Company: FSTWF
Filing Date: 2025-02-28
Form Type: F-1
Source: 0001213900-25-018264
Chunk: 64

Company: FST Corp.
Filing Date: 2025-02-28
Form: F-1
Chunk 64
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 legal, audit, additional insurance expenses, investor relations activities and other administrative and professional services. Research and Development Expenses The R&D expenses include: •Personnel related expenses, including salaries and benefits compensation expenses for personnel in research and engineering, design, and testing functions; •Expenses related to materials, suppliers and third -partyservices; and •An allocated portion of overhead expenses, such as facility and IT costs and depreciation. The Group’s research and development expenses for the six months ended June 2024 and 2023 range of 3.7% to 6.3% of its revenue, and range of 5.3% to 3.0% of its revenue for the years ended December 31, 2023 and 2022. The Group expects that its R&D costs will increase for the foreseeable future as it continues to invest in R&D activities to enrich its product line.

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Other Income The Group’s other income primarily consists of interest income (expense), foreign exchange gain (loss) and government grants. Income Tax Expenses The Group’s income tax expense primarily consists of current income tax expenses. Currently, the applicable tax rate in Taiwan is 20%, while the tax rate for unappropriated earnings is 5%. Results of Operations Comparison of Results of Operations for the Six Months Ended June 30, 2024 to the Six Months Ended June 30, 2023 The table below sets forth the results of operations for the six months ended June 30, 2024 and 2023:

|                                     |     |   |     Six Months 
 Ended June 30, 
           2024 |   |     |   |     Six Months 
 Ended June 30, 
           2023 |   |
|:------------------------------------|:----|:--|---------------:|:--|:----|:--|---------------:|:--|
| Revenue                             |     | $ |     17,829,745 |   |     | $ |     12,625,218 |   |
| Cost of sales                       |     |   |     10,087,397 |   |     |   |      6,272,032 |   |
| Gross profit                        |     |   |      7,742,348 |   |     |   |      6,353,186 |   |
| COSTS AND OPERATING EXPENSES:       |     |   |                |   |     |   |                |