| CONDENSED FINANCIAL INFORMATION OF THE PARENT COMPANY |
NOTE
17 — CONDENSED FINANCIAL INFORMATION OF THE PARENT COMPANY
The
Company performed a test on the restricted net assets of consolidated subsidiary in accordance with Securities and Exchange Commission
Regulation S-X Rule 4-08 (e) (3), “General Notes to Financial Statements” and concluded that it was applicable for the Company
to disclose the financial statements for the parent company. The amounts restricted include paid-in capital, capital surplus and statutory
reserves, after intercompany eliminations, as determined pursuant to PRC generally accepted accounting principles, totaling RMB72.4 million
as of March 31, 2025 and September 30, 2025.
The
subsidiaries did not pay any dividend to the parent for the periods presented. For the purpose of presenting parent only financial information,
the Company records investment in its subsidiary under the equity method of accounting. Such investment is presented on the separate
condensed balance sheets of the Company as “Investment in subsidiary” and the income of the subsidiary is presented as “Income/Loss
from equity method investments.” Certain information and footnote disclosures generally included in financial statements prepared
in accordance with U.S. GAAP have been condensed and omitted.
BALANCE
SHEETS
SCHEDULE OF BALANCE SHEET
| | |
As
of
March 31, | | |
As
of
September 30, | |
| | |
2025 | | |
2025 | |
| | |
RMB | | |
RMB | |
| ASSETS | |
| | | |
| | |
| Current assets | |
| | | |
| | |
| Cash and Cash equivalents | |
| 2 | | |
| - | |
| Prepaid expenses and other current assets | |
| 26,516 | | |
| 26,012 | |
| Inter-company receivable | |
| 466,289 | | |
| 446,439 | |
| Non-current assets | |
| | | |
| | |
| Investment in subsidiary | |
| (563,937 | ) | |
| (377,906 | ) |
| Total assets | |
| (71,130 | ) | |
| 94,545 | |
| | |
| | | |
| | |
| LIABILITIES AND SHAREHOLDERS’
EQUITY | |
| | | |
| | |
| Current liabilities | |
| | | |
| | |
| Inter-company payable | |
| (324 | ) | |
| 42 | |
| Due to related parties | |
| 22,906 | | |
| 23,880 | |
| Other payables and
accrued liabilities | |
| 38,951 | | |
| 25,705 | |
| Total liabilities | |
| 61,533 | | |
| 49,627 | |
| | |
| | | |
| | |
| Shareholders’ equity | |
| | | |
| | |
| Class A ordinary shares, par value US$0.5;
Authorized: 900,000,000
shares; Issued and outstanding: 7,208
shares as of March 31, 2025 and 210,970
shares as of September 30, 2025* | |
| 26 | | |
| 719 | |
| Class B ordinary shares, par value US$0.001; Authorized: 100,000,000 shares; nil
shares issued and outstanding as of March 31, 2025 and September 30, 2025 | |
| - | | |
| - | |
| Ordinary shares | |
| - | | |
| - | |
| Additional paid-in capital | |
| 732,909 | | |
| 1,070,667 | |
| Subscription Receivables | |
| - | | |
| (160,476 | ) |
| Accumulated deficit | |
| (878,915 | ) | |
| (869,561 | ) |
| Accumulated other comprehensive
income | |
| 13,317 | | |
| 3,569 | |
| Total shareholder’s
equity | |
| (132,663 | ) | |
| 44,918 | |
| Total liabilities
and shareholders’ equity | |
| (71,130 | ) | |
| 94,545 | |
| * |
On
March 31, 2025, the Company effected a 1-for-10
reverse share split of its ordinary shares; on November 11, 2025, the Company completed a 100-for-1
share consolidation of its Class A ordinary shares; and on January 26, 2026, the Company effected a 1-for-5
reverse share split of its Class A ordinary shares. All share and per share information presented in the accompanying condensed
consolidated financial statements have been retrospectively adjusted to reflect these share consolidation events. |
UTIME
LIMITED
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
(Amounts in thousands, except share data and per share data, or otherwise noted)
NOTE
17 — CONDENSED FINANCIAL INFORMATION OF THE PARENT COMPANY (cont.)
STATEMENTS
OF COMPREHENSIVE (LOSS)/INCOME
SCHEDULE OF COMPREHENSIVE (LOSS)/INCOME
| | |
2024 | | |
2025 | |
| | |
Six
months ended September 30, | |
| | |
2024 | | |
2025 | |
| | |
RMB | | |
RMB | |
| | |
| | |
| |
| Loss from equity method investments | |
| (15,582 | ) | |
| 9,357 | |
| Operating expenses | |
| (111,735 | ) | |
| (3 | ) |
| Net (loss)/income | |
| (127,317 | ) | |
| 9,354 | |
| Foreign currency translation
difference | |
| 1,231 | | |
| (9,748 | ) |
| Comprehensive (loss)/income | |
| (126,086 | ) | |
| (394 | ) |
STATEMENTS
OF CASH FLOWS
SCHEDULE OF CASH FLOWS
| | |
2024 | | |
2025 | |
| | |
Six
months ended September 30, | |
| | |
2024 | | |
2025 | |
| | |
RMB | | |
RMB | |
| | |
| | |
| |
| CASH FLOW FROM OPERATING ACTIVITIES | |
| | | |
| | |
| Net (loss)/income | |
| (127,317 | ) | |
| 9,354 | |
| Adjustments to reconcile net income to net
cash provided by operating activities: | |
| | | |
| | |
| Equity loss of subsidiaries | |
| 15,582 | | |
| (9,357 | ) |
| Share-based compensation and expenses | |
| 107,975 | | |
| - | |
| Prepaid expenses and other current assets | |
| 283 | | |
| 503 | |
| Inter-company payable (net of inter-company
receivable) | |
| (33,090 | ) | |
| 8,635 | |
| Related parties | |
| (258 | ) | |
| 973 | |
| Other payables and
accrued liabilities | |
| 2,986 | | |
| (1,664 | ) |
| Net cash (used in)/provided by operating activities | |
| (33,839 | ) | |
| 8,444 | |
| Loan received/(paid) from a shareholder | |
| (2,479 | ) | |
| - | |
| Proceeds from issuance of ordinary shares | |
| 35,088 | | |
| - | |
| Effect of exchange
rate changes on cash and cash equivalent and restricted cash | |
| 1,233 | | |
| (8,446 | ) |
| Net change in cash and cash equivalent | |
| 3 | | |
| (2 | ) |
| Cash and cash equivalents,
beginning of year | |
| 1 | | |
| 2 | |
| Cash and cash equivalents,
end of year | |
| 4 | | |
| - | |
The
Company did not have significant capital and other commitments, long-term obligations, or guarantees as of March 31, 2025 and September
30, 2025, respectively.
UTIME
LIMITED
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
(Amounts in thousands, except share data and per share data, or otherwise noted)
|