Company: MKDWW
Filing Date: 2025-04-03
Form Type: 20-F
Source: 0001641172-25-002607
Chunk: 80

Company: MKDWELL Tech Inc.
Filing Date: 2025-04-03
Form: 20-F
Item: Item 5
Chunk 80
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 uncertain if we will be able to reduce or eliminate our net losses for the foreseeable future. These
conditions raise substantial doubt about our ability to continue as a going concern.

  49  

We
have historically depended on financing from bank, related parties and third-party investors to support our operations. Our future operations
are dependent upon equity or debt financing and our ability to generate profits through operations at an indeterminate time in the future.
We cannot assure that we will be successful in completing an equity or debt financing or in achieving or maintaining profitability in
the near term. Our financial statements do not give effect to any adjustments relating to the carrying values and classification of assets
and liabilities that would be necessary should we be unable to continue as a going concern.

Cash
Flows

The
following table sets forth a summary of our cash flows for the years indicated:

                                                        For the years ended December 31,                                                                    
                                                        2022                                                2023                      2024                  
                                                        US$                                                 US$                       US$                   
  Net cash used in operating activities                 $                                     (129,863      $         (1,323,384      $         (3,112,605  
 ────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────
  Net cash used in investing activities                                                       (428,128                (1,297,701                  (834,937  
  Net cash provided by financing activities                                                    605,695                 3,135,961                 3,582,030  
  Effect of exchange rate changes                                                             (124,134                    (7,456                    34,814  
  Net change in cash and cash equivalents                                                      (76,430                   507,420                  (330,698  
  Cash and cash equivalents, beginning of the year                                             493,438                   417,008                   924,428  
  Cash and cash equivalents, end of the year            $                                      417,008      $            924,428      $            593,730  

Operating
activities

For
the year ended December 31, 2024, our net cash used in operating activities was US$3.11 million, which was primarily attributable to
(i) our net loss of US$3.16 million, (ii) an adjustment of added non-cash items of a net amount of US$0.67 million, inclusive of depreciation
and amortization and other non-cash items, (iii) changes