SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

[X] QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended ~~June~~September 30, 2016

[ ] TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE EXCHANGE ACT

For the transition period from ____________ to____________

Commission File No. 000-54152

RadTek, Inc.

(Exact name of Registrant as specified in its charter)


Nevada		27-2039490
(State or Other Jurisdiction of		(I.R.S. Employer Identification No.)
incorporation or organization)


	9900 Corporate Campus Drive, Ste 3000, c/o PEG
	Louisville, Kentucky 40223
	(Address of Principal Executive Offices)


	(502) 657-6005
	(Registrant’s telephone number, including area code)

Indicate by check mark whether the Registrant has (1) filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 (the “Exchange Act”) 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 [X] 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 (§232.405) of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files). Yes [X] 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 “large accelerated filer,” “non-accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act. (Check one):


Large accelerated filer [ ]		Non-accelerated filer [ ]
Accelerated filer [ ]		Smaller reporting company [x]

Indicate by check mark whether the Registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes [ ] No [X]

Indicate the number of shares outstanding of each of the Registrant’s classes of common stock, as of the latest practicable date: ~~August~~November 1811, 2016 – 121,507,050 shares of common stock.

RadTek, Inc.

FORM 10-Q

TABLE OF CONTENTS

PART 1 – FINANCIAL INFORMATION



		Page
Item 1. Consolidated Financial Statements (Unaudited)		4
Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations		13
Item 3. Quantitative and Qualitative Disclosure About Market Risk		14
Item 4. Controls and Procedures		15

PART II – OTHER INFORMATION



Item 1. Legal Proceedings		16
Item 1A. Risk Factors		16
Item 2. Unregistered Sales of Equity Securities and Use of Proceeds		16
Item 3. Defaults upon Senior Securities		16
Item 4. Mine Safety Disclosures		16
Item 5. Other Information		16
Item 6. Exhibits		16

SIGNATURES		17

Special Note Regarding Forward-Looking Statements

Information included in this Form 10-Q contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (“Securities Act”), and Section 21E of the Securities Exchange Act of 1934, as amended (“Exchange Act”). This information may involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of RadTek, Inc. (the “Company”), to be materially different from future results, performance or achievements expressed or implied by any forward-looking statements. Forward-looking statements, which involve assumptions and describe future plans, strategies and expectations of the Company, are generally identifiable by use of the words “may,” “will,” “should,” “expect,” “anticipate,” “estimate,” “believe,” “intend,” or “project” or the negative of these words or other variations on these words or comparable terminology. These forward-looking statements are based on assumptions that may be incorrect, and there can be no assurance that these projections included in these forward-looking statements will come to pass. Actual results of the Company could differ materially from those expressed or implied by the forward-looking statements as a result of various factors. Except as required by applicable laws, the Company has no obligation to update publicly any forward-looking statements for any reason, even if new information becomes available or other events occur in the future.

*Please note that throughout this Quarterly Report, and unless otherwise noted, the words "we,"”RDTK,” "our," "us,” the "Company," refers to RadTek, Inc.

PART I

Item 1. Financial Statements

The Financial Statements of the Registrant required to be filed with this 10-Q Quarterly Report were prepared by management and commence below, together with related notes. In the opinion of management, the Financial Statements fairly present the financial condition of the Registrant.

RADTEK INC.

CONSOLIDATED FINANCIAL STATEMENTS

~~June~~September 30, 2016 (Unaudited)

CONTENTS

CONSOLIDATED FINANCIAL STATEMENTS

Condensed Consolidated Balance Sheets

Condensed Statements of consolidated comprehensive income

Condensed Consolidated Statements of Cash Flows

Notes to Condensed Consolidated Financial Statements

RADTEK, INC.

CONSOLIDATED BALANCE SHEETS

CONDENSED CONSOLIDATED BALANCE SHEETS

AS OF JUNE 30, 2016 AND DECEMBER 31, 2015

AS OF SEPTEMBER 30, 2016 AND DECEMBER 31, 2015

(US dollar in units)

June 30, 2016

December 31, 2015

September 30, 2016

December 31, 2015

Assets

(Unaudited)

(Audited-Restated)

~~(Audited - Restated)~~

Current assets:

Cash and cash equivalents

1014,~~383~~188

78,301

~~78,301~~

Accounts receivable, net

~~118~~120,~~300~~753

128,341

~~128,341~~

Prepaid expenses and other assets

312,~~132~~302

1,132,317

~~1,132,317~~

Inventories

~~4,759~~-

2,850

~~2,850~~

Total Current assets

~~136~~147,~~574~~243

1,341,809

~~1,341,809~~

Investment

Property and equipment, net

Intangible assets

7375,~~107~~257

77,163

~~77,163~~

Security deposits

2830,~~333~~101

28,157

~~28,157~~

101,440

105,320

105,358

105,320

Total assets

~~238~~252,~~014~~601

1,447,129

~~1,447,129~~

Liabilities and equity

Current liabilities:

Accounts and other payable

~~420~~537,~~921~~580

403,258

~~403,258~~

Short-term borrowings

~~317~~337,~~679~~499

315,700

~~315,700~~

Loan from related party

~~100~~115,000

100,000

~~100,000~~

Advances from related party

~~905~~980,~~698~~025

895,528

~~895,528~~

Advance payments on contracts

1332,~~437~~732

1,304,222

~~1,304,222~~

Convertible Note

5,000

~~5,000~~

Derivative Liability

7,001

~~7,001~~

Other current liabilities

108,~~303~~989

6,344

~~6,344~~

1,788,038

3,037,053

2,011,825

3,037,053

Non-current liabilities:

Accrued severance benefits, net

4853,~~189~~687

43,279

~~43,279~~

48,189

43,279

53,687

43,279

Total liabilities

12,~~836~~065,~~227~~512

3,080,332

~~3,080,332~~

Equity:

Preferred Stock:

Authorized: 10,000,000 shares, $0.001 par value

Issued and outstanding shares: 0

Common stock;

Authorized: 1,990,000,000 shares, $0.001 par value

Issued and outstanding: 121,507,050 and 121,507,050 shares

as of June 30, 2016 and December 31, 2015, respectively

176,882

as of September 30, 2016 and December 31, 2015, respectively

176,882

Additional paid-in capital

1,651,700

~~1,651,700~~

Treasury Stock (55,375,000 shares)

(375,053)

~~(375,053)~~

Accumulated other comprehensive loss

91(36,~~766~~871)

105,130

~~105,130~~

Accumulated deficits

(3,~~143~~229,~~508~~569)

(3,191,862)

~~(3,191,862)~~

Total equity

(1,~~598~~812,~~213~~911)

(1,633,203)

~~(1,633,203)~~

Total liabilities and equity

~~238~~252,~~014~~601

1,447,129

~~1,447,129~~

The accompanying notes are an integral part of these financial statements.


RADTEK INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATION (UNAUDITED)
for the periods ended September 30, 2016 and 2015

									(US dollar in units)
		Three Months Ended				Nine Months Ended

		September 30, 2016		September 30, 2015		September 30, 2016		September 30, 2015
Net revenues		$	101,091	$	35,142	$	1,518,260	$	330,583

Cost of sales			81,075		29,230		1,283,416		124,857

Gross profit			20,016		5,912		234,844		205,726

Operating expenses:
Depreciation and Amortization			2,355		1,419		6,827		4,445
Selling and administrative expenses			134,546		93,400		303,152		305,140

Total Operating expenses			136,901		94,819		309,979		309,585

Gain(Loss) from operations			(116,885)		(88,907)		(75,135)		(103,859)

Other income(expenses):
Interest expense, net			(3,505)		1,329		(10,325)		(335)
Foreign exchange transaction gain (loss)			34,321		(29,892)		40,374		(40,887)
Gain on derivative liability			-				7,001		-
Other income, net			7		-		377		-
			30,823		(28,563)		37,427		(41,222)
Income for the year before tax			(86,062)		(117,470)		(37,708)		(145,081)
Provision for income tax			-		-		-		-
Net income			(86,062)		(117,470)		(37,708)		(145,081)

Other Comprehensive income (loss)
Foreign currency translation adjustments			(128,637)		78,530		(142,001)		107,368

Comprehensive income (loss)		$	(214,699)	$	(38,940)	$	(179,709)	$	(37,713)


Earnings per share:
-	Basic and diluted earnings per share	$	(0.00)	$	(0.00)	$	(0.00)	$	(0.00)
-	Weighted Average Outstanding Shares		121,507,050		121,475,892		121,507,050		121,383,674

RADTEK, Inc.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATION (UNAUDITED)
for the periods ended June 30, 2016 and 2015
		Three Months Ended				Six Months Ended
		June 30, 2016		June 30, 2015		June 30, 2016		June 30, 2015
Net revenues		$	1,335,550	$	49,666	$	1,417,169	$	295,441
Cost of sales			1,158,773		44,308		1,202,341		95,627
Gross profit			176,777		5,358		214,828		199,814
Operating expenses:
Depreciation and Amortization			2,272		1,515		4,472		3,026
Selling and administrative expenses			88,124		120,721		168,606		211,740
Total Operating expenses			90,396		122,236		173,078		214,766
Gain(Loss) from operations			86,381		(116,878)		41,750		(14,952)
Other income(expenses) :
Interest expense, net			(3,439)		43		(6,820)		(1,664)
Foreign exchange transaction gain (loss)			(4,588)		(13,113)		6,053		(10,995)
Gain on derivative liability			-				7,001
Other income, net			370		-		370		-
			(7,657)		(13,070)		6,604		(12,659)
Income for the year before tax			78,724		(129,948)		48,354		(27,611)
Provision for income tax			-		-		-		-
Net income			78,724		(129,948)		48,354		(27,611)
Other Comprehensive income (loss)
Foreign currency translation adjustments			18,021		21,369		(13,364)		28,838
Comprehensive income (loss)		$	96,745	$	(108,579)	$	34,990	$	1,227
Earnings per share:
-	Basic and diluted earnings per share	$	0.00	$	(0.00)	$	0.00	$	(0.00)
-	Weighted Average Outstang Shares		121,507,050		121,336,800		121,507,050		121,336,800

The accompanying notes are an integral part of these financial statements.


RADTEK INC.
CONDENSED STATEMENTS OF CASH FLOWS (UNAUDITED)
For the Nine Months Ended September 30, 2016 and 2015
(US dollar in units)

	September 30, 2016		September 30, 2015
CASH FLOWS FROM OPERATING ACTIVITIES:
Net Gain(loss)	$	(37,708)	$	(145,081)
Adjustments to reconcile net loss to net cash used in operating activities:
- Depreciation and amortization		6,827		4,445
- Severance benefits		10,408		2,527
- Gain on derivative laibility		(7,001)
Change in assets and liabilities, net of the effect of acquisitions:
- Accounts receivable		7,588		(40,477)
- Inventory		2,850		1,513
- Prepaid expenses and other assets		1,120,015		(248,774)
- Accounts payable and other payable		134,322		(19,281)
- Advance payments on contracts		(1,271,490)		282,888
- Accrued liabilities and other liabilities		2,645		(1,629)
Net cash provided by (used in) operating activities		(31,544)		(163,869)


CASH FLOWS FROM INVESTING ACTIVITIES:

Loan receivable		-		(518,736)
Security deposit				(1,380)
Net cash used in financing activities		-		(520,116)


CASH FLOWS FROM FINANCING ACTIVITIES:

- Proceeds from stock issuance		-		13,359
- Proceeds from short-term borrowing				181,662
- Payment of convertible note		(5,000)
- Loan from related party		15,000		(60,000)
- Advances from related parties		84,497		417,427
Net cash provided by financing activities		94,497		552,448

Net decrease in cash and cash equivalent		62,953		(131,537)
Effect of exchange rate changes		(127,066)		114,809
Cash and cash equivalent at beginning of year		78,301		213,247

Cash and cash equivalent at end of year	$	14,188	$	196,519

SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:

Cash paid for interest		10,325		335

RADTEK, Inc.
CONDENSED STATEMENTS OF CASH FLOWS (UNAUDITED)
For the Six Months Ended June 30, 2016 and 2015
(US dollar in units)
	June 30, 2016		June 30, 2015
CASH FLOWS FROM OPERATING ACTIVITIES:
Net Gain(loss)	$	48,354	$	(27,611)
Adjustments to reconcile net loss to net cash used in operating activities:
- Depreciation and amortization		4,472		3,026
- Severance benefits		4,910		6,011
- Gain on derivative liability		(7,001)
Change in assets and liabilities, net of the effect of acquisitions:
- Accounts receivable		10,041		(50,650)
- Inventory		(1,909)		1,513
- Prepaid expenses and other assets		1,129,185		(249,235)
- Accounts payable and other payable		37,663		(27,976)
- Advance payments on contracts		(1,290,785)		282,169
- Accrued liabilities and other liabilities		3,959		14,159
Net cash provided by (used in) operating activities		(61,111)		(48,594)
CASH FLOWS FROM INVESTING ACTIVITIES:
Loan receivable		-		(347,137)
Net cash used in financing activities		-		(347,137)
CASH FLOWS FROM FINANCING ACTIVITIES:
- Proceeds from short-term borrowings		-		-
- Payment of convertible note		(5,000)
- Loan from related party		-		(160,000)
- Advances from related parties		10,170		359,800
Net cash provided by financing activities		5,170		199,800
Net decrease in cash and cash equivalent		(55,941)		(195,931)
Effect of exchange rate changes		(11,977)		25,824
Cash and cash equivalent at beginning of year		78,301		213,247
Cash and cash equivalent at end of year	$	10,383	$	43,140
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:
Cash paid for interest		6,820		3,024

The accompanying notes are an integral part of these financial statements.

108

RadTek, Inc.

Consolidated Notes to the Financial Statements

~~June~~September 30, 2016 (Unaudited)

Note 1 – Nature of Business

(a) Description of Business

RadTek, Inc. (the “Company”) was incorporated in Nevada on December 18, 2009, under the laws of the State of Nevada, for the purpose of providing management consulting services to the small or median sized private companies in the Taiwan that want to look for business partners, or agencies, or financing resources, or to become public through IPO or reverse merger in the United States, or Canada.

The Company was a subsidiary of USChina Channel Inc., and spun off on March 15, 2010. As of March 18, 2013 the company filed with the Nevada Secretary of State and subsequently with the SEC and FINRA for a name change to RadTek, Inc., change to the Articles of Incorporation. With this the ticker of the company also changed to RDTK and created a class of preferred stock with 10,000,000 shares issuable. No preferred shares have been issued to date.

On November 26, 2013, the Company acquired RadTek, Co. Ltd. RadTek, Co., Ltd. was incorporated under the laws of Republic of Korea in May 2001, and is engaged in developing and marketing radiation-imaging system and equipment that employ digital radiography technology. The systems offered are primarily in the line of radiation scanning and related engineering services for users in various fields such as biotechnology, medical, product quality control, and security system. The specific product line includes food inspection systems, X-ray diagnosis related systems, baggage and container inspection systems, and radiation safety engineering. As the market in this field is dominated by high-priced systems for large users, the Company aims to focus on the niche market of small users by offering low-cost models.

On December 31, 2012, RadTek, Co., Ltd. entered into an agreement to acquire a company (a Nevada corporation) listed on “Over-the-Counter” Market of the United States. This transaction was completed in February 2013, and has resulted in the acquisition of 89.6% of the outstanding voting shares of the listed company at the consideration of $367,000 including transaction expenses. All amounts recorded as treasury stock in consolidated balance sheet as of ~~June~~September 30, 2016 and December 31, 2015.

On November 26, 2013, the Company entered into a definitive agreement with RadTek, Co. Ltd.’s shareholders. Pursuant to the agreement, the Company purchased all of the outstanding securities of the RadTek, Co. Ltd. (1,900,000) in exchange for 95,000,000 common shares of the Company. RadTek Co. Ltd. shall be a wholly owned subsidiary of the Company. RadTek, Co. Ltd. is treated as the “accounting acquirer” in the accompanying financial statements. In the transaction, the Company issued 95,000,000 common shares to the shareholders of RadTek, Co. Ltd.; such shares represented, immediately following the transaction, 94% of the outstanding shares of the Company (excluding treasury stock of 55,375,000 shares). The transaction was accounted for as a “reverse merger” and a reverse recapitalization and the issuances of common stock were recorded as a reclassification between paid-in-capital and par value of Common Stock.

On January 15, 2014, the Board of Directors approved to increase authorized common shares from 60,000,000 common shares, par value $0.001 to 1,990,000,000 common shares, par value $0.001 per common shares and to effectuate a forward split of RadTek’s common stock at an exchange ratio of 50 for 1 so that each outstanding common share before the forward split shall represent 50 common shares after the forward split. All share amounts have been retroactively adjusted for all periods presented.

(b) Basis of Presentation and Going Concern Considerations

The accompanying unaudited condensed consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the ~~information and footnotes required by accounting principles generally accepted in the United States of America for~~

119

information and footnotes required by accounting principles generally accepted in the United States of America for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring adjustments) considered necessary for a fair presentation have been included. Operating results for the ~~three~~nine months ended ~~June~~September 30, 2016 are not necessarily indicative of the results that may be expected for the full year ending December 31, 2016. The consolidated financial statements include the accounts of RadTek, Inc. and its 100% owned subsidiary, RadTek, Co. Ltd., a company incorporated in Korea. All significant intercompany balances and transactions have been eliminated upon consolidation.

For further information, refer to the consolidated financial statements and footnotes thereto included in the Company’s Annual Report on Form 10-K and Form 10-K/A for the year ended December 31, 2015.

These consolidated financial statements present the financial condition, and results of operations and cash flows of the operating companies.

The Company’s financial statements are presented on a going concern basis, which contemplates the realization of assets and satisfaction of liabilities in the normal course of business. The Company has experienced recurring losses over the past years which have resulted in stockholders’ accumulated deficits of approximately $3,~~143~~217 thousand and a working capital deficit of approximately $1,~~651~~865 thousand at ~~June~~September 30, 2016. These conditions raise uncertainty about the Company’s ability to continue as a going concern.

The Company’s ability to continue as a going concern is contingent upon its ability to secure additional financing, increase sales of its products and attain profitable operations. It is the intent of management to continue to raise additional capital to sustain operations and to pursue acquisitions of operating companies in order to generate future profits for the Company. However, there can be no assurance that the Company will be able to secure such additional funds or obtain such on terms satisfactory to the Company, if at all.

The accompanying financial statements do not include any adjustments relating to the recoverability and classification of asset carrying amounts or the amount and classification of liabilities that might result from the outcome of this uncertainty.

Recent Accounting Pronouncements

Management does not believe that any other recently issued, but not yet effective accounting pronouncements, if adopted, would have a material effect on the accompanying financial statements.

Note 2 – Inventories

Inventories consist of the following as of ~~June~~September 30, 2016 and December 31, 2015:

		June 30, 2016	December 31, 2015
		September 30, 2016	December 31, 2015
Raw materials	$ ~~4,759~~-		$ 2,850
Finished goods		-	-
Total		$ ~~4,759~~-	$ 2,850

Note 3 – Intangibles

The Company’s intangible assets are composed of the following as of ~~June~~September 30, 2016 and December 31, 2015:

	June 30, 2016	December 31, 2015
	September 30, 2016	December 31, 2015
Patents	$ 1213,~~290~~057	$ 12,213
Technical rights	~~102~~109,~~912~~333	102,271
	115,202	114,484
	122,389	114,484
Accumulated amortization	(4247,~~095~~132)	(37,321)
Intangible assets, net	$ 7375,~~107~~257	$ 77,163

Direct costs incurred in obtaining patents and technical rights are capitalized. These patents and rights are subject to amortization as their lives are statutorily limited in South Korea, typically over the period of twenty years. Accordingly, they are being amortized over the statutory lives. Management considered recoverability of the balances of these assets and determined that no adjustment was necessary as of ~~June~~September 30, 2016.

Amortization expenses for the ~~six~~nine month ended ~~June~~September 30, 2016 and 2015 were $46,~~472~~827 and $34,~~026~~445, respectively.

Note 4 – Short-term Borrowings

Short term borrowings consist of the following as of ~~June~~September 30, 2016 and December 31, 2015:

	June 30, 2016	December 31, 2015
	September 30, 2016	December 31, 2015
Note payable to a bank at interest rate of 4.39%. The line matures in November 2016. (KRW 150,000,000)	$ ~~128~~136,~~789~~824	$ 127,987
Notes payable to individuals at interest rate of 0% to 7%. The maturity is August 10, 2016 (KRW220,000,000)	~~188~~200,~~890~~675	187,713
Total short-term borrowings	$ ~~317~~337,~~679~~449	$ 315,700

Note 5- Convertible Note

On July 27, 2015, the Company issued a $5,000 Convertible Note for services. The Convertible Not bears interest at 9% without a maturity date. The Noteholder shall have the right to convert any unpaid sums into common stock of the Company at the rate of 50% of the lowest trade reported in the 20 days prior to date of conversion. As at December 31, 2015, the Company has recorded interest of $198. The Company paid off convertible note of $5,000 and accrued interest of $233 on February 12, 2016

The embedded conversion option qualifies for derivative accounting and bifurcation under ASC 815-15 Derivatives and Hedging. The initial fair value of the conversion feature of $5,254 resulted in a discount to the note payable of $5,000 and the remaining $254 was recognized as derivative expense.

Note 6 Derivative Liabilities

The embedded conversion option of the Company’s convertible debenture contains a conversion feature that qualifies for embedded derivative classification. The fair value of these liabilities will be re-measured at the end of every reporting period and the change in fair value will be reported in the statement of operations as a gain or loss on derivative liabilities.

The table below sets forth a summary of changes in the fair value of the Company’s Level 3 financial liabilities:

For the ~~six~~nine month ended

~~June~~ September 30, 2016

Balance at the beginning, December 31, 2015	$ 7,001
Change in fair value of derivative	7,001
Balance at end of period, June 30, 2016	$ -
Balance at end of period, September 30, 2016	$ -

Note 7– Advances from Related Party

13The Company, as need basis, borrows funds from a shareholder. The borrowings are unsecured and payments are made at the Company’s discretion. The borrowings are non-interest rate. Total borrowing as of September 30, 2016 and December 31, 2015 were $980,025 and $895,528 respectively.

~~The~~Note ~~Company,~~8 on– anLoan ~~as need basis, borrows funds~~ from arelated shareholder. The borrowings are unsecured and payments are made at the Company’s discretion. The borrowings are non-interest rate. Total borrowing as of June 30, 2016 and December 31, 2015 were $905,698 and $895,528 respectively. parties

~~Note~~As 8of –September ~~Loan~~1, ~~agreement~~2015, the Company borrowed $100,000 from related party. The interest is 2.5% per annum and repayment date is September 2, 2016. As of September 30, 2016, accrued interest of $2,716 was recorded as other payable. On September 1, 2016, the repayment date is extended to September 1, 2017.

AsOn of September 128, ~~2015~~2016, the Company entered loan agreement of up to $250,000 with related party. The Company borrowed $~~100~~15,000 ~~from~~on ~~ADQD~~September ~~Inc~~28, 2016. The interest is 2.5% per annum and repayment date is September 229, ~~2016~~2017. ~~As of June 30, 2016, accrued interest of $2,069 was recorded as other payable.~~

Note 9 – Common stock

As of December 31, 2013, the Company holds 55,375,000 common shares ($375,053) as treasury stocks recorded as capital adjustment.

On January 14, 2014, the Company issued 20,000,000 common shares to two employees and three consultants valued at the market close and recorded as $435,736 in selling and administrative expenses and $435,736 in consulting fees, respectively, for an aggregate expense of $871,472.

On July 7 and August 21, 2015, the Company issued 129,250 and 41,000 common shares at $0.1931 and $0.1805 respectively to Dutchess Opportunity Fund referred to the investment agreement made on April 22, 2014. The Company paid stock issuance cost of $17,000 and $2,000, respectively and deducted from additional paid in capital.

Note 10 – Significant contracts

The Company has contracted with Korea Research Institute of Ships and Ocean Engineering (KRISO) for delivery of Cargo Inspection System (CIS) X-ray Accelerator which worth $945,447 on February 13, 2014. Under the payment term, 80% before shipment and 20% after the delivery, the Company has received 756,000 USD, the 80%, from KRISO on May 23, 2014. The delivery due date was postponed as request from KRISO. It was delivered but not installed, and the final 20% of the whole payment was billed to KRISO as of November 10, 2014. Final 20% was received by RadTek Inc. on 17th of November, 2014. The installation was completed on June 10, 2016. 1-year warranty starts after the installation.

The Company also got the delivery contract with KRISO for Temperature Control Unit of the X-ray Accelerator, which worth $25,500, on July 21, 2014. On January 21, 2015, KRISO and the Company contracted for CIS Array Detection System which worth $332,956. The installation schedule of all two items has been postponed until due of KRISO’s construction, and it was completed on June 10, 2016.

The Company received $1,304 thousand and paid $1,132 thousand regarding KRISO project.

The Company contracted with SKTelecom for maintenance service of Korea Customs Service’s ‘Cargo Inspection Center II in Busan New Port.’ The contract ends on Dec 31, 2018 and the amount is 762,685,000 KRW ($672,000). The Company recognized revenue of KRW 6597,~~000~~500,000 ($5484,000) for the ~~six~~nine month ended ~~June~~September 30, 2016. Due to the contract condition with SKTelecom, the Company must have had a service contract with linear accelerators manufacturer, Varian Medical Systems. The service contract with Varian Medical Systems started from June 1, 2015 and it ends until May 31, 2019 or it expires if the Company decides not to continue managing the container inspection center. The Company agreed to make quarterly payment of $10,590 to Varian Medical Systems.

and it ends until May 31, 2019 or it expires if the Company decides not to continue managing the container inspection center. The Company agreed to make quarterly payment of $10,590 to Varian Medical Systems.

On April 28, 2015, the Company entered into an agreement with C&D Co. Ltd., a South Korean company, for the purposes of creating a new corporation. The new corporation will be an Internet Protocol television platform establishment and equipment delivery service. Under the agreement, the Company will raise $2 million for the purposes of establishing the new corporation and registering the shares with FINRA. The Company will then transfer all related resources to the new corporation after its establishment. C&D will provide use of its patents, licenses, trademarks and registered service marks to the Company, as well as its products, marketing support, and technical support. Once the new corporation has been established, all of the patents, licenses, trademarks, and registered service marks will be transferred to the new corporation.

Vietnam Multimedia Corporation (VTC), RadTek co., Ltd. and Giltz Capital Finance AG Group has made Memorandum of Agreement on May 27, 2015. The parties have agreed on supplying IPTV service and set-top boxes in Vietnam. In order to perform the business, the parties will establish a Joint Venture Company (JVC) in Vietnam and they will make 50 million USD investment in the business.

On April 6, 2015, RadTek Co., Ltd. has signed a Memorandum of Agreement (MOA) with C&D Corporation Co., Ltd. in purpose of a business which is supplying IPTV platform installation and devices to domestic and international customers. RadTek’s duty in the contract is to promote investment for the fund problems of the business while C&D supplies required devices and service by providing IPTV related technical licenses and exclusivities. RadTek has loaned to Daeyoung Lim who is CEO of C&D and the loan is limited to use only for the company normalization.

Note 11 – Investment Agreement and Marketing Agreement

On April 22, 2014, the Company entered into an investment agreement and a corresponding registration rights agreement with Dutchess Opportunity Fund, II, LP, a Delaware Limited Partnership. Under the terms of the investment agreement, Dutchess will invest up to $20,000,000 to purchase the Company’s common shares. From time to time, the Company may deliver a put notice to Dutchess which states the dollar amount of shares they wish to sell. This amount shall be equal to up to either 1) 300% of the average daily US market value of the common stock for three trading days prior to the date of the put notice, or 2) $300,000.

Once a put notice has been delivered to Dutchess, Dutchess will purchase the shares at a price equal to 95% of the lowest daily volume weighted average price of the common stock for the five consecutive trading days following delivery of the put notice. The closing date for the put notice is at the end of that five-day period. If the Company has not issued the shares at the end of that period, they agree to pay a cumulative late fee for each trading day beyond the closing date.

Dutchess cannot purchase more than 4.99% of the total common shares outstanding as of the closing date.

Dutchess is not obligated to purchase any shares unless 1) a registration statement has been declared effective and remains effective and available for the resale of all registerable securities at all times until the closing of each subject put notice; 2) the common stock is listed on a principal trading market and is not suspended from trading; 3) the Company has not breached the terms of the investment agreement or the registration agreement; 4) no injunction has been issued prohibiting the purchase or issuance of the securities; and 5) the issuance of shares will not violate any shareholder approval requirements of the principal trading markets.

The investment agreement terminates when Dutchess has purchased an aggregate of $20,000,000 of the Company’s common stock pursuant to the agreement, upon written notice of the registrant to Dutchess, or on April 22, 2017.

Under the terms of the registration rights agreement, the Company shall register up to 40,000,000 common shares for resale. No other securities shall be registered under this agreement without the written approval of Dutchess.

Under this investment agreement, the Company issued 129,250 and 41,000 common shares at $0.1931 and $0.1805, respectively, On July 7 and August 21, 2015

Note 12 – Subsequent Event

The Company follows the guidance in ASC Topic 855 “Subsequent Events” for the disclosure of subsequent events. The Company evaluated subsequent events through the date of the financial statements were issued.

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

Forward-looking Statements

Statements made in this Quarterly Report which are not purely historical are forward-looking statements with respect to the goals, plan objectives, intentions, expectations, financial condition, results of operations, future performance and our business, including, without limitation, (i) our ability to raise capital, and (ii) statements preceded by, followed by or that include the words “may,” “would,” “could,” “should,” “expects,” “projects,” “anticipates,” “believes,” “estimates,” “plans,” “intends,” “targets” or similar expressions.

Forward-looking statements involve inherent risks and uncertainties, and important factors (many of which are beyond our control) that could cause actual results to differ materially from those set forth in the forward-looking statements, including the following, general economic or industry conditions, nationally and/or in the communities in which we may conduct business, changes in the interest rate environment, legislation or regulatory requirements, conditions of the securities markets, our ability to raise capital, changes in accounting principles, policies or guidelines, financial or political instability, acts of war or terrorism, other economic, competitive, governmental, regulatory and technical factors affecting our current or potential business and related matters.

Accordingly, results actually achieved may differ materially from expected results in these statements. Forward-looking statements speak only as of the date they are made. We do not undertake, and specifically disclaim, any obligation to update any forward-looking statements to reflect events or circumstances occurring after the date of such statements.

Plan of Operation

Our plan of operation for the next 12 months is to: (i) Expand our customer base in industries in which we may have an interest, to include X-Ray technology and construction consultation services related to x-ray technology facilities; (ii) Continue reconfiguring our business plans for engaging in the business of our selected industry; and (iii) to expand our contract capacity while completing our expansion of operations through funding and/or our announced acquisition of a going concern engaged in the industry selected.

Other than standard operations associated with business operations mentioned in subsequent events, during the next 12 months, one of our only foreseeable cash requirements, which may be advanced by our management or principal stockholders as loans to us, will relate to maintaining our good standing or the payment of expenses associated with legal, accounting and other fees related to our compliance with the Exchange Act requirements of being a reporting issuer and reviewing or investigating any potential acquisition or business combination candidate. With our business and industry in which our operations have commenced, and other potential acquisitions have not been identified and any prospective acquisition or business combination candidate as of the date of this Quarterly Report, it is impossible to predict the amount of any such costs or required advances. Any such loan will be on terms no less favorable to us than would have been made available to us from a commercial lender in an arm's length transaction.

Results of Operations

For the three months ended ~~June~~September 30, 2016, we earned net revenues of $1101,~~335,550~~091. Our cost of sales was $181,~~158~~075,~~773,~~ resulting in a gross profit of $~~176~~20,~~777~~016. We incurred depreciation and amortization expenses of $2,~~272~~355 and incurred selling and administrative expenses of $88134,~~124~~546. We recorded a loss in interest expense net of $3,~~439~~505, incurred a ~~loss~~gain due to foreign exchange transaction of $434,~~588~~321. As a result, we recorded net ~~income~~loss of $7886,~~724~~062. We had foreign currency translation adjustments of $18128,~~021~~637 resulting in our comprehensive ~~income~~loss of $96214,~~745~~699 for the three months ended ~~June~~September 30, 2016.

Comparatively, for the three months ended ~~June~~September 30, 2015, we earned net revenues of $4935,~~666~~142. Our cost of sales was $4429,~~308~~230, resulting in a gross profit of $5,~~358~~912. We incurred depreciation and amortization expenses of $1,~~515~~419, incurred selling and administrative expenses of $~~120~~93,~~721~~400. We incurred an interest ~~expenses~~gain ~~net~~ of $431,329 and recorded a foreign exchange transaction loss of $1329,~~113~~892. As a result, we recorded net loss of $~~129~~117,~~948~~470. We had a positive foreign currency translation adjustment of $2178,~~369~~530, resulting in a comprehensive loss of $~~108~~38,~~579~~940 for the three months ended ~~June~~September 30, 2015.

17The decrease in net loss of $31,408 between the three months ended September 30, 2016 compared to the same period ended September 30, 2015 was the result of increased revenues for the three months ended September 30, 2016. Our net revenues increased by $65,949, or 188%, and our cost of sales increased by $51,845, or 177%. Our operating expenses increased by $42,082 as a result of increased selling and administrative expenses. We also had a foreign exchange transaction gain of $34,321 between the three months ended September 30, 2016 compared to a loss of $29,892 for the three months ended September 30, 2015.

~~The~~Result ~~increase in net gain~~ of ~~$208,672between~~Operations ~~the three months ended June 30, 2016 compared to the same period ended June 30, 2015 was the result of increased revenues~~ for the ~~three~~Nine ~~months~~Months ~~ended~~Ended ~~June~~September 30, 2016~~. Our~~ ~~net~~Compared revenues increased by $1,285,884, or 2589%, and our cost of sales increased by $1,114,465, or 2515%. Our operating expenses decreased by $31,840 as a result of decreased selling and administrative expenses. We also had a foreign exchange transaction loss of $4,588 between the three months ended June 30, 2016 compared to aNine ~~loss~~Months ofEnded ~~$13,113~~September ~~for the three months ended June~~ 30, 2015.

~~Result~~For the nine months ended September 30, 2016, we recorded net revenues of ~~Operations~~$1,518,260. Our ~~for~~cost ~~the~~of ~~Six~~sales ~~Months~~was ~~Ended~~$1,283,416, ~~June~~resulting 30in a gross profit of $234,844. We ~~2016~~incurred ~~Compared~~depreciation and amortization expenses of $6,827 and incurred selling and administrative expenses of $303,152. We incurred a loss of $10,325 due to ~~Six~~interest ~~Months~~expenses, ~~Ended~~and ~~June~~incurred a gain of $40,374 due to foreign exchange transactions. As a result, we recorded net income of ($37,708). We had a negative foreign currency translation adjustment of $142,001, resulting in a comprehensive loss of $179,709 for the nine months ended September 30, ~~2015~~2016.

~~For~~Comparatively, for the ~~six~~nine months ended ~~June~~September 30, ~~2016~~2015, we recorded net revenues of $1330,~~417,169~~583. Our cost of sales was $1124,~~202~~857,~~341,~~ resulting in a gross profit of $~~214~~205,~~828~~726. We incurred depreciation and amortization expenses of $4,~~472~~445, and incurred selling and administrative expenses of $~~168~~305,~~606~~140. We incurred a loss of $~~6,820~~335 due to interest expenses, and ~~incurred~~recorded a ~~gain~~loss of $640,~~053~~887 due to foreign exchange transactions. As a result, we recorded net ~~income~~loss of $48145,~~354~~081. We had a ~~negative~~positive foreign currency translation adjustment of $13107,~~364~~368, resulting in comprehensive ~~income~~loss of $3437,~~990~~713 for the ~~six~~nine months ended ~~June~~September 30, ~~2016~~2015.

~~Comparatively,~~The ~~for~~decrease ~~the~~in ~~six~~net ~~months~~loss ~~ended~~of ~~June 30~~$107,373 ~~2015,~~between wethe ~~recorded~~nine ~~net~~months ~~revenues~~ended ofSeptember ~~$295~~30,~~441. Our~~ ~~cost~~2016 ofcompared ~~sales~~to ~~was~~the ~~$95,627,~~same ~~resulting~~period inended aSeptember ~~gross profit of $199~~30,~~814. We~~ ~~incurred~~2016 ~~depreciation~~was ~~and~~the ~~amortization~~result ~~expenses~~ of ~~$3,026,~~increased ~~and~~revenues ~~incurred selling~~ and ~~administrative~~increased ~~expenses~~cost of ~~$211,740~~sales. WeOur ~~incurred~~net arevenues ~~loss~~increased ofby $1,~~664 due to interest expenses~~187, ~~and recorded a loss of $10~~677,~~995~~ ~~due~~or ~~to foreign exchange transactions. As a result~~359%, weand ~~recorded~~our ~~net~~cost ~~loss~~ of ~~$27,611. We~~sales ~~had~~increased aby ~~negative foreign currency translation adjustment of~~ $281,~~838~~158, ~~resulting in comprehensive loss of $1~~559,~~227~~ ~~for~~or ~~the~~928%. Our ~~six~~operating ~~months~~expenses ~~ended~~increased ~~June~~by ~~30,~~$394 ~~2015~~or 0%.

The decrease in net gain of $75,965 between the six months ended June 30, 2016 compared to the same period ended June 30, 2016 was the result of decreased operating expenses, increased revenues and increased cost of sales. Our net revenues increased by $1,121,728, or 379%, and our cost of sales increased by $1,106,714, or 1157%. Our operating expenses decreased by $41,688 or 19% as a result of decreased sales, and administrative expenses and due to us not paying any consulting fees during the six months ended June 30, 2016.

Liquidity and Capital Resources

For the ~~six~~nine months ended ~~June~~September 30, 2016, we had net ~~gain~~loss of $4837,~~354~~708. We had the following adjustments to reconcile net loss to net cash used in the operating activities: $46,~~472~~827 for depreciation and amortization, $410,~~910~~408 for severance benefits and $7,001 of gain on derivative liability. We had the following changes in assets and liabilities: decrease of $107,~~041~~588 in accounts receivable, ~~increase~~decrease of $12,~~909~~850 in inventory, decrease of $1,~~129~~120,~~185~~015 in the prepaid expenses and other assets, an increase of $37134,~~663~~322 in accounts payable and other payables and ana decrease of $1,~~290~~271,~~785~~490 in the advance receipts on contracts. We had ~~decreases~~an increase of $32,~~959~~645 in accrued liabilities and other liabilities. As a result, we had net cash used in operating activities of $6131,~~111~~544 for the ~~six~~nine months ended ~~June~~September 30, 2016.

For the ~~six~~nine months ended ~~June~~September 30, 2015, we had a net loss of $27145,~~611~~081. We had the following adjustments to reconcile net loss to net cash used in operating activities: $34,~~026~~445 for depreciation and amortization and $62,~~011~~527 due to severance benefits. We had the following changes in assets and liabilities: a $5040,~~650~~477 ~~decrease~~increase in accounts receivable, a $1,513 decrease in inventory, a $~~249~~248,~~235~~774 ~~decrease~~increase due to prepaid expenses and other assets, a $2719,~~976~~281 decrease due to accounts payable, a $282,~~169~~888 increase due to advance payments on contracts, and a $141,~~159~~629 ~~increase~~decrease due to other current liabilities. As a result, we had net cash used in operating activities of $48163,~~594~~869 for the ~~six~~nine months ended ~~June~~September 30, 2015.

WeFor ~~did~~the ~~not~~nine ~~pursue~~months ~~any~~ended September 30, 2016, there are no investing activities. ~~during~~For the ~~six~~nine months ended ~~June~~September 30, ~~2016~~2015, ~~and~~Company had a loan receivable of $~~347~~518,~~137~~736 inand ~~June~~increased ~~30,~~security ~~2015~~deposit of $1,380.

For the ~~six~~nine months ended ~~June~~September 30, 2016, we ~~paid~~had a loan from a related party of $1015,~~170~~000, and received $84,497 as an advance from related parties, and $5,000 payment on a convertible note. As a result, we had net cash provided financing activities of 594,~~170~~497 for the period.

18For the nine months ended September 30, 2015, we issued stock for $13,359, we borrowed short-term loan of $181,662, we paid $60,000 to a related party to repay a loan and had $417,427 advances from borrowing from related parties. As a result, we had net cash provided by financing activities of $552,448 for the nine months ended September 30, 2015.

~~For~~We ~~the~~had ~~six~~cash ~~months~~or ~~ended~~cash ~~June~~equivalents ~~30,~~of ~~2015~~$14,188 weand ~~received~~ $~~160~~78,~~000~~301 ~~loan~~on ~~from~~hand ~~related~~at ~~party~~September ~~and $359~~30,~~800~~ ~~advances~~2016 ~~from~~and ~~borrowing~~at ~~from~~December ~~related~~31, ~~parties~~2015, respectively. AsIf aadditional ~~result,~~funds weare ~~had~~required ~~net~~in ~~cash~~connection ~~provided~~with byour ~~financing~~present ~~activities~~planned ofbusiness ~~$199,800~~operations or for ~~the~~Exchange ~~six~~Act ~~months~~filings ~~ended~~or ~~June~~other 30expenses, ~~2015~~such funds may be advanced by management or principal stockholders.

We had cash or cash equivalents of $10,383 and $43,140 on hand at June 30, 2016 and at December 31, 2015, respectively. If additional funds are required in connection with our present planned business operations or for Exchange Act filings or other expenses, such funds may be advanced by management or principal stockholders.

Item 3. Quantitative and Qualitative Disclosures About Market Risk.

Not applicable for a smaller reporting company.

Item 4. Controls and Procedures.

During the three months ended ~~June~~September 30, 2016, there were no changes in our internal controls over financial reporting (as defined in Rule 13a-15(f) and 15d-15(f) under the Exchange Act) that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

Evaluation of Disclosure Controls and Procedures

Under the supervision and with the participation of our management, including our chief executive officer and principal financial officer, we conducted an evaluation of our disclosure controls and procedures, as such term is defined under Rule 13a-15(e) and Rule 15d-15(e) promulgated under the Securities Exchange Act of 1934, as amended, as of ~~June~~September 30, 2016. Based on this evaluation, our chief executive officer and principal financial officers were not able to conclude that the Company’s disclosure controls and procedures are effective to ensure that information required to be included in the Company’s periodic Securities and Exchange Commission filings is recorded, processed, summarized, and reported within the time periods specified in the SEC rules and forms. Therefore, under Section 404 of the Sarbanes-Oxley Act of 2002, the Company must conclude that these controls and procedures are not effective.

Off-Balance Sheet Arrangements; Commitments and Contractual Obligations

As of ~~June~~September 30, 2016, we did not have any off-balance sheet arrangements and did not have any commitments or contractual obligations.

1911

PART II - OTHER INFORMATION

Item 1. Legal Proceedings

None

Item 1A. Risk Factors

Not applicable for smaller reporting companies

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

None

Item 3. Defaults Upon Senior Securities.

None

Item 4. Mine Safety Disclosures.

Not Applicable

Item 5. Other Information

None.

Item 6. Exhibits

Exhibit 10.1* – Loan Agreement by and between the Company and ADQD, Inc., dated August 12, 2015

Exhibit 31* - Certifications pursuant to Section 302 of the Sarbanes-Oxley Act of 2002

Exhibit 32* - Certifications pursuant to Section 906 of the Sarbanes-Oxley Act of 2002

101.INS** XBRL Instance Document

101.SCH** XBRL Taxonomy Extension Schema Document

101.CAL** XBRL Taxonomy Extension Calculation Linkbase Document

101.DEF**. XBRL Taxonomy Extension Definition Linkbase Document

101.LAB** XBRL Taxonomy Extension Label Linkbase Document

101.PRE** XBRL Taxonomy Extension Presentation Linkbase Document

* Filed herewith

**To Be Filed by Amendment: XBRL (Extensible Business Reporting Language) information is furnished and not filed or a part of a registration statement or prospectus for purposes of Sections 11 or 12 of the Securities Act of 1933, as amended, is deemed not filed for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, and otherwise is not subject to liability under these sections.

2012

SIGNATURES

RadTek, Inc.

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

Date: August 22, 2016	RadTek, Inc.
Date: November 16, 2016	RadTek, Inc.
	By	/s/ Dr. Kwanghyun Kim
		Name: KwangHyun Kim Title: President, Chief Executive Officer

Date: August 22, 2016	RadTek, Inc.
Date: November 16, 2016	RadTek, Inc.
	By	/s/ JaeChan Kim
		Name: JaeChan Kim Title: Treasurer (Chief Financial Officer)

2113

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