NANJING, China, Feb. 16,
2023 /PRNewswire/ -- Ostin Technology Group Co., Ltd.
(the "Company") (Nasdaq: OST), a supplier of display modules and
polarizers in China, today
reported its financial results for the fiscal year ended
September 30, 2022.
Fiscal Year 2022 Summary
- Sales decreased by approximately $62.3 million, or 37%, to approximately
$105.4 million for the fiscal year
ended September 30, 2022 from
approximately $167.7 million for the
fiscal year ended September 30,
2021.
- Overall gross profit margin was 12% for fiscal year
ended September 30, 2022 as compared
to 10% for fiscal year ended September 30,
2021. The improvement in gross margin was largely due to the
significantly higher gross margin of the Company's new research and
development services.
- Net income was approximately $112,227 and $3.3
million in the fiscal years ended September 30, 2022 and 2021, respectively.
- Cash and cash equivalents were $3.8 million as of September 30, 2022, as compared to $0.7 million as of September 30, 2021.
"During the fiscal year ended September
30, 2022, the Company's revenue was primarily impacted by
the decrease in sales of display modules resulted from the decline
of market demand for display modules and the continuous lockdown in
mainland China from late 2021 to
2022. However, based on seasonality in the Company's business and
cyclical nature of the Company's industry, we believe that the
market demand will gradually recover in the second half of 2023 and
give a steady boost to the Company's sales of display modules and
polarizers in the next 12 to 18 months," said Mr. Tao Ling,
Chairman and CEO of the Company.
"We have transitioned certain product lines from trial to mass
production and will further improve the Company's research and
development capabilities by leveraging accumulated experience and
expertise in new product research and development, specifically
catering to the Company's major end-brand clients. Looking ahead,
the Company's focus remains on enhancing operating performance and
executing the Company's profitable business strategy."
|
|
For the Fiscal Years
Ended September 30
|
|
(in $
millions, except earnings per share; differences due to
rounding)
|
|
2022
|
|
|
2021
|
|
|
%
Change
|
|
|
Revenues
|
|
$
|
105.4
|
|
|
$
|
167.7
|
|
|
(37 %)
|
|
|
Gross profit
|
|
|
12.6
|
|
|
|
17.4
|
|
|
(27 %)
|
|
|
Gross margin
|
|
|
12 %
|
|
|
|
10 %
|
|
|
2
percentage points
|
|
|
Operating
income
|
|
|
0.5
|
|
|
|
3.2
|
|
|
(86 %)
|
|
|
Net income
|
|
|
0.1
|
|
|
|
3.3
|
|
|
(97 %)
|
|
|
Earnings per share –
Basic and Diluted
|
|
|
0.02
|
|
|
|
0.30
|
|
|
(93 %)
|
|
Results of Operations
Revenues
Sales decreased by approximately $62.3
million, or 37%, to approximately $105.4 million for the fiscal year ended
September 30, 2022 from approximately
$167.7 million for the fiscal year
ended September 30, 2021. The
significant decrease in revenues was primarily due to the decrease
in sales of display modules resulted from the decline of market
demand for display modules and the continuous lockdown in mainland
China from late 2021 to 2022.
|
(in $
millions, differences due to rounding)
|
|
September 30,
2022
|
|
|
September 30,
2021
|
|
|
Revenue
Category
|
|
Sales Amount
(In USD)
|
|
|
As % of
Sales
|
|
|
Sales Amount
(In USD)
|
|
|
As % of
Sales
|
|
|
Sales of display
modules
|
|
$
|
35.1
|
|
|
|
34
|
%
|
|
$
|
96.1
|
|
|
|
58
|
%
|
|
Sales of
polarizers
|
|
|
62.7
|
|
|
|
59
|
%
|
|
|
62.6
|
|
|
|
37
|
%
|
|
Research and
developments
|
|
|
5.7
|
|
|
|
5
|
%
|
|
|
-
|
|
|
|
-
|
%
|
|
Others
|
|
|
1.9
|
|
|
|
2
|
%
|
|
|
9.0
|
|
|
|
5
|
%
|
|
Total
|
|
|
105.4
|
|
|
|
100
|
%
|
|
|
167.7
|
|
|
|
100
|
%
|
- Sales of display modules decreased by approximately
$61 million or 63%, to approximately
$35.1 million for the fiscal year
ended September 30, 2022 from
approximately $96.1 million for the
fiscal year ended September 30,
2021.
- To support mass production of polarizers, the Company
invested significant capital and human resources to build and run
Chengdu factory during the fiscal
year ended September 30, 2022 and
discontinued low-margin display modules product lines. For fiscal
years ended September 30, 2022 and
2021, demand for polarizers remained stable and revenue generated
from sales of polarizers was approximately $62.7 million and $62.6
million, respectively.
- For the fiscal year ended September 30, 2022, revenue generated from the
Company's new research and development services was approximately
$5.7 million, representing 5% of the
Company's total revenues.
The following table shows the Company's revenues by geographic
region for the fiscal years ended September
30, 2022 and 2021. To mitigate impact of the exchange rate
fluctuations and shipping disruptions caused by the epidemic, the
Company switched focus from overseas to domestic markets. As a
result, sales in Hong Kong and
Taiwan saw a significant decrease
during the fiscal year ended September 30,
2022 as compared to the previous year.
|
(in $
millions, differences due to rounding)
|
|
|
September 30,
2022
|
|
|
September 30,
2021
|
|
|
Country/Region
|
|
|
Sales Amount
|
|
|
|
As % of
Sales
|
|
|
|
Sales Amount
|
|
|
|
As % of
Sales
|
|
|
Mainland
China
|
|
$
|
96.4
|
|
|
|
91
|
%
|
|
$
|
133.9
|
|
|
|
80
|
%
|
|
Hong Kong and
Taiwan
|
|
|
8.9
|
|
|
|
9
|
%
|
|
|
32.2
|
|
|
|
19
|
%
|
|
Others
|
|
|
-
|
|
|
|
-
|
%
|
|
|
1.6
|
|
|
|
1
|
%
|
|
Total
|
|
$
|
105.4
|
|
|
|
100
|
%
|
|
$
|
167.7
|
|
|
|
100
|
%
|
Cost of revenues
Cost of revenues decreased by approximately $57.6 million or 38%, to approximately
$92.8 million for the fiscal year
ended September 30, 2022 from
approximately $150.4 million for the
fiscal year ended September 30, 2021.
The decrease in cost of revenues was generally in line with the
decrease in revenues.
The following table presents cost of revenues by revenue
categories for the fiscal years ended September 30, 2022 and 2021, respectively.
|
|
For the Fiscal Years
Ended
|
|
|
(in $
millions, differences due to rounding)
|
|
September 30,
2022
|
|
|
September 30,
2021
|
|
|
Revenue
Category
|
|
|
|
|
|
|
|
Sales of display
modules
|
|
$
|
31.9
|
|
|
$
|
84.1
|
|
|
Sales of
polarizers
|
|
|
57.3
|
|
|
|
56.9
|
|
|
Research and
development
|
|
|
2.2
|
|
|
|
-
|
|
|
Others
|
|
|
1.4
|
|
|
|
9.4
|
|
|
Total
|
|
$
|
92.8
|
|
|
$
|
150.4
|
|
|
|
|
|
|
|
|
|
|
|
Gross
Margin
|
|
|
|
|
|
|
|
|
|
Sales of display
modules
|
|
|
9.2
|
%
|
|
|
12.5
|
%
|
|
Sales of
polarizers
|
|
|
8.6
|
%
|
|
|
9.1
|
%
|
|
Research and
development
|
|
|
61.7
|
%
|
|
|
-
|
%
|
|
Others
|
|
26.6
|
0.7
|
%
|
|
|
(3.6)
|
%
|
|
Total Gross
Margin
|
|
|
12
|
%
|
|
|
10
|
%
|
Gross profit
The Company's gross profit decreased by approximately
$4.8 million, or 27%, to
approximately $12.6 million for the
fiscal year ended September 30, 2022
from approximately $17.4 million for
the fiscal year ended September 30,
2021. Overall gross profit margin was 12% for the fiscal
year ended September 30, 2022 as
compared to 10% for the fiscal year ended September 30, 2021. The improvement in gross
margin was largely due to the significantly higher gross margin of
the Company's new research and development services.
The decline in the gross profit margin of display modules and
polarizers was primarily due to the substantial rise in logistics
costs, electricity, and wages resulting from the prolonged
lockdowns in mainland China from
late 2021 to 2022. Additionally, the decrease in unit sales price
and volume was due to declining market demand and heightened market
competition.
Selling and marketing expenses
Selling and marketing expenses decreased by approximately
$1.2 million, or 30%, to
approximately $2.8 million for the
fiscal year ended September 30, 2022
as compared to approximately $4.0
million for the fiscal year ended September 30, 2021. The decrease in selling and
marketing expenses was mainly due to the decrease in revenue.
General and administrative expenses
General and administrative ("G&A") expenses increased by
approximately $2.7 million, or 53%,
to approximately $7.7 million for the
fiscal year ended September 30, 2022
as compared to approximately $5.0
million for the fiscal year ended September 30, 2021. The increase in G&A
expenses was due to the increase in professional fees after the
Company's IPO and the increase in administrative expenses in
complying with regulations imposed by local government to control
COVID-19.
Research and development expenses
The Company's research and development expenses were
approximately $2.5 million and
$5.7 million for the fiscal years
ended September 30, 2022 and 2021,
respectively. The COVID-19 pandemic caused delays in the delivery
of research and development materials as well as lockdowns and
quarantine measures for the Company's research and development
staff in the PRC, leading to some suspended or slowed projects and
therefore a decrease in research and development expenses.
Net income
As a result of the foregoing, we recorded a net income of
approximately $112,227 and
$3.3 million in the fiscal years
ended September 30, 2022 and 2021,
respectively.
Cash and cash equivalents
Cash and cash equivalents were $3.8
million as of September 30,
2022, as compared to $0.7
million as of September 30,
2021.
Recent Development
During the fiscal year ended September
30, 2022, the Company continued efforts to develop new
products and have introduced a protection film to customers. The
protection film is currently being tested by the Company's
customers and is expected to be put into production at the
beginning of 2023.
In an effort to increase the Company's profits as well as
utilizing extensive resources and expertise in the display panel
industry, the Company has diversified into the production and sales
of display products for end users such as commercial display and
consumer electronics, which generally have a higher profit margin
than our display module products. The Company has independently
developed new technologies that are used in proprietary products,
such as the all-in-one intelligent conference system and Pintura®
wireless photo transmission system, which are expected to
officially launch sales in the United
States in early 2023. Sales of Pintura wireless photo
transmission system has started in China since October
2023. To boost the Company's marketing efforts for these
products, the Company has increased sales force by hiring more
sales representatives, providing end-user-focused sales training,
and investing in electronics exhibitions and advertisements.
To further diversify the Company's source of revenue, the
Company has leveraged strong research and development capabilities
and accumulated expertise in the display module field and developed
customized solutions for clients. During the fiscal year ended
September 30, 2022, the Company began
generating revenue from providing such research and development
services to branded original design manufacturers.
About Ostin Technology Group Co., Ltd.
Founded in 2010, the Company is a supplier of display modules
and polarizers in China. The
Company designs, develops and manufactures TFT-LCD display modules
in a wide range of sizes and customized sizes which are mainly used
in consumer electronics, outdoor LCD displays and automotive
displays. The Company also manufactures polarizers used in the
TFT-LCD display modules. In 2022, the Company expanded its business
into the end-user market, offering display products of different
sizes. The Company also is a provider of research and development
services to branded original design manufacturers.
For more information, please visit
http://www.austinelec.com/.
Forward-Looking Statement
This press release contains forward-looking statements as
defined by the Private Securities Litigation Reform Act of 1995.
Forward-looking statements include statements concerning plans,
objectives, goals, strategies, future events or performance, and
underlying assumptions and other statements that are other than
statements of historical facts. When the Company uses words such as
"may, "will, "intend," "should," "believe," "expect," "anticipate,"
"project," "estimate" or similar expressions that do not relate
solely to historical matters, it is making forward-looking
statements. Forward-looking statements are not guarantees of future
performance and involve risks and uncertainties that may cause the
actual results to differ materially from the Company's expectations
discussed in the forward-looking statements. These statements are
subject to uncertainties and risks including, but not limited to,
the following: the Company's goals and strategies; the Company's
forecast on market trend; the Company's future business
development; the demand for and market acceptance for new products;
changes in technology; risks and uncertainties regarding lingering
effects of the Covid-19 pandemic on the Company's businesses,
including disruptions to the Company's supply chain; the Company's
ability to attract and retain skilled professionals; client
concentration; and general economic conditions affecting the
Company's industry and assumptions underlying or related to any of
the foregoing and other risks contained in reports filed by the
Company with the SEC. For these reasons, among others, investors
are cautioned not to place undue reliance upon any forward-looking
statements in this press release. Additional factors are discussed
in the Company's filings with the SEC, which are available for
review at www.sec.gov. The Company undertakes no obligation to
publicly revise these forward-looking statements to reflect events
or circumstances that arise after the date hereof.
For more information, please contact:
Ostin Technology Group Co., Ltd.
ir@austinelec.com
Investor Relations:
Janice Wang
Wealth Financial Services LLC
Phone: +86 13811768599
+1 628 283 9214
Email: services@wealthfsllc.com
OSTIN TECHNOLOGY GROUP CO., LTD.
CONSOLIDATED
BALANCE SHEETS
AS OF SEPTEMBER 30, 2022 AND
2021
(IN U.S. DOLLARS, EXCEPT FOR NUMBER OF SHARES
DATA)
|
|
September 30,
2022
|
|
|
September 30,
2021
|
|
|
ASSETS
|
|
|
|
|
|
|
|
Current
Assets
|
|
|
|
|
|
|
|
|
|
Cash and cash
equivalents
|
|
$
|
3,655,947
|
|
|
$
|
684,335
|
|
|
Restricted
cash
|
|
|
150,973
|
|
|
|
-
|
|
|
Accounts receivable,
net of allowance for doubtful accounts
of $31,997 and $94,166, respectively
|
|
|
6,270,505
|
|
|
|
25,551,527
|
|
|
Notes
receivable
|
|
|
-
|
|
|
|
101,361
|
|
|
Inventories,
net
|
|
|
15,432,712
|
|
|
|
18,686,680
|
|
|
Advances to suppliers,
net
|
|
|
6,097,833
|
|
|
|
7,300,770
|
|
|
Tax
receivables
|
|
|
92,749
|
|
|
|
443,173
|
|
|
Prepaid expenses and
other receivables
|
|
|
207,584
|
|
|
|
1,426,790
|
|
|
Total Current
Assets
|
|
|
31,908,303
|
|
|
|
54,194,636
|
|
|
Property, plant
and equipment, net
|
|
|
19,415,829
|
|
|
|
19,368,333
|
|
|
Land use rights,
net
|
|
|
1,284,591
|
|
|
|
1,497,579
|
|
|
Intangible
assets, net
|
|
|
2,968,745
|
|
|
|
127,129
|
|
|
Deferred tax
assets, net
|
|
|
566,404
|
|
|
|
673,179
|
|
|
Long-term
investment
|
|
|
210,867
|
|
|
|
-
|
|
|
Right-of-use
lease assets
|
|
|
5,571
|
|
|
|
105,625
|
|
|
Other long-term
receivables
|
|
|
823,116
|
|
|
|
-
|
|
|
TOTAL
ASSETS
|
|
$
|
57,183,426
|
|
|
$
|
75,966,481
|
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES AND
SHAREHOLDERS' EQUITY
|
|
|
|
|
|
|
|
|
|
Current
Liabilities
|
|
|
|
|
|
|
|
|
|
Accounts
payable
|
|
$
|
6,279,484
|
|
|
$
|
17,618,986
|
|
|
Accrued expenses and
other current liabilities
|
|
|
1,950,122
|
|
|
|
2,632,370
|
|
|
Advances from
customers
|
|
|
1,415,175
|
|
|
|
4,506,016
|
|
|
Due to related
parties
|
|
|
477,964
|
|
|
|
3,197,070
|
|
|
Short-term
borrowings
|
|
|
21,292,963
|
|
|
|
32,417,418
|
|
|
Operating lease
liabilities – current
|
|
|
89,917
|
|
|
|
193,161
|
|
|
Total Current
Liabilities
|
|
|
31,505,625
|
|
|
|
60,565,021
|
|
|
Operating lease
liabilities – non-current
|
|
|
-
|
|
|
|
5,583
|
|
|
Long-term
liability
|
|
|
-
|
|
|
|
194,022
|
|
|
Other long-term
payables
|
|
|
52,590
|
|
|
|
-
|
|
|
TOTAL
LIABILITIES
|
|
|
31,558,215
|
|
|
|
60,764,626
|
|
|
|
|
|
|
|
|
|
|
|
COMMITMENTS AND
CONTINGENCIES
|
|
|
-
|
|
|
|
-
|
|
|
|
|
|
|
|
|
|
|
|
SHAREHOLDERS'
EQUITY
|
|
|
|
|
|
|
|
|
|
Common stock, $0.0001
par value, 500,000,000 shares
authorized, 14,006,250 and 10,250,000 shares issued and
outstanding as of September 30, 2022 and 2021
|
|
|
1,401
|
|
|
|
1,013
|
|
|
Additional paid-in
capital
|
|
|
23,256,219
|
|
|
|
10,856,169
|
|
|
Statutory surplus
reserves
|
|
|
1,496,314
|
|
|
|
1,033,653
|
|
|
Retained
earnings
|
|
|
2,484,385
|
|
|
|
2,748,068
|
|
|
Accumulated other
comprehensive loss
|
|
|
(1,902,108)
|
|
|
|
(316,017
|
)
|
|
Total Equity
Attributable to Ostin Technology Group Co., Ltd.
|
|
|
25,336,211
|
|
|
|
14,322,886
|
|
|
Equity attributable to
non-controlling interests
|
|
|
289,000
|
|
|
|
878,969
|
|
|
Total Shareholders'
Equity
|
|
|
25,625,211
|
|
|
|
15,201,855
|
|
|
TOTAL LIABILITIES
AND SHAREHOLDERS' EQUITY
|
|
$
|
57,183,426
|
|
|
$
|
75,966,481
|
|
OSTIN TECHNOLOGY GROUP CO., LTD.
CONSOLIDATED
STATEMENTS OF INCOME AND COMPREHENSIVE INCOME
FOR THE FISCAL YEARS ENDED SEPTEMBER 30,
2022, 2021 AND 2020
(IN U.S. DOLLARS, EXCEPT SHARES DATA)
|
|
For the fiscal years
ended September 30,
|
|
|
|
2022
|
|
2021
|
|
|
2020
|
|
|
|
|
|
|
|
|
|
|
|
|
Sales
|
|
$
|
105,416,746
|
|
$
|
167,744,801
|
|
|
$
|
140,073,917
|
|
|
Cost of
sales
|
|
|
(92,804,431)
|
|
|
(150,385,723
|
)
|
|
|
(128,489,255
|
)
|
|
Gross
profit
|
|
|
12,612,315
|
|
|
17,359,078
|
|
|
|
11,584,662
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
expenses:
|
|
|
|
|
|
|
|
|
|
|
|
|
Selling and marketing
expenses
|
|
|
(2,793,197)
|
|
|
(3,965,790
|
)
|
|
|
(2,172,393
|
)
|
|
General and
administrative expenses
|
|
|
(7,649,241)
|
|
|
(4,990,951
|
)
|
|
|
(3,123,219
|
)
|
|
Research and
development costs
|
|
|
(2,515,239)
|
|
|
(5,712,792
|
)
|
|
|
(2,828,718
|
)
|
|
Gain from disposal of
property, plant and equipment
|
|
|
795,783
|
|
|
527,818
|
|
|
|
-
|
|
|
Total operating
expenses
|
|
|
(12,161,894)
|
|
|
(14,141,715
|
)
|
|
|
(8,124,330
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
income
|
|
|
450,421
|
|
|
3,217,363
|
|
|
|
3,460,332
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other income
(expenses):
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest income
(expense), net
|
|
|
(1,290,811)
|
|
|
(1,112,045
|
)
|
|
|
(688,401
|
)
|
|
Other income
(expenses), net
|
|
|
1,279,559
|
|
|
1,133,103
|
|
|
|
(67,370
|
)
|
|
Total other
expenses, net
|
|
|
(11,252)
|
|
|
21,058
|
|
|
|
(755,771
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income before income
taxes
|
|
|
439,169
|
|
|
3,238,421
|
|
|
|
2,704,561
|
|
|
Income tax
provision
|
|
|
(326,942)
|
|
|
57,086
|
|
|
|
126,725
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
income
|
|
|
112,227
|
|
|
3,295,507
|
|
|
|
2,831,286
|
|
|
Net income (loss)
attributable to non-controlling
interests
|
|
|
(86,751)
|
|
|
196,564
|
|
|
|
117,175
|
|
|
Net income attributable
to Ostin Technology Group
Co., Ltd.
|
|
|
198,978
|
|
|
3,098,943
|
|
|
|
2,714,111
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
income
|
|
|
112,227
|
|
|
3,295,507
|
|
|
|
2,831,286
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other comprehensive
income (loss):
|
|
|
|
|
|
|
|
|
|
|
|
|
Foreign currency
translation adjustment
|
|
|
(1,716,150)
|
|
|
272,591
|
|
|
|
415,403
|
|
|
Comprehensive (loss)
income
|
|
|
(1,603,923)
|
|
|
3,568,098
|
|
|
|
3,246,689
|
|
|
Comprehensive (loss)
income attributable to non-
controlling interests
|
|
|
(216,810)
|
|
|
219,497
|
|
|
|
126,444
|
|
|
Comprehensive (loss)
income attributable to Ostin
Technology Group Co., Ltd.
|
|
|
(1,387,113)
|
|
|
3,348,601
|
|
|
|
3,120,245
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings per ordinary
share
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic and
diluted
|
|
$
|
0.02
|
|
$
|
0.30
|
|
|
$
|
0.27
|
|
|
Weighted average number
of ordinary shares outstanding
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic and
diluted
|
|
|
11,773,202
|
|
|
10,125,000
|
|
|
|
10,125,000
|
|
OSTIN TECHNOLOGY GROUP CO., LTD.
CONSOLIDATED
STATEMENTS OF CASH FLOWS
FOR THE FISCAL YEARS ENDED
SEPTEMBER 30, 2022, 2021 AND
2020
(IN U.S. DOLLARS)
|
|
For the years
ended
September 30,
|
|
|
|
2022
|
|
|
2021
|
|
|
2020
|
|
|
Cash Flows from
Operating Activities:
|
|
|
|
|
|
|
|
|
|
|
Net income
(loss)
|
|
$
|
112,227
|
|
|
$
|
3,295,507
|
|
|
$
|
2,831,286
|
|
|
Adjustments to
reconcile net income to net cash (used
in) provided by operating activities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation
expense
|
|
|
2,309,263
|
|
|
|
1,841,250
|
|
|
|
1,080,675
|
|
|
Amortization expense of
land use rights
|
|
|
78,926
|
|
|
|
85,842
|
|
|
|
18,447
|
|
|
Amortization expense of
intangible assets
|
|
|
214,703
|
|
|
|
199,913
|
|
|
|
327,636
|
|
|
Amortization expense of
right-of-use assets
|
|
|
53,627
|
|
|
|
114,387
|
|
|
|
-
|
|
|
Bad debt (recovery)
expense for accounts receivable
|
|
|
(60,982
|
)
|
|
|
94,166
|
|
|
|
233,824
|
|
|
Bad debt expense for
advances to suppliers
|
|
|
228,251
|
|
|
|
311,811
|
|
|
|
-
|
|
|
Inventory
provision
|
|
|
21,962
|
|
|
|
780,366
|
|
|
|
288,411
|
|
|
Deferred tax assets,
net
|
|
|
106,775
|
|
|
|
208,832
|
|
|
|
(299,996
|
)
|
|
Gain from disposal of
property, plant and equipment
|
|
|
(795,783
|
)
|
|
|
(527,818
|
)
|
|
|
-
|
|
|
Imputed interest for
short-term borrowings from third parties
|
|
|
-
|
|
|
|
370,847
|
|
|
|
228,291
|
|
|
Changes in operating
assets and liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accounts
receivable
|
|
|
18,373,339
|
|
|
|
(15,163,687
|
)
|
|
|
(6,710,021
|
)
|
|
Notes
receivable
|
|
|
99,663
|
|
|
|
2,129,820
|
|
|
|
(1,887,698
|
)
|
|
Inventories
|
|
|
1,599,407
|
|
|
|
(559,724
|
)
|
|
|
(5,752,729
|
)
|
|
Advances to
suppliers
|
|
|
330,995
|
|
|
|
1,378,929
|
|
|
|
(2,130,279
|
)
|
|
Prepaid expenses and
other receivables
|
|
|
1,177,551
|
|
|
|
(854,448
|
)
|
|
|
50,864
|
|
|
Other long-term
receivables
|
|
|
(893,493)
|
|
|
|
-
|
|
|
|
-
|
|
|
Accounts
payable
|
|
|
(10,507,396
|
)
|
|
|
(6,781,879
|
)
|
|
|
11,538,662
|
|
|
Accrued expenses and
other current liabilities
|
|
|
(194,934)
|
|
|
|
(3,614,350
|
)
|
|
|
5,192,485
|
|
|
Advances from
customers
|
|
|
(2,894,344
|
)
|
|
|
(1,542,196
|
)
|
|
|
2,945,080
|
|
|
Income tax
payable
|
|
|
335,069
|
|
|
|
590,588
|
|
|
|
(230,257
|
)
|
|
Operating lease
liabilities
|
|
|
(53,629
|
)
|
|
|
(22,415
|
)
|
|
|
-
|
|
|
Other long-term
payables
|
|
|
57,086
|
|
|
|
-
|
|
|
|
-
|
|
|
Net cash (used in)
provided by operating activities
|
|
|
9,698,283
|
|
|
|
(17,664,259
|
)
|
|
|
7,724,681
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash Flows from
Investing Activities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Purchases of property,
plant and equipment
|
|
|
(5,122,095
|
)
|
|
|
(6,211,335
|
)
|
|
|
(3,701,172
|
)
|
|
Disposal of property,
plant and equipment
|
|
|
1,515,045
|
|
|
|
1,024,990
|
|
|
|
-
|
|
|
Purchases of intangible
assets
|
|
|
(3,060,601
|
)
|
|
|
(11,568
|
)
|
|
|
(1,475,783
|
)
|
|
Long-term
investment
|
|
|
(210,867
|
)
|
|
|
-
|
|
|
|
-
|
|
|
Net cash used in
investing activities
|
|
|
(6,878,518
|
)
|
|
|
(5,197,913
|
)
|
|
|
(5,176,956
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash Flows from
Financing Activities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Proceeds received from
stock issuance
|
|
|
12,409,022
|
|
|
|
-
|
|
|
|
98,494
|
|
|
Repayment of notes
payable
|
|
|
-
|
|
|
|
-
|
|
|
|
(1,070,573
|
)
|
|
Proceeds from
(Repayments to) long-term liability
|
|
|
(873,401
|
)
|
|
|
93,928
|
|
|
|
-
|
|
|
Proceeds from
short-term bank borrowings
|
|
|
15,706,830
|
|
|
|
17,850,026
|
|
|
|
9,335,389
|
|
|
Repayments on
short-term bank borrowings
|
|
|
(16,243,972
|
)
|
|
|
(12,569,361
|
)
|
|
|
(8,007,879
|
)
|
|
Proceeds from
short-term borrowings from third party individuals
|
|
|
1,290,972
|
|
|
|
16,872,476
|
|
|
|
5,838,187
|
|
|
Repayments on
short-term borrowings from third party individuals
|
|
|
(9,652,990
|
)
|
|
|
(5,890,252
|
)
|
|
|
(6,254,364
|
)
|
|
Proceeds from related
parties
|
|
|
2,746,749
|
|
|
|
9,092,860
|
|
|
|
3,004,804
|
|
|
Repayments to related
parties
|
|
|
(5,371,422
|
)
|
|
|
(6,885,557
|
)
|
|
|
(2,733,592
|
)
|
|
Net cash provided by
financing activities
|
|
|
11,788
|
|
|
|
18,564,120
|
|
|
|
210,464
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Effect of changes in
currency exchange rates
|
|
|
291,032
|
|
|
|
(379,135
|
)
|
|
|
133,202
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net (decrease)
increase in cash and cash equivalents
|
|
|
3,122,585
|
|
|
|
(4,677,187
|
)
|
|
|
2,891,392
|
|
|
Cash, cash equivalents
and restricted cash at the beginning of year
|
|
|
684,335
|
|
|
|
5,361,522
|
|
|
|
2,470,130
|
|
|
Cash and cash
equivalents and restricted cash at the end of year
|
|
$
|
3,806,920
|
|
|
$
|
684,335
|
|
|
$
|
5,361,522
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of
cash, cash equivalents and restricted
cash to the Consolidated Balance Sheets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash
equivalents
|
|
$
|
3,655,947
|
|
|
$
|
684,335
|
|
|
$
|
5,343,434
|
|
|
Restricted
cash
|
|
|
150,973
|
|
|
|
-
|
|
|
|
18,088
|
|
|
Total cash, cash
equivalents and restricted cash
|
|
$
|
3,806,920
|
|
|
$
|
684,335
|
|
|
$
|
5,361,522
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Supplemental
disclosures of cash flows information:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash paid for income
taxes
|
|
$
|
241,697
|
|
|
$
|
374,951
|
|
|
$
|
268,724
|
|
|
Cash paid for
interest
|
|
$
|
1,010,897
|
|
|
$
|
751,658
|
|
|
$
|
527,027
|
|
View original
content:https://www.prnewswire.com/news-releases/ostin-technology-group-reports-fiscal-year-2022-results-301748384.html
SOURCE Ostin Technology
