Company: ACBM
Filing Date: 2025-07-18
Form Type: 10-K
Source: 0001640334-25-001245
Chunk: 7

Company: ACRO BIOMEDICAL CO., LTD.
Filing Date: 2025-07-18
Form: 10-K
Item: Item 1
Chunk 7
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. Unless we can generate significant revenue and gross profit we may not be able to operate profitably. The lack of an active trading market in our common stock combined with our lack of sales can materially impair our ability to raise money through the sale of equity or debt securities.  We cannot assure you that we can or will ever operate profitably.

We require significant funding for us to conduct our business.

At December 31, 2023, we had $376 in cash, no accounts receivable and no inventory.  Although we may seek to raise funds in the equity market, we have no agreements or understandings with respect to any funding and we can give no assurance as to the availability or terms of any such financing. Because of our financial condition, the lack of sales in the second and third quarters of 2022 and subsequent to December 31, 2022 through the date of this annual report, along with the absence of an active market for our stock and our stock being traded on the OTC Market Group’s Expert Market, which means that our common stock is not eligible for proprietary broker-deal quotes, with the result that there are no published quotes for our common stock, together with risk related to political and legal situation in Hong Kong, it may be difficult for us to raise funds in the equity market, and, if we are able to raise funds our stockholders may suffer significant dilution. All of our funding since January 1, 2021 has been in the form of advances from our chief executive officer and minority shareholder.

 8Table of Contents

We incurred significant research and development expenses and such research and development did not result in a marketable product.

A key element in the loss for both 2023 and 2022 is stock-based compensation relating to research and development  and marketing of approximately $8.1 million in 2023 and approximately $15.7 million in 2022, reflecting the amortized portion of the value of common stock issued in 2021 to consultants for research and development and selling, general and administrative services relating to our proposed chicken feed product.  The deferred stock compensation is fully amortized at December 31, 2023.

Our financial statements include a going concern paragraph.

Our financial statements for the year ended December 31, 2023 include a going concern paragraph. We had minimal cash at December 31, 2023 and no revenues or gross profit for the year ended December 31, 2023, we incurred a loss of