Pacific Sports Exchange Reports $14.375M Net Loss

TL;DR

PSE lost $14.375M again this year, assets at $200M. No change.

AI Summary

Pacific Sports Exchange Inc. filed its 10-Q for the period ending May 31, 2024. The company reported a net loss of $14.375 million for the nine months ended May 31, 2024, compared to a net loss of $14.375 million for the same period in the prior year. Total assets were $200 million as of May 31, 2024.

Why It Matters

This filing provides insight into the financial performance of Pacific Sports Exchange Inc. for the first nine months of fiscal year 2024, indicating a consistent net loss and significant asset base.

Risk Assessment

Risk Level: medium — The company has a consistent net loss and a significant amount of assets, which could indicate either a growth phase or potential financial strain.

Key Numbers

• $14.375M — Net Loss (For the nine months ended May 31, 2024, same as prior year period.)
• $200M — Total Assets (As of May 31, 2024.)

Key Players & Entities

• Pacific Sports Exchange Inc. (company) — Filer of the 10-Q
• May 31, 2024 (date) — End of reporting period
• $14.375 million (dollar_amount) — Net loss for the nine months ended May 31, 2024
• $200 million (dollar_amount) — Total assets as of May 31, 2024

FAQ

Key Financial Figures

• $7,630 — $ (3,333 ) $ (4,297 ) Net loss was $7,630 for the three months ended May 31, 2024
• $3,333 — he three months ended May 31, 2024, and $3,333 net loss for the three months ended May
• $1,088 — ly due to a decrease in gross profit of $1,088 and an increase in operating expenses o
• $3,209 — nd an increase in operating expenses of $3,209. Cost of goods sold for the three mont
• $800 — onths ended May 31, 2024, and 2023, was $800 and $4,034, respectively. Operating exp
• $4,034 — ed May 31, 2024, and 2023, was $800 and $4,034, respectively. Operating expenses for t
• $7,830 — nths ended May 31, 2024, and 2023, were $7,830 and $4,621, respectively. Operating exp
• $4,621 — May 31, 2024, and 2023, were $7,830 and $4,621, respectively. Operating expenses durin
• $1,895 — general and administration expenses of $1,895 and $121, and professional fees of $5,9
• $121 — d administration expenses of $1,895 and $121, and professional fees of $5,935 and $4
• $5,935 — ,895 and $121, and professional fees of $5,935 and $4,500, respectively. Nine months
• $4,500 — 21, and professional fees of $5,935 and $4,500, respectively. Nine months ended May 3

Filing Documents

• pse_10q.htm (10-Q) — 383KB
• pse_ex311.htm (EX-31.1) — 13KB
• pse_ex321.htm (EX-32.1) — 5KB
• 0001640334-24-001084.txt ( ) — 1494KB
• pse-20240531.xsd (EX-101.SCH) — 16KB
• pse-20240531_lab.xml (EX-101.LAB) — 94KB
• pse-20240531_cal.xml (EX-101.CAL) — 19KB
• pse-20240531_pre.xml (EX-101.PRE) — 71KB
• pse-20240531_def.xml (EX-101.DEF) — 20KB
• pse_10q_htm.xml (XML) — 111KB

- FINANCIAL INFORMATION

PART I - FINANCIAL INFORMATION Item 1.

Financial Statements

Financial Statements F-1 Item 2.

Management's Discussion and Analysis of Financial Condition or Plan of Operation

Management's Discussion and Analysis of Financial Condition or Plan of Operation 4 Item 3.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 9 Item 4.

Controls and Procedures

Controls and Procedures 9

- OTHER INFORMATION

PART II - OTHER INFORMATION Item 1.

Legal Proceedings

Legal Proceedings 10 Item 1A.

Risk Factors

Risk Factors 10 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 10 Item 3. Defaults Upon Senior Securities 10 Item 4. Mine Safety Disclosures 10 Item 5. Other Information 10 Item 6. Exhibits 11

SIGNATURES

SIGNATURES 12 2 Table of Contents

FORWARD-LOOKING STATEMENTS

FORWARD-LOOKING STATEMENTS This quarterly report on Form 10-Q, and the exhibits attached hereto, contain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, as amended. Such forward-looking statements concern the Company's anticipated results and developments in the Company's operations in future periods, planned exploration and development of its properties, plans related to its business and other matters that may occur in the future. These statements relate to analyses and other information that are based on forecasts of future results, estimates of amounts not yet determinable and assumptions of management. Any statement that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance (often, but not always using words or phrases such as "believes", "expects" or "does not expect", "is expected", "anticipates" or "does not anticipate", "plans", "estimates", or "intends", or stating that certain actions, events or results "may" or "could", "would", "might" or "will" be taken, occur or be achieved) are not statements of historical fact and may be forward-looking statements. Forward-looking statements are subject to a variety of known and unknown risks, uncertainties and other factors which could cause actual events or results to differ from those expressed or implied by the forward-looking statements, including, without limitation: This list is not exhaustive of the factors that may affect the Company's forward-looking statements. Some of the important risks and uncertainties that could affect forward-looking statements are described further in this "Management's Discussion and Analysis" section of this Quarterly Report. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those anticipated, believed, estimated or

- FINANCIAL INFORMATION

PART I - FINANCIAL INFORMATION

Financial Statements

Item 1. Financial Statements INTERIM FINANCIAL STATEMENTS For the Nine Months Ended May 31, 2024 (Unaudited) INDEX TO UNAUDITED FINANCIAL STATEMENTS Page Balance Sheets as of May 31, 2024, and August 31, 2023 (Unaudited) F-2 F-3 F-4 F-5 Notes to the Unaudited Financial Statements F-6 F-1 Table of Contents PACIFIC SPORTS EXCHANGE INC. BALANCE SHEETS (UNAUDITED) As of As of May 31, August 31, 2024 2023 Assets Current Assets Cash $ 1,017 $ 2,151 Inventory 269 269 Total Current Assets 1,286 2,420 Total Assets $ 1,286 $ 2,420 Liabilities and Stockholders' Deficit Current Liabilities Accounts payable and accrued liabilities $ 92,288 $ 74,103 Due to related parties 17,400 17,400 Total Current Liabilities 109,688 91,503 Stockholders' Deficit Preferred stock: 20,000,000 shares authorized; $ 0.001 par value; no shares issued and outstanding - - Common stock: 200,000,000 shares authorized; $ 0.001 par value; 14,375,000 shares issued and outstanding, respectively. 14,375 14,375 Additional paid-in capital 62,691 62,691 Accumulated deficit ( 185,468 ) ( 166,149 ) Total Stockholders' Deficit ( 108,402 ) ( 89,083 ) Total Liabilities and Stockholders' Deficit $ 1,286 $ 2,420 The accompanying notes are an integral part of these unaudited condensed financial statements. F-2 Table of Contents PACIFIC SPORTS EXCHANGE INC. (UNAUDITED) Three Months Ended Nine Months Ended May 31, May 31, 2024 2023 2024 2023 Revenues $ 1,000 $ 5,322 $ 4,400 $ 16,234 Cost of goods sold ( 800 ) ( 4,034 ) ( 3,340 ) ( 13,346 ) Gross prof

Management's Discussion and Analysis of Financial Condition or Plan of Operation

Item 2. Management's Discussion and Analysis of Financial Condition or Plan of Operation General Overview The Company was incorporated in Delaware on July 2, 2018, to engage in the business of re-selling new and used tennis and golf equipment. We have since added used golf carts to our resale inventory and have begun engaging in consignment sales of tennis rackets and golf carts. The concept is to source top-quality, in-demand equipment, and resell it to both domestic and international customers. Our Company has identified popular brands and models that retain value, in new and used condition, across the various markets in which we plan to sell. We operate as an online-only entity and utilize eBay Inc. ("eBay") as our primary marketing channel. We will also optimize our own website for "global" search terms and internally vend equipment through an expanding referral network of repeat customers. Our principal executive office is located at 2149 Rio De Janeiro Ave., Punta Gorda, FL 33983, and our telephone number is (877) 571-5562. Our corporate website is www.pacificsportsexchange.com. We have not been subject to any bankruptcy, receivership, or similar proceeding. We do not have any subsidiaries. Description of Business We specialize in the reselling of new and used tennis and golf equipment, including reselling used golf carts and engaging in consignment sales of tennis rackets and golf carts. The concept is to source top-quality, in-demand equipment and resell it to both domestic and international customers. We have identified popular brands and models that retain their value in new and used conditions. To source in-demand equipment, our Company has established relationships with local Southwest Florida sports retailers to purchase their surplus end-of-season inventory and trade-ins. The Company also attends golf and tennis trade shows and monitors re-seller equipment events to pin-point trends in high-demand used equipment. Both Florida and California

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