Company: SCAG
Filing Date: 2025-11-12
Form Type: 20-F
Source: 0001213900-25-109190
Chunk: 117

Company: Scage Future
Filing Date: 2025-11-12
Form: 20-F
Item: Item 4A
Chunk 117
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affected the cash flow from operating activities, primarily including an increase in accrued expenses and other current liabilities of
US$1.7 million due to the increase in accrued employee payroll and welfare benefits as the result of business expansion; and an
increase in contract liabilities of US$1.2 million due to the increases in the contracts signed and advances received from customers.

Investing activities

Our net cash used in investing activities was US$20.7 million for the
year ended June 30, 2025, primarily due to purchase of long-term investments of US$20.0 million, loans to third parties of US$0.8 million,
and collection of loans to third parties of US$0.1 million.

Our net cash used in investing
activities was US$1.6 million for the year ended June 30, 2024, primarily due to an increase of loans to third parties of US$1.8 million.

Our net cash used in investing
activities was US$0.2 million for the year ended June 30, 2023, primarily due to an increase of purchase of property and equipment
of US$0.2 million.

Financing activities

Our net cash provided by financing activities was US$24.7 million
for the year ended June 30, 2025, primarily due to (1) proceeds from Private Investment in Public Entity (“ PIPE”) of
US$20.0 million; (2) proceeds from short-term bank loans of US$10.3 million; and (3) loans provided by related parties of US$4.1 million;
partially offset by (1) repayments of short-term bank loans of US$9.2 million; and (2) repayment of loans provided by related
parties of US$2.0 million.

Our net cash provided by
financing activities was US$8.7 million for the year ended June 30, 2024, primarily due to (1) proceeds from short-term bank
loans of US$12.3 million; (2) contribution from redeemable non-controlling interests of US$2.8 million; (3) proceeds from
issuance of convertible redeemable preferred shares, net of issuance costs of US$0.9 million; partially offset by (1) repayments
of short-term bank loans of US$6.2 million; (2) payments for listing expenses of US$0.6 million and (3) repayment of