Marygold Companies, Inc. - Quarter Report: 2010 March (Form 10-Q)

cncg_10q.htm

U.S. SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 10-Q

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

For the quarterly period ended March 31, 2010

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

For the transition period from _________ to __________

Commission File No. 000-29913

CONCIERGE TECHNOLOGIES, INC.

(Exact name of registrant as specified in its charter)

State of Incorporation: Nevada

IRS Employer I.D. Number: 95-4442384

3615 Superior Avenue, Suite 3102D

Cleveland, OH 44114

866-800-2978

____________________________________________________

(Address and telephone number of registrant's principal

executive offices and principal place of business)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding twelve months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes þ No o

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company.

Large accelerated filer	o	Accelerated filer	o
Non-accelerated filer	o	Smaller reporting company	þ

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

As of May 11, 2010, there were 184,315,200 shares of the Registrant’s Common Stock, $0.001 par value, outstanding and 5 million shares of its Series A Convertible Voting Preferred Stock, par value $0.001, outstanding and 1,600,000 shares of its Series B Convertible Voting Preferred Stock, par value $0.001.

TABLE OF CONTENTS

		Page
PART I - FINANCIAL INFORMATION

Item 1.	Financial Statements		1
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations		13
Item 4.	Controls and Procedures		14

PART II – Other Information

Item 1.	Legal Proceedings		15
Item 2.	Unregistered Sales of Securities		15
Item 5.	Other Information		15
Item 6.	Exhibits		15
SIGNATURES			17

PART I – FINANCIAL INFORMATION

ITEM 1. FINANCIAL STATEMENTS

	Page
Consolidated Balance Sheets (Unaudited)		2

Consolidated Statements of Operations For The Three and Nine Month Periods Ended March 31, 2010 and 2009 and the Period from September 20, 1996 (Inception) to March 31, 2010 (Unaudited)		3

Statements of Changes in Stockholders’ Deficit For The Nine Month Periods Ended March 31, 2010 and 2009 and for the Period from September 20, 1996 (Inception) to March 31, 2010 (Unaudited)		4

Consolidated Statements of Cash Flows For The Nine Month Periods Ended March 31, 2010 and 2009 and the Period from September 20, 1996 (Inception) to March 31, 2010 (Unaudited)		5

Notes to Unaudited Financial Statements		6

CONCIERGE TECHNOLOGIES, INC. AND SUBSIDIARIES
(A development stage company)
CONSOLIDATED BALANCE SHEETS
(Unaudited)

	March 31, 2010			June 30, 2009
ASSETS
CURRENT ASSETS:
Cash & cash equivalents	$	2,586		$	2,566
Account Receivable		2,414			4,145
Inventory		-			196
Total current assets		5,000			6,907

Property and Equipment, net		9,868			20,744

Total Assets	$	14,868		$	27,651

LIABILITIES AND STOCKHOLDERS' DEFICIT

CURRENT LIABILITIES:
Accounts payable and accrued expenses	$	306,142		$	308,525
Due to related party		3,060			2,398
Sales paid in advance		2,002			1,976
Notes payable - related parties		142,500			142,500
Total current liabilities		453,704			455,399

Long Term notes payable - related party		10,000			-

Total Liabilities		463,704			455,399


STOCKHOLDERS' DEFICIT:
Preferred stock, 10,000,000 authorized par $0.001
Series A: 5,000,000 shares issued		5,000			5,000
Series B: 1,600,000 shares issued		1,600			1,000
Common stock, $0.001 par value; 190,000,000 shares authorized; 184,315,200 and 178,231,867 shares issued and outstanding at March 31, 2010 and June 30, 2009, respectively		184,315			178,232
Additional paid-in capital		3,727,505			3,682,896
Deficit accumulated during the development stage		(4,367,256	)		(4,294,876	)
Total stockholders' deficit		(448,836	)		(427,748	)
Total Liabilities and Stockholders' Deficit	$	14,868		$	27,651

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

CONCIERGE TECHNOLOGIES, INC. AND SUBSIDIARIES

(A development stage company)

CONSOLIDATED STATEMENTS OF OPERATIONS

FOR THE THREE AND NINE MONTH PERIODS ENDED MARCH 31, 2010 AND 2009

AND FOR THE PERIOD FROM SEPTEMBER 20, 1996 (INCEPTION) TO MARCH 31, 2010

	For The Three Month Periods Ended March 31,						For The Nine Month Periods Ended March 31,						For The Period From September 20, 1996 (Inception) to March 31, 2009
	For The Three Month Periods Ended March 31,						For The Nine Month Periods Ended March 31,
	2010			2009			2010			2009
NET REVENUE	$	7,488		$	17,218		$	21,428		$	31,979		$	79,050

Cost of Revenue		11,863			18,539			35,914			40,958			127,115

GROSS PROFIT (LOSS)		(4,375	)		(1,321	)		(14,485	)		(8,979	)		(48,064	)

COSTS AND EXPENSES
Product Launch Expenses		-			-			-			-			1,077,785
Impairment of Assets		-			-			-			-			1,196,383
General & Administrative Expenses		8,344			8,552			48,501			29,802			1,755,049
TOTAL COSTS AND EXPENSES		8,344			8,552			48,501			29,802			4,029,217

OTHER INCOME (EXPENSES)
Other Income		-			-			-			-			241
Interest Expense		(2,857	)		(2,869	)		(8,594	)		(8,606	)		(42,781	)
Unallocated accrued expenses reversed		-			-			-			-			150,123
Settlement Income/(Loss)		-			-			-			-			52,600
Loss on debt settlement		-			-			-			-			(23,033	)
Litigation Settlement		-			-			-			-			(135,000	)
TOTAL OTHER INCOME (EXPENSES)		(2,857	)		(2,869	)		(8,594	)		(8,606	)		2,150

NET LOSS BEFORE INCOME TAXES		(15,576	)		(12,742	)		(71,581	)		(47,388	)		(4,075,132	)

Provision of Income Taxes		-			-			800			800			13,600

NET LOSS	$	(15,576	)	$	(12,742	)	$	(72,381	)	$	(48,188	)	$	(4,088,732	)

WEIGHTED AVERAGE SHARES OF COMMON STOCK OUTSTANDING, BASIC AND DILUTED		241,315,200			223,231,867			232,419,291			213,231,867

*BASIC AND DILUTED NET LOSS PER SHARE	$	(0.00	)	$	(0.00	)	$	(0.00	)	$	(0.00	)

* Weighted average number of shares used to compute basic and diluted loss per share is the same as the effect of dilutive securities are anti dilutive.

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

CONCIERGE TECHNOLOGIES, INC. AND SUBSIDIARIES

(A development stage company)

STATEMENTS OF CHANGES IN STOCKHOLDERS' DEFICIT

FOR THE NINE-MONTH PERIOD ENDED MARCH 31, 2010

AND FOR THE PERIOD FROM SEPTEMBER 20, 1996 (INCEPTION) TO MARCH 31, 2010

(Unaudited)

	Preferred Stock				Common Stock																					Common Stock Subject to Contingency
	Number of Shares		Par Value		Number of Shares			Par Value			Additional Paid In Capital			Shares to Be Issued			Accumulated Deficit			Stockholders' Deficit			Advance Subscriptions
	Number of Shares		Par Value		Number of Shares			Par Value			Additional Paid In Capital			Shares to Be Issued			Accumulated Deficit			Stockholders' Deficit			Advance Subscriptions
Common Stock issued for cash through June 30, 1997		-	$	-		176,306		$	1,763		$	106,162		$	-		$	-		$	107,925		$	-		$	-

Common stock issued for services through June 30, 1997		-		-		621,545			6,215			-			-			-			6,215			-			-

Net loss through June 30, 1997		-		-		-			-			-			-			(96,933	)		(96,933	)		-			-

Balance at June 30, 1997		-		-		797,851			7,978			106,162			-			(96,933	)		17,207			-			-

Common Stock issued for cash in the year ended June 30, 1998		-		-		137,475			1,375			194,650			-			-			196,025			-			-

Common stock issued for services in the year ended June 30, 1998		-		-		22,550			226			-			-			-			226			-			-

Net loss for the year ended June 30, 1998		-		-		-			-			-			-			(283,891	)		(283,891	)		-			-

Balance at June 30, 1998		-		-		957,876			9,579			300,812			-			(380,824	)		(70,433	)		-			-

Common Stock issued for cash in the year ended June 30, 1999		-		-		208,000			-			-			-			-			-			-			60,996

Common stock issued for services in the year ended June 30, 1999		-		-		450			-			-			-			-			-			-			4

Net loss for the year ended June 30, 1999		-		-		-			-			-			-			(89,919	)		(89,919	)		-			-

Balance at June 30, 1999		-		-		1,166,326			9,579			300,812			-			(470,743	)		(160,352	)		-			61,000

Acquisition and retirement of Common shares		-		-		(262,000	)		(2,620	)		-			-			-			(2,620	)		-			-

Common Stock issued for cash in the year ended June 30, 2000		-		-		117,184			-			-			-			-			-			-			202,061

Common stock issued for services in the year ended June 30, 2000		-		-		354,870			-			-			-			-			-			-			3,549

Post acquisition stock subscription funds received net of costs & expenses of $79,710		-		-		-			-			-			-			-			-			1,175,790			-

Net loss for the year ended June 30, 2000		-		-		-			-			-			-			(986,986	)		(986,986	)		-			-

Balance at June 30, 2000		-		-		1,376,380			6,959			300,812			-			(1,457,729	)		(1,149,958	)		1,175,790			266,610

Post acquisition stock subscription funds received		-		-		-			-			-			-			-			-			487,500			-

Net loss for the year ended June 30, 2001		-		-		-			-			-			-			(544,080	)		(544,080	)		-			-

Balance at June 30, 2001		-		-		1,376,380			6,959			300,812			-			(2,001,809	)		(1,694,038	)		1,663,290			266,610

Recapitalization upon merger		-		-		118,681,333			113,099			(300,812	)		-			(278,527	)		(466,240	)		-			-

Stock subscription received for 500,000 shares		-		-		-			-			-			29,983			-			29,983			-			-

Stock issued for services		-		-		2,532,581			119,031			-			-			-			119,031			-			-

Stock to be issued for services-3,275,472 shares		-		-		-			-			-			153,947			-			153,947			-			-

Adjustment to paid in capital on merger		-		-		-			(116,499	)		116,499			-			-			-			-			-

Net loss for the year ended June 30, 2002		-		-		-			-			-			-			(478,229	)		(478,229	)		-			-

Balance at June 30, 2002		-		-		122,590,294			122,590			116,499			183,930			(2,758,565	)		(2,335,546	)		1,663,290			266,610

Stock issued for subscription received in the prior year		-		-		500,000			500			29,483			(29,983	)		-			-			-			-

Stock issued for services included in the prior period		-		-		3,275,472			3,275			150,672			(153,947	)		-			-			-			-

Forfeiture of stock subscription		-		-		-			-			10,000			-			-			10,000			-			-

Cancellation of over issued shares on recapitalization		-		-		(73,017	)		-			-			-			-			-			-			-

Net loss for the year ended June 30, 2003		-		-		-			-			-			-			(47,272	)		(47,272	)		-			-

Balance at June 30, 2003		-		-		126,292,749			126,365			306,654			-			(2,805,837	)		(2,372,818	)		1,663,290			266,610

Adjustment to par value		-		-		-			(72	)		72			-			-			-			-			-

Issuance of shares for cash		-		-		2,000,000			2,000			18,000			-			-			20,000			-			-

Issuance of shares for services		-		-		4,000,000			4,000			212,000			-			-			216,000			-			-

Issuance of shares for acquisition of Planet Halo		-		-		9,999,998			10,000			490,000			-			-			500,000			-			-

Net loss for the year ended June 30, 2004		-		-		-			-			-			-			(514,639	)		(514,639	)		-			-

Balance at June 30, 2004		-		-		142,292,747			142,293			1,026,726			-			(3,320,476	)		(2,151,457	)		1,663,290			266,610

Reclassify contingent liabilities to Additional Paid In Capital		-		-		-			-			1,929,900			-			-			1,929,900			(1,663,290	)		(266,610	)

Net loss for the year ended June 30, 2005		-		-		-			-			-			-			(544,284	)		(544,284	)		-			-

Balance at June 30, 2005		-		-		142,292,747			142,293			2,956,626			-			(3,864,761	)		(765,841	)		-			-

Loans converted to Paid in Capital		-		-		-			-			281,708			-			-			281,708			-			-

Net loss for the year ended June 30, 2006		-		-		-			-			-			-			(44,552	)		(44,552	)		-			-

Balance at June 30, 2006		-		-		142,292,747			142,293			3,238,334			-			(3,909,313	)		(528,686	)		-			-

Issuance of shares for services		-		-		5,000,000			5,000			30,000			-			-			35,000			-			-

Issuance of shares for cash		-		-		27,027,027			27,027			62,973			-			-			90,000			-			-

Issuance of shares for debt settlement		-		-		3,003,003			3,003			30,030			-			-			33,033			-			-

Net income for the year ended June 30, 2007		-		-		-			-			-			-			38,214			38,214			-			-

Balance at June 30, 2007		-		-		177,322,777			177,323			3,361,337			-			(3,871,095	)		(332,434	)		-			-

Net loss for the year ended June 30, 2008		-		-		-			-			-			-			(350,866	)		(350,866	)		-			-

Shares issued for cash		-		-		909,090			909			9,091			-			-			10,000			-			-

Issuance of Shares for Purchase of Wireless Village		5,000,000		5,000		-			-			245,000			-			-			250,000			-			-

Balance at June 30, 2008		5,000,000		5,000		178,231,867			178,232			3,615,428			-			(4,221,961	)		(423,301	)		-			-

Shares issued for cash		1,000,000		1,000		-			-			49,000			-			-			50,000			-			-

Debt settlement with a shareholder		-		-		-			-			18,468			-			-			18,468			-			-

Net loss for the year ended June 30, 2009		-		-		-			-			-			-			(72,915	)		(72,915	)		-			-

Balance at June 30, 2009		6,000,000		6,000		178,231,867			178,232			3,682,896			-			(4,294,876	)		(427,748	)		-			-

Preferred shares issued for cash		600,000		600		-			-			29,400			-			-			30,000			-			-

Common shares issued for compensation		-		-		6,083,333			6,083			15,209			-			-			21,292			-			-

Net loss for the nine month period ended March 31, 2010		-		-		-			-			-			-			(72,380	)		(72,380	)		-			-

Balance at March 31, 2010		6,600,000	$	6,600		184,315,200		$	184,315		$	3,727,505		$	-		$	(4,367,256	)	$	(448,836	)	$	-		$	-

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

CONCIERGE TECHNOLOGIES, INC. AND SUBSIDIARIES
(A development stage company)
CONSOLIDATED STATEMENTS OF CASH FLOWS
FOR THE NINE MONTH PERIODS ENDED MARCH 31, 2010 AND 2009
AND FOR THE PERIOD FROM SEPTEMBER 20, 1996 (INCEPTION) TO MACH 31, 2010
(Unaudited)


							For the period from September 20, 1996 (inception) to March 31, 2010
	For the Nine Month Periods Ended March 31,
	For the Nine Month Periods Ended March 31,
	2010			2009
CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss	$	(72,381	)	$	(48,188	)	$	(4,088,732	)
Adjustments to reconcile net loss to net cash used in
operating activities:
Impairment of goodwill/asset		-			-			950,583
Depreciation and amortization		12,007			9,002			33,483
Stock issued for services		21,292			-			552,644
Loss on settlement of debts		-			-			23,033
Unallocated accrued expense reversed		-			-			(150,123	)
Increase (decrease) in current assets:
Accounts Receivable		1,731			(1,042	)		(2,414	)
Inventory		196			-			(245,801	)

Increase (decrease) in current liabilities:
Advance subscription		26			(277	)		2,002
Accounts payable & Accrued expense		(2,383	)		(7,174	)		377,086
Net cash used in operating activities		(39,512	)		(47,679	)		(2,548,239	)

CASH FLOWS FROM INVESTING ACTIVITIES:
Cash received on acquisition of subsidiary		-			-			34,421
Note Due - related party		-			-			(81,808	)
Purchase of equipment		(1,130	)		-			(43,104	)
Net cash used in investing activities		(1,130	)		-			(90,491	)

CASH FLOWS FROM FINANCING ACTIVITIES:
Due from/to related party		662			(5,507	)		8,536
Proceeds from Shares to be Issued		-			-			737,007
Proceeds from sale of preferred stock		30,000			50,000			30,000
Proceeds from stock subscription forfeited		-			-			10,000
Proceeds from advance subscriptions		-			-			1,772,983
Costs and expenses of advance subscriptions		-			-			(79,710	)
Proceeds from related party loans		10,000			-			162,500
Net cash provided by financing activities		40,662			44,493			2,641,316

NET INCREASE (DECREASE) IN CASH & CASH EQUIVALENTS		20			(3,186	)		2,586

CASH & CASH EQUIVALENTS, BEGINNING BALANCE		2,566			5,820			-

CASH & CASH EQUIVALENTS, ENDING BALANCE	$	2,586		$	2,634		$	2,586

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

CONCIERGE TECHNOLOGIES, INC. AND SUBSIDIARIES

(A development stage company)

NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS

1.	DESCRIPTION OF BUSINESS AND BASIS OF PRESENTATION

Concierge Technologies, Inc., (the “Company”), a California corporation, was incorporated on August 18, 1993 as Fanfest, Inc. In August 1995 the Company changed its name to Starfest, Inc. During 1998, the Company was inactive, just having minimal administrative expenses. During 1999 the Company attempted to pursue operations in the online adult entertainment field. There were no revenues from this endeavor. On March 20, 2002, the Company changed its name to Concierge Technologies, Inc.

In March 2000, the Company acquired approximately 96.83 percent (8,250,000 shares) of the common stock of MAS Acquisition XX Corp. (MAS XX) for $314,688. This amount was expensed in March 2000 as at the time of the acquisition, MAS XX had no assets or liabilities and was inactive. On March 21, 2002, the Company consummated a merger with Concierge, Inc.

Concierge, Inc. (“CI”) was a development stage enterprise incorporated in the state of Nevada on September 20, 1996. The CI had undertaken the development and marketing of a new technology, a unified messaging product “The Personal Communications Attendant” (“PCA™”). “PCA™” will provide a means by which the user of Internet e-mail can have e-mail messages spoken to him/her over any touch-tone telephone or wireless phone in the world. To-date, the Company has not earned any revenue from this venture.

On April 6, 2004 the Company entered into a Stock Purchase Agreement with Planet Halo, Inc. (PHI) whereby, the Company purchased all of the outstanding and issued shares of PHI in exchange for 10 million shares of the Company’s common stock valued at $500,000. On May 5, 2004 the Company issued the shares on a ratio of 8.232 shares of its common stock to each share of PHI stock to the former shareholders of PHI. The existing PHI shares were then retired and cancelled. The Company is now the sole shareholder of PHI, a Nevada corporation. On May 5, 2004 the President of PHI was officially appointed to the Board of Directors of the Company along with one other PHI named appointee.

PHI is a development stage company in the wireless telecommunications industry and plans to design, construct, and operate wireless networks providing subscribers with access to the Internet and related services. Planet Halo also retains an exclusive North America license to a proprietary integrated wireless gateway interface to the Internet named "Halomail”, which the company planned to implement across its developing wireless networks.

On October 30, 2007 the Company entered into a definitive Stock Purchase Agreement to acquire all of the issued and outstanding shares of privately held Wireless Village, a Nevada corporation based in Cleveland, Ohio. The transaction closed and the purchase price was paid with 5,000,000 shares of a new class of stock, Series A Convertible, Voting Preferred Stock, $0.001 par value, issued pro-rata to the shareholders of Wireless Village on January 23, 2008.

Wireless Village is a privately held Nevada corporation based in Cleveland, Ohio and has been providing technical services to Planet Halo on an ongoing basis since May 2007. Wireless Village designs, installs, maintains and operates wireless network providing high speed Internet access to consumers and businesses. Wireless Village also hosts web sites, provides customer service and billing platforms for Planet Halo and other clientele.

CONCIERGE TECHNOLOGIES, INC. AND SUBSIDIARIES

(A development stage company)

NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS

The Company is a development stage company as defined in Statement of Financial Accounting Standards (“SFAS”) No. 7, “Accounting and Reporting by Development Stage Enterprises.” The Company is devoting substantially all of its present efforts to establishing its new business, and its planned principal operations have not yet commenced. All losses accumulated since inception have been considered as part of the Company's development stage activities.

2.	SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Basis of Preparation

The accompanying Interim Consolidated Financial Statements are prepared in accordance with rules set forth in Regulation S-K of the Securities and Exchange Commission. Accordingly, these statements do not include all disclosures required under generally accepted principles and should be read in conjunction with the audited financial statements included in the Company’s Form 10-K for the year ended June 30, 2009. In the opinion of management, all adjustments consisting of normal reoccurring accruals have been made to the financial statements. The results of operation for the nine-month period ended March 31, 2010 are not necessarily indicative of the results to be expected for the fiscal year ending June 30, 2010.

PRINCIPLES OF CONSOLIDATION

The accompanying consolidated financial statements include the accounts of Concierge Technologies, Inc. (parent) and its wholly owned subsidiaries, Planet Halo, Inc. and Wireless Village from the date of acquisition. All significant inter-company transactions and accounts have been eliminated in consolidation.

USE OF ESTIMATES

The preparation of financial statements is in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

BASIC AND DILUTED NET LOSS PER SHARES

Net loss per share is calculated in accordance with ASC Topic 260, “Earnings per share”. Basic net loss per share is based upon the weighted average number of common shares outstanding. Diluted net loss per share is based on the assumption that all dilutive convertible shares and stock options were converted or exercised. Dilution is computed by applying the treasury stock method. Under this method, options and warrants are assumed to be exercised at the beginning of the period (or at the time of issuance, if later), and as if funds obtained thereby were used to purchase common stock at the average market price during the period. As of March 31, 2010 the Company does not have any options or warrants, but has issued 5,000,000 shares of Series A preferred stock that can be converted to common stock at a ratio of 1:5 and 1,600,000 shares of Series B preferred stock that can be converted to common stock at a ratio of 1:20. The calculation of the weighted average number of shares outstanding takes into account these shares as though they have already been converted. There are no other dilutive securities outstanding.

CONCIERGE TECHNOLOGIES, INC. AND SUBSIDIARIES

(A development stage company)

NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS

REVENUE RECOGNITION

The company did not earn any revenue related to the PCA product or software since inception through March 31, 2010 and does not intend to offer the product for sale in the future. The remaining inventory of product has been reduced to zero value on the financial statements.

Planet Halo occasionally purchases consumer hardware for configuration or testing prior to release to subscribers. These items are listed in inventory or under Cost of Goods Sold and, when sold, recorded as hardware sales. Inventory amounts are expected to remain insignificant as most hardware sale invoices are paid by the customers immediately upon presentation. The Company recorded inventory at zero and $196 at March 31, 2010 and June 30, 2009, respectively.

Wireless Village also purchases consumer hardware for configuration prior to release to end users. These items are either listed in inventory if held beyond the close of the current accounting period, or summarized as “cost of goods sold” when sold with resulting revenues recorded as hardware sales. These amounts have historically been insignificant, but are expected to increase over time. During the prior fiscal year, Wireless Village began selling hardware such as printers, flat screen TVs and computers. Subcontractors supplied installation of parts and labor. Revenue was recognized after the subcontractors performed their services and/or the hardware was delivered, and the collectibility was reasonably assured. For the nine-month periods ending March 31, 2010 and March 31, 2009, Wireless Village subscription sales were recorded as $652 and $9,027, respectively, support services were recorded as $3,175 and $4,089, respectively, hardware sales were recorded as $5,639 and $13,571 for the nine-month period ending March 31, 2009 and 2010, respectively, and web hosting services were recorded as $2,666 and $2,081, respectively. Advanced, unearned, subscriptions of web hosting and Internet access were recorded on March 31, 2010 as $900 and on June 30, 2009 as $900 and, including customer deposits for support services yet to be delivered. Accounts receivable at March 31, 2010 and June 30, 2009 was recorded at $3,979 and $2,219, respectively.

CONCIERGE TECHNOLOGIES, INC. AND SUBSIDIARIES

(A development stage company)

NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS

INCOME TAXES

The Company adopts the ASC Topic 740, “Income Taxes”, regarding accounting for uncertainty in income taxes which prescribes the recognition threshold and measurement attributes for financial statement recognition and measurement of tax positions taken or expected to be taken on a tax return. In addition, the guidance requires the determination of whether the benefits of tax positions will be more likely than not sustained upon audit based upon the technical merits of the tax position. For tax positions that are determined to be more likely than not sustained upon audit, a company recognizes the largest amount of benefit that is greater than 50% likely of being realized upon ultimate settlement in the financial statements. For tax positions that are not determined to be more likely than not sustained upon audit, a company does not recognize any portion of the benefit in the financial statements. The guidance provides for de-recognition, classification, penalties and interest, accounting in interim periods and disclosure.

For the three-month periods ended March 31, 2010 and 2009, respectively, the Company did not have any interest and penalties associated with tax positions. As of March 31, 2010 and December 31, 2009, respectively, the Company did not have any significant unrecognized uncertain tax positions.

3.	RECENT PRONOUNCEMENTS

In October 2009, the FASB issued ASU 2009-13, “Multiple-Deliverable Revenue Arrangements”, now codified under FASB ASC Topic 605, “Revenue Recognition”, (“ASU 2009-13”). ASU 2009-13 requires entities to allocate revenue in an arrangement using estimated selling prices of the delivered goods and services based on a selling price hierarchy. The amendments eliminate the residual method of revenue allocation and require revenue to be allocated using the relative selling price method. ASU 2009-13 should be applied on a prospective basis for revenue arrangements entered into or materially modified in fiscal years beginning on or after June 15, 2010, with early adoption permitted. Management is currently evaluating the potential impact of ASU2009-13 on our financial statements.

In October, 2009, the FASB issued ASU 2009-15, “Accounting for Own-Share Lending Arrangements in Contemplation of Convertible Debt Issuance or Other Financing”, now codified under FASB ASC Topic 470 “Debt”, (“ASU 2009-15”), and provides guidance for accounting and reporting for own-share lending arrangements issued in contemplation of a convertible debt issuance. At the date of issuance, a share-lending arrangement entered into on an entity’s own shares should be measured at fair value in accordance with Topic 820 and recognized as an issuance cost, with an offset to additional paid-in capital. Loaned shares are excluded from basic and diluted earnings per share unless default of the share-lending arrangement occurs. The amendments also require several disclosures including a description and the terms of the arrangement and the reason for entering into the arrangement. The effective dates of the amendments are dependent upon the date the share-lending arrangement was entered into and include retrospective application for arrangements outstanding as of the beginning of fiscal years beginning on or after December 15, 2009. Management is currently evaluating the potential impact of ASU 2009-15 on our financial statements.

CONCIERGE TECHNOLOGIES, INC. AND SUBSIDIARIES

(A development stage company)

NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS

In December, 2009, under FASB ASC Topic 860, “Transfers and Servicing.” New authoritative accounting guidance under ASC Topic 860, “Transfers and Servicing,” amends prior accounting guidance to enhance reporting about transfers of financial assets, including securitizations, and where companies have continuing exposure to the risks related to transferred financial assets. The new authoritative accounting guidance eliminates the concept of a “qualifying special-purpose entity” and changes the requirements for derecognizing financial assets. The new authoritative accounting guidance also requires additional disclosures about all continuing involvements with transferred financial assets including information about gains and losses resulting from transfers during the period. The new authoritative accounting guidance under ASC Topic 860 was effective January 1, 2010 and did not have a significant impact on the Company’s financial statements.

4. GOING CONCERN

The accompanying financial statements have been prepared in conformity with generally accepted accounting principles which contemplate continuation of the Company as a going concern. However, the Company did not earn significant revenue during the nine-month period ended March 31, 2010. The Company has accumulated a deficit of $4,367,256 and a net loss of $72,381 during the nine-month period ended March 31, 2010. The continuing losses have adversely affected the liquidity of the Company. Losses are expected to continue for the immediate future. The Company faces continuing significant business risks, which include but are not limited to, its ability to maintain vendor and supplier relationships by making timely payments when due.

In view of the matters described in the preceding paragraph, recoverability of a major portion of the recorded asset amounts shown in the accompanying balance sheet is dependent upon continued operations of the Company, which in turn is dependent upon the Company’s ability to raise additional capital, obtain financing and to succeed in its future operations. The financial statements do not include any adjustments relating to the recoverability and classification of recorded asset amounts or amounts and classification of liabilities that might be necessary should the Company be unable to continue as a going concern.

Management has taken the following steps to revise its operating and financial requirements, which it believes are sufficient to provide the Company with the ability to continue as a going concern. Management devoted considerable effort from inception through the period ended March 31, 2010, towards (i) obtaining additional equity, (ii) management of accrued expenses and accounts payable, (iii) initiation of the business strategies of the Planet Halo and Wireless Village subsidiaries, and (vi) searching for suitable synergistic partners for future business combinations that generate immediate revenues.

Management believes that the above actions will allow the Company to continue operations through the next fiscal year.

CONCIERGE TECHNOLOGIES, INC. AND SUBSIDIARIES

(A development stage company)

NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS

5.	DUE TO RELATED PARTY

Concierge Technologies, Inc. has no bank account in its own name. Wallen Group, a consulting company headed by the C.E.O. and director of the Company, maintains an administrative account for the Company. As of March 31, 2010, the Wallen Group was due $3,060 by Concierge, and as of June 30, 2009, the Company had $2,398 due to the Wallen Group.

6. ACCOUNTS PAYABLE AND ACCRUED EXPENSES

Accounts payable and accrued expenses consist of the following as of March 31, 2010 and June 30, 2009:

	March 31, 2010		June 30, 2009
Account payable	$	101,665	$	98,526
Accrued judgment		135,000		135,000
Accrued interest		65,977		57,499
Accrued accounting fees		3,500		17,500
Total	$	306,142	$	308,525

7. NOTES PAYABLE – RELATED PARTIES

Notes payable consisted of the following at:	March 31, 2010		June 30, 2009
Current Liabilities:
Notes payable to shareholder, interest rate of 8%, unsecured and payable on October 1, 2006 (past due)	$	35,000	$	35,000
Notes payable to director/shareholder, non-interest bearing unsecured and payable on demand		8,500		8,500
Notes payable to shareholder, interest rate of 10%, unsecured and payable on July 31, 2004 (past due)		5,000		5,000
Notes payable to shareholder, interest rate of 10%, unsecured and payable on October 1, 2004 (past due)		28,000		28,000
Notes payable to shareholder, interest rate of 8%, unsecured and payable on October 1, 2004 (past due)		14,000		14,000
Notes payable to director/shareholder, interest rate of 8%, unsecured and payable on September 1, 2004 (past due)		3,500		3,500
Notes payable to shareholder, interest rate of 8%, unsecured and payable on October 1, 2005 (past due)		20,000		20,000
Notes payable to director/shareholder, interest rate of 8%, unsecured and payable on February 1, 2006 (past due)		5,000		5,000
Notes payable to director/shareholder, interest rate of 8%, unsecured and payable on June 1, 2006 (past due)		5,000		5,000
Notes payable to director/shareholder, interest rate of 8%, unsecured and payable on February 1, 2006 (past due)		2,500		2,500
Notes payable to director/shareholder, interest rate of 6%, unsecured and payable on September 1, 2007 (past due)		1,000		1,000
Notes payable to shareholder, interest rate of 8%, unsecured and payable on November 1, 2007 (past due)		15,000		15,000
Total Current Liabilities	$	142,500	$	142,500
Long term notes payable to shareholder, interest rate of 6%, unsecured and payable on February 1, 2012		10,000		-

The Company has recorded interest expenses amounting to $8,606 and $8,594, respectively, for each of the nine-month periods ended March 31, 2009 and March 31, 2010.

CONCIERGE TECHNOLOGIES, INC. AND SUBSIDIARIES

(A development stage company)

NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS

8. COMMON STOCK

In September 2009, the company sold 600,000 shares of its Series B Convertible, Voting, Preferred stock, par value $0.001. Although the company received full payment of the subscription from a venture capital firm that was associated with a shareholder, the share certificates were not issued as of September 30, 2009. The Company recorded the proceeds at $30,000 as other liabilities. The shares were subsequently issued during the second quarter and the previous recording was adjusted to $29,400 additional paid in capital and $600 at par value issued preferred Series B stock. These shares of the preferred stock can be converted to common stock at a ratio of 1:20 after one year has lapsed from the date of issue, and provided there are enough authorized, unissued, shares available to convert all preferred stock to common stock.

On November 5, 2009 the company issued 6,083,333 shares of common stock to its Chairman, Allen Kahn, as compensation for his consulting services. The expense was booked at the market value of the shares as of the time of issue, which was November 5, 2009.

9. SUPPLEMENTAL DISCLOSURE OF CASH FLOWS

The Company prepares its statements of cash flows using the indirect method as defined under the ASC Codification Topic 230 “Statement of Cash Flows”.

During the nine months ended March 31, 2010 and 2009 the Company did not pay any interest or income taxes.

10. LITIGATION

On May 6, 2002, a default judgment was awarded to Brookside Investments Ltd against, jointly and severally, Concierge, Inc, Allen E. Kahn, and The Whitehall Companies in the amount of $135,000 plus legal fees. The Company did not defend against the complaint by Brookside, which alleged that Brookside was entitled to a refund of their investment as a result of a breach of contract. Brookside had entered into a subscription agreement with Concierge, Inc., which called for, among other things, the pending merger between Starfest and Concierge to be completed within 180 days of the investment. The merger was not completed within 180 days and Brookside sought a refund of their investment, which Concierge was unable to provide. The Company has accrued the judgment amount of $135,000 in the year 2002 as litigation settlement in the accompanying financial statements. This amount is included in accrued expenses as of March 31, 2010.

11. SIGNIFICANT EVENTS

On February 1, 2010 Concierge entered into a Letter of Intent with privately held Global Radio Network that contemplated the sale of shares in Wireless Village, a wholly owned subsidiary of Concierge Technologies, to Global Radio Network such that at the conclusion of the transaction Global Radio Network and Concierge Technologies would each own a 50% share of Wireless Village. The purchase by Global Radio Network would be conveyed in cash, and nominees of Global Radio Network would be appointed to the board of directors of Wireless Village and Concierge Technologies. Wireless Village currently provides the Internet audio stream and web hosting functions for Global Radio Network. As of May 17, 2010, the deadline for Global Radio Network to complete their purchase of shares in Wireless Village has been extended to May 30, 2010.

ITEM 2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

The Company, through Planet Halo and Wireless Village, sells subscriptions to its wireless Internet access service in various increments, including daily, weekly, monthly and yearly. All transactions but a few are completed online through credit card entries by the customer. For online payments, sales are recorded at the time the transaction is approved by the financial institution and revenues are earned over the life of the service term. During a brief period during the fiscal year ended June 2009, subscriber billing and customer care for Planet Halo was handed off to Wireless Village in an attempt to streamline operating costs. Therefore, the differences in subscriber revenues for the nine-month periods ending March 31, 2009 and March 31, 2010 for each of Planet Halo and Wireless Village were artificially skewed due to allocation; however, in the aggregate, sales were adversely impacted due to server equipment malfunctions which led to ultimate replacement of the server and loss of revenues for nearly 30 days. For the nine-month periods ending March 31, 2009 and 2010, subscription sales for Planet Halo were recorded as $2,491 and $8,647, respectively, whereas the subscription sales for Wireless Village for the same periods were $9,027 and $652, respectively. Total subscription sales were, therefore, $11,518 and $9,299, respectively, demonstrating a change over the year of -19%. In addition to the loss of revenues for one month, which management estimates to be $1,200, Planet Halo also booked $1,100 in advance sales, doubling the amount recorded as advanced sales as of March 31, 2009. Together these two events account for nearly the total amount of change in aggregate subscription sales for the nine-month periods being compared.

Wireless Village also purchases consumer hardware for configuration prior to release to end users. These items are either listed in inventory if held beyond the close of the current accounting period, or summarized as “cost of goods sold” when sold with resulting revenues recorded as hardware sales. These amounts have historically been insignificant, but are expected to increase over time. During the prior fiscal year, Wireless Village began selling hardware such as printers, flat screen TVs and computers. Subcontractors supplied installation of parts and labor. Revenue was recognized after the subcontractors performed their services and/or the hardware was delivered, and the collectibility was reasonably assured. Support services for the nine-month periods ending March 31, 2009 and 2010 were recorded as $4,089 and $3,175, respectively, a decrease of 22%. Hardware sales were recorded as $13,571 as of March 31, 2009 and $5,639 for the nine-month period ending March 31, 2010, a decrease of 58%. This decline is attributed to a general softening of demand in the marketplace and the emergence of lower price points from competitors. Web hosting services were recorded as $2,801 and $2,666, respectively, an insignificant difference. Consolidated advanced, unearned, subscriptions of web hosting and Internet access and/or customer deposits are booked as liabilities and were recorded on March 31, 2009 as $523 and for the nine-month period ending March 31, 2010 as $900 reflecting a trend towards longer length subscriber contracts overall combined with our policy of acquiring a customer deposit for all significant hardware/support orders prior to incurring costs. Accounts receivable for the nine-month periods ending March 31, 2009 and March 31, 2010 were recorded at $2,206 and $2,219, respectively, attributed to invoices rendered at the close of the current quarter and not paid until the subsequent quarter.

Overall, net revenues for the nine-month period ending March 31, 2010 declined $10,551 from the nine-month period ending March 31, 2009, a decrease of 33%, nearly all of which is due to a corresponding decline in hardware and support services sales by Wireless Village. Management is taking steps to diversify the product offerings of Wireless Village to increase sales possibilities and profit margin in the coming months.

Liquidity

Our primary source of operating capital has been funding sourced through insiders or shareholders under the terms of unsecured promissory notes. In several instances we have sold shares of our common stock, or preferred stock, in exchange for cash. With the acquisition of Wireless Village we also acquired approximately $30,000 in cash. The amount of borrowed funds, cash through acquisitions, and funds from equity sales has been sufficient to pay the cost of legal and accounting fees as necessary to maintain a current reporting status with the Securities and Exchange Commission. However, sufficient funds have been unavailable to significantly pay down other commercial and vendor accounts payable. We have also been unable to pay significant salaries to our officers and several of our outside consultants who had performed services during the past and present fiscal years.

Although our management is continuing to provide services to the Company for the near term without cash compensation, we may still require additional funding to realize the business objectives of the Company. Planet Halo and Wireless Village are each in need of working capital to expand their market presence and to purchase additional network equipment into long-term service. Until such time as definitive agreements are reached with investors, any form of financing remains speculative. If the financing is not available, Wireless Village may not be able to proceed with its planned development, and Planet Halo may not be able to afford further expansion of its wireless networks. In the event financing is not completed, liquidity will depend upon increased operating profits from the existing infrastructure. In the event we are unable to raise working capital, the current profits do not increase, or we fail to source new business opportunities our funds will be exhausted at some point and continuing operations may be impossible.

ITEM 4. CONTROLS AND PROCEDURES

Evaluation of disclosure controls and procedures. The Company carried out an evaluation, under the supervision and with the participation of the Company's management, including the Company's Chief Executive Officer and Chief Financial Officer, of the effectiveness of the design and operation of the Company's disclosure controls and procedures as of the end of the period covered by this report. Based upon that evaluation, the Chief Executive Officer and Chief Financial Officer concluded that the Company's disclosure controls and procedures are effective and are designed to provide reasonable assurances that the information the Company is required to disclose in the reports it files or submits under the Securities Exchange Act of 1934 is recorded, processed, summarized and reported within the time period required by the Commission's rules and forms. Further, the Company’s officers concluded that its disclosure controls and procedures are also effective to ensure that information required to be disclosed in the reports that it files or submits under the Exchange Act is accumulated and communicated to its management, including its chief executive officer and chief financial officer, to allow timely decisions regarding required disclosure. There were no significant changes in the Company's internal control over financial reporting during the period covered by this report that have materially affected, or are reasonably likely to materially affect our internal controls over financial reporting.

PART II - OTHER INFORMATION

ITEM 1. LEGAL PROCEEDINGS

ITEM 2. UNREGISTERED SALES OF EQUITY SECURITIES

There were no unregistered sales of equity securities since those reported in Form 10-Q FQE 12-31-09 filed on February 16, 2010.

ITEM 5. OTHER INFORMATION

There remain 2 positions vacant on the Board of Directors of Concierge Technologies, Inc. as of May 11, 2010.

On February 1, 2010 Concierge entered into a Letter of Intent with privately held Global Radio Network that contemplated the sale of shares in Wireless Village, a wholly owned subsidiary of Concierge Technologies, to Global Radio Network such that at the conclusion of the transaction Global Radio Network and Concierge Technologies would each own a 50% share of Wireless Village. The purchase by Global Radio Network would be conveyed in cash, and nominees of Global Radio Network would be appointed to the board of directors of Wireless Village and Concierge Technologies. Wireless Village currently provides the Internet audio stream and web hosting functions for Global Radio Network. As of May 11, 2010, the deadline for Global Radio Network to complete its purchase of shares in Wireless Village has been extended to May 30, 2010.

ITEM 6. EXHIBITS

The following exhibits are filed, by incorporation by reference, as part of this Form 10-Q:

Exhibit		Item

2	-	Stock Purchase Agreement of March 6, 2000 between Starfest, Inc. and MAS Capital, Inc.*

2	-	Stock Purchase Agreement among Concierge Technologies, Inc., Wireless Village, Inc., Bill Robb and Daniel Britt.++

3.1	-	Certificate of Amendment of Articles of Incorporation of Starfest, Inc. and its earlier articles of incorporation.*

3.2	-	Bylaws of Concierge, Inc., which became the Bylaws of Concierge Technologies upon its merger with Starfest, Inc. on March 20, 2002.*

3.5	-	Articles of Merger of Starfest, Inc. and Concierge, Inc. filed with the Secretary of State of Nevada on March 1, 2002.**

3.6	-	Agreement of Merger between Starfest, Inc. and Concierge, Inc. filed with the Secretary of State of California on March 20, 2002.**

3.7	-	Articles of Incorporation of Concierge Technologies, Inc. filed with the Secretary of State of Nevada on April 20, 2005.+

3.8	-	Articles of Merger between Concierge Technologies, Inc., a California corporation, and Concierge Technologies, Inc., a Nevada corporation, filed with the Secretary of State of Nevada on March 2, 2006 and the Secretary of State of California on October 5, 2006.+

10.1	-	Agreement of Merger between Starfest, Inc. and Concierge, Inc.*

14	-	Code of Ethics for CEO and Senior Financial Officers.***

31.1	-	Certification of Chief Executive Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.

31.2	-	Certification of Chief Financial Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.

32.1	-	Certification of Chief Executive Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

32.2	-	Certification of Chief Financial Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

*	Previously filed with Form 8-K12G3 on March 10, 2000; Commission File No. 000-29913, incorporated herein.

**	Previously filed with Form 8-K on April 2, 2002; Commission File No. 000-29913, incorporated herein.

***	Previously filed with Form 10-K FYE 06-30-04 on October 13, 2004; Commission File No. 000-29913, incorporated herein.

+	Previously filed with Form 10-K FYE 06-30-06 on October 13, 2006; Commission File No. 000-29913, incorporated herein.

++	Previously filed on November 5, 2007 as Exhibit 10.2 to Concierge Technologies’ Form 8-K for the Current Period 10-30-07; Commission File No. 000-29913, incorporated herein.

SIGNATURES

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

Dated: May 18, 2010

	CONCIERGE TECHNOLOGIES, INC.

	By:	/s/ David W. Neibert
		David W. Neibert, Chief Executive Officer