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Related Party Transactions and Balances
 9 Months Ended
Mar. 31, 2026
Related Party Transactions and Balances [Abstract]  
Related Party Transactions and Balances

14. Related Party Transactions and Balances

 

Related Parties

 

Name of related parties   Relationship with the Company
Jacky Chen   Former CEO of the Company’s significant operating subsidiary, Armstrong Logistic Inc.
Aidy Chou   Founder, CEO, and substantial stockholder
DNA Motor Inc.   A company wholly-owned by Jacky Chen

 

Related Party Transactions

 

The Company had the following related party transactions:

 

  (i) DNA Motor Inc. (“DNA”), the lessor of three of the Company’s operating leases, is owned by Jacky Chen. During the nine months ended March 31, 2026, for these operating leases, US$227,898 (2025: US$283,339) lease expense was recorded in general and administrative expenses, US$6,102,386 (2025: US$8,815,346) was recorded in costs of services and US$Nil (2025: US$422,521) was recorded in other expenses. The aggregate lease liability associated with these operating leases as of March 31, 2026 and June 30, 2025 was US$21,156,272 and US$24,092,384, respectively. The aggregate right-of-use assets related to these operating leases as of March 31, 2026 and June 30, 2025 was US$20,501,156 and US$23,410,085, respectively.

 

  (ii) During the nine months ended March 31, 2026, the Company generated revenue of US$9,700 (2025: US$553) for providing logistic services to DNA. During the nine months ended March 31, 2026, the Company generated revenue of US$Nil (2025: US$884,700) for providing warehouse services to DNA. During the nine months ended March 31, 2026, the Company paid expenses in the total amount of US$9,066 (2025: US$470,912) on behalf of DNA. The amount due from DNA of $300 and $912 as of March 31, 2026 and June 30, 2025 are included in accounts receivable from as related party as disclosed in Note 3. 

  

  (iii) During the nine months ended March 31, 2026, the Company incurred cost of services of US$4,647,700 (2025: US$1,603,146) for outside services, warehouse supplies, freight expenses and operating expenses provided by DNA. The amount due from DNA of $444,876 and $nil as of March 31, 2026 and June 30, 2025 are included in other receivables from a related party as disclosed in Note 3.