| RELATED PARTY TRANSACTIONS |
Note 11
— RELATED PARTY TRANSACTIONS
The
Group records transactions with various related parties. These related parties’ balances as of December 31, 2025 and June 30,
2025 and transactions for the six months ended December 31, 2025 and 2024 are identified as follows:
(1) Related
parties with transactions and related party relationships
| Name of Related Party | | Relationship to the Group | | Mr. Shoucheng Lei | | A shareholder of the Group | | Ocean Master Worldwide Corporation | | Controlled by Mr. Shoucheng Lei, Ms. Luan Chen and Mr. Jun Li, shareholders of the Group | | Rui Da Shipping Co. Limited | | Controlled by Ocean Master Worldwide Corporation | | Topsheen Shipping Limited | | Related to Mr. Dong Zhang | | Topsheen Shipping Singapore Pte. Ltd. | | Related to Mr. Dong Zhang | | Topsheen bulk Singapore Pte. Ltd. | | Related to Mr. Dong Zhang | | Xun Da Shipping Co. Limited | | Controlled by Ocean Master Worldwide Corporation | | Topsheen Shipping Group Limited | | Controlled by Mr. Shoucheng Lei | | Nanjing Top Confidence Marine Management Co., Ltd | | Controlled by Mr. Shoucheng Lei | | Mei Da Shipping Co. Limited | | Controlled by Ocean Master Worldwide Corporation | | Tong Da Shipping Co. Limited | | Controlled by Ocean Master Worldwide Corporation | | Keen Best Shipping Co Limited | | Controlled by Ocean Master Worldwide Corporation | | Mr. Dong Zhang | | Family member of Mr. Jun Li | | Mr. Qing Xu | | Family member of Ms. Luan Chen | | Top Corporation Shipping Limited | | Controlled by Ocean Master Worldwide Corporation | (2) Accounts
receivable-related parties
| | |
As
of December
31, 2025 | | |
As
of
June 30,
2025 | |
| Topsheen Shipping
Singapore Pte. Ltd. (1) | |
$ | — | | |
$ | 616,279 | |
| Tong Da Shipping Co. Limited(2) | |
| — | | |
| 143,277 | |
| Mei Da Shipping Co. Limited(2) | |
| — | | |
| 159,638 | |
| Keen
Best Shipping Co Limited(2) | |
| 5,000 | | |
| 99,121 | |
| Total | |
$ | 5,000 | | |
$ | 1,018,315 | |
| (1) | The balance mainly represented consideration for time charter accounts receivable from Topsheen Shipping Singapore Pte. Ltd, which was collected in current period. |
| (2) | The balance represents the accrued management fees from related parties for vessel management services, which was partially collected in current period. |
(3)
Contract liabilities-related party
| | |
As
of December
31, 2025 | | |
As
of
June 30,
2025 | |
| Topsheen Shipping
Singapore Pte. Ltd.(1) | |
$ | 497,360 | | |
$ | 433,125 | |
| (1) | The balance represents the advance charter hire payments from Topsheen Shipping Singapore Pte. Ltd. |
(4) Due
from related parties
As
of December 31, 2025 and June 30, 2025, the balances due to related parties were as follows:
| | |
As
of December
31, 2025 | | |
As
of
June 30,
2025 | |
| Topsheen Shipping
Singapore Pte. Ltd(1) | |
$ | 412,873 | | |
$ | 331,948 | |
| (1) | The balance represents the outstanding bunker receivable from Topsheen Shipping Singapore Pte. Ltd for time charter service provided by the Group. |
(5) Due
to related parties
As
of December 31, 2025 and June 30, 2025, the balances due to related parties were as follows:
| |
|
As
of
December
31,
2025 |
|
|
As
of
June 30,
2025 |
|
| Topsheen Shipping Group Limited(1) |
|
$ |
5,417 |
|
|
$ |
36,584 |
|
| Nanjing Top Confidence Marine Management Co., Ltd(1) |
|
|
8,710 |
|
|
|
14,381 |
|
| Due to shareholder and affiliate(2) |
|
|
21,476,946 |
|
|
|
24,490,720 |
|
| Ocean Master Worldwide Corporation |
|
|
11,546 |
|
|
|
11,546 |
|
| Total |
|
$ |
21,502,619 |
|
|
$ |
24,553,231 |
|
| (1) | The balances mainly represented the expenses paid on behalf of the Group. |
| (2) | The balances mainly represented non-interest-bearing loans from Mr. Shoucheng Lei and due on demand. During the six months end December 31, 2025, the Group repaid $3,000,000 of these loans to Mr. Shoucheng Lei. |
(6) Services
provided to related parties
| | |
For
the
Six Months
ended
December 31,
2025 | | |
For
the
Six Months
ended
December 31,
2024 | |
| Topsheen
Shipping Singapore Pte. Ltd. (Time charter & Vessel management services revenue) | |
$ | 9,250,107 | | |
$ | 9,430,014 | |
| Mei
Da Shipping Co. Limited (Vessel management services revenue) | |
| 699,582 | | |
| 690,649 | |
| Tong
Da Shipping Co. Limited (Vessel management services revenue) | |
| 707,132 | | |
| 721,736 | |
| Topsheen
Bulk Singapore Pte Ltd (Time charter revenue) | |
| — | | |
| 617,624 | |
| Keen
Best Shipping Co Limited (Vessel management services revenue) | |
| 485,796 | | |
| 497,079 | |
| Total | |
$ | 11,142,617 | | |
$ | 11,957,102 | |
For
the six months ended December 31, 2025 and 2024, the Group provided time charter service and vessel management services to the related
parties. These numbers have been included in the revenue of the unaudited condensed consolidated statements of income.
(7) Financing
lease from a related party
For
the six months ended December 31, 2025 and 2024, the Group has financing leases from a related party. (see Note 8)
(8) Short-term
office lease expense from a related party
| | |
For
the Six
Months ended December
31, 2025 | | |
For
the Six
Months ended December
31, 2024 | |
| Mr. Jun Li’s
affiliate | |
$ | - | | |
$ | 13,795 | |
These
numbers have been included in the General and administrative expenses of the unaudited condensed consolidated statements of income.
(9) General
and administrative expenses shared with a related party
| | |
For
the six
months ended December
31, 2025 | | |
For
the six
months ended December
31, 2024 | |
| Topsheen Shipping
Group Co., Ltd | |
$ | 57,508 | | |
$ | 55,997 | |
(10) Guarantee
by a related party
As
of December 31, 2025 and June 30, 2025, long-term loan totaling $2,101,891 and $2,908,945, respectively, was guaranteed by Topsheen Shipping
Singapore Pte. Ltd., shareholders and affiliates. (see Note 9).
|