v3.26.3
BUSINESS SEGMENTS (Tables)
 6 Months Ended
Jun. 30, 2025
Segment Reporting [Abstract]  
SCHEDULE OF SEGMENT REPORTING BY SEGMENT

 

Three-Month

Period Ended

June 30, 2025

(Restated)

  Bromine*  

Crude

Salt*

  

Chemical

Products

  

Natural

Gas

  

Segment

Total

   Corporate   Total 
Net revenue (external customers)  $7,676,374   $667,411   $—   $—   $8,343,785   $—   $8,343,785 
Net revenue (intersegment)   —    —    —    —    —    —    — 
Loss from operations before income tax benefit (expense)   (134,041)   (181,160)   (348,203)   (43,255)   (706,659)   (84,614)   (791,273)
Income tax benefit (expense)   —    —    —    —    —    —    — 
Loss from operations after income tax benefit (expense)   (134,041)   (181,160)   (348,203)   (43,255)   (706,659)   (84,614)   (791,273)
Total assets   78,329,353    45,053,798    38,598,055    890,177    162,871,383    116,959    162,988,342 
Depreciation and amortization   3,254,011    637,437    70,763    32,540    3,994,751    —    3,994,751 
Capital expenditures   —    —    —    —    —    —    — 

 

Three-Month

Period Ended

June 30, 2024

  Bromine*  

Crude

Salt*

  

Chemical

Products

  

Natural

Gas

  

Segment

Total

   Corporate   Total 
Net revenue (external customers)  $1,859,234   $523,935   $—   $—   $2,383,169   $—   $2,383,169 
Net revenue (intersegment)   —    —    —    —    —    —    — 
Income (loss) from operations before income tax benefit (expense)   (4,662,586)   130,024    (339,254)   (73,773)   (4,945,589)   (201,408)   (5,146,997)
Income tax benefit (expense)   1,162,252    (33,224)   79,082    —    1,208,110    —    1,208,110 
Income (loss) from operations after income tax benefit (expense)   (3,500,334)   96,800    (260,172)   (73,773)   (3,737,479)   (201,408)   (3,938,887)
Total assets   90,430,154    47,346,898    54,185,082    1,837,520    193,799,654    126,372    193,926,026 
Depreciation and amortization   4,446,605    181,775    68,314    33,560    4,730,254    —    4,730,254 
Capital expenditures   28,923,642    31,602,571    —    —    60,526,213    —    60,526,213 

 

GULF RESOURCES, INC.

AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

JUNE 30, 2025

(Expressed in U.S. dollars)

(UNAUDITED)

 

NOTE 17 – BUSINESS SEGMENTS – Continued

 

Six-Month

Period Ended

June 30, 2025

(Restated)

  Bromine*  

Crude

Salt*

  

Chemical

Products

  

Natural

Gas

  

Segment

Total

   Corporate   Total 
Net revenue (external customers)  $9,158,243   $789,989   $—   $—   $9,948,232   $—   $9,948,232 
Net revenue (intersegment)   —    —    —    —    —    —    — 
Loss from operations before income tax benefit (expense)   (3,508,547)   (768,969)   (710,095)   (88,099)   (5,075,710)   (366,450)   (5,442,160)
Income tax benefit (expense)   —    —    —    —    —    —    — 
Loss from operations after income tax benefit (expense)   (3,508,547)   (768,969)   (710,095)   (88,099)   (5,075,710)   (366,450)   (5,442,160)
Total assets   78,329,353    45,053,798    38,598,055    890,177    162,871,383    116,959    162,988,342 
Depreciation and amortization   6,515,903    1,276,726    141,689    65,502    7,999,820    —    7,999,820 
Capital expenditures   —    —    —    —    —    —    — 

 

Six-Month

Period Ended

June 30, 2024

  Bromine*  

Crude

Salt*

  

Chemical

Products

  

Natural

Gas

  

Segment

Total

   Corporate   Total 
Net revenue (external customers)  $3,005,431   $640,606   $—   $44,194   $3,690,231   $—   $3,690,231 
Net revenue (intersegment)   —    —    —    —    —    —    — 
Income (loss) from operations before income tax benefit (expense)   (9,445,401)   54,932    (654,078)   (101,482)   (10,146,029)   (270,387)   (10,416,416)
Income tax benefit (expense)   2,360,323    (33,224)   151,071    —    2,478,170    —    2,478,170 
Income (loss) from operations after income tax benefit (expense)   (7,085,078)   21,708    (503,007)   (101,482)   (7,667,859)   (270,387)   (7,938,246)
Total assets   90,430,154    47,346,898    54,185,082    1,837,520    193,799,654    126,372    193,926,026 
Depreciation and amortization   8,899,655    363,666    136,671    67,319    9,467,311    —    9,467,311 
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 until April 2022. Commencing May 2022, costs were assigned to the two subsidiaries (SCHC and SHSI) by independent accounting.
SCHEDULE OF SEGMENT COST

 

Reconciliations   2025 (Restated)   2024    2025 (Restated)    2024 
    Three-Month Period Ended June 30,  Six-Month Period Ended June 30, 
Reconciliations   2025 (Restated)   2024    2025 (Restated)    2024 
Total segment operating loss  $(706,659)  $(4,945,589)  $(5,075,710)  $(10,146,029)
Corporate costs   (84,614)   (201,408)   (366,450)   (270,387)
Unrealized gain on translation of intercompany balance   —    —    —    — 
Loss from operations   (791,273)   (5,146,997)   (5,442,160)   (10,416,416)
Interest income, net of expense   (19,879)   9,977    (39,172)   21,207 
Other expenses, net   (3,212)   —    (3,212)   (4,003)
Loss on disposal of property, plant and equipment   —    (29,169,008)   —    (29,169,008)
Loss before taxes  $(814,364)  $(34,306,028)  $(5,484,544)  $(39,568,220)
BUSINESS SEGMENTS - SCHEDULE OF REVENUE BY MAJOR CUSTOMERS

The following table shows the major customer(s) (10% or more) for the three-month period ended June 30, 2025.

 

Number  Customer  Bromine (000’s)  

Crude Salt

(000’s)		  

Chemical

Products

(000’s)

  

Total

Revenue (000’s)		  

Percentage of Total

Revenue (%)

 
1  Shandong Morui Chemical Company Limited  $1,132   $236   $—   $1,368    16.4% 
2  Shandong Brother Technology Limited Shouguang Weidong Chemical Company  $1,016   $230   $—   $1,246    14.9%
3  Limited Shandong Shouguangshen Runfa Marine  $1,029   $202   $—   $1,231    14.7%
4  Chemical Company Limited  $1,032   $—   $—   $1,032    12.4%

 

The following table shows the major customer(s) (10% or more) for the six-month period ended June 30, 2025.

 

Number  Customer  Bromine (000’s)  

Crude Salt

(000’s)		  

Chemical

Products

(000’s)

  

Total 

Revenue (000’s)		  

Percentage of

Total

Revenue (%)

 
1  Shandong Morui Chemical Company Limited  $1,328   $294   $—   $1,622    16.3%
2  Shandong Brother Technology Limited  $1,209   $266   $—   $1,475    14.8%
3  Shouguang Weidong Chemical Company Limited   $1,226   $230   $—   $1,456    14.6%
4  Shandong Shouguangshen Runfa MarineChemical Company Limited  $1,227   $—   $—   $1,227    12.3%

 

The following table shows the major customer(s) (10% or more) for the three-month period ended June 30, 2024.

 

Number  Customer  Bromine (000’s)  

Crude Salt

(000’s)		  

Chemical

Products

(000’s)

  

Total 

Revenue (000’s)		  

Percentage of

Total

Revenue (%)

 
1  Shandong Brother Technology Limited  $192   $186   $—   $378    15.8%
2  Shandong Morui Chemical Company Limited  $221   $156   $—   $377    15.8%
3  Shouguang Weidong Chemical Company Limited  $192   $182   $—   $374    15.7%

 

The following table shows the major customer(s) (10% or more) for the six-month period ended June 30, 2024.

 

Number  Customer  Bromine (000’s)  

Crude Salt

(000’s)		  

Chemical

Products

(000’s)

  

Total 

Revenue (000’s)		  

Percentage of

Total

Revenue (%)

 
1  Shandong Morui Chemical Company Limited  $355   $219   $—   $574    15.5%
2  Shandong Brother Technology Limited  $325   $214   $—   $539    14.6%
3  Shouguang Weidong Chemical Company Limited  $327   $208   $—   $535    14.5%