OneSolution Technology Inc. (formerly King Resources, Inc.) reported its financial results for the three and six months ended September 30, 2024, showing notable changes in revenue, profitability, and operational structure compared to the previous fiscal period.

For the three months ended September 30, 2024, OneSolution generated revenue of $19,234, a slight increase from $19,166 in the same period of 2023. Gross profit also saw a marginal rise to $7,694 from $7,666. However, total operating expenses significantly decreased to $23,782 from $217,427, leading to a loss from operations of $(16,088), a substantial improvement from $(209,761) in the prior year. The company reported a net income of $2,497,787 for the quarter, contrasting with a net loss of $(310,472) in the same quarter of 2023, largely attributed to a gain on the disposal of subsidiaries amounting to $2,513,875.

For the six months ended September 30, 2024, revenue increased to $38,423 from $31,923 in 2023, with gross profit rising to $15,370 from $12,769. The loss from operations improved to $(177,852) from $(249,498) year-over-year. The net income for this period was $2,336,135, a significant turnaround from a net loss of $(450,832) in the previous year.

The company underwent a corporate restructuring, resulting in the disposal of its subsidiaries, which contributed to the gain reported. As of September 30, 2024, OneSolution's total current liabilities decreased to $695,181 from $3,165,453 as of March 31, 2024. The accumulated deficit also improved to $(7,055,335) from $(9,391,470) in the previous period.

OneSolution's operational strategy remains focused on its Hong Kong subsidiary, Powertech Corporation Limited, which is subject to various regulatory risks, including potential restrictions on cash transfers from Hong Kong due to PRC regulations. The company has not declared any dividends and does not anticipate doing so in the foreseeable future, relying instead on its subsidiary for cash flow.

The company’s financial reporting indicates ongoing challenges, including a lack of effective internal controls and the need for additional financial support from shareholders to ensure continued operations. The management has engaged external consultants to address these issues and improve compliance with regulatory requirements.