Company: GURE
Filing Date: 2025-04-11
Form Type: 10-K
Source: 0001193805-25-000461
Chunk: 505

Company: GULF RESOURCES, INC.
Filing Date: 2025-04-11
Form: 10-K
Item: Item 7A
Chunk 505
---
 Company's common stock on the grant date.

During the year ended December
31, 2023, the Company granted in the aggregate, 295,000 restricted shares of common stock to a consultant, the company's directors, officers
and an employee. The restricted shares award were granted under the 2019 Omnibus Equity Incentive Plan (See Note 15) and vested immediately.
The fair value of the award on the date of grant was $451,350 which was expensed in full during the year ended December 31, 2023.

The Company granted an
aggregate of 295,000
restricted shares of common stock in January 2025 to a consultant, the Company's directors, officers, and an employee as
compensation for services rendered for the year ended December 31, 2024. The restricted shares award were granted under the 2019
Omnibus Equity Incentive Plan (See Note 15) and vested immediately. The fair value of the award on the date of grant was $194,700
which was expensed in full during the year ended December 31, 2024.

Retained Earnings - Appropriated

In accordance with the relevant
PRC regulations and the PRC subsidiaries’ Articles of Association, the Company’s PRC subsidiaries are required to allocate
its profit after tax to the following reserve:

Statutory Reserve

SCHC, SYCI, SHSI and DCHC are
required each year to transfer at least 10% of the profit after tax as reported under the PRC statutory financial statements to the Statutory
Reserve until the balance reaches 50% of the registered share capital. This reserve can be used to make up any loss incurred or to increase
share capital. Except for the reduction of losses incurred, any other application should not result in this reserve balance falling below
25% of the registered capital. As of December 31, 2024, the Company’s statutory provident fund stood at $26.67 million.

NOTE 14 – TREASURY STOCK

As of December 31, 2024 and December
31, 2023, the number of treasury stock of the Company was 285,830 and 285,830, respectively.

NOTE 15 – STOCK-BASED COMPENSATION

Pursuant to the Company’s
2019 Omnibus Equity Incentive Plan adopted and approved in 2019 (“2019 Plan”), awards under the 2019 Plan is