Revenue Performance - Total revenue decreased by $22,209,234 or 14% from $156,835,301 in 2022 to $134,626,067 in 2023, primarily due to a decline in commodity sales [348]. - Revenue from commodity product sales was $134,558,086 in 2023, down from $155,443,398 in 2022, reflecting a decrease of $20,885,312 or 13% [347]. - Supply chain management services revenue dropped significantly by 95%, from $1,391,903 in 2022 to $67,981 in 2023 [340]. Cost and Expenses - The cost of revenue decreased by $20,981,503 or 13% from $155,797,044 in 2022 to $134,815,541 in 2023, mainly due to a reduction in commodity sales costs [352]. - Selling, general, and administrative expenses increased by $7,746,949 or 88%, from $8,844,739 in 2022 to $16,591,688 in 2023 [355]. Net Income and Loss - Net income for 2023 was a loss of $2,266,325, compared to a profit of $4,253,537 in 2022, representing a decrease of $6,519,862 or 153% [347]. - The company incurred a net loss of $2,266,325 for the year ended December 31, 2023, which is a decrease of 154.5% compared to a net loss of $4,253,537 in 2022 [364]. Cash Flow and Financing - Net cash provided by operating activities increased to $9,547,516 in 2023, up from $4,335,359 in 2022, reflecting a growth of 120.5% [364]. - Cash raised from financing activities included the issuance of 700,000 shares for $42,350,000, 560,000 shares for $9,800,000, and 15,000,000 shares for $31,350,000 [367]. - The company raised a total of $92.82 million through private placements and convertible promissory notes during the year ended December 31, 2023 [360]. Loans and Receivables - The balance of loan receivables was $240.43 million as of December 31, 2023, which was $97.26 million higher than the previous year [357]. - The company disbursed loans totaling $136,181,479 to third parties during the year ended December 31, 2023 [366]. Future Outlook and Management - The company expects competition in the commodities trading business to persist and intensify due to decreasing demand amid China's economic slowdown [343]. - The company expects to use the proceeds from equity financing as working capital to expand its commodity trading business [360]. - The management believes the company will continue as a going concern in the following 12 months [360]. Other Financial Metrics - The increase in net cash provided by operating activities was influenced by non-cash adjustments and increases in customer advances and prepayments [365]. - Net cash used in investing activities was $100,086,699 in 2023, a reduction from $125,537,746 in 2022 [366]. - The company had an operating lease commitment of $11,714 due by December 31, 2024 [368].
TD Holdings(GLG) - 2023 Q4 - Annual Report