Company: SDAWW
Filing Date: 2025-04-28
Form Type: 20-F
Source: 0001213900-25-036086
Chunk: 117

Company: SunCar Technology Group Inc.
Filing Date: 2025-04-28
Form: 20-F
Item: Item 4A
Chunk 117
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penditures

Our capital expenditures are
primarily incurred for the purchase of software and equipment, and the development of our private cloud. Its capital expenditures were
US$5.6 million, US$6.6 million and US$12.2 million, for the years ended December 31, 2022, 2023 and 2024, respectively. We intend to fund
our future capital expenditures with our existing cash balance and bank borrowings. We will continue to incur capital expenditures as
needed to meet the expected growth of our business.

Off-Balance Sheet Commitments and Arrangements

We have not entered into any
financial guarantees or other commitments to guarantee the payment obligations of any third parties. In addition, we have not entered
into any derivative contracts that are indexed to its shares and classified as shareholder’s equity or that are not reflected in
its consolidated financial statements. Furthermore, we do not have any retained or contingent interest in assets transferred to an unconsolidated
entity that serves as credit, liquidity or market risk support to such entity. We do not have any variable interest in any unconsolidated
entity that provides financing, liquidity, market risk or credit support to it or engages in leasing, hedging or product development services
with it.

Tabular Disclosure of Contractual Obligations

The following table sets forth
our contractual obligations as of December 31, 2024.

                                                                     Payment Due by Period                                      
                                                                                Within one      1-3 years                Total  
  Operating lease payment                                                             $554      $              21         $575  
  Lease payment of property management fee and short-term lease                        $80      $              1           $81  
  Capital payment                                                                   $4,837      $              -        $4,837  
  Short-term borrowings                                                            $83,597      $              -       $83,597  

We recorded rental expenses
of US$0.6 million, US$0.9 million and US$1.0 million for the years ended December 31, 2022, 2023 and 2024, respectively. Other than what
is disclosed above, we did not have other significant commitments, long-term obligations, or guarantees as of December 31, 2024.

We also have certain capital
commitments that are primarily related to commitments for the purchase and installation of a private cloud system. Total capital commitments
contracted but not yet reflected in the consolidated financial statement was US$4.8