Company: SISI
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001641172-25-010889
Chunk: 61

Company: SHINECO, INC.
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 1
Chunk 61
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 per annum. The Company repaid totaling $0.4 million during the year ended June 30, 2024. As of June 30, 2024, the total outstanding balance, including principal and the interest, amounted to US$478,547. During the nine months ended March 31, 2025, all of the amounts, including principal and interest due to Lyu Jiajia, were offset with the consideration for shares purchased from the Company. 

    b.
    The amounts pertain to advances from its related parties for the Company’s working capital during the Company’s normal course of business. These advances are unsecured, non-interest bearing and due on demand.

Interest expenses on loans due to related parties
were US$14,450 and nil from continuing operations for the nine months ended March 31, 2025 and 2024, respectively. Interest expenses on
loans due to related parties were both nil from continuing operations for the three months ended March 31, 2025 and 2024.

Interest expenses on loans due to related parties
were nil and US$1,526 from discontinued operations for the nine months ended March 31, 2025 and 2024, respectively. Interest expenses
on loans due to related parties were both nil from discontinued operations for the three months ended March 31, 2025 and 2024.

Sales to a Related Party

The Company’s discontinued operation, Wintus,
made sales of US$678,142 and US$797,506 to its related party, Chongqing Fuling District Renyi Zhilu Silk Industry Co., Ltd, for the nine
months ended March 31, 2025 and 2024, respectively. The Company made no sales its related party, Chongqing Fuling District Renyi Zhilu
Silk Industry Co., Ltd, for the three months ended March 31, 2025 and 2024.

Loan guarantee provided by related parties

The Company’s related parties provide a guarantee
for the Company’s bank loans (see Note 13).

    32

Loan guarantee provided to a related party

As of March 31, 2025 and June 30, 2024, Chongqing
Wintus (New Star) Enterprises Group (“Chongqing Wintus”) provided a guarantee that amounted to US$688,906 and US$687,999 for
a bank loan borrowed by Chongqing Yufan, a