v3.26.1
Unaudited Condensed Consolidated Statements of Cash Flows - USD ($)
 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
CASH FLOWS FROM OPERATING ACTIVITIES:    
Net loss $ (5,997,578) $ (6,825,461)
Adjustments to reconcile net loss to net cash used in operating activities:    
Depreciation expense 97,393 119,580
Allowance for credit losses 306,091 60,988
Amortization of operating right-of-use asset 245,412 264,187
Amortization of debt issuance cost 360,432 140,170
Loss on loan extinguishment 50,062 15,131
Gain on disposal of fixed assets (28,320)
Stock compensation expenses 230,039 1,215,880
Non cash finance expense 200,000 1,000,000
Change in fair value of commitment shares to be issued 2,280
Change in operating assets and liabilities:    
Accounts receivable 760,356 (2,746,275)
Inventories 1,139,166 1,712,545
Prepayments and other current assets 36,740 (253,705)
Prepayments - related parties (11,662)
Security deposit 371,913 20,000
Accounts payable (1,152,227) 1,272,250
Other payables and accrued liabilities 1,887,514 569,915
Accrued interest payable - related parties 48,155 52,520
Operating lease liabilities (256,148) (174,886)
Tax accrual (22,739) 128,791
Deferred income - Contract liabilities (72,361) 257,653
Net cash used in operating activities (1,805,482) (3,170,717)
CASH FLOWS FROM INVESTING ACTIVITIES:    
Loan to Lakeshore (40,000)
Deposit from investment of Future Tech (721,000)
Deposit from licensing fee of Datavault AI (200,000)
Proceeds from disposal of property and equipment 25,959
Proceeds from asset acquisition 31,682  
Net cash used in investing activities (863,359) (40,000)
CASH FLOWS FROM FINANCING ACTIVITIES:    
Proceeds from the reverse recapitalization 1,120,177
Payments of transaction costs incurred by Lakeshore (1,044,980)
Repayments of promissory note - related party of Lakeshore (75,000)
Proceeds from issuance of Series A and D preferred stock 738,000
Proceeds from exercise of warrants 865,423
Shares and warrants issued through public offering 1,004,000
Payments of deferred offering costs (266,925)
Proceeds from shares issued under equity line of credit 145,809
Repayments on long-term loan (156,372) (197,743)
Short-term loan borrowing from third parties 447,555 2,977,470
Repayments on short-term loan from third parties (819,319) (1,075,371)
Repayments on short-term loan from related parties (220,755) (50,000)
Convertible notes borrowing 1,993,300 797,500
Repayments on convertible notes (684,421) (198,170)
Borrowings from other payables - related parties 63,307 38,184
Payments on other payables - related parties (62,682)
Net cash provided by financing activities 2,309,845 3,029,142
EFFECT OF FOREIGN EXCHANGE ON CASH 315 (71)
CHANGES IN CASH (358,681) (181,646)
CASH AND CASH EQUIVALENTS, beginning of period 420,131 221,760
CASH AND CASH EQUIVALENTS, end of period 61,450 40,114
SUPPLEMENTAL CASH FLOW INFORMATION:    
Cash paid for income tax 1,700 3,315
Cash paid for interest 370,535 1,006,605
SUPPLEMENTAL DISCLOSURE OF NON-CASH TRANSACTIONS:    
Right of use assets acquired under new operating leases 124,372 398,788
Reduction of right-of-use asset and operating lease liabilities based on modification 54,800
Accumulated deficit acquired upon the reverse recapitalization 1,603,020
Deferred offering cost converted to APIC upon the reverse recapitalization 1,100,857
Conversion of convertible notes into shares 257,462
Forgiveness of related party’s debt 2,135,573
Asset acquisition via preferred stock issuance 9,415,634
Asset acquisition via convertible note issuance $ 3,000,000