ITEM
1. Unaudited Financial Statements
Certain
information and footnote disclosures required under accounting principles generally accepted in the United States of America have
been condensed or omitted from the following financial statements pursuant to the rules and regulations of the Securities and
Exchange Commission. It is suggested that the following financial statements be read in conjunction with the year-end financial
statements and notes thereto included in the Company’s Annual Report on Form 10K for the year ended July 31, 2016. In the
opinion of management, all adjustments considered necessary for a fair presentation of the results of operations and financial
position have been included and all such adjustments are of a normal recurring nature.
The
results of operations for the three and nine months ended April 30, 2017 and 2016 are not necessarily indicative of the results
for the entire fiscal year or for any other period.
Cyber
Apps World, Inc.
Balance
Sheets
(unaudited)
|
|
April
30,
|
|
|
July
31,
|
|
|
|
2017
|
|
|
2016
|
|
Assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Current
assets:
|
|
|
|
|
|
|
|
|
Deposits
|
|
$
|
—
|
|
|
$
|
—
|
|
|
|
|
|
|
|
|
|
|
Total
current assets
|
|
|
—
|
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
Property
and equipment, net
|
|
|
—
|
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
Total
assets
|
|
$
|
—
|
|
|
$
|
—
|
|
|
|
|
|
|
|
|
|
|
Liabilities
and Stockholders’ Deficiency
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Current
liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accounts
payable and accrued expenses
|
|
$
|
124,910
|
|
|
$
|
119,554
|
|
Advances
|
|
|
—
|
|
|
|
—
|
|
Convertible
notes payable
|
|
|
29,767
|
|
|
|
29,767
|
|
Notes
payable
|
|
|
51,203
|
|
|
|
50,203
|
|
Due
to related parties
|
|
|
—
|
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
Total
current liabilities
|
|
|
205,880
|
|
|
|
199,524
|
|
|
|
|
|
|
|
|
|
|
Commitments
and contingencies
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Stockholders’
deficiency:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Preferred
stock, $.001 par value, 10,000,000 shares authorized, 0 issued and outstanding
|
|
|
—
|
|
|
|
—
|
|
Common
stock, $.001 par value, 50,000,000 shares authorized as of July 31, 2016;
|
|
|
|
|
|
|
|
|
24,319,935
and 19,519,949 issued and outstanding.
|
|
|
24,320
|
|
|
|
24,320
|
|
|
|
|
|
|
|
|
|
|
Additional
paid-in capital
|
|
|
8,347,541
|
|
|
|
8,347,541
|
|
Retained
deficit
|
|
|
(8,577,741
|
)
|
|
|
(8,571,385
|
)
|
|
|
|
|
|
|
|
|
|
Stockholders’
deficiency
|
|
|
(205,880
|
)
|
|
|
(199,524
|
)
|
|
|
|
|
|
|
|
|
|
Total
liabilities and stockholders’ deficiency
|
|
$
|
—
|
|
|
$
|
—
|
|
See
accompanying notes to audited financial statements
Cyber
Apps World, Inc.
Statements
of Operations
(unaudited)
|
|
For
the Three Months Ended
|
|
|
For
the Nine Months Ended
|
|
|
|
April
30,
|
|
|
April
30,
|
|
|
|
2017
|
|
|
2016
|
|
|
2017
|
|
|
2016
|
|
Net
sales
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
expenses:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
General
and administrative
|
|
|
1,977
|
|
|
|
6,806
|
|
|
|
6,356
|
|
|
|
41,092
|
|
Research
and development
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loss
from operations
|
|
|
(1,977
|
)
|
|
|
(6,806
|
)
|
|
|
(6,356
|
)
|
|
|
(41,092
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other
(expenses)/income
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loss
on settlement of debt
|
|
|
—
|
|
|
|
(33,600
|
)
|
|
|
—
|
|
|
|
(33,600
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
loss before provision for (benefit from) income taxes
|
|
|
(1,977
|
)
|
|
|
(40,406
|
)
|
|
|
(6,356
|
)
|
|
|
(74,692
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Provision
for (benefit from) income taxes
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
loss
|
|
$
|
(1,977
|
)
|
|
$
|
(40,406
|
)
|
|
$
|
(6,356
|
)
|
|
$
|
(74,692
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
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
|
|
|
24,319,935
|
|
|
|
20,416,638
|
|
|
|
24,319,935
|
|
|
|
19,816,662
|
|
See
accompanying notes to audited financial statements
Cyber
Apps World, Inc.
Statements
of Cash Flows
(unaudited)
|
|
|
|
|
|
|
|
|
For
the Nine Months Ended
|
|
|
|
April
30,
|
|
|
|
2017
|
|
|
2016
|
|
CASH
FLOWS FROM OPERATING ACTIVITIES:
|
|
|
|
|
|
|
|
|
Net
loss
|
|
$
|
(6,356
|
)
|
|
$
|
(74,692
|
)
|
Adjustments
to reconcile net loss to net cash utilized by operating activities
|
|
|
|
|
|
|
|
|
Loss
on settlement of debt
|
|
|
—
|
|
|
|
33,600
|
|
Expenses
paid on the Company’s behalf by a third party
|
|
|
1,000
|
|
|
|
35,566
|
|
Increase
(decrease) in cash flows from changes in operating assets and liabilities
|
|
|
|
|
|
|
|
|
Accounts
payable and accrued expenses
|
|
|
5,356
|
|
|
|
8,526
|
|
Net
cash used in operating activities
|
|
|
—
|
|
|
|
3,000
|
|
|
|
|
|
|
|
|
|
|
CASH
FLOWS FROM INVESTING ACTIVITIES:
|
|
|
|
|
|
|
|
|
Web
development costs
|
|
|
—
|
|
|
|
(3,000
|
)
|
Net
cash used in investing activities
|
|
|
—
|
|
|
|
(3,000
|
)
|
|
|
|
|
|
|
|
|
|
CASH
FLOWS FROM FINANCING ACTIVITIES:
|
|
|
|
|
|
|
|
|
Net
cash provided by financing activities
|
|
|
—
|
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
CHANGE
IN CASH AND CASH EQUIVALENTS
|
|
|
|
|
|
|
|
|
Net
decrease in cash and cash equivalents
|
|
|
—
|
|
|
|
—
|
|
Cash
and cash equivalents at beginning of year
|
|
|
—
|
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
Cash
and cash equivalents at end of year
|
|
$
|
—
|
|
|
$
|
—
|
|
|
|
|
|
|
|
|
|
|
SUPPLEMENTAL
CASH FLOW DISCLOSURES
|
|
|
|
|
|
|
|
|
Cash
paid during the year for:
|
|
|
|
|
|
|
|
|
Interest
|
|
$
|
—
|
|
|
$
|
—
|
|
Income
taxes
|
|
$
|
—
|
|
|
$
|
—
|
|
See
accompanying notes to audited financial statements
Cyber
Apps World Inc.
NOTES
TO UNAUDITED FINANCIAL STATEMENTS
As
of and for the Three and Nine Months Ended April 30, 2017
(unaudited)
Note
1. Summary of Significant Accounting Policies
Condensed
Interim Financial Statements –
The accompanying unaudited condensed financial statements include the accounts
of Cyber Apps World Inc. (the “Company”). These financial statements are condensed and, therefore, do not include
all disclosures normally required by accounting principles generally accepted in the United States of America. Therefore, these
statements should be read in conjunction with the most recent annual financial statements of Cyber Apps World for the year ended
July 31, 2016 included in the Company’s Form 10-K filed with the Securities and Exchange Commission. In particular, the
Company’s significant accounting principles were presented as Note 2 to the Financial Statements in that report. In
the opinion of management, all adjustments necessary for a fair presentation have been included in the accompanying condensed
financial statements and consist of only normal recurring adjustments. The results of operations presented in the accompanying
condensed financial statements are not necessarily indicative of the results that may be expected for the full year ending July
31, 2017.
Going
Concern -
The Company’s financial statements for the period ended April 30, 2017, have been prepared on a going
concern basis which contemplates the realization of assets and settlement of liabilities and commitments in the normal course
of business. The Company did not have any revenue and as of April 30, 2017, there was a working capital deficit of $xxx. Management
recognized that the Company’s continued existence is dependent upon its ability to obtain needed working capital through
additional equity and/or debt financing and revenue to cover expenses as the Company continues to incur losses.
Since
its incorporation, the Company financed its operations almost exclusively through advances from its controlling shareholders.
The Company expects to finance operations through the sale of equity or other investments for the foreseeable future, as the Company
does not receive significant revenue from its business operations. There is no guarantee that the Company will be successful in
arranging financing on acceptable terms.
The
Company’s ability to raise additional capital is affected by trends and uncertainties beyond its control. The Company does
not currently have any arrangements for financing and it may not be able to find such financing if required. Obtaining additional
financing would be subject to a number of factors, including investor sentiment. Market factors may make the timing, amount, terms
or conditions of additional financing unavailable to it. These uncertainties raise substantial doubt about the ability of the
Company to continue as a going concern. The accompanying financial statements do not include any adjustments that might result
from the outcome of these uncertainties.
The
Company’s significant accounting policies are summarized in Note 1 of the Company’s Annual Report on Form 10-K for
the year ended July 31, 2016. There were no significant changes to these accounting policies during the nine months ended April
30, 2017 and the Company does not expect that the adoption of other recent accounting pronouncements will have a material impact
on its financial statements.
Website
Development Costs -
The Company capitalizes its costs to develop its website and when preliminary development efforts
are successfully completed, management has authorized and committed project funding, and it is probable that the project will
be completed and the website will be used as intended. Such costs are amortized on a straight-line basis over the estimated useful
life of the related asset, which approximates three years. Costs incurred prior to meeting these criteria, together with costs
incurred for training and maintenance, are expensed as incurred. Costs incurred for enhancements that are expected to result in
additional material functionality are capitalized and expensed over the estimated useful life of the upgrades. The Company is
still developing its website and plans to launch the website in late 2017 and will commence amortization once the website
is placed in service.
The
Company capitalized website costs of $0 and $-0- during the nine months ended April 30, 2017 and 2016, respectively. Amortization
expenses of $-0- and $-0- during the nine months ended April 30, 2017 and 2016, respectively.
Note
2. Net Loss Per Common Share
Loss
per share is computed based on the weighted average number of shares outstanding during the year. Diluted loss per common share
is computed by dividing net loss by the weighted average number of common shares and potential common shares during the specified
periods. The Company has no outstanding options, warrants or other convertible instruments that could affect the calculated number
of shares, except for $29,767 of debt that is convertible into common stock at approx. $0.02 per share (post split). If all of
the debt is converted with common share equivalents would be 1,488,350 (post split).
Note
3. Convertible Notes Payable and Notes Payable
As
of April 30, 2017, the Company has a balance of convertible notes is $29,767 which is convertible into common stock at approx.
$0.02 per share (post split). The debt is due upon demand and bears 0% interest.
As
of April 30, 2017, the Company has several notes payable totaling $80,970 which is due upon demand and bears 0% interest.
Note
4. Subsequent Events
None
ITEM
2. Management’s Discussion and Analysis of Financial Conditions and Results of Operations.
Forward
Looking Statements
This
quarterly report contains forward-looking statements that involve risks and uncertainties. We use words such
as anticipate, believe, plan, expect, future, intend and similar expressions to identify such forward-looking statements.
You should not place too much reliance on these forward-looking statements. Our actual results are likely
to differ materially from those anticipated in these forward-looking statements for many reasons, including
the risks faced by us described in this section.
Introduction
We
were incorporated on July 15, 2002, under the laws of the State of Nevada. We changed our business in 2008, entering into a license
agreement with Li-ion Motors on April 15, 2008, for the license of the development of their lithium battery technology. We
sold our Zingo Telecom, Inc. and M/S Zingo BPO Services Pvt. Ltd. subsidiaries that offered telecommunications services to business
and residential customers utilizing VoIP technology on May 15, 2008. To reflect our new business, we changed our name from
Zingo, Inc. to Superlattice Power, Inc. on April 25, 2008 and on April 2, 2011, we merged with our wholly-owned subsidiary, Sky
Power Solutions Corp., and in the merger the name of the Company was changed to Sky Power Solutions Corp.
A
three-for-one forward split in our common stock was effective October 19, 2009. The Certificate of Change filed with the Nevada
Secretary of State on September 18, 2009, for the forward split changed the number of shares of our outstanding common stock from
115,000,000 to 345,000,000, and the number of shares of our authorized common stock in the same ratio, from 250,000,000 to 750,000,000. On
April 2, 2011, the Board approved the filing with the Secretary of State of Nevada a Certificate of Change that affected a 1:300
reverse split in our outstanding common stock and a reduction of our authorized common stock in the same 1:300 ratio, from 750,000,000
shares to 2,500,000 shares. This was effective April 26, 2011.
On
December 19, 2012, our Board of Directors authorized the merger with our wholly-owned subsidiary, Clean Enviro Tech Corp. and
also approved the filing with the Secretary of State of Nevada a Certificate of Change that effected a 1:50 reverse split in our
outstanding common stock and a reduction of our authorized common stock in the same 1:50 ratio, from 500,000,000 shares to 10,000,000
shares. In the merger the name of our company was changed from Sky Power Solutions Corp. to Clean Enviro Tech Corp. The change
of the Company’s name to Clean Enviro Tech Corp. and the 1:50 reverse split with the concurrent reduction of our authorized
common stock in the same ratio were approved by FINRA and effective for trading purposes on January 19, 2013.
In
May 2014, the Company entered into a letter of intent with Red Apple Pharm. They had sixty days to provide their financial records
and completion of due diligence. Gordon F. Lee was appointed as CEO on May 30, 2014. The Company didn’t receive financials.
On June 20, 2014 Mr. Lee resigned.
On
May 28, 2015, the Company entered into a license agreement (the “Agreement”) with eCommerce Technologies Inc. (“Licensor”),
providing for the license by the Company of certain patented ecommerce technology (the “Licensed Technology”), under
a non-exclusive right and license to market, use or sell the Licensed Technology and improvements thereto worldwide for a period
of five years, subject to the patent coverage of the Licensed Technology. As of July 31, 2015, the Company has made a deposit
of $10,000 with a remaining balance due on February 15, 2016, totaling $490,000. On February 15, 2016, the Company and eCommerce
Technologies Inc. agreed to extend the due date from February 15, 2016 to June 30, 2016 for the balance due of $490,000.
Results
of Operations for the Three and Nine months Ended April 30, 2017 and 2016
We
incurred a net loss of $xx during the three months ended April 30, 2017, which included: general and administrative (G&A)
costs of $xxx and loss on settlement of debt of $xxx compared to a net loss of $xxx for the three months ended April 30, 2016,
which included: general and administrative (G&A) costs of $xxx.
We
incurred a net loss of $6,356 during the nine months ended April 30, 2017, which included: general and administrative (G&A)
costs of $6,356 and loss on settlement of debt of $0 compared to a net loss of $74,692 for the nine months ended April 30, 2016,
which included: general and administrative (G&A) costs of $41,092 and loss on settlement of debt of $33,600.
Our
net loss for the nine months ended April 30, 2017 decreased to $6,356 from $74,692 for the same period ending April 30, 2016.
The decrease was primarily due to a decrease in loss on settlement of debt of $33,600. The general and administrative expenses
decreased to $6,356 from $41,092 due to normal fluctuations in business operations. There was a loss on settlement of debt during
the nine months ended April 30, 2017 of $33,600.
Plan
of Operations
After
termination of the Agreement, management is still looking into other opportunities and direction for the Company.
Liquidity
and Capital Resources
As
of April 30, 2017, we had cash on hand of $0 and liabilities of $205,880 as compared with liabilities of $199,527 at July 31,
2016. Accounts payable and accrued expenses increased at April 30, 2017, to $124,910 as compared with $119,554 at July 31, 2016
and notes payable were $80,970 at April 30, 2017, as compared to $79,970 at July 31, 2016.
At
April 30, 2017, we had a working capital deficiency of $205,880 and a stockholders’ deficit of $205,880.
We
had net cash provided by operating activities of $0 in the nine months ended April 30, 2017, as compared with $3,000 in the comparable
period in 2016, and cash flows used in investing activities for the purchase of website was $3,000 during 2017 and $0 in 2016.
Since
our incorporation, we have financed our operations almost exclusively through advances from our controlling
shareholders. We expect to finance operations through the sale of equity or other investments for the foreseeable future,
as we do not receive significant revenue from our new business operations. There is no guarantee that
we will be successful in arranging financing on acceptable terms.
Our
ability to raise additional capital is affected by trends and uncertainties beyond our control. We do not currently have
any arrangements for financing and we may not be able to find such financing if required. Obtaining additional financing
would be subject to a number of factors, including investor sentiment. Market factors may make the timing, amount, terms or conditions
of additional financing unavailable to us.
Our
auditors are of the opinion that our continuation as a going concern is in doubt. Our continuation as a going concern
is dependent upon continued financial support from our shareholders and other related parties.
Critical
Accounting Issues
The
Company’s discussion and analysis of its financial condition and results of operations are based upon the Company’s
financial statements, which have been prepared in accordance with accounting principles generally accepted in the United
States of America. The preparation of the financial statements requires the Company to make estimates and judgments that
affect the reported amount of assets, liabilities, and expenses, and related disclosures of contingent assets and
liabilities. On an on-going basis, the Company evaluates its estimates, including those related to intangible assets, income
taxes and contingencies and litigation. The Company bases its estimates on historical experience and on various
assumptions that are believed to be reasonable under the circumstances, the results of which form the basis for making
judgments about carrying values of assets and liabilities that are not readily apparent from other sources. Actual
results may differ from these estimates under different assumptions or conditions.