Atlantis Glory Inc.

Atlantis Glory Inc. (AGLY) - Annual Report Summary for Fiscal Year 2025

This report offers retail investors a clear, concise overview of Atlantis Glory Inc.'s (AGLY) operations and financial health for the fiscal year ended December 31, 2025. Based on the company's recent SEC 10-K filing, it highlights AGLY's current status, historical journey, future ambitions, and the significant risks involved.

Business Overview: A Public Shell Company

Atlantis Glory Inc. is currently a "shell company." This means it has no active business operations, products, or services that generate revenue. Its main purpose is to act as an empty corporate structure, actively looking to acquire or merge with an existing operating business. As a shell company, AGLY's value is entirely speculative, hinging on its ability to successfully complete such a transaction.

Company Journey: From Elevator Tech to Shell Status

Atlantis Glory Inc. (AGLY) began in Nevada in 2016. Historically, it operated through subsidiaries in the Cayman Islands and China, focusing on elevator technology, including an "embedded open nut track lifting system," for research, sales, maintenance, and installation.

However, the company's path shifted dramatically:

• Dormancy: Operations ceased in May 2020.
• Receivership and Deconsolidation: In May 2021, authorities appointed David Lazar as a receiver. He reported being unable to access the Chinese subsidiaries or their assets. This led to Atlantis Glory Inc. removing these original elevator businesses from its financial statements, effectively cutting ties with its former operating assets. This resulted in significant write-offs and left the company without any operational foundation. The unclear circumstances surrounding the lack of access to these assets present a potential historical risk.
• Leadership and Ownership Transition:
  • In July 2021, the company issued Series A Preferred Stock to the receiver, giving him significant voting control.
  • By December 2021, the receiver sold this controlling stake (10 million Series A Preferred Shares) to Ms. CHENG, Sau Heung, for $400,000. She then became the controlling shareholder, holding approximately 90% of the company's voting power. This transaction valued the public shell's controlling interest at a relatively low figure.
  • Ms. CHENG took on the roles of CEO and Director in January 2022.
  • In early 2023, the company rebranded to Atlantis Glory Inc. and changed its ticker to AGLY, signaling its intention to pursue new business ventures.
  • Most recently, in November 2024, Ms. CHENG resigned, and the company appointed Mr. YUM Edward Liang Hsien as the new CEO, CFO, and Director. While frequent leadership changes are common for companies in transition, they can also create uncertainty.

Financial Performance (Fiscal Year 2025): Administrative Costs Only

As a shell company, Atlantis Glory Inc. reported no traditional business performance for the fiscal year ended December 31, 2025. It had no ongoing business operations and, therefore, generated no revenue from products or services.

The company's activities for FY2025 consisted solely of administrative and overhead costs related to maintaining its public company status and its search for a new business.

• Net Loss: For fiscal year 2025, the company reported a net loss of approximately $500,000. This loss primarily stemmed from general and administrative expenses, legal fees, and audit costs.
• Operating Expenses: Total operating expenses for the year also amounted to approximately $500,000.
• Year-over-Year Changes: Since AGLY operates as a shell company with no active business, there are no comparable revenue or operational profit figures from the prior year.

Management Discussion and Analysis (MD&A) Highlights

Management's discussion and analysis highlights key aspects of Atlantis Glory Inc.'s financial condition and results of operations for the fiscal year ended December 31, 2025. As a public shell company, AGLY's operations are limited to administrative activities needed to maintain its public reporting status and pursue a business combination.

• Results of Operations: For FY2025, the company generated no revenue from operations. Its reported net loss of approximately $500,000 stemmed entirely from general and administrative expenses, including legal, accounting, and public company compliance costs. This reflects the ongoing cash burn associated with its shell status.
• Liquidity and Capital Resources: As of December 31, 2025, the company held approximately $100,000 in cash. With total liabilities of approximately $600,000, AGLY faces a negative working capital position and a shareholders' deficit of approximately -$450,000. Management explicitly states that current cash reserves are insufficient to fund operations for the next 12 months, highlighting a critical need for additional financing. The company's ability to continue as a "going concern" depends entirely on securing such funding.
• Future Plans and Commitments: The company's sole strategic focus is to identify and complete a merger or acquisition with an operating business. This strategy will require substantial additional capital, likely through equity or debt financing, which could significantly dilute existing shareholders. AGLY has no current commitments for capital expenditures or significant contractual obligations beyond the administrative expenses of maintaining its public company status.

Financial Health (as of December 31, 2025, and March 6, 2026)

• Cash and Equivalents (Dec 31, 2025): Approximately $100,000.
• Total Assets (Dec 31, 2025): Approximately $150,000, primarily consisting of cash and prepaid expenses.
• Total Liabilities (Dec 31, 2025): Approximately $600,000, mainly accrued expenses and accounts payable.
• Shareholders' Equity (Deficit) (Dec 31, 2025): Approximately -$450,000, reflecting accumulated losses.
• Common Shares Outstanding (as of March 6, 2026): 603,970,000 shares.
• Public Float Value (as of June 30, 2025): The market value of common stock held by non-affiliates was approximately $295,830, based on a stock price of $0.0018 per share.
• Total Market Capitalization (as of March 6, 2026, at $0.0018/share): Approximately $1,087,146.

Future Outlook: The Search for an Operating Business

Atlantis Glory Inc.'s sole strategic objective is to identify and complete an acquisition or merger with an operating business. This process, often called a "reverse merger" or "asset purchase," would transform AGLY from a shell into an active operating entity.

• Acquisition Focus: The company actively seeks opportunities but has not specified particular industries or criteria for potential targets. It may consider early-stage companies, those needing capital for growth, or private entities looking to access U.S. public markets.
• Capital Constraints: AGLY has explicitly stated it lacks sufficient working capital to fund its operations for the next 12 months. As of December 31, 2025, the company held approximately $100,000 in cash. With an estimated monthly burn rate of $40,000 - $50,000 for administrative expenses, its current cash reserves are insufficient to sustain operations for a full year.
• Funding Future Acquisitions: Any significant business combination will almost certainly require substantial additional capital. The company would likely raise this capital by issuing new equity (common or preferred stock) or debt, which could significantly dilute existing shareholders.
• Single Acquisition Strategy: Due to its limited financial resources, the company plans to pursue only one major business combination. This concentrated approach means the company will not have a diversified portfolio of businesses, potentially increasing the risk for investors if the chosen acquisition underperforms.

Competitive Position

As a public shell company with no active business operations, Atlantis Glory Inc. currently holds no competitive position in any industry or market. Its future competitive landscape will depend entirely on the nature of the operating business it successfully acquires or merges with. Until such a transaction occurs, the company does not compete for customers, market share, or revenue.

Key Risks for Investors

Investing in Atlantis Glory Inc. carries substantial risks, making it a highly speculative investment:

• Failure to Complete an Acquisition: The company's entire future depends on successfully identifying and acquiring a suitable operating business. There is no guarantee such an acquisition will occur or be on favorable terms.
• Significant Dilution: To fund an acquisition and ongoing operations, AGLY will almost certainly need to raise additional capital, likely by issuing new shares. This would dilute the ownership percentage and value of existing shareholders.
• Liquidity and Going Concern: The company's limited cash reserves and negative working capital raise substantial doubt about its ability to continue operating without securing additional funding.
• Penny Stock Characteristics: AGLY's low share price and limited trading volume expose investors to high volatility, limited liquidity, and potential difficulty in selling shares.
• Regulatory Compliance: As a public shell company, AGLY must adhere to SEC filing requirements. Failure to do so could lead to delisting from its current trading platform.
• Lack of Operating History/Assets: The company has no current or historical operating assets or revenue streams, making fundamental valuation impossible.
• Past Issues with Foreign Subsidiaries: The unresolved issues surrounding the deconsolidation of its former Chinese subsidiaries and the inability to access those assets represent a historical red flag, potentially indicating governance or operational risks.
• Reliance on Single Acquisition: The strategy of pursuing only one major business combination means the company's future performance will depend entirely on the success of that single venture, without the diversification benefits of multiple operations.

In conclusion, Atlantis Glory Inc. is in a critical transitional phase, serving solely as a vehicle for a future business combination. Its investment proposition is purely speculative, hinging entirely on the success of its acquisition strategy and its ability to secure necessary funding. Investors should be aware of the significant risks, including the potential for complete loss of investment.