8-K

UNITED

STATES

SECURITIES

AND EXCHANGE COMMISSION

Washington,

DC 20549

FORM

8-K

CURRENT

REPORT

Pursuant

to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date

of Report (Date of earliest event reported):

February14, 2025

LAKESIDE HOLDING LIMITED

(ExactName of Registrant as Specified in its Charter)

Nevada	001-42140	82-1978491
(State or other jurisdiction<br><br> <br>of incorporation)	(Commission File Number)	(I.R.S. Employer Identification No.)

1475 Thorndale Avenue, Suite A

Itasca,Illinois 60143

(Addressof Principal Executive Offices and Zip Code)

(224)

446-9048

(Registrant’stelephone number, including area code)

Not

Applicable

(Formername or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

☐	Written<br> communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐	Soliciting<br> material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐	Pre-commencement<br> communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐	Pre-commencement<br> communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common stock, par value US$0.0001 per share	LSH	The<br> Nasdaq Stock Market LLC

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ☒

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Item2.02. Results of Operations and Financial Condition.

On February 14, 2025, Lakeside Holding Limited (the “Company”) announced its financial results for the fiscal quarter ended December 31, 2024. A copy of the press release is attached as Exhibit 99.1 to this Report.

The information under this Item 2.02, including Exhibit 99.1 shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, (the “Exchange Act”) or otherwise subject to the liabilities of that section, and shall not be deemed to be incorporated by reference into the filings of the Company under the Securities Act of 1933, as amended or the Exchange Act, except as will be expressly set forth by specific reference in such a filing.

Item9.01. Financial Statements and Exhibits.

(d) Exhibits

Exhibit No.	Description
99.1	Press<br> Release - Lakeside Announces Fiscal 2025 Second Quarter and Six - Month Results
104	Cover<br> Page Interactive Data File (embedded within the Inline XBRL document).

1

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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 hereunto duly authorized.

Date:<br> February 14, 2025
	Lakeside Holding Limited
	By:	/s/<br> Henry Liu
		Henry<br> Liu
		Chairman<br> and Chief Executive Officer

2

Exhibit 99.1

LakesideAnnounces Fiscal 2025 Second Quarter and Six-Month Results

Itasca,IL, February 14, 2024 -- Lakeside Holding Limited (“Lakeside” or the “Company”) (Nasdaq: LSH), a U.S.-based cross-border supply chain solution provider with a unique focus on the Asia-Pacific market operating through two specialized subsidiaries—American Bear Logistics and Hupan Pharmaceutical (Hubei) Co., Ltd., today announced financial results for its fiscal 2025 second quarter and first half ended December 31, 2024.

ManagementCommentary

Henry Liu, Chairman and Chief Executive Officer of Lakeside commented, “While we faced industry-wide headwinds in the second quarter, we’ve made tremendous strategic progress in positioning Lakeside for long-term growth. Our expansion into pharmaceutical logistics through Hupan Pharmaceutical, our new partnerships with major e-commerce platforms, and our significantly-expanded Dallas-Fort Worth facilities demonstrate our commitment to diversifying and strengthening our business. The strong growth in our Asia-based customer revenues, up 29.4% in the first half, validates our strategic shift toward serving the rapidly expanding cross-border e-commerce market. With these foundational pieces in place and our continued investment in operational capabilities, we’re excited about the opportunities ahead as we build a more robust, diversified logistics enterprise.”

OperationalHighlights

E-Commerce& Cross-Border Logistics:

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●	Entered<br> one-year agreement with a major Asian e-commerce platform
●	Partnered<br> with a leading global social media and e-commerce platform for customs brokerage services
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●	Launched<br> new Pick & Pack Fulfillment service for a major Chinese logistics partner
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U.S.Facilities Expansion:

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●	Expanded<br> Dallas-Fort Worth operations:
o	More<br> than doubled warehouse space from 20,000 to 46,657 square feet
---	---
o	Added<br> staff to support expanded operations
---	---
o	Part<br> of multi-hub strategy including Chicago O’Hare (ORD), Dallas-Fort Worth (DFW), and Los Angeles<br> (LAX)
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Medical/PharmaceuticalBusiness Development:

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●	Acquired<br> Hupan Pharmaceutical (Hubei) Co., Ltd:
o	Purchase<br> price: RMB 4.0M ($0.6M)
---	---
o	Expected<br> annual revenue contribution: $7M
---	---
o	Gained<br> licenses for drug wholesale, retail, and medical device distribution
---	---
o	Partnerships<br> with 15 major Wuhan hospitals
---	---
●	Established<br> partnership with Sinopharm Group Hubei Co., Ltd. for:
---	---
o	Essential<br> medicine storage
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o	Transportation<br> services
---	---
o	Logistics<br> services
---	---
●	Signed<br> RMB 11.0M ($1.5M) sales agreement with Sinopharm Holding Hubei New Special Medicine Co.,<br> Ltd:
---	---
o	One-year<br> contract effective January 1, 2025
---	---
o	Covers<br> critical medicines including Sodium Bicarbonate, Glucose, and Glucose Sodium Chloride
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FinancialResults for the Three Months Ending December 31, 2024:

Total revenues decreased by $1.5 million, or 31.3% to $3.4 million for the three months ended December 31, 2024, compared with $4.9 million for the three months ended December 31, 2023. The decrease was primarily driven by a significant decline in volume we handled from our cross-border airfreight solutions.

●	Revenues<br> from our cross-border airfreight solutions decreased by $1.1 million or 35.5%, from $3.1<br> million in the three months ended December 31, 2023, to $2.0 million in the three months<br> ended December 31, 2024. The decrease was primarily due to a decrease in the volume of cross-border<br> air freight processed, from approximately 8,217 tons for the three months ended December<br> 31, 2023, to approximately 4,459 tons for the three months ended December 31, 2024.
●	Revenues<br> from our cross-border ocean freight solutions decreased by $0.4 million, or 24.2%, from $1.8<br> million in the three months ended December 31, 2023, to $1.4 million in the three months<br> ended December 31, 2024. This reduction was primarily due to a decrease in the volume of<br> cross-border ocean freights processed and forwarded, dropping from 1,330 TEU in the three<br> months ended December 31, 2023, to 1,046 TEU in the three months ended December 31, 2024.
---	---
●	For<br> the three months ended December 31, 2024, our total revenue from pharmaceutical product distribution<br> amounted to $0.2 million, compared to no revenue from this segment in the same period of<br> the prior year. Starting from December 2024, we established a new revenue stream through<br> the distribution of pharmaceutical products. We procured pharmaceuticals—primarily<br> pharmaceutical solutions—directly from manufacturers and supplied them to distributors,<br> hospitals, and clinics.
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2

Revenuesby Customer Geographic

	For the three months ended December 31,
	2024					2023
Revenues	Amount		% of <br> total <br> Revenues			Amount		% of <br> total <br> Revenues			Amount <br> Increase <br> (Decrease)			Percentage <br> Increase <br> (Decrease)
Revenue from cross-border freight solutions
Asia-based customers	$	2,750,202		76.5	%	$	2,602,745		52.9	%	$	147,457			5.7	%
U.S.-based customers		627,301		17.4	%		2,313,358		47.1	%		(1,686,057	)		(72.9	)%
		3,377,503		93.9	%		4,916,103		100.0	%		(1,538,600	)		(31.3	)%
Revenue from distribution of pharmaceuticals
Asia-based customers		218,086		6.1	%		-		-			218,086			N/A
Total revenues	$	3,595,587		100.0	%	$	4,916,103		100.0	%	$	(1,320,514	)		(26.9	)%
●	Revenues<br> from Asia-based customers increased by $0.1 million, or 5.7%, from $2.6 million in the three<br> months ended December 31, 2023, to $2.8 million in the three months ended December 31, 2024.<br> The increase in revenues from Asia-based customers was driven by a surge in volume from these<br> customers, particularly those serving large e-commerce platforms. This growth reflects the<br> rising demand for our services, a direct result of the overall expansion of the U.S. e-commerce<br> market.
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●	Revenues<br> from U.S.-based customers decreased by $1.7 million, or 72.9%, from $2.3 million in the three<br> months ended December 31, 2023 to $0.6 million in the same period in 2024. The decrease in<br> revenue from the U.S.-based customers in the three months ended December 31, 2024, compared<br> to the same period in 2023, was primarily due to our strategic shift toward Asia-based e-commerce<br> customers.
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Total cost of revenues decreased by $0.2 million, or 5.6%, from $3.9 million in the three months ended December 31, 2023, to $3.6 million in the three months ended December 31, 2024.

Our overall gross loss was $42,231 in the three months ended December 31, 2024, compared to gross profit of $1,064,509 in same period last year. Our gross margin was mainly impacted by higher cost of revenue, particular in fixed overhead costs, and an industry-wide decline in revenue.

Our gross margin of distribution of pharmaceuticals was 44.2% for the three months ended December 31, 2024.

General and administrative expenses increased by $0.9 million, or 94.1%, from $1.0 million in the three months ended December 31, 2023, to $1.9 million in the three months ended December 31, 2024. These expenses represented 53.2% and 20.0% of our total revenues for the three months ended December 31, 2024 and 2023, respectively. The increase was primarily attributed to higher salary and employee benefit expenses and professional fees operating as a listed company.

Net loss was $1.9 million for the three months ended December 31, 2024, compared to a net income of $0.06 million for the three months ended December 31, 2023.

3

FinancialResults for the Six Months Ending December 31, 2024:

Total revenues decreased by $1.6 million, or 17.7%, from $9.1 million for the six months ended December 31, 2023, to $7.5 million for the six months ended December 31, 2024. The decrease was primarily driven by a significant decline in volume we handled from our cross-border airfreight solutions.

●	Revenues<br> from our cross-border airfreight solutions decreased by $1.3 million or 23.4%, from $5.5<br> million in the six months ended December 31, 2023, to $4.2 million in the six months ended<br> December 31, 2024. The decrease was primarily due to a decrease in the volume of cross-border<br> air freight processed, from approximately 16,034 tons for the six months ended December 31,<br> 2023, to approximately 11,732 tons for the six months ended December 31, 2024.
●	Revenues<br> from our cross-border ocean freight solutions decreased by $0.3 million, or 8.7%, from $3.5<br> million in the six months ended December 31, 2023, to $3.2 million in the six months ended<br> December 31, 2024. This growth was primarily due to a decrease in the volume of cross-border<br> ocean freights processed and forwarded, dropping from 2,620 TEU in the six months ended December<br> 31, 2023, to 2,476 TEU in the six months ended December 31, 2024.
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Revenuesby Customer Geographic

	For the six months ended December 31,
	2024					2023
Revenues	Amount		% of <br> total <br> Revenues			Amount		% of <br> total <br> Revenues			Amount <br> Increase <br> (Decrease)			Percentage <br> Increase <br> (Decrease)
Revenue from cross-border freight solutions
Asia-based customers	$	5,559,837		72.4	%	$	4,296,968		47.4	%	$	1,262,869			29.4	%
U.S.-based customers		1,899,220		24.7	%		4,767,611		52.6	%		(2,868,391	)		(60.2	)%
		7,459,057		97.2	%		9,064,579		100.0	%		(1,605,522	)		(17.7	)%
Revenue from distribution of pharmaceuticals
Asia-based customers		218,086		2.8	%		-		-			218,086			N/A
Total revenues	$	7,677,143		100.0	%	$	9,064,579		100.0	%	$	(1,387,436	)		(15.3	)%
●	Revenues<br> from Asia-based customers increased by $1.3 million, or 29.4%, from $4.3 million in the six<br> months ended December 31, 2023, to $5.6 million in the six months ended December 31, 2024.<br> The increase in revenues from Asia-based customers was driven by an increase in volume from<br> these customers, particularly those serving large e-commerce platforms. This growth reflects<br> the rising demand for our services, a direct result of the overall expansion of the U.S.<br> e-commerce market.
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●	Revenues<br> from cross-border freight solutions for the U.S.-based customers decreased by $2.9 million,<br> or 60.2%, from $4.8 million in the six months ended December 31, 2023 to $1.9 million in<br> the same period in 2024. The decrease in revenue from the U.S.-based customers in the three<br> months ended December 31, 2024, compared to the same period in 2023, was primarily due to<br> our strategic shift toward Asia-based e-commerce customers.
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4

Cost of revenues decreased by $0.2 million, or 2.1%, from $7.4 million in the six months ended December 31, 2023, to $7.2 million in the six months ended December 31, 2024.

Gross profit decreased by $1.2 million, or 71.9%, from $1.7 million in the six months ended December 31, 2023, to $0.5 million in the six months ended December 31, 2024. Our gross margin of cross-border freight solution was 5.1% for the six months ended December 31, 2024, compared to 18.9% for the six months ended December 31, 2023. The decline in gross margin was primarily attributable to reduced revenue from cross-border airfreight solutions and an increase in our cost of revenue in warehouse services, custom declaration and terminal charges, freights arranged charges and overhead costs allocated.

General and administrative expenses increased by $1.9 million, or 103.7%, from $1.8 million in the six months ended December 31, 2023, to $3.7 million in the six months ended December 31, 2024. These expenses represented 48.8% and 20.3% of our total revenues for the six months ended December 31, 2024 and 2023, respectively. The increase was primarily attributed to higher salary and employee benefit expenses, professional fees, office expenses and traveling, insurance expenses and entertainment expenses, operating as a listed company.

Net loss was $3.3 million for the six months ended December 31, 2024, compared to a net loss of $0.2 million for the six months ended December 31, 2023.

ConferenceCall & Audio Webcast

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Lakeside’s management team will hold an earnings conference call at 4:30 PM Eastern Time (3:30 PM Central Time) on Tuesday, February 17 to discuss the Company’s financial results and provide an overview of the Company’s operations. Management will lead the conference call and be available to answer questions.

To access the call by phone, please dial 1- 877-407-9716 (international callers, please dial 1- 201-493-6779) approximately 10 minutes before the start of the call. Refer to conference ID: LAKESIDE. **NOTE: THIS CONFERENCE ID WILL BE REQUIRED FOR ENTRY

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A live audio conference call webcast will be available online at https://viavid.webcasts.com/starthere.jsp?ei=1708554&tp_key=b4f1b10725

5

AboutLakeside Holding Limited

Lakeside Holding Limited is a U.S.-based cross-border supply chain solution provider with a unique focus on the Asia-Pacific market. Through two specialized subsidiaries—American Bear Logistics and Hupan Pharmaceutical (Hubei) Co., Ltd.—Lakeside delivers tailored logistics solutions spanning general and specialized sectors.

American Bear Logistics, with strategic hubs in Chicago, Dallas, Los Angeles, and New York, offers customized cross-border ocean and airfreight solutions, connecting Asia-based logistics service companies and e-commerce platforms with the U.S. market.

Lakeside recently acquired Hupan Pharmaceutical (Hubei) Co., Ltd., expanding its service scope and enhancing its pharmaceutical logistics and distribution capabilities within China. This strategic move underscores Lakeside’s commitment to advancing integrated cross-border logistics solutions.

For more information, please visit https://lakeside-holding.com.

SafeHarbor Statement

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This press release contains forward-looking statements that reflect our current expectations and views of future events. Known and unknown risks, uncertainties and other factors may cause our actual results, performance or achievements to be materially different from those expressed or implied by the forward-looking statements. You can identify some of these forward-looking statements by words or phrases such as “may,” “will,” “expect,” “anticipate,” “aim,” “estimate,” “intend,” “plan,” “believe,” “is/are likely to,” “potential,” “continue” or other similar expressions. We have based these forward-looking statements largely on our current expectations and projections about future events that we believe may affect our financial condition, results of operations, business strategy and financial needs. These forward-looking statements involve various risks and uncertainties. Except as required by law, we undertake no obligation to update or revise publicly any forward-looking statements, whether as a result of new information, future events or otherwise, after the date on which the statements are made or to reflect the occurrence of unanticipated events. We qualify all of our forward-looking statements by these cautionary statements.

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InvestorRelations Contact:

Matthew Abenante, IRC

President

Strategic Investor Relations, LLC

Tel: 347-947-2093

Email: matthew@strategic-ir.com

(tables follow)

6

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LAKESIDEHOLDING LIMITEDCONDENSED CONSOLIDATED BALANCE SHEETS

(UNAUDITED)

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			As of June 30, 2024<br> <br>(audited)
ASSETS
CURRENT ASSETS
Cash	1,123,414		$	123,550
Accounts receivable – third parties, net	1,645,774			2,082,152
Accounts receivable – related party, net	207,293			763,285
Prepayment and other receivable	49,476			—
Contract assets	31,388			129,506
Inventory, net	10,328			—
Due from related parties	682,980			441,279
Loan to a third party	686,697			—
Total current assets	4,437,350			3,539,772
NON-CURRENT ASSETS
Investment in other entity	15,741			15,741
Property and equipment at cost, net of accumulated depreciation	514,073			344,883
Intangible asset, net	418,867			—
Right of use operating lease assets	4,074,617			3,471,172
Right of use financing lease assets	110,998			37,476
Deferred tax asset	—			89,581
Deferred offering costs	—			1,492,798
Deposit and prepayment	265,480			202,336
Total non-current assets	5,399,776			5,653,987
TOTAL ASSETS	9,837,126		$	9,193,759
LIABILITIES AND EQUITY
CURRENT LIABILITIES
Accounts payables – third parties	1,233,142		$	1,161,858
Accounts payables – related parties	71,557			227,722
Accrued liabilities and other payables	1,244,501			1,335,804
Current portion of obligations under operating leases	2,203,766			1,186,809
Current portion of obligations under financing leases	48,865			37,619
Loans payable, current	609,935			746,962
Dividend payable	—			98,850
Tax payable	79,825			79,825
Due to shareholders	—			1,018,281
Total current liabilities	5,491,591			5,893,730
NON-CURRENT LIABILITIES
Loans payable, non-current	174,846			136,375
Deferred tax liabilities	104,717			—
Obligations under operating leases, non-current	2,339,439			2,506,402
Obligations under financing leases, non-current	80,252			17,460
Total non-current liabilities	2,699,254			2,660,237
TOTAL LIABILITIES	8,190,845		$	8,553,967
Commitments and Contingencies
EQUITY
Common stocks, 0.0001 par value, 200,000,000 shares authorized, 7,500,000 and 6,000,000 issued and outstanding as of December 31, 2024 and June 30, 2024, respectively	750			600
Subscription receivable	—			(600	)
Additional paid-in capital	4,942,791			642,639
Accumulated other comprehensive income	(9,214	)		2,972
Deficits	(3,288,046	)		(5,819	)
Total equity	1,646,281			639,792
TOTAL LIABILITIES AND EQUITY	9,837,126		$	9,193,759

All values are in US Dollars.

7

LAKESIDEHOLDING LIMITEDCONDENSED CONSOLIDATED STATEMENT OF INCOME (LOSS) AND COMPREHENSIVE INCOME (LOSS)

(UNAUDITED)

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	Six Months Ended <br> December 31,						Three Months Ended <br> December 31,
	2024			2023			2024			2023
Revenue from cross-border freight solutions – third party	$	6,702,063		$	8,639,983		$	3,102,276		$	4,585,696
Revenue from cross-border freight solutions – related parties		756,994			424,596			275,227			330,407
Revenue from distribution of pharmaceutical products – third parties		218,086			—			218,086			—
Total revenue		7,677,143			9,064,579			3,595,589			4,916,103
Cost of revenue from cross-border freight solutions – third party		6,153,994			6,329,650			3,159,709			3,424,053
Cost of revenue from cross-border freight solutions – related party		921,050			1,022,877			356,320			427,541
Cost of revenue from pharmaceutical products – related parties		121,791			—			121,791			—
Total cost of revenue		7,196,835			7,352,527			3,637,820			3,851,594
Gross profit (loss)		480,308			1,712,052			(42,231	)		1,064,509
Operating expenses:
Selling expenses		54,488			—			54,488			—
General and administrative expenses		3,749,059			1,840,831			1,911,853			985,053
Loss from deconsolidation of a subsidiary		—			73,151			—			—
Provision (reversal) of allowance for expected credit loss		1,956			49,591			(10,881	)		(2,531	)
Total operating expenses		3,805,503			1,963,573			1,955,460			982,522
Income (loss) from operations		(3,325,195	)		(251,521	)		(1,997,691	)		81,987
Other income
Other income, net		201,541			88,449			91,753			41,500
Interest expense		(68,992	)		(53,864	)		(40,882	)		(31,079	)
Total other income		132,549			34,585			50,871			10,421
(Loss) income before income taxes		(3,192,646	)		(216,936	)		(1,946,820	)		92,408
Income tax expense (credit)		89,581			26,125			—			28,184
Net (loss) income		(3,282,227	)		(243,061	)		(1,946,820	)		64,224
Less: net loss attributable to non-controlling interest		—			(3,025	)		—			—
Net (loss) income attributable to the Company		(3,282,227	)		(240,036	)		(1,946,820	)		64,224
Other comprehensive (loss) income:
Foreign currency translation income		(12,186	)		3,122			(25,179	)		—
Comprehensive (loss) income		(3,294,413	)		(239,939	)		(1,971,999	)		64,224
Less: comprehensive loss attributable to non-controlling interest		—			(3,119	)		—			—
Comprehensive (loss) income attributable to the Company	$	(3,294,413	)	$	(236,820	)	$	(1,971,999	)	$	64,224
(Loss) earnings per share – basic and diluted	$	(0.44	)	$	(0.04	)	$	(0.26	)	$	0.01
Weighted Average Shares Outstanding – basic and diluted		7,500,000			6,000,000			7,500,000			6,000,000

8

LAKESIDEHOLDING LIMITEDCONDENSSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(UNAUDITED)

	For the Six Months Ended <br> December 31,
	2024			2023
Cash flows from operating activities:
Net loss	$	(3,282,227	)	$	(243,061	)
Adjustments to reconcile net loss to net cash provided by operating activities:
Depreciation – G&A		50,804			35,991
Depreciation – cost of revenue		36,328			36,328
Amortization and interest expense of operating lease assets		989,003			439,142
Depreciation of right-of-use finance assets		15,480			14,385
Provision of allowance for expected credit loss		1,956			49,591
Deferred tax expense		89,581			26,125
Loss from derecognition of shares in subsidiary		—			73,151
Changes in operating assets and liabilities:
Accounts receivable – third parties		424,648			(479,056	)
Accounts receivable – related parties		565,766			(192,609	)
Contract assets		98,118			(27,169	)
Inventories, net		(10,328	)		—
Due from related parties		(241,702	)		40,740
Prepayment, other deposit		(112,620	)		(23,269	)
Accounts payables – third parties		28,285			539,542
Accounts payables – related parties		(156,165	)		241,721
Accrued expense and other payables		312,722			122,547
Operating lease liabilities		(742,649	)		(396,263	)
Net cash (used in) provided by operating activities		(1,933,000	)		257,836
Cash flows from investing activities:
Purchase of furniture and equipment		(36,072	)		—
Payment for leasehold improvement		(75,008	)		—
Net cash payment for asset acquisition		(552,721	)		—
Loan to a third party		(686,697	)		—
Payment made for investment in other entity		—			(29,906	)
Net cash outflow from deconsolidation of a subsidiary (Appendix A)		—			(48,893	)
Net cash used in investing activities		(1,350,498	)		(78,799	)
Cash flows from financing activities:
Proceeds from loans		195,000			225,000
Repayment of loans		(339,914	)		(185,856	)
Repayment of equipment and vehicle loans		(55,877	)		(59,708	)
Principal payment of finance lease liabilities		(14,964	)		(13,429	)
Payment for deferring offering cost		—			(140,000	)
Advances from Hupan Pharmaceutical prior to acquisition		276,365			—
Proceeds from initial public offering, net of share issuance costs		5,351,281			—
Advanced to related parties		(311,185	)		—
Proceeds from shareholders		—			158,455
Repayment to shareholders		(805,345	)		—
Net cash provided by (used in) financing activities		4,295,361			(15,538	)
Effect of exchange rate changes on cash		(11,999	)		3,216
Net increase in cash		999,864			166,715
Cash, beginning of the period		123,550			174,018
Cash, end of the period	$	1,123,414		$	340,733
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION:
Cash paid for income tax	$	—		$	—
Cash paid for interest	$	45,953		$	15,503
SUPPLEMENTAL SCHEDULE OF NON-CASH IN INVESTING AND FINANCING ACTIVITIES
Deferred offering costs within due to shareholders	$	—		$	500,826
Deferred offering costs within accrued expense and other payables	$	—		$	241,176
Additions to property and equipment included in loan payable	$	102,235			—
Additions to leasehold improvement and furniture and fixture through account payable	$	42,803		$	—
Settlement of due to shareholder and advance to related party	$	311,815			—
NON-CASH ACTIVITIES
Right of use assets obtained in exchange for operating lease obligations	$	1,445,498		$	—
Right of use assets obtained in exchange for finance lease obligation	$	89,003		$	19,982
APPENDIX A – Net cash outflow from deconsolidation of a subsidiary
Working capital, net				$	29,812
Investment in other entity recognized					(15,741	)
Elimination of NCl at deconsolidation of a subsidiary					10,187
Loss from deconsolidation of a subsidiary					(73,151	)
Cash				$	(48,893	)

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