Company: FSTWF
Filing Date: 2025-07-25
Form Type: 424B3
Source: 0001213900-25-067790
Chunk: 64

Company: FST Corp.
Filing Date: 2025-07-25
Form: 424B3
Chunk 64
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 facing liquidity pressures. Absent any other action, the Company will require additional liquidity to continue as a going concern within twelve months from the issuance of these financial statements. To address these uncertainties, management has developed specific plans to improve the Company’s liquidity position. If the Company is unable to repay the debt as it comes due with cash generated from operations, management plans to refinance its short term obligations to extend the maturity dates. If the Company is unable to secure longer -termfinancing on acceptable terms, management will sell certain non -coreland assets, which are expected to generate a sufficient amount of cash to service the short -termobligations as they come due. Management believes that if these plans are successfully implemented, they will address the Company’s liquidity needs to enable continuation of operations for the foreseeable future. Cash Flows Summary Presented below is a summary of the Group’s operating, investing, and financing cash flows:

|                                           |     |  Years ended 
 December 31, |      |     |             |   |
| 2024                                      |     |              | 2023 |     |             |   |
| Net cash used in operating activities     |     |   (1,576,129 |    ) |     | (11,205,424 | ) |
| Net cash used in investing activities     |     |   (4,453,899 |    ) |     | (11,592,307 | ) |
| Net cash provided by financing activities |     |    3,711,358 |      |     |  11,302,462 |   |

Cash Flows Used in Operating Activities Cash flows generated from operating activities are typically re -investedto support the growth of the Group’s business. The Group’s operating cash inflows include cash from sales of its products. These cash inflows are offset by the Group’s payments to suppliers for production materials and parts used in the Group’s manufacturing process, operating expenses, and interest payments on the Group’s financings.

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During the year ended December31, 2024 and 2023, net cash used in operating activities was $1,576,129 and $11,205,424, respectively. The change was mainly attributable to (i) the increase in cash received from customers resulting from sales growth and (ii) the decrease in cash outflows for raw material purchases, due to our relatively high inventory reserves at the end of 2023. Cash Flows Used in Investing Activities Cash used in investing activities primarily relate