0000828530 False 06-30 2017 Q2 No No Yes Smaller Reporting Company Admiral Financial Corp 0000828530 2016-07-01 2016-12-31 0000828530 2016-12-31 0000828530 2016-06-30 0000828530 2016-10-01 2016-12-31 0000828530 2015-10-01 2015-12-31 0000828530 2015-07-01 2015-12-31 0000828530 2015-06-30 0000828530 2015-12-31 iso4217:USD xbrli:shares iso4217:USD xbrli:shares

 

UNITED STATES

securities and exchange commission

Washington D.C. 20549

 

FORM 10-Q

 

(Mark One)

 

þ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

 

For the quarterly period ended December 31, 2016

 

or

 

¨ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

 

For the transition period from _____________ to _____________

 

Commission File Number: 0-17214

 

 

ADMIRAL FINANCIAL CORP.

(Exact name of registrant as specified in its charter)

 

FLORIDA 59-2806414

(State or other jurisdiction of

incorporation or organization)

(I.R.S. Employer

Identification No.)

 

7101 Southwest 67 Avenue, South Miami, Florida 33143

(Address of principal executive offices, including zip code)

 

(305) 904-4400

(Registrant’s telephone number, including area code)

 

N/A

(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 ¨

 

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 during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files). Yes þ No ¨

 

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See definition of “accelerated filer” or “large accelerated filer” in Rule 12b-2 of the Exchange Act.

 

Large accelerated filer ¨   Accelerated filer ¨
Non-accelerated filer ¨   Smaller reporting company þ
(Do not check if smaller reporting company)        

 

 

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

 

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

 

Common Stock $.001 Par Value

Outstanding Shares at December 31, 2016: 10,987,000

 

 

 

PART I - FINANCIAL INFORMATION

 

Item 1.Financial Statements

 

ADMIRAL FINANCIAL CORP. AND SUBSIDIARY

 

Consolidated Balance Sheets

($ Thousands)

 

    December 31,     June 30,  
    2016     2016  
    (Unaudited)     (Unaudited)  
Assets            
Current assets:            
Cash   $ 0     $ 0  
Prepaid expenses and other assets     0       0  
Net assets of Haven Federal Savings and Loan Association (notes 1 and 2)     0       0  
Total assets   $ 0     $ 0  
                 
Liabilities and Stockholders (Deficit) Equity                
Current Liabilities:                 
Accrued expenses and other liabilities     24       24  
Net liabilities of Haven Federal Savings and Loan Association (notes 1 and 2)     0       0  
Total liabilities     24       24  
                 
Shareholders Deficit:                 
Preferred stock, $.01 par value, Authorized 6,000,000 shares; none outstanding     0       0  
Common stock, $.001 par value, 50,000,000 shares authorized; 10,987,000 shares issued     11       11  
Treasury stock, 1,954 and 1,954 shares; at cost     0       0  
Additional paid-in capital     681       681  
Deficit    

(716

 )     (716 )
Total stockholders' (deficit) equity     (24 )     (24 )
Total liabilities and stockholders' (deficit) equity   $ 0     $ 0  

 

 

See accompanying notes to consolidated financial statements.

 

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ADMIRAL FINANCIAL CORP. AND SUBSIDIARY

 

Consolidated Statements of Operations

(Unaudited)

  

    Three Months Ended     Six Months Ended  
    December 31,     December 31,  
    2016     2015     2016     2015  
Income                         
Interest income   $ 0     $ 0     $ 0     $ 0  
Other, net     0       0       0       0  
Total income     0       0       0       0  
                                 
Expenses                                
Employee Compensation     0       0       0       0  
Other     0       0       0       0  
Total expenses     0       0       0       0  
                                 
Loss from discontinued operation (note 2)     0       0       0       0  
Net loss   $ 0     $ 0     $ 0     $ 0  
                                 
Loss per share   $ 0.00     $ 0.00     $ 0.00     $ 0.00  
Dividend per share   $ 0     $ 0     $ 0     $ 0  
                                 
Weighted average number of shares outstanding     10,985,046       10,985,046       10,985,046       10,985,046  

 

  

See accompanying notes to consolidated financial statements

 

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ADMIRAL FINANCIAL CORP. AND SUBSIDIARY

 

Consolidated Statements of Cash Flows

(Unaudited)

  

  Six Months Ended  
  December 31,  
    2016     2015  
             
Cash flows from operating activities:                
Net loss   $ 0     $ 0  
Adjustments to reconcile net income to net cash provided by operating activities:                
Decrease in deficit arising from confiscation of Haven Federal after retroactive disallowance of agreed supervisory goodwill and regulatory capital     0       0  
Decrease in pre-paid expenses and other assets     0       0  
Decrease (increase) in net assets of Haven Federal     0       0  
(Decrease) in accrued expenses and other liabilities     0       0  
(Decrease) Increase in net liabilities of Haven Federal     0       0  
Amortization of organization expenses     0       0  
Net cash provided (used) by operating activities     0       0  
                 
Cash and cash equivalents, at beginning of the period     0       0  
                 
Cash and cash equivalents, at end of the period   $ 0     $ 0  

 

  

See accompanying notes to consolidated financial statements

 

3

 

 

 

ADMIRAL FINANCIAL CORP. AND SUBSIDIARY

 

Notes to Consolidated Financial Statements

 

Note 1.

 

In the opinion of management, the accompanying consolidated financial statements contain all the adjustments (principally consisting of normal recurring accruals) necessary to present fairly the financial statements of Admiral Financial Corp. ('Admiral') and Subsidiary.

 

Note 2.

 

Where applicable, the net assets of Admiral’s principal operating subsidiary, Haven Federal Savings and Loan Association ('Haven'), and net liabilities are presented in the balance sheets in the aggregate; and its loss is shown in the aggregate in the Statements of Operations for the three and six month periods ended December 31, 2016 and 2015.

 

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ITEM 2Management's Discussion and Analysis of Consolidated Financial Condition and Results of Operations

 

General

 

ADMIRAL FINANCIAL CORP. ("ADMIRAL"), an inactive corporation, is currently seeking to recapitalize the Company in order to resume its prior activities with respect to the acquisition and investment in interest-earning assets and specialty real estate, as well as other new lines of business, as yet unidentified.

 

Admiral is presently inactive, other than its efforts to seek a merger, exchange of capital stock, asset acquisition, recapitalization, or other similar business combination (a "Recapitalization") with an operating or development stage business which Admiral management considers to have growth potential. Admiral currently receives no cash flow. Admiral anticipates no capital infusions prior to effectuating a Recapitalization. Until such time as Admiral effectuates a Recapitalization, Admiral currently expects that it will incur minimal future operating costs.

 

No officer or director of Admiral is paid any type of compensation by Admiral and presently, there are no arrangements or anticipated arrangements to pay any type of compensation to any officer or director in the near future. Admiral expects that it will meet its cash requirements until such time as a Recapitalization occurs. However, in the event Admiral depletes its present cash reserves, or in the event that Admiral Management ceases to perform its duties on a non-compensatory basis, Admiral may cease operations and a Recapitalization may not occur. There are no agreements or understandings of any kind with respect to any loans from officers or directors of Admiral on the Company’s behalf.

 

This discussion may contain statements regarding future financial performance and results. The realization of outcomes consistent with these forward-looking statements is subject to numerous risks and uncertainties to the Company including, but not limited to, the availability of equity capital and financing sources, the availability of attractive acquisition opportunities once such new equity capital and financing is secured (if at all), the successful integration and profitable management of acquired businesses, improvement of operating efficiencies, the availability of working capital and financing for future acquisitions, the Company’s ability to grow internally through expansion of services and customer bases without significant increases in overhead, seasonality, cyclicality, and other risk factors.

 

Liquidity and Capital Resources

 

Admiral is currently inactive. Admiral management intends to seek a new line of business. as yet unidentified. In connection therewith, Admiral's management believes that a restructuring of Admiral may be necessary in order to raise capital for new operations, and any such restructuring may have a substantial dilutive effect upon Admiral's existing shareholders. Admiral has no known ongoing commitments or obligations.

 

Comparison of Three Months Ended December 31. 2016 and 2015

 

Admiral was inactive, and recorded no revenues or expenses during the period.

 

Comparison of Six Months Ended December 31. 2016 and 2015

 

Admiral was inactive, and recorded no revenues or expenses during either period.

 

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PART II - OTHER INFORMATION

 

Item 1.Legal Proceedings

 

Admiral did not become involved in any new material legal proceedings during the period covered by this report.

 

Item 1A.Risk Factors

 

Not applicable

 

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

 

Not applicable.

 

Item 3.Defaults Upon Senior Securities

 

Not applicable.

 

Item 4.Mine Safety Disclosures

 

Not applicable.

 

Item 5.Other Information

 

Not applicable.

 

Item 6.Exhibits

 

No.   Description
31.1   Certification (Section 302)
31.2   Certification (Section 302)
32   Certification (Section 906)
101 INS   XBRL Instance Document
101 SCH   XBRL Taxonomy Extension Schema
101 CAL   XBRL Taxonomy Extension Calculation Linkbase
101 LAB   XBRL Taxonomy Extension Label Linkbase
101 PRE   XBRL Taxonomy Extension Presentation Linkbase
101 DEF   XBRL Taxonomy Extension Definition Linkbase

 

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SIGNATURES

 

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused the report to be signed on its behalf by the undersigned thereunto duly authorized.

 

  ADMIRAL FINANCIAL CORP. (Registrant)
     
Date:  February 12, 2017 By: /s/Wm. Lee Popham
    Wm. Lee Popham, President
     
  ADMIRAL FINANCIAL CORP. (Registrant)
     
Date:  February 12, 2017 By: /s/Wm. Lee Popham
    Wm. Lee Popham, Principal Accounting Officer

 

 

 

 

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