6-K
Borqs Technologies, Inc. (BRQSF)
UNITED STATES
SECURITIES AND EXCHANGECOMMISSION
Washington, D.C. 20549
FORM 6-K
REPORT OF FOREIGN PRIVATEISSUER PURSUANT TO RULE 13A-16 OR 15D-16OF THE SECURITIES EXCHANGE ACT OF 1934
For the month of December 2024
Commission File Number 001-37593
BORQS TECHNOLOGIES, INC.
(Translation of registrant’s name into English)
Office B, 21/F, Legend Tower, 7 Shing Yip Street
Kwun Tong, Kowloon, Hong Kong
(Address of principal executive offices)
Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.
Form 20-F ☒ Form 40-F ☐
INFORMATION CONTAINED IN THIS FORM 6-K REPORT
The Company hereby submits its interim balance sheet and income statement for its six months ended on June 30, 2024. This submission is made within six months following the end of said period. The consolidated financial statements herein are unaudited, prepared by the management of the Company and furnished to this Current Report on Form 6-K and incorporated herein by reference.
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BORQS TECHNOLOGIES, INC.
UNAUDITED CONSOLIDATED BALANCE SHEETS
(Amounts in thousands of US dollar (“US$”),unless otherwise stated)
| December 31, 2023 | June 30, 2024 | |||||
|---|---|---|---|---|---|---|
| US | US | |||||
| ASSESTS | ||||||
| Current assets: | ||||||
| Cash and cash equivalents | 1,047 | 2,546 | ||||
| Restricted cash | 26 | 26 | ||||
| Time deposit | 3,496 | 3,525 | ||||
| Accounts receivable | 2,363 | 1,959 | ||||
| Inventories - net | 3,556 | 3,545 | ||||
| Other receivables, net | 6,800 | 8,993 | ||||
| Prepaid expenses and other current assets, net | 853 | 659 | ||||
| Total current assets | 18,140 | 21,253 | ||||
| Non-current assets: | ||||||
| Property and equipment, net | 845 | 700 | ||||
| Right of Use Asset | 2,402 | 2,269 | ||||
| Deferred tax assets | 44 | 44 | ||||
| Total non-current assets | 3,292 | 3,013 | ||||
| Total assets | 21,432 | 24,267 | ||||
| LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||
| Current liabilities: | ||||||
| Short-term borrowings | 424 | 421 | ||||
| Accounts payable | 6,853 | 6,643 | ||||
| Accrued expenses and other payables | 18,343 | 14,489 | ||||
| Advances from customers | 1,243 | 1,374 | ||||
| Accrued payroll and related liabilities | 1,737 | 1,913 | ||||
| Lease Liabilities- current | 772 | 699 | ||||
| Amount due to related parties-current | 743 | 740 | ||||
| Deferred revenues | 8 | 318 | ||||
| Income tax payable | 216 | 117 | ||||
| Other liabilities | 2,680 | - | ||||
| Total current liabilities | 33,019 | 26,714 | ||||
| Non-current liabilities: | ||||||
| Deferred tax liability | 1,312 | 1,307 | ||||
| Lease liabilities- non-current | 1,533 | 1,526 | ||||
| Long-term payable | - | - | ||||
| Non-current liabilities | - | - | ||||
| Total non-current liabilities | 2,845 | 2,834 | ||||
| Total liabilities | 35,864 | 29,547 | ||||
| Commitments and contingencies | ||||||
| Shareholders’ equity | ||||||
| Ordinary shares | - | - | ||||
| Additional paid-in capital | 345,338 | 329,976 | ||||
| Subscription receivables | (25,514 | ) | (16,091 | ) | ||
| Statutory reserve | 1,901 | 1,901 | ||||
| Accumulated deficit | (331,539 | ) | (316,319 | ) | ||
| Including :Minority interests | (812 | ) | (811 | ) | ||
| Accumulated other comprehensive loss | (3,806 | ) | (3,935 | ) | ||
| Total shareholders’ equity | (14,432 | ) | (5,280 | ) | ||
| Total liabilities and shareholders’ equity | 21,432 | 24,267 |
All values are in US Dollars.
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BORQS TECHNOLOGIES, INC.
UNAUDITED CONSOLIDATED STATEMENT OF OPERATIONS
(Amounts in thousands of US dollar (“US$”),unless otherwise stated)
| For the six months ended June 30, | ||||||
|---|---|---|---|---|---|---|
| 2023 | 2024 | |||||
| US | US | |||||
| Net revenues: | ||||||
| Software | 5,662 | 6,173 | ||||
| Hardware | 9,330 | 10,600 | ||||
| Total net revenues | 14,992 | 16,773 | ||||
| Cost of revenues | ||||||
| Software | (3,915 | ) | (4,222 | ) | ||
| Hardware | (8,165 | ) | (9,163 | ) | ||
| Total cost of revenues | (12,080 | ) | (13,385 | ) | ||
| Total gross (loss) profit | 2,912 | 3,388 | ||||
| Operating expenses: | ||||||
| Sales and marketing expenses | (226 | ) | (202 | ) | ||
| General and administrative expenses | (10,408 | ) | (5,687 | ) | ||
| Research and development expenses | (1,362 | ) | (1,193 | ) | ||
| Total operating expenses | (11,996 | ) | (7,082 | ) | ||
| Operating income (loss) | (9,084 | ) | (3,694 | ) | ||
| Interest income | 59 | 260 | ||||
| Interest expense | (3,571 | ) | (1,755 | ) | ||
| Other income | 3 | 82 | ||||
| Other expense | (16,508 | ) | - | |||
| Gain on disposal of subsidiary | - | 14,372 | ||||
| Gain on cancellation of shares to former subsidiary | - | 5,950 | ||||
| Foreign exchange income (loss) | 286 | (193 | ) | |||
| Government grant | 14 | - | ||||
| Income (loss) from continuing operations, before income taxes | (28,801 | ) | 15,023 | |||
| Income tax expense | - | - | ||||
| Net income (loss) from continuing operations | (28,801 | ) | 15,023 |
All values are in US Dollars.
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
| BORQS TECHNOLOGIES INC. | ||
|---|---|---|
| (registrant) | ||
| Dated: December 23, 2024 | By: | /s/ Dexter Fong |
| Dexter Fong | ||
| Chief Financial Officer |
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