Company: GURE
Filing Date: 2025-05-13
Form Type: 10-Q
Source: 0001193805-25-000638
Chunk: 52

Company: GULF RESOURCES, INC.
Filing Date: 2025-05-13
Form: 10-Q
Item: Part II, Item 1A
Chunk 52
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Item 1A. Risk Factors

Investing in our common stock involves a high
degree of risk. Before you invest you should carefully review our Management’s Discussion and Analysis of Financial Condition and
Results of Operations set forth in Item 2 of Part I of this Quarterly Report on Form 10-Q, our consolidated financial statements and related
notes included in Item 1 of Part I of this Quarterly Report on Form 10-Q and our consolidated financial statements and related notes,
as well as our Management’s Discussion and Analysis of Financial Condition and Results of Operations and the other information in
our Annual Report on Form 10-K for the fiscal year ended December 31, 2024. Readers should carefully review risks described in other documents
we file from time to time with the Securities and Exchange Commission.

We are currently
not in compliance with the Nasdaq continued listing requirements. If we are unable to regain compliance with Nasdaq’s listing requirements,
our securities could be delisted, which could affect our common stock’s market price and liquidity and reduce our ability to raise
capital.

On
May 6, 2025, the Company was notified by the Listing Qualifications Staff (the “ Staff”) of The Nasdaq Stock Market LLC (“ Nasdaq”)
that the Staff granted the Company’s request to transfer the listing of its common stock, par value $0.0005 per share (the “ Common
Shares”), from The Nasdaq Global Select Market tier to The Nasdaq Capital Market tier, and that the Staff granted the Company’s
request for a second 180-calendar day period, or until November 3, 2025 (the “ Second Compliance Period”), to regain compliance
with the $1.00 bid price requirement, as set forth in Nasdaq Listing Rule 5550(a)(2). To regain compliance with such minimum price requirement,
the Company must evidence a closing bid price of at least $1.00 per share for a minimum of 10 consecutive business days. The transfer
of the listing of the Common Shares from The Nasdaq Global Select Market to The Nasdaq Capital Market took effect with the open of business
on May 8, 2025. The transfer is not expected to impact trading in the Common Shares, which will continue to trade on Nasdaq under the
symbol “ GURE.”

As
previously announced, on November 5, 2024, the Staff notified the Company that the bid price for the Common Shares had closed below $1.00
per share for