Essence Array Posts Losses, Relies on Related Party Funding

TL;DR

**Essence Array is a pre-revenue startup burning cash and relying on its CEO for survival; avoid until they prove a viable business model.**

AI Summary

Essence Array Inc., an early-stage company incorporated on March 29, 2024, reported no revenue for the three and six months ended September 30, 2025. The company incurred general and administrative expenses of $2,500 for the three months ended September 30, 2025, and $9,121 for the six months ended September 30, 2025, resulting in corresponding net losses of $2,500 and $9,121. Total assets as of September 30, 2025, were $12,429, a significant increase from $0 at March 31, 2025, primarily due to cash from financing activities. Total liabilities also rose to $15,950 from $0, including $6,200 in advances from a related party and $9,750 in deferred revenue. The company's stockholders' equity was a deficit of $3,521 as of September 30, 2025. Essence Array Inc. relies heavily on related party funding, with $6,200 in advances from its sole officer and director, Anna Zhabina, and has a going concern warning due to its lack of revenue and need for additional capital.

Why It Matters

For investors, this filing highlights Essence Array Inc.'s precarious financial position as a pre-revenue startup with a going concern warning. The heavy reliance on its sole officer and director, Anna Zhabina, for funding ($6,200 in advances) indicates a lack of diversified capital sources, posing a significant risk. Employees and potential customers should be aware of the company's early stage and the uncertainty surrounding its long-term viability without external financing. In the competitive health and beauty supplement market, Essence Array's inability to generate revenue since its March 2024 inception suggests it's far behind established players, making its strategic outlook challenging.

Risk Assessment

Risk Level: high — Essence Array Inc. has not generated any revenue since its inception on March 29, 2024, and reported a net loss of $9,121 for the six months ended September 30, 2025. The company explicitly states a 'going concern' warning, indicating substantial doubt about its ability to continue operations without additional funding, which is not assured to be available on favorable terms.

Analyst Insight

Investors should exercise extreme caution and avoid investing in Essence Array Inc. at this stage. The company is a pre-revenue startup with a going concern warning and relies heavily on related party funding, indicating high risk and an unproven business model.

Financial Highlights

debt To Equity

N/A

revenue

$0

operating Margin

N/A

total Assets

$12,429

total Debt

$15,950

net Income

$(9,121)

eps

$(0.00)

gross Margin

N/A

cash Position

$12,429

revenue Growth

N/A

Revenue Breakdown

Key Numbers

• $0 — Revenue (No revenue generated since inception on March 29, 2024)
• $(9,121) — Net Loss (For the six months ended September 30, 2025, indicating operational expenses without income)
• $12,429 — Total Current Assets (As of September 30, 2025, up from $0 at March 31, 2025, primarily from financing)
• $15,950 — Total Liabilities (As of September 30, 2025, up from $0 at March 31, 2025, including related party advances and deferred revenue)
• $(3,521) — Total Shareholders' Equity (Deficit) (As of September 30, 2025, reflecting accumulated losses)
• $6,200 — Advances from related party (As of September 30, 2025, highlighting reliance on insider funding)
• 5,503,000 — Common Shares Outstanding (As of October 9, 2025, an increase from 5,473,000 at March 31, 2025)
• $9,750 — Deferred Revenue (As of September 30, 2025, indicating cash received for services not yet rendered)
• $629 — Net cash provided by operating activities (For the six months ended September 30, 2025, primarily due to deferred revenue offsetting net loss)
• $11,800 — Net cash provided by financing activities (For the six months ended September 30, 2025, crucial for current liquidity)

Key Players & Entities

• Essence Array Inc. (company) — registrant
• Anna Zhabina (person) — President, Chief Executive Officer, and Chief Financial Officer
• $12,429 (dollar_amount) — Total Assets as of September 30, 2025
• $15,950 (dollar_amount) — Total Liabilities as of September 30, 2025
• $6,200 (dollar_amount) — Advances from related party as of September 30, 2025
• $9,750 (dollar_amount) — Deferred Revenue as of September 30, 2025
• $9,121 (dollar_amount) — Net Loss for the six months ended September 30, 2025
• $2,500 (dollar_amount) — Net Loss for the three months ended September 30, 2025
• Wyoming (regulator) — State of incorporation
• SEC (regulator) — Securities and Exchange Commission

FAQ

Risk Factors

• Going Concern Uncertainty [high — financial]: Essence Array Inc. has a net loss of $9,121 for the six months ended September 30, 2025, and a total stockholders' deficit of $3,521. The company has no revenue and relies on financing activities, including $6,200 in advances from a related party, to fund its operations, raising substantial doubt about its ability to continue as a going concern.
• Dependence on Related Party Funding [high — financial]: The company's operations are significantly funded by advances from its sole officer and director, Anna Zhabina, totaling $6,200 as of September 30, 2025. This reliance on a single related party creates a concentration risk and potential conflicts of interest.
• Negative Working Capital [medium — financial]: As of September 30, 2025, Essence Array Inc. has total current assets of $12,429 and total liabilities of $15,950, resulting in a negative working capital position of ($3,521). This indicates potential short-term liquidity challenges.
• Lack of Operating History and Revenue [high — operational]: The company was incorporated on March 29, 2024, and has generated no revenue to date. Its entire operational history consists of incurring general and administrative expenses ($9,121 for the six months ended September 30, 2025), highlighting a lack of established business operations or market traction.
• Deferred Revenue Obligation [medium — financial]: The company has $9,750 in deferred revenue as of September 30, 2025, representing cash received for services not yet rendered. This creates a future obligation to perform services or deliver products, which the company may struggle to fulfill given its current financial state.

Industry Context

Essence Array Inc. operates in an early-stage environment with no defined industry segment provided in the filing. As a newly formed entity, it faces the typical challenges of establishing a business model, acquiring customers, and generating revenue in a competitive landscape. Its current focus appears to be on securing funding and managing initial operational expenses rather than competing on established market metrics.

Regulatory Implications

As a newly formed company, Essence Array Inc. is subject to standard SEC reporting requirements for public entities. The 'going concern' warning is a critical disclosure that regulators expect to be prominently presented, alerting investors to significant financial risks. The company's reliance on related party transactions also necessitates careful adherence to disclosure and corporate governance rules to avoid conflicts of interest.

What Investors Should Do

1. Monitor future filings closely for any signs of revenue generation or progress in developing a viable business model.
2. Evaluate the company's ability to secure additional funding beyond related party advances, as this is critical for its survival.
3. Assess the terms and conditions of the related party advances and deferred revenue to understand future obligations and potential risks.
4. Consider the significant 'going concern' risk and the high probability of further dilution if additional capital is raised through equity offerings.

Key Dates

• 2024-03-29: Company Incorporation — Marks the official start of Essence Array Inc.'s existence as a legal entity.
• 2025-03-31: End of Initial Reporting Period — Represents the balance sheet date prior to the current reporting period, showing $0 assets and liabilities.
• 2025-09-30: End of Current Reporting Period — Balance sheet date showing significant increases in assets and liabilities due to financing and deferred revenue, with a resulting equity deficit.
• 2025-10-09: Common Shares Outstanding Update — Indicates a slight increase in outstanding shares from March 31, 2025, to October 9, 2025.

Glossary

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 the revenue is earned. (Essence Array Inc. has $9,750 in deferred revenue, indicating cash received for future services, which represents a future obligation.)

Advances from related party

Funds provided to a company by individuals or entities that have a close relationship with the company, such as officers, directors, or major shareholders. (Essence Array Inc. received $6,200 in advances from its sole officer and director, highlighting reliance on insider funding.)

Stockholders' Equity (Deficit)

The residual interest in the assets of an entity after deducting all its liabilities. A deficit means liabilities exceed assets. (Essence Array Inc. has a stockholders' deficit of $3,521 as of September 30, 2025, indicating that its liabilities are greater than its assets.)

Going Concern

The assumption that a business will continue to operate for the foreseeable future, typically at least 12 months from the reporting date. (The company's financial condition raises substantial doubt about its ability to continue as a going concern, as noted in the financial statements.)

Subscription Receivable

An amount owed to a company by a subscriber for shares of stock that have been issued but not fully paid for. (The balance changed from a $5,000 receivable (negative) to $0, with a corresponding increase in common stock and paid-in capital, indicating a resolved subscription payment.)

Year-Over-Year Comparison

This is the first 10-Q filing for Essence Array Inc., incorporated on March 29, 2024. Therefore, a direct comparison of key metrics like revenue growth, margin changes, or new risks to a previous filing is not possible. The current filing establishes the baseline financial position, showing $0 revenue, net losses, and a significant increase in assets and liabilities funded by financing activities, leading to a stockholders' deficit.

Key Financial Figures

• $0.001 — ng as of October 9, 2025 Common Stock, $0.001 5,503,000 ESSENCE ARRAY INC. Part
• $5,000 — reviously provided by the director, and $5,000 was subscribed in cash but remained out
• $12,429 — ptember 30, 2025, our total assets were $12,429 compared to $0 in total assets at March
• $0 — r total assets were $12,429 compared to $0 in total assets at March 31, 2025. As o
• $15,950 — er 30, 2025, our total liabilities were $15,950 compared to $0 in total liabilities at
• $3,521 — nts Stockholders' equity was negative $3,521 as of September 30, 2025 compared to $0
• $2,500 — ember 30, 2025, we incurred expenses of $2,500 compared to $0 during three months ende
• $9,121 — ember 30, 2025, we incurred expenses of $9,121 compared to $0 during six months ended
• $629 — s provided by operating activities were $629 comprised of net loss of $9,121 and inc
• $9,750 — 121 and increase in deferred revenue of $9,750. Cash Flows from Financing Activities
• $11,800 — sh flows from financing activities were $11,800, consisting of $6,200 received from a r
• $6,200 — activities were $11,800, consisting of $6,200 received from a related party loan, $60
• $600 — 200 received from a related party loan, $600 in proceeds from the issuance of common

Filing Documents

• eai_10q.htm (10-Q) — 192KB
• eai_ex311.htm (EX-31.1) — 10KB
• eai_ex321.htm (EX-32.1) — 4KB
• 0001477932-25-007489.txt ( ) — 1101KB
• eai-20250930.xsd (EX-101.SCH) — 13KB
• eai-20250930_lab.xml (EX-101.LAB) — 86KB
• eai-20250930_cal.xml (EX-101.CAL) — 15KB
• eai-20250930_pre.xml (EX-101.PRE) — 64KB
• eai-20250930_def.xml (EX-101.DEF) — 19KB
• eai_10q_htm.xml (XML) — 63KB

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 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 PART II Other Information Item 1

Legal proceedings

Legal proceedings 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 | Page Table of Contents

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION ESSENCE ARRAY INC. BALANCE SHEETS September 30, 2025 Unaudited March 31, 2025 Audited ASSETS Current Assets $ 12,429 $ - Total Current Assets $ 12,429 $ - TOTAL ASSETS $ 12,429 $ - LIABILITIES AND STOCKHOLDERS' EQUITY / (DEFICIT) Advances from related party $ 6,200 $ - Deferred Revenue 9,750 Total Liabilities 15,950 - Shareholders' equity Common stock, $ 0.001 par value per share; 100,000,000 shares authorized; 5,503,000 and 5,473,000 shares issued and outstanding as of September 30, 2025 and March 31, 2025, respectively. $ 5,503 $ 5,473 Subscription Receivable $ 570 $ ( 5,000 ) Retained Earnings (Deficit) $ ( 9,594 ) $ ( 473 ) Total shareholders' equity (deficit) $ ( 3,521 ) $ - TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT) $ 12,429 $ - The accompanying notes are an integral part of these financial statements. 3 | Page Table of Contents ESSENCE ARRAY INC. (UNAUDITED) THREE MONTH ENDED SEPTEMBER 30, 2025 THREE MONTH ENDED SEPTEMBER 30, 2024 SIX MONTH ENDED SEPTEMBER 30, 2025 SIX MONTH ENDED SEPTEMBER 30, 2024 OPERATING EXPENSES General and administrative expenses $ 2,500 $ - $ 9,121 $ - Total Expenses $ 2,500 $ - $ 9,121 $ - NET INCOME (LOSS) $ ( 2,500 ) $ - $ ( 9,121 ) $ - Loss per Common Share: Basic and Diluted ( 0.00 ) - ( 0.00 ) - Weighted Average Number of Common Shares Outstanding: 5,475,934 - 5,474,475 - The accompanying notes are an integral part of these financial statements. 4 | Page Table of Contents ESSENCE ARRAY INC. FOR THE PERIOD FROM INCEPTION (MARCH 29, 2024) TO SEPTEMBER 30, 2025 (UAUDITED) Common Stock Subscription Additional Paid-In- Accumulated Income / Shares Amount Receivable Capital (Deficit) Total Balance at March 29, 2024 (Inception) - $ - $ - $ - $ -

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 Essence Array Inc. was incorporated in Wyoming on March 29, 2024. We are an early-stage company focused on the distribution of premium European health and beauty supplements in the United States. Our business model is centered on the planned sourcing of high-quality supplements and wellness products from trusted manufacturers in Europe, with the goal of introducing them to the U.S. market through direct-to-consumer e-commerce and strategic wholesale partnerships. We intend for our primary distribution channels to include a company website, social media advertising, and potential relationships with boutique retailers, spas, salons, wellness clinics, and online be

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. 12 | 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 or our properties.

UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS

ITEM 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS None.

DEFAULTS UPON SENIOR SECURITIES

ITEM 3. DEFAULTS UPON SENIOR SECURITIES No senior securities were issued and outstanding during the six-month period ended September 30, 2025.

MINE SAFETY DISCLOSURES

ITEM 4. MINE SAFETY DISCLOSURES Not applicable to our Company.

OTHER INFORMATION

ITEM 5. OTHER INFORMATION None. 13 | Page Table of Contents

EXHIBITS

ITEM 6. EXHIBITS 31.1 Certification of Chief Executive Officer and Chief Financial Officer pursuant to Securities Exchange Act of 1934 Rule 13a-14(a) or 15d-14(a) 32.1 Certifications pursuant to Securities Exchange Act of 1934 Rule 13a-14(b) or 15d-14(b) and 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes- Oxley Act of 2002 101.INS Inline XBRL Instance Document (the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document). 101.SCH Inline XBRL Taxonomy Extension Schema Document. 101.CAL Inline XBRL Taxonomy Extension Calculation Linkbase Document. 101.DEF Inline XBRL Taxonomy Extension Definition Linkbase Document. 101.LAB Inline XBRL Taxonomy Extension Labels Linkbase Document. 101.PRE Inline XBRL Taxonomy Extension Presentation Linkbase Document. 104 Cover Page Interactive Data File (formatted as inline XBRL and contained in Exhibit 101). 14 | Page Table of Contents

SIGNATURES

SIGNATURES In accordance with the requirements of the Exchange Act, the registrant caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. ESSENCE ARRAY INC. Dated: October 9, 2025 By: /s/ Anna Zhabina Anna Zhabina, President and Chief Executive Officer and Chief Financial Officer 15 | Page

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