Xenous Holdings' Losses Mount Amidst Going Concern Doubts

TL;DR

**XITO is a cash-burning shell company with no revenue, relying solely on related-party loans, making it a high-risk gamble on a speculative acquisition.**

AI Summary

Xenous Holdings, Inc. (XITO) reported a net loss of $15,675 for the three months ended September 30, 2025, a 3.2% increase from the $15,184 net loss in the same period of 2024, primarily due to increased audit expenses. For the six months ended September 30, 2025, the net loss was $30,986, a slight improvement from the $31,155 net loss in the prior year, attributed to decreased audit and transfer agent expenses. The company has not generated any revenue since its inception and maintains no current assets, with total liabilities of $934,608 as of September 30, 2025, up from $903,622 on March 31, 2025. A significant portion of these liabilities, $911,163, is due to a related party, Ms. Tan Lee San, who assumed the debt from Smartex Investment Ltd. and will finance future operating expenses. XITO's accumulated deficit reached $1,245,408, and it faces a working capital deficit of $934,608, raising substantial doubt about its ability to continue as a going concern. The company is actively pursuing a strategic acquisition of a Malaysia-based Aquilaria tree products company, with due diligence expected to conclude by the second half of calendar year 2025.

Why It Matters

Xenous Holdings' persistent lack of revenue and growing accumulated deficit of $1,245,408 signals a critical financial instability for investors, highlighting significant going concern risks. The company's reliance on related-party financing from Ms. Tan Lee San for all operating expenses, totaling $911,163, indicates a lack of independent funding sources and market viability. This situation places employees and potential customers in a precarious position, as the company's future hinges entirely on a speculative acquisition in the Aquilaria tree market, a niche industry with its own set of competitive challenges. Without a successful acquisition and subsequent revenue generation, XITO's ability to sustain operations and create any market value remains highly questionable.

Risk Assessment

Risk Level: high — Xenous Holdings has not generated any revenue since its inception and reported an accumulated deficit of $1,245,408 as of September 30, 2025. The company has a negative working capital of $934,608 and zero cash on hand, indicating severe liquidity issues and raising substantial doubt about its ability to continue as a going concern.

Analyst Insight

Investors should avoid XITO given its shell company status, lack of revenue, and significant going concern risk. The company's future is entirely dependent on a highly speculative acquisition, making it an unsuitable investment for all but the most risk-tolerant speculators.

Financial Highlights

debt To Equity

N/A

revenue

$0

operating Margin

N/A

total Assets

$0

total Debt

$934,608

net Income

-$15,675

eps

$0.00

gross Margin

N/A

cash Position

$0

revenue Growth

N/A

Revenue Breakdown

Key Numbers

• $15,675 — Net Loss (Q3 2025) (Increased by $491 from Q3 2024)
• $30,986 — Net Loss (YTD Q3 2025) (Slight decrease from $31,155 in YTD Q3 2024)
• $1,245,408 — Accumulated Deficit (Increased from $1,214,422 as of March 31, 2025)
• $934,608 — Working Capital Deficit (Increased from $903,622 as of March 31, 2025)
• $911,163 — Due to Related Party (Represents the majority of total liabilities)
• 0 — Revenue (No revenue generated since inception)
• 760,250,000 — Common Shares Outstanding (Consistent across periods)
• 82% — Majority Shareholder Stake (Held by Smartex Investment Ltd., now transferred to Ms. Tan Lee San)

Key Players & Entities

• Xenous Holdings, Inc. (company) — registrant
• Ms. Tan Lee San (person) — owner of Smartex Investment Ltd. and new related party financier
• Smartex Investment Ltd. (company) — former majority shareholder and related party
• SEC (regulator) — filing oversight
• Aquilaria trees (company) — target acquisition industry
• $15,675 (dollar_amount) — net loss for three months ended September 30, 2025
• $30,986 (dollar_amount) — net loss for six months ended September 30, 2025
• $1,245,408 (dollar_amount) — accumulated deficit as of September 30, 2025
• $934,608 (dollar_amount) — total liabilities and working capital deficit as of September 30, 2025
• $911,163 (dollar_amount) — amount due to related party Ms. Tan Lee San

FAQ

Risk Factors

• Going Concern Uncertainty [high — financial]: XITO faces substantial doubt about its ability to continue as a going concern due to a significant working capital deficit of $934,608 and an accumulated deficit of $1,245,408 as of September 30, 2025. The company has no current assets and no revenue since inception.
• Related Party Debt Concentration [high — financial]: Total liabilities stand at $934,608 as of September 30, 2025, with $911,163 due to a related party, Ms. Tan Lee San. This concentration of debt, which is financing future operations, poses a significant financial risk.
• Dependence on Acquisition Strategy [high — operational]: The company's plan of operation relies entirely on the successful acquisition of a going concern, specifically a Malaysia-based Aquilaria tree products company. Delays or failure in this acquisition will leave the company without operations.
• Smaller Reporting Company Status [low — regulatory]: As a 'smaller reporting company,' XITO is not required to provide detailed risk factor disclosures, potentially limiting investor understanding of specific risks.

Industry Context

Xenous Holdings operates in a speculative environment, aiming to acquire an existing business. The target industry, Aquilaria tree products, is niche and potentially subject to supply chain, cultivation, and market demand volatilities. The company's lack of operational history and reliance on a single acquisition makes it highly vulnerable to industry-specific risks.

Regulatory Implications

As a smaller reporting company, Xenous Holdings has reduced disclosure requirements, particularly regarding risk factors. This may limit transparency for investors. The company's financial distress and reliance on related-party financing could attract scrutiny from regulatory bodies if operations commence without a clear path to profitability.

What Investors Should Do

1. Monitor Acquisition Progress
2. Assess Related Party Financing Terms
3. Evaluate Management's Execution Capability

Key Dates

• 2025-09-30: Quarterly Report Filing (Q3 2025) — Reveals a net loss of $15,675 and a growing working capital deficit, reinforcing going concern doubts.
• 2025-03-31: Fiscal Year End (Audited) — Reported total liabilities of $903,622 and an accumulated deficit of $1,214,422 prior to the Q3 2025 period.
• 2025-01-01: Start of Fiscal Year 2025 — The company has no revenue-generating operations and relies on related party financing.

Glossary

Accumulated Deficit

The total cumulative net losses of a company since its inception, minus any net income. It represents a negative balance in retained earnings. (XITO's accumulated deficit has reached $1,245,408, indicating a long history of unprofitability.)

Working Capital Deficit

Occurs when a company's current liabilities exceed its current assets, indicating a potential short-term liquidity problem. (XITO has a working capital deficit of $934,608, highlighting its inability to meet short-term obligations with its current assets (which are zero).)

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's financial condition raises substantial doubt about its ability to continue as a going concern.)

Related Party

A transaction or relationship between parties who are connected to each other, such as family members or affiliated companies, which may not be at arm's length. (A significant portion of XITO's liabilities ($911,163) is owed to a related party, Ms. Tan Lee San.)

Year-Over-Year Comparison

Compared to the prior year's comparable periods, Xenous Holdings has seen a slight increase in net loss for the three months ended September 30, 2025 ($15,675 vs $15,184), primarily due to increased audit expenses. However, for the six-month period, the net loss slightly decreased ($30,986 vs $31,155), attributed to reduced audit and transfer agent expenses. Total liabilities have increased from $903,622 as of March 31, 2025, to $934,608 as of September 30, 2025, with the related party debt component also rising, exacerbating the going concern issue.

Key Financial Figures

• $0.001 — 2025 was 760,250,000 shares, par value $0.001 per share. XENOUS HOLDINGS, INC. FOR
• $15,675 — te of this filing. We had a net loss of $15,675 and $15,184 for the three months ended
• $15,184 — iling. We had a net loss of $15,675 and $15,184 for the three months ended September 30
• $30,986 — te of this filing. We had a net loss of $30,986 and $31,155 for the six months ended Se
• $31,155 — iling. We had a net loss of $30,986 and $31,155 for the six months ended September 30,
• $934,608 — ch 31, 2025, our total liabilities were $934,608 and $903,622, respectively, which were
• $903,622 — our total liabilities were $934,608 and $903,622, respectively, which were current liabi
• $1,245,408 — accumulate. Accumulated deficit was at $1,245,408 as of September 30, 2025, compared to a
• $1,214,422 — 025, compared to accumulated deficit of $1,214,422 as of March 31, 2025. As of September
• $31,445 — flows used in operating activities was $31,445. The net cash used in operating activit
• $459 — unts payable and accrued liabilities of $459. For the six months ended September 30
• $34,477 — flows used in operating activities was $34,477. The net cash used in operating activit
• $3,322 — unts payable and accrued liabilities of $3,322. Cash Flow from Investing Activities

Filing Documents

• xito_10q.htm (10-Q) — 297KB
• xito_ex311.htm (EX-31.1) — 13KB
• xito_ex312.htm (EX-31.2) — 13KB
• xito_ex321.htm (EX-32.1) — 4KB
• xito_ex322.htm (EX-32.2) — 5KB
• 0001640334-25-002132.txt ( ) — 1246KB
• xito-20250930.xsd (EX-101.SCH) — 13KB
• xito-20250930_lab.xml (EX-101.LAB) — 84KB
• xito-20250930_cal.xml (EX-101.CAL) — 14KB
• xito-20250930_pre.xml (EX-101.PRE) — 62KB
• xito-20250930_def.xml (EX-101.DEF) — 15KB
• xito_10q_htm.xml (XML) — 78KB

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION Item 1.

Financial Statements

Financial Statements 3 Condensed Balance Sheets as of September 30, 2025 (unaudited) and March 31, 2025 (audited) 3 Condensed Statements of Operations for the Six Months and Three Months ended September 30, 2025 and 2024 (unaudited) 4 Condensed Statements of Changes in Stockholders' Deficit for the Six Months and Three Months ended September 30, 2025 and 2024 (unaudited) 5 Condensed Statements of Cash Flows for the Six Months and Three Months ended September 30, 2025 and 2024 (unaudited) 6 Notes to the Unaudited Condensed Financial Statements 7 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 10 Item 3.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 12 Item 4.

Controls and Procedures

Controls and Procedures 12

OTHER INFORMATION

PART II. OTHER INFORMATION Item 1.

Legal Proceedings

Legal Proceedings 13 Item 1A.

Risk Factors

Risk Factors 13 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 13 Item 3. Defaults Upon Senior Securities 13 Item 4. Mine Safety Disclosures 13 Item 5. Other Information 13 Item 6. Exhibits 14

SIGNATURES

SIGNATURES 15 2 Table of Contents

FINANCIAL STATEMENTS

ITEM 1. FINANCIAL STATEMENTS XENOUS HOLDINGS, INC. Condensed Balance Sheets As of September 30, 2025 and March 31, 2025 September 30, 2025 March 31, 2025 (Unaudited) (Audited) ASSET TOTAL ASSET $ - $ - LIABILITIES AND STOCKHOLDERS' DEFICIT Current Liabilities Accounts payable and accrued liabilities $ 23,445 $ 23,904 Due to a related party 911,163 879,718 Total Current Liabilities 934,608 903,622 TOTAL LIABILITIES 934,608 903,622 STOCKHOLDERS' DEFICIT Preferred stock, par value $ 0.001 per share, 10,000,000 shares authorized, no shares issued and outstanding - - Common stock, par value $ 0.001 per share, 10,000,000,000 shares authorized, 760,250,000 shares issued and outstanding 760,250 760,250 Capital deficiency ( 449,450 ) ( 449,450 ) Accumulated deficit ( 1,245,408 ) ( 1,214,422 ) Total Stockholders' Deficit ( 934,608 ) ( 903,622 ) TOTAL LIABILITIES AND STOCKHOLDERS' DEFICIT $ - $ - The accompanying notes are an integral part of these unaudited condensed financial statements. 3 Table of Contents XENOUS HOLDINGS, INC. Condensed Statements of Operations For the Three Months and Six Months ended September 30, 2025 and 2024 (Unaudited) For the Three Months Ended For the Six Months Ended September 30, September 30, September 30, September 30, 2025 2024 2025 2024 OPERATING EXPENSES General and administrative $ 555 $ 604 $ 866 $ 920 Professional fees 15,120 14,580 30,120 30,235 15,675 15,184 30,986 31,155 NET LOSS $ ( 15,675 ) $ ( 15,184 ) $ ( 30,986 ) $ ( 31,155 ) Basic and Diluted Loss per Common Share $ ( 0.00 ) $ ( 0.00 ) $ ( 0.00 ) $ ( 0.00 ) Basic and Diluted Weighted Average Number of Common Shares 760,250,000 760,250,000 760,250,000 760,250,000 The accompanying notes are an integral part of these unaudited condensed financial statements. 4 Table of Contents XENOUS HOLDINGS, INC. Condensed

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

ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITIONS AND RESULTS OF OPERATIONS. When used in this Quarterly Report, the words "may," "will," "expect," "anticipate," "continue," "estimate," "project," "intend," and similar expressions are intended to identify forward-looking statements regarding events, conditions, and financial trends that may affect our future plans of operations, business strategy, operating results, and financial position. Persons reviewing this Quarterly Report are cautioned that any forward-looking statements are not guarantees of future performance and are subject to risks and uncertainties and actual results may differ materially from those included within the forward-looking statements as a result of various factors. Such factors are discussed further below and also include general economic factors and conditions that may directly or indirectly impact our financial condition or results of operations. Plan of Operation Our plan of operation for the next 12 months is to: (i) consider guidelines of industries in which we may have an interest; (ii) adopt a business plan regarding engaging in the business of any selected industry; and (iii) to commence such operations through funding and/or the acquisition of a "going concern" engaged in any industry selected. During the next 12 months, our only foreseeable cash requirements will relate to maintaining our good standing or the payment of expenses associated with legal fees, accounting fees and reviewing or investigating any potential business venture, which may be advanced by management or principal stockholders as loans to us. Because we have not determined any business or industry in which our operations will be commenced, and we have not identified any prospective venture as of the date of this Annual Report, it is impossible to predict the amount of any such loan. Any such loan will be on terms no less favorable to us than would be available from a commercial lender in an

QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK Pursuant to Item 305(e) of Regulation of S-K (229.305(e)), the Company is not required to provide the information required by this Item as it is a "smaller reporting company," as defined by Rule 229.10(f)(1).

CONTROLS AND PROCEDURES

ITEM 4. CONTROLS AND PROCEDURES Disclosure Controls and Procedures Disclosure controls and procedures (as defined in Rule 13a-15(e) under the Exchange Act) are designed to ensure that information required to be disclosed in reports filed or submitted under the Exchange Act is recorded, processed, summarized, and reported within the time periods specified in rules and forms adopted by the Securities and Exchange Commission, and that such information is accumulated and communicated to management, including the Chief Executive Officer and Secretary, to allow timely decisions regarding required disclosures. Under the supervision and with the participation of our management, including our Chief Executive Officer and Secretary, we evaluated the effectiveness of the design and operation of our disclosure controls and procedures (as defined in Rule 13a-15(e) under the Exchange Act) as of the end of the period covered by this Quarterly Report. Based upon that evaluation, our Chief Executive Officer and Secretary concluded that, as of the end of the period covered by this Quarterly Report, our disclosure controls and procedures were not effective. Changes in Internal Control Over Financial Reporting During the fiscal quarter covered by this Quarterly Report, there has been no change in our internal control over financial reporting (as defined in Rule 13a-15(f) under the Exchange Act) that has materially affected, or is reasonably likely to materially affect, our internal control over financial reporting. 12 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. 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.

RISK FACTORS

ITEM 1A. RISK FACTORS As a "smaller reporting company" as defined by Item 10 of Regulation S-K, the Company is not required to provide this information.

UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS

ITEM 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS There were no unregistered s

View Full Filing

View this 10-Q filing on SEC EDGAR