Company: NCL
Filing Date: 2025-08-19
Form Type: 10-Q
Source: 0001575872-25-000540
Chunk: 118

Company: Northann Corp.
Filing Date: 2025-08-19
Form: 10-Q
Item: Part I, Item 8
Chunk 118
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 $4,892,287 adjusted for (i) a net increase of non-cash items of $783,485 which consisted primarily of share-based compensation, depreciation and amortization, and a tax payable write-off and (ii) a net increase of $278,867 in operating assets and liabilities. The net increase in changes in operating assets and liabilities was attributable primarily to an increase of $1,241,030 in accruals and other payables, an increase of $886,337 in unearned revenue, and a decrease in accounts receivable of $232,911, partially offset by an increase in inventory of $1,493,296, a decrease in due to related party of $273,608 and a decrease in accounts payable of $177,435.

The net cash provided by operating activities for the six months ended June 30, 2024 mainly included net loss of $937,462, adjusted by share-based compensation of $1,161,596, other income of $250,000 resulting from the final settlement of the convertible notes, an increased in inventory of $400,363, and increase in prepayments of $221,259, partially offset by an increase in unearned revenue of $468,550 and minor change of other accounts. 

6

Investing Activities

Net cash used in investing activities was $785,240 for the six months ended June 30, 2025. The net cash used in investing activities for the six months ended June 30, 2025 mainly included the payments for construction in progress. 

Net cash used in investing activities was $326,829 for the six months ended June 30, 2024. The net cash used in investing activities for the six months ended June 30,2024 mainly included the payments for construction in progress.

Financing Activities

Net cash provided by financing activities for the six months ended June 30, 2025 was $4,450,938. The net cash provided by financing activities mainly came from proceeds from the issuance of 40,000,000 common stock in the six months ending June 30, 2025. 

Net cash used in financing activities for the six months ended June 30, 2024 was $889,558. The change was mainly due to the borrowing amounting $1,428,400 from a related party of our Company, repayment of borrowings totaling $1,817,958 and the payment of $500,000 to settle the convertible notes