Company: SISI
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001641172-25-010889
Chunk: 123

Company: SHINECO, INC.
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 1
Chunk 123
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details in “Off-Balance Sheet Commitments and Arrangements.” The increase was partially offset by the increased
interest income generated from loans to third parties and decreased interest expense for convertible notes as a result of the
decreased balance of the convertible note.

Net Loss from Continuing Operations

Our net loss from continuing operations was US$4,082,143
for the three months ended March 31, 2025, an increase of US$2,558,528, or 167.92%, from
net loss from continuing operations of US$1,523,615 in the same period in 2024. The increase in net loss from continuing operations was
primarily a result of the increase in general and administrative expenses, partially offset by the decrease in amortization of debt issuance
costs.

Net Loss from Discontinued Operations

As mentioned above, the Company’s Luobuma, Agricultural
Products and Freight Services business segments that are operated by the Tenet-Jove Disposal Group and Wintus are reclassified as discontinued
operations on the Company’s unaudited condensed consolidated financial statements. Net loss from discontinued operations was US$12,529,001
and US$2,845,113 for the three months ended March 31, 2025 and 2024, respectively.

The summarized operating results of our discontinued
operations included in our unaudited condensed consolidated statement of loss and comprehensive loss are as follows:

    Three Months Ended March 31, 

    2025  
    2024 
  
    Revenue 
    $2,628,318  
    $1,202,054 
  
    Cost of revenue 
     2,575,082  
     1,081,540 
  
    Gross profit 
     53,236  
     120,514 
  
    Operating expenses 
     4,703,032  
     2,243,316 
  
    Other expenses, net 
     (8,120,251) 
     (172,530)
  
    Loss before income tax 
     (12,770,047) 
     (2,295,332)
  
    Benefit for income taxes 
     (241,046) 
     549,781 
  
    Net loss from discontinued operations 
    $(12,529,001) 
    $(2,845,113)
  
    Income on disposal of discontinued operations