Company: SISI
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001641172-25-010889
Chunk: 133

Company: SHINECO, INC.
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 1
Chunk 133
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 of March 31, 2025, Biowin recorded RMB 121,447
(US$16,733) trade account payable due to the Plaintiff, and the compensation claimed by the Plaintiff was approximately RMB 54,723 (US$7,540).

On
April 16, 2025, Bank of Jiangsu (“the Plaintiff”) commenced a lawsuit against the Company’s subsidiary, Biowin,
in the Jiangsu Changzhou High-Tech Industrial Development Zone People’s Court. The Plaintiff alleged that Biowin entered into a
loan agreement with the Plaintiff on June 27, 2024, pursuant to which Biowin obtained
a loan in the amount of RMB2,946,000 (US$405,904) with a term from June 27, 2024 to January
20, 2025, at the interest rate of 4.00%. However, Biowin failed to make monthly payment of interests,
the Plaintiff, in accordance with the loan contract terms, declared the loan due and payable in advance. The loan was matured on January
20, 2025, but Biowin had not fulfilled its repayment obligations, therefore, the Plaintiff alleged that Biowin breached the loan agreement
and seek the repayment of the principal, interests, penalty interests and the litigation fee against Biowin. As of March 31, 2025, Biowin
recorded RMB 2,946,000 (US$405,904) loan payable due to the Plaintiff, and the interests
and compensation claimed by the Plaintiff was RMB 254,322 (US$35,041).

Cash Flows

The following table provides detailed information
about our cash flows for the nine months ended March 31, 2025 and 2024, respectively:

    Nine Months Ended March 31, 

    2025  
    2024 

    Net cash used in operating activities 
    $(3,120,216) 
    $(3,062,020)
  
    Net cash used in investing activities 
     (2,984,442) 
     (13,939,717)
  
    Net cash provided by financing activities 
     5,995,816  
     3,184,948 
  
    Effect of exchange rate changes on cash and cash equivalents 
     936  
     215,513 
  
    Net decrease in cash, cash equivalents