UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FormFORM 10-Q

(Mark One)

 orFor the Quarterly Period Ended March 31, 2021

Commission file number:File No. 333-205571

FRONTIER DIGITAL MEDIAEXSULAR FINANCIAL GROUP INC.

 (Exact(Exact name of registrantthe small business issuer as specified in its charter)

2605 Red Hawk Ridge Drive, Castle Rock, Colorado 80109Room 1105, 11/F, Hip Kwan Commercial Building, No. 38 Pitt Street

Yau Ma Tei, KLN, Hong Kong

(Address of principal executive offices) (Zip Code)

(303) 999-8171+852 29803711

(Registrant’s telephone number, including area code)

(Former name, former address and former fiscal year, if changed since last report)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes þ[  ] No ¨[X]

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files). Yes ¨[  ] No þ[X]

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, or a non-accelerated filer, a smaller reporting company, or an emerging growth company.filer. See the definitionsdefinition of “accelerated filer” and “large accelerated filer,” “accelerated filer,” “smaller reporting company” and “emerging growth company”filer” in Rule 12b-2 of the Exchange Act. (Check one):

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ¨[  ]

Securities registered pursuant to Section 12(b) of the Act: None

Indicate by a check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ¨[X] No [  ]

þThere were 5,524,400 shares of issuer’s Common Stock outstanding as of May 20, 2021.

APPLICABLE TO CORPORATE ISSUERS:

TABLE OF CONTENTS

Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date.

1

TABLE OF CONTENTS

FORWARD-LOOKING STATEMENTS

This Quarterly Report on Form 10-Q (“Form 10-Q”) contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact are “forward-looking statements” for purposes of federal and state securities laws, including, but not limited to, any projections of earnings, revenue or other financial items; any statements of the plans, strategies and objectives of management for future operations; any statements concerning proposed new products or developments; any statements regarding future economic conditions or performance; any statements of belief; and any statements of assumptions underlying any of the foregoing. Although we believe that the expectations reflected in any of our forward-looking statements are reasonable, actual results could differ materially from those projected or assumed in any of our forward-looking statements. Our future financial condition and results of operations, as well as any forward-looking statements, are subject to change and inherent risks and uncertainties.

Forward-looking statements may include the words “may,” “could,” “will,” “estimate,” “intend,” “continue,” “believe,” “expect,” “desire,” “goal,” “should,” “objective,” “seek,” “plan,” “strive” or “anticipate,” as well as variations of such words or similar expressions, or the negatives of these words. These forward-looking statements present our estimates and assumptions only as of the date of this Form 10-Q. Except for our ongoing obligation to disclose material information as required by the federal securities laws, we do not intend, and undertake no obligation, to update any forward-looking statement. We caution readers not to place undue reliance on any such forward-looking statements. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual outcomes will likely vary materially from those indicated.

PART I.

Item 1. Financial Statements.

Pursuant to “Chapter 17 CFR, Section 210.3-11-Financial Statements of an Inactive Registrant” (“Section 210.3-11”), This Quarterly Filing Of The Financial Statements of the Company Were Not Reviewed by the Company’s Independent Auditors

EXSULAR FINANCIAL GROUP INC.

Index to Consolidated Financial Statements

PART I – FINANCIAL INFORMATION

ItemITEM 1. Condensed ConsolidatedFINANCIAL STATEMENTS AND SUPPLEMENTARY DATA

Exsular Financial Statements

Frontier Digital Media Group, Inc.

Condensed Consolidated Balance Sheets

As of September 30, 2017, and December 31, 2016

 (Unaudited)

See accompanying notes to unaudited condensed consolidated financial statements

Frontier Digital Media

Exsular Financial Group, Inc.

Condensed Consolidated Statements of Operations

For the three and nine months ended September 30, 2017 and 2016

(Unaudited)

*denotes net loss per common share of less than $0.01 per share.

See accompanying notes to unaudited condensed consolidated financial statements

Frontier Digital Media

Exsular Financial Group, Inc.

Condensed Consolidated Statements of Cash Flows

For the nine months ended September 30, 2017 and 2016(Unaudited)

(Unaudited)

See accompanying notes to unaudited condensed consolidated financial statements

Exsular Financial Group, Inc.

Condensed Consolidated Statements of Changes of Shareholders’ Equity (Deficit)

(Unaudited)

See accompanying notes to unaudited condensed consolidated financial statements

5

Frontier Digital MediaExsular Financial Group, Inc.

Notes to the Unaudited Condensed Consolidated Financial Statements

September 30, 2017

Note 1 — Interim Financial Statements

The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and with the rules and regulations of the U.S. Securities and Exchange Commission (“SEC”). Accordingly, these condensed consolidated financial statements do not include all of the information and footnotes required for audited annual financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary to make the condensed consolidated financial statements not misleading have been included. The balance sheet at December 31, 2016,2019, has been derived from the Company’s audited consolidated financial statements as of that date.

The unaudited condensed consolidated financial statements included herein should be read in conjunction with the audited consolidated financial statements and the notes thereto that are included in the Company’s Annual Report on Form 10-Ksame report (10-K) for the year ended December 31, 2016, that was filed with the SEC on March 28, 2017.2020. The results of operations for the three and nine months ended September 30, 2017,March 31, 2021, are not necessarily indicative of the results to be expected for the full year.

The unaudited condensed consolidated financial statements include the accounts of the Company and Smile Producer, Inc., its wholly owned subsidiary. Intercompany balances and transactions have been eliminated in consolidation.

Certain reclassifications of amounts previously reported have been made to the accompanying condensed consolidated financial statements in order to maintain consistency and comparability between the periods presented. The following reclassification was made to the fiscal year 2016 financial statements to be consistent with the fiscal year 2017 financial statements presented:

·

On the Condensed Consolidated Statements of Operations for the three and nine months ended September 30, 2016, $300 and $486, respectively, were reclassified from other general and administrative to cost of sales to be consistent with the 2017 presentation.

Note 2 — Going Concern

The Company’saccompanying financial statements have been prepared onassuming that the Company will continue as a going concern, basis, which contemplates the realization of assets and settlementthe liquidation of liabilities and commitments in the normal course of business.

The Company iscurrently has limited operations and has a stockholders’ deficit of $73,386 with an accumulated deficit of $141,288. The Company intends to find a merger target in the development stage with limited trading history, has yet to achieve sustained profitability, does not have the existing financial resources to fully implement its business plan and is consequently dependent on outside sourcesform of financing for continuation of its operations. an operating entity. The Company cannot be certain that it will be successful in this strategy.

These conditionsfactors, among others, raise substantial doubt about the Company’s ability of the Company to continue as a going concern for a reasonable period.

The Company plans to improve its financial condition through raising capital, however, there is no assurance that the Company will be successful in accomplishing this objective. Management believes that this plan provides an opportunity for the Company to continue as a going concern. The Company cannot give any assurances regarding the success of its management’s plans. The Company’saccompanying financial statements do not include any adjustments relating to the recoverability of recorded assets or liabilities that might be necessary should it be unable to continue as a going concern.result from the outcome of this uncertainty.

Note 3 — Summary of Significant Accounting Policies

The significant accounting policies followed by the Company for interim reporting are consistent with those included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2016.2020 and also in the notes to the annual consolidated financial statements for the year ended December 31, 2020. There were no material changes to our significant accounting policies during the interim period ended September 30, 2017.March 31, 2021.

Recent Accounting Pronouncements

We have reviewed all the recently issued, but not yet effective, accounting pronouncements and we do not believe any of these pronouncements will have a material impact on the Company.

In May 2014,December 2019, the FinancialFASB issued ASU 2019-12, Simplifying the Accounting Standards Board (the “FASB”) issuedfor Income Taxes, which simplifies the accounting for income taxes, eliminates certain exceptions within ASC 740, Income Taxes, and clarifies certain aspects of the current guidance to clarify the principles for recognizing revenue. The core principle of the guidance is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The guidance provides a comprehensive framework for revenue recognition that supersedes current general revenue guidance and most industry-specific guidance. In addition, the guidance requires improved disclosures to help users of financial statements better understand the nature, amount, timing, and uncertainty of revenue that is recognized.promote consistent application among reporting entities. The guidance is effective for fiscal years beginning after December 15, 2020, and interim periods within those fiscal years, with early adoption permitted. Upon adoption, the Company must apply certain aspects of this standard retrospectively for all periods presented while other aspects are applied on a modified retrospective basis through a cumulative-effect adjustment to retained earnings as of the beginning of the fiscal year of adoption. The adoption of this standard did not have a material impact on the Company’s financial statements.

In January 2020, the FASB issued ASU 2020-01 to clarify the interaction of the accounting for equity securities under ASC 321 and investments accounted for under the equity method of accounting in ASC 323 and the accounting for certain forward contracts and purchased options accounted for under ASC 815. With respect to the interactions between ASC 321 and ASC 323, the amendments clarify that an entity should consider observable transactions that require it to either apply or discontinue the equity method of accounting when applying the measurement alternative in ASC 321, immediately before applying or upon discontinuing the equity method of accounting. With respect to forward contracts or purchased options to purchase securities, the amendments clarify that when applying the guidance in ASC 815-10-15-141(a), an entity should not consider whether upon the settlement of the forward contract or exercise of the purchased option, individually or with existing investments, the underlying securities would be accounted for under the equity method in ASC 323 or the fair value option in accordance with ASC 825. The ASU is effective for interim and annual reporting periods beginning after December 15, 2017.2020. Early adoption is permitted. However, entities reporting under U.S. GAAP are not permitted, to adopt the standard earlier than the original effective date of December 15, 2016. An entity should apply the guidance either retrospectively to each prior reporting period presented or retrospectively with the cumulative adjustment at the date of the initial application.including adoption in any interim period. The Company is currently in the process of evaluating the impact of adoption of this standard did not have a material impact on the new accounting guidance on its consolidated financial statements and has not determined the impact of adoption on its consolidatedCompany’s financial statements.

Management believes that other recent accounting pronouncements issued by the FASB, including its Emerging Issues Task Force, the American Institute of Certified Public Accountants, and the Securities and Exchange Commission do not have a material impact on the Company’s present or near future financial statements.

Note 4 — Notes Payable –Due to a Related Parties

In September 2015, the Company issued a non-convertible promissory note payable to Venture Vest Capital Corporation, a related party, in the total amount of $8,000 to replace convertible notes payable issued in January 2015 and March 2015 to the same related party. The non-convertible promissory note had a maturity date of December 31, 2016, and was interest free until December 31, 2016. In January 2017, the promissory note was amended to extend the maturity date and the interest-free period to December 31, 2017.

In September 2015, the Company issued a second non-convertible promissory note payable to Venture Vest Capital Corporation for $6,500. The promissory note had a maturity date of December 31, 2016, and was interest free until December 31, 2016. In January 2017, the promissory note was amended to extend the maturity date and the interest-free period to December 31, 2017.

In March 2016, the Company issued a non-convertible promissory note payable to Terayco Enterprises, a related party, for $7,622. The promissory note had a maturity date of December 31, 2016, and was interest free until December 31, 2016. In January 2017, the promissory note was amended to extend the maturity date and the interest-free period to December 31, 2017.

In August 2016, the Company issued a promissory note payable to Patrick Dunda, the Company’s President and Chief Executive Officer, for $3,000. The promissory note has a maturity date of December 31, 2017, and pays zero interest through October 31, 2017, at which point an annual interest rate of 6% becomes effective until maturity or repayment.

Note 5 — Other Related Party Transactions

Related party revenue

The Company provides services to certain customers thatdoes not have cash resource or bank account. The Company’s major shareholder pays the Company has determined to be related parties. The president of these customers (VentureVest Capital Corporation, Terayco, Americans for Truth, and Carriage House) is the father of Janel Dunda, a principal of the Company.

Revenues, generated from website design services, from these related parties were $960 and $1,000expenses for the ninecompany’s operations. For the three months ended September 30, 2017March 31, 2021 and 2016,2020, the major shareholder paid expense of $13,613 and $4,286, respectively. As of September 30, 2017,March 31, 2021 and December 31, 2016, there2020, the balances due to the major shareholder were $70,486 and 56,873, respectively. These advances from the major shareholder are unsecured, non-interest bearing and payable on demand. There are no accounts receivable due from related parties.

Related party compensationwritten agreements for these advances.

An employee of the Company, Janel Dunda, is considered a related party as she is the spouse of the President and the majority shareholder of the Company. During the nine months ended September 30, 2017 and 2016, the Company incurred compensation expense of $26,488 and $0, respectively, for payroll expenses associated with Mrs. Dunda.

Professional fees paid by related partyNote 5 — Stockholder Equity

In August 2015 and January 2016, $7,622 of our legal expenses were paid by Terayco Enterprises, a company owned and operated by the father of Janel Dunda, a principal of the Company. In March 2016, the Company issued a note payable, discussed above in Note 4, to Terayco Enterprises in the amount of $7,622 to cover the legal expenses paid by Terayco Enterprises on behalf of the Company.

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Note 6 — Stockholder Equity

Common Stock

The Company is authorized to issue 100,000,000 shares of common stock, par value $0.001 per share. All shares of the Company’s common stock have equal rights and privileges with respect to voting, liquidation, and dividend rights. Each share of Common Stock entitles the holder thereof to:

Stockholders have no pre-emptive rights to acquire additional shares of common stock or any other securities. Common shares are not subject to redemption and carry no subscription or conversion rights. All outstanding shares of common stock are fully paid and non-assessable.

In 2015, the Company filed an S-1 Registration Statement to register 1,000,000 shares of the Company’s common stock to be sold to the public at the price of $0.05 per share for a total of $50,000. The Registration Statement became effective on December 30, 2015. During the nine months ended September 30, 2017 and 2016, the Company sold 447,400403,400 and 83,00059,000 shares, respectively, at $0.05 per share for gross proceeds of $22,370$20,170 and $4,150,$2,950, respectively. The shares were sold by the officers and Directors of the Company and no broker commissions were paid as a result of the sales.

As of SeptemberJune 30, 2017, 524,400480,400 shares of common stock have been sold pursuant to the S-1 Registration Statement at $0.05 per share for total gross proceeds of $26,220.$24,020. There can be no assurances that additional shares of common stock will be sold on the S-1 offering or that a trading market will develop for the shares.

As of September 30, 2017,March 31, 2021 and December 31, 2020, 5,524,400 shares of common stock were issued and outstanding.

Note 76 — Subsequent Events

The Company has evaluated subsequent events through the date of the filing of these interim financial statements. Based on this interim report on Form 10-Q. Theevaluation, the Company did not identify any significant subsequent events that would have a material effect on the consolidated financial statements, which would require an adjustment and/or additional disclosure.  be reportable.

Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations Operations

Our Management’s Discussion and Analysis should be read in conjunction with our unaudited condensed consolidated financial statements and related notes thereto included elsewhere in this quarterly report.

Forward-Looking Statements

This quarterly report on Form 10-Q contains “forward-looking statements” that include information relating to future events, future financial performance, strategies, expectations, competitive environment, regulation and availability of resources. These forward-looking statements include, without limitation, statements regarding: proposed new products or services; our statements concerning litigation or other matters; statements concerning projections, predictions, expectations, estimates or forecasts for our business, financial and operating results and future economic performance; statements of management’s goals and objectives; trends affecting our financial condition, results of operations or future prospects; our financing plans or growth strategies; and other similar expressions concerning matters that are not historical facts. Words such as “may,” “will,” “should,” “could,” “would,” “predicts,” “potential,” “continue,” “expects,” “anticipates,” “future,” “intends,” “plans,” “believes” and “estimates,” and similar expressions, as well as statements in future tense, identify forward-looking statements.

Forward-looking statements should not be read as a guarantee of future performance or results, and will not necessarily be accurate indications of the times at, or by which, that performance or those results will be achieved. Forward-looking statements are based on information available at the time they are made and/or management’s good faith belief as of that time with respect to future events, and are subject to risks and uncertainties that could cause actual performance or results to differ materially from those expressed in or suggested by the forward-looking statements. We assume no obligation to update forward-looking statements to reflect actual results, changes in assumptions or changes in other factors affecting forward-looking information, except to the extent required by applicable securities laws. If we do update one or more forward-looking statements, no inference should be drawn that we will make additional updates with respect to those or other forward-looking statements.

Business Overview

Frontier Digital MediaExsular Financial Group, Inc. (“we, “us,” “our,” or the “Company”) was incorporated in the state of Colorado on September 19, 2011. On March 20, 2013, we formed a wholly owned subsidiary company, Smile Producer, Inc., a Colorado corporation. Our principal executive offices are located at 2605 Red Hawk Ridge Drive, Castle Rock, Colorado 80109, telephone 303-999-8171.

We are a digital design and media company which develops and maintains websites and is a provider of marketing communications services to customers in the United States. We conduct our operations primarily through Smile Producer, Inc., our wholly owned subsidiary company.

We provide a range of marketing communications and consulting services, including all types of advertising, print and digital design, digital motion graphics and client website construction, interactive and mobile marketing, direct marketing, sales promotion, market research, corporate identity and branding, social media and other marketing related services. We have two revenue streams, marketing services and website hosting subscriptions.

We have not yet generated sustained profits from our operations. Our independent accountants have expressed a “going concern” opinion.

In 2015, the Company filed an S-1 Registration Statement to register 1,000,000 shares of the Company’s common stock to be sold to the public at the price of $0.05 per share for a total of $50,000. The Registration Statement became effective on December 30, 2015. As of the date of this filing, the Company had sold 524,400504,400 shares of common stock at $0.05 per share for gross proceeds of $26,220.$25,220. The shares were sold by the officers and Directors of the Company and no broker commissions were paid. There is no guarantee that additional shares will be sold from the Registration Statement.

Even if all of the shares offered on the S-1 Registration Statement are sold, our management will continue to own over a majority of the outstanding shares of the Company. As a result, they have the ability to determine the outcome on all matters requiring approval of our shareholders, including the election of directors and approval of significant corporate transactions.

Over the last nine months our business activities have increased, adding seven new customers so far this year. Our management team has increased the amount of time spent on our business. Currently, our Chief Executive Officer, Patrick Dunda, is focused full time on increasing our business to existing and new customers.

We intend to continue to buildhave not yet generated sustained profits from our business through additional advertisingoperations. Our independent accountants have expressed a “going concern” opinion on the consolidated financial statements for the year ended December 31, 2020. As of March 31, 2021, we had an accumulated deficit of $141,288 and marketing, specifically to Orthodontic and Dental Magazines and online marketing. Our plan is to target these niches, which we believe have been underserved or even un-served by other developers by creating original applications that address common problems. We have also identified these industries because our management has had extensive experience in these areas and has developed significant business contacts within these fields. No assurances can be provided that these business contacts or experience will result in our attempts to build a successful business.net working capital deficit of $73,386.

We also intend to focusWhile our marketing efforts on the general audience and intend to market on a more local level and through referrals. If need arises wecurrent burn rate is nominal, it is expected that our costs of operations will broaden our marketing efforts in a wider range of national on-line advertising.

Today’s marketing is focused around digital design, using the internet as its primary outlet. We utilize all sources of digital design to produce marketing materials for our clients, including websites and social media, logo design, and print design as well as any other marketing necessary for the client’s business growth. We intend to continue to attemptexceed revenues, primarily due to expand our business of hosting websites and in the development of websites, and other marketing programs, SEO management, designing ads, brochures, logo design, social media and other advertising media.

costs associated with being a public reporting company. Based upon our current business plan, we may continue to incur losses in the foreseeable future and there can be no assurances that we will ever establish profitable operations. These and other factors raise substantial doubt about our ability to continue as a going concern.

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Critical Accounting Policies, Judgments and Estimates

Our discussion and analysis of our financial condition and results of operations is based upon our consolidated financial statements, which have been prepared in accordance with U.S. Generally Accepted Accounting Principles (“GAAP”). The preparation of these consolidated financial statements requires us to make estimates, judgments and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses, and the related disclosure of contingent assets and liabilities. We base our estimates on historical experience and on various other assumptions that we believe are reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates.

An accounting policy is considered to be critical if it requires an accounting estimate to be made based on assumptions about matters that are highly uncertain at the time the estimate is made, and if different estimates that reasonably could have been used, or changes in the accounting estimate that are reasonably likely to occur, could materially impact the consolidated financial statements. We believe that the following critical accounting policies reflect the more significant estimates and assumptions used in the preparation of the consolidated financial statements.

Revenue Recognition

In May 2014 the FASB issued Accounting Standards Update (ASU) No. 2014-09, Revenue is recognizedfrom Contracts with Customers (Topic 606), which supersedes all existing revenue recognition requirements, including most industry specific guidance. This new standard requires a company to recognize revenues when persuasive evidenceit transfers goods or services to customers in an amount that reflects the consideration that the company expects to receive for those goods or services. The FASB subsequently issued the following amendments to ASU No. 2014-09 that have the same effective date and transition date: ASU No. 2016-08, Revenue from Contracts with Customers (Topic 606): Principal versus Agent Considerations; ASU No. 2016-10, Revenue from Contracts with Customers (Topic 606): Identifying Performance Obligations and Licensing; ASU No. 2016-12, Revenue from Contracts with Customers (Topic 606): Narrow-Scope Improvements and Practical Expedients; and ASU No. 2016-20, Technical Corrections and Improvements to Topic 606, Revenue from Contracts with Customers. The Company adopted these amendments with ASU 2014-09 (collectively, the new revenue standards).

Under the new revenue standards, the Company recognizes revenues when its customer obtains control of promised goods or services, in an arrangement exists, such as whenamount that reflects the consideration which it expects to receive in exchange for those goods. The Company recognizes revenues following the five step model prescribed under ASU No. 2014-09: (i) identify contract(s) with a purchase order or contract is received from a customer,customer; (ii) identify the performance obligations in the contract; (iii) determine the transaction price; (iv) allocate the transaction price is fixed, title to the goods has passed or services have been rendered,performance obligations in the contract; and there is reasonable assurance of collection. The Company classifies selling discounts and rebates, if any, as a reduction of revenue.(v) recognize revenues when (or as) we satisfy the performance obligation.

The new revenue standards became effective for the Company on January 1, 2018, and were adopted using the modified retrospective method. The adoption of the new revenue standards as of January 1, 2018 did not change the Company’s revenue recognition as there were no revenues during the period

Accounts receivable

The Company reviews accounts receivable periodically for collectability and establishes an allowance for doubtful accounts and records bad debt expense when deemed necessary. Our allowance for doubtful accounts is maintained to provide for losses arising from customers’ inability to make required payments. If there is deterioration of our customers’ credit worthiness and/or there is an increase in the length of time that the receivables are past due greater than the historical assumptions used, additional allowances may be required. As of September 30, 2017,March 31, 2021, and December 31, 2016,2020, no allowance for doubtful accounts was deemed necessary.

Income Taxes

The Company follows the asset and liability method of accounting for future income taxes. Under this method, future income tax assets and liabilities are recorded based on temporary differences between the carrying amount of assets and liabilities and their corresponding tax basis. In addition, the future benefits of income tax assets including unused tax losses, are recognized, subject to a valuation allowance to the extent that it is more likely than not that such future benefits will ultimately be realized. Future income tax assets and liabilities are measured using enacted tax rates and laws expected to apply when the tax liabilities or assets are to be either settled or realized. The Company’s effective tax rate approximates the Federal statutory rates.

Results of Operations for the Three and Nine months ended September 30, 2017Months Ended March 31, 2021 compared to the Three and Nine months ended September 30, 2016Months Ended March 31, 2020

During the three and nine months ended September 30, 2017,March 31, 2021, we generated revenues of $7,026 and $31,784, respectively, compared to revenues of $2,418 and $7,599 generated$0, the same as during the three and nine months ended September 30, 2016, respectively. The increasesMarch 31, 2020, as the Company ceased its operations of $4,608 and $24,185, respectively, for the three and nine months ended September 30, 2017, were attributable to increased activity from our recurring customer base and revenues generated from new customers acquired during 2017. Revenues from related parties decreased $40 to $960 for the nine months ended September 30, 2017, compared to $1,000 for the nine months ended September 30, 2016.its subsidiary Smile Producer Inc.

Operating expenses, including cost of sales, related party compensation, and general and administrative expenses, during the three and nine months ended September 30, 2017,March 31, 2021 were $7,172 and $48,043, respectively,$15,238, compared to $3,699 and $15,120$5,511 during the three and nine months ended September 30, 2016, respectively.March 31, 2020.

The increase of $3,473$9,727 in operating expenses during the three months ended September 30, 2017,March 31, 2021, compared with the same period during 20162020 was attributedprimarily due to increasesthe increase of $4,156 in related party compensation and $264 in credit card fees associated with increased revenues and collections; partially offset by decreasesprofessional services for the SEC filing.

During the three months ended March 31, 2021, the Company incurred net loss of $900 in professional fees and $47 in other administrative expenses15,238, compared to net loss of $5,511 during the three months ended September 30, 2017.

The increase of $32,923 in operating expenses during the nine months ended September 30, 2017, compared with the same period during 2016 was attributed to increases of $26,488 in related party compensation, $3,878 in expenses associated with a customer’s marketing campaign, $1,267 in credit card fees associated with increased revenues and collections, and $1,325 in professional fees associated with quarterly SEC filings; partially offset by a decrease of $35 in other administrative expenses.

During the three and nine months ended September 30, 2017, the Company incurred net losses of $146 and $16,259, respectively, compared to net losses of $1,281 and $7,521 during the three and nine months ended September 30, 2016, respectively. The decrease in the net loss of $1,135 for the three months ended September 30, 2017, was related to the increase of $4,608 in revenues, partially offset by an increase of $3,473 in operating expenses as discussed above.March 31, 2020. The increase in the net loss of $8,738$9,727 for the ninethree months ended September 30, 2017,March 31, 2021, was due to the increase of $32,923 in operating expenses, partially offset by an increase in revenues of $24,185 as discussed above.professional services for the SEC filings.

Liquidity and Capital Resources

As of September 30, 2017,March 31, 2021 and December 31, 2020, we had a cash balance of $8,052,$0. As we explained earlier, the Company does not keep a decrease of $1,979 from a balance of $10,031 at December 31, 2016. The decrease duringbank account and the nine months ended September 30, 2017, wasmajor shareholder funds the result of net cash used for operations of $24,349, partially offset by net cash provided by financing activities of $22,370 during the period.Company’s operations.

Operating Activities

Net cash used in operating activities was $24,349$0 during the ninethree months ended September 30, 2017, compared with $7,213 used in operating activities duringMarch 31, 2021 and 2020. During the ninethree months ended September 30, 2016.March 31, 2021, the major shareholder paid $13,613 for the Company’s operations, compared to the same period during 2020; the major shareholder paid $4,286. The $17,136 increase in cash used in operationsof $9,327 was due to an increase in net loss of $8,738 and anthe increase of $8,398the activities in working capital requirements during the nine months ended September 30, 2017.SEC filing preparations.

Investing Activities

We neither generated nor used cash in investing activities during the ninethree months ended September 30, 2017March 31, 2021 and 2016.2020.

Financing Activities

NetWe neither generated nor used cash flows provided byin financing activities were $22,370 and $12,572 during theninethe three months ended September 30, 2017March 31, 2021 and 2016, respectively.2020.

During the nine months ended September 30, 2017 and 2016, the Company sold 447,400 and 83,000 shares, respectively, at $0.05 per share for gross proceeds of $22,370 and $4,150, respectively. The shares were sold by the officers and Directors of the Company and no broker commissions were paid as a result of the sales.

During the nine months ended September 30, 2016, the Company repaid promissory notes payable issued to related parties in the amount of $2,200.

During the nine months ended September 30, 2016, the Company issued non-convertible promissory notes payable to related parties in the amount of $10,622.

Going Concern

The accompanying financial statements have been prepared assuming that the Company will continue as a going concern. As shownconcern, which contemplates the realization of assets and the liquidation of liabilities in the accompanying financial statements, we have incurred net lossesnormal course of $16,259business. The Company currently has limited operations and $7,521 for the nine months ended September 30, 2017 and 2016, respectively, and havehas a working capitalstockholders deficit of $15,678 as$73,386 with an accumulated deficit of September 30, 2017, which raises$141,288. The Company intends to find a merger target in the form of an operating entity. The Company cannot be certain that it will be successful in this strategy.

These factors, among others, raise substantial doubt about the Company’s ability to continue as a going concern.

Management believes the Company will continue to incur losses and negative cash flows from operating activities for the foreseeable future and will need additional equity or debt financing to sustain its operations until it can achieve profitability and positive cash flows, if ever. Management plans to seek additional debt and/or equity financing for the Company, but cannot assure that such financing will be available on acceptable terms.

In 2015, the Company filed an S-1 Registration Statement to register 1,000,000 shares of the Company’s common stock to be sold to the public at the price of $0.05 per share for a total of $50,000. The Registration Statement became effective on December 30, 2015. As of the date of this filing, the Company has sold 524,400 shares of common stock at $0.05 per share for gross proceeds of $26,220.

The shares were sold by the officers and Directors of the Company and no broker commissions were paid. There is no guarantee that additional shares will be sold from the Registration Statement.

The funds raised on the offering will be used for the payment of costs incurred in the filing of the S-1 Registration Statement and for operating capital for the Company.

With the filing of the S-1 Registration Statement, the Company became a “Reporting Company” as that term is defined by the SEC. As a “Reporting Company”, we will be filing quarterly and annual reports with the SEC, thus incurring the additional costs of audits and legal fees.

While it is hoped that the sale of common stock will be sufficient to meet the financial needs of the Company for the next 12 months, it may be necessary for current management to advance the Company additional funds to meet the needs of the Company.

Our current management has agreed to advance funds to the Company on an “as needed” basis.

Should existing management, stockholders or our affiliates refuse to advance needed funds, however, we would be forced to turn to outside parties to either lend funds to us or buy our securities. There is no assurance that we will be able to raise the necessary funds, when needed, from outside sources. Such a lack of funds could result in severe consequences to us, including among others: 

The Company’s continuation as a going concern is dependent upon its ability to ultimately attain profitable operations, generate sufficient cash flow to meet its obligations, and obtain additional financing as may be required. The accompanying financial statements do not include any adjustments that might result from the outcome of this uncertainty. There can be no assurance that management will be successful in implementing its business plan or that the successful implementation of such business plan will actually improve our operating results.

Off Balance Sheet Arrangements

We have not entered into any off-balance sheet arrangements.

Inflation

We do not believe that inflation has had in the past or will have in the future any significant negative impact on our operations.

ItemITEM 3. Quantitative and Qualitative Disclosures about Market RiskQUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISKS.

Not required for an emerging growth company.Applicable.

Item

ITEM 4. Controls and ProceduresCONTROLS AND PROCEDURES.

Evaluation of Disclosure Controls and Procedures

UnderWe carried out an evaluation of the effectiveness of disclosure controls and procedures as of the end of the period covered by this report under the supervision and with the participation of our management, including our chief executive officerPrincipal Executive Officer and principal financial officer, we conducted anPrincipal Financial Officer, as defined in Rules 13a-15(e) and 15d-15(e) of the Securities Exchange Act of 1934. Based on that evaluation, ofour Principal Executive Officer and Principal Financial Officer have concluded that our disclosure controls and procedures as suchof March 31, 2021 were not effective to ensure that information required to be disclosed by us in reports that we file or submit under the Securities Exchange Act of 1934 is recorded, processed, summarized and reported within the time periods specified in the Securities and Exchange Commission’s rules and forms. The term is“disclosure controls and procedures,” as defined under Rule 13a-15(e) and Rule 15d-15(e) promulgated under the Securities Exchange Act of 1934, as amended as of March 31, 2017. Based on this evaluation, our chief executive officer and principal financial officer have concluded such(the “Exchange Act”), means controls and other procedures to be ineffective as of September 30, 2017,a company that are designed to ensure that information required to be disclosed by the issuera company in the reports that it files or submits under the Exchange Act is recorded, processed, summarized and reported, within the time periods specified in the Commission’sSEC’s rules and formsforms. Management recognizes that any controls and to ensure that information required to be disclosed by an issuerprocedures, no matter how well designed and operated, can provide only reasonable assurance of achieving their objectives and management necessarily applies its judgment in evaluating the reports that it files or submits undercost-benefit relationship of possible controls and procedures. Notwithstanding the Act is accumulated and communicated toidentified material weaknesses, management believes the issuer’s management, including its principal executive and principal financial officers, or persons performing similar functions, as appropriate to allow timely decisions regarding required disclosure.

In connection with the preparation ofstatements included in this quarterly report on Form 10-Q fairly represent in all material respects our financial statementscondition, results of operations and cash flows at and for the year ended December 31, 2016, and the interim periods during 2017, due to resource constraints, material weaknesses became evident to management regarding our inability to generate all the necessary disclosure for inclusionpresented in our filingsaccordance with the Securities and Exchanges Commission (the "SEC") due to the lack of resources and segregation of duties. A material weakness is a significant deficiency in one or more of the internal control components that alone or in the aggregate precludes our internal controls from reducing to an appropriately low level the risk that material misstatements in our consolidated financial statements will not be prevented or detected on a timely basis.U.S. GAAP.

ChangeChanges in Internal Control over Financial Reporting

During the interim period ended September 30, 2017, there wereThere have been no changes in our internal control over financial reporting identified in connection with the evaluation required by paragraph (d) of SecuritiesRule 13a-15 or Rule 15d-15 under the Exchange Act Rules 13a-15 or 15d-15 that haveoccurred during the three months ended March 31, 2021, that has materially affected, or areis reasonably likely to materially affect, our internal control over financial reporting. We intend to recruit additional professionals, as our business conditions warrant, to ensure that we include all necessary disclosure in our filings with the Securities and Exchange Commission. Although we believe that these corrective steps will enable management to conclude that the internal controls over our financial reporting are effective when the staff is in place and trained, we cannot provide assurance that these steps will be sufficient. We may be required to expend additional resources to identify, assess and correct any additional weaknesses in internal control.

PART II — OTHER INFORMATION

ItemITEM 1. Legal ProceedingsLEGAL PROCEEDINGS.

There are no legal proceedings which are pending or have been threatened against us orthe Company and the Company is unaware of any of our officers, directors or control persons of which management is aware.proceedings contemplated against it.

Item 1A. Risk FactorsFactors.

NotIn accordance with the requirements of Form 10-Q, the Company, as a smaller reporting company, is not required for an emerging growth company.to make the disclosure under this item.

Item 2. Unregistered Sales of Equity Securities and Use of ProceedsProceeds.

There were no unregistered sales of equity securities during the interim periods ended September 30, 2017 and 2016.None

Item 3. Defaults uponUpon Senior SecuritiesSecurities.

None.None

Item 4. Mine Safety DisclosuresDisclosures.

Not applicable.None

Item 5. Other InformationInformation.

None.None

Item 6. ExhibitsExhibits.

(a) Exhibits.

Exhibit 31.1 — Section 302 Certificate of Principal Executive Officer

Exhibit 31.2 — Section 302 Certificate of Principal Financial Officer

Exhibit 32.1 — Section 906 Certificate of Principal Executive Officer

Exhibit 32.2 — Section 906 Certificate of Principal Financial Officer

SIGNATURES

Pursuant toIn accordance with the requirements of Section 13 or 15(d) of the Securities Exchange Act, of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

FRONTIER DIGITAL MEDIA

	EXSULAR FINANCIAL GROUP INC.
Date: May 21, 2021	/s/ Seng Yeap Kok
	Seng Yeap Kok, President and CEO (Principal Executive Officer)
Date: May 21, 2021	/s/ Chew Chye Lau
	Chew Chye Lau, CFO (Chief Financial Officer)

EXHIBIT INDEX

18