Company: AGCC
Filing Date: 2025-08-19
Form Type: F-1/A
Source: 0001213900-25-078155
Chunk: 96

Company: Agencia Comercial Spirits Ltd.
Filing Date: 2025-08-19
Form: F-1/A
Chunk 96
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 2024 |   |
|                                   |     |      US$ |   |     |      US$ |   |
| Cash flows provided by (used in): |     |          |   |     |          |   |
| – Operating activities            |     | (274,522 | ) |     | (236,837 | ) |
| – Investing activity              |     |  494,042 |   |     |        — |   |
| – Financing activities            |     | (157,258 | ) |     |  191,786 |   |
| Net increase (decrease) in cash   |     |   62,262 |   |     |  (45,051 | ) |

liquidity and capital resources We have not engaged in any significant equity transactions since our initial incorporation and issuance of share capital. Our operations have been primarily funded through internally generated cash flows from our whisky trading business activities and borrowings from related parties. As of December 31, 2024, our cash and cash equivalents balance were US$54,752, a decrease of 57% from US$126,287 in 2023. The decline in cash was primarily due to increased working capital requirements, including higher inventory purchases and accounts receivable, as well as payment of offering costs related to the IPOs. The working capital as of December 31, 2024, was US$1,745,572, an increase of 39% from US$1,253,389 in 2023. The increase in working capital reflects growth in inventory and accounts receivable to support expanded operations. In 2024, we obtained a significant related party loan to fund our operations and meet our financing needs, as evidenced by the net cash inflow from financing activities of US$191,786. This reliance on related party financing was necessitated by the negative operating cash flow experienced during the year. While we have historically relied on a combination of operating cash flows, capital contributions from shareholders, and bank borrowings (including loans from related parties) to fund operations, the significant loan from a related party played a crucial role in providing liquidity in 2024. We believe our working capital is sufficient to meet our current operational and working capital requirements. We continue to monitor our liquidity position closely and actively manage our working capital to ensure we have adequate resources to support our business operations and growth initiatives. Going forward, we expect our liquidity and capital resources to be primarily derived from our operating activities, supplemented by financing