Singularity Future Technology .(US:SGLY)2025-10-14 16:01Financial Performance - The Company reported net revenues of $1.81 million for the year ended June 30, 2025, a decrease of 42.2% from $3.14 million in 2024 [169]. - Cost of revenues decreased by 51.3% to $1.76 million for the year ended June 30, 2025, down from $3.61 million in 2024 [171]. - Gross profit improved to $51,399 for the year ended June 30, 2025, compared to a loss of $478,266 in 2024, marking a 110.7% increase [169]. - General and administrative expenses decreased by 50.0% to $2.52 million for the year ended June 30, 2025, down from $5.03 million in 2024 [174]. - The Company recorded a net loss of $3.31 million for the year ended June 30, 2025, compared to a net loss of $5.47 million in 2024, a reduction of 39.4% [183]. - Net cash used in operating activities was approximately $2.69 million for the year ended June 30, 2025, down from $4.41 million in 2024 [186]. - Interest income increased to $135,176 for the year ended June 30, 2025, compared to nil in 2024, reflecting a 100% increase [178]. Business Operations - For the fiscal year ended June 30, 2024, the company provided freight logistics services, including warehousing, but did not sell cryptocurrency mining machines [140]. - The company has not generated any revenues from its entry into the solar panel production and distribution business [141]. - On June 17, 2024, the company entered into a joint venture to engage in commodity trading and plans to expand into solar panel sales [151]. Legal and Regulatory Matters - The company received a subpoena from the SEC regarding the restatements of financial statements, which included a correction of approximately $4.6 million related to a loan receivable and $980,200 in revenue recognition errors [146]. - The company agreed to a settlement payment of $3 million and 6.5 million shares in a class action lawsuit, subject to court approval [156]. Capital and Financing - The company entered into a securities purchase agreement to sell 32,188,841 units at a price of $0.932 per unit for an aggregate of approximately $30 million [160]. - The Company raised approximately $1.14 million through a registered direct offering, selling 700,000 shares at $1.63 each [163]. Financial Position - As of June 30, 2025, the Company had $14.5 million in cash and $3.1 million in restricted cash, with total current assets of $18.13 million [184]. - Working capital decreased by 15.8% to $10.86 million as of June 30, 2025, compared to $12.90 million in 2024 [184]. Accounting and Reporting - The Company has made no material changes to its critical accounting estimates since the date of this Report [190]. - There are no off-balance sheet arrangements reported by the Company [191]. - Item 7A regarding quantitative and qualitative disclosures about market risk is not applicable [192]. Stock and Shareholder Matters - On February 9, 2024, the company executed a 1-for-10 reverse stock split to meet the $1.00 minimum bid price requirement for continued listing on NASDAQ [143].