STREAMTRACK, INC.

CIK:0001442376|SEC Filings

Condensed Consolidated Statements of Operations (unaudited) - USD ($)	3 Months Ended		6 Months Ended
	Feb. 28, 2017	Feb. 29, 2016	Feb. 28, 2017	Feb. 29, 2016
Revenues:
Advertising	$ 32,056	$ 161,306	$ 89,339	$ 335,331
Services		8,588		16,838
Total revenues	32,056	169,894	89,339	352,169
Costs of revenues:
Media network	41,475	87,287	90,529	157,553
Colocation services		7,564		13,700
Broadcaster commissions	2,840	16,032	10,421	27,562
Other costs	370	851	492	1,125
Total costs of revenues	44,685	111,734	101,442	199,940
Gross profit	(12,629)	58,160	(12,103)	152,229
Operating expenses:
Product development	2,000	138	8,000	210
Officer compensation	25,000	25,000	50,000	50,000
Sales and marketing	2,044	7,050	2,352	12,798
Other expenses	142,163	254,169	349,469	535,664
Total operating expenses	171,207	286,357	409,821	598,672
Loss from operations	(183,836)	(228,197)	(421,924)	(446,443)
Other income (expense):
Other income (expense)			940
Interest expense (including accretion of debt discount of $14,997, $123,486, $109,728, and $246,976, respectively)	(72,899)	(204,306)	(315,278)	(423,814)
Gain on sale of co-location and domain		175,992		175,992
Gain on debt extinguishment			150,387
Loss on disposal of assets			(69,011)
Change in fair value of derivatives	(548,907)	368,195	(1,127,738)	372,077
Total other income (expense)	(621,806)	339,881	(1,360,700)	124,255
Income (loss) before provision for income taxes	(805,642)	111,684	(1,782,624)	(322,188)
Provision for income taxes
Net income (loss)	$ (805,642)	$ 111,684	$ (1,782,624)	$ (322,188)
Basic net loss per common share attributable to common stockholders	$ (0.15)	$ 0.02	$ (0.34)	$ (0.07)
Diluted net income (loss) per common share attributable to common stockholders	$ (0.15)	$ 0.00	$ (0.34)	$ (0.07)
Weighted-average number of shares used in computing basic per share amounts	5,248,150	4,988,534	5,248,150	4,635,066
Weighted-average number of shares used in computing dilutive per share amounts	5,248,150	31,451,403	5,248,150	4,635,066

Condensed Consolidated Statements of Cash Flows (unaudited) - USD ($)	6 Months Ended
	Feb. 28, 2017	Feb. 29, 2016
CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss	$ (1,782,624)	$ (322,188)
Adjustments to reconcile net loss to net cash used in operating activities:
Bad debt expense
Depreciation and amortization	133,164	155,272
Re-measurement of derivative liabilities	1,127,738	(372,077)
Accretion of debt discount	109,728	246,976
Gain on sale of co-location and domain		(175,992)
Loss on disposal of assets	69,011
Loss on impairment of patents	27,033
Gain on extinguishment of debt and accrued interest	(150,387)
Changes in operating assets and liabilities:
Accounts receivable	40,812	9,036
Prepaid expenses	786	(1,153)
Accounts payable and accrued expenses	259,073	(104,603)
Related party accrued liabilities	64,801	27,650
Net cash used in operating activities	(100,865)	(537,079)
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchase or development of property and equipment		(19,503)
Proceeds from sale of co-location and domain		179,980
Net cash provided by investing activities		160,477
CASH FLOWS FROM FINANCING ACTIVITIES:
Payments on convertible notes	(25,000)
Proceeds from line of credit	124,649	285,934
Proceeds from issuance of convertible promissory notes - related parties		85,000
Proceeds from sale of common stock / common stock to be issued		12,500
Net cash provided by financing activities	99,649	383,434
Change in cash and cash equivalents	(1,216)	6,832
Cash and cash equivalents, beginning of period	6,461	7,909
Cash and cash equivalents, end of period	5,245
Supplemental disclosures of cash flow information:
Cash paid for interest		5,728
Cash paid for income taxes
Non cash investing and financing activities:
Conversion of Series C preferred stock in common stock		79,500
Increase in line of credit for facility fee		2,500
Accretion of Series C derivative liability recorded to	$ 845,235

Condensed Consolidated Balance Sheets - USD ($)	Feb. 28, 2017	Aug. 31, 2016
Current assets
Cash	$ 5,245	$ 6,461
Accounts receivable, net of allowances of $6,000 and $6,000, respectively	23,687	64,499
Prepaid expenses	145	931
Total current assets	29,077	71,891
Property and equipment, net	160,069	362,244
Other assets
Other assets		27,033
Total other assets		27,033
Total assets	189,146	461,168
Current liabilities
Account payable and accrued expenses	1,487,251	1,255,239
Line of credit	1,079,969	955,320
Capital lease payable - in default	54,704	54,704
Related party payables	346,092	281,291
Convertible notes payable, net of discount of $14,108 and $56,151, respectively	975,290	954,372
Related party convertible notes payable, net of discount of $0 and $67,687, respectively	1,103,964	961,277
Warrant liability	87,500
Derivative liabilities embedded within convertible notes payable, Series C and warrant liability	2,482,144	561,374
Total current liabilities	7,616,914	5,023,577
Long term liabilities
Convertible notes payable, net of discount of $0 and $0, respectively		75,000
Related party convertible notes payable, net of discount of $0 and $0, respectively		75,000
Total long term liabilities		150,000
Total liabilities	7,616,914	5,173,577
Stockholders' Deficit:
Common stock, $0.0001 par value; 40,000,000 shares authorized; 5,248,150 shares issued and outstanding at February 28, 2017 and August 31, 2016	525	525
Additional paid-in capital	$ 2,915,929	$ 3,761,164
Common stock to be issued		87,500
Accumulated deficit	$ (12,034,742)	$ (10,252,118)
Total stockholders' deficit	(9,118,268)	(6,402,909)
Total liabilities and stockholders' deficit	189,146	461,168
Series A Preferred Stock [Member]
Stockholders' Deficit:
Preferred stock
Series B Preferred Stock [Member]
Stockholders' Deficit:
Preferred stock	20	20
Series C Preferred Stock [Member]
Stockholders' Deficit:
Preferred stock	$ 1,690,500	$ 1,690,500