Stock Performance - Akso Health Group's stock price experienced significant fluctuations in January 2026, with a drop of 5.49% on January 3, a decline of 6.25% on January 6, and an increase of 7.52% on January 9. The trading volume and turnover rate were generally low, indicating limited market participation [1]. Financial Performance - As of January 2026, the company's latest financial report shows revenue of $14.8 million, a net loss of $135 million, earnings per share of -$0.47, and a negative gross margin. Currently, no institutions have issued rating recommendations for the stock [2]. Industry Policy and Environment - The medical sales industry, to which the company belongs, showed minimal overall volatility in January 2026, with price fluctuations within ±1.5%. However, there was significant differentiation among individual stocks. The company's business relies on medical device sales, which are heavily influenced by policies, demand, and competition [3]. Future Development - The company's ongoing losses and weak profitability may affect investor confidence. Additionally, low liquidity could amplify stock price volatility risks [4].

Group 1 - The core viewpoint is that Akso Health Group has not disclosed any significant future events, such as new product launches or strategic partnerships, and is experiencing significant stock price volatility along with ongoing losses [1] Group 2 - Recent stock performance shows that Akso Health Group's stock price experienced multiple significant fluctuations in January 2026, with declines on January 3 and January 6, followed by an increase on January 9. The trading volume and turnover rate are generally low, indicating limited market participation [2] Group 3 - As of the latest financial report in January 2026, the company reported revenue of $14.8 million, a net loss of $135 million, earnings per share of -$0.47, and a negative gross margin. Currently, no institutions have issued rating recommendations for the stock [3] Group 4 - The medical sales industry, to which the company belongs, showed overall minor fluctuations in January 2026, but there is significant differentiation among individual stocks. The company's business relies heavily on medical device sales, which are greatly influenced by policies, demand, and competition [4] Group 5 - The company's ongoing losses and weak profitability may affect investor confidence. Additionally, low liquidity could amplify stock price volatility risks [5]

Group 1 - The stock price of Akso Health Group (AHG.OQ) has shown a downward trend over the past week, with a cumulative decline of 9.38% and a volatility of 12.50% [1] - As of February 11, the closing price was $1.45, remaining flat for the day, but the five-day decline reached 9.69% [1] - The trading volume has been low, with an average daily trading value of approximately $5,000, indicating low market liquidity [1] Group 2 - The company's fiscal year 2025 annual report (ending March 31, 2025) indicates a significant revenue increase of 513.54% to $14.7953 million, but the net loss has widened to $135 million [2] - The gross margin stands at -1.91%, primarily due to high sales costs [2] - The current price-to-sales ratio is 22.93, which is above the industry average, indicating ongoing financial pressure [2]

Core Viewpoint - Akso Health Group has launched an exploratory patient support program in collaboration with Nanning Duoling Research Institute, aiming to provide free in-hospital treatment plans for up to 10,000 eligible cancer patients, integrating Traditional Chinese Medicine with modern medical technology [1][2]. Group 1: Patient Support Program - The program will coordinate medical resources to address the urgent needs of cancer patients, promoting "global resource integration + zero-cost access" [1]. - The initiative aims to create a closed-loop model of "global resource connection + local technology landing + full-cycle patient service," focusing on "zero-cost full-chain coverage" to alleviate high medical costs and improve access to care for over 20 million new cancer patients globally, including 4.06 million new cases annually in China [2]. Group 2: Strategic Cooperation - Under the strategic cooperation framework, Nanning Duoling will provide exclusive cancer diagnosis and treatment technologies, along with a professional laboratory testing system and expert teams [2]. - The collaboration seeks to explore a framework for integrating third-party medical resources through licensed institutions, ensuring compliance with medical regulations [3]. Group 3: Implementation and Evaluation - The company emphasizes the importance of responsibly evaluating healthcare implementation models within real-world systems, aiming for sustainable and compliant healthcare accessibility [5]. - The initiative is in its early stages, with a cautious approach to assess scalability and feasibility while maintaining a clear separation between corporate activities and regulated medical services [4][5]. Group 4: Company Background - Akso Health Group, formerly known as Xiaobai Maimai Inc., has transitioned from e-commerce to healthcare services, specializing in medical device sales in China and the U.S., and has acquired interests in online medical consultation services [7].

Regulatory Environment - The PRC government has significant oversight over operations, and recent regulatory actions may impact the ability to offer securities, potentially causing a decline in their value [22]. - The China Securities Regulatory Commission (CSRC) introduced the Overseas Listing Trial Measures effective March 31, 2023, requiring domestic companies to complete filing procedures for overseas offerings [24]. - Companies listed overseas before March 31, 2023, are considered Existing Issuers and are not required to complete immediate filing procedures, but must file for subsequent offerings [29]. - The Data Security Law, effective September 1, 2021, imposes strict data security and privacy obligations, with penalties for violations including fines up to RMB 10 million [25]. - The Cybersecurity Review Measures, effective February 15, 2022, require companies with personal data of over one million users to undergo cybersecurity reviews before foreign listings [27]. - The Personal Information Protection Law, effective November 1, 2021, outlines rules for personal information processing and the responsibilities of data processors [28]. - The Chinese government has strengthened anti-monopoly supervision, but as of the report date, these actions have not impacted the company's ability to conduct business or accept foreign investments [22]. - The company is not currently required to obtain approval from Chinese authorities for U.S. listings, but future requirements could significantly affect operations [24]. - The approval from the China Securities Regulatory Commission (CSRC) may be required for offerings, creating uncertainty about future actions by the PRC government that could impact the company's operations [47]. - Changes in PRC government policies could significantly affect the company's ability to operate profitably in China [48]. - The company must comply with new regulations for online pharmaceutical sales, including maintaining e-prescription records for at least five years [95]. - The evolving regulatory environment poses uncertainties regarding the company's compliance with laws and regulations, which could materially affect its business [99]. - The PRC Cybersecurity Law requires personal information to be stored in China, and any violations could lead to administrative penalties [171]. - The PRC Data Security Law mandates that data processing activities must comply with a classification and protection system, with potential penalties for noncompliance [174]. - The company believes that CSRC approval is not required for its ADS listing on Nasdaq, but there is no assurance that regulatory agencies will agree with this interpretation [178]. - The CSRC's Trial Administrative Measures for Overseas Securities Offerings took effect on March 31, 2023, emphasizing compliance for issuers with significant PRC operations [180]. - The PRC government continues to exert significant control over economic growth, impacting the company's ability to operate profitably [191]. - The Chinese government has proposed improvements to the regulatory system for overseas listings, effective March 31, 2023 [217]. - Supervision of overseas listings of Chinese stocks may tighten, leading to increased compliance costs and regulatory risks [218]. - Uncertainty exists regarding the need for PRC government permission for future listings on U.S. exchanges, which could adversely affect operations [219]. Financial Performance - As of March 31, 2025, the company had approximately USD 176.2 million in cash in bank, an increase from USD 85.2 million as of March 31, 2024 [33]. - Loans from the company to its offshore subsidiaries amounted to USD 195.3 million for the year ended March 31, 2025, while loans to PRC subsidiaries were USD 93.8 million [36]. - The company has an annual dividend policy set at approximately 15-25% of anticipated net income after tax, with a total dividend of USD 0.40 per ordinary share declared in the fiscal year ended March 31, 2019 [39]. - The company intends to retain all available funds and future earnings for business operations and expansion, with no anticipated dividends in the foreseeable future [37]. - The trading price of the company's American Depositary Shares (ADSs) may be volatile, potentially resulting in substantial losses for investors [50]. - The company cannot assure that its existing dividend policy will not change, which may affect returns on investment for shareholders [51]. - The company may need additional sources of liquidity for capital and financing needs, which could lead to dilution of shareholder equity if new securities are issued [139]. - The company has identified material weaknesses in its internal controls over financial reporting, which could lead to misstatements in financial results if not addressed [140]. Operational Risks - The company faces risks related to potential PRC government interventions that could restrict cash transfers and affect its financial operations [34]. - The company is dependent on suppliers for reaching potential car insurance purchasers, and failure to maintain these relationships could adversely affect business operations [41]. - The concentration of the client base poses significant business risks, potentially impacting financial stability [41]. - The digital healthcare market is described as immature and volatile, which could hinder the company's growth if it does not develop as expected [42]. - The company faces risks associated with governmental regulations regarding data protection, which could adversely affect its financial condition and operations [42]. - The company may encounter difficulties in introducing new services in a timely and cost-effective manner, impacting overall business performance [43]. - The company relies on a core senior management team, and any changes in key executives could adversely affect business operations [43]. - The company is subject to limitations in promoting healthcare-related services and products, which could restrict growth opportunities [42]. - The company may face challenges related to the deterioration of relations between China and the United States, potentially affecting its business performance [43]. - The company faces intense competition for skilled employees, and failure to attract and retain them may hinder growth and operational success [134]. - The company is reliant on its core senior management team, and any loss of key executives could adversely affect business performance and strategic objectives [133]. - The company may face challenges in completing necessary government registrations or obtaining approvals for future loans or capital contributions to its PRC subsidiary, which could adversely affect liquidity and business expansion [147]. Cybersecurity and Data Protection - The company has not been subject to cybersecurity reviews as it does not possess personal information of over one million users [27]. - The company processes a large amount of personal and transaction data, facing risks related to data security and potential unauthorized release, which could harm its reputation and business prospects [74]. - The company has completed a cybersecurity review for its overseas listing, as it possesses personal information of more than one million users, in compliance with the amended Cybersecurity Review Measures [76]. - The PRC Cybersecurity Law imposes strict requirements on data collection and protection, and any non-compliance could result in severe penalties, including fines and business suspension [59]. - The company has not experienced any material cybersecurity breaches to date, but the evolving nature of cyber threats poses ongoing risks to its operations [60]. - The company has implemented level three information security protection standards for its internet hospital and pharmaceutical supply chain information systems to comply with regulatory requirements [81]. - The company must ensure data protection compliance, as failures could lead to significant legal and financial repercussions [102]. - Security breaches and cyber-attacks could result in significant legal and financial liabilities, harming the company's reputation and revenue [112]. Market and Competitive Landscape - The digital healthcare market is immature and volatile, and the company's success depends on user engagement and the perceived value of its services [87]. - Increased competition in the PRC Internet healthcare market could materially affect the company's revenue and profitability, as competitors may have greater resources and market presence [71]. - The company operates in a rapidly evolving "Internet + healthcare" industry, which presents both opportunities and uncertainties regarding consumer acceptance and market demand [68]. - The company relies heavily on third-party suppliers for internet traffic and digital marketing services, which is critical for reaching potential car insurance purchasers [54]. - A significant portion of the company's revenues comes from a limited number of clients, exposing it to risks associated with potential loss or reduction of business from any single client [55]. Legal and Compliance Risks - The company may face legal risks related to its previous online microlending business, which ceased operations in May 2019 [115]. - The company is subject to various governmental regulations, and failure to comply could result in operational disruptions and penalties [98]. - The company may face regulatory penalties if doctors on its platform fail to manage their licenses properly, with fines up to RMB5,000 for non-compliance [93]. - The company is exposed to risks if doctors practice outside their licensed scope, potentially leading to legal liabilities and affecting its online consultation services [94]. - The revised Drug Administration Law allows online sales of prescription drugs, but certain drugs remain restricted, impacting the company's operations [95]. - Noncompliance with applicable laws and regulations could result in fines, penalties, and loss of customers, adversely affecting business operations [165]. - The company faces challenges in protecting its intellectual property, which is critical for maintaining its competitive position in the market [107]. Future Growth and Expansion - The company plans to establish and operate cancer therapy and radiation oncology centers, which are subject to significant risks and may not achieve timely profitability [43]. - New cancer therapy and radiation oncology centers may experience lower income and higher operating costs initially, with substantial expenses incurred before opening, including labor, construction, and equipment costs [127]. - The company has limited experience in operating its own centers and clinics, which may affect the quality of service provided compared to existing treatments [124]. - Recruiting qualified medical professionals for the new centers may pose challenges, impacting patient acceptance and attraction [125]. - The timing of new center openings could significantly impact future profitability, leading to fluctuations in short-term financial performance [127]. - The company plans to construct cancer therapy and radiation oncology centers on the east coast of the United States, facing complexities and uncertainties in the implementation process [129]. - There are significant regulatory hurdles involved in opening new cancer centers, including obtaining necessary approvals and permits, which may delay revenue generation [131]. - The company is assessing suitable regions for new centers based on market size, competition, and potential partners, but faces uncertainties in timely government approvals and investment control [130].

Financial Performance - Total revenues for the six months ended September 30, 2024, were $6,935,950, a significant increase from $894,768 in the same period of 2023, representing a growth of approximately 675%[5] - Net loss attributable to Akso's shareholders for the six months ended September 30, 2024, was $586,632, compared to a net loss of $3,457,657 for the same period in 2023, indicating a reduction in losses[5] - The company reported a gross profit of $192,743 for the six months ended September 30, 2024, compared to $38,830 for the same period in 2023, representing an increase of about 396%[5] - Operating expenses for the six months ended September 30, 2024, were $733,457, a decrease from $2,354,678 in the same period of 2023, indicating a reduction of approximately 68.8%[5] - The total net revenues for the six months ended September 30, 2024, after tax and surcharges, were $6,934,191 compared to $893,583 in the same period of 2023[46] - The Company recorded a loss from discontinued operations of USD 3,905 for the six months ended September 30, 2023, with no revenues reported for the same period in 2024[85] Assets and Liabilities - Total current assets decreased to $100,213,861 as of September 30, 2024, from $142,018,117 as of March 31, 2024, reflecting a decline of approximately 29.4%[2] - Cash and cash equivalents increased to $91,367,333 as of September 30, 2024, compared to $85,174,017 as of March 31, 2024, showing a growth of about 7.4%[2] - Total liabilities rose to $12,298,251 as of September 30, 2024, from $3,593,923 as of March 31, 2024, marking an increase of approximately 242%[2] - The total shareholders' equity increased to $200,651,653 as of September 30, 2024, from $138,424,194 as of March 31, 2024, reflecting a growth of approximately 45%[2] - The allowance for uncollectible accounts receivable was $7,720,556 as of September 30, 2024, slightly down from $7,770,556 as of March 31, 2024[49] - The Company reported accounts receivable of USD 8,128,790 as of September 30, 2024, with an allowance for uncollectible accounts receivable of USD 7,720,556, resulting in net accounts receivable of USD 408,234[86] Business Operations and Strategy - The Company plans to open 2 vaccine research centers and 100 radiation oncology centers on the U.S. east coast to serve cancer patients[12] - In April 2024, the Company acquired 50% equity interests in Tianjin Wangyi Cloud Technology Co., Ltd., and later acquired an additional 25% equity interests from minority shareholders, increasing its stake to 75%[12] - The Company has ceased its P2P and micro-lending businesses since 2019 and completed the disposition of its P2P business on December 30, 2020[11] - The Company established three medical device sales centers in the U.S. in January 2022 and began sales in the Chinese market in April 2022[12] - The Company began its marketing promotion business in the car insurance industry in April 2024, indicating a strategic expansion into new markets[38] - The Company has reclassified revenues, costs, and expenses related to the social e-commerce business as discontinued operations in its financial statements[17] Financing Activities - The company completed a private placement raising $62,568,014 during the six months ended September 30, 2024, contributing to its financing activities[10] - The Company raised approximately US$14 million from a securities purchase agreement on October 17, 2023, to be used for working capital and general corporate purposes[20] - The Company entered into a securities purchase agreement on January 17, 2024, to sell 160,826,730 units at a price of $0.3317 per unit, raising approximately $53.35 million for working capital and general corporate purposes[112] - On March 5, 2024, the Company agreed to sell 37,100,000 ADSs representing 111,300,000 ordinary shares and warrants for gross proceeds of approximately $49.34 million[114] - The Company completed a securities purchase agreement on June 27, 2024, selling 220,000,050 units at $0.2844 per unit, generating approximately $62.6 million for working capital and general corporate purposes[116] - On October 24, 2024, the Company entered into a securities purchase agreement to sell up to 361,290,000 units at $0.369 per unit, aiming to raise approximately $133.32 million for the expansion of its new healthcare services business[130] Compliance and Accounting - The Company’s financial statements are prepared in accordance with U.S. GAAP, and significant accounting estimates include revenue allocation and valuation of share-based compensation[30] - The Company believes its contractual arrangements with VIEs are compliant with PRC laws, although uncertainties in the legal system could impact its ability to enforce these agreements[24] - The Company has a full valuation allowance on net deferred tax assets for the six months ended September 30, 2024 and 2023, indicating uncertainty regarding realization[65] - The Company has no significant unrecognized uncertain tax positions as of September 30, 2024, and does not expect changes in unrecognized tax benefits over the next twelve months[67] Market Performance - Revenue from sales of medical devices was $415,020 for the six months ended September 30, 2024, a decrease of 53.7% compared to $894,768 in the same period of 2023[46] - Revenue from marketing promotion services reached $6,520,930 for the six months ended September 30, 2024, marking the first reporting of this revenue stream[46] - There were no sales returns reported since the start of the medical device business, indicating strong demand and customer satisfaction[43][44] - The weighted average number of ordinary shares outstanding increased to 699,050,796 for the six months ended September 30, 2024, compared to 68,598,050 for the same period in 2023[19] - As of September 30, 2024, the total noncontrolling interest amounted to USD 87,323, compared to USD 56,810 as of March 31, 2024, indicating a significant increase[69]

Core Viewpoint - Akso Health Group is integrating DeepSeek's advanced AI technology to enhance AI-powered medical consultation and optimize healthcare resource allocation, aiming for more precise and efficient medical services [1][4] Group 1: AI Integration and Technology - The integration of DeepSeek's multimodal large-scale models and deep learning frameworks will upgrade Akso Health's AI-powered diagnosis system, allowing for the incorporation of patient text descriptions, medical imaging, and laboratory test results [2] - The upgraded system will utilize natural language processing (NLP) and deep learning to provide more accurate diagnoses and personalized treatment recommendations, enhancing diagnostic accuracy and response speed [2] Group 2: AI-Powered Medical Assistant - Akso Health will develop an AI-powered medical assistant using DeepSeek to support doctors in retrieving patient records, analyzing similar cases, and recommending treatment plans, significantly improving diagnostic efficiency [3] - The company emphasizes human-centric AI interactions to ensure a natural and empathetic user experience, aiming to reduce patient anxiety and optimize the overall consultation experience [3] Group 3: Future Directions - The CEO of Akso Health stated that the utilization of DeepSeek marks a major milestone in AI-powered healthcare, with plans to explore further AI applications in research and development, health management, and telemedicine [4] - The company aims to drive the healthcare industry toward a smarter and more efficient future through these technological advancements [4] Group 4: Company Background - Akso Health Group, formerly known as Xiaobai Maimai Inc., has transitioned from e-commerce to healthcare, specializing in the sales of medical devices in China and the U.S. and operating radiotherapy oncology centers in the U.S. [5] - The company has also acquired equity interests in Tianjin Deyihui Internet Hospital Co., Ltd and Tianjin Deyihui Clinic Co., Ltd, which provide online medical consultations [5]

Company Transition and Business Focus - The company transitioned from a P2P marketplace to a social e-commerce platform, changing its name from Hexindai Inc. to Akso Health Group in December 2021[223][238]. - The company disposed of its P2P business on December 30, 2020, and has since focused on healthcare services and products, including COVID-19 Rapid Antigen tests[242]. - In May 2023, the company completed the disposition of its social e-commerce business for cash consideration of $215,000[239]. - The company is no longer engaged in microlending or P2P businesses and is focusing on healthcare sector opportunities[242]. Subsidiaries and Acquisitions - The company established Qingdao Akso in January 2022 to sell medical devices, starting sales in April 2022, including defibrillators and anesthesia laryngoscopes[242]. - On March 5, 2024, the company acquired 50% equity interests in Tianjin Wangyi Cloud Co., Ltd., which provides online hospital services[240]. - The company has established multiple subsidiaries, including Akso Medical Cloud Limited and Akso Medi-care Limited, to expand its healthcare services[232][239]. - The company plans to acquire online hospitals in China to provide online medical consultations and chronic disease management, enhancing patient access to healthcare[243]. - The company aims to acquire multiple independent pharmacies across China to create a chain, leveraging offline resources and IT solutions to improve competitiveness[244]. - The company acquired 50% equity interest in Tianjin Wangyi Cloud Co., Ltd., which provides online hospital services, with the transaction closing on April 15, 2024[245]. Financial Performance - Revenue from medical equipment sales for the fiscal year ended March 31, 2024, was $2.4 million, representing 100% of the company's total revenue[253]. - The company reported net losses of US$9.5 million for the fiscal year ended March 31, 2024, compared to net losses of US$1.2 million and US$16.8 million for the fiscal years ended March 31, 2023 and 2022, respectively[376]. - Net revenues for the fiscal year ended March 31, 2024, were US$2.4 million, a decrease of 81.7% from US$13.2 million in the fiscal year ended March 31, 2023, primarily due to the cessation of Covid-19 test kit sales[376][397]. - The company recognized a gross profit of US$122,132 for the fiscal year ended March 31, 2024, down from US$1.27 million in 2023[393]. - Operating expenses for the fiscal year ended March 31, 2024, totaled US$8.76 million, a significant increase from US$15.54 million in 2023, driven by general and administrative expenses[386][393]. Regulatory Compliance and Legal Matters - The company has received all necessary licenses to engage in the resale of medical devices in China, including a Class II Medical Device Selling Record Certificate and a Class III Medical Device Operation License[252]. - The company must ensure compliance with advertising regulations for medical devices, which require advertisements to be true and legitimate[303]. - The company is subject to stringent regulations under the PRC Consumer Rights and Interests Protection Law, which mandates that consumers can return goods purchased online within seven days without stating a reason[293]. - The company must comply with foreign exchange regulations when converting RMB to foreign currency for capital account items, requiring approval from government authorities[310]. Management Team - Ms. Yilin (Linda) Wang has been the CEO since October 2021, previously serving as Co-CEO for one month[421]. - Ms. Rui (Kerrie) Zhang has been the CFO since August 2019, with prior experience in financial reporting and strategy development[422]. - Ms. Wang has extensive experience in corporate management and medical technology-related businesses[421]. - Ms. Zhang has a background in corporate governance and has held various roles in finance and investor relations[422].

Group 1 - Akso Health Group plans to make an equity investment in Deyihui, an online clinic based in China, aiming to enter the online clinic business and potentially expand to other regions if successful [1] - The management believes that the rapid growth of virtual consultations in mainland China presents a significant untapped market, allowing the company to leverage its capital resources and first-move advantage [1] - The investment in Deyihui is expected to help the company become familiar with the online clinic business [1] Group 2 - Yilin Wang, Chairwoman and CEO of Akso Health, stated the company's ambition to build a comprehensive medical technology service platform that provides reliable and efficient healthcare services, marking its active engagement in Internet smart healthcare services [2] - Akso Health Group, formerly known as Xiaobai Maimai Inc., operates a social e-commerce platform in China and has been exploring healthcare equipment and related services since the end of 2021 [3]

Financial Performance - Net revenues for the six months ended September 30, 2023, were $893,583, a significant decrease of 92.5% compared to $11,857,082 for the same period in 2022[7] - Gross profit for the six months ended September 30, 2023, was $38,830, down from $1,125,881 in the same period of 2022, indicating a decline of approximately 96.5%[7] - Loss from continuing operations for the six months ended September 30, 2023, was $(3,063,537), compared to a profit of $1,646,865 for the same period in 2022[7] - The company reported a net loss attributable to Akso's shareholders of $(3,457,657) for the six months ended September 30, 2023, compared to a net income of $810,338 for the same period in 2022[7] - The net loss for the six months ended September 30, 2023, was $3.905 million, compared to a net loss of $281.15 million for the same period in 2022[31] - Net revenues for September 2023 were $698,000, a significant decrease from $15,339,000 in September 2022, indicating a decline of approximately 95.5% year-over-year[89] - The company reported a net loss of $3,457,657 for September 2023, compared to a net income of $810,338 in September 2022, reflecting a substantial shift in financial performance[115] Assets and Liabilities - Total current assets decreased from $20,460,299 as of March 31, 2023, to $16,880,618 as of September 30, 2023, representing a decline of approximately 17.7%[2] - Total liabilities remained relatively stable at $11,549,145 as of September 30, 2023, compared to $11,620,783 as of March 31, 2023[4] - Total shareholders' equity decreased from $8,839,516 as of March 31, 2023, to $5,331,473 as of September 30, 2023, reflecting a decline of approximately 39.5%[5] - The accumulated deficit increased from $(54,467,600) as of March 31, 2023, to $(57,925,257) as of September 30, 2023[5] - Accounts receivable, net as of September 30, 2023, was $5,827,917, down from $7,696,983 as of March 31, 2023, representing a decrease of approximately 24.2%[95] - Inventory as of September 30, 2023, was valued at $1,227,339, down from $1,686,449 as of March 31, 2023, showing a decrease of approximately 27.2%[96] Cash Flow - Cash and cash equivalents increased from $7,924,468 as of March 31, 2023, to $9,211,639 as of September 30, 2023, representing an increase of approximately 16.3%[2] - For the period ending September 30, 2023, the net cash provided by operating activities was $242,335, a significant improvement compared to a net cash used of $(1,334,116) in the same period of 2022[12] - The cash and cash equivalents at the end of the period were $10,231,326, an increase from $9,990,561 at the end of September 2022[12] - The company reported a net cash provided by investing activities of $1,528,918, compared to $20,000,000 in the previous year[12] - The company’s cash flow from financing activities included a loan from third parties amounting to $350,000, contrasting with repayments of loans due to related parties of $(27,513,849) in the previous year[12] Business Operations and Strategy - The company plans to open 2 vaccine research centers and 100 radiation oncology centers on the east coast of the U.S. to serve cancer patients[16] - In May 2023, the company disposed of its social e-commerce business to focus on healthcare services[16] - The company has established three medical device sales centers in the U.S. and started operations in January 2022[16] - The company completed the disposal of its social e-commerce business in May 2023, which had a major impact on its financial results[33] - The Company completed the disposal of its social e-commerce business for cash consideration of US$215,000 on May 19, 2023, marking a strategic shift towards its medical devices business[87] - The company announced a new business plan on November 17, 2023, to explore online hospital and chain pharmacies segments in China, with plans to acquire online hospitals and independent pharmacies[127] Tax and Regulatory Matters - The company has no taxable income in the U.S. for the six months ended September 30, 2023, due to the applicable tax rates and operational losses[112] - The Company provided a full valuation allowance on net deferred tax assets for both the six months ended September 30, 2023, and 2022[68] - The Company has no significant unrecognized uncertain tax positions as of September 30, 2023, and does not expect changes in unrecognized tax benefits over the next twelve months[70] Shareholder Information - The weighted average number of ordinary shares outstanding remained constant at 68,598,050 for both September 2023 and September 2022[115] - As of September 30, 2023, the company had 6,340,000 warrants outstanding to purchase 19,020,000 ordinary shares with a weighted average exercise price of $3.00 per warrant[120] - The company repurchased an aggregate of 1,165,883 ADSs for a total consideration of $3,988,370, recorded as treasury stock[123] Other Financial Metrics - The allowance for uncollectible accounts receivable increased to $1.94 million as of September 30, 2023, from $400,759 as of March 31, 2023[54] - Total accrued expenses and other current liabilities increased to $1,004,151 as of September 30, 2023, compared to $938,767 as of March 31, 2023, marking an increase of approximately 7%[103] - The company has not recognized any impairment loss for long-lived assets for the six months ended September 30, 2023[57] - The company has elected not to recognize lease liabilities for operating leases with terms of one year or less, expensing lease payments on a straight-line basis[62] - The average exchange rate for RMB to USD during the reporting period was 7.1287, compared to 6.7312 in the previous year[77] - Noncontrolling interest in We Healthy was recorded at US$108,065 as of September 30, 2023, down from US$114,212 as of March 31, 2023[73] - The restricted net assets of the company's PRC entities amounted to approximately $89.5 million as of September 30, 2023, which is not available for distribution[124] - The statutory reserves of the company were $485,211 as of September 30, 2023, included as retained earnings[125]