Company: NEGG
Filing Date: 2025-04-28
Form Type: 20-F
Source: 0001213900-25-036055
Chunk: 90

Company: Newegg Commerce, Inc.
Filing Date: 2025-04-28
Form: 20-F
Item: Item 4A
Chunk 90
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8 million.

Net cash used in investing activities was $3.8 million
for the year ended December 31, 2022, which was primarily attributable to the payments made to acquire property and equipment of $9.2
million and partially offset by the proceeds received from sale of investment of $5.4 million.

Financing activities

Net cash used in financing activities was $6.1 million
for the year ended December 31, 2024, which was mainly due to (i) repayment of line of credit of $72.5 million; (ii) repurchase of common
stock of $3.5 million; (iii) payments for employee taxes related to stock compensation of $1.3 million, and (iv) repayment of long term
debt of $1.3 million, partially offset by (a) borrowings under line of credit of $72.5 million; and (ii) proceeds from
exercise of stock options of $0.1 million.

Net cash provided by financing activities was
$1.6 million for the year ended December 31, 2023, which was mainly due to (i) borrowings under line of credit of $66.5 million;
and (ii) proceeds from exercise of stock options of $1.2 million, partially offset by (a) the repayment of line of credit of $65.1
million; and (b) payments for employee taxes related to stock compensation of $0.8 million.

Net cash provided by financing activities was
$1.5 million for the year ended December 31, 2022, which was mainly due to (i) borrowings under line of credit of $46.2 million;
and (ii) proceeds from exercise of stock options of $2.9 million, partially offset by (a) the repayment of line of credit of $45.7
million; and (b) payments for employee taxes related to stock compensation of $1.5 million.

Capital Expenditures

Our capital expenditures are incurred primarily
in connection with purchases of property and equipment and leasehold improvements. Our capital expenditures were $3.6 million, $30.3 million,
and $9.2 million for the years ended December 31, 2024, 2023, and 2022, respectively. The increase in our capital expenditures in
2023 was primarily driven by the purchase of our new office building in Diamond Bar, California, for an aggregate purchase price of $