Company: QSJC
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001683168-25-006089
Chunk: 64

Company: TANCHENG GROUP CO., LTD.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 2
Chunk 64
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 June 30,
2025 was $3,437 compared with a gross loss of $(1,857) for the three months ended June 30, 2024. As a percentage of revenue, our gross
margin increased from a gross loss of (761.1)% for the three months ended June 30, 2024 to a gross profit of 18.0% for the three months
ended June 30, 2025, primarily because the increase in revenue was able to cover the fixed overhead costs included in cost of revenue.

Operating Expenses

General and administrative expenses

By far the most significant component of our operating
expenses for both the three months ended June 30, 2025 and 2024 was general and administrative expenses in the amount of $81,760 and $84,545,
respectively. The decrease of $2,785 or 3.3% was mainly due to our success in maintaining our cost structure.

 18 

Net Loss

We reported a net loss of $85,157 for the three
months ended June 30, 2025 compared to a net loss of $93,163 for the three months ended June 30, 2024. Although we operated at a loss,
we expect to see a positive trend in our future results.

Comparison for The Six Months Ended June
30, 2025 and 2024

The following table sets forth key components
of our results of operations during the six months ended March 31, 2025 and 2024.

    2025  
    2024  
    Increase/ 
Decrease 
  
    Revenue 
    $163,830  
    $157,135  
    $6,695 
  
    Cost of revenue 
     (120,881) 
     (117,519) 
     (3,362)
  
    Gross profit 
     42,949  
     39,616  
     3,333 
  
    Selling and marketing expenses 
     (13,479) 
     (13,586) 
     107 
  
    General and administrative expenses 
     (236,866) 
     (227,093) 
     (9,773)
  
    Loss from operations 
     (207,396) 
     (201,063) 
     (6,333)
  
    Other income 
     32  
     108