Exhibit 99.1

 

FST Corp.

CONSOLIDATED BALANCE SHEETS

(In U.S. dollars, except for share and per share data, or otherwise noted)

 

   As of
March 31,
2026
   As of
December 31,
2025
 
   (Unaudited)     
ASSETS        
Current assets        
Cash and cash equivalents   7,367,184    7,179,800 
Restricted cash   155,494    158,865 
Accounts and notes receivable, net   8,200,864    6,979,725 
Prepaid tax   
-
    93,589 
Inventories, net   12,530,100    11,812,740 
Amounts due from a related party   54,648    73,820 
Prepaid expenses and other current assets   1,829,861    1,188,451 
Total current Assets   30,138,151    27,486,990 
           
Non-current assets          
Property, plant and equipment, net   18,473,716    19,044,954 
Intangible assets, net   4,734,760    4,832,114 
Long-term investments   608,909    551,628 
Right-of-use assets   5,177,027    5,761,176 
Deferred tax assets, net   1,675,779    1,692,802 
Prepayment and other non-current assets   1,531,189    1,551,893 
Total non-current assets   32,201,380    33,434,567 
           
Total assets   62,339,531    60,921,557 
           
LIABILITIES          
Current liabilities          
Short-term bank borrowings   19,488,713    18,199,806 
Accounts payables   4,280,149    3,032,860 
Operating lease liabilities, current   1,959,730    2,328,227 
Amounts due to related parties   165,245    137,548 
Current tax liabilities   792,029    367,902 
Accrued expenses and other current liabilities   4,815,986    6,355,964 
Total current Liabilities   31,501,852    30,422,307 
           
Non-current liabilities          
Long-term bank borrowings   10,046,871    10,963,881 
Operating lease liabilities, non-current   3,751,842    3,974,560 
OET derivative liability   5,310    5,310 
Warrant liabilities   4,311    4,311 
Total non-current liabilities   13,808,334    14,948,062 
           
Total Liabilities   45,310,186    45,370,369 
           
SHAREHOLDERS’ EQUITY          
Ordinary share (par value of US$0.0001 per share; 500,000,000 shares authorized; 44,766,003 shares issued and outstanding)   4,477    4,477 
Additional paid in capital   15,468,090    15,396,434 
Retained earnings   3,423,455    1,566,364 
Accumulated other comprehensive loss   (1,987,868)   (1,537,922)
Total FST Corp. shareholder’s equity   16,908,154    15,429,353 
Non-controlling interests   121,191    121,835 
Total shareholder’s equity   17,029,345    15,551,188 
Total liabilities and shareholders’ equity   62,339,531    60,921,557 

 

F-1

 

 

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS

(In U.S. dollars, except for share and per share data, or otherwise noted)

 

   For the three Months Ended
March 31
 
   2026   2025 
Revenue   14,646,354    10,756,162 
Cost of sales   7,089,883    5,800,416 
Gross profit   7,556,471    4,955,746 
           
COSTS AND OPERATING EXPENSES:          
Selling expenses   2,867,913    2,917,262 
General and administrative expenses   2,116,984    2,525,563 
Research and development expenses   393,372    352,680 
Total costs and operating expenses   5,378,269    5,795,505 
           
GAIN (LOSS) FROM OPERATIONS   2,178,202    (839,759)
           
OTHER INCOME (EXPENSE)          
Interest expense, net   (226,416)   (193,884)
Foreign exchange gain   394,072    294,349 
Other income, net   39,100    32,083 
Unrealized loss on change in fair value of OET derivative liability   
-
    (1,884,824)
Total other income (loss), net   206,756    (1,752,276)
           
PROFIT (LOSS) BEFORE INCOME TAX EXPENSES   2,384,958    (2,592,035)
INCOME TAX EXPENSES   507,390    205,983 
NET INCOME (LOSS)   1,877,568    (2,798,018)
Less: net income(loss) attributable to non-controlling interests   12,392    (18,467)
Net income (loss) attributable to FST Corp.’s shareholders   1,865,176    (2,779,551)
           
OTHER COMPREHENSIVE LOSS          
Foreign currency translation adjustment   (71,258)   (3,408)
TOTAL COMPREHENSIVE INCOME (LOSS )   1,806,310    (2,801,426)
           
Less: total comprehensive income (loss) attributable to non-controlling interests   11,922    (18,489)
Comprehensive income (loss) attributable to FST Corp.’s shareholders   1,794,388    (2,782,937)
           
Weighted average number of shares outstanding, basic and diluted   44,766,003    44,477,649 
Earnings per share, basic and diluted   0.04    (0.06)

 

F-2

 

 

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(In U.S. dollars)

 

   For the three Months Ended
March 31
 
   2026   2025 
CASH FLOWS FROM OPERATING ACTIVITIES:          
Net cash provided by operating activities   (400,397)   (1,078,635)
           
CASH FLOWS FROM INVESTING ACTIVITIES:          
Purchase of property, plant and equipment   (233,149)   (80,979)
Purchase of intangible assets   
-
    (21,311)
Net cash used in investing activities   (233,149)   (102,290)
           
CASH FLOWS FROM FINANCING ACTIVITIES:          
Proceeds from bank borrowings   12,176,853    13,100,496 
Repayments of bank borrowings   (11,173,047)   (11,060,842)
Net cash used in financing activities   1,003,806    2,039,654 
           
Effect of foreign exchange rate on cash, cash equivalents and restricted cash   (186,247)   (296,168)
Net increase in cash and cash equivalents   184,013    562,561 
Cash, cash equivalents and restricted cash at the beginning of period   7,338,665    5,302,199 
Cash, cash equivalents and restricted cash at the end of period   7,522,678    5,864,760 
           
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:          
Interest expenses paid   169,619    141,815 
Income taxes paid   219    1,826 
Right of use assets obtained in exchange for operating lease obligations   153,963    67,358 

 

F-3

 

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