Company: SISI
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001641172-25-010889
Chunk: 113

Company: SHINECO, INC.
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 1
Chunk 113
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2025.

Gross profit from sales of healthy meal products increased
by US$26,234, or 102.74%, for the nine months ended March 31, 2025 as compared to the same
period in 2024. As mentioned above, the management decided to temporarily suspend healthy meal products business to avoid further losses,
hence, gross profit increased during the nine months ended March 31, 2025 as compared to
the same period last year.

Expenses

The following table sets forth the breakdown of our
operating expenses for the nine months ended March 31, 2025 and 2024, respectively, respectively:

    Nine Months Ended March 31,  
    Variance 

    2025  
    %  
    2024  
    %  
    Amount  
    % 
  
    General and administrative expenses 
    $5,069,621  
     97.26% 
    $7,474,070  
     96.95% 
    $(2,404,449) 
     (32.17)%
  
    Selling expenses 
     88,030  
     1.69% 
     157,654  
     2.04% 
     (69,624) 
     (44.16)%
  
    Research and development expenses 
     54,602  
     1.05% 
     77,811  
     1.01% 
     (23,209) 
     (29.83)%
  
    Total Amount 
    $5,212,253  
     100.00% 
    $7,709,535  
     100.00% 
    $(2,497,282) 
     (32.39)%

60

General and Administrative Expenses

For the nine
months ended March 31, 2025, our general and administrative expenses were US$5,069,621, representing a decrease of US$2,404,449,
or 32.17%, as compared to the same period in 2024. The decrease was mainly due to the decreased expenses of US$3,024,000 as a result of
the forgiveness of the subscription receivable upon settlement of the Company’s legal case; see more details in “Off-Balance
Sheet Commitments and Arrangements.” The decrease was also due to