v3.21.2
Segment Reporting
 12 Months Ended
Jun. 30, 2021
Segment Reporting [Abstract]  
SEGMENT REPORTING

Note 19. SEGMENT REPORTING

 

ASC 280, “Segment Reporting”, establishes standards for reporting information about operating segments on a basis consistent with the Company’s internal organizational structure as well as information about geographical areas, business segments and major customers in consolidated financial statements for detailing the Company’s business segments. 

 

The Company’s chief operating decision maker is the Chief Executive Officer, who reviews the financial information of the separate operating segments when making decisions about allocating resources and assessing the performance of the group. The Company has determined that it has three operating segments: (1) shipping agency and management services; (2) freight logistics services and (3) container trucking services.

 

The following tables present summary information by segment for the years ended June 30, 2021 and 2020, respectively:

 

  

For the Year Ended June 30, 2021 

 
   Shipping
Agency and
Management
Services		   Freight
Logistics
Services		   Container
Trucking
Services		   Total 
Net revenues  $206,845   $4,944,187   $             -   $5,151,032 
Cost of revenues  $176,968   $4,797,427   $-   $4,974,394 
Gross profit  $29,878   $146,760   $-   $176,638 
Depreciation and amortization  $299,934   $36,300   $-   $336,234 
Total capital expenditures  $136,076   $407,954   $-   $544,030 
Gross margin%   14.4%   3.0%   -%   3.4%

 

  

For the Year Ended June 30, 2020

 
   Shipping
Agency and
Management
Services		   Freight
Logistics
Services		   Container
Trucking
Services		   Total 
Net revenues  $2,105,651   $4,368,596*  $61,709   $6,535,956 
Cost of revenues  $827,690   $2,795,859*  $55,314   $3,678,863 
Gross profit  $1,277,961   $1,572,737   $6,395   $2,857,093 
Depreciation and amortization  $340,421   $7,684   $54,189   $402,294 
Total capital expenditures  $6,984   $-   $-   $6,984 
Gross margin%   60.7%   36.0%   10.4%   43.7%

 

*For certain freight logistics contracts that the Company entered into with customers starting from first quarter of fiscal year 2020, the Company (i) acts as an agent in arranging the relationship between the customer and the third-party service provider and (ii) does not control the services rendered to the customers, revenues related to these contracts are presented net of related costs. For the year ended June 30, 2020, gross revenues and gross cost of revenues related to these contracts amounted to approximately $25.8 million and $24.3 million, respectively. There was no such transaction for the year ended June 30, 2021.

 

Total assets as of:

 

   June 30,   June 30, 
   2021   2020 
Shipping Agency and Management Services  $47,347,418   $2,531,074 
Freight Logistic Services   5,453,848    3,176,165 
Container Trucking Services   1,851    30,863 
Total Assets  $52,803,117   $5,738,102 

 

The Company’s operations are primarily based in the PRC and U.S, where the Company derives all of their revenues. Management also review consolidated financial results by business locations.

 

Disaggregated information of revenues by geographic locations are as follows:

 

   For the Years Ended 
   June 30,   June 30, 
   2021   2020 
PRC   4,921,022    4,368,596 
U.S.   230,010    2,167,360 
Total revenues  $5,151,032   $6,535,956