Cover
Cover - shares | 6 Months Ended | |
Jan. 31, 2024 | Mar. 14, 2024 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Document Period End Date | Jan. 31, 2024 | |
Document Fiscal Period Focus | Q2 | |
Document Fiscal Year Focus | 2024 | |
Current Fiscal Year End Date | --07-31 | |
Entity File Number | 000-54439 | |
Entity Registrant Name | HARTFORD GREAT HEALTH CORP. | |
Entity Central Index Key | 0001482554 | |
Entity Tax Identification Number | 51-0675116 | |
Entity Incorporation, State or Country Code | NV | |
Entity Address, Address Line One | 8832 Glendon Way | |
Entity Address, City or Town | Rosemead | |
Entity Address, State or Province | CA | |
Entity Address, Postal Zip Code | 91770 | |
City Area Code | (626) | |
Local Phone Number | 321-1915 | |
Title of 12(b) Security | Common stock, par value $0.001 par value | |
Trading Symbol | HFUS | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | true | |
Elected Not To Use the Extended Transition Period | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 100,108,000 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) | Jan. 31, 2024 | Jul. 31, 2023 |
Current Assets | ||
Cash and cash equivalents | $ 8,484 | $ 5,793 |
Prepaid and Other current receivables | 282 | 280 |
Total Current Assets | 9,730 | 7,037 |
Non-current Assets | ||
Property and equipment, net | 597 | 730 |
Total Non-current Assets | 597 | 730 |
TOTAL ASSETS | 10,327 | 7,767 |
Current Liabilities | ||
Other current payable | 131,835 | 130,279 |
Total Current Liabilities | 4,572,172 | 4,497,473 |
TOTAL LIABILITIES | 4,572,172 | 4,497,473 |
Commitments and contingencies | ||
Stockholders’ Equity (Deficit) | ||
Preferred stock - $0.001 par value, 5,000,000 shares authorized, no shares issued and outstanding | ||
Common stock - $0.001 par value, 300,000,000 shares authorized, 100,108,000 shares outstanding at both of January 31, 2024 and July 31, 2023. | 100,108 | 100,108 |
Additional paid-in capital | 2,173,521 | 2,173,521 |
Accumulated deficit | (7,049,170) | (7,003,717) |
Accumulated other comprehensive income | 213,696 | 240,382 |
Total Stockholders’ Deficit | (4,561,845) | (4,489,706) |
TOTAL LIABILITIES AND STOCKHOLDERS’ DEFICIT | 10,327 | 7,767 |
Related Party [Member] | ||
Current Assets | ||
Related party receivable | 964 | 964 |
Current Liabilities | ||
Related party loan and payables | $ 4,440,337 | $ 4,367,194 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares | Jan. 31, 2024 | Jul. 31, 2023 |
Statement of Financial Position [Abstract] | ||
Preferred stock, par value | $ 0.001 | $ 0.001 |
Preferred stock, shares authorized | 5,000,000 | 5,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 300,000,000 | 300,000,000 |
Common stock, shares outstanding | 100,108,000 | 100,108,000 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations (Unaudited) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jan. 31, 2024 | Jan. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | |
Income Statement [Abstract] | ||||
Revenue - Related Party | $ 62,443 | $ 62,443 | ||
Cost of revenue - Related Party | 55,505 | 55,505 | ||
Gross Profit | 6,938 | 6,938 | ||
Operating expenses | ||||
Selling, general and administrative | 21,942 | 21,362 | 42,134 | 76,010 |
Total operating expenses | 21,942 | 21,362 | 42,134 | 76,010 |
Operating Loss | (15,004) | (21,362) | (35,196) | (76,010) |
Other Income (Expense) | ||||
Interest (expense), net | (5,067) | (4,089) | (10,331) | (8,178) |
Gain on disposal of subsidiary | 539,230 | |||
Other income (expense), net | 74 | 74 | (91) | |
Other income (expense), net | (4,993) | (4,089) | (10,257) | 530,961 |
(Loss) income before income taxes | (19,997) | (25,451) | (45,453) | 454,951 |
Income Tax Expense | ||||
Net (loss) income | $ (19,997) | $ (25,451) | $ (45,453) | $ 454,951 |
Net (loss) income per common share: | ||||
Net loss per common share, basic | $ 0 | $ 0 | $ 0 | $ 0 |
Net loss per common share, diluted | $ 0 | $ 0 | $ 0 | $ 0 |
Weighted average shares outstanding - basic | 100,108,000 | 100,108,000 | 100,108,000 | 100,108,000 |
Weighted average shares outstanding - diluted | 100,108,000 | 100,108,000 | 100,108,000 | 100,108,000 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jan. 31, 2024 | Jan. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | |
Income Statement [Abstract] | ||||
Net (loss) income | $ (19,997) | $ (25,451) | $ (45,453) | $ 454,951 |
Other Comprehensive (loss) income, net of income tax | ||||
Foreign currency translation adjustments | (123,853) | (322,644) | (26,686) | 23,289 |
Total other comprehensive (loss) income | (123,853) | (322,644) | (26,686) | 23,289 |
Total Comprehensive (loss) income | $ (143,850) | $ (348,095) | $ (72,139) | $ 478,240 |
Condensed Consolidated Statem_3
Condensed Consolidated Statement of Changes in Stockholders' Equity (Deficit) - USD ($) | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | AOCI Attributable to Parent [Member] | Noncontrolling Interest [Member] | Total |
Beginning balance, value at Jul. 31, 2022 | $ 100,108 | $ 2,173,521 | $ (7,400,620) | $ (16,742) | $ (1,288,916) | $ (6,432,649) |
Balance, shares at Jul. 31, 2022 | 100,108,000 | |||||
Net income (loss) | 480,402 | 480,402 | ||||
Foreign currency translation adjustment | 345,933 | (18,670) | 327,263 | |||
Disposal of subsidiary | 1,307,586 | 1,307,586 | ||||
Balance, at Oct. 31, 2022 | $ 100,108 | 2,173,521 | (6,920,218) | 329,191 | (4,317,398) | |
Balance, shares at Oct. 31, 2022 | 100,108,000 | |||||
Beginning balance, value at Jul. 31, 2022 | $ 100,108 | 2,173,521 | (7,400,620) | (16,742) | (1,288,916) | (6,432,649) |
Balance, shares at Jul. 31, 2022 | 100,108,000 | |||||
Net income (loss) | 454,951 | |||||
Balance, at Jan. 31, 2023 | $ 100,108 | 2,173,521 | (6,945,669) | 6,547 | (4,665,493) | |
Balance, shares at Jan. 31, 2023 | 100,108,000 | |||||
Beginning balance, value at Oct. 31, 2022 | $ 100,108 | 2,173,521 | (6,920,218) | 329,191 | (4,317,398) | |
Balance, shares at Oct. 31, 2022 | 100,108,000 | |||||
Net income (loss) | (25,451) | (25,451) | ||||
Foreign currency translation adjustment | (322,644) | (322,644) | ||||
Balance, at Jan. 31, 2023 | $ 100,108 | 2,173,521 | (6,945,669) | 6,547 | (4,665,493) | |
Balance, shares at Jan. 31, 2023 | 100,108,000 | |||||
Beginning balance, value at Jul. 31, 2023 | $ 100,108 | 2,173,521 | (7,003,717) | 240,382 | (4,489,706) | |
Balance, shares at Jul. 31, 2023 | 100,108,000 | |||||
Net income (loss) | (25,456) | (25,456) | ||||
Foreign currency translation adjustment | 97,167 | 97,167 | ||||
Balance, at Oct. 31, 2023 | $ 100,108 | 2,173,521 | (7,029,173) | 337,549 | (4,417,995) | |
Balance, shares at Oct. 31, 2023 | 100,108,000 | |||||
Beginning balance, value at Jul. 31, 2023 | $ 100,108 | 2,173,521 | (7,003,717) | 240,382 | (4,489,706) | |
Balance, shares at Jul. 31, 2023 | 100,108,000 | |||||
Net income (loss) | (45,453) | |||||
Balance, at Jan. 31, 2024 | $ 100,108 | 2,173,521 | (7,049,170) | 213,696 | (4,561,845) | |
Balance, shares at Jan. 31, 2024 | 100,108,000 | |||||
Beginning balance, value at Oct. 31, 2023 | $ 100,108 | 2,173,521 | (7,029,173) | 337,549 | (4,417,995) | |
Balance, shares at Oct. 31, 2023 | 100,108,000 | |||||
Net income (loss) | (19,997) | (19,997) | ||||
Foreign currency translation adjustment | (123,853) | (123,853) | ||||
Balance, at Jan. 31, 2024 | $ 100,108 | $ 2,173,521 | $ (7,049,170) | $ 213,696 | $ (4,561,845) | |
Balance, shares at Jan. 31, 2024 | 100,108,000 |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) | 6 Months Ended | |
Jan. 31, 2024 | Jan. 31, 2023 | |
Cash flows from operating activities: | ||
Net (loss) income | $ (45,453) | $ 454,951 |
Adjustments to reconcile net income (loss) to net cash used in operating activities: | ||
Depreciation | 136 | |
Disposal of subsidiaries | (539,230) | |
Changes in operating assets and liabilities: | ||
Prepaid and Other current receivables | 827 | |
Related party receivables and payables | 10,330 | 26,955 |
Other current payable | 694 | (6,631) |
Net cash used in operating activities | (34,293) | (63,128) |
Cash flows from investing activities: | ||
Net cash used in investing activities | ||
Cash flows from financing activities: | ||
Proceeds of related party notes payable | 36,000 | 60,000 |
Advances from related parties | 971 | |
Net cash provided by financing activities | 36,971 | 60,000 |
Effect of exchange rate changes on cash | 13 | (1,524) |
Net change in Cash, cash equivalents and restricted cash | 2,691 | (4,652) |
Cash, cash equivalents and restricted cash at beginning of period | 5,793 | 15,227 |
Cash, cash equivalents and restricted cash at end of period | 8,484 | 10,575 |
Supplemental Cash Flow Information | ||
Interest paid | ||
Income taxes paid |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 6 Months Ended |
Jan. 31, 2024 | |
Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | NOTE 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES This summary of significant accounting policies is presented to assist in understanding the Company’s financial statements. The financial statements and notes are the responsibility of the Company’s management. These accounting policies conform to accounting principles generally accepted in the United States of America (“US GAAP”) and have been consistently applied in the preparation of the financial statements. This disclosure should be read in conjunction with our audited financial statements for the year ended July 31, 2023, including footnotes, contained in our Annual Report on Form 10-K. Organization Hartford Great Health Corp. was originally incorporated in the State of Nevada on April 2, 2008 under the name PhotoAmigo, Inc. It changed its name to Hartford Great Health Corp. on August 22, 2018 and since then we have been engaged in activities to formulate and implement our business plans. Through its wholly owned subsidiary - Hangzhou Hartford Comprehensive Health Management, Ltd (“HZHF) and HZHF’s 60 90 The Company started to engage in early childhood education industry at Hartford International Education Technology Co., Ltd (“HF Int’l Education”). On July 24, 2019 and March 23, 2020, HF Int’l Education established two 100 96 4 Impacted by the government regulation implemented in education industry and the restrictions posted by the Chinese government to control the pandemic in China since 2021, to avoid further operation losses, on August 1, 2022, HFSH entered a contract with a related party, Shanghai Oversea Chinese Culture Media Ltd. (“SH Oversea”), to sell 90 900 5,850 100 1,000 6,500 On January 10, 2024, HFSH changed its legal name from Shanghai Hartford Health Management, Ltd. to Hartford ZY Culture Media (Shanghai) Co., Ltd., hereon refer to as “HFZY”. and started to deliver media and advertisement services. HFZY mainly engage in social media advertising business on mainstream social media platforms such as Tik Tok, Toutiao, Kwai, RED, WeChat, and more. As an advertising partner of China’s major social media platforms, it provides customers with vertical integration services from early-stage advertising video creativity, shooting, editing, to advertising operation and management on social media apps. HFZY is one of the total solution advertising providers for domestic social media industry in China. Basis of Presentation The consolidated financial statements include the accounts of Hartford Great Health Corp, its wholly-owned subsidiaries and subsidiaries in which it has a controlling interest. The Company reports noncontrolling interests of the consolidated entities as a component of equity separate from the Company’s equity. All material inter-company transactions between and among the Company and its consolidated subsidiaries have been eliminated in the consolidation. Use of Estimates The preparation of financial statements in conformity with US GAAP requires the Company’s management to make estimates and assumptions that affect the amounts of assets and liabilities, the identification and disclosure of impaired assets and contingent liabilities at the date of the financial statements, and the reported amounts of expenses during the reporting period. Actual results could differ from those estimates. Income Taxes The Company accounts for income taxes using the asset and liability method in accordance with ASC 740, Accounting for Income Taxes. The asset and liability method provides that deferred tax assets and liabilities are recognized for the expected future tax consequences of temporary differences between the financial reporting and tax bases of assets and liabilities, and for operating loss and tax credit carry forwards. Deferred tax assets and liabilities are measured using the currently enacted tax rates and laws that will be in effect when the differences are expected to reverse. The Company records a valuation allowance to reduce deferred tax assets to the amount that is believed more likely than not to be realized. The Tax Reform Act permanently reduces the U.S. corporate income tax rate to a flat 21% rate, effective January 1, 2018. In addition, the 2017 Tax Act also creates a new requirement that certain income (i.e., Global Intangible Low-Taxed Income (“GILTI”)) earned by controlled foreign corporations (“CFCs”) must be included in the gross income of the CFCs’ U.S. shareholder income. The tax law in PRC applies an income tax rate of 25% to all enterprises. The Company’s subsidiary does not receive any preferential tax treatment from local government Revenue Recognition The Company follows the five steps approach for revenue recognition under Topic 606: (i) identify the contract(s) with a customer, (ii) identify the performance obligations in the contract, (iii) determine the transaction price, (iv) allocate the transaction price to the performance obligations in the contract, and (v) recognize revenue when (or as) we satisfy a performance obligation. Billings to customers for which services are not rendered are considered deferred revenue. The Company’s revenue is recognized when it satisfies a single performance obligation by transferring control of its products or providing services to a customer. The Company’s general payment terms are short-term in duration. The Company does not have significant financing components or payment terms. The Company is developing business plan to provide customers with vertical integration services from early-stage advertising video creativity, shooting, editing, to advertising operation and management on social media apps. Most of the advertising revenue will be generated by placing ad products on Tik Tok, Toutiao, Kwai, RED, WeChat, and other third-party affiliated websites and mobile applications. The revenues from the display of impression-based ads will be recognized in the contracted period in which the impressions are delivered. The Company will also generate revenue from the delivery of certain services, such as the creation and delivery of ads that appear on third-party publishers’ websites and social platforms. The Company recognizes revenues from these services in the period in which the service is completed. During current reporting period, the Company generated $ 62,443 In the past years, the company’s main operations were focusing on Early childhood education services and Hospitality services. Impacted by the Covid-19 pandemic and Chinese regulation on education industry, both early childhood education services and hospitality services have been sold on August 1 2022. Thus, there was no revenue recognized for the three and six months ended January 31, 2023. See Note 3 Acquisitions and Disposals. Recent Accounting Pronouncements Recently not yet adopted accounting pronouncements In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740), Improvements to Income Tax Disclosures. The new guidance requires enhanced disclosures about income tax expenses. The Company is required to adopt this guidance in the first quarter of the fiscal year 2026. Early adoption is permitted on a prospective basis. We are currently evaluating the impact of this ASU on our annual income tax disclosures. In November 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280), Improvements to Reportable Segment Disclosures. The new guidance requires enhanced disclosures about significant segment expenses. The Company is required to adopt this guidance for its annual reporting in fiscal year 2025 and for interim period reporting beginning the first quarter of fiscal year 2026 on a retrospective basis. Early adoption is permitted. We are currently evaluating the impact of this ASU on our segment disclosures. The Company does not believe other recently issued but not yet effective accounting standards, if currently adopted, would have a material effect on the consolidated financial position, statements of operations and cash flows. |
GOING CONCERN
GOING CONCERN | 6 Months Ended |
Jan. 31, 2024 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
GOING CONCERN | NOTE 2. GOING CONCERN The accompanying financial statements were prepared on a going concern basis, which contemplates the realization of assets and the satisfaction of obligations in the normal course of business. However, Hartford Great Health Corp. has incurred losses since inception, resulting in an accumulated deficit of $ 7,049,170 In view of these matters, continuation as a going concern is dependent upon several factors, including the availability of debt or equity funding upon terms and conditions acceptable to Hartford Great Health Corp., and ultimately achieving profitable operations. Management believes that Hartford Great Health Corp.’s business plan provides it with an opportunity to continue as a going concern. However, management cannot provide assurance that Hartford Great Health Corp. will meet its objectives and be able to continue in operation. The financial statements do not include any adjustments to reflect the possible future effects on the recoverability and classification of assets or the amounts and classification of liabilities that may result from the possible inability of Hartford Great Health Corp. to continue as a going concern. |
ACQUISITIONS AND DISPOSALS
ACQUISITIONS AND DISPOSALS | 6 Months Ended |
Jan. 31, 2024 | |
Business Combination and Asset Acquisition [Abstract] | |
ACQUISITIONS AND DISPOSALS | NOTE 3. ACQUISITIONS AND DISPOSALS In January 2019, HFSH entered agreements to acquire 100 100 Impacted by the government regulation newly implemented in education industry and the restrictions posted by the Chinese government to control the pandemic in China since 2021, the Company’s business hasn’t been developed as planned and occurred significant loss from the early child education practice. To avoid further operation losses, subsequently on August 1, 2022, HFSH entered a contract with a related party, Shanghai Oversea Chinese Culture Media Ltd. (“SH Oversea”), to sell 90 900 5,850 100 1,000 6,500 SCHEDULE OF NET ASSETS (LIABILITIES) DISPOSED OF SUBSIDIARY Net assets (liabilities) disposed of: Cash and cash equivalents $ 4,938 Prepaid and Other current receivables 45,532 Related party receivable 428,519 Inventory 305,124 Property and equipment - Net 582,707 ROU assets-Operating lease 2,836,698 Other assets 296,218 Related party loan and payables (1,321,549 ) Contract liabilities (547,906 ) Lease liabilities, current and noncurrent (3,715,688 ) Other current payable (401,782 ) Other liabilities (357,796 ) Noncontrolling interest 1,307,586 Net assets (liabilities) of the subsidiaries, excluding noncontrolling interest (537,399 ) Consideration 1,831 Gain on disposal of the subsidiaries $ (539,230 ) |
RELATED PARTY TRANSACTIONS
RELATED PARTY TRANSACTIONS | 6 Months Ended |
Jan. 31, 2024 | |
Related Party Transactions [Abstract] | |
RELATED PARTY TRANSACTIONS | NOTE 4. RELATED PARTY TRANSACTIONS Related Party Receivables HFUS had $ 964 Related Party Payables and loans As of January 31, 2024 and July 31, 2023, amounts of $ 582,601 586,236 HFSH had payable balances to Shanghai Oversea Chinese Culture Media Ltd. (“SH Oversea”), an entity previously was managed by the same management team, in the amounts of $ 3,321,300 3,291,324 HFUS borrowed in form of a short-term loan at 5 5,067 10,331 4,089 8,178 463,831 417,501 The remaining related party payable of $ 72,605 72,133 Other Related Party Transactions During the three and six months ended January 31, 2024, the Company generated $ 62,443 55,505 Office space at Rosemead, CA is provided to Hartford Great Health Corp. at no cost by the sole executive officer. No provision for these costs has been included in these financial statements as the amounts are not material. |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 6 Months Ended |
Jan. 31, 2024 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | NOTE 5. COMMITMENTS AND CONTINGENCIES There has been no material contractual obligations and commitments as of January 31, 2024. |
SEGMENT INFORMATION
SEGMENT INFORMATION | 6 Months Ended |
Jan. 31, 2024 | |
Segment Reporting [Abstract] | |
SEGMENT INFORMATION | NOTE 6. SEGMENT INFORMATION Accounting Standards Codification (“ASC”) 280, “Segment Reporting,” requires public companies to report financial and descriptive information about their reportable operating segments. We identify our operating segments based on how our chief operating decision maker internally evaluates separate financial information, business activities and management responsibility. The Company used to operate in two reportable segments: hospitality (hotel and travel agency) and early childhood education industry in China in the past years. Due to the disposal of operating subsidiaries on August 1, 2022, we currently have one reportable segment for advertising services. |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 6 Months Ended |
Jan. 31, 2024 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | NOTE 7. SUBSEQUENT EVENTS In accordance with ASC 855 , “Subsequent Events” On February 23, 2024, the Company borrowed $ 85,000 5 On March 1, 2024, the Company returned $ 70,000 In the month of February 2024, HFZY has entered advertising service contracts with ten customers and received approximately RMB 8.11 1.13 7.70 1.07 |
SUMMARY OF SIGNIFICANT ACCOUN_2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 6 Months Ended |
Jan. 31, 2024 | |
Accounting Policies [Abstract] | |
Organization | Organization Hartford Great Health Corp. was originally incorporated in the State of Nevada on April 2, 2008 under the name PhotoAmigo, Inc. It changed its name to Hartford Great Health Corp. on August 22, 2018 and since then we have been engaged in activities to formulate and implement our business plans. Through its wholly owned subsidiary - Hangzhou Hartford Comprehensive Health Management, Ltd (“HZHF) and HZHF’s 60 90 The Company started to engage in early childhood education industry at Hartford International Education Technology Co., Ltd (“HF Int’l Education”). On July 24, 2019 and March 23, 2020, HF Int’l Education established two 100 96 4 Impacted by the government regulation implemented in education industry and the restrictions posted by the Chinese government to control the pandemic in China since 2021, to avoid further operation losses, on August 1, 2022, HFSH entered a contract with a related party, Shanghai Oversea Chinese Culture Media Ltd. (“SH Oversea”), to sell 90 900 5,850 100 1,000 6,500 On January 10, 2024, HFSH changed its legal name from Shanghai Hartford Health Management, Ltd. to Hartford ZY Culture Media (Shanghai) Co., Ltd., hereon refer to as “HFZY”. and started to deliver media and advertisement services. HFZY mainly engage in social media advertising business on mainstream social media platforms such as Tik Tok, Toutiao, Kwai, RED, WeChat, and more. As an advertising partner of China’s major social media platforms, it provides customers with vertical integration services from early-stage advertising video creativity, shooting, editing, to advertising operation and management on social media apps. HFZY is one of the total solution advertising providers for domestic social media industry in China. |
Basis of Presentation | Basis of Presentation The consolidated financial statements include the accounts of Hartford Great Health Corp, its wholly-owned subsidiaries and subsidiaries in which it has a controlling interest. The Company reports noncontrolling interests of the consolidated entities as a component of equity separate from the Company’s equity. All material inter-company transactions between and among the Company and its consolidated subsidiaries have been eliminated in the consolidation. |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with US GAAP requires the Company’s management to make estimates and assumptions that affect the amounts of assets and liabilities, the identification and disclosure of impaired assets and contingent liabilities at the date of the financial statements, and the reported amounts of expenses during the reporting period. Actual results could differ from those estimates. |
Income Taxes | Income Taxes The Company accounts for income taxes using the asset and liability method in accordance with ASC 740, Accounting for Income Taxes. The asset and liability method provides that deferred tax assets and liabilities are recognized for the expected future tax consequences of temporary differences between the financial reporting and tax bases of assets and liabilities, and for operating loss and tax credit carry forwards. Deferred tax assets and liabilities are measured using the currently enacted tax rates and laws that will be in effect when the differences are expected to reverse. The Company records a valuation allowance to reduce deferred tax assets to the amount that is believed more likely than not to be realized. The Tax Reform Act permanently reduces the U.S. corporate income tax rate to a flat 21% rate, effective January 1, 2018. In addition, the 2017 Tax Act also creates a new requirement that certain income (i.e., Global Intangible Low-Taxed Income (“GILTI”)) earned by controlled foreign corporations (“CFCs”) must be included in the gross income of the CFCs’ U.S. shareholder income. The tax law in PRC applies an income tax rate of 25% to all enterprises. The Company’s subsidiary does not receive any preferential tax treatment from local government |
Revenue Recognition | Revenue Recognition The Company follows the five steps approach for revenue recognition under Topic 606: (i) identify the contract(s) with a customer, (ii) identify the performance obligations in the contract, (iii) determine the transaction price, (iv) allocate the transaction price to the performance obligations in the contract, and (v) recognize revenue when (or as) we satisfy a performance obligation. Billings to customers for which services are not rendered are considered deferred revenue. The Company’s revenue is recognized when it satisfies a single performance obligation by transferring control of its products or providing services to a customer. The Company’s general payment terms are short-term in duration. The Company does not have significant financing components or payment terms. The Company is developing business plan to provide customers with vertical integration services from early-stage advertising video creativity, shooting, editing, to advertising operation and management on social media apps. Most of the advertising revenue will be generated by placing ad products on Tik Tok, Toutiao, Kwai, RED, WeChat, and other third-party affiliated websites and mobile applications. The revenues from the display of impression-based ads will be recognized in the contracted period in which the impressions are delivered. The Company will also generate revenue from the delivery of certain services, such as the creation and delivery of ads that appear on third-party publishers’ websites and social platforms. The Company recognizes revenues from these services in the period in which the service is completed. During current reporting period, the Company generated $ 62,443 In the past years, the company’s main operations were focusing on Early childhood education services and Hospitality services. Impacted by the Covid-19 pandemic and Chinese regulation on education industry, both early childhood education services and hospitality services have been sold on August 1 2022. Thus, there was no revenue recognized for the three and six months ended January 31, 2023. See Note 3 Acquisitions and Disposals. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements Recently not yet adopted accounting pronouncements In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740), Improvements to Income Tax Disclosures. The new guidance requires enhanced disclosures about income tax expenses. The Company is required to adopt this guidance in the first quarter of the fiscal year 2026. Early adoption is permitted on a prospective basis. We are currently evaluating the impact of this ASU on our annual income tax disclosures. In November 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280), Improvements to Reportable Segment Disclosures. The new guidance requires enhanced disclosures about significant segment expenses. The Company is required to adopt this guidance for its annual reporting in fiscal year 2025 and for interim period reporting beginning the first quarter of fiscal year 2026 on a retrospective basis. Early adoption is permitted. We are currently evaluating the impact of this ASU on our segment disclosures. The Company does not believe other recently issued but not yet effective accounting standards, if currently adopted, would have a material effect on the consolidated financial position, statements of operations and cash flows. |
ACQUISITIONS AND DISPOSALS (Tab
ACQUISITIONS AND DISPOSALS (Tables) | 6 Months Ended |
Jan. 31, 2024 | |
Business Combination and Asset Acquisition [Abstract] | |
SCHEDULE OF NET ASSETS (LIABILITIES) DISPOSED OF SUBSIDIARY | SCHEDULE OF NET ASSETS (LIABILITIES) DISPOSED OF SUBSIDIARY Net assets (liabilities) disposed of: Cash and cash equivalents $ 4,938 Prepaid and Other current receivables 45,532 Related party receivable 428,519 Inventory 305,124 Property and equipment - Net 582,707 ROU assets-Operating lease 2,836,698 Other assets 296,218 Related party loan and payables (1,321,549 ) Contract liabilities (547,906 ) Lease liabilities, current and noncurrent (3,715,688 ) Other current payable (401,782 ) Other liabilities (357,796 ) Noncontrolling interest 1,307,586 Net assets (liabilities) of the subsidiaries, excluding noncontrolling interest (537,399 ) Consideration 1,831 Gain on disposal of the subsidiaries $ (539,230 ) |
SUMMARY OF SIGNIFICANT ACCOUN_3
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) | 3 Months Ended | 6 Months Ended | ||||||||
Jan. 31, 2024 USD ($) | Jan. 31, 2023 USD ($) | Jan. 31, 2024 USD ($) | Jan. 31, 2023 USD ($) | Aug. 01, 2022 USD ($) | Aug. 01, 2022 CNY (¥) | Aug. 31, 2021 | Dec. 31, 2020 | Mar. 23, 2020 | Jul. 24, 2019 | |
Income tax examination description | The Tax Reform Act permanently reduces the U.S. corporate income tax rate to a flat 21% rate, effective January 1, 2018. In addition, the 2017 Tax Act also creates a new requirement that certain income (i.e., Global Intangible Low-Taxed Income (“GILTI”)) earned by controlled foreign corporations (“CFCs”) must be included in the gross income of the CFCs’ U.S. shareholder income. The tax law in PRC applies an income tax rate of 25% to all enterprises. The Company’s subsidiary does not receive any preferential tax treatment from local government | |||||||||
Revenues | $ 62,443 | $ 62,443 | ||||||||
Shanghai Dubian Assets Management Ltd [Member] | ||||||||||
Revenues | $ 62,443 | |||||||||
Shanghai Oversea [Member] | Discontinued Operations, Disposed of by Sale [Member] | ||||||||||
Sale of business unit, consideration | $ 1,831 | |||||||||
Shanghai Oversea [Member] | Discontinued Operations, Disposed of by Sale [Member] | Hartford International Education Technology Co., Ltd [Member] | ||||||||||
Sale of business unit, consideration | 900 | ¥ 5,850 | ||||||||
Shanghai Oversea [Member] | Discontinued Operations, Disposed of by Sale [Member] | Hangzhou Hartford Comprehensive Health Management Ltd [Member] | ||||||||||
Sale of business unit, consideration | $ 1,000 | ¥ 6,500 | ||||||||
Two Individual Investors [Member] | ||||||||||
Equity ownership percentage | 4% | |||||||||
Hartford International Education Technology Co., Ltd [Member] | Shanghai Oversea [Member] | Discontinued Operations, Disposed of by Sale [Member] | ||||||||||
Percentage of voting interests sold | 90% | 90% | ||||||||
Hangzhou Hartford Comprehensive Health Management Ltd [Member] | Shanghai Oversea [Member] | Discontinued Operations, Disposed of by Sale [Member] | ||||||||||
Percentage of voting interests sold | 100% | 100% | ||||||||
Shanghai Hongkou HaiDeFuDe Childcare Co., Ltd. [Member] | ||||||||||
Equity ownership percentage | 100% | 100% | ||||||||
Shanghai HDFD Zhongli Education Technology Co Ltd [Member] | ||||||||||
Equity ownership percentage | 96% | |||||||||
Hangzhou Longjing Qiao Fu Vacation Hotel Co., Ltd. [Member] | ||||||||||
Business acquisition, percentage of voting interests acquired | 60% | |||||||||
Shanghai Qiao Garden International Travel Agency [Member] | ||||||||||
Business acquisition, percentage of voting interests acquired | 90% |
GOING CONCERN (Details Narrativ
GOING CONCERN (Details Narrative) - USD ($) | Jan. 31, 2024 | Jul. 31, 2023 |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Accumulated deficit | $ 7,049,170 | $ 7,003,717 |
SCHEDULE OF NET ASSETS (LIABILI
SCHEDULE OF NET ASSETS (LIABILITIES) DISPOSED OF SUBSIDIARY (Details) - Shanghai Oversea [Member] - Discontinued Operations, Disposed of by Sale [Member] | Aug. 01, 2022 USD ($) |
Multiemployer Plan [Line Items] | |
Cash and cash equivalents | $ 4,938 |
Prepaid and Other current receivables | 45,532 |
Related party receivable | 428,519 |
Inventory | 305,124 |
Property and equipment - Net | 582,707 |
ROU assets-Operating lease | 2,836,698 |
Other assets | 296,218 |
Related party loan and payables | (1,321,549) |
Contract liabilities | (547,906) |
Lease liabilities, current and noncurrent | (3,715,688) |
Other current payable | (401,782) |
Other liabilities | (357,796) |
Noncontrolling interest | 1,307,586 |
Net assets (liabilities) of the subsidiaries, excluding noncontrolling interest | (537,399) |
Consideration | 1,831 |
Gain on disposal of the subsidiary | $ (539,230) |
ACQUISITIONS AND DISPOSALS (Det
ACQUISITIONS AND DISPOSALS (Details Narrative) | Aug. 01, 2022 USD ($) | Aug. 01, 2022 CNY (¥) | Jan. 31, 2019 |
Shanghai Oversea [Member] | Discontinued Operations, Disposed of by Sale [Member] | |||
Business Acquisition [Line Items] | |||
Sale of business unit, consideration | $ 1,831 | ||
Shanghai Oversea [Member] | Discontinued Operations, Disposed of by Sale [Member] | Hartford International Education Technology Co., Ltd [Member] | |||
Business Acquisition [Line Items] | |||
Sale of business unit, consideration | 900 | ¥ 5,850 | |
Shanghai Oversea [Member] | Discontinued Operations, Disposed of by Sale [Member] | Hangzhou Hartford Comprehensive Health Management Ltd [Member] | |||
Business Acquisition [Line Items] | |||
Sale of business unit, consideration | $ 1,000 | ¥ 6,500 | |
Shanghai Oversea [Member] | Discontinued Operations, Disposed of by Sale [Member] | Hartford International Education Technology Co., Ltd [Member] | |||
Business Acquisition [Line Items] | |||
Percentage of voting interests sold | 90% | 90% | |
Shanghai Oversea [Member] | Discontinued Operations, Disposed of by Sale [Member] | Hangzhou Hartford Comprehensive Health Management Ltd [Member] | |||
Business Acquisition [Line Items] | |||
Percentage of voting interests sold | 100% | 100% | |
Shanghai Luo Sheng International Trade Ltd. [Member] | |||
Business Acquisition [Line Items] | |||
Business acquired ownership interest | 100% | 100% | 100% |
RELATED PARTY TRANSACTIONS (Det
RELATED PARTY TRANSACTIONS (Details Narrative) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jan. 31, 2024 | Jan. 31, 2023 | Jan. 31, 2024 | Jan. 31, 2023 | Jul. 31, 2023 | |
Related Party Transaction [Line Items] | |||||
Accounts payable, related parties | $ 72,605 | $ 72,605 | $ 72,133 | ||
Interest expense, related party | 5,067 | $ 4,089 | 10,331 | $ 8,178 | |
Unpaid principal | 463,831 | 463,831 | 417,501 | ||
Revenues | 62,443 | 62,443 | |||
Cost of revenue | 55,505 | 55,505 | |||
Related Party [Member] | |||||
Related Party Transaction [Line Items] | |||||
Receivables | 964 | 964 | 964 | ||
SHQiahong [Member] | |||||
Related Party Transaction [Line Items] | |||||
Accounts payable, related parties | 582,601 | 582,601 | 586,236 | ||
Shanghai Oversea Chinese Culture Media Ltd [Member] | |||||
Related Party Transaction [Line Items] | |||||
Accounts payable, related parties | $ 3,321,300 | $ 3,321,300 | $ 3,291,324 | ||
Hartford Hotel Investment Inc [Member] | |||||
Related Party Transaction [Line Items] | |||||
Debt instrument, interest rate, stated percentage | 5% | 5% |
SUBSEQUENT EVENTS (Details Narr
SUBSEQUENT EVENTS (Details Narrative) ¥ in Thousands | 1 Months Ended | 6 Months Ended | |||||
Mar. 01, 2024 USD ($) | Feb. 23, 2024 USD ($) | Feb. 29, 2024 USD ($) | Feb. 29, 2024 CNY (¥) | Jan. 31, 2024 USD ($) | Jan. 31, 2023 USD ($) | Feb. 29, 2024 CNY (¥) | |
Subsequent Event [Line Items] | |||||||
Proceeds from related party debt | $ 36,000 | $ 60,000 | |||||
Subsequent Event [Member] | |||||||
Subsequent Event [Line Items] | |||||||
Advanced payment from contracted customers | $ 1,130,000 | ¥ 8,110 | |||||
Prepaid advertising | $ 1,070,000 | ¥ 7,700 | |||||
Subsequent Event [Member] | MR Lianyu Song [Member] | |||||||
Subsequent Event [Line Items] | |||||||
Proceeds from related party debt | $ 85,000 | ||||||
Debt instrument interest rate effective percentage | 5% | ||||||
Subsequent Event [Member] | Hartford Hotel Investment Inc [Member] | |||||||
Subsequent Event [Line Items] | |||||||
Payment of related party notes payable | $ 70,000 |