (EX-32.1) — 7KB
• 0001980295-25-000016.txt ( ) — 1466KB
• none-20251031.xsd (EX-101.SCH) — 11KB
• none-20251031_cal.xml (EX-101.CAL) — 21KB
• none-20251031_def.xml (EX-101.DEF) — 14KB
• none-20251031_lab.xml (EX-101.LAB) — 112KB
• none-20251031_pre.xml (EX-101.PRE) — 77KB
• ima10q_31oct2025_htm.xml (XML) — 115KB

Financial Statements (Unaudited)

Financial Statements (Unaudited) 9 Item 2.

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 19 Item 1A

Risk Factors

Risk Factors 19 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 19 Item 3. Defaults Upon Senior Securities 19 Item 4. Submission of Matters to a Vote of Securities Holders 19 Item 5. Other Information 19 Item 6. Exhibits 19

– FINANCIAL INFORMATION

PART I – FINANCIAL INFORMATION

Financial Statements

Item 1. Financial Statements The accompanying interim financial statements of IMA Tech ("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 IMA Tech Condensed Balance Sheets As of October 31, 2025 As of April 30, 2025 (Unaudited) ASSETS Current Assets Cash $ 598 $ 4,500 Prepaid Expenses 26,135 4,900 Total Current Assets 26,733 9,400 Other Assets Intangible Assets, net 183,793 212,256 Total Other Assets 183,793 212,256 TOTAL ASSETS $ 210,526 $ 221,656 LIABILITIES AND STOCKHOLDERS` EQUITY (DEFICIT) Liabilities Current Liabilities Accounts Payable $ 198 $ 10,099 Deferred Revenue 5,250 4,400 Loan from Related Parties 273,518 252,798 Total Current Liabilities 278,966 267,297 Total Liabilities 278,966 267,297 Stockholders` Equity (Deficit) Common stock, $ 0.001 par value, 75,000,000 shares authorized; 2,609,878 and 5,109,878 shares issued and outstanding as of October 31, 2025 and April 30, 2025, respectively 2,610 5,110 Additional Paid-in Capital 34,686 32,186 Accumulated Deficit ( 105,736 ) ( 82,937 ) Total Stockholders` Equity (Deficit) ( 68,440 ) ( 45,641 ) TOTAL LIABILITIES AND STOCKHOLDERS`

Management's Discussion and

Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations Forward Looking Statement Notice not historical or current facts are "forward-looking statements" made pursuant to the safe harbor provisions of Section 27A of the Securities Act of 1933 (the "Act") and Section 21E of the Securities Exchange Act of 1934. These statements often can be identified using terms such as "may," "will," "expect," "believe," "anticipate," "estimate," "approximate" or "continue," or the negative thereof. We intend that such forward-looking statements be subject to the safe harbors for such statements. We wish to caution readers not to place undue reliance on any such forward-looking in the future. However, forward-looking statements are subject to risks, uncertainties and crucial factors beyond our control that could cause actual results and events to differ materially from historical results of operations and events and those presently anticipated or projected. We disclaim any obligation subsequently to revise any forward-looking statements to reflect events or circumstances after the date of such statement or to reflect the occurrence of anticipated or unanticipated events. Financial information contained in this quarterly report and in our unaudited interim financial statements is stated in United States dollars and are prepared in accordance with United Business Overview Our Company's business model centers on developing and operating a website featuring digital avatars. The website offers a wide array of customizable avatars through individual accounts, enabling personalization and interaction through digital personas. Additionally, our website provides multilingual support for up to 40 languages, ensuring a seamless exp

MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL

MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS Overview The following disc

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