-------------   ------------ 
Loss from operations                      (4,474,157)   (13,894,139) 
                                        -------------   ------------ 
Other income (expense): 
Interest income, net                          195,209        350,022 
Exchange loss, net                          (324,225)       (70,293) 
Other (expense) income, net                 (155,150)        128,634 
                                        -------------   ------------ 
Total other (expense) income, net           (284,166)        408,363 
                                        -------------   ------------ 
Loss before income taxes                  (4,758,323)   (13,485,776) 
Income taxes -- current                   (1,245,303)    (1,282,046) 
                                        -------------   ------------ 
Net loss                             $    (6,003,626)  $(14,767,822) 
                                        =============   ============ 
Other comprehensive loss 
Foreign currency translation 
 adjustments                                   20,896        222,111 
                                        -------------   ------------ 
Comprehensive loss                        (5,982,730)   (14,545,711) 
                                        =============   ============ 
Net loss per share 
Basic and diluted                    $         (0.12)  $      (0.27) 
                                        =============   ============ 
Weighted average shares 
outstanding: 
Basic and diluted                          50,725,814     54,812,900 
                                        -------------   ------------ 
 
 
                        ISPIRE TECHNOLOGY INC. 
           UNAUDITED CONSOLIDATED STATEMENTS OF CASH FLOWS 
              (In $USD, except share and per share data) 
 
                                          Years ended June 30, 
                                    -------------------------------- 
                                          2023             2024 
                                    -----------------  ------------- 
                                     (to be restated 
                                       on Form 10-K 
                                        for fiscal 
                                        year 2024) 
Net loss                             $    (6,003,626)  $(14,767,822) 
Adjustments to reconcile net loss 
to net cash provided by (used 
in) operating activities: 
Depreciation and amortization                  46,662        505,653 
Credit loss expenses                        3,332,825      6,015,752 
Right-of-use assets amortization            1,030,104      1,211,899 
Stock-based compensation expenses                  --      6,380,282 
Inventory impairment                               --        205,594 
Loss from equity method investment                 --        117,905 
Changes in operating assets and 
liabilities: 
Accounts receivable                      (19,579,339)   (41,299,642) 
Inventories                                 7,108,449        901,120 
Prepaid expenses and other current 
 assets                                   (2,598,746)      1,937,029 
Accounts payable and accounts 
 payable -- related party                  10,574,989     17,891,667 
Contract liabilities                        (690,637)      1,248,687 
Accrued liabilities and other 
 payables                                     168,179      2,456,979 
Operating lease liabilities               (1,427,398)    (1,043,556) 
Income tax payable                          (417,260)       (63,853) 
                                        -------------   ------------ 
Net cash used in operating 
 activities                               (8,455,798)   (18,302,306) 
                                        -------------   ------------ 
 
Cash flows from investing 
activities: 
Purchase of property, plant and 
 equipment                                (1,020,768)    (1,969,961) 
Acquisition of intangible assets                   --    (1,173,302) 
Purchase of short term investment         (9,133,707)             -- 
Maturity of short term investment                  --      9,133,707 
Acquisition of other investment                          (2,000,000) 
Acquisition of equity method 
 investment                                        --    (1,000,000) 
                                        -------------   ------------ 
Net cash (used in) provided by 
 investing activities                    (10,154,475)      2,990,444 
                                        -------------   ------------ 
 
Cash flows from financing 
activities: 
Net proceeds from initial public 
offering                                   21,735,000             -- 
Payment of initial public 
offering costs                            (3,475,172)             -- 
Proceeds from equity offerings              7,969,221     12,300,000 
Issuance costs of equity offerings          (543,153)    (1,514,094) 
Payment made for dividends                (3,362,639)             -- 
Repayments of advances from a 
 related party                           (37,893,062)      (703,323) 
                                        -------------   ------------ 
Net cash (used in) provided by 
 financing activities                    (15,569,805)     10,082,583 
                                        -------------   ------------ 
 
Net decrease in cash                     (34,180,078)    (5,229,279) 
Cash -- beginning of period                74,480,651     40,300,573 
                                        -------------   ------------ 
Cash -- end of period                $     40,300,573  $  35,071,294 
                                        =============   ============ 
Supplemental non-cash investing 
and financing activities 
Leased assets obtained in exchange 
 for operating lease liabilities     $      4,988,032  $     537,307 
Unpaid equity method investment in 
 accrued liabilities and other 
 payables                            $             --  $   9,000,000 
Warrants issued in connection with 
 equity method investment            $             --  $     365,954 
Unpaid intangible assets in 
 accrued liabilities and other 
 payables                            $             --  $     232,382 
Supplemental disclosures 
Cash paid for income taxes           $      1,663,240  $   1,355,110 
Cash paid for interest               $            587  $      15,229 
 

For more information, kindly contact:

IR Contacts:

Investor Relations

Sherry Zheng

718-213-7386

ir@ispiretechnology.com

KCSA Strategic Communications

Phil Carlson

212-896-1233

ispire@kcsa.com

PR Contact:

Ellen Mellody

570-209-2947

EMellody@kcsa.com

View original content:https://www.prnewswire.com/news-releases/ispire-technology-inc-reports-financial-results-for-the-fiscal-year-2024-302259490.html

SOURCE Ispire Technology Inc.

(END) Dow Jones Newswires

September 26, 2024 06:30 ET (10:30 GMT)