10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

(MARK ONE)

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

For the quarter ended September 30, 2021

☐ 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: [   ]

Pony Group Inc.

(Exact Name of Registrant as Specified in Its Charter) 

Delaware	83-3532241
(State or other jurisdiction of incorporation or organization)	(I.R.S. Employer Identification No.)

Engineer Experiment Building, A202
7 Gaoxin South Avenue, Nanshan District
Shenzhen, Guangdong Province

People’s Republic of China

(Address of principal executive offices)

+86 755 86665622

(Issuer’s telephone number)

Securities registered pursuant to Section 12(b) of the Act:

Title of each class	Trading Symbol(s)	Name of each exchange on which registered
None	N/A	N/A

Check whether the issuer (1) filed all reports required to be filed by Section 13 or 15(d) of the Exchange Act during the past 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 ☐ No ☒

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐

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

Large accelerated filer	☐	Accelerated filer	☐
Non-accelerated filer	☒	Smaller reporting company	☒
		Emerging growth company	☒

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

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

As of November 12, 2021, there were 11,500,000 shares of common stock, par value $0.001 per share, issued and outstanding.

PONY GROUP INC.

FORM 10-Q FOR THE QUARTER ENDED SEPTEMBER 30, 2021

TABLE OF CONTENTS

	Page
Part I. Financial Information
Item 1. Financial Statements (Unaudited)	1
Condensed Balance Sheet as of September 30, 2021	1
Condensed Statement of Operations for the three months ended September 30, 2021	2
Condensed Statement of Changes in Stockholder’s Equity for the three months ended September 30, 2021	3
Condensed Statement of Cash Flows for the the nine months ended September 30, 2021	4
Notes to Unaudited Condensed Financial Statements	5
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations	10
Item 3. Quantitative and Qualitative Disclosures Regarding Market Risk	16
Item 4. Controls and Procedures	16
Part II. Other Information
Item 1. Legal Proceedings	17
Item 1A. Risk Factors	17
Item 2. Unregistered Sales of Equity Securities and Use of Proceeds	17
Item 3. Defaults Upon Senior Securities	17
Item 4. Mine Safety Disclosures	17
Item 5. Other Information	17
Item 6. Exhibits	17
Part III. Signatures	18

i

PART I - FINANCIAL INFORMATION

Item 1. Interim Financial Statements.

PONY GROUP INC., AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

	September 30, 2021			December 31, 2020
Assets
Current assets
Cash and cash equivalents	$	262,642		$	286,957
Accounts receivables		21,472			40,705
Other receivables		330			166
Other receivables-related party		8,998			8,998
Total current assets		293,442			336,826
Total assets	$	293,442		$	336,826
Liabilities and Equity
Current liabilities
Accounts payable	$	21,370		$	9,591
Other payable-related party		289,806			300,483
Other current liability		80,227			27,895
Total current liabilities		391,403			337,969
Total liabilities	$	391,403		$	337,969
Equity
Ordinary shares, $0.001 par value, 70,000,000 shares authorized, 11,500,000 shares issued and outstanding as of September 30,2021 and  December 31, 2020, respectively*		11,500			11,500
Additional paid-in capital		176,000			176,000
Accumulated foreign currency exchange loss		(9,320	)		(6,323	)
Accumulated deficit		(276,141	)		(182,320	)
Total Pony Group Inc stockholders’ equity		(97,961	)		(1,143	)
Total equity		(97,961	)		(1,143	)
Total liabilities and equity	$	293,442		$	336,826

* The shares are presented on a retroactive basis to reflect the nominal share issuance.

The accompanying notes are integral to these consolidated financial statements. 

1

PONY GROUP INC., AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF OPERATIONS

	For The Three Months Ended September 30,						For The Nine Months Ended September 30,
	2021			2020			2021			2020
Revenue	$	30,145		$	15,662		$	82,418		$	38,371
Cost of revenue		24,796			2,351			77,046			12,389
Gross profit		5,349			13,311			5,372			25,982
Operating expenses
General & administrative expenses		38,638			37,588			117,443			70,355
Total operating expenses		38,638			37,588			117,443			70,355
Income (loss) from operation		(33,289	)		(24,277	)		(112,071	)		(44,373	)
Other income (expenses)
Other income (expense)		(1,656	)		(1,521	)		18,250			1,440
Total other income		(1,656	)		(1,521	)		18,250			1,440
Income (Loss) before income taxes		(34,945	)		(25,798	)		(93,821	)		(42,933	)
Provision for income tax		-			-			-			-
Net Income (Loss)	$	(34,945	)	$	(25,798	)	$	(93,821	)	$	(42,933	)
Net Income (Loss)		(34,945	)		(25,798	)		(93,821	)		(42,933	)
Other Comprehensive Income		-			-			-			-
Comprehensive income (loss)		(34,945	)		(25,798	)		(93,821	)		(42,933	)

The accompanying notes are integral to these consolidated financial statements.

2

PONY GROUP INC., AND SUBSIDIARIES

CONSOLIDATED STATEMENT OF CHANGE IN EQUITY

	Common stock				Additional Paid-In		Subscription received in		Accumulated Other Comprehensive Income			Accumulated Earnings
	Shares*		Amount		Capital		advance		(Loss)			(Deficit)			Total
Balance as of December 31, 2019		9,000,000	$	9,000	$	-	$	-	$	(565	)	$	(140,533	)	$	(132,098	)
Common stock issued		2,500,000		2,500		176,000		-		-			-			178,500
Cumulative Foreign currency translation adjustment		-		-		-		-		(3,400	)		-			(3,400	)
Net (Loss)				-		-	$	-		-			(42,933	)		(42,933	)
																-
Balance as of September 30, 2020		11,500,000	$	11,500	$	176,000	$	-	$	(3,965	)	$	(183,466	)	$	69
Cumulative Foreign currency translation adjustment		-		-		-		-		(2,358	)		-			(2,358	)
Net (Loss)		-		-		-	$	-		-			1,146			1,146
Balance as of December 31, 2020		11,500,000	$	11,500	$	176,000	$	-	$	(6,323	)	$	(182,320	)	$	(1,143	)
Cumulative Foreign currency translation adjustment		-		-		-		-		(2,977	)		-			(2,977	)
Net (Loss)		-		-		-		-		-			(93,821	)		(93,821	)
Balance as of September 30, 2021		11,500,000	$	11,500	$	176,000	$	-	$	(9,320	)	$	(276,141	)	$	(97,961	)

* The shares are presented on a retroactive basis to reflect the nominal share issuance.

The accompanying notes are integral to these consolidated financial statements.

3

PONY GROUP INC., AND SUBSIDIARIES

CONSOLIDATED STATEMETNS OF CASH FLOWS

	For The Nine Months Ended September 30,
	2021			2020
Operating activities
Net Loss	$	(93,821	)	$	(42,933	)
Changes in operating assets and liabilities:
Accounts receivable		19,233			(15,896	)
Other receivable		(164	)		(128	)
Accounts payable		11,779			-
Other payable		52,332			57,046
Cash provided (used) in operating activities		(10,641	)		(1,911	)
Cash flow used in investing activities:
Investment in Pony HK		-			-
Cash used in investing activities		-			-
Cash flow provided (used) by financing activities:
Pay for deferred offering cost		-			(23,000	)
Advance from (repayment to) related party		(10,677	)		(6,954	)
Proceed from Issue of Common Stock		-			250,000
Cash provided by financing activities		(10,677	)		220,046
Effects of currency translation on cash		(2,997	)		(3,400	)
Net increase (decrease) in cash		(24,315	)		214,735
Cash at beginning of the period		286,957			44,105
Cash at end of period	$	262,642		$	258,840

The accompanying notes are integral to these consolidated financial statements.

4

PONY GROUP INC., AND SUBSIDIARIES

NOTES FOR THE CONSOLIDATED FINANCIAL STATEMENTS

FOR THE PERIOD ENDED SEPTEMBER 30, 2021

NOTE 1 - ORGANIZATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Organization and Operations 

PONY GROUP INC, (The “Company” or “PONY”) was incorporated on January 7, 2019 in the state of Delaware.

On March 7, 2019, Pony Group Inc (the “Purchaser”), and Wenxian Fan, the sole owner of PONY LIMOUSINE SERVICES LIMITED, entered into a Stock Purchase Agreement (the “Purchase Agreement”), pursuant to which Wenxian Fan (the “Seller”) would sell to the Purchaser, and the Purchaser will purchase from the Seller, 10,000 shares of the PONY LIMOUSINE SERVICES LIMITED, which represented 100% of the shares. On March 7, 2019, this transaction was completed.

PONY LIMOUSINE SERVICES LIMITED (“PONYHK”) is a limited liability company formed under the laws of Hong Kong on April 28, 2016, which was formed by FAN WENXIAN. Its registered office is located at FLAT/RM 01 11/F, LUCKY COMM BLDG, 103 DES VOEUX RD WEST, SHEUNG WAN, HONG KONG. The business nature of the Company is to provide cross boarder limousine services to customers. On February 2, 2019, Universe Travel Culture & Technology Ltd. (“Universe Travel”) was incorporated as a wholly-owned PRC subsidiary of Pony HK.

Details of the Company’s structure as of September 30, 2021 are as follow:

5

Reverse Merger Accounting – Since Pony HK and Pony US were entities under Ms. Fan’s common control prior to the “Purchase Agreement” was executed, and because of certain other factors, including that the member of the Company’s executive management is from Pony HK, Pony HK is deemed to be the acquiring company for accounting purposes and the Merger was accounted for as a reverse merger and a recapitalization in accordance with generally accepted accounting principles in the United States (“GAAP”). These unaudited consolidated financial statements reflect the historical results of Pony HK prior to the Merger and that of the combined Company following the Merger, and do not include the historical financial results prior to the completion of the Merger. Common stock and the corresponding capital amounts of the Company pre-Merger have been retroactively restated as capital stock shares.

Basis of Accounting and Presentation - The accompanying financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America.

Cash and Cash Equivalents – For purpose of the statements of cash flows, the Company considers all highly liquid debt instruments purchased with a maturity of 90 days or less to be cash equivalents.

Accounts Receivable - The customers are required to make payments when they book the services, otherwise, the services will not be arranged. Sometimes, the Company extends credit to its group clients.

As of September 30, 2021 and December 31, 2020, accounts receivable was $21,472 and $40,705, respectively. The company considers accounts receivable to be fully collectible and determined that an allowance for doubtful accounts was not necessary.

PONY LIMOUSINE SERVICES LIMITED, a 100% subsidiary of the Company, has agreements with its two major clients that the payments for the services rendered be settled every six months. The two major clients account for 75.97% of the revenue for the nine months ended September 30, 2021 and 37.02% for the same period 2020, respectively.

Revenue Recognition - The Company recognizes revenue in accordance with ASC 606. The core principle of ASC606 is to recognize revenue when promised goods or services are transferred to customers in an amount that reflects the consideration that is expected to be received for those goods or services. ASC 606 defines a five-step process to achieve this core principle, which includes: (1) identifying contracts with customers, (2) identifying performance obligations within those contracts, (3) determining the transaction price, (4) allocating the transaction price to the performance obligation in the contract, which may include an estimate of variable consideration, and (5) recognizing revenue when or as each performance obligation is satisfied. Our sales arrangements generally ask customers to pay in advance before any services can be arranged. The company recognizes revenue when each performance obligation is satisfied. Documents and terms and the completion of any customer acceptance requirements, when applicable, are used to verify services rendered. The Company has no returns or sales discounts and allowances because services rendered and accepted by customers are normally not returnable.

6

Cost of revenue – Cost of revenue includes cost of services rendered during the period, net of discounts and sales tax.

Income Taxes – Income tax expense represents current tax expense. The income tax payable represents the amounts expected to be paid to the taxation authority. Hong Kong profits tax has been provided at the rate of 16.5% on the estimated assessable profit for the period.

Foreign Currency Translation - PONY LIMOUSINE SERVICES LIMITED’s functional currency is the Hong Kong Dollar (HK$) and Universe Travel Culture & Technology Ltd.’s functional currency is the Renminbi (RMB). The reporting currency is that of the US Dollar. Assets, liabilities and owners’ contribution are translated at the exchange rates as of the balance sheet date. Income and expenditures are translated at the average exchange rate of the year.

The exchange rates used to translate amounts in HK$ and RMB into USD for the purposes of preparing the financial statements were as follows:

September 30, 2020
Balance sheet	HK$7.79 to US $1.00	RMB 6.44 to US $1.00
Statement of operation and other comprehensive income	HK$7.77 to US $1.00	RMB 6.47 to US$1.00
December 31, 2020
Balance sheet	HK$7.75 to US $1.00	RMB 6.53 to US $1.00
September 30, 2020
Statement of operation and other comprehensive income	HK$7.76 to US $1.00	RMB 6.99 to US$1.00

NOTE 2 - GOING CONCERN

The Company had operating losses of $93,821 and $42,933 during the nine months ended September 30, 2021 and 2020, respectively.

The Company has accumulated deficit of $276,141 and $182,320 as of September 30, 2021 and December 31, 2020, respectively. The Company’s continuation as a going concern is dependent on its ability to generate sufficient cash flows from operations to meet its obligations and/or obtain additional financing, as may be required.

The accompanying financial statements have been prepared assuming the Company will continue as a going concern; however, the above condition raises substantial doubt about the Company’s ability to do so. 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 should the Company be unable to continue as a going concern.

Management’s Plan to Continue as a Going Concern

In order to continue as a going concern, the Company will need, among other things, additional capital resources. Management’s plans to obtain such resources for the Company include (1) obtaining capital from the sale of its equity securities, (2) sales of the Company’s products, (3) short-term and long-term borrowings from banks, and (4) short-term borrowings from stockholders or other related party (ies) when needed. However, management cannot provide any assurance that the Company will be successful in accomplishing any of its plans.

The ability of the Company to continue as a going concern is dependent upon its ability to successfully accomplish the plans described in the preceding paragraph and eventually to secure other sources of financing and attain profitable operations.

7

NOTE 3 - RELATED PARTY TRANSACTIONS

PONY GROUP INC, incorporated on Jan 7, 2019 in the state of Delaware, is the sole owner of PONY LIMOUSINE SERVICES LIMITED (Pony HK), during the nine months ended September 30, 2021, Pony HK paid $77,914 on behalf of PONY GROUP INC for U.S. legal and audit costs in connection with the OTC listing.

Amount of receivable from shareholders due to the company declared a 6,000 to 1 stock split. After the stock split, the par value of the commons stocks was $0.001 per share. The shareholders should pay the consideration of $8,998 to the company. For the company use a retroactive basis to present the nominal shares, the considerations and receivable form shareholders also should be represented.

	September 30, 2021		December 31, 2020
Receivable from shareholders	$	8,998	$	8,998
Total due from related parties	$	8,998	$	8,998

Ms. Wenxian Fan, the director, loaned working capital to Pony HK with no interest and paid on behalf of Pony HK for the subcontracted services and employee salaries.

The Company has the following payables to Ms. Wenxian Fan:

	September 30, 2021		December 31, 2020
To Wenxian Fan	$	289,806	$	300,483
Total due to related parties	$	289,806	$	300,483

NOTE 4 - MAJOR SUPPLIERS AND CUSTOMERS

The Company purchased majority of its subcontracted services from two major suppliers during the nine months ended September 30, 2021: CHANGYING BUSINESS LIMITED for 54.03%, Shenzhen Lingshang Cultural Technology Co., Ltd for 33.50%.

The Company had one major customer for the nine months ended September 30, 2021: HENG TAI WINE LIMITED for 76.1% of revenue.

8

NOTE 5 - COMMON STOCK

On May 23, 2019, PONY GROUP INC sold 1,500 shares of common stock to the following shareholders. On May 24, 2019, these transactions were completed, the consideration received were deposited into the company’s bank account. On June 1, 2020, the company declared a 6,000 to 1 stock split. After the stock split, the par value of the commons stocks was $0.001 per share. The shareholders and the number of shares held after the stock dividend are as following:

Name	Shares		Consideration
Pony Group Ltd.		5,580,000		5,580
Aller Bonvoyage Inc		360,000		360
Capital Club Holding Limited		360,000		360
KERUIDA Investment Limited		900,000		900
Synionm Investments Limited		900,000		900
Wisdom travel service investments Limited		900,000		900

In June 2020, the Company announced the closing of its initial public offering of 2,500,000 ordinary shares at a public offering price of $0.1 per share, for total gross proceeds of approximately $250,000 before deducting underwriting discounts, commissions and other related expenses. 

NOTE 6 - SUBSEQUENT EVENTS

Management has evaluated subsequent events through November 12, 2021, the date which the financial statements were available to be issued. All subsequent events requiring recognition as of September 30, 2021 have been incorporated into these financial statements and there are no subsequent events that require disclosure in accordance with FASB ASC Topic 855, “Subsequent Events.”

9

Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations

Overview

We were incorporated in the State of Delaware on January 7, 2019. We are a travel service provider. We currently provide car services to individual and group travellers. We currently offer carpooling, airport pick-up and drop-off, and personal driver services for travellers between Guangdong Province and Hong Kong. We collaborate with car fleet companies and charge a service fee by matching the traveller and the driver. We officially launched our online service through our “Let’s Go” mobile application in December 2019 to provide multi-language services to international travellers coming to visit China. Redefining user experience, we aim to provide our users with comprehensive and convenient service offerings and become a one-stop travel booking resource for travellers. While network scale is important, we recognize that transportation happens locally. We currently operate in two markets – Guangdong Province and Hong Kong and plan to expand our offering in more oversea markets.

Plan of Operations

In January 2019, we started our Research and Development (“R&D”) project mobile Lets Go App (“App”) designed to have multi-language interface to attract users from the world, focusing on providing one-stop travel services to foreigners traveling in China, for both leisure and business.

In April 2019, we rolled out the basic version which supports carpooling, car rental, airport pick-up and/or drop-off, etc., ready for download at Apple App store; the basic version has an interface in Chinese language only. In May 2019, we rolled out second version which has an enhanced interface in both Chinese and English language, supporting payment through PayPal.

We intend to attract users from outside of China to use our App and expand our offerings on the App to serve as a one-stop shop to book tickets, reserve hotels, rent cars and hire English speaking drivers.

Our goal is to grow to an international player in the travel service market. To accomplish such goal, we will cooperate with other businesses which have capital, marketing and technology resources or products. We expect to recruit more workforce and talents, and develop new technologies and products.

10

Results of Operations

For the three and nine months ended September 30, 2021 Compared to September 30, 2020

Revenue

For the three months ended September 30, 2021 and 2020, revenues were $30,145 and $15,662, respectively, with an increase of $14,483 over the same period in 2020. Due to the effects of COVID-19, the number of travellers between Guangdong province and Hong Kong deceased significantly during the three months ended September 30, 2020. 

During the nine months ended September 30, 2021, orders for our travel service business have recovered.

For the nine months ended September 30, 2021 and 2020, revenues were $82,418 and $38,371 respectively, with an increase of $44,047 over the same period in 2020.  In compliance with the government health emergency rules in place, the Company temporarily closed all offices in China and ceased operations from January 19, 2020 to February 10, 2020. During the nine months ended September 30, 2021, orders for our travel service business have recovered.

Cost of Revenue

Cost of Revenue for the three months ended September 30, 2021 and 2020 were $24,796 and $2,351, respectively, with an increase of $22,445 over the same period in 2020. The increase mainly due to increase of service orders during the quarter thus the cost of revenue increased accordingly.

Cost of Revenue for the nine months ended September 30, 2021 and 2020 were $77,046 and $12,389, respectively, with an increase of $64,657 over the same period in 2020. The increase mainly due to increase of service orders during the quarter thus the cost of revenue increased accordingly.

Gross Profit

Gross profits were $5,349 and $13,311 for the three months ended September 30, 2021 and 2020, respectively, a decrease of $7,962 over the same period in 2020. The gross profit margin as a percentage of sales for the three months ending September 30, 2021 and 2020 were 17.74% and 84.99% respectively.

Gross profits were $5,372 and $25,982 for the nine months ended September 30, 2021 and 2020, respectively, a decrease of $20,610 over the same period in 2020. The gross profit margin as a percentage of sales for the nine months ending September 30, 2021 and 2020 were 6.52% and 67.71%, respectively.

Operating Expenses

Operating expenses for the three months ended September 30, 2021 and 2020 were $38,638 and $37,588 respectively for an increase of $1,050.

Operating expenses for the nine months ended September 30, 2021 and 2020 were $117,443 and $70,355, respectively, an increase of $47,088 from the same period in 2020. The increase was mainly due to the effect of COVID-19 which the Company temporarily closed all offices in China and ceased operations from January 19, 2020 to February 10, 2020. There was no such item during the nine months ended September 30, 2021.

11

Other Income (expense)

Other income consists of interest income and exchange gain (loss) for the three months ended September 30, 2021 and 2020, the net other expense were $1,656 and $1,521, respectively with an increase of $135. The increase was mainly due to the change of exchange rate and the increase of average cash balance.

For the nine months ended September 30, 2021 and 2020, the net other income were $18,250 and $1,440, respectively with an increase of $16,810. The increase was mainly due to the change of exchange rate and the increase of average cash balance.

For the three and nine months ended September 30, 2020 compared to September 30, 2019

Revenue

For the three months ended September 30, 2020 and 2019, revenues were $15,662 and $16,175, respectively, with a decrease of $513 over the same period in 2019. Due to the effect of COVID-19, the number of travelers between Guandong province and Hong Kong decease a lot. Thus the orders of our travel service business decrease in the three months ended September 30, 2020. The decrease was offset by the service revenue of Universe Travel Culture & Technology Ltd. (“Universe Travel”).The company provided active planning and other service for “Shenzhen Yinxin Enterprise Service Co., Ltd ” in August 2020, this part revenue was RMB 87,302 (USD12,624).

For the nine months ended September 30, 2020 and 2019, revenues were $38,371 and $42,496, respectively, with an decrease of $4,125 over the same period in 2019.The decrease was mainly due to the effect of COVID-19. In compliance with the government health emergency rules in place, the Company temporarily closed all offices in China and ceased operations from January 19, 2020 to February 10, 2020. We expect the COVID-19 outbreak may materially affect our financial condition and results of operations going forward.

Cost of Revenue

Cost of Revenue for the three months ended September 30, 2020 and 2019 were $2,351 and $12,778, respectively, with a decrease of $10,427 over the same period in 2019. The decrease mainly due to the service orders decreases a lot, thus the cost of revenue decrease accordingly.

Cost of Revenue for the nine months ended September 30, 2020 and 2019 were $12,389 and $36,353, respectively, with a decrease of $23,964 over the same period in 2019. The decrease mainly due to the service orders decreases a lot, thus the cost of revenue decrease accordingly.

Gross Profit

Gross profits were $13,311 and $3,397 for the three months ended September 30, 2020 and 2019, respectively, an increase of $9,914 over the same period in 2019. The increase of gross profit mainly due to other service provide by the company have a higher gross margin than car services.

Gross profits were $25,982 and $6,143 for the September 30, 2020 and 2019, respectively, an increase of $19,839 over the same period in 2019. The increase of gross profit mainly due to other service provide by the company have a higher gross margin than car services.

Operating Expenses

Operating expenses for the three months ended September 30, 2020 and 2019 were $ 37,588 and $31,564 respectively for an increase of $6,024. The increase mainly due to professional fee paid for OTC listed,

Operating expenses for the nine months ended September 30, 2020 and 2019 were $70,355 and $109,571, respectively, a decrease of $39,216 or 35.79% from the same period in 2019. The decrease mainly due to the effect of COVID-19 the Company temporarily closed all offices in China and ceased operations from January 19, 2020 to February 10, 2020.

12

Other Income (Expense)

Other income consists of interest income and exchange gain (loss) for the three months ended September 30, 2020 the net other expense were $1,521 when it was net income of $89 for the same period in 2019.The change of other Income (expense) mainly due to the change of exchange rate For the nine months ended September 30, 2020 and 2019, the net other income were $1,440 and $1,582, respectively with a decrease of $142. The decrease was mainly due to the change of exchange rate.

Liquidity and Capital Resources

We suffered recurring losses from operations and have an accumulated deficit of $276,141 as of September 30, 2021. We had a cash balance of $262,642 and working capital of negative $97,961 as of September 30, 2021. The Company has incurred losses of $93,821 and $42,933 for the nine months ended September 30, 2021 and 2020, respectively. The Company has not continually generated significant gross margins. Unless our operations generate a significant increase in gross margins and cash flows from operating activities, our continued operations will depend on whether we are able to raise additional funds through various sources, such as equity and debt financing, other collaborative agreements and/or strategic alliances. Our management is actively engaged in seeking additional capital to fund our operations in the short to medium term. Such additional funds may not become available on acceptable terms and there can be no assurance that any additional funding that we do obtain will be sufficient to meet our needs in the long term. As of September 30, 2021, we have enough cash to last approximately six months.

Net cash used in operating activities for the nine months ended September 30, 2021, amounted to $10,641, compared to $1,911 net cash used in operating activities for the nine months ended September 30, 2020. The increase of net cash used in operating activities mainly due to the increase of net loss.

There were $0 cash used by investment activities for the nine months ended September 30, 2021 and 2020.

Net cash used in financing activities for the nine months ended September 30, 2021 amounted to $16,677, compared to net cash provided by financing activities of $220,046 in the same period 2020. In June 2020, we completed the initial public offering and received proceeds of $250,000 before deducting underwriting discounts, commissions and other related expenses. 

13

COVID-19

In January 2020, the World Health Organization declared a global health emergency as the novel coronavirus (“COVID-19”) outbreak continues to spread beyond China. In an effort to contain COVID-19, the Chinese authorities have suspended air, road, and rail travel in the area around Wuhan and placed restrictions on travel and other activities throughout China, including Guangdong Province and Hong Kong, the key market in which we operate. In compliance with the government health emergency rules in place, the Company temporarily closed all offices in China and ceased operations from January 19, 2020 to February 10, 2020. At the end of this period, management reopened our business.

As of the date of this prospectus, the Hong Kong government has reported cases of COVID-19 in the city, has upgraded its response level to emergency, its highest response level, and is taking other steps to manage the outbreak. On February 8, 2020, the Hong Kong government began enforcing a compulsory 21-day quarantine for anyone, with reduced quarantine period for vaccinated persons arriving in Hong Kong from overseas depending on their port of embarkation. Moreover, this mandatory quarantine does not apply to individuals transiting Hong Kong International Airport and certain exempted groups such as flight crews. However, health screening measures are in place at all of Hong Kong’s borders and the Hong Kong authorities will quarantine individual travellers, including passengers transiting the Hong Kong International Airport, if the Hong Kong authorities determine the traveller to be a health risk. On January 30, 2020, the Hong Kong government closed certain transportation links and border checkpoints connecting Hong Kong with mainland China (all located in Guangdong Province) until further notice, and on February 3, 2020 suspended ferry services from Macau (which has border checkpoints connecting Macau with Guangdong Province).

The effects of the COVID-19 pandemic, including the travel restrictions described above, have resulted in a dramatic reduction in the number of people travelling from Guangdong Province to Hong Kong and a similar reduction in the number of our customers and have, severely impacted our operating results during the first quarter of 2020. For example, compared to the first quarter of 2019, the first quarter of 2020’s revenue, cost of revenue and operating expenses decreased by 33.2%, 43.8% and 76.6%, respectively, and gross profit and other income increased by 19.9% and 240.8%, respectively. We believe the decreases, including the decrease in cost of revenue, are primarily attributable to the fact that we ceased car services for individual and group travellers between Guangdong Province and Hong Kong in the first quarter of 2020, resulting in a decrease of customers. In the same period, we started to provide express, small-package delivery services for customers in the same region in cities including Shenzhen, Guangzhou, Zhuhai and Zhongshan, which brought in an estimated $8,700 of revenue. We expect that after our offices reopened on February 11, 2020 and as the travel restrictions started to ease, our business will gradually return to normal levels, although we are unable to predict as of the date of this prospectus the speed of the recovery.

We expect the COVID-19 outbreak may materially affect our financial condition and results of operations going forward. Our business operations and active ties in many regions (including Hong Kong and Guangdong Province) may be subject to quarantines, “shelter-in-place” rules, and various other restrictions for the foreseeable future. Due to the uncertainty of the future impacts of the COVID-19 pandemic, the extent of the financial impact cannot be reasonably estimated at this time. Without limited the generality of the foregoing sentence, any significant disruption to travel, including travel restrictions and other potential protective quarantine measures against COVID-19 by governmental agencies, may increase the difficulty and could make it difficult for the Company to provide its services to its customers. Travel restrictions and protective measures against COVID-19 could cause the Company to incur additional unexpected costs and expenses. The extent to which COVID-19 impacts the Company’s business, sales and results of operations will depend on future developments, which are highly uncertain and cannot be predicted.

14

Going Concern

The accompanying consolidated financial statements have been prepared assuming the Company will continue as a going concern; however, the above condition raises substantial doubt about the Company’s ability to do so. 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 should the Company be unable to continue as a going concern.

In order to continue as a going concern, the Company will need, among other things, additional capital resources. Management’s plans to obtain such resources for the Company include (1) obtaining capital from the sale of its equity securities, (2) sales of the Company’s services, (3) short-term and long-term borrowings from banks, and (4) short-term borrowings from stockholders or other related party(ies) when needed. However, management cannot provide any assurance that the Company will be successful in accomplishing any of its plans. The ability of the Company to continue as a going concern is dependent upon its ability to successfully accomplish the plans described in the preceding paragraph and eventually to secure other sources of financing and attain profitable operations.

Critical Accounting Policies

The discussion and analysis of the Company’s financial condition and results of operations are based upon the Company’s consolidated financial statements, which have been prepared in accordance with accounting principles generally accepted in the United States of America. We continually evaluate our estimates, including those related to bad debts, the useful life of property and equipment and intangible assets, and the valuation of equity transactions. We base our estimates on historical experience and on various other assumptions that we believed to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. Any future changes to these estimates and assumptions could cause a material change to our reported amounts of revenues, expenses, assets and liabilities. Actual results may differ from these estimates under different assumptions or conditions. We believe the following critical accounting policies affect our significant judgments and estimates used in the preparation of the financial statements.

Accounts Receivable - The customers are required to make payments when they book the services, otherwise, the services will not be arranged. Sometimes, the Company extends credit to its group clients. The company considers accounts receivable to be fully collectible at year-end. Accordingly, no allowance for doubtful accounts has been recorded.

Revenue Recognition - The Company recognizes revenue in accordance with ASC 606. The core principle of ASC606 is to recognize revenue when promised goods or services are transferred to customers in an amount that reflects the consideration that is expected to be received for those goods or services. ASC 606 defines a five-step process to achieve this core principle, which includes: (1) identifying contracts with customers, (2) identifying performance obligations within those contracts, (3) determining the transaction price, (4) allocating the transaction price to the performance obligation in the contract, which may include an estimate of variable consideration, and (5) recognizing revenue when or as each performance obligation is satisfied. Our sales arrangements generally ask customers to pay in advance before any services can be arranged. The company recognizes revenue when each performance obligation is satisfied. Documents and terms and the completion of any customer acceptance requirements, when applicable, are used to verify services rendered. The Company has no returns or sales discounts and allowances because services rendered and accepted by customers are normally not returnable

Off-Balance Sheet Arrangements

As of September 30, 2021, we did not have any off-balance sheet arrangements as defined in Item 303(a)(4)(ii) of Regulation S-K.

15

Item 3. Quantitative and Qualitative Disclosures about Market Risk

As a smaller reporting company, we are not required to make disclosures under this item.

Item 4. Controls and Procedures

Under the supervision and with the participation of our management, including our principal executive officer and principal financial and accounting officer, we conducted an evaluation of the effectiveness of our disclosure controls and procedures, as such term is defined in Rules 13a-15(e) and 15d-15(e) under the Exchange Act. Based on this evaluation, our principal executive officer and principal financial and accounting officer have concluded that as of September 30, 2021, our disclosure controls and procedures were effective.

Disclosure controls and procedures are designed to ensure that information required to be disclosed by us in our Exchange Act reports is recorded, processed, summarized, and reported within the time periods specified in the SEC’s rules and forms, and that such information is accumulated and communicated to our management, including our principal executive officer and principal financial officer or persons performing similar functions, as appropriate to allow timely decisions regarding required disclosure.

Changes in Internal Control over Financial Reporting

There have been no changes in our internal control over financial reporting during the period ended September 30, 2021 that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting

16

PART II — OTHER INFORMATION

Item 1. Legal Proceedings. 

Item 1A. Risk Factors 

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

Item 3. Defaults Upon Senior Securities. 

Item 4. Mine Safety Disclosures 

Item 5. Other Information. 

Item 6. Exhibits

The following exhibits are filed as part of, or incorporated by reference into, this Quarterly Report on Form 10-Q.

No.	Description of Exhibit
31.1*	Certification of Principal Executive Officer and Principal Financial Officer Pursuant to Securities Exchange Act Rules 13a-14(a), as adopted Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
32.1**	Certification of Principal Executive Officer and Principal Financial Officer Pursuant to 18 U.S.C. Section 1350, as adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002
101.INS*	Inline XBRL Instance Document.
101.SCH*	Inline XBRL Taxonomy Extension Schema Document.
101.CAL*	Inline XBRL Taxonomy Extension Calculation Linkbase Document.
101.DEF*	Inline XBRL Taxonomy Extension Definition Linkbase Document.
101.LAB*	Inline XBRL Taxonomy Extension Label Linkbase Document.
101.PRE*	Inline XBRL Taxonomy Extension Presentation Linkbase Document.
104*	Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101).

* Filed herewith.

** Furnished.

17

SIGNATURES

In accordance with the requirements of the Exchange Act, the registrant caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

	PONY GROUP INC.
Date: November 15, 2021	By:	/s/ Wenxian Fan
	Name:	Wenxian Fan
	Title:	Chief Executive Officer (Principal Executive Officer) and Chief Financial Officer (Principal Financial Officer)

18

EX-31.1

Exhibit 31.1

CERTIFICATION

I, Wenxian Fan, Chief Executive Officer of Pony Group Inc., certify that:

1. I have reviewed this quarterly report on Form 10-Q of Pony Group Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c) Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d) Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5. The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and audit committee:

a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

Date: November 15, 2021	/s/ Wenxian Fan
	Wenxian Fan
	Chief Executive Officer (Principal Executive Officer and Chief Financial Officer) (Principal Financial Officer)

EX-32.1

Exhibit 32.1

CERTIFICATION PURSUANT TO 18 U.S.C. SECTION 1350,

 AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the quarterly report of Pony Group Inc. (the “Company”) on Form 10-Q for the quarter ended September 30, 2021, as filed with the Securities and Exchange Commission on the date hereof (the “Report”), I, Wenxian Fan, Chief Executive Officer of the Company, certify, pursuant to 18 U.S.C. § 1350, as adopted pursuant to § 906 of the Sarbanes-Oxley Act of 2002, that:

1. The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

2. The information contained in the Report fairly presents, in all material respects, the financial condition and result of operations of the Company.

Date:  November 15, 2021	/s/ Wenxian Fan
	Wenxian Fan
	Chief Executive Officer (Principal Executive Officer and Chief Financial Officer) (Principal Financial Officer)

XML

Document And Entity Information - shares	9 Months Ended
	Sep. 30, 2021	Nov. 12, 2021
Document Information Line Items
Entity Registrant Name	Pony Group Inc.
Document Type	10-Q
Current Fiscal Year End Date	--12-31
Entity Common Stock, Shares Outstanding		11,500,000
Amendment Flag	false
Entity Central Index Key	0001784058
Entity Current Reporting Status	No
Entity Filer Category	Non-accelerated Filer
Document Period End Date	Sep. 30, 2021
Document Fiscal Year Focus	2021
Document Fiscal Period Focus	Q3
Entity Small Business	true
Entity Emerging Growth Company	true
Entity Shell Company	false
Entity Ex Transition Period	false
Document Quarterly Report	true
Document Transition Report	false
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	83-3532241
Entity Address, Address Line One	Engineer Experiment Building
Entity Address, Address Line Two	A202 7 Gaoxin South Avenue
Entity Address, Address Line Three	Nanshan District
Entity Address, City or Town	Shenzhen
Entity Address, Country	CN
City Area Code	+86
Local Phone Number	755 86665622
Entity Interactive Data Current	Yes
Entity Address, Postal Zip Code	000000
Entity File Number	333-234358

XML

Consolidated Balance Sheets - USD ($)		Sep. 30, 2021	Dec. 31, 2020
Current assets
Cash and cash equivalents		$ 262,642	$ 286,957
Accounts receivables		21,472	40,705
Other receivables		330	166
Other receivables-related party		8,998	8,998
Total current assets		293,442	336,826
Total assets		293,442	336,826
Current liabilities
Accounts payable		21,370	9,591
Other payable-related party		289,806	300,483
Other current liability		80,227	27,895
Total current liabilities		391,403	337,969
Total liabilities		391,403	337,969
Equity
Ordinary shares, $0.001 par value, 70,000,000 shares authorized, 11,500,000 shares issued and outstanding as of September 30,2021 and December 31, 2020, respectively	[1]	11,500	11,500
Additional paid-in capital		176,000	176,000
Accumulated foreign currency exchange loss		(9,320)	(6,323)
Accumulated deficit		(276,141)	(182,320)
Total Pony Group Inc stockholders’ equity		(97,961)	(1,143)
Total equity		(97,961)	(1,143)
Total liabilities and equity		$ 293,442	$ 336,826

[1] The shares are presented on a retroactive basis to reflect the nominal share issuance.

XML

Consolidated Balance Sheets (Parentheticals) - $ / shares	Sep. 30, 2021	Dec. 31, 2020
Statement of Financial Position [Abstract]
Ordinary shares, par value (in Dollars per share)	$ 0.001	$ 0.001
Ordinary shares, authorized	70,000,000	70,000,000
Ordinary shares, issued	11,500,000	11,500,000
Ordinary shares, outstanding	11,500,000	11,500,000

XML

Consolidated Statements of Operations - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Income Statement [Abstract]
Revenue	$ 30,145	$ 15,662	$ 82,418	$ 38,371
Cost of revenue	24,796	2,351	77,046	12,389
Gross profit	5,349	13,311	5,372	25,982
Operating expenses
General & administrative expenses	38,638	37,588	117,443	70,355
Total operating expenses	38,638	37,588	117,443	70,355
Income (loss) from operation	(33,289)	(24,277)	(112,071)	(44,373)
Other income (expenses)
Other income (expense)	(1,656)	(1,521)	18,250	1,440
Total other income	(1,656)	(1,521)	18,250	1,440
Income (Loss) before income taxes	(34,945)	(25,798)	(93,821)	(42,933)
Provision for income tax
Net Income (Loss)	(34,945)	(25,798)	(93,821)	(42,933)
Net Income (Loss)	(34,945)	(25,798)	(93,821)	(42,933)
Other Comprehensive Income
Comprehensive income (loss)	$ (34,945)	$ (25,798)	$ (93,821)	$ (42,933)

XML

Consolidated Statements of Changes in Stockholders’ Deficit - USD ($)		Common stock	Additional Paid-In Capital	Subscription received in advance	Accumulated Other Comprehensive Income (Loss)	Accumulated Earnings (Deficit)	Total
Balance at Dec. 31, 2019		$ 9,000			$ (565)	$ (140,533)	$ (132,098)
Balance (in Shares) at Dec. 31, 2019	[1]	9,000,000
Common stock issued		$ 2,500	176,000				178,500
Common stock issued (in Shares)	[1]	2,500,000
Cumulative Foreign currency translation adjustment					(3,400)		(3,400)
Net (Loss)						(42,933)	(42,933)
Balance at Sep. 30, 2020		$ 11,500	176,000		(3,965)	(183,466)	69
Balance (in Shares) at Sep. 30, 2020	[1]	11,500,000
Cumulative Foreign currency translation adjustment					(2,358)		(2,358)
Net (Loss)						1,146	1,146
Balance at Dec. 31, 2020		$ 11,500	176,000		(6,323)	(182,320)	(1,143)
Balance (in Shares) at Dec. 31, 2020	[1]	11,500,000
Cumulative Foreign currency translation adjustment					(2,977)		(2,977)
Net (Loss)						(93,821)	(93,821)
Balance at Sep. 30, 2021		$ 11,500	$ 176,000		$ (9,320)	$ (276,141)	$ (97,961)
Balance (in Shares) at Sep. 30, 2021	[1]	11,500,000

[1] The shares are presented on a retroactive basis to reflect the nominal share issuance.

XML

Consolidated Statements of Cash Flows - USD ($)	9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020
Operating activities
Net Loss	$ (93,821)	$ (42,933)
Changes in operating assets and liabilities:
Accounts receivable	19,233	(15,896)
Other receivable	(164)	(128)
Accounts payable	11,779
Other payable	52,332	57,046
Cash provided (used) in operating activities	(10,641)	(1,911)
Cash flow used in investing activities:
Investment in Pony HK
Cash used in investing activities
Cash flow provided (used) by financing activities:
Pay for deferred offering cost		(23,000)
Advance from (repayment to) related party	(10,677)	(6,954)
Proceed from Issue of Common Stock		250,000
Cash provided by financing activities	(10,677)	220,046
Effects of currency translation on cash	(2,997)	(3,400)
Net increase (decrease) in cash	(24,315)	214,735
Cash at beginning of the period	286,957	44,105
Cash at end of period	$ 262,642	$ 258,840

XML

Organizations and Summary of Significant Accounting Policies

9 Months Ended

Sep. 30, 2021

Accounting Policies [Abstract]

ORGANIZATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

NOTE 1 - ORGANIZATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Organization and Operations 

PONY GROUP INC, (The “Company” or “PONY”) was incorporated on January 7, 2019 in the state of Delaware.

On March 7, 2019, Pony Group Inc (the “Purchaser”), and Wenxian Fan, the sole owner of PONY LIMOUSINE SERVICES LIMITED, entered into a Stock Purchase Agreement (the “Purchase Agreement”), pursuant to which Wenxian Fan (the “Seller”) would sell to the Purchaser, and the Purchaser will purchase from the Seller, 10,000 shares of the PONY LIMOUSINE SERVICES LIMITED, which represented 100% of the shares. On March 7, 2019, this transaction was completed.

PONY LIMOUSINE SERVICES LIMITED (“PONYHK”) is a limited liability company formed under the laws of Hong Kong on April 28, 2016, which was formed by FAN WENXIAN. Its registered office is located at FLAT/RM 01 11/F, LUCKY COMM BLDG, 103 DES VOEUX RD WEST, SHEUNG WAN, HONG KONG. The business nature of the Company is to provide cross boarder limousine services to customers. On February 2, 2019, Universe Travel Culture & Technology Ltd. (“Universe Travel”) was incorporated as a wholly-owned PRC subsidiary of Pony HK.

Details of the Company’s structure as of September 30, 2021 are as follow:

Reverse Merger Accounting – Since Pony HK and Pony US were entities under Ms. Fan’s common control prior to the “Purchase Agreement” was executed, and because of certain other factors, including that the member of the Company’s executive management is from Pony HK, Pony HK is deemed to be the acquiring company for accounting purposes and the Merger was accounted for as a reverse merger and a recapitalization in accordance with generally accepted accounting principles in the United States (“GAAP”). These unaudited consolidated financial statements reflect the historical results of Pony HK prior to the Merger and that of the combined Company following the Merger, and do not include the historical financial results prior to the completion of the Merger. Common stock and the corresponding capital amounts of the Company pre-Merger have been retroactively restated as capital stock shares.

Basis of Accounting and Presentation - The accompanying financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America.

Cash and Cash Equivalents – For purpose of the statements of cash flows, the Company considers all highly liquid debt instruments purchased with a maturity of 90 days or less to be cash equivalents.

Accounts Receivable - The customers are required to make payments when they book the services, otherwise, the services will not be arranged. Sometimes, the Company extends credit to its group clients.

As of September 30, 2021 and December 31, 2020, accounts receivable was $21,472 and $40,705, respectively. The company considers accounts receivable to be fully collectible and determined that an allowance for doubtful accounts was not necessary.

PONY LIMOUSINE SERVICES LIMITED, a 100% subsidiary of the Company, has agreements with its two major clients that the payments for the services rendered be settled every six months. The two major clients account for 75.97% of the revenue for the nine months ended September 30, 2021 and 37.02% for the same period 2020, respectively.

Revenue Recognition - The Company recognizes revenue in accordance with ASC 606. The core principle of ASC606 is to recognize revenue when promised goods or services are transferred to customers in an amount that reflects the consideration that is expected to be received for those goods or services. ASC 606 defines a five-step process to achieve this core principle, which includes: (1) identifying contracts with customers, (2) identifying performance obligations within those contracts, (3) determining the transaction price, (4) allocating the transaction price to the performance obligation in the contract, which may include an estimate of variable consideration, and (5) recognizing revenue when or as each performance obligation is satisfied. Our sales arrangements generally ask customers to pay in advance before any services can be arranged. The company recognizes revenue when each performance obligation is satisfied. Documents and terms and the completion of any customer acceptance requirements, when applicable, are used to verify services rendered. The Company has no returns or sales discounts and allowances because services rendered and accepted by customers are normally not returnable.

Cost of revenue – Cost of revenue includes cost of services rendered during the period, net of discounts and sales tax.

Income Taxes – Income tax expense represents current tax expense. The income tax payable represents the amounts expected to be paid to the taxation authority. Hong Kong profits tax has been provided at the rate of 16.5% on the estimated assessable profit for the period.

Foreign Currency Translation - PONY LIMOUSINE SERVICES LIMITED’s functional currency is the Hong Kong Dollar (HK$) and Universe Travel Culture & Technology Ltd.’s functional currency is the Renminbi (RMB). The reporting currency is that of the US Dollar. Assets, liabilities and owners’ contribution are translated at the exchange rates as of the balance sheet date. Income and expenditures are translated at the average exchange rate of the year.

The exchange rates used to translate amounts in HK$ and RMB into USD for the purposes of preparing the financial statements were as follows:

September 30, 2020
Balance sheet	HK$7.79 to US $1.00	RMB 6.44 to US $1.00
Statement of operation and other comprehensive income	HK$7.77 to US $1.00	RMB 6.47 to US$1.00
December 31, 2020
Balance sheet	HK$7.75 to US $1.00	RMB 6.53 to US $1.00
September 30, 2020
Statement of operation and other comprehensive income	HK$7.76 to US $1.00	RMB 6.99 to US$1.00

XML

Going Concern

9 Months Ended

Sep. 30, 2021

Going Concern [Abstract]

GOING CONCERN

NOTE 2 - GOING CONCERN

The Company had operating losses of $93,821 and $42,933 during the nine months ended September 30, 2021 and 2020, respectively.

The Company has accumulated deficit of $276,141 and $182,320 as of September 30, 2021 and December 31, 2020, respectively. The Company’s continuation as a going concern is dependent on its ability to generate sufficient cash flows from operations to meet its obligations and/or obtain additional financing, as may be required.

The accompanying financial statements have been prepared assuming the Company will continue as a going concern; however, the above condition raises substantial doubt about the Company’s ability to do so. 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 should the Company be unable to continue as a going concern.

Management’s Plan to Continue as a Going Concern

In order to continue as a going concern, the Company will need, among other things, additional capital resources. Management’s plans to obtain such resources for the Company include (1) obtaining capital from the sale of its equity securities, (2) sales of the Company’s products, (3) short-term and long-term borrowings from banks, and (4) short-term borrowings from stockholders or other related party (ies) when needed. However, management cannot provide any assurance that the Company will be successful in accomplishing any of its plans.

The ability of the Company to continue as a going concern is dependent upon its ability to successfully accomplish the plans described in the preceding paragraph and eventually to secure other sources of financing and attain profitable operations.

XML

Related Party Transactions

9 Months Ended

Sep. 30, 2021

Related Party Transactions [Abstract]

RELATED PARTY TRANSACTIONS

NOTE 3 - RELATED PARTY TRANSACTIONS

PONY GROUP INC, incorporated on Jan 7, 2019 in the state of Delaware, is the sole owner of PONY LIMOUSINE SERVICES LIMITED (Pony HK), during the nine months ended September 30, 2021, Pony HK paid $77,914 on behalf of PONY GROUP INC for U.S. legal and audit costs in connection with the OTC listing.

Amount of receivable from shareholders due to the company declared a 6,000 to 1 stock split. After the stock split, the par value of the commons stocks was $0.001 per share. The shareholders should pay the consideration of $8,998 to the company. For the company use a retroactive basis to present the nominal shares, the considerations and receivable form shareholders also should be represented.

	September 30, 2021		December 31, 2020
Receivable from shareholders	$	8,998	$	8,998
Total due from related parties	$	8,998	$	8,998

Ms. Wenxian Fan, the director, loaned working capital to Pony HK with no interest and paid on behalf of Pony HK for the subcontracted services and employee salaries.

The Company has the following payables to Ms. Wenxian Fan:

	September 30, 2021		December 31, 2020
To Wenxian Fan	$	289,806	$	300,483
Total due to related parties	$	289,806	$	300,483

XML

Major Suppliers and Customers

9 Months Ended

Sep. 30, 2021

Risks and Uncertainties [Abstract]

MAJOR SUPPLIERS AND CUSTOMERS

NOTE 4 - MAJOR SUPPLIERS AND CUSTOMERS

The Company purchased majority of its subcontracted services from two major suppliers during the nine months ended September 30, 2021: CHANGYING BUSINESS LIMITED for 54.03%, Shenzhen Lingshang Cultural Technology Co., Ltd for 33.50%.

The Company had one major customer for the nine months ended September 30, 2021: HENG TAI WINE LIMITED for 76.1% of revenue.

XML

Common Stock

9 Months Ended

Sep. 30, 2021

Stockholders' Equity Note [Abstract]

COMMON STOCK

NOTE 5 - COMMON STOCK

On May 23, 2019, PONY GROUP INC sold 1,500 shares of common stock to the following shareholders. On May 24, 2019, these transactions were completed, the consideration received were deposited into the company’s bank account. On June 1, 2020, the company declared a 6,000 to 1 stock split. After the stock split, the par value of the commons stocks was $0.001 per share. The shareholders and the number of shares held after the stock dividend are as following:

Name	Shares		Consideration
Pony Group Ltd.		5,580,000		5,580
Aller Bonvoyage Inc		360,000		360
Capital Club Holding Limited		360,000		360
KERUIDA Investment Limited		900,000		900
Synionm Investments Limited		900,000		900
Wisdom travel service investments Limited		900,000		900

In June 2020, the Company announced the closing of its initial public offering of 2,500,000 ordinary shares at a public offering price of $0.1 per share, for total gross proceeds of approximately $250,000 before deducting underwriting discounts, commissions and other related expenses. 

XML

Subsequent Events

9 Months Ended

Sep. 30, 2021

Subsequent Events [Abstract]

SUBSEQUENT EVENTS

NOTE 6 - SUBSEQUENT EVENTS

Management has evaluated subsequent events through November 12, 2021, the date which the financial statements were available to be issued. All subsequent events requiring recognition as of September 30, 2021 have been incorporated into these financial statements and there are no subsequent events that require disclosure in accordance with FASB ASC Topic 855, “Subsequent Events.”

XML

Accounting Policies, by Policy (Policies)

9 Months Ended

Sep. 30, 2021

Accounting Policies [Abstract]

Organization and Operations

Organization and Operations 

PONY GROUP INC, (The “Company” or “PONY”) was incorporated on January 7, 2019 in the state of Delaware.

On March 7, 2019, Pony Group Inc (the “Purchaser”), and Wenxian Fan, the sole owner of PONY LIMOUSINE SERVICES LIMITED, entered into a Stock Purchase Agreement (the “Purchase Agreement”), pursuant to which Wenxian Fan (the “Seller”) would sell to the Purchaser, and the Purchaser will purchase from the Seller, 10,000 shares of the PONY LIMOUSINE SERVICES LIMITED, which represented 100% of the shares. On March 7, 2019, this transaction was completed.

PONY LIMOUSINE SERVICES LIMITED (“PONYHK”) is a limited liability company formed under the laws of Hong Kong on April 28, 2016, which was formed by FAN WENXIAN. Its registered office is located at FLAT/RM 01 11/F, LUCKY COMM BLDG, 103 DES VOEUX RD WEST, SHEUNG WAN, HONG KONG. The business nature of the Company is to provide cross boarder limousine services to customers. On February 2, 2019, Universe Travel Culture & Technology Ltd. (“Universe Travel”) was incorporated as a wholly-owned PRC subsidiary of Pony HK.

Details of the Company’s structure as of September 30, 2021 are as follow:

Reverse Merger Accounting

Reverse Merger Accounting – Since Pony HK and Pony US were entities under Ms. Fan’s common control prior to the “Purchase Agreement” was executed, and because of certain other factors, including that the member of the Company’s executive management is from Pony HK, Pony HK is deemed to be the acquiring company for accounting purposes and the Merger was accounted for as a reverse merger and a recapitalization in accordance with generally accepted accounting principles in the United States (“GAAP”). These unaudited consolidated financial statements reflect the historical results of Pony HK prior to the Merger and that of the combined Company following the Merger, and do not include the historical financial results prior to the completion of the Merger. Common stock and the corresponding capital amounts of the Company pre-Merger have been retroactively restated as capital stock shares.

Basis of Accounting and Presentation

Basis of Accounting and Presentation - The accompanying financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America.

Cash and Cash Equivalents

Cash and Cash Equivalents – For purpose of the statements of cash flows, the Company considers all highly liquid debt instruments purchased with a maturity of 90 days or less to be cash equivalents.

Accounts Receivable

Accounts Receivable - The customers are required to make payments when they book the services, otherwise, the services will not be arranged. Sometimes, the Company extends credit to its group clients.

As of September 30, 2021 and December 31, 2020, accounts receivable was $21,472 and $40,705, respectively. The company considers accounts receivable to be fully collectible and determined that an allowance for doubtful accounts was not necessary.

PONY LIMOUSINE SERVICES LIMITED, a 100% subsidiary of the Company, has agreements with its two major clients that the payments for the services rendered be settled every six months. The two major clients account for 75.97% of the revenue for the nine months ended September 30, 2021 and 37.02% for the same period 2020, respectively.

Revenue Recognition

Revenue Recognition - The Company recognizes revenue in accordance with ASC 606. The core principle of ASC606 is to recognize revenue when promised goods or services are transferred to customers in an amount that reflects the consideration that is expected to be received for those goods or services. ASC 606 defines a five-step process to achieve this core principle, which includes: (1) identifying contracts with customers, (2) identifying performance obligations within those contracts, (3) determining the transaction price, (4) allocating the transaction price to the performance obligation in the contract, which may include an estimate of variable consideration, and (5) recognizing revenue when or as each performance obligation is satisfied. Our sales arrangements generally ask customers to pay in advance before any services can be arranged. The company recognizes revenue when each performance obligation is satisfied. Documents and terms and the completion of any customer acceptance requirements, when applicable, are used to verify services rendered. The Company has no returns or sales discounts and allowances because services rendered and accepted by customers are normally not returnable.

Cost of revenue

Cost of revenue – Cost of revenue includes cost of services rendered during the period, net of discounts and sales tax.

Income Taxes

Income Taxes – Income tax expense represents current tax expense. The income tax payable represents the amounts expected to be paid to the taxation authority. Hong Kong profits tax has been provided at the rate of 16.5% on the estimated assessable profit for the period.

Foreign Currency Translation

Foreign Currency Translation - PONY LIMOUSINE SERVICES LIMITED’s functional currency is the Hong Kong Dollar (HK$) and Universe Travel Culture & Technology Ltd.’s functional currency is the Renminbi (RMB). The reporting currency is that of the US Dollar. Assets, liabilities and owners’ contribution are translated at the exchange rates as of the balance sheet date. Income and expenditures are translated at the average exchange rate of the year.

The exchange rates used to translate amounts in HK$ and RMB into USD for the purposes of preparing the financial statements were as follows:

September 30, 2020
Balance sheet	HK$7.79 to US $1.00	RMB 6.44 to US $1.00
Statement of operation and other comprehensive income	HK$7.77 to US $1.00	RMB 6.47 to US$1.00
December 31, 2020
Balance sheet	HK$7.75 to US $1.00	RMB 6.53 to US $1.00
September 30, 2020
Statement of operation and other comprehensive income	HK$7.76 to US $1.00	RMB 6.99 to US$1.00

XML

Organizations and Summary of Significant Accounting Policies (Tables)

9 Months Ended

Sep. 30, 2021

Accounting Policies [Abstract]

Schedule of Translate Amounts in HK$ and RMB Into USD for the purposes preparing the financial statements

September 30, 2020
Balance sheet	HK$7.79 to US $1.00	RMB 6.44 to US $1.00
Statement of operation and other comprehensive income	HK$7.77 to US $1.00	RMB 6.47 to US$1.00
December 31, 2020
Balance sheet	HK$7.75 to US $1.00	RMB 6.53 to US $1.00
September 30, 2020
Statement of operation and other comprehensive income	HK$7.76 to US $1.00	RMB 6.99 to US$1.00

XML

Related Party Transactions (Tables)

9 Months Ended

Sep. 30, 2021

Related Party Transactions [Abstract]

Schedule of considerations and receivable form shareholders

	September 30, 2021		December 31, 2020
Receivable from shareholders	$	8,998	$	8,998
Total due from related parties	$	8,998	$	8,998

Schedule of related party payables

	September 30, 2021		December 31, 2020
To Wenxian Fan	$	289,806	$	300,483
Total due to related parties	$	289,806	$	300,483

XML

Common Stock (Tables)

9 Months Ended

Sep. 30, 2021

Stockholders' Equity Note [Abstract]

Schedule of number of shares held after the stock dividend

Name	Shares		Consideration
Pony Group Ltd.		5,580,000		5,580
Aller Bonvoyage Inc		360,000		360
Capital Club Holding Limited		360,000		360
KERUIDA Investment Limited		900,000		900
Synionm Investments Limited		900,000		900
Wisdom travel service investments Limited		900,000		900

XML

Organizations and Summary of Significant Accounting Policies (Details) - USD ($)		9 Months Ended
	Mar. 07, 2019	Sep. 30, 2021	Dec. 31, 2020	Sep. 30, 2020
Organizations and Summary of Significant Accounting Policies (Details) [Line Items]
Number of shares issued (in Shares)	10,000
Shares percentage	100.00%
Accounts receivable (in Dollars)		$ 21,472	$ 40,705
Subsidiary company, percentage		100.00%
Hong Kong profits tax percentage		16.50%
Two Major Clients [Member] | PONY LIMOUSINE SERVICES LIMITED [Member]
Organizations and Summary of Significant Accounting Policies (Details) [Line Items]
Revenue percentage		75.97%		37.02%

XML

Organizations and Summary of Significant Accounting Policies (Details) - Schedule of Translate Amounts in HK$ and RMB Into USD for the purposes preparing the financial statements	Sep. 30, 2021	Dec. 31, 2020	Sep. 30, 2020
HK [Member] | Statement of operation and other comprehensive income [Member]
Financial Statement Line Items with Differences in Reported Amount and Reporting Currency Denominated Amounts [Line Items]
Foreign currency exchange rates	7.77		7.76
US [Member] | Statement of operation and other comprehensive income [Member]
Financial Statement Line Items with Differences in Reported Amount and Reporting Currency Denominated Amounts [Line Items]
Foreign currency exchange rates	1		1
RMB [Member] | Statement of operation and other comprehensive income [Member]
Financial Statement Line Items with Differences in Reported Amount and Reporting Currency Denominated Amounts [Line Items]
Foreign currency exchange rates	6.47		6.99
Balance sheet [Member] | HK [Member]
Financial Statement Line Items with Differences in Reported Amount and Reporting Currency Denominated Amounts [Line Items]
Foreign currency exchange rates	7.79	7.75
Balance sheet [Member] | US [Member]
Financial Statement Line Items with Differences in Reported Amount and Reporting Currency Denominated Amounts [Line Items]
Foreign currency exchange rates	1	1
Balance sheet [Member] | RMB [Member]
Financial Statement Line Items with Differences in Reported Amount and Reporting Currency Denominated Amounts [Line Items]
Foreign currency exchange rates	6.44	6.53

XML

Going Concern (Details) - USD ($)	9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Dec. 31, 2020
Going Concern [Abstract]
Operating loss	$ (93,821)	$ (42,933)
Accumulated deficit	$ (276,141)		$ (182,320)

XML

Related Party Transactions (Details)	9 Months Ended
	Sep. 30, 2021 USD ($)
Related Party Transactions (Details) [Line Items]
Related party transactions, description	Amount of receivable from shareholders due to the company declared a 6,000 to 1 stock split. After the stock split, the par value of the commons stocks was $0.001 per share. The shareholders should pay the consideration of $8,998 to the company.
Pony HK [Member]
Related Party Transactions (Details) [Line Items]
Legal and audit cost	$ 77,914

XML

Related Party Transactions (Details) - Schedule of considerations and receivable form shareholders - USD ($)	Sep. 30, 2021	Dec. 31, 2020
Related Party Transactions (Details) - Schedule of considerations and receivable form shareholders [Line Items]
Total due from related parties	$ 8,998	$ 8,998
Receivable from shareholders [Member]
Related Party Transactions (Details) - Schedule of considerations and receivable form shareholders [Line Items]
Total due from related parties	$ 8,998	$ 8,998

XML

Related Party Transactions (Details) - Schedule of related party payables - USD ($)	Sep. 30, 2021	Dec. 31, 2020
Related Party Transaction [Line Items]
Total due to related parties	$ 289,806	$ 300,483
Wenxian Fan [Member]
Related Party Transaction [Line Items]
Total due to related parties	$ 289,806	$ 300,483

XML

Major Suppliers and Customers (Details)	9 Months Ended
	Sep. 30, 2021
Heng Tai Wine Limited [Member]
Major Suppliers and Customers (Details) [Line Items]
Concentration risk, percentage	76.10%
Suppliers [Member]
Major Suppliers and Customers (Details) [Line Items]
Number of suppliers	2
Suppliers [Member] | Changying Business Limited [Member] | Purchases [Member]
Major Suppliers and Customers (Details) [Line Items]
Concentration risk, percentage	54.03%
Suppliers [Member] | Shenzhen Lingshang Cultural Technology Co., Ltd [Member] | Purchases [Member]
Major Suppliers and Customers (Details) [Line Items]
Concentration risk, percentage	33.50%
Customer [Member]
Major Suppliers and Customers (Details) [Line Items]
Number of customers	1

XML

Common Stock (Details) - USD ($)			1 Months Ended
	Jun. 01, 2020	Mar. 07, 2019	Jun. 30, 2020	May 23, 2019
Common Stock (Details) [Line Items]
Shares issued				1,500
Stock split, description	the company declared a 6,000 to 1 stock split.
Commons stock, per share	$ 0.001
Number of ordinary shares issued		10,000
Initial Public Offering [Member]
Common Stock (Details) [Line Items]
Number of ordinary shares issued			2,500,000
Public offering price per share			$ 0.1
Total gross proceeds			$ 250,000

XML

Common Stock (Details) - Schedule of number of shares held after the stock dividend	9 Months Ended
	Sep. 30, 2021 USD ($) shares
Pony Group Ltd. [Member]
Common Stock (Details) - Schedule of number of shares held after the stock dividend [Line Items]
Shares | shares	5,580,000
Consideration | $	$ 5,580
Aller Bonvoyage Inc [Member]
Common Stock (Details) - Schedule of number of shares held after the stock dividend [Line Items]
Shares | shares	360,000
Consideration | $	$ 360
Capital Club Holding Limited [Member]
Common Stock (Details) - Schedule of number of shares held after the stock dividend [Line Items]
Shares | shares	360,000
Consideration | $	$ 360
KERUIDA Investment Limited [Member]
Common Stock (Details) - Schedule of number of shares held after the stock dividend [Line Items]
Shares | shares	900,000
Consideration | $	$ 900
Synionm Investments Limited [Member]
Common Stock (Details) - Schedule of number of shares held after the stock dividend [Line Items]
Shares | shares	900,000
Consideration | $	$ 900
Wisdom travel service investments Limited [Member]
Common Stock (Details) - Schedule of number of shares held after the stock dividend [Line Items]
Shares | shares	900,000
Consideration | $	$ 900