Financial Performance - For the year ended December 31, 2022, the company reported a net loss of $11.5 million and negative operating cash flows of $12.0 million, primarily due to its strategy to increase leading brands on its platform [500]. - The company's revenue increased by approximately $39.1 million in 2022 from 2021, while the cost of revenues increased by approximately $44.5 million during the same period [501]. - The company experienced a net cash outflow of $4.5 million in 2022, compared to a net cash inflow of $3.0 million in 2021 [506]. Liquidity and Cash Position - As of December 31, 2022, the company had cash and restricted cash of approximately $16.7 million and working capital of $28.3 million [502]. - The company believes that its current cash and bank borrowing will provide sufficient liquidity for at least the next twelve months [503]. - The principal sources of liquidity include proceeds from public offerings and private placements, with $9.9 million raised from issuing ordinary shares in 2022 [501]. Accounts Receivable and Credit Losses - Approximately $4.4 million, or 66%, of the accounts receivable balance as of December 31, 2022, was collected by March 31, 2023 [502]. - The allowance for credit losses for accounts receivable was $84,400 as of December 31, 2022, down from $103,805 in 2021 [511]. Inventory Management - The company recorded inventory write-downs of $1,102,119, $329,639, and $24,172 for the years ended December 31, 2022, 2021, and 2020, respectively [512]. Foreign Currency Risk - The company has not entered into any hedging transactions to reduce exposure to foreign currency exchange risk [497].
Jowell .(JWEL) - 2022 Q4 - Annual Report