Minerva Gold Swings to Profit on New Design Services Revenue

TL;DR

**MINR's pivot to design services brought in revenue and a small profit, but the 'going concern' warning and related party debt mean this gold explorer is still a highly speculative bet.**

AI Summary

Minerva Gold Inc. (MINR) reported a significant shift in its financial performance for the three and six months ended August 31, 2025. The company generated revenue of $12,000 for the three months ended August 31, 2025, a substantial increase from $0 in the prior-year period. For the six months ended August 31, 2025, revenue reached $24,000, also up from $0 in the same period of 2024. This revenue was primarily derived from its newly expanded design services segment. Net income for the three months ended August 31, 2025, was $7,624, a turnaround from a net loss of $4,982 in the comparable 2024 period. Similarly, for the six months ended August 31, 2025, net income was $5,349, a marked improvement from a net loss of $18,380 in the prior year. Despite these improvements, the company still faces a 'going concern' risk due to an accumulated deficit of $71,826 as of August 31, 2025, and reliance on related party loans totaling $55,780. Total assets decreased to $20,354 from $27,005, while total liabilities decreased to $55,780 from $67,780 over the six-month period. The strategic outlook includes continued diversification into design services, but securing additional capital remains critical.

Why It Matters

Minerva Gold's pivot to design services, generating $24,000 in revenue and a $5,349 net income for the six months ended August 31, 2025, is a critical development for investors. While a positive step, the company's 'going concern' warning and reliance on $55,780 in related party loans highlight its precarious financial stability. This diversification could offer a lifeline, but the competitive landscape for design services is fierce, and Minerva Gold lacks a proven track record in this new segment. For employees, the shift might signal a more stable future, but the underlying financial fragility remains a concern. Customers of the new design services will be watching to see if the company can sustain its operations.

Risk Assessment

Risk Level: high — Minerva Gold Inc. explicitly states a 'going concern' risk due to not having 'established an ongoing source of revenues sufficient to cover its operating costs' and an accumulated deficit of $71,826 as of August 31, 2025. The company also relies on $55,780 in non-interest bearing, due-on-demand loans from its sole officer and director, indicating a lack of independent financing.

Analyst Insight

Investors should approach MINR with extreme caution, recognizing the high 'going concern' risk. While the new design services revenue is a positive sign, it's insufficient to offset the accumulated deficit and reliance on related party financing. Monitor future filings for sustained revenue growth and a clear path to independent profitability before considering any investment.

Financial Highlights

debt To Equity

N/A

revenue

$24,000

operating Margin

N/A

total Assets

$20,354

total Debt

$55,780

net Income

$5,349

eps

$0.00

gross Margin

N/A

cash Position

$17,379

revenue Growth

+N/A

Revenue Breakdown

Key Numbers

• $24,000 — Revenue (Generated from design services for the six months ended August 31, 2025, up from $0 in the prior year.)
• $5,349 — Net Income (For the six months ended August 31, 2025, a significant improvement from a $18,380 net loss in the prior year.)
• $71,826 — Accumulated Deficit (As of August 31, 2025, indicating ongoing financial challenges despite recent profitability.)
• $55,780 — Loans from Related Parties (Outstanding as of August 31, 2025, highlighting reliance on insider financing.)
• $17,379 — Cash & Cash Equivalents (As of August 31, 2025, a minimal amount for ongoing operations.)
• $20,354 — Total Assets (As of August 31, 2025, a decrease from $27,005 at February 28, 2025.)
• 6,570,000 — Common Shares Outstanding (As of September 22, 2025, consistent across periods.)
• $199 — Net Cash Provided by Operating Activities (For the six months ended August 31, 2025, a positive shift from a $18,322 use in the prior year.)

Key Players & Entities

• Minerva Gold Inc. (company) — registrant
• Nevada (regulator) — state of incorporation
• Kazakhstan (company) — location of precious metals exploration
• Tuzashuu Ken Limited Liability Company (company) — former partner in Mineral Property Option Agreement
• $12,000 (dollar_amount) — revenue for three months ended August 31, 2025
• $24,000 (dollar_amount) — revenue for six months ended August 31, 2025
• $7,624 (dollar_amount) — net income for three months ended August 31, 2025
• $5,349 (dollar_amount) — net income for six months ended August 31, 2025
• $71,826 (dollar_amount) — accumulated deficit as of August 31, 2025
• $55,780 (dollar_amount) — loans from related parties as of August 31, 2025

FAQ

Risk Factors

• Going Concern Risk [high — financial]: Minerva Gold Inc. faces a 'going concern' risk due to an accumulated deficit of $71,826 as of August 31, 2025. The company's reliance on related party loans totaling $55,780 further exacerbates this risk, indicating a need for sustainable financing.
• Dependence on Related Party Loans [medium — financial]: The company has outstanding loans from related parties totaling $55,780 as of August 31, 2025. This level of dependence on insider financing raises concerns about the company's ability to secure external funding and its long-term financial stability.
• Declining Asset Base [medium — financial]: Total assets decreased from $27,005 as of February 28, 2025, to $20,354 as of August 31, 2025. This reduction in asset base, coupled with a minimal cash position of $17,379, suggests potential challenges in funding operations and growth initiatives.
• Limited Operating Cash Flow [medium — operational]: Despite a positive shift to $199 in net cash provided by operating activities for the six months ended August 31, 2025, this amount is extremely low. This indicates a very narrow margin for operational sustainability and a high sensitivity to any adverse changes in revenue or expenses.

Industry Context

The gold mining industry is capital-intensive and subject to volatile commodity prices. However, Minerva Gold Inc. appears to be diversifying into design services, a segment with different market dynamics and potentially lower capital requirements. This strategic shift aims to create new revenue streams beyond traditional mining operations.

Regulatory Implications

As a 'smaller reporting company,' Minerva Gold Inc. is exempt from certain disclosure requirements, such as detailed market risk disclosures. However, it must still comply with general financial reporting standards and clearly disclose any material risks, including going concern issues.

What Investors Should Do

1. Monitor progress in the design services segment.
2. Assess the company's ability to secure external financing.
3. Evaluate the reduction in total assets.

Key Dates

• 2025-08-31: End of Second Quarter Reporting Period — Reported significant revenue growth and a turnaround to net income, driven by design services, but still faces going concern risks.
• 2025-02-28: End of Fiscal Year 2025 (Audited) — Previous period financial data against which the current unaudited results are compared.

Glossary

Accumulated Deficit

The cumulative net losses of a company that have not been offset by net income. It represents a negative retained earnings balance. (Indicates the company has historically incurred more losses than profits, contributing to its going concern risk.)

Going Concern

An accounting assumption that a company will continue to operate for the foreseeable future. If there is substantial doubt about this, it must be disclosed. (Minerva Gold Inc. faces this risk due to its accumulated deficit and reliance on related party loans.)

Related Party Loans

Loans made between entities that are controlled by or under common control with each other, or where one party has the ability to significantly influence the other's operating decisions. (Highlights Minerva Gold's reliance on financing from insiders, which can carry different risks than traditional debt.)

Deferred Revenue

Revenue that has been received by a company for goods or services that have not yet been delivered or rendered. It is recorded as a liability until earned. (The absence of deferred revenue in the current period ($0) compared to $12,000 in the prior year suggests a change in revenue recognition or service delivery timing.)

Year-Over-Year Comparison

Minerva Gold Inc. has shown a significant turnaround in its financial performance compared to the prior year. Revenue for the six months ended August 31, 2025, stands at $24,000, a substantial increase from $0 in the same period of 2024, driven by its design services segment. Net income has also shifted from a loss of $18,380 to a profit of $5,349. Despite this positive trend, the company's financial health remains precarious, evidenced by an accumulated deficit of $71,826 and a continued reliance on related party loans, which were $55,780 in both periods. Total assets have decreased, while total liabilities have also seen a reduction, largely due to the elimination of deferred revenue.

Key Financial Figures

• $0.001 — as of September 22, 2025 Common Stock, $0.001 6,570,000 MINERVA GOLD INC. Part I
• $24,000 — g August 31, 2025, the company realized $24,000 in revenue from its design services. R
• $20,354 — August 31, 2025, our total assets were $20,354 compared to $27,005 in total assets at
• $27,005 — r total assets were $20,354 compared to $27,005 in total assets at February 28, 2025. A
• $55,780 — st 31, 2025, our total liabilities were $55,780 compared to $67,780 in total liabilitie
• $67,780 — al liabilities were $55,780 compared to $67,780 in total liabilities at February 28, 20
• $35,426 — 025. Stockholders' equity was negative $35,426 as of August 31, 2025 compared to negat
• $40,775 — of August 31, 2025 compared to negative $40,775 as of February 28, 2025. 11 | page Ta
• $12,000 — ended August 31, 2025, the Company had $12,000 in revenue compared to $0 during three
• $0 — pany had $12,000 in revenue compared to $0 during three months ended August 31, 20
• $4,376 — ugust 31, 2025, we incurred expenses of $4,376 compared to $4,982 during three months
• $4,982 — incurred expenses of $4,376 compared to $4,982 during three months ended August 31, 20
• $7,624 — three months ended August 31, 2025 was $7,624 compared to net loss of $4,982 during t
• $18,651 — ugust 31, 2025, we incurred expenses of $18,651 compared to $18,380 during six months e
• $18,380 — ncurred expenses of $18,651 compared to $18,380 during six months ended August 31, 2024

Filing Documents

• mine_10q.htm (10-Q) — 252KB
• mine_ex311.htm (EX-31.1) — 11KB
• mine_ex321.htm (EX-32.1) — 5KB
• 0001477932-25-006916.txt ( ) — 1383KB
• mine-20250831.xsd (EX-101.SCH) — 15KB
• mine-20250831_lab.xml (EX-101.LAB) — 99KB
• mine-20250831_cal.xml (EX-101.CAL) — 20KB
• mine-20250831_pre.xml (EX-101.PRE) — 76KB
• mine-20250831_def.xml (EX-101.DEF) — 19KB
• mine_10q_htm.xml (XML) — 92KB

Financial statements (unaudited)

Financial statements (unaudited) 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 11 Item 3

Quantitative and qualitative disclosures about market risk

Quantitative and qualitative disclosures about market risk 13 Item 4

Controls and procedures

Controls and procedures 13 PART II Other Information Item 1

Legal proceedings

Legal proceedings 14 Item 2 Unregistered sales of equity securities and use of proceeds 14 Item 3 Defaults upon senior securities 14 Item 4 Mine safety disclosures 14 Item 5 Other information 14 Item 6 Exhibits 15

Signatures

Signatures 16 2 | page Table of Contents

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION MINERVA GOLD INC. BALANCE SHEETS AUGUST 31, 2025 (UNAUDITED) FEBRUARY 28, 2025 (AUDITED) ASSETS Current Assets Cash & cash equivalents $ 17,379 $ 17,180 Prepaid expenses - 6,500 Total current assets 17,379 23,680 Other non-current assets 2,975 3,325 Total non-current assets 2,975 3,325 TOTAL ASSETS $ 20,354 $ 27,005 LIABILITIES AND STOCKHOLDERS' EQUITY Current Liabilities Deferred revenue $ - $ 12,000 Loans from related parties 55,780 55,780 Total current liabilities 55,780 67,780 Total Liabilities 55,780 67,780 Commitments and contingencies - - Stockholders' Equity (Deficit) Common stock, $ 0.001 par value, 75,000,000 shares authorized; 6,570,000 shares issued and outstanding 6,570 6,570 Additional Paid-In-Capital 29,830 29,830 Accumulated Deficit ( 71,826 ) ( 77,175 ) Total Stockholders' equity (deficit) ( 35,426 ) ( 40,775 ) Total Liabilities and Stockholders' Equity (Deficit) $ 20,354 $ 27,005 The accompanying notes are an integral part of these financial statements 3 | page Table of Contents MINERVA GOLD INC. (UNAUDITED) THREE MONTHS ENDED AUGUST 31, 2025 THREE MONTHS ENDED AUGUST 31, 2024 SIX MONTHS ENDED AUGUST 31, 2025 SIX MONTHS ENDED AUGUST 31, 2024 Revenue $ 12,000 $ - $ 24,000 $ - OPERATING EXPENSES General and administrative expenses 4,376 4,982 18,651 18,380 Total Operation expenses 4,376 4,982 18,651 18,380 Income (Loss) before provision for income taxes 7,624 ( 4,982 ) 5,349 ( 18,380 ) Provision for income taxes - - - Net income (loss) $ 7,624 ( 4,982 ) $ 5,349 $ ( 18,380 ) Income (loss) per common share: Basic and Diluted $ 0.00 $ ( 0.00 ) $ 0.00 $ ( 0.00 ) Weighted Average Number of Common Shares Outstanding: Basic and Diluted 6,570,000 6,570,000 6,570,000 6,570,000 The accompanying notes are an integral pa

MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATION

ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATION

FORWARD LOOKING STATEMENTS

FORWARD LOOKING STATEMENTS DESCRIPTION OF BUSINESS We were incorporated on February 24, 2021, in the State of Nevada. Minerva Gold Inc. is primarily focused on mineral property exploration. As part of its strategic growth initiative, the company has expanded its operations to include design services, further diversifying its offerings. In addition to its core exploration activities, Minerva Gold now provides innovative, tailored design solutions across various industries. This expansion reflects the company's long-term vision of strengthening its competitive position and adapting to the evolving needs of its diverse client base. By integrating design services into its portfolio, Minerva Gold Inc. aims to delive

QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK. As a "smaller reporting company" as defined by Item 10 of Regulation S-K, the Company is not required to provide information required by this Item.

CONTROLS AND PROCEDURES

ITEM 4. CONTROLS AND PROCEDURES Disclosure Controls and Procedures Our disclosure controls and procedures are designed to ensure that information required to be disclosed in reports that we file or submit under the Securities Exchange Act of 1934 is recorded, processed, summarized and reported within the time periods specified in the rules and forms of the Securities and Exchange Commission. Our principal executive officer and principal financial and accounting officer have reviewed the effectiveness of our "disclosure controls and procedures" (as defined in the Securities Exchange Act of 1934 Rules 13(a)-15(e) and 15(d)-15(e)) within the end of the period covered by this Quarterly Report on Form 10-Q and have concluded that the disclosure controls and procedures were not effective to ensure that material information relating to the Company is recorded, processed, summarized, and reported in a timely manner. Changes in Internal Controls over Financial Reporting There have been no changes in the Company's internal control over financial reporting during the six-month period covered by this report that have materially affected, or are reasonably likely to materially affect, the Company's internal control over financial reporting. 13 | page Table of Contents

OTHER INFORMATION

PART II. OTHER INFORMATION

LEGAL PROCEEDINGS

ITEM 1. LEGAL PROCEEDINGS Management is not aware of any legal proceedings contemplated by any governmental authority or any other party involving us or our properties. As of the date of this Quarterly Report, no director, officer or affiliate is (i) a party adverse to us in any legal proceeding, or (ii) has an adverse interest to us in any legal proceedings. Management is not aware of any other legal proceedings pending or that have been threatened against us

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View this 10-Q filing on SEC EDGAR