Company: FOXX
Filing Date: 2025-02-14
Form Type: 10-Q
Source: 0001213900-25-014221
Chunk: 26

Company: Foxx Development Holdings Inc.
Filing Date: 2025-02-14
Form: 10-Q
Item: Item 1
Chunk 26
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 of Common Stock upon the Reverse Recapitalization 
    $(2,100,638)

The shares and corresponding
capital amounts and all per share data related to Old Foxx’s outstanding common stock prior to the Reverse Recapitalization have
been retroactively adjusted using the Exchange Ratio of 3.3033.

Note 5 — Accounts receivable,
net

As of December 31, 2024 and
June 30, 2024, accounts receivable consist of the following:

    December 31, 2024  
    June 30,  2024 

    (Audited) 
  
    Accounts receivable 
    $7,706,068  
    $251,894 
  
    Less: allowance for credit losses 
     (63,000) 
     — 
  
    Accounts receivable, net 
    $7,643,068  
    $251,894 

14

For the three months ended
December 31, 2024 and 2023, the Company recognized $63,000 and $0 on provision for allowance on credit losses, respectively. For the six
months ended December 31, 2024 and 2023, the Company recognized $63,000 and $0 on provision for allowance on credit losses, respectively.

Movement of allowance for
credit losses consisted of the following as of the date indicated:

    December 31,  
    June 30, 

    2024  
    2024 

    (Audited) 
  
    Beginning balance 
    $-  
    $     - 
  
    Addition 
     63,000  
     - 
  
    Ending balance 
    $63,000  
    $- 

Note 6
— Inventories

As of December 31, 2024 and
June 30, 2024, inventories consist of the following:

    December 31,  2024  
    June 30,  2024 

    (Audited) 
  
    Finished goods 
    $15,765,492  
    $1,768,072 
  
    Total inventories 
    $15,765,492  
    $1,768,072 

Note 7 — Contract assets

The following table presents the Company’s contract assets balances
and changes therein:

    Three
Months Ended 
December 31