Company: ABLV
Filing Date: 2025-04-23
Form Type: 20-F
Source: 0001213900-25-034677
Chunk: 20

Company: Able View Global Inc.
Filing Date: 2025-04-23
Form: 20-F
Item: Item 3
Chunk 20
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17.4 million
as of December 31, 2024 and 2023, respectively. The decrease in inventory balance was due to the fact that (i) we lowered our stocks
of inventories as of December 31, 2024 in response to the decrease in revenues, and (ii) we provided inventory write-down of $4.9 million
against certain cosmetics products due to slow moving. Our inventory turnover days were 37 days and 60 days in 2024 and
2023, respectively. Inventory turnover days for a given period are equal to the average inventory balances as of the beginning and
the end of the period divided by total cost of products during the period and multiplied by the number of days during the period.

We
cannot assure you that we will be able to effectively manage our inventories and product costs. The amount and turnover days of
our inventories may increase in the future, which will make it more challenging for us to manage our working capital effectively. If
we fail to manage our inventory effectively, we may be subject to a heightened risk of inventory obsolescence, a decline in inventory
values, and significant inventory write-downs or write-offs. Our inventory may also be damaged due to natural disasters or accidents,
such as fire accidents. In addition, we may be required to lower sale prices in order to reduce inventory level, which may lead to lower
margins. Any of the above may materially and adversely affect our results of operations and financial condition.

On the other hand, if we underestimate demand
for our products, or if our brand partners under the distribution model fail to supply quality products in a timely manner or if there
is any natural disaster or outbreak of pandemic or epidemic that disrupts supply chain, we may experience inventory shortages, which might
result in missed sales, diminished brand loyalty and lost revenues, any of which could harm our business and reputation.

We rely on marketing and promotional arrangements
we signed with online services, search engines, and other websites to drive traffic to the stores we operate and for our other customers.
If we are unable to enter into or properly maintain and manage these marketing and promotional arrangements, our ability to generate revenue
could be adversely affected.

We have entered into marketing and promotional
arrangements with online services, search engines, and other websites to provide content, advertising banners and other links to our brand
partners’ e-commerce businesses. We expect to rely on these arrangements as significant sources of traffic to our brand partners’
e