Company: GURE
Filing Date: 2025-04-11
Form Type: 10-K
Source: 0001193805-25-000461
Chunk: 291

Company: GULF RESOURCES, INC.
Filing Date: 2025-04-11
Form: 10-K
Item: Item 5
Chunk 291
---
S 
     (62,148,732) 
     (36,002,320)
  
    CASH AND CASH EQUIVALENTS - BEGINNING OF YEAR 
     72,223,894  
     108,226,214 
  
    CASH AND CASH EQUIVALENTS - END OF YEAR 
    $10,075,162  
    $72,223,894 

F-6 

GULF RESOURCES, INC.

AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH
FLOWS (CONTINUED)

(Expressed in U.S. dollars)

    Years Ended December 31,

    2024 
    2023
  
    SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION 

    Cash paid during the year for: 

    Paid for taxes 
    $1,520,292  
    $6,413,065 
  
    Interest on finance lease obligation 
    $91,901  
    $96,914 
  
    Paid for Flood Prevention Project 
    $—  
    $48,384,711 
  
    SUPPLEMENTAL DISCLOSURE OF NON-CASH INVESTING AND FINANCING ACTIVITIES 

The accompanying notes are an integral
part of these consolidated financial statements.

F-7 

GULF RESOURCES, INC.

AND SUBSIDIARIES

NOTES TO CONSOLIDATED
FINANCIAL STATEMENTS

DECEMBER 31, 2024

(Expressed in U.S. dollars)

NOTE 1 – NATURE OF BUSINESS AND
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

(a)      Basis of Presentation and Consolidation

The accompanying audited consolidated
financial statements have been prepared by Gulf Resources, Inc. (“Gulf Resources”). a Nevada corporation and its subsidiaries
(collectively, the “Company”).

The consolidated financial statements
include the accounts of Gulf Resources, Inc. and its wholly-owned subsidiary, Upper Class Group Limited, a company incorporated in the
British Virgin Islands, which owns 100% of Hong Kong Jiaxing Industrial Limited, a company incorporated in Hong Kong (“HKJI”).
HKJI owns 100% of Shouguang City Haoyuan Chemical Company Limited (“SCHC”) which owns 100% of Shouguang Yuxin Chemical Industry
Co., Limited (“SY