FORWARD-LOOKING STATEMENTS

This quarterly report contains forward-looking statements. These statements relate to future events or our future financial performance. These statements often can be identified by the use of terms such as "may," "will," "expect," "believe," "anticipate," "estimate," "approximate" or "continue," or the negative thereof. We intend that such forward-looking statements be subject to the safe harbors for such statements. We wish to caution readers not to place undue reliance on any such forward-looking statements, which speak only as of the date made. Any forward-looking statements represent management's best judgment as to what may occur in the future. However, forward-looking statements are subject to risks, uncertainties and important factors beyond our control that could cause actual results and events to differ materially from historical results of operations and events and those presently anticipated or projected. We disclaim any obligation subsequently to revise any forward-looking statements to reflect events or circumstances after the date of such statement or to reflect the occurrence of anticipated or unanticipated events.





Overview of Operations

We are a Data Centric company with business activities focused three main areas:





ZEUUS Data Centers

ZEUUS Energy

ZEUUS Cyber Security

All four divisions work synergistically with each other in an synergetic ecosystem which enables growth and business protection. These technologies and divisions all stem from the massive requirements in our Data Centers.

While we are currently negotiating for the purchase of three data centers, the recent acquisition by our ZEUUS Energy division of a unique, and scalable Wind Turbine technology has us very excited. We have recently opened a 500 sqm, brand new research and development facility in Montenegro where the final designs for the Wind Turbines are being tested and refined. We expect full commercial production of the Wind Turbines by the end of 3rd Quarter 2022.

We are also in negotiations for the acquisition of two cyber security companies and will update the market after we enter into definitive acquisition agreements.

Our mandate and focus are to harness the Cloud and provide all aspects of Data Services from protection to facilitation, to storage, to the sustainable energy consumption at all our Data Center locations.





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Results of Operation for the Three Months Ended December 31, 2022, Compared to the Three Months Ended December 31, 2021





Revenue

During the three months ended December 31, 2022 and 2021 we did not generate any revenue.

General and Administrative Expenses

For the three months ended December 31, 2022, we had $72,750 in general and administrative expenses compared to $197,055 for the three months ended December 31, 2021, respectively, a decrease of $124,305 or 63.1%. Our primary expense in the prior period was for consulting which decreased approximately $108,000 in the current period. We also had a decrease of investor relation expense of $27,000. These decreases were offset by an increase of $45,000 of amortization expense.





Director Compensation

For the three months ended December 31, 2022, we had $0 in director compensation compared to $34,650 for the three months ended December 31, 2021, for the issuance of common stock,





Professional Fees

For the three months ended December 31, 2022, we had $75,332 in professional fees compared to $30,718 for the three months ended December 31, 2021, an increase of $44,614 or 145.2%. Professional fees consist of legal, audit and accounting fee. In the current three-month period, we had an increase of audit fees of $55,000, which was offset by a $15,000 decrease of legal fees.





Other Expense

For the three months ended December 31, 2022, we had interest expense of $25,690 compared to $2,606 in the prior period. Our interest expense has increased due to the additional related party loans.





Net Loss

Our net loss for the three months ended December 31, 2022, was $173,772 compared to $265,029 for the three months ended December 31, 2021. The decrease in our net loss is due to our decreased expenses as discussed above.

Liquidity and Capital Resources

At December 31, 2022, we had total current assets of $110,230, consisting of cash and deposits. We had total current liabilities of $1,477,298 consisting mostly of loans from related parties.

Cash Flows from Operating Activities

For the three months ended December 31, 2022, we used $137,134 of cash in operating activities compared to $246,132 for the three months ended December 31, 2021.

Cash Flows from Investing Activities

During the three months ended December 31, 2022, we didn't use any funds for investing activities. During the three months ended December 31, 2021, we purchased property and equipment for a total of $11,030.

Cash Flows from Financing Activities

We have financed our operations primarily from loans from related parties and the sale of common stock. For the three months ended December 31, 2022, net cash provided by financing activities was $168,533, which consisted of $16,559 from a cash overdraft and $151,974 from related party loans. During the three months ended December 31, 2021, we received $249,973 from related party loans and $52,000 from the sale of common stock.





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PLAN OF OPERATION AND FUNDING

We expect that working capital requirements will continue to be funded through a combination of our existing funds and further issuances of securities. Our working capital requirements are expected to increase in line with the growth of our business.





Going Concern

We have not attained profitable operations and are dependent upon obtaining financing to pursue any extensive activities. For these reasons, our auditors stated in their report on our audited financial statements that they have substantial doubt that we will be able to continue as a going concern without further financing.

The Company has not yet established an ongoing source of revenues sufficient to cover its operating costs for the next fiscal year and allow it to continue as a going concern. The ability of the Company to continue as a going concern is dependent on the Company obtaining adequate capital to fund operating losses until it becomes profitable.

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