| Schedule of Balance Sheets and the Results of Operations of the Company Classified as Discontinued Operations |
The following tables present the balance sheets
and the results of operations of the Company classified as discontinued operations for the periods presented:
| | |
As of December 31, 2025 | | |
As of December 31, 2024 | |
| | |
US$ | | |
US$ | |
| ASSETS | |
| | |
| |
| CURRENT ASSETS: | |
| | |
| |
| Cash and cash equivalents | |
$ | - | | |
$ | 28,145 | |
| Accounts receivable, net | |
| - | | |
| 19,498,525 | |
| Other receivables - related parties | |
| - | | |
| 1,204,797 | |
| Other receivables, net | |
| - | | |
| 3,857,418 | |
| Prepayments | |
| - | | |
| 8,650,189 | |
| Inventories, net | |
| - | | |
| 1,427,716 | |
| TOTAL CURRENT ASSETS | |
| - | | |
| 34,666,790 | |
| | |
| | | |
| | |
| Plant and equipment, net | |
| - | | |
| 8,904,131 | |
| Right-of-use asset, net | |
| - | | |
| 13,826 | |
| Deferred tax assets | |
| - | | |
| 187,392 | |
| Land-use rights, net | |
| - | | |
| 2,068,275 | |
| Intangible assets, net | |
| - | | |
| 11,849 | |
| TOTAL NON-CURRENT ASSETS | |
| - | | |
| 11,185,473 | |
| TOTAL ASSETS | |
$ | - | | |
$ | 45,852,263 | |
| | |
| | | |
| | |
| CURRENT LIABILITIES: | |
| | | |
| | |
| Short-term bank loans | |
$ | - | | |
$ | 8,624,210 | |
| Accounts payable | |
| - | | |
| 2,680,301 | |
| Accrued liabilities and other payables | |
| - | | |
| 929,387 | |
| Deposit received | |
| - | | |
| 29,275 | |
| Taxes payable | |
| - | | |
| 842,332 | |
| Other payables - related parties | |
| - | | |
| 101,380 | |
| Lease liability | |
| - | | |
| 14,770 | |
| TOTAL CURRENT LIABILITIES | |
| - | | |
| 13,221,655 | |
| | |
| | | |
| | |
| Long-term bank loan | |
| - | | |
| 2,920,942 | |
| Long-term account payable | |
| - | | |
| 1,654,129 | |
| TOTAL NON-CURRENT LIABILITIES | |
| - | | |
| 4,575,071 | |
| TOTAL LIABILITIES | |
| - | | |
| 17,796,726 | |
| | |
| | | |
| | |
| SHAREHOLDERS’ EQUITY | |
| | | |
| | |
| Additional paid-in capital | |
| - | | |
| 3,862,919 | |
| Retained earnings | |
| - | | |
| 16,952,112 | |
| Accumulated other comprehensive loss | |
| - | | |
| (4,792,129 | ) |
| TOTAL HUACHEN CAYMAN SHAREHOLDERS’ EQUITY | |
| - | | |
| 16,022,902 | |
| Non-controlling interest | |
| - | | |
| 12,032,635 | |
| TOTAL SHAREHOLDERS’ EQUITY | |
| - | | |
| 28,055,537 | |
| | |
| | | |
| | |
| TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY | |
$ | - | | |
$ | 45,852,263 | |
| | |
For the Years Ended December 31, | |
| | |
2025 | | |
2024 | | |
2023 | |
| REVENUE | |
| | |
| | |
| |
| Revenue | |
$ | 8,319,958 | | |
$ | 40,944,770 | | |
| 34,279,022 | |
| | |
| | | |
| | | |
| | |
| Total revenue | |
| 8,319,958 | | |
| 40,944,770 | | |
| 34,279,022 | |
| | |
| | | |
| | | |
| | |
| COST OF REVENUE AND RELATED TAX | |
| 5,606,134 | | |
| 35,226,302 | | |
| 28,072,748 | |
| | |
| | | |
| | | |
| | |
| GROSS PROFIT | |
| 2,713,824 | | |
| 5,718,468 | | |
| 6,206,274 | |
| | |
| | | |
| | | |
| | |
| OPERATING EXPENSES | |
| | | |
| | | |
| | |
| Selling and marketing expenses | |
| 489 | | |
| 172,677 | | |
| 159,303 | |
| General and administrative expenses | |
| 1,278,226 | | |
| 2,830,090 | | |
| 2,991,355 | |
| Research and development expenses | |
| 43,860 | | |
| 378,793 | | |
| 457,523 | |
| Total operating expenses | |
| 1,322,575 | | |
| 3,381,560 | | |
| 3,608,181 | |
| | |
| | | |
| | | |
| | |
| INCOME FROM OPERATIONS | |
| 1,391,249 | | |
| 2,336,908 | | |
| 2,598,093 | |
| | |
| | | |
| | | |
| | |
| OTHER INCOME (EXPENSE) | |
| | | |
| | | |
| | |
| | |
| | | |
| | | |
| | |
| Interest expense, net | |
| (22,494 | ) | |
| (608,851 | ) | |
| (815,657 | ) |
| Other income, net | |
| 56,376 | | |
| 183,866 | | |
| 234,884 | |
| Total other income(expense), net | |
| 33,882 | | |
| (424,985 | ) | |
| (580,773 | ) |
| INCOME BEFORE INCOME TAX PROVISION | |
| 1,425,131 | | |
| 1,911,923 | | |
| 2,017,320 | |
| | |
| | | |
| | | |
| | |
| INCOME TAXE EXPENSE | |
| 6 | | |
| 322,414 | | |
| 1,220 | |
| | |
| | | |
| | | |
| | |
| INCOME FROM DISCONTINUED OPERATIONS | |
| 1,425,125 | | |
| 1,589,509 | | |
| 2,016,100 | |
| | |
| | | |
| | | |
| | |
| Net income attributable to the noncontrolling interest | |
| 331,626 | | |
| 15,880 | | |
| 195,140 | |
| | |
| | | |
| | | |
| | |
| Net income attributable to common shareholders | |
| 1,093,499 | | |
| 1,573,629 | | |
| 1,820,960 | |
| OTHER COMPREHENSIVE INCOME | |
| | | |
| | | |
| | |
| Foreign currency translation loss | |
| (4,792,129 | ) | |
| (395,067 | ) | |
| (1,770,360 | ) |
| Other comprehensive loss, net of tax | |
| (4,792,129 | ) | |
| (395,067 | ) | |
| (1,770,360 | ) |
| TOTAL COMPREHENSIVE (LOSS) INCOME FROM DISCONTINUED OPERATIONS | |
| (3,367,004 | ) | |
$ | 1,194,442 | | |
| 245,740 | |
|