XML 46 R31.htm IDEA: XBRL DOCUMENT
v3.8.0.1

CBAK Energy Technology, Inc. (Parent Company) | 12 Months Ended
--- | ---
Dec. 31, 2017
CBAK Energy Technology, Inc. (Parent Company) [Text Block] |
25. | CBAK Energy Technology, Inc. (Parent Company)
Under PRC regulations, subsidiaries in PRC (“the PRC subsidiaries”) may pay dividends only out of their accumulated profits, if any, determined in accordance with PRC GAAP. In addition, the PRC subsidiaries are required to set aside at least 10% of their after tax net profits each year, if any, to fund the statutory general reserve until the balance of the reserves reaches 50% of their registered capital. The statutory general reserves are not distributable in the form of cash dividends to the Company and can be used to make up cumulative prior year losses, if any, and may be converted into share capital by the issue of new shares to shareholders in proportion to their existing shareholdings, or by increasing the par value of the shares currently held by them, provided that the reserve balance after such issue is not less than 25% of the registered capital. As of September 30, 2016, December 31, 2016 and December 31, 2017 additional transfers of $14,019,489 were required for CBAK Power and CBAK Trading before the statutory general reserve reached 50% of the registered capital of the PRC subsidiaries. As of September 30, 2016, December 31, 2016 and December 31, 2017 there was $1,230,511 appropriation from retained earnings and set aside for statutory general reserves by the PRC subsidiaries. CBAK Trading did not have after tax net profits since its incorporation and therefore no appropriation was made to fund its statutory general reserve as of September 30, 2016, December 31, 2016 and December 31, 2017. CBAK Power had after tax loss of $10,790,255, $1,748,512 and $20,035,942 for the year ended September 30, 2016, transition period for the three months ended December 31, 2016 and year ended December 31, 2017, respectively. Schedule I of Article 504 of Regulation SX requires the condensed financial information of the registrant (Parent Company) to be filed when the restricted net assets of consolidated subsidiaries exceed 25 percent of consolidated net assets as of the end of the most recently completed fiscal year. For purposes of this test, restricted net assets of consolidated subsidiaries shall mean that amount of the registrant’s proportionate share of net assets of consolidated subsidiaries (after intercompany eliminations) which as of the end of the most recent fiscal year may not be transferred to the parent company by subsidiaries in the form of loans, advances or cash dividends without the consent of a third party (i.e., lender, regulatory agency, foreign government, etc.). SCHEDULE I – CONDENSED FINANCIAL INFORMATION OF REGISTRANT CBAK ENERGY TECHNOLOGY, INC. PARENT COMPANY STATEMENTS OF OPERATIONS For the years ended September 30, 2016 and December 31, 2017, and the three months ended December 31, 2016 (Unaudited)
|  | Year ended |  |  | Three months |  |  | Year ended |
|  | September 30, |  |  | December 31, |  |  | December 31, |
|  | 2016 |  |  | 2016 |  |  | 2017 |
REVENUE, net | $ | - |  | $ | - |  | $ | - |
OPERATING EXPENSES: |  |  |  |  |  |  |  |  |
Salaries and consulting expenses |  | (1,565,530 | ) |  | (410,239 | ) |  | (966,592 | )
General and administrative |  | (439,009 | ) |  | (87,185 | ) |  | (302,861 | )
Total operating expenses |  | (2,004,539 | ) |  | (497,424 | ) |  | (1,269,453 | )
LOSS FROM OPERATIONS |  | (2,004,539 | ) |  | (497,424 | ) |  | (1,269,453 | )
OTHER INCOME: |  | 182,708 |  |  | - |  |  | - |
LOSS ATTRIBUTABLE TO PARENT COMPANY |  | (1,821,831 | ) |  | (497,424 | ) |  | (1,269,453 | )
EQUITY IN LOSS OF SUBSIDIARIES |  | (10,830,363 | ) |  | (1,696,973 | ) |  | (20,197,888 | )
NETLOSS ATTRIBUTABLE TO SHAREHOLDERS | $ | (12,652,194 | ) | $ | (2,194,397 | ) | $ | (21,467,341 | )
CBAK ENERGY TECHNOLOGY, INC. PARENT COMPANY BALANCE SHEETS As of September 30, 2016, December 31, 2016 and 2017 (Unaudited)
|  | September 30, |  |  | December 31, |  |  | December 31, |
|  | 2016 |  |  | 2016 |  |  | 2017 |
ASSETS |  |  |  |  |  |  |  |  |
CURRENT ASSETS: |  |  |  |  |  |  |  |  |
Other receivables | $ | - |  | $ | - |  | $ | - |
Total current assets |  | - |  |  | - |  |  | - |
Interests in subsidiaries |  | 16,684,482 |  |  | 14,253,463 |  |  | 3,744,185 |
Total assets |  | 16,684,482 |  | $ | 14,253,463 |  | $ | 3,744,185 |
LIABILITIES AND SHAREHOLDERS' EQUITY |  |  |  |  |  |  |  |  |
CURRENT LIABILITIES: |  |  |  |  |  |  |  |  |
Accrued expenses and other payables | $ | 1,594,486 |  | $ | 1,575,894 |  | $ | 1,548,209 |
Total current liabilities |  | 1,594,486 |  |  | 1,575,894 |  |  | 1,548,209 |
SHAREHOLDERS' EQUITY |  | 15,089,996 |  |  | 12,677,569 |  |  | 2,195,976 |
Total liabilities and shareholders' equity | $ | 16,684,482 |  | $ | 14,253,463 |  | $ | 3,744,185 |
CBAK ENERGY TECHNOLOGY, INC. PARENT COMPANY STATEMENTS OF CASH FLOWS For the years ended September 30, 2016 and December 31, 2017, and the three months ended December 31, 2016 (Unaudited)
|  | Year ended |  |  | Three months |  |  | Year ended |
|  | September 30, |  |  | ended December |  |  | December |
|  | 2016 |  |  | 31, 2016 |  |  | 31,2017 |
CASH FLOWS FROM OPERATING ACTIVITIES: |  |  |  |  |  |  |  |  |
Net loss | $ | ( 12,652,194 | ) | $ | (2,194,397 | ) |  | (21,467,341 | )
Adjustments to reconcile net loss to net cash used in operating |  |  |  |  |  |  |  |  |
activities: |  |  |  |  |  |  |  |  |
Equity in loss of subsidiaries |  | 10,830,363 |  |  | 1,696,973 |  |  | 20,197,888 |
Share based compensation |  | 1,462,197 |  |  | 345,079 |  |  | 759,292 |
Change in operating assets and liabilities |  |  |  |  |  |  |  |  |
Accrued expenses and other payable |  | (15,697 | ) |  | (18,592 | ) |  | (27,685 | )
Net cash used in operating activities |  | (375,331 | ) |  | (170,937 | ) |  | (537,846 | )
CASH FLOWS FROM INVESTING ACTIVITIES: |  |  |  |  |  |  |  |  |
Increase in interest in subsidiaries |  | (5,141,269 | ) |  | 170,937 |  |  | (9,067,432 | )
Net cash provided by (used in) investing activities |  | (5,141,269 | ) |  | 170,937 |  |  | (9,067,432 | )
CASH FLOWS FROM FINANCING ACTIVITIES: |  |  |  |  |  |  |  |  |
Proceeds from issuance of common stock |  | 5,516,600 |  |  | - |  |  | 9,605,278 |
Net cash provided by financing activities |  | 5,516,600 |  |  | - |  |  | 9,605,278 |
CHANGE IN CASH |  | - |  |  | - |  |  | - |
CASH, beginning of year |  | - |  |  | - |  |  | - |
CASH, end of year | $ | - |  | $ | - |  |  | - |
The condensed parent company financial statements have been prepared using the equity method to account for its subsidiaries. Refer to the consolidated financial statements and notes presented above for additional information and disclosures with respect to these financial statements.

X
- Definition Tabular disclosure of how the entity's reporting under GAAP as of the balance sheet date differs from the results based on prescribed and permitted accounting practices of the state or country of domicile in which a relevant statutory filing is made, or differences in results based on the National Association of Insurance Commissioners (NAIC) prescribed practices, or a combination thereof. Describes the accounting practices used and the related monetary effect on statutory surplus, net income, and risk-based capital. If an insurance enterprise's risk-based capital would have triggered a regulatory event had it not used a permitted practice, that fact is disclosed in the financial statements. Permitted statutory accounting practices include practices not prescribed but allowed by the domiciliary state insurance department regulatory authority. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 944 -SubTopic 505 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=6486098&loc=d3e24746-158529 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 944 -SubTopic 210 -Section S99 -Paragraph 1 -Subparagraph (SX 210.7-03.23(c)) -URI http://asc.fasb.org/extlink&oid=6879938&loc=d3e572229-122910 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 944 -SubTopic 505 -Section 50 -Paragraph 6 -URI http://asc.fasb.org/extlink&oid=6486098&loc=d3e24790-158529 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 944 -SubTopic 505 -Section 55 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=82848697&loc=d3e24938-158530 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 944 -SubTopic 505 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=6486098&loc=d3e24708-158529 Reference 6: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 944 -SubTopic 505 -Section 55 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=82848697&loc=d3e24959-158530 + Details
Name: | us-gaap_StatutoryAccountingPracticesDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration