Quarterly Report (10-q)

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

( Mark one)
x	QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE
	ACT OF 1934
For the Quarterly Period Ended July 31, 2015
Or
	TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE
	ACT OF 1934
For the transition period from ________________ to ________________
Commission File Number: 000-53861

AURUM, INC.

(Exact name of registrant as specified in its charter)

Delaware	27-1728996
(State or Other Jurisdiction	(I.R.S. Employer
of Incorporation)	Identification No.)

Level 1A, 42 Moray Street
Southbank, Victoria, Australia	3006
(Address of Principal Executive Offices)	(Zip Code)

Registrant’s telephone number, including area code: 001 (613) 8532 2878

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.  Yes  No

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).  Yes  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 definitions of “accelerated filer,” “large accelerated filer” and “smaller reporting company” in Rule 12-b2 of the Exchange Act.

(Check one): Large accelerated filer  Accelerated filer  Non-accelerated filer  Smaller reporting company 

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12-b2 of the Exchange Act).  Yes  No

Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date. There were 135,850,000 outstanding shares of Common Stock as of September 22, 2017.

Table Of Contents

			PAGE NO

PART I.	FINANCIAL INFORMATION

Item 1	Financial Statements		2
Item 2	Management’s Discussion and Analysis of Financial Condition and Results of Operations		12
Item 3	Quantitative and Qualitative Disclosure about Market Risk		15
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

EXHIBIT INDEX			18

Exh. 31.1		Certification	19
Exh. 31.2		Certification	20
Exh. 32.1		Certification	21
Exh. 32.2		Certification	22

PART I – FINANCIAL INFORMATION

Item 1.

FINANCIAL STATEMENTS

Introduction to Interim Consolidated Financial Statements.

The interim consolidated financial statements included herein have been prepared by Aurum, Inc. (“Aurum” or the “ Company ”) without audit, pursuant to the rules and regulations of the Securities and Exchange Commission (The “Commission”). Certain information and footnote disclosure normally included in consolidated financial statements prepared in accordance with accounting principles generally accepted in United States of America (“US GAAP”) have been condensed or omitted pursuant to such rules and regulations, although the Company believes that the disclosures are adequate to make the information presented not misleading.

The interim consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the year ended October 31, 2014.

In the opinion of management, all adjustments, consisting of normal recurring adjustments necessary to present fairly the financial position of the Company as of July 31, 2015, the results of its operations for the three and nine month periods ended July 31, 2015 and July 31, 2014 and the changes in its cash flows for the nine month periods ended July 31, 2015 and July 31, 2014 have been included. The results of operations for the interim periods are not necessarily indicative of the results for the full year.

The preparation of consolidated financial statements in conformity with US GAAP requires management to make estimates and assumptions that affect certain reported amounts and disclosures. Accordingly, actual results could differ from those estimates.

AURUM, INC.

Consolidated Balance Sheet

	July 31, 2015 US$ (unaudited)			October 31, 2014 US$

ASSETS

Current Assets:
Cash		1,076			3,073
Prepayments		-			963
Total Current Assets		1,076			4,036

Total Assets		1,076			4,036

LIABILITIES AND STOCKHOLDERS’ EQUITY (DEFICIT)
Current Liabilities:
Accounts payable and accrued expenses		184,954			248,841
Total Current Liabilities		184,954			248,841

Non-Current Liabilities:
Advances from affiliates		1,079,663			7,257,926
Total Non-Current Liabilities		1,079,663			7,257,926

Total Liabilities		1,264,617			7,506,767

Stockholders’ Equity (Deficit) :
Common stock: $.0001 par value 500,000,000 shares authorised, and 135,600,000 shares issued and outstanding at July 31, 2015 and 105,600,000 October 31, 2014		13,560			10,560
Additional Paid-in-Capital		7,794,983			2,740,207
Accumulated (deficit)		(9,072,084	)		(10,253,498	)
Total Stockholders’ Equity (Deficit)		(1,263,541	)		(7,502,731	)

Total Liabilities and Stockholders’ Equity (Deficit)		1,076			4,036

See Notes to Consolidated Financial Statements

AURUM, INC.

Consolidated Statements of Operations

(Unaudited)

	For the three months ended						For the nine months ended
	July 31,						July 31,
	2015			2014			2015			2014
	US$			US$			US$			US$

Revenues	$	-		$	-		$	-		$	-

Costs and expenses:
Legal, accounting and professional		23,218			12,924			49,640			33,045
Administration expenses		22,610			17,092			43,737			111,164
Exploration expenditure		-			104,226			-			346,036
Interest expense		105			-			114			-
Total costs and expenses		45,933			134,242			93,491			490,245

(Loss) from operations		(45,933	)		(134,242	)		(93,491	)		(490,245	)
Other income		57,809			-			66,646			-
Foreign currency exchange gain (loss)		580,111			(79,173	)		1,208,259			93,181
Income (Loss) before income taxes		591,987			(213,415	)		1,181,414			(397,064	)
Provision for income taxes		-			-			-			-

Net income (loss)		591,987			(213,415	)		1,181,414			(397,064	)

Basic and diluted net income (loss) per common equivalent shares		0.01			(0.00	)		0.01			(0.00	)

Weighted average number of common equivalent shares (in 000’s)		105,993			105,600			105,710			105,600

See Notes to Consolidated Financial Statements

AURUM, INC.

Consolidated Statements of Stockholders’ Equity (Deficit)

(Unaudited)

	Shares		Common Stock Amount		Additional Paid-in Capital		Accumulated (Deficit)			Total
			US$		US$		US$			US$


Balance, October 31, 2014		105,600,000		10,560		2,740,207		(10,253,498	)		(7,502,731	)

Issuance of common stock		30,000,000		3,000		5,054,776		-			5,057,776
Net income		-		-		-		1,181,414			1,181,414
Balance, July 31, 2015		135,600,000		13,560		7,794,983		(9,072,084	)		(1,263,541	)

See Notes to Consolidated Financial Statements

AURUM, INC.

Consolidated Statements of Cash Flows

(Unaudited)

	For the nine months ended
	July 31
	2015 US$			2014 US$

CASH FLOWS FROM OPERATING ACTIVITIES
Net income/(loss)		1,181,414			(397,064	)

Adjustments to reconcile net income(loss) to net cash (used)
in operating activities:
Foreign currency exchange (gain)		(1,208,259	)		(93,181	)
Depreciation		-			423
Net change in:
Prepayments		963			5,595
Receivables		-			72
Accounts payable and accrued expenses		(63,887	)		231,275

Net Cash (Used) in Operating Activities		(89,769	)		(252,880	)


CASH FLOWS FROM FINANCING ACTIVITIES
Advances from affiliates		86,302			241,650

Net Cash Provided by Financing Activities		86,302			241,650

Effect of exchange rate on cash		1,470			691

Net (decrease) in cash		(1,997	)		(10,539	)

Cash at beginning of period		3,073			12,797

Cash at end of period		1,076			2,258

Non-Cash Transactions Issuance of common stock to settle liability		5,057,776			-

See Notes to Consolidated Financial Statements

AURUM, INC.

Notes to Consolidated Financial Statements

July 31, 2015

(unaudited)

(1)	ORGANIZATION AND BUSINESS

Aurum, Inc. ("Aurum” or the “Company") is a Delaware corporation, originally incorporated in Florida as Liquid Financial Engines, Inc. The principal stockholder of Aurum is Golden Target Pty Ltd., an Australian corporation (“Golden”), which owned 74.93% of Aurum as of July 31, 2015.

On January 20, 2010, the Company re-incorporated in the state of Delaware (the “Reincorporation”) through a merger involving Liquid Financial Engines, Inc. (“Liquid”) and Aurum, Inc., a Delaware Corporation that was a wholly owned subsidiary of Liquid. The Reincorporation was effected by merging Liquid with Aurum, with Aurum being the surviving entity. For financial reporting purposes Aurum is deemed a successor to Liquid.

In July 2009, Golden acquired a 96% interest in Aurum from certain stockholders. In connection therewith, the Company appointed a new President/Chief Executive Officer and Chief Financial Officer/Secretary and a new sole Director. The sole director and stockholder of Golden is also the President of the Company.

Commencing August 2009, the Company decided to focus on mineral exploration for gold and copper in the Lao Peoples Democratic Republic (Lao P.D.R or Laos).

In December 2010, the Company executed a Management and Shareholders Agreement with Argonaut Overseas Investments Ltd (“AOI”), an indirectly wholly owned Subsidiary of Argonaut Resources N.L., in respect to Argonaut’s 70% held Century Concession in Laos. The agreement appointed Aurum as the manager of the Century Thrust Joint Venture Agreement (“Joint Venture”) and the Company had the right to earn 72.86% of AOI’s interest in the Joint Venture which was equivalent to a 51% beneficial interest in the Century Concession.

The Century Concession expired in fiscal 2014 and was not renewed. As a result, the Company no longer has any exploration interests in Laos.

The Company has now commenced a search for new projects that the Company may be able to acquire an interest in.

The Company’s ability to continue operations for the foreseeable future is dependent upon future funding from affiliated entities, capital raisings, or its ability to commence revenue producing operations and positive cash flows, however there can be no assurance that the Company will be successful in these efforts.

(2)	RECENT ACCOUNTING PRONOUNCEMENTS

The Company has implemented all new accounting pronouncements that are in effect and applicable to the Company. These pronouncements did not have any material impact on the consolidated financial statements unless otherwise disclosed, and the Company does not believe that there are any other new accounting pronouncements that have been issued that might have a material impact on its financial position or results of operations.

In June 2014, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2014-10, “Development Stage Entities (Topic 915): Elimination of Certain Financial Reporting Requirements, Including an Amendment to Variable Interest Entities Guidance in Topic 810, Consolidation”. The Company adopted the amendment to (Topic 915) Development Stage Entities, for the elimination of certain disclosures currently required under US GAAP in the consolidated financial statements for development stage entities. The amendment removes the definition of a development stage entity, thereby removing the financial reporting distinction between the development stage entities and reporting entities from US GAAP. The Company has eliminated the inception-to-date information in the statements of operations, cash flows, and stockholders’ equity (deficit). The consolidated financial statements are no longer labelled as an exploration or development stage entity, and no disclosure is required for a description of the development stage activities the entity is engaged or when they are no longer a development stage entity. This update also eliminates an exception provided to development stage entities in FASC Topic 810, Consolidation, for determining whether an entity is a Variable Interest Entity (VIE) based on the amount of equity at risk.

(3)	GOING CONCERN

The accompanying consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America, which contemplate continuation of Aurum as a going concern. Aurum has incurred net losses since inception and may continue to incur substantial and increasing losses for the next several years, all of which raises substantial doubt as to its ability to continue as a going concern.

In addition, Aurum is reliant on loans and advances from corporations affiliated with the Company. Based on discussions with these affiliate companies, the Company believes this source of funding will continue to be available. Other than the arrangements noted above, the Company has not confirmed any other arrangements for ongoing funding. As a result the Company may be required to raise funds by additional debt or equity offerings in order to meet its cash flow requirements during the forthcoming year. However, there can be no assurance that the Company’s fund raising efforts will be successful.

The retained deficit of the Company at July 31, 2015 amounted to approximately $9,100,000.

(4)	AFFILIATE TRANSACTIONS

The Company entered into an agreement with AXIS Consultants Pty Ltd (“AXIS”) to provide management and administration services to the Company. AXIS is affiliated through common management. The Company is one of nine affiliated companies to which AXIS provides services. Each of the companies has some common Directors, officers and shareholders. Currently, there are no material arrangements or planned transactions between the Company and any of the affiliated companies other than AXIS.

During the nine months ended July 31, 2015, AXIS provided services in accordance with the services agreement, incurred direct costs on behalf of the Company and provided funding of $74,397. During the nine months ended July 31, 2015, the foreign exchange effect on the amounts owed to affiliates was a gain of $1,206,789. On July 31, 2015 the Company issued 30,000,000 shares of common stock to AXIS in satisfaction of a debt of $5,057,776. The amounts owed to affiliates as of July 31, 2015 and October 31, 2014 is $847,163 and $7,025,426, respectively, and are reflected in non-current liabilities - advances from affiliates. At July 31, 2015, the Company owed the former Managing Director of its Laos operation $232,500 (2014: $232,500). During the nine months ended July 31, 2015 and 2014, the affiliates have agreed not to charge interest.

The Company intends to repay these amounts with funds raised either via additional debt or equity offerings. Both affiliates have agreed not to call the advance within the next twelve months and accordingly the Company has classified the amounts payable as non-current in the accompanying balance sheet.

(5)	INCOME TAXES

Aurum files its income tax returns on an accrual basis.

The Company follows the accounting requirements associated with uncertainty in income taxes using the provisions of FASB ASC 740, Income Taxes. Using that guidance, tax positions initially need to be recognized in the consolidated financial statements when it is more-likely-than-not the positions will be sustained upon examination by the tax authorities. It also provides guidance for de-recognition, classification, interest and penalties, accounting in interim periods, disclosure and transition. As of July 31, 2015, the Company has no uncertain tax positions that qualify for either recognition or disclosure in the consolidated financial statements.

The Company is required to file tax returns in the United States and a summary of the deferred tax asset at July 31, 2015 is as follows:

	USA $			Total $
Deferred tax assets

Net operating loss carry-forward		827,643			827,643
Less valuation allowance		(827,643	)		(827,643	)
Net deferred taxes		-			-

The Company has available net operating loss carry forwards as of October 31, 2014, which are subject to limitations, aggregating approximately $2,364,000 which would expire in years 2028 through 2034.

The Company’s tax returns for all years since fiscal 2012 remain open to examination by the respective tax authorities. There are currently no tax examinations in progress.

(6)	STOCKHOLDERS’ EQUITY

In September 2008, 96,000,000 shares of common stock were issued to the Company’s founder raising $9,000.

In March 2009, the Company raised $12,000 in a registered public offering of 9,600,000 shares of common stock share pursuant to a prospectus dated January 30, 2009.

On July 31, 2015 the Company issued 30,000,000 shares of common stock to AXIS in satisfaction of a debt of $5,057,776.

(7)	ISSUE OF OPTIONS UNDER EQUITY INCENTIVE PLAN

(i)

Effective December 13, 2010, the Company issued 2,500,000 options over shares of Common Stock to employees under the 2010 Equity Incentive Plan that has been adopted by the Directors of the Company. The options vested 1/3 on December 13, 2010, 1/3 vested on November 17, 2011 and the balance vested on November 17, 2012. The exercise price of the options is US$1.00 and the latest exercise date for the options is November 17, 2020.

The Company has accounted for all options issued based upon their fair value using the Binomial pricing model.

At October 31, 2014, there were 2,500,000 options outstanding with an option price per share and weighted average exercise price of US$1.00. The exercise price is US$1.00 per option. The weighted average per option fair value of options granted during fiscal 2011 was US$0.81.

As a result of the termination of the employee holding the options, the employee had a period of 90 days from the date of termination to exercise the options. The holder did not exercise the options therefore the options expired in May 2015.

(ii)

In May 2011, the Company issued 750,000 options over shares of Common Stock to employees under the 2010 Equity Incentive Plan that has been adopted by the Directors of the Company. The options vested 1/3 upon grant date, 1/3 vested on February 1, 2012 and the balance vested on February 1, 2013. The exercise price of the options is US$1.00 and the latest exercise date for the options is February 1, 2018.

The Company has accounted for all options issued based upon their fair value using the Binomial pricing model.

(8)	FAIR VALUE OF FINANCIAL INSTRUMENTS

The Company’s financial instruments consist of cash, receivables, accounts payable, accrued expenses and advances from affiliates. The carrying amounts of cash, receivables, accounts payables and accrued expenses approximates their fair values because of the short term maturities of those instruments. The fair value of the advances from affiliate is not determinable as it is due to an affiliated entity, no market exists for similar instruments and settlement date is uncertain.

(9)	NET INCOME ( LOSS) PER SHARE

Basic income (loss) per share is computed by dividing net profit (loss) available to common stockholders by the weighted average number of common shares outstanding during the period. Options to acquire 3,250,000 shares of common stock were not included in the diluted weighted average shares outstanding as such effects would be anti-dilutive.

(10)

CASH

The Company maintains cash deposits with financial institutions in Australia and in Laos (USD). Cash deposits maintained in Australian dollars are translated into US dollars at the period end exchange rate with the related adjustment recognized in statements of operations.

(11)	SUBSEQUENT EVENTS

The Company has evaluated events and transactions after the balance sheet date and through the date the consolidated financial statements were issued, and believes that all relevant disclosures have been included herein and there are no other events which require recognition or disclosure in the accompanying interim consolidated financial statements.

On April 1, 2016 the Company announced that it had entered into an agreement with an Israeli company, PayItSimple Ltd and its subsidiaries (PayItSimple) whereby the Company would invest $15 million directly into PayItSimple by September 5, 2016 to acquire a 30% interest in PayItSimple, and a further $7.5 million into PayItSimple over 18 months to acquire a further 10% interest in PayItSimple, taking its holding to 40% of interest in PayItSimple. PayItSimple owns a business known as Splitit. On April 6, 2016 the Company terminated the proposed acquisition of PayItsimple.

On June 27, 2016 the Company announced that it had entered into a binding term sheet with the shareholders of an Israeli company, Humavox Ltd (Humavox), a company that creates wireless charging solutions. In accordance with the proposed acquisition of Humavox, Aurum would acquire 100% of the shares of Humavox and 100% of the warrants and options to acquire shares of Humavox in exchange for the issue of shares of common stock of Aurum representing 50% of the shares of common stock of Aurum post issue on a fully-diluted basis, including the investment of an amount of US$16 million in Humavox. The investment would take place in unconditional instalments over a period of 24 months following the closing. The closing of the merger was subject to certain closing conditions, including the investment in Humavox of the first instalment of the investment in the amount of $5.5 million. On July 29, 2016 the Company terminated the proposed acquisition of Humavox.

In April 2016, the Company raised $38,329 through the private placement of 250,000 shares of common stock.

On July 19, 2017, the Company entered into a Term Sheet with Lior Wayn, Erez Glazer and Dr Guy Shalom, (collectively, the ‘’Sellers”) for the acquisition of all of the issued shares of a medical technology business. The Company has a 120 day period to conduct due diligence and negotiate a formal share sale agreement.

The purchase price is up to USD$7,500,000 which is to be satisfied as follows:

a)	The sum of USD$100,000 payable to the Sellers for due diligence expenses, 30 business days from the execution of the Term Sheet;

b)	A further USD$100,000 each month after the date in a) above for due diligence expenses, for 3 months, payable to the Sellers for working capital purposes;

c)	An issue of fully paid ordinary shares of common stock of the Company to the value of USD$2,500,000 (less any payments made to the Sellers under (a) and (b) above) to the Sellers at an issue price of USD$0.22 per share of common stock (Consideration Shares);

d)	The issue to the Sellers of shares of common stock to the equivalent to USD$2,500,000 at the issue price of USD$0.22, subject to the Sellers achieving sales revenue of USD$100,000 within twelve months after the first anniversary of Completion; and

e)	The issue to the Sellers of shares of common stock to the equivalent to USD$2,500,000 at the issue price of USD$0.22, subject to the Sellers achieving sales revenue of USD$1,000,000 within twelve months after the first anniversary of Completion.

If the Transaction is terminated or is in the reasonable opinion of the Company unable to proceed at any point, the Vendors and the Sellers have agreed to convert any monies paid to the Sellers under (a) and (b) above into convertible securities in the Sellers.

As part of the agreement and as a condition to completion, the Company will raise USD$2,500,000.

Pending completion, the Sellers are required to carry on business in the ordinary course.

In July 2017, the Company raised $38,329 through the private placement of 250,000 shares of common stock.

Item 2.

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

General

The following discussion and analysis of our financial condition and results of operations should be read in conjunction with the consolidated financial statements and accompanying notes and the other financial information appearing elsewhere in this report. This report contains numerous forward-looking statements relating to our business. Such forward-looking statements are identified by the use of words such as believes, intends, expects, hopes, may, should, plan, projected, contemplates, anticipates or similar words. Actual operating schedules, results of operations and other projections and estimates could differ materially from those projected in the forward-looking statements.

Overview

Aurum, Inc. is an exploration stage company and was incorporated in Florida on September 29, 2008, to develop and market financial software. In July 2009, Golden Target Pty Ltd, an Australian corporation ("Golden") acquired a 96% interest in Aurum from Daniel McKelvey and certain other stockholders. Commencing August 2009, the Company decided to focus on mineral exploration for gold and copper in the Lao Peoples Democratic Republic. The Company is considered to be in the exploration stage. On January 20, 2010, the Company re-incorporated in the State of Delaware through a merger involving Liquid Financial Engines, Inc. (“Liquid”) and Aurum, Inc., with Aurum being the surviving entity. For the purpose of the Company’s financial reporting status, Aurum is deemed a successor to Liquid.

The agreement appointed Aurum as the manager of the Century Thrust Joint Venture Agreement, which existed between Argonaut and two other parties, and gives the Company the right to earn 72.86% of AOI’s interest in the Joint Venture which was equivalent to a 51% beneficial interest in the Century Concession. In order to acquire this interest, Aurum was to spend US$6.5 million on exploration within the five year period ending December 10, 2015. The Century Concession expired in fiscal 2014 and was not renewed.

We have incurred net losses since our inception and may continue to incur substantial and increasing losses for the next several years We have incurred accumulated losses of approximately $9.1 million which has been funded primarily by the sale of equity securities and advances from affiliates.

RESULTS OF OPERATIONS

Three Months Ended July 31, 2015 vs. Three Months Ended July 31, 2014.

Costs and expenses decreased from $134,242 in the three months ended July 31, 2014 to $45,933 in the three months ended July 31, 2015. The decrease in costs and expenses is a net result of:

a)	an increase in legal, accounting and professional expense from $12,924 for the three months ended July 31, 2014 to $23,218 for the three months ended July 31, 2015, primarily due to an increase in professional fees and share registry expenses.

b)	an increase in administrative expenses from $17,092 in the three months ended July 31, 2014 to $22,610 in the three months ended July 31, 2015, is primarily as a result of an increase in employment costs, XBRL conversion costs, insurance expense and travel costs

a decrease in exploration expenditure expense from $104,226 for the three months ended July 31, 2014 to $nil for the three months ended July 31, 2015. The Century Concession expired in fiscal 2014. The exploration costs include salaries for both our staff and contract field staff, accommodations, Laos office costs, field work expenditure and reviewing data on exploration targets in Laos.

As a result of the foregoing, the loss from operations decreased from $134,242 for the three months ended July 31, 2014 to income from operations of $45,933 for the three months ended July 31, 2015.

Other income increased from $nil for the three months ended April 30, 2014 to $57,809 for the three months ended April 30, 2015.

The Company recorded a foreign currency exchange gain of $580,111 for the three months ended July 31, 2015 compared to a foreign currency exchange loss of $79,173 for the three months ended July 31, 2014, primarily due to revaluation of the advances from affiliate which is denominated in Australian dollars.

Net income was $591,987 for the three months ended July 31, 2015 compared to a net loss of $213,415 for the three months ended July 31, 2014.

Nine Months Ended July 31, 2015 vs. Nine Months Ended July 31, 2014.

Costs and expenses decreased from $490,245 in the nine months ended July 31, 2014 to $93,491 in the nine months ended July 31, 2015. The decrease in costs and expenses is a net result of:

an increase in legal, accounting and professional expense from $33,045 for the nine months ended July 31, 2014 to $49,640 for the nine months ended July 31, 2015, primarily as a result of an increase in professional fees and share registry expenses offset by a small increase in tax consultant costs.

b)	a decrease in administrative expenses from $111,164 in the nine months ended July 31, 2014 to $43,737 in the nine months ended July 31, 2015, primarily due to a decrease in employment costs, XBRL conversion expenses, IT support costs, insurance and travel costs.

a decrease in exploration expenditure expense from $346,036 for the nine months ended July 31, 2014 to $nil for the nine months ended July 31, 2015. The Century Concession expired in fiscal 2014. The exploration costs include salaries for both our staff and contract field staff, accommodations, Laos office costs, field work expenditure and reviewing data on exploration targets in Laos.

As a result of the foregoing, the loss from operations decreased from $490,245 for the nine months ended July 31, 2014 to $93,491 for the nine months ended July 31, 2015.

Other income increased from $nil for the nine months ended April 30, 2014 to $66,646 for the nine months ended April 30, 2015.

The Company recorded a foreign currency exchange gain of $1,208,259 for the nine months ended July 31, 2015 compared to a foreign currency exchange gain of $93,181 for the nine months ended July 31, 2014, primarily due to revaluation of the advances from affiliate which is denominated in Australian dollars.

Net income was $1,181,414 for the nine months ended July 31, 2015 compared to a net loss of $397,064 for the nine months ended July 31, 2014.

Liquidity and Capital Resources

For the nine months ended July 31, 2015, net cash used in operating activities was $89,769 primarily consisting of the net income of $1,181,414, adjusted for non-cash items being foreign currency gain of $1,208,259, a decrease in prepayments of $963, and a decrease in accounts payable and accrued expenses of $63,887.

Net cash used in investing activities was $nil; and net cash provided by financing activities was $86,302.

As of July 31, 2015 the Company has short term obligations of $184,954 comprising accounts payable and accrued expenses.

In July 2015, the Company issued 30,000,000 shares of common stock to AXIS Consultants Pty Ltd as repayment of a debt of $5,057,776.

The Company has $1,076 in cash at July 31, 2015.

The Company continues to search for additional sources of capital, as and when needed; however, there can be no assurance funding will be successfully obtained. Even if it is obtained, there is no assurance that it will not be secured on terms that are highly dilutive to existing shareholders.

Information Concerning Forward Looking Statements

This report and other reports, as well as other written and oral statements made or released by us, may contain forward looking statements. Forward looking statements are statements that describe, or that are based on, our current expectations, estimates, projections and beliefs. Forward looking statements are based on assumptions made by us, and on information currently available to us. Forward-looking statements describe our expectations today of what we believe is most likely to occur or may be reasonably achievable in the future, but such statements do not predict or assure any future occurrence and may turn out to be wrong. You can identify forward-looking statements by the fact that they do not relate strictly to historical or current facts. The words "believe", "anticipate", "intend", "expect", "estimate", "project", "predict", "hope", "should", "may", and "will", other words and expressions that have similar meanings, and variations of such words and expressions, among others, usually are intended to help identify forward-looking statements.

Forward-looking statements are subject to both known and unknown risks and uncertainties and can be affected by inaccurate assumptions we might make. Risks, uncertainties and inaccurate assumptions could cause actual results to differ materially from historical results or those currently anticipated. Consequently, no forward-looking statement can be guaranteed. The potential risks and uncertainties that could affect forward looking statements include, but are not limited to:

●	The risk factors set forth in Item 1A of the Company’s Annual Report on Form 10-K for the fiscal year ended October 31, 2014,

●	The risks and hazards inherent in the mineral exploration business (including environmental hazards, industrial accidents, weather or geologically related conditions),

●	The uncertainties inherent in our exploratory activities, including risks relating to permitting and regulatory delays,

●	The political, governmental and regulatory risks affecting mineral exploration activities in foreign countries,

●	The effects of environmental and other governmental regulations, and

●	Uncertainty as to whether financing will be available to enable further exploration and development.

●	Movements in foreign exchange rates,

●	Performance of information systems,

●	Ability of the Company to hire, train and retain qualified employees,

●	Our ability to enter into key exploration agreements and the performance of contract counterparties.

In addition, other risks, uncertainties, assumptions, and factors that could affect the Company's results and prospects are described in this Quarterly Report on Form 10-Q and in the Company’s Annual Report on Form 10-K for the fiscal year ended October 31, 2014, including under the heading “Risk Factors” and elsewhere herein and therein and may further be described in the Company's prior and future filings with the Securities and Exchange Commission and other written and oral statements made or released by the Company.

We caution you not to place undue reliance on any forward-looking statements, which speak only as of the date of this document. The information contained in this report is current only as of its date, and we assume no obligation to update any forward-looking statements.

Item 3.

Quantitative and Qualitative Disclosures About Market Risk.

At July 31, 2015, the Company had no outstanding loan facilities.

The Company reports in US$ and holds cash in Australian dollars. At July 31, 2015, this amounted to A$1,076. A change in the exchange rate between the A$ and the US$ will have an effect on the amounts reported in the Company’s consolidated financial statements, and create a foreign exchange gain or loss. A movement of 1% in the A$ versus the US$ exchange rate will have a US$10 effect on the balance sheet and statement of operations.

Item 4.

Controls and Procedures.

a)	Disclosure Controls and Procedures

Our principal executive officer and our principal financial officer evaluated the effectiveness of our disclosure controls and procedures (as defined in Rule 13a-15(e) and 15d-15(e) of the Securities Exchange Act of 1934 as amended) as of the end of the period covered by this report. Based on that evaluation, such principal executive officer and principal financial officer concluded that, the Company’s disclosure controls and procedures were effective as of the end of the period covered by this report at the reasonable level of assurance.

b)	Change in Internal Control over Financial Reporting

There were no changes in our internal control over financial reporting during the third of fiscal 2015 that materially affected, or are reasonably likely to materially affect, internal control over financial reporting.

Other

We believe that a controls system, no matter how well designed and operated, cannot provide absolute assurance that the objectives of the controls system are met, and no evaluation of controls can provide absolute assurance that all control issues and instances of fraud, if any, within a company have been detected. Therefore, a control system, no matter how well conceived and operated, can provide only reasonable, not absolute, assurance that the objectives of the control system are met. Our disclosure controls and procedures are designed to provide such reasonable assurances of achieving our desired control objectives, and our principal executive officer and principal financial officer have concluded, as of July 31, 2014, that our disclosure controls and procedures were effective in achieving that level of reasonable assurance.

PART II – OTHER INFORMATION

Item 1.

Legal Proceedings.

Not Applicable

Item 1A.

Risk Factors.

Not Applicable for smaller reporting company.

Item 2.

Unregistered Sales of Equity Securities and Use of Proceeds.

Not Applicable

Item 3.

Defaults Upon Senior Securities.

Not Applicable

Item 4.

Mine Safety Disclosure.

Not Applicable

Item 5.

Other Information.

Not Applicable

Item 6.

Exhibits.

(a)

Exhibit No.

Description

31.1

Certification Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 by Joseph Isaac Gutnick

31.2

Certification Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 by Peter James Lee

32.1

Certification of Chief Executive Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of Sarbanes-Oxley act of 2002 by Joseph Isaac Gutnick

32.2

Certification of Chief Financial Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of Sarbanes-Oxley act of 2002 by Peter James Lee

101

The following materials from the Aurum, Inc. Quarterly Report on Form 10-Q for the quarter ended July 31, 2015 formatted in Extensible Business Reporting Language (XBRL): (i) the Balance Sheets, (ii) the Statements of Operations, (iii) Statement of Stockholders’ Equity (Deficit), (iv) the Statements of Cash Flows and (v) related notes.

#101.INS

XBRL Instance Document.

#101.SCH

XBRL Taxonomy Extension Schema Document.

#101.CAL

XBRL Taxonomy Extension Calculation Linkbase Document.

#101.LAB

XBRL Taxonomy Extension Label Linkbase Document.

#101.PRE

XBRL Taxonomy Extension Presentation Linkbase Document.

#101.DEF

XBRL Taxonomy Extension Definition Linkbase Document.

_________________

Filed herewith. In accordance with Rule 406T of Regulation S-T, these interactive data files are deemed “not filed” for purposes of section 18 of the Exchange Act, and otherwise are not subject to liability under that section.

(FORM 10-Q)

SIGNATURES

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.

	Aurum, In



		/s/ Joseph I Gutnick
	By:	_______________________
		Joseph Gutnick
		Chairman of the Board, President and Chief Executive Officer
		(Principal Executive Officer)




		/s/ Peter Lee
	By:	_______________________
		Peter Lee
		Chief Financial Officer
		(Principal Financial Officer)