Company: ACBM
Filing Date: 2025-07-23
Form Type: 10-Q
Source: 0001640334-25-001279
Chunk: 40

Company: ACRO BIOMEDICAL CO., LTD.
Filing Date: 2025-07-23
Form: 10-Q
Item: Item 8
Chunk 40
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 revenue. 

Our inability to generate sales partially resulted from the aftereffects of the COVID-19 restrictions of the Chinese government.  Our customers suffered tremendous financial losses due to COVID-19 restrictions, including the Chinese government’s No-COVID policy.  Our customers sold their products into China and the Chinese economy was having difficulty in bouncing back.  We believe these factors also affected the ability of our customer to pay for the products purchased from us which resulted in a $480,000 account receivable reserve in 2023. 

 12Table of Contents

Results of Operations

Three and Six Months Ended June 30, 2024 and 2023 

For the three months ended June 30, 2024, we had no revenue or cost of revenue.  Our operating expenses were $9,086 which are primarily relating to expenses and professional fees relating to our status as a public company. We also incurred interest expense to a minority stockholder of $1,057. As a result, we had a net loss of $10,143 or $(0.00) per share (basic and diluted).

For the three months ended June 30, 2023, we had no revenue or cost of revenue.  Our operating expenses were $3,194,700, of which $1,878,275 represented research and development expenses related primarily to the development of cordyceps-infused chicken feed, and $1,316,425 represented selling, general and administrative expenses, of which $1,245,175 related to services provided by our consultants and $71,250 to expenses and professional fees relating to our status as a public company. The compensation to our consultants for research and development services and selling, general and administrative services totaling $3,123,450 represented the amortization of deferred stock compensation issued to the consultants in 2021. We also incurred interest expense to a minority stockholder of $789. As a result, we had a net loss of $3,195,489 or $(0.05) per share (basic and diluted).

For the six months ended June 30, 2024, we had no revenue or cost of revenue.  Our operating expenses were $19,384 which are primarily relating to expenses and professional fees relating to our status as a public company. We also incurred interest expense to a minority stockholder of $2,011. As a result, we had a net loss of $21,395 or $(0.00) per share (