| Condensed financial information of the Company |
| 23. | Condensed
financial information of the Company |
The
following is the condensed financial information of the Company on a parent company only basis.
Condensed
balance sheets
Summary
of condensed balance sheet
| | |
2025 | | |
2024 | |
| | |
As of March 31, | |
| | |
2025 | | |
2024 | |
| ASSETS | |
| | | |
| | |
| Current assets: | |
| | | |
| | |
| Cash and cash equivalents | |
$ | 207,511 | | |
$ | 231,694 | |
| Deferred expenses | |
| 52,500 | | |
| 49,125 | |
| Prepayment and other current assets | |
| — | | |
| 70,000 | |
| Amounts due from subsidiaries and VIE | |
| 3,701,752 | | |
| 3,791,734 | |
| Amounts due from related parties | |
| 93,686 | | |
| — | |
| Investment in subsidiaries and VIE | |
| 10,595,038 | | |
| 17,358,111 | |
| TOTAL ASSETS | |
$ | 14,650,487 | | |
$ | 21,500,664 | |
| LIABILITIES | |
| | | |
| | |
| Current liabilities: | |
| | | |
| | |
| Amounts due to related parties | |
| 7,107 | | |
| 2,107 | |
| Amounts due to subsidiaries and VIE | |
| — | | |
| — | |
| Other payables | |
| — | | |
| — | |
| Accrued expenses and liabilities | |
| 297,405 | | |
| — | |
| Bond payable-current | |
| 600,000 | | |
| — | |
| TOTAL LIABILITIES | |
$ | 904,512 | | |
$ | 2,107 | |
| | |
| | | |
| | |
| SHAREHOLDERS’ EQUITY: | |
| | | |
| | |
| Ordinary shares, par value $0.0002 per share, 500,000,000 shares authorized; 15,929,451 and 15,449,451 shares issued and outstanding as of March 31, 2025 and 2024, respectively | |
| 3,186 | | |
| 3,090 | |
| Additional paid-in capital | |
| 17,872,227 | | |
| 19,055,297 | |
| Statutory reserve | |
| 40,590 | | |
| 745,590 | |
| (Accumulated Deficit)/Retained earnings | |
| (4,232,288 | ) | |
| 3,389,754 | |
| Accumulated other comprehensive income/(loss) | |
| 62,260 | | |
| (1,695,174 | ) |
| TOTAL SHAREHOLDERS’ EQUITY | |
$ | 13,745,975 | | |
$ | 21,498,557 | |
| TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY | |
$ | 14,650,487 | | |
$ | 21,500,664 | |
Condensed
statements of income
Summary of condensed
statements of income
| | |
2025 | | |
2024 | | |
2023 | |
| | |
For the years ended March 31, | |
| | |
2025 | | |
2024 | | |
2023 | |
| General and administrative expenses | |
$ | (1,413,467 | ) | |
$ | (825,582 | ) | |
$ | (2,226,956 | ) |
| Investment loss, net | |
| — | | |
| — | | |
| — | |
| Share of profit in subsidiaries and VIE | |
| (6,155,143 | ) | |
| (4,629,554 | ) | |
| (18,678,368 | ) |
| Others, net | |
| (12,842 | ) | |
| 732,990 | | |
| (1,661 | ) |
| Provision for income tax | |
| — | | |
| — | | |
| — | |
| Net loss | |
$ | (7,581,452 | ) | |
$ | (4,722,146 | ) | |
$ | (20,906,985 | ) |
SKILLFUL CRAFTSMAN EDUCATION
TECHNOLOGY LIMITED.
NOTES TO THE CONSOLIDATED
FINANCIAL STATEMENTS
Condensed
cash flow
Summary of condensed
cash flow
| | |
2025 | | |
2024 | | |
2023 | |
| | |
For the year ended March 31, | |
| | |
2025 | | |
2024 | | |
2023 | |
| Net cash used in operating activities | |
$ | (624,183 | ) | |
$ | (966,510 | ) | |
$ | (1,779,420 | ) |
| Net cash used in investing activities | |
| — | | |
| — | | |
| (645,000 | ) |
| Net cash provided by financing activities | |
| 600,000 | | |
| — | | |
| 1,000,000 | |
| Net increase/(decrease) in cash and cash equivalent | |
$ | (24,183 | ) | |
$ | (966,510 | ) | |
$ | (1,424,420 | ) |
Condensed
statements of comprehensive income
Summary of condensed
statements of comprehensive income
| | |
2025 | | |
2024 | | |
2023 | |
| | |
For the years ended March 31, | |
| | |
2025 | | |
2024 | | |
2023 | |
| Net loss | |
$ | (7,581,452 | ) | |
$ | (4,722,146 | ) | |
$ | (20,906,985 | ) |
| Other comprehensive income | |
| 107,698 | | |
| (733,539 | ) | |
| (3,402,058 | ) |
| Comprehensive income | |
$ | (7,473,754 | ) | |
$ | (5,455,685 | ) | |
$ | (24,309,043 | ) |
Basis
of presentation
Condensed
financial information is used for the presentation of the Company, or the parent company. The condensed financial information of the
parent company has been prepared using the same accounting policies as set out in the Company’s consolidated financial statements
except that the parent company used the equity method to account for investment in its subsidiaries and VIEs.
The
parent company records its investment in its subsidiaries and VIE under the equity method of accounting as prescribed in ASC 323, Investments-Equity
Method and Joint Ventures. Such investments are presented on the condensed balance sheets as “Investment in subsidiaries and VIE”
and their respective profit or loss as “Share of profit in subsidiaries and VIE” on the condensed statements of income. Equity
method accounting ceases when the carrying amount of the investment, including any additional financial support, in subsidiaries and
VIE is reduced to zero unless the parent company has guaranteed obligations of the subsidiary and VIE or is otherwise committed to provide
further financial support. If the subsidiaries and VIE subsequently report net income, the parent company shall resume applying the equity
method only after its share of that net income equals the share of net losses not recognized during the period the equity method was
suspended.
The
parent company’s condensed financial statements should be read in conjunction with the Company’s consolidated financial statement.
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