Company: GURE
Filing Date: 2025-05-13
Form Type: 10-Q
Source: 0001193805-25-000638
Chunk: 45

Company: GULF RESOURCES, INC.
Filing Date: 2025-05-13
Form: 10-Q
Item: Part I, Item 1
Chunk 45
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three-month period ended March 31, 2025, compared to loss from operations of $75,092 in the same period in 2024. The main reason for the
increase in raw salt in 2024 compared to 2023 is that sales also rose by 16%.

Chemical products segment

Loss from operations from our chemical products
segment was $358,629 for the three-month period ended March 31, 2025, compared to loss from operations of $314,824 in the same period
in 2024.

Natural gas segment

Loss from operations from our natural gas segment
was $44,844 for the three -month period ended March 31, 2025, compared to loss from operations of $27,709 in the same period in 2024.

Other Income(Expense) NetOther
expense, net of $19,293 represented bank interest income, net of finance lease interest expense for the three -month period ended March
31, 2025, an increase of $26,520 (or approximately 367%) as compared to the same period in 2024.

Net LossNet loss was $4,629,500
for the three-month period ended March 31, 2025, compared to a net loss of $3,992,132 in the same period in 2024.

LIQUIDITY AND CAPITAL RESOURCES

As of March 31, 2025, cash and cash equivalents
were $8,523,045 as compared to $10,075,162 as of December 31, 2024. The components of this decrease of $1,552,117 are reflected below.

Statement of Cash Flows

                                                                     Three-Month Period Ended March 31,                                            
                                                                     2025                                                    2024                  
  Net cash used in operating activities                              $                                       (1,580,128      $         (1,330,476  
  Net cash used in investing activities                              $                                                —      $                  —  
 ───────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────
  Effects of exchange rate changes on cash and cash equivalents      $                                           28,011      $           (131,622  
  Net increase(decrease) in cash and cash equivalents                $                                       (1,552,117      $         (1,462,098  

For the three-month period ended March 31, 2025,
we met our working capital and capital investment requirements