Company: NCL
Filing Date: 2025-08-19
Form Type: 10-Q
Source: 0001575872-25-000540
Chunk: 82

Company: Northann Corp.
Filing Date: 2025-08-19
Form: 10-Q
Item: Part I, Item 1F
Chunk 82
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 cash requirements exceed its amounts of cash on hand or if it decides to further optimize its capital structure, it may seek to issue additional debt or equity securities or obtain credit facilities or other sources of funding.

The following table set forth a summary of its cash flows for the periods indicated:

  For the Six Months Ended   June 30,   2025  2024 Net cash (used in) provided by operating activities $(3,829,935) $175,674 Net cash (used in) investing activities $(785,240) $(326,829)Net cash provided by (used in ) financing activities $4,450,938  $(889,558)

Operating Activities

Net cash used in operating activities was $3,829,935 for the six months ended June 30, 2025. The net cash used in operating activities for the six months ended June 30, 2025 was mainly due to our net loss of $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