XML 16 R8.htm IDEA: XBRL DOCUMENT v3.22.2.2
Unaudited Condensed Consolidated Statements of Cash Flows - USD ($)
6 Months Ended
Jun. 30, 2022
Jun. 30, 2021
CASH FLOWS FROM OPERATING ACTIVITIES    
Net loss $ (5,768,846) $ (8,865,221)
Less: net loss from discontinued operations (1,549,302)
Net loss from continuing operations (5,768,846) (7,315,919)
Adjustments to reconcile net loss to net cash used in operating activities:    
Deferred tax benefit (9,118)
Depreciation and amortization 534,165 377,424
Share-based compensation 4,031,475 995,700
Change in fair value of convertible debt (204,331) 1,311,852
Accrued interest for convertible debt 110,669 35,658
Change in bad debt allowances (650,775) 3,612,004
Investment loss 38,885
Gain from dissolving of a subsidiary (72,023)  
Amortization of operating lease right-of-use assets 134,281 62,806
Changes in operating assets:    
Accounts receivable – third parties (2,281,454) (53,153)
Accounts receivable – related party 2,932 (33,760)
Advances to suppliers – third parties (3,523,116) (819,501)
Advances to suppliers – related parties (534,150) 160,103
Inventories (315,312) (203,600)
Prepayments and other current assets (1,047,965) (336,319)
Changes in operating liabilities:    
Advances from customers 621,943 (258,562)
Advances from customers from related party 415,815 (2,195)
Deferred revenue (140,431) (30,920)
Accounts payable – third parties 635,076 67,441
Accounts payable – related party   (291)
Accrued expenses and other liabilities (1,148,642) 1,741,576
Long term accounts payable   (494,720)
Taxes payable 129,252 23,236
Lease liabilities (228,739) (141,026)
Net cash used in continuing operating activities (9,270,409) (1,302,166)
Net cash provided by discontinued operating activities   325,805
Net cash used in operating activities (9,270,409) (976,361)
CASH FLOWS FROM INVESTING ACTIVITIES    
Addition of property, equipment and construction in progress (166,839) (39,887)
Proceeds from disposal of subsidiary 4,629,000  
Net cash provided by (used in) continuing investing activities 4,462,161 (39,887)
Net cash used in discontinued investing activities   (350,528)
Net cash provided by (used in) investing activities 4,462,161 (390,415)
CASH FLOWS FROM FINANCING ACTIVITIES    
Proceeds from short-term loans   773,000
Repayment of short-term bank loans   (1,546,000)
Repayment of long-term bank loans   (324,646)
Proceeds received from share issuance 3,703,140  
Repayments of loans from third parties (1,039,365)  
Loan to third parties (523,658)  
Share holder contribution 771,500  
Gross proceeds from issuance of convertible debt 3,000,000 1,437,490
Payments to non-controlling shareholders (617,200)  
Proceeds from related party loans 831,811 3,081,867
Repayment to related party loans (1,483,475) (2,899,404)
Net cash provided by continuing financing activities 4,642,753 522,307
Net cash provided by discontinued financing activities   (38,521)
Net cash provided by financing activities 4,642,753 483,786
EFFECT OF EXCHANGE RATE CHANGES ON CASH AND RESTRICTED CASH 540,389 (1,017)
NET DECREASE IN CASH AND RESTRICTED CASH 374,894 (884,007)
CASH AND RESTRICTED CASH, BEGINNING OF PERIOD 457,495 1,120,840
CASH, RESRICTED CASH, END OF PERIOD 832,389 236,833
Less: cash and cash equivalents, restricted cash of discontinued operations at end of period 125,492
Cash and cash equivalents, restricted cash of continued operation, at end of period 832,389 111,341
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION:    
Interest paid 189,755 588,957
Income tax paid   3,947
Non-Cash Investing Activities    
Right-of-use assets obtained in exchange for operating lease obligations 512,670 17,662
Purchase of 30% noncontrolling interest in Xinyi REIT through payable to non-controlling shareholders 2,160,200  
Common shares issued for conversion of debt $ 1,681,000 $ 2,186,000