Company: SISI
Filing Date: 2025-02-14
Form Type: 10-Q
Source: 0001493152-25-006895
Chunk: 46

Company: SHINECO, INC.
Filing Date: 2025-02-14
Form: 10-Q
Item: Part I, Item 1
Chunk 46
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 regarding land use rights, land in urban districts is owned
by the state, while land in the rural areas and suburban areas, except otherwise provided for by the state, is collectively owned by
individuals designated as resident farmers by the state. However, in accordance with the legal principle that land ownership is separate
from the right to the use of the land, the government grants the user a “land use right” to use the land. The Company has
the land use right to use the land for 50 years and amortizes the rights on a straight-line basis over the period of 50 years.

SCHEDULE
OF LAND USE RIGHTS

    December 31, 2024  
    June 30, 2024 

    Land use rights 
    $708,859  
    $709,840 
  
    Less: accumulated amortization 
     (103,543) 
     (94,233)
  
    Total land use rights, net 
    $605,316  
    $615,607 

Amortization expense charged to the continuing
operations was US$9,692 and US$9,355 for the six months ended December 31, 2024 and 2023, respectively. Amortization expense charged
to the continuing operations was US$4,844 and US$6,839 for the three months ended December 31, 2024 and 2023, respectively.

No amortization expense charged to the
discontinued operations for the six and three months ended December 31, 2024 and 2023, respectively.

The estimated future amortization expenses
are as follows:

SCHEDULE
OF FUTURE AMORTIZATION EXPENSES

    12 months ending December 31:

    2025
     
    $
    19,307

    2026

    19,307

    2027

    19,307

    2028

    19,307

    2029

    19,307

    Thereafter

    508,781

    Total
     
    $
              605,316

    22

NOTE 10 - LEASES

Lessee

The Company leases offices space and
warehouse under non-cancellable operating leases, with terms ranging from one to seven and a half years. The lease terms vary from 2
years to 7.5 years. The Company considers those renewal or termination options