Company: KNRX
Filing Date: 2025-01-15
Form Type: F-1/A
Source: 0001493152-25-002249
Chunk: 99

Company: KNOREX LTD.
Filing Date: 2025-01-15
Form: F-1/A
Chunk 99
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 of decreased security deposits, prepayments to vendors.

Net cash used in operating activities for the year ended December 31, 2022 was US$6.9 million, primarily reflecting net loss of US$6.7 million, an increase of US$1.2 million in accounts receivable as a result of our increased sales in 2022, an increase of US$0.1 million in other receivables as a result of increased sales, goods and services taxes receivables, which was offset by non-cash expenses of depreciation, amortization of discount on debt instrument, amortization of capitalized software development costs, and provision of credit losses of approximately US$0.4 million, an increase of US$0.1 million in accounts payable; an increase of US$0.6 million in other payables and accrued liabilities as a result of increased accrued interest from the long term bank loans and the convertible notes, as well as increased accrued payroll and accrued expenses; and an increase of US$0.1 million in deferred revenue.

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Investing Activities

Net cash used in investing activities was approximately US$445,000 for the six months ended June 30, 2024, which was primarily attributable to the purchase of office equipment of approximately US$10,000 and capitalized software development costs of approximately US$434,000.

Net cash used in investing activities was approximately US$443,000 for the six months ended June 30, 2023, which was primarily attributable to the purchase of office equipment of approximately US$8,000 and capitalized software development costs of approximately US$435,000.

Net cash used in investing activities was approximately US$878,000 for the year ended December 31, 2023, which was primarily attributable to the purchase of office equipment of approximately US$2,000 and capitalized software development costs of approximately US$876,000.

Net cash used in investing activities was approximately US$709,000 for the year ended December 31, 2022, which was primarily attributable to the purchase of office equipment of approximately US$48,000 and capitalized software development costs of approximately US$660,000.

Financing Activities

Net cash provided by financing activities was US$2.8 million for the six months ended June 30, 2024, which was mainly attributable to the proceeds from exercise of warrants of US$1.3 million, proceeds from convertible notes of US$1.6 million, proceeds from short-term loan- related parties