Company: FSTWF
Filing Date: 2025-02-28
Form Type: F-1
Source: 0001213900-25-018264
Chunk: 68

Company: FST Corp.
Filing Date: 2025-02-28
Form: F-1
Chunk 68
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 for the year ended December 31, 2023 from $6,214,238 for the year ended December 31, 2022, representing a 16.6% decrease. This decrease was primarily due to a decrease of personnel expense such as management and directors’ bonus as sales declined for the year ended December 31, 2023. Research and Development Expenses Research and development expenses remained stable, which amounted to $1,529,690 and $1,507,927 for the years ended December 31, 2023 and 2022, respectively. Other Income Other income decreased by $1,967,109, or 90.7%, from $2,168,336 for the year ended December 31, 2022 to $201,227 for the year ended December 31, 2023. The decrease was mainly due to: i) the decline of the foreign exchange rate gain of $1,577,805 because of less favorable exchange rate gain of USD to TWD; ii) the increase of investment loss on long -terminvestment of $466,262 of investment in Factory Automation Technology Co., Ltd. Income Tax Expenses Income tax benefit was $$103,408 for the year ended December 31, 2023 and income tax expenses was $3,094,759 for the year ended December 31, 2022. This was mainly due to the fact that taxable income turned to loss from the year ended December 31, 2022 to 2023. Liquidity and Capital Resources Historically, we have financed our operations mainly through equity contributions from the Company’s shareholders and cash flow from operating activities in ordinary course of business. As of June 30, 2024 and December 31, 2023, we had cash and cash equivalents of $8,098,933 and $8,904,618, which consisted of cash, bank deposits and short -term, highly liquid investments that are readily convertible to known amounts of cash. The Group believes that cash on hand will be sufficient to meet the working capital and capital expenditure requirements for at least the next 12 months from the date of this Prospectus and sufficient to fund its operations. To the extent that our current resources are insufficient to satisfy our cash requirements, we may need to seek additional equity or debt financing. If the financing is not available, or if the terms of financing are less desirable than we expect, we may be forced to decrease our level of investment in research and development or delay, scale