Revenue Growth - Total revenue increased by $0.8 million, or 47%, from $1.7 million in fiscal year 2022 to $2.5 million in fiscal year 2023[202]. - Revenue from third parties was $1,150,000 for the year ended July 31, 2023, representing a 27% increase from $905,310 in 2022[206]. - Revenue from related parties increased by $538,000, or 71%, from $762,000 in 2022 to $1,300,000 in 2023[206]. Profitability - Gross profit rose to $2,450,000 in 2023, a 143% increase from $1,007,310 in 2022[206]. - The company reported a net loss of $2,882,299 for the year ended July 31, 2023, a decrease of $488,800, or 14%, from the previous year[206]. - The company reported a net loss of $2.9 million for the year ended July 31, 2023, a decrease from a net loss of $3.4 million in the previous fiscal year[224]. Expenses Management - Selling expenses decreased by $362,291, or 64%, from $569,529 in 2022 to $207,238 in 2023[210]. - General and administrative expenses decreased by $409,735, or 15%, from $2,651,361 in 2022 to $2,241,626 in 2023[212]. Cash Flow and Liquidity - Operating cash outflows from continuing operations were approximately $2.3 million for the year ended July 31, 2023, compared to $0.1 million in the prior year[226]. - As of July 31, 2023, the company had cash of $0.6 million and accounts receivable of $0.6 million, with current liabilities totaling $1.5 million[227]. - Net cash used in operating activities was $2.3 million for the fiscal year ended July 31, 2023, primarily due to the net loss and adjustments for provisions against receivables[233]. - Net cash provided by investing activities was $0.4 million in fiscal year 2023, mainly from the disposal of investments and collection of loans[235]. - Net cash provided by financing activities was $0.7 million in fiscal year 2023, sourced from borrowings from a related party[237]. Future Outlook and Plans - The company plans to expand operations to other Asian countries, including Malaysia, Vietnam, and Singapore, while continuing to focus on the North American market[200]. - The company plans to support future operations primarily through cash generated from operations and cash on hand, but may need to raise additional funds[225]. Going Concern and Dividends - The company reported a working capital deficit and indicated uncertainty regarding its ability to continue as a going concern[228]. - The company has not declared or paid any cash dividends to shareholders and does not plan to do so in the near future[230]. Taxation - The federal tax rate for the company's U.S. subsidiaries is 21%, with a state tax rate of 8.84%[223]. Other Achievements - The company successfully assisted three Chinese enterprises to be quoted on the U.S. OTC markets since its inception[200]. Provisions - The company provided a full provision of $2,654,767 against balances due from buyers of LGC for the year ended July 31, 2023[214].

Financial Performance - Total revenues for the three months ended April 30, 2023, were $100,000, a decrease of 61.8% compared to $261,925 for the same period in 2022[19] - Operating expenses for the three months ended April 30, 2023, were $701,934, an increase of 17.3% from $598,620 in the same period of 2022[19] - The net loss attributable to ATIF Holdings Limited for the three months ended April 30, 2023, was $335,770, compared to a net income of $228,316 for the same period in 2022[19] - The company reported a comprehensive loss of $335,770 for the three months ended April 30, 2023, compared to a comprehensive income of $269,055 for the same period in 2022[19] - For the nine months ended April 30, 2023, net income was $362,696 compared to a net loss of $1,992,933 for the same period in 2022[23] - The company reported a net loss of $335,770 for the three months ended April 30, 2023, compared to a net income of $228,316 for the same period in 2022[20] - Cash flows from operating activities resulted in a net cash used of $1,361,108 for the nine months ended April 30, 2023, compared to a net cash used of $283,267 for the same period in 2022[23] - The company had a cash balance of $467,586 at the end of April 30, 2023, down from $1,306,038 at the end of April 30, 2022[23] Assets and Liabilities - Total current assets as of April 30, 2023, were $6,672,023, an increase of 11.4% from $5,992,460 as of July 31, 2022[18] - Total liabilities as of April 30, 2023, were $3,383,237, a decrease of 10.6% from $3,784,348 as of July 31, 2022[18] - Total assets decreased from $5,733,173 at April 30, 2022, to $4,784,348 at April 30, 2023[20] - The Company had cash of $0.5 million as of April 30, 2023, against current liabilities of $2.6 million[30] - The balance of due from buyers of LGC as of April 30, 2023, was $2,654,767, which includes principal of $2,300,000 and interest of $354,767[74] - The balance due to third parties increased to $1,092,828 as of April 30, 2023, from $500,000 as of July 31, 2022, indicating a significant rise of 118.6%[87] Cash and Liquidity - Cash and cash equivalents as of April 30, 2023, were $467,586, reflecting a decrease from previous periods[18] - As of April 30, 2023, the company had cash of $0.5 million, down from $1.8 million as of July 31, 2022, indicating a significant decrease in liquidity[62] - The Company expects to collect consulting service fees of $3.3 million over the next 12 months from four service-in-progress agreements[30] - The Company intends to finance future working capital requirements through cash generated from operating activities and equity financings[31] Operational Insights - The company anticipates future sales and profitability to be influenced by its ability to develop and introduce new products and services[16] - The company plans to expand its sales and marketing capabilities and may consider acquisitions in the future[16] - The company has experienced operating cash outflows of $1.4 million for the nine months ended April 30, 2023, compared to $0.3 million for the same period in 2022[28] - The management believes that the Company will continue as a going concern for the next 12 months despite uncertainties regarding cash flows[30] - The Company operates primarily through ATIF Inc. following the disposal of ATIF HK and Huaya on May 31, 2022[56] Revenue Concentration - For the three months ended April 30, 2023, one customer accounted for 100% of the company's consolidated revenue, compared to 97% for the same period in 2022, highlighting a high concentration risk[66] - For the nine months ended April 30, 2023, four customers accounted for 28%, 28%, 26%, and 17% of the company's consolidated revenue, compared to two customers accounting for 63% and 32% in the same period in 2022[67] - The company plans to transition its consulting services from PRC-based customers to more international customers to mitigate revenue concentration risks[69] Legal Matters - Boustead's litigation against the Company is currently in the pleadings stage, with the Company believing it is premature to predict the outcome[109] - The United States District Court for the Southern District of New York granted the Company's motion to dismiss Boustead's first amended complaint on August 25, 2021[107] - Boustead filed a second amended complaint on December 28, 2021, alleging only breach of contract[107] - The Court denied the Company's motion to dismiss the second amended complaint on July 6, 2022[108] - The Company filed a motion to compel arbitration of Boustead's claims in California on August 3, 2022, with briefing concluding on August 23, 2022[108] - Boustead is seeking a default judgment against LGC, but the Court has not ruled on this request[108] - The Company filed a motion to dismiss Boustead's second amended complaint on January 18, 2022[107] - Boustead's amended complaint asserts the same four causes of action against the Company and LGC as its original complaint[106] - The Court allowed Boustead to amend its causes of action against the Company regarding breach of contract and tortious interference[107] - The Company is currently evaluating its response to Boustead's motion for leave[109] Depreciation and Amortization - Depreciation and amortization expenses for the nine months ended April 30, 2023, were $109,967, compared to $136,516 for the same period in 2022[23] - Depreciation expense for the three months ended April 30, 2023, was $16,656, compared to $13,765 for the same period in 2022, indicating an increase in asset depreciation[76] - The company's intangible assets as of April 30, 2023, were valued at $93,331, down from $153,331 as of July 31, 2022, reflecting a decrease in intangible asset value[77] Lease Obligations - Operating lease expenses for the three months ended April 30, 2023, were $121,655, compared to $101,580 for the same period in 2022, representing an increase of approximately 19.9%[83] - Total lease cost for the nine months ended April 30, 2023, was $181,414, a decrease of 51.4% from $372,820 in the same period of 2022[83] - Right-of-use assets, net, decreased to $1,170,495 as of April 30, 2023, from $1,383,464 as of July 31, 2022, reflecting a decline of approximately 15.4%[85] - Total operating lease liabilities decreased to $1,225,937 as of April 30, 2023, from $1,418,310 as of July 31, 2022, a reduction of about 13.5%[85] - The weighted average remaining lease term as of April 30, 2023, was 3.48 years, down from 3.95 years as of July 31, 2022[86] - The total future minimum rentals under non-cancellable operating lease arrangements as of April 30, 2023, were $193,459, with $64,486 due for the three months ending July 31, 2023[86]

Financial Performance - Total revenues for the three months ended January 31, 2023, were $1,900,000, a significant increase from $7,680 in the same period of 2022[22]. - Net income attributable to ATIF Holdings Limited for the three months ended January 31, 2023, was $810,981, compared to a net loss of $1,082,653 in the same period of 2022[22]. - The company reported an operating income of $1,333,888 for the three months ended January 31, 2023, compared to an operating loss of $819,420 in the same period of 2022[22]. - For the six months ended January 31, 2023, the company reported a net income of $698,466 compared to a net loss of $2,253,694 for the same period in 2022, indicating a significant turnaround in performance[30]. - Total revenue from consulting services increased to $1.9 million for the three months ended January 31, 2023, compared to $7,680 for the same period in 2022, representing a growth of 24,640%[128]. - For the six months ended January 31, 2023, total revenue reached $2.2 million, a significant increase of 320% from $524,155 in the same period of 2022[140]. Assets and Liabilities - Total current assets increased to $6,793,260 as of January 31, 2023, up from $5,992,460 as of July 31, 2022[21]. - Total liabilities decreased to $3,314,748 as of January 31, 2023, from $3,784,348 as of July 31, 2022[21]. - The company’s total assets increased to $8,434,866 as of January 31, 2023, from $8,136,955 as of July 31, 2022[21]. - As of January 31, 2023, the company had cash of $829,387 and current liabilities of $2.5 million, highlighting liquidity challenges[32]. - The company had cash of $0.8 million as of January 31, 2023, while current liabilities amounted to $2.5 million[163]. Expenses - Total operating expenses for the three months ended January 31, 2023, were $566,112, down from $827,100 in the same period of 2022[22]. - General and administrative expenses decreased by 37% to $581,112 for the three months ended January 31, 2023, from $827,100 in the same period of 2022[131]. - Rent expense for the six months ended January 31, 2023, was $250,861, compared to $271,240 for the same period in 2022[87]. - The company had a depreciation and amortization expense of $73,311 for the six months ended January 31, 2023, down from $102,751 in the prior year[25]. Customer Concentration - As of January 31, 2023, three customers accounted for 34%, 34%, and 32% of the Company's consolidated revenue, highlighting a concentration risk[68]. - For the six months ended January 31, 2023, four customers accounted for 30%, 30%, 27%, and 14% of the Company's consolidated revenue, showing a shift in customer dependency compared to the previous year[69]. Internal Controls and Compliance - The company identified four "material weaknesses" in its internal control over financial reporting, including insufficient personnel with appropriate accounting knowledge and experience[178]. - The company is currently evaluating steps to improve its disclosure controls and procedures due to identified deficiencies[177]. - The company plans to hire additional qualified accounting personnel and implement continuous U.S. GAAP training programs to strengthen its financial reporting function[184]. - The company is in the process of hiring experts to improve and test its internal control and establish standard internal audit procedures by July 2023[180]. - The company has not established an internal control department and lacks adequate policies and procedures for its internal audit function[178]. Future Plans and Strategies - The company plans to finance future working capital requirements through cash generated from operating activities and equity financings[33]. - The company plans to transition its consulting services from PRC-based customers to more international customers to mitigate revenue concentration risks[71]. - The company aims to become an international financial consulting company with clients and offices throughout Asia[115]. - The company plans to expand operations to other Asian countries, including Malaysia, Vietnam, and Singapore, while maintaining a focus on the North American market[121]. Legal Matters - The company is currently involved in litigation with Boustead Securities, LLC regarding a breach of contract related to an acquisition transaction[188]. - The litigation with Boustead is in the pleadings stage, and the company believes it is premature to predict the outcome[193].