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Unaudited Condensed Pro Forma Financial Statements

12 Months Ended

Dec. 31, 2019

Business Acquisition, Pro Forma Information [Abstract]

UNAUDITED CONDENSED PRO FORMA FINANCIAL STATEMENTS

16. Unaudited Condensed Pro Forma Financial Statements

The following unaudited pro forma condensed consolidated financial statements have been prepared to illustrate the effect after the Sale Transaction. The unaudited pro forma condensed consolidated balance sheet as of December 31, 2019 reflects the pro forma effect as if the sale of HeDeTang HK was consummated at December 31, 2019. The unaudited pro forma condensed consolidated statements of operations of the Company for the periods ended December 31, 2019 and December 31, 2018, respectively, assume that the sale was consummated on January 1, 2019, and January 1, 2018, respectively.

The unaudited pro forma condensed consolidated balance sheet and statements of operations include pro forma adjustments which reflect transactions and events that (a) are directly attributable to the Sale Transaction, (b) are factually supportable and (c) with respect to the statements of operations, have a continuing impact on consolidated results of the Company. The pro forma adjustments are described in the accompanying notes to the unaudited pro forma condensed consolidated financial statements. The unaudited pro forma condensed consolidated financial information does not reflect the tax consequences in any jurisdictions attributable to the Sale Transaction, and it does not reflect future events that may occur after the sale, including potential general and administrative cost savings. The unaudited pro forma condensed consolidated financial information is provided for informational purposes only and is not necessarily indicative of the Company's future operating results. The pro forma adjustments are subject to change and are based upon currently available information.

	December 31, 2019

ASSETS

CURRENT ASSETS
Cash and cash equivalents	$	539,316
Accounts receivable, net of allowance of $16,127,000 as of December 31, 2019 and $15,650,217 as of December 31, 2018, respectively		4,954
Other receivables, net		7,489
Inventories		3,594
Advances to suppliers and other current assets		1,668,847
TOTAL CURRENT ASSETS	$	2,224,200

Property, plant and equipment, net	$	17,855
Intangible assets		5,312,906
Amount due from related parties		3,402,823
Long-term investments		12,250,000
TOTAL ASSETS	$	23,207,784

LIABILITIES

CURRENT LIABILITIES
Accounts payable	$	320,378
Accrued expenses		4,547,380
Advances from customers		702,179
Short-term bank loans		957,990
TOTAL CURRENT LIABILITIES	$	6,527,927

NON-CURRENT LIABILITIES
Amount due to related parties		1,268,101
TOTAL NON-CURRENT LIABILITIES		1,268,101
TOTAL LIABILITIES	$	7,796,028
Commitments and contingencies(Note 16)
STOCKHOLDER'S EQUITY

Future FinTech Group, Inc, Stockholders' equity
Common stock, $0.001 par value; 60,000,000 shares authorized and 33,810,416 shares and 31,017,083 shares issued and outstanding as of December 31, 2019 and December 31, 2018, respectively	$	33,810
Additional paid-in capital		107,852,827
Accumulated deficits		(109,825,651	)
Accumulated other comprehensive income (loss)		12,989,409
Total Future FinTech Group, Inc. stockholders' equity		11,050,395
Non-controlling interests		4,361,361
Total stockholders' equity		15,411,756
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY	$	23,207,784

	Pro Forma For the Year Ended			Pro Forma For the Year Ended
	2019			2018
Revenue	$	955,172		$	131,832
Cost of goods sold		464,307			83,888
Gross profit		490,865			47,944

Operating Expenses
General and administrative expenses		4,913,656			1,636,298
Selling expenses		500,949			14,482
Bad debt provision		5,234,205			-
Inventory markdown		27,247			-
Impairment Loss		2,751,099			44,665,618
Total operating expenses		13,427,156			46,316,398

Loss from operations		(12,936,291	)		(46,268,454	)

Other (expenses) income
Interest income		3,995			711
Interest expenses		(523,676	)		96,329
Other income(expenses)		(229,042	)		(4,382,686	)
Total other income (expenses), net		(748,723	)		(4,285,646	)

Loss from Continuing Operations before Income Tax		(13,685,014	)		(50,554,100	)
Income tax provision		-			206
Loss from Continuing Operations before Non-controlling Minority Interest		(13,685,014	)		(50,554,306	)

Less: Net loss attributable to non-controlling interests		(163,576	)		(123,139	)

Loss from Continuing Operations	$	(13,521,438	)	$	(50,431,167	)

Discontinued Operations
Loss from discontinued operations		-			-
NET LOSS ATTRIBUTABLE TO FUTURE FINTECH GROUP INC	$	(13,521,438	)	$	(50,431,167	)

Earnings per share:
Basic earnings per share from continued operation	$	(0.42	)	$	(2.33	)
Basic earnings per share from discontinued operation		-			-
	$	(0.42	)	$	(2.33	)
Diluted Earnings per share:
Diluted earnings per share from continued operation	$	(0.42	)	$	(2.30	)
Diluted earnings per share from discontinued operation		-			-
	$	(0.42	)	$	(2.30	)
Weighted average number of shares outstanding
Basic		33,996,279			21,636,146
Diluted		33,996,279			21,966,612