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Segment Reporting
 3 Months Ended
Mar. 31, 2023
Segment Reporting [Abstract]  
Segment Reporting

(17) Segment Reporting

 

Since March 10, 2010, Baoding Shengde started its operations and thereafter the Company manages its operations through three business operating segments: Dongfang Paper and Tengsheng Paper, which produces offset printing paper, corrugating medium paper and tissue paper, and Baoding Shengde, which produces face masks and digital photo paper. They are managed separately because each business requires different technology and marketing strategies.

 

The Company evaluates performance of its operating segments based on net income. Administrative functions such as finance, treasury, and information systems are centralized. However, where applicable, portions of the administrative function expenses are allocated among the operating segments based on gross revenue generated. The operating segments do share facilities in Xushui County, Baoding City, Hebei Province, China. All sales were sold to customers located in the PRC.

 

Summarized financial information for the three reportable segments is as follows:

 

   Three Months Ended 
   March 31, 2023 
   Dongfang   Tengsheng   Baoding   Not Attributable   Elimination of   Enterprise-wide, 
   Paper   Paper   Shengde   to Segments   Inter-segment   consolidated 
                         
Revenues  $19,528,196   $227,044   $35,637   $
-
   $
         -
   $19,790,877 
Gross profit (loss)   439,080    (713,240)   (2,839)   
-
    
-
    (276,999)
Depreciation and amortization   1,140,466    2,137,928    407,849    
-
    
-
    3,686,243 
Interest income   133,183    693    1,235    1,157    
-
    136,268 
Interest expense   146,702    28,574    73,893    
-
    
-
    249,169 
Income tax expense(benefit)   
-
    
-
    
-
    
-
    
-
    
-
 
Net loss   (569,464)   (1,920,120)   (99,285)   (144,296)   
-
    (2,733,165)

 

   Three Months Ended 
   March 31, 2022 
   Dongfang   Tengsheng   Baoding   Not Attributable   Elimination of   Enterprise-wide, 
   Paper   Paper   Shengde   to Segments   Inter-segment   consolidated 
                         
Revenues  $15,026,633   $398,388   $56,597   $
                -
   $
                   -
   $15,481,618 
Gross profit   857,544    (563,777)   16,678    
-
    
-
    310,445 
Depreciation and amortization   1,270,492    2,061,937    440,807    
-
    
-
    3,773,236 
Interest income   1,956    170    1,329    
-
    
-
    3,455 
Interest expense   173,189    13,507    84,117    
-
    
-
    270,813 
Income tax expense(benefit)   (80,399)   (411,191)   142,601    
-
    
-
    (348,989)
Net income (loss)   (704,673)   (1,605,442)   (231,890)   19,788    34,003    (2,488,214)

 

   As of March 31, 2023 
   Dongfang   Tengsheng   Baoding     Not Attributable    Elimination of   Enterprise-wide, 
   Paper   Paper   Shengde     to Segments    Inter-segment   consolidated 
                                 
Total assets  $67,241,412    117,316,535    17,721,144      4,570,538     
                    -
    206,849,629 

 

   As of December 31, 2022 
   Dongfang   Tengsheng   Baoding   Not Attributable  Elimination of   Enterprise-wide, 
   Paper   Paper   Shengde   to Segments  Inter-segment   consolidated 
                             
Total assets  $63,365,986    117,645,828    17,945,969   5,489,450   
      -
    204,447,233