| LONG-TERM INVESTMENTS |
The Company’s long-term investments consisted
of the following:
| | |
As of
December 31,
2025 | | |
As of
December 31,
2024 | |
| Equity investments accounted for using the equity method | |
$ | 8,873 | | |
$ | 1,900 | |
For the years ended December 31, 2025, 2024 and
2023, the Company has the following equity investments which were accounted for using the equity method:
Movement of equity method investment
| | |
Years Ended December 31, | |
| | |
2025 | | |
2024 | | |
2023 | |
| Beginning balance | |
$ | 1,900 | | |
$ | 1,913 | | |
$ | 2,040 | |
| Addition | |
| 6,860 | | |
| - | | |
| - | |
| Share of income in equity method investees | |
| (41 | ) | |
| 15 | | |
| 19 | |
| Dividend received | |
| - | | |
| - | | |
| (114 | ) |
| Foreign currency translation adjustment | |
| 154 | | |
| (28 | ) | |
| (32 | ) |
| Ending balance | |
$ | 8,873 | | |
$ | 1,900 | | |
$ | 1,913 | |
| (a) | In 2007, the Company acquired 40% of the equity interests of
Fujian Bafang Shengfeng Logistics Co., Ltd (“Fujian Bafang”) with a cash consideration of approximately $1.7 million (RMB12 million).
As the Company is able to exercise significant influence over Fujian Bafang after such acquisition, the Company therefore accounted for
this investment under the equity method of accounting. |
| (b) | On June 19, 2024, Shengfeng Supply Chain Management Co., Ltd. completed
the transaction to sell 49% equity interest of Pingtan SF and Pingtan SF’s subsidiary (SF Smart) to a third party for a consideration
of approximately $7.0 million (RMB49.0 million). On July 25, 2025, Shengfeng Supply Chain Management Co., Ltd. and the third party signed
an annulment agreement, pursuant to which, the above equity transaction was annulled. As a result, Shengfeng Supply Chain Management Co.,
Ltd. refunded above-mentioned consideration to this third party and the third party transferred the 49% equity interest of Pingtan SF
back to Shengfeng Supply Chain Management Co., Ltd. (See Note 4). As the Company is able to exercise significant influence over Pingtan
SF after this transaction, the Company therefore accounted for this investment under the equity method of accounting. |
No impairment loss was recognized for the long-term
investments for the years ended December 31, 2025, 2024 and 2023.
|