Company: GURE
Filing Date: 2025-04-11
Form Type: 10-K
Source: 0001193805-25-000461
Chunk: 181

Company: GULF RESOURCES, INC.
Filing Date: 2025-04-11
Form: 10-K
Item: Item 3
Chunk 181
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 acquisition candidates or operations were to increase, the cost of acquiring businesses could increase materially.
We may effect an acquisition with a target business which may be financially unstable, under-managed, or in its early stages of development
or growth. Our inability to implement and manage our expansion strategy successfully may have a material adverse effect on our business
and future prospects.

Going Concern Consideration

 The
consolidated financial statements are prepared on the going concern basis, meaning that the enterprise is expected to realize the
assets and settle the liabilities through normal business operations. However, the going concern of the enterprise relies on many
factors, such as profitable operations, generating operating cash flows, obtaining financing, etc.  The company assesses its
liquidity by monitoring cash and cash equivalents, as well as operating and capital expenditure commitments. As of December 31,
2024, As of Dec 31, 2024, the Company had current assets of $17.45 million and current liabilities of $17.73 million. As a result,
the deficit was $0.28 million, and it has suffered losses in both the fiscal years of 2024 and 2023 as well. If it is unable to
raise additional funds, it may need to take measures such as cutting administrative and operational cost and save funds.  If
there are significant doubts regarding the company's ability to continue operations, the company is attempting to alleviate such
concerns through measures such as controlling operating expenses, shifting business focus to revenue-generating activities,
obtaining authorization from domestic banks and other financial institutions, and seeking equity or debt financing. Additionally,
the company will also obtain financial support commitments from related parties. However, these situations still pose significant
doubts regarding the company's ability to continue operations. The financial statements do not consider the potential impact on the
recoverability of assets, classification, and amounts and classification of liabilities if the company is unable to continue
operations.

Contractual Obligations and Commitments

We have no significant contractual
obligations not fully recorded on our consolidated balance sheets or fully disclosed in the notes to our consolidated financial statements.
Additional information regarding our contractual obligations and commitments at December 31, 2024 is provided in the notes to our consolidated
financial statements.

44 

Material Off-Balance Sheet Arrangements

We do not currently have any off-balance sheet arrangements
falling within the definition of Item 303(a) of Regulation S-K.

Critical Accounting Policies and Estimates

Our