Company: NCL
Filing Date: 2025-07-01
Form Type: 10-K
Source: 0001575872-25-000433
Chunk: 139

Company: Northann Corp.
Filing Date: 2025-07-01
Form: 10-K
Item: Item 7
Chunk 139
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,950   )                  (0.0   )%
Total comprehensive loss                           (2,556,422   )                 (16.7   )%            (7,138,523   )                 (51.1   )%
Revenues. Our revenues were $15,349,854 for the year ended December 31, 2024, representing an increase of $1,378,125 or 10% from $13,971,729 for the year ended December 31, 2023. The increase was mainly due to an increase in sales volume for the year ended December 31, 2024 as compared to the same period of 2023.

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                                   For the Years Ended           
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                                                     December 31,
                    2024                      2023               
Sales of products         $15,349,854                 $13,971,729
Total                     $15,349,854                 $13,971,729

Cost of Revenue. Our cost of revenues was $11,351,170 for the year ended December 31, 2024, compared to $12,744,474 for the same period in 2023. Cost of revenues refers to the cost of material and labor cost. The percentage of direct material was over 90% of the total cost of revenues. The decrease of cost of revenues compared to the year ended December 31, 2023 was primarily due to the decreased purchase price of material. We paid tariffs of $184,645 for the year ended December 31, 2024, and $210,962 for the year ended December 31, 2023. 

Gross profit and gross margin. Our gross profit was $3,979,826 for the year ended December 31, 2024, compared with a gross profit of $1,214,364 for the same period in 2023. Gross margin increased from 8.7% in 2023 to 25.9% in 2024 due to decreased purchase price of material and goods for sale.

Selling expenses. As shown below, our selling expenses consist primarily of compensation and benefits to our selling department and other expenses incurred in connection with general operations. Our selling expenses decreased by $86,834 to $1,071,633 for year ended December 31, 2024, from $1,158,467 for the year ended December 31, 2023. The decrease is mainly due to decrease in freight