The company faces imminent insolvency risk with only $3,994 cash and a $5M working capital deficit. The winding-up petition from ex-CEO Long Ding Jung adds legal overhang. Monitor for any equity or debt financing announcements, as the company explicitly states it needs additional capital to survive. The Series B preferred dividend accrual ($377K/year) is a further cash drain. Any financing would likely be highly dilutive given the distressed state.
Price Chart
Executive Summary
Leet Inc. filed its FY2025 20-F annual report, revealing a catastrophic 98.6% revenue collapse to just $9,842 (from $715,288 in FY2024) as its white-label contract with Smart Communications ended. The company swung from a gross profit of $141,356 to a gross loss of $303,443, and net loss ballooned 2,931.7% to $633,441. The auditor's report includes an explicit going-concern qualification, citing only $3,994 cash, a $5.03M working capital deficit, and $13.76M accumulated deficit. A winding-up petition was filed by ex-director Long Ding Jung for RM791,228 in unpaid salary, with a hearing set for July 2026. The company is entirely dependent on related-party advances for survival.
Key Facts
- Revenue declined 98.6% YoY to $9,842 from $715,288
- Gross profit swung from +$141,356 to -$303,443 (gross loss)
- Net loss increased 2,931.7% to $633,441 from $20,894
- Cash balance of only $3,994 as of Dec 31, 2025
- Working capital deficit of $5,030,559
- Accumulated deficit of $13,755,305
- Going-concern qualification from auditor JP Centurion & Partners
- Winding-up petition filed by ex-director Long Ding Jung for RM791,228 (approx. $195K) with hearing July 8, 2026
- Related-party payables of $4.12M exceed total assets of $18,236 by 226x
- Only 8 total employees as of Dec 31, 2025 (down from 17 in 2023)
- Series B Preferred Stock carries 8% annual dividend accrual ($377,488 per year) adding to cash drain
- No outstanding options or warrants; 151M shares outstanding
Financial Impact
Revenue collapse of 98.6% ($705K loss), net loss swing of $612K, cash burn of $593K from operations, working capital deficit of $5.03M
Risk Factors
- Imminent going-concern failure — cash insufficient to fund operations
- Winding-up petition could force liquidation if not resolved
- Complete dependence on related-party advances for survival
- No revenue visibility after loss of Smart Communications contract
- Series B preferred stock 8% dividend accrual adds to liabilities
- Material weaknesses in internal controls over financial reporting
- Penny stock status limits access to capital markets
Market Snapshot
Documents Analyzed
This report is based on 8 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 20-F Filing (Primary) | 0001683168-26-003989 |
| Document: leet_ex1202.htm | 0001683168-26-003989 |
| Document: leet_ex1201.htm | 0001683168-26-003989 |
| Document: leet_ex1301.htm | 0001683168-26-003989 |
| Document: leet_ex1302.htm | 0001683168-26-003989 |
| Document: 0001683168-26-003989-index-headers.html | 0001683168-26-003989 |
| Document: 0001683168-26-003989-index.html | 0001683168-26-003989 |
| Document: 0001683168-26-003989.txt | 0001683168-26-003989 |
Track record builds as more directional reports settle.
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Oct 21, 2026 6d ago | 6-K | $0.009000 $0.009000 | · 0.00% | ▼ −1.18% | $0.009000 (+0.00%) |
May 15, 2026 23w ago | 20-F | $0.0112 $0.0112 | · 0.00% | ▼ −0.06% | $0.009000 (+19.64%) |
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