Company: NCL
Filing Date: 2025-11-18
Form Type: 424B3
Source: 0001575872-25-000699
Chunk: 39

Company: Northann Corp.
Filing Date: 2025-11-18
Form: 424B3
Chunk 39
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 $2,726,683 in operating
assets and liabilities. The net increase in changes in operating assets and liabilities was attributable primarily to an increase
of $2,095,805 in accruals and other payables, an increase of $1,716,794 in unearned revenue, a decrease in accounts receivable of $532,635,
and a decrease in prepayments of $309,187, partially offset by an increase in inventory of $1,442,530, and a decrease in due to related
party of $444,008.

The net cash provided by operating activities
for the nine months ended September 30, 2024 mainly included net loss of $440,897, adjusted by share-based compensation of $1,182,496,
other income of $250,000 resulting from the final settlement of the convertible notes, and a net decrease of $710,757 in operating
assets and liabilities. The net decrease in changes in operating assets and liabilities was attributable primarily to an increased in
inventory of $1,162,252, a decrease in accounts payable of $209,448, and a decrease in unearned revenue of $186,225, partially offset
by a decrease in accounts receivable of $674,820, a decrease in prepayments of $185,792, and minor change of other accounts.

Investing Activities

Net cash used in investing activities was $1,018,571
for the nine months ended September 30, 2025. The net cash used in investing activities for the nine months ended September 30, 2025 mainly
included the payments for construction in progress and purchasing equipment.

Net cash used in investing activities was $348,795
for the nine months ended September 30, 2024. The net cash used in investing activities for the nine months ended September 30, 2024 mainly
included the payments for construction in progress.

Financing Activities

Net cash provided by financing activities for
the nine months ended September 30, 2025 was $3,777,759. The net cash provided by financing activities mainly came from the partial proceeds
from the issuance of 120,000,000 common stock in the nine months ending September 30, 2025.

Net cash used in financing activities for the
nine months ended September 30, 2024 was $1,076,360. The change was mainly due to the repayment of borrowings totaling $1,763,432 and
the payment of