v3.26.3
BUSINESS SEGMENTS
 12 Months Ended
Dec. 31, 2025
Segment Reporting [Abstract]  
BUSINESS SEGMENTS

NOTE 21 – BUSINESS SEGMENTS

 

ASC 280, Disclosures about Segments, of an Enterprise and Related Information, establishes standards for reporting information about operating segments. Operating segments are defined as components of an enterprise engaging in business activities from which they may earn revenues and incurred expenses, and about which separate financial information is available that is evaluated regularly by the chief operating decision-marker, or decision-making group( the “CODM”), in deciding how to allocate resources and assessing performance.

 

The Company’s Chief Executive Officer (Mr. Xiaobin Liu) is determined as the CODM of the Company, Mr Liu measures the performance of each segment based on metrics of revenue and profit before taxes from operations and uses these results to evaluate the performance of, and to allocate resources to each of the segments. The Company has organized operations into four different business segments: (1) bromine, (2) crude salt, (3) chemical products, (4) natural gas.

 

As of December 31, 2025 and December 31, 2024, the detailed income statements of each of our divisions are presented below:

 

 

Year Ended

December 31, 2025


  Bromine*  

Crude

Salt*

  

Chemical

Products

   Natural Gas  

Segment

Total

   Corporate   Total 
Net revenue
(external customers)		  $23,000,303   $2,418,032   $—   $—   $25,418,335   $—   $25,418,335 
Net revenue
(intersegment)		   —    —    —    —    —    —    — 
Loss from operations before
income tax expense		   (4,658,726)   (908,680)   (1,393,175)   (157,913)   (7,118,494)   (1,450,130)   (8,568,624)
Income tax (expense) benefit   —    —    —    —    —    —    — 
Loss from operations after
income tax (expense) benefit		   (4,658,726)   (908,680)   (1,393,175)   (157,913)   (7,118,494)   (1,450,130)   (8,568,624)
Total assets   83,080,154    50,107,530    —    543,530    133,731,214    596    133,731,810 
Depreciation and
amortization		   13,146,992    2,710,846    275,517    128,263    16,261,618    —    16,261,618 
Capital expenditures   214,761    9,129,878    —    —    9,344,639    —    9,344,639 

 

Year Ended

December 31, 2024

  Bromine*  

Crude

Salt*

  

Chemical

Products

  

Natural

Gas

  

Segment

Total

   Corporate   Total 
Net revenue
(external customers)		  $5,549,815   $2,049,988   $—   $61,207   $7,661,010   $—   $7,661,010 
Net revenue
(intersegment)		   —    —    —    —    —    —    — 
Loss from operations before
income tax expense		   (17,455,130)   (668,110)   (3,185,472)   (195,364)   (21,504,076)   (744,493)   (22,248,569)
Income tax (expense) benefit   (1,632,978)   (15,204)   —    —    (1,648,182)   —    (1,648,182)
Loss from operations after
income tax (expense) benefit		   (19,088,108)   (683,314)   (3,185,472)   (195,364)   (23,152,258)   (744,493)   (23,896,751)
Total assets   72,922,299    45,581,718    45,864,635    1,698,575    166,067,227    1,755,061    167,822,288 
Depreciation and
amortization		   16,798,768    1,659,865    272,716    134,080    18,865,429    —    18,865,429 
Capital expenditures   28,923,642    31,602,571    —    —    60,526,213    —    60,526,213 

 

*Certain common production overheads, operating and administrative expenses and asset items (mainly cash and certain office equipment) of bromine and crude salt segments in SCHC were split by reference to the average selling price and production volume of the respective segment.

 

 SCHEDULE OF SEGMENT COST

Reconciliations  2025   2024 (Restated) 
   Years Ended December 31, 
Reconciliations  2025   2024 (Restated) 
Total segment operating loss  $(7,118,494)  $(21,504,076)
Corporate costs   (1,450,130)   (744,493)
Unrealized gain (loss) on translation of intercompany balance   —    — 
Loss from operations   (8,568,624)   (22,248,569)
Interest income, net of expense   54,761    (62,113)
Other expense, net   (4,003,497)   — 
Gain on disposal of subsidiary   674,776    — 
Loss on disposal of long-lived assets   (2,008,853)   (29,169,008)
Impairment of long-lived assets   (30,068,794)   (6,772,500)
Loss before taxes  $(43,920,231)  $(58,252,190)

 

The following table shows the major customers (10% or more) for the year ended December 31, 2025:

 

      Bromine   Crude Salt  

Chemical

Products

   Total Revenue  

Percentage of

Total

Revenue

 
Number  Customer   (000’s)   (000’s)   (000’s)   (000’s)   (%) 
1  Shandong Morui Chemical Company Limited  $3,331   $853   $—   $4,184    16.5%
2  Shandong Brother Technology Limited  $3,219   $955   $—   $4,174    16.4%
3  Shandong Shouguang Shenrunfa Marine Chemical
Company Limited		  $3,422   $—   $—   $3,422    13.5%
4  Shouguang Weidong Chemical Company Limited  $2,717   $609   $—   $3,326    13.1%

 

The following table shows the major customers (10% or more) for the year ended December 31, 2024:

 

   Bromine   Crude Salt   Chemical Products   Total Revenue  

Percentage of

Total Revenue

 
Number  Customer   (000’s)   (000’s)   (000’s)   (000’s)   (%) 
1  Shandong Morui Chemical Company Limited  $677   $770   $—   $1,447    18.9%
2  Shandong Brother Technology Limited  $646   $702   $—   $1,348    17.6%
3  Shouguang Weidong Chemical Company Limited  $646   $578   $—   $1,224    16.0%