Meiwu Technology(WNW) - 2023 Q2 - Quarterly Report

MEIWU TECHNOLOGY COMPANY LIMITED Financial Statements This section presents the unaudited condensed consolidated financial statements, including balance sheets, statements of operations, and cash flows, for MEIWU TECHNOLOGY COMPANY LIMITED Unaudited Condensed Consolidated Balance Sheets Total assets slightly decreased to $37.5 million by June 2023, while liabilities significantly reduced, boosting equity to $24.8 million Balance Sheet Highlights | Balance Sheet Highlights | Dec 31, 2022 ($) | June 30, 2023 ($) | Change (%) | | :--- | :--- | :--- | :--- | | Cash | 23,716,768 | 15,783,731 | -33.4% | | Total Current Assets | 29,874,190 | 22,753,880 | -23.8% | | Intangible Assets | - | 6,757,409 | N/A | | Total Assets | 37,995,641 | 37,499,841 | -1.3% | | Total Current Liabilities | 8,346,217 | 8,844,817 | +5.9% | | Convertible notes | 5,550,607 | - | -100.0% | | Total Liabilities | 17,939,426 | 12,658,058 | -29.4% | | Total Stockholders' Equity | 20,056,215 | 24,841,783 | +23.9% | - The company recorded new intangible assets of $6.8 million and eliminated its $5.6 million in convertible notes during the first six months of 2023[2] - The number of ordinary shares issued and outstanding increased from 60,945,313 as of December 31, 2022, to 100,670,199 as of June 30, 2023[2] Unaudited Condensed Consolidated Statements of Operations and Other Comprehensive Loss Net revenue surged to $10.7 million for H1 2023, leading to a swing from a $5.6 million operating loss to a $41,212 income and a significant reduction in net loss Income Statement Highlights (Six Months Ended June 30) | Income Statement Highlights (Six Months Ended June 30) | 2022 ($) | 2023 ($) | Change (%) | | :--- | :--- | :--- | :--- | | Net Revenue | 1,166,425 | 10,683,243 | +815.8% | | Gross Profit | 150,656 | 2,454,866 | +1529.4% | | (Loss) Income from Operations | (5,558,719) | 41,212 | N/A (Turned Positive) | | Net Loss | (5,530,072) | (278,626) | +95.0% (Loss Reduced) | | Loss Per Share (Basic and Diluted) | (0.17) | (0.01) | +94.1% (Loss Reduced) | - Total operating expenses decreased significantly from $5.7 million to $2.4 million, primarily due to a sharp reduction in General and Administrative Expenses from $5.1 million to $1.5 million[4] Unaudited Condensed Consolidated Statements of Cash Flows Net cash used in operations significantly decreased to $333,642, while investing activities increased to $6.8 million, leading to a $7.9 million net decrease in cash, ending at $15.8 million Cash Flow Highlights (Six Months Ended June 30) | Cash Flow Highlights (Six Months Ended June 30) | 2022 ($) | 2023 ($) | | :--- | :--- | :--- | | Net cash used in operating activities | (10,073,063) | (333,642) | | Net cash used in investing activities | (26,915) | (6,762,905) | | Net cash provided by financing activities | 7,670,698 | 157,068 | | Net decrease in cash | (2,168,212) | (7,933,037) | | Cash, end of the period | 24,466,120 | 15,783,731 | - The company's cash position decreased by $7.9 million during the first half of 2023, ending the period with $15.8 million in cash[6]