Company: NCL
Filing Date: 2025-07-02
Form Type: 10-K/A
Source: 0001575872-25-000444
Chunk: 38

Company: Northann Corp.
Filing Date: 2025-07-02
Form: 10-K/A
Chunk 38
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 years ended December 31, 202 4 and 202 3 , the Company contributed a total of $ 67,699 and $ 69,131 , respectively, to these funds.

| 15. | OPERATING LEASE |

The Company has operating leases for its office facilities. The lease is located at 9820 Dino Drive, Suite 110, Elk Grove, California, 95624, which consist of approximately 3,653square meters. The Company's leases have remaining terms of approximately 37months for a lease term commencing on August 1, 2020 and ending on August 31, 2023. The lease was renewed for additional 36 months . Leases with an initial term of 12 months or less are not recorded on the balance sheet; the Company recognizes lease expense for these leases on a straight-line basis over the lease term. The Company does not separate non-lease components from the lease components to which they relate, and instead accounts for each separate lease and non-lease component associated with that lease component as a single lease component for all underlying asset classes.

The following table provides a summary of leases by balance sheet location as of December 31, 202 4 and 202 3 :

|                                         | Assets/liabilities |   | December 31, 
         2024 |     |   | December 31, 
         2023 |
|:----------------------------------------|:-------------------|:--|-------------:|:----|:--|-------------:|
| Assets                                  |                    |   |              |     |   |              |
| Operating lease right-of-use assets     |                    | $ |    1,822,266 |     | $ |       87,380 |
| Liabilities                             |                    |   |              |     |   |              |
| Operating lease liability - current     |                    | $ |      355,754 |     | $ |       31,413 |
| Operating lease liability - non-current |                    |   |    1,466,512 |     |   |       55,967 |
| Total lease liabilities                 |                    | $ |    1,822,266 |     | $ |       87,380 |

| F-23 |

The operating lease expenses for the year ended December 31, 202 4 and 202 3 were as follows:

|                         | Lease Cost |     | Classification                     |     |   | December 31,