Company: FOXX
Filing Date: 2025-02-14
Form Type: 10-Q
Source: 0001213900-25-014221
Chunk: 119

Company: Foxx Development Holdings Inc.
Filing Date: 2025-02-14
Form: 10-Q
Item: Item 8
Chunk 119
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xx’s outstanding common stock prior to the Reverse Recapitalization have
been retroactively adjusted using the Exchange Ratio of 3.3033.

Note 5 — Accounts receivable,
net

As of December 31, 2024 and
June 30, 2024, accounts receivable consist of the following:

    December 31, 2024  
    June 30,  2024 

    (Audited) 
  
    Accounts receivable 
    $7,706,068  
    $251,894 
  
    Less: allowance for credit losses 
     (63,000) 
     — 
  
    Accounts receivable, net 
    $7,643,068  
    $251,894 

14

For the three months ended
December 31, 2024 and 2023, the Company recognized $63,000 and $0 on provision for allowance on credit losses, respectively. For the six
months ended December 31, 2024 and 2023, the Company recognized $63,000 and $0 on provision for allowance on credit losses, respectively.

Movement of allowance for
credit losses consisted of the following as of the date indicated:

    December 31,  
    June 30, 

    2024  
    2024 

    (Audited) 
  
    Beginning balance 
    $-  
    $     - 
  
    Addition 
     63,000  
     - 
  
    Ending balance 
    $63,000  
    $- 

Note 6
— Inventories

As of December 31, 2024 and
June 30, 2024, inventories consist of the following:

    December 31,  2024  
    June 30,  2024 

    (Audited) 
  
    Finished goods 
    $15,765,492  
    $1,768,072 
  
    Total inventories 
    $15,765,492  
    $1,768,072 

Note 7 — Contract assets

The following table presents the Company’s contract assets balances
and changes therein:

    Three
Months Ended 
December 31  
    Six
Months Ended 
December 31 

    2024  
    2023  
    2024  
    202