Company: NCL
Filing Date: 2025-07-01
Form Type: 10-K
Source: 0001575872-25-000433
Chunk: 141

Company: Northann Corp.
Filing Date: 2025-07-01
Form: 10-K
Item: Item 7
Chunk 141
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 net cash used in operating activities for the year ended December 31, 2024 was mainly due to our net loss of $4,379,875 adjusted for (i) a net increase of non-cash items of $4,945,053 which consisted primarily of share-based compensation, depreciation and amortization, and income from settlement of convertible notes, and (ii) a net decrease of $1,798,669 in changes in operating assets and liabilities. The net decrease in changes in operating assets and liabilities was attributable primarily to decrease of $1,084,484 in unearned revenue and decrease of $711,533 in accruals and other payables from December 31, 2023 to December 31, 2024.

The net cash used in operating activities for the year ended December 31, 2023 mainly included our net loss of $7,132,573, adjusted for (i) a net increase of non-cash items of $694,057, which consisted primarily of depreciation and amortization and allowance for bad debt, and (ii) a net increase of $1,759,800 in changes in operating assets and liabilities. The net increase in changes in operating assets and liabilities was attributable primarily to the decrease in inventory of $1,916,878, increase in accrued expenses and other payables for $1,827,143, and increase in unearned revenue of $1,084,197, and partially offset by the increase in account receivables of $1,186,720 and decrease in account payables of 2,381,174.

Investing Activities

Net cash used in investing activities was $296,363 for the year ended December 31, 2024, as compared to nil for the year ended December 31, 2023. The net cash used in investing activities for the year ended December 31, 2024 was mainly attributable to payment of construction in process.
Financing Activities

Net cash used in financing activities for the year ended December 31, 2024 was $1,186,585 as compared to net cash provided by financing activities of $5,376,489 for the year ended December 31, 2023. Net cash used in 2024 was mainly due to net payment for bank borrowings and loans for $2,549,597, settlement of convertible notes for $50,000, and partially offset by the receipt from related party for $1,136,913. Net cash provided by financing