Company: XXC
Filing Date: 2025-09-18
Form Type: F-1/A
Source: 0001213900-25-089077
Chunk: 86

Company: XINXU COPPER INDUSTRY TECHNOLOGY Ltd
Filing Date: 2025-09-18
Form: F-1/A
Chunk 86
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 force us to incur further losses. Although we have accumulated some and continuously growing our customer base, there is no assurance that we will be able to continue to do so in the future against current or future competitors, and such competitive pressures may have a material adverse effect on our business, financial condition and results of operations. Our financial statements contain an explanatory paragraph regarding a working capital deficiency that raises substantial doubt about our ability to continue as a going concern. Our financial statements for the six months ended December31, 2024 and the fiscal years ended June30, 2024 and 2023 contain an explanatory paragraph regarding the working capital deficiency and negative cash flow from operations that raise substantial doubt about our ability to continue as a going concern. As of December31, 2024, the Company had a negative cash flow from operating activities of $598,812. As of June30, 2024, the Company had a negative working capital of $573,804 and an accumulated deficit of $1,153,912. These conditions raise substantial doubt about the Company’s ability to continue as a going concern. Therefore, the Company may be unable to realize its assets and discharge its liabilities in normal course of business. Our financial statements do not include any adjustments that might result from the outcome of this uncertainty. In order to strengthen the Company’s liquidity in the foreseeable future, the Company has taken the following measures: (i)Negotiating with banks in advance for renewal and obtaining new banking facilities; (ii)Taking various cost control measures to tighten the costs of operations; (iii)Speeding up production cycle and shortening the delivery term to improve receivable turnover; and (iv)Implementing various strategies to enhance sales and profitability. The management has a reasonable expectation that the Company has adequate resources to continue in operational existence for the foreseeable future. Notwithstanding the foregoing, the going concern could materially limit our ability to raise additional funds through the issuance of equity or debt securities or otherwise. Future financial statements may include an explanatory paragraph with respect to our ability to continue as a going concern. Until we generate significant recurring revenues, we expect to satisfy our future cash needs through debt or equity financing. We cannot be certain that additional funding will be available to us on acceptable terms, if at all. If funds are not available, we may be required to delay, reduce the scope of, or eliminate our development plans. This may raise substantial doubts about our ability to continue as a going concern. If we do not have or are unable to generate sufficient cash available