Company: GURE
Filing Date: 2025-11-19
Form Type: 10-Q
Source: 0001193805-25-001627
Chunk: 63

Company: GULF RESOURCES, INC.
Filing Date: 2025-11-19
Form: 10-Q
Item: Item 1
Chunk 63
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30, 2025 and 2024, the
net revenue for the crude salt was $992,250 and $654,039, respectively. The increase of net revenue of crude salt was mainly due to the
58% increase in tonnes sold and the 4% decrease in average selling price of crude salt for the three-month period ended September 30,
2025.

Chemical products segment

For the three-month periods ended September 30,
2025 and 2024, the net revenue for the chemical products segment was $0 due to the closure of our chemical factories since September 1,
2017.

Natural gas segment

For the three-month period ended September 30,
2025 and 2024, the net revenue was $0 and $17,013.

The decrease in income was due to the fact that the relevant documents
of the client were incomplete, which prevented us from continuing the cooperation.

23 

Cost of Net Revenue

    Cost of Net Revenue by Segment 
    Percent Change

    Three-Month Period Ended 
    Three-Month Period Ended 
    of Cost of

    September 30, 2025 
    September 30, 2024 
    Net Revenue
  
    Segment 
      
    % of total 
      
    % of total 

    Bromine 
    $7,666,463  
     96% 
    $3,794,088  
     93% 
     102%
  
    Crude Salt 
     330,322  
     4% 
     277,451  
     7% 
     19%
  
    Chemical Products 
     —  
     —  
     —  
     —  
     — 
  
    Natural Gas 
     —  
     —  
     77  
     —  
     (100%)
  
    Total 
    $7,996,785  
     100% 
    $4,071,616  
     100% 
     96%

Cost of net revenue reflects
mainly the raw materials consumed and the direct salaries and benefits of staff engaged in the production process, electricity, depreciation
and amortization of manufacturing plant and machinery and other manufacturing costs. Our cost of net revenue was $7,996,785 for the three-month
period ended September 30, 2025, an increase of $3,925,