Star Alliance International Corp. 10-K Review: A Deep Dive into the Company's Prospects

Introduction

Star Alliance International Corp. (SAIC) has recently filed its 10-K report for the fiscal year ending June 30, 2024. As an exploration-stage company, SAIC is focused on the acquisition and development of gold mining and other mining properties worldwide. This review will delve into the key aspects of the 10-K filing, including the business description, financial performance, risk factors, and overall investment potential.

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Business Overview

SAIC was incorporated in Nevada in 2014 and has undergone several transformations since its inception. The company is primarily engaged in the acquisition and development of gold mining properties, with a focus on environmentally safe technologies. As of the date of the report, SAIC has not commenced mining operations but anticipates starting in 2024. The company is also exploring acquisitions in artificial intelligence and fintech sectors.

Key Acquisitions

1. Troy Mining Corp: Acquired in 2019, this includes 78 gold mining claims in California. The company is working with federal agencies to finalize permits to reopen the mine, with operations expected to restart in 2024.
2. Commsa and Lion Works: SAIC entered agreements to acquire 51% ownership in these companies, focusing on mining rights and the Genesis extraction system. However, the company failed to meet financial obligations, leading to the expiration of these agreements.

Financial Performance

Income Statement

SAIC reported a net loss of $2,354,047 for the year ended June 30, 2024, a significant improvement from the $11,170,257 loss in the previous year. The reduction in loss is attributed to decreased operating expenses, including general and administrative costs, professional fees, and consulting fees.

Balance Sheet

The company's total assets decreased from $994,423 in 2023 to $704,714 in 2024, primarily due to a reduction in prepaids and other assets. Current liabilities also decreased, but the company still faces a negative working capital of $2,603,419.

Cash Flow

SAIC used $262,104 in operating activities, a decrease from the previous year. The company raised $452,895 through financing activities, primarily from convertible notes and stock sales.

Risk Factors

SAIC's 10-K highlights several risk factors, including:

• Going Concern: The company has a going concern opinion from its auditors, indicating substantial doubt about its ability to continue operations without additional capital.
• Regulatory Risks: The mining industry is heavily regulated, and SAIC must secure necessary permits to commence operations.
• Financial Risks: The company relies on debt and equity financing, which may not be sustainable in the long term.

Investment Potential

SAIC's investment potential is currently limited due to its financial instability and lack of operational mining activities. The company's focus on environmentally safe technologies and potential acquisitions in AI and fintech could offer future growth opportunities. However, the immediate risks and financial challenges overshadow these prospects.

Conclusion

Star Alliance International Corp. presents a mixed investment case. While the company has ambitious plans and a focus on innovative technologies, its financial health and operational status raise concerns. Investors should approach with caution, considering the high risks and uncertain future.

Overall, SAIC's 10-K filing reflects a company in transition, with potential for growth but significant hurdles to overcome. The investment score for SAIC is 3.5 out of 10, indicating limited investment potential at this stage.