China Jo-Jo Drugstores Reports Fiscal Year 2024 Financial Results
Mr.
Fiscal Year 2024 Financial Highlights |
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For the Year Ended |
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($ millions, except per share data) |
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2024 |
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2023 |
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% Change |
Revenue |
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154.54 |
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148.81 |
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3.8 % |
Retail drugstores |
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75.68 |
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83.35 |
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(9.2) % |
Online pharmacy |
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31.86 |
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32.38 |
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(1.6) % |
Wholesale |
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47.00 |
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33.08 |
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42.1 % |
Gross profit |
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31.11 |
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34.28 |
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(9.3) % |
Gross margin |
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20.1 % |
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23.0 % |
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(2.9)pp |
Loss from operations |
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(3.53) |
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(20.93) |
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83.1 % |
Net loss |
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(4.23) |
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(21.14) |
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80.0 % |
Loss per share |
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(2.93) |
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(41.46) |
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92.9 % |
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*Notes: pp represents percentage points |
- Revenue increased by 3.8% to
$154.54 million for the fiscal year endedMarch 31, 2024 , from$148.81 million for the same period of last year. - Gross profit was
$31.11 million for the fiscal year endedMarch 31, 2024 , compared to$34.28 million for the same period of last year. - Gross margin was 20.1% for the fiscal year ended
March 31, 2024 , compared to 23.0% for the same period of last year. - Net loss was
$4.23 million , or$2.93 per basic and diluted share, for the fiscal year endedMarch 31, 2024 , compared to net loss of$21.14 million , or$41.46 per basic and diluted share, for the same period of last year.
Fiscal Year 2024 Financial Results
Revenue
Revenue increased by
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For the Year Ended |
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2024 |
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2023 |
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($ millions) |
|
Revenue |
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Cost of |
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Average |
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Revenue |
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Cost of |
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Average |
Retail drugstores |
|
75.68 |
|
53.06 |
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29.9 % |
|
83.35 |
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56.55 |
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32.2 % |
Online pharmacy |
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31.86 |
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28.24 |
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11.3 % |
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32.38 |
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28.51 |
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12.0 % |
Wholesale |
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47.00 |
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42.13 |
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10.4 % |
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33.08 |
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29.47 |
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10.9 % |
Total |
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154.54 |
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123.43 |
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20.1 % |
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148.81 |
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114.53 |
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23.0 % |
Revenue from the retail drugstores business decreased by
Revenue from the online pharmacy business decreased by
Revenue from the wholesale business increased by
Gross profit and gross margin
Total cost of goods sold increased by
Gross margins for retail drugstores, online pharmacy and wholesale were 29.9%, 11.3%, and 10.4%, respectively, for the fiscal year ended
Loss from operations
Sales and marketing expenses decreased by
General and administrative expenses decreased by
Loss from operations was
Net loss
Net loss was
Financial Condition
As of
About
Forward-Looking Statements
This press release contains information about the Company's view of its future expectations, plans and prospects that constitute forward-looking statements. Actual results may differ materially from historical results or those indicated by these forward-looking statements as a result of a variety of factors including, but not limited to, risks and uncertainties associated with its ability to raise additional funding, its ability to maintain and grow its business, variability of operating results, its ability to maintain and enhance its brand, its development and introduction of new products and services, the successful integration of acquired companies, technologies and assets into its portfolio of products and services, marketing and other business development initiatives, competition in the industry, general government regulation, economic conditions, dependence on key personnel, the ability to attract, hire and retain personnel who possess the technical skills and experience necessary to meet the requirements of its clients, and its ability to protect its intellectual property. The Company's encourages you to review other factors that may affect its future results in the Company's annual reports and in its other filings with the
For more information, please contact:
Company Contact:
Chief Financial Officer
+86-571-88077108
frank.zhao@jojodrugstores.com
Investor Relations Contact:
Ascent Investor Relations LLC
+1-646-932-7242
investors@ascent-ir.com
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ASSETS |
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CURRENT ASSETS |
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Cash and cash equivalents |
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$ |
20,149,806 |
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$ |
18,807,936 |
Restricted cash |
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12,724,365 |
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12,762,708 |
Trade accounts receivables |
|
|
15,824,103 |
|
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14,119,606 |
Inventories |
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16,248,373 |
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15,309,100 |
Other receivables, net |
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|
2,938,049 |
|
|
2,725,015 |
Advances to suppliers |
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914,776 |
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142,417 |
Due from related parties |
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313,346 |
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- |
Other current assets |
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569,544 |
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616,008 |
Total current assets |
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69,682,362 |
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64,482,790 |
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OTHER ASSETS |
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Property and equipment, net |
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4,906,589 |
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5,100,264 |
Long-term investment |
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1,195,261 |
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1,772,072 |
Farmland assets |
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634,153 |
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666,721 |
Long-term deposits |
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1,119,006 |
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1,038,125 |
Other noncurrent assets |
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682,437 |
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790,056 |
Operating lease right-of-use assets |
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13,827,360 |
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13,924,826 |
Intangible assets, net |
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3,009,922 |
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3,195,748 |
Total other assets |
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25,374,728 |
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26,487,812 |
Total assets |
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$ |
95,057,090 |
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$ |
90,970,602 |
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LIABILITIES AND SHAREHOLDERS' EQUITY |
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CURRENT LIABILITIES |
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Short-term loan payable |
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$ |
276,997 |
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$ |
- |
Accounts payable |
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31,630,131 |
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26,990,250 |
Notes payable |
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|
31,676,335 |
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29,255,776 |
Other payables |
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2,493,482 |
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1,314,919 |
Due to related parties |
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1,833,509 |
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683,560 |
Customer deposits |
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518,241 |
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695,931 |
Taxes payable |
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682,239 |
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1,706,909 |
Accrued liabilities |
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386,395 |
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756,516 |
Current portion of operating lease liabilities |
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4,862,766 |
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5,131,373 |
Total current liabilities |
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74,360,095 |
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66,535,234 |
Long-term operating lease liabilities |
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6,403,858 |
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7,768,216 |
Total liabilities |
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80,763,953 |
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74,303,450 |
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COMMITMENTS AND CONTINGENCIES |
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SHAREHOLDERS' EQUITY |
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Ordinary shares; |
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418,407 |
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284,367 |
Preferred shares; |
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- |
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- |
Additional paid-in capital |
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86,413,978 |
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83,958,418 |
Statutory reserves |
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1,309,109 |
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1,309,109 |
Accumulated deficit |
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(73,507,246) |
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(69,273,018) |
Accumulated other comprehensive income |
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1,005,762 |
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1,735,135 |
Total shareholders' equity attributed to China Jo-Jo |
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15,640,010 |
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18,014,011 |
Noncontrolling interests |
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(1,346,873) |
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(1,346,859) |
Total shareholders' equity |
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14,293,137 |
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16,667,152 |
Total liabilities and shareholders' equity |
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$ |
95,057,090 |
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$ |
90,970,602 |
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For the years ended |
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2024 |
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2023 |
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2022 |
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REVENUES, NET |
$ |
154,541,077 |
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$ |
148,811,976 |
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$ |
164,392,555 |
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COST OF GOODS SOLD |
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123,432,529 |
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114,531,512 |
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127,873,515 |
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GROSS PROFIT |
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31,108,548 |
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34,280,464 |
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36,519,040 |
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SELLING EXPENSES |
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27,385,587 |
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29,177,163 |
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30,876,959 |
GENERAL AND ADMINISTRATIVE EXPENSES |
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7,257,524 |
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15,668,684 |
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8,187,176 |
STOCK BASED COMPENSATION |
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- |
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10,360,000 |
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- |
IMPAIRMENT OF LONG-LIVED ASSETS |
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- |
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- |
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148,795 |
TOTAL OPERATING EXPENSES |
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34,643,111 |
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55,205,847 |
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39,212,930 |
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LOSS FROM OPERATIONS |
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(3,534,563) |
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(20,925,383) |
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(2,693,890) |
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OTHER INCOME (EXPENSES): |
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INTEREST INCOME |
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516,637 |
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883,908 |
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401,921 |
INTEREST EXPENSE |
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(13,604) |
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(65,854) |
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(262,218) |
INVESTMENT LOSS |
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(1,607,537) |
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|
(2,316,994) |
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- |
OTHER INCOME (EXPENSES) |
|
467,687 |
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1,680,087 |
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|
455,547 |
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LOSS BEFORE INCOME TAXES |
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(4,171,380) |
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(20,744,236) |
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(2,098,640) |
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PROVISION FOR INCOME TAXES |
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62,862 |
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394,541 |
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1,099,726 |
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NET LOSS |
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(4,234,242) |
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|
(21,138,777) |
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(3,198,366) |
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LESS: NET LOSS ATTRIBUTABLE TO NONCONTROLLING |
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(14) |
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|
(252) |
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(6,247) |
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NET LOSS ATTRIBUTABLE TO CHINA JO-JO DRUGSTORES, |
|
(4,234,228) |
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(21,138,525) |
|
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(3,192,119) |
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OTHER COMPREHENSIVE LOSS |
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FOREIGN CURRENCY TRANSLATION ADJUSTMENTS |
|
(729,373) |
|
|
(2,617,857) |
|
|
1,534,807 |
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|
|
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COMPREHENSIVE LOSS |
|
(4,963,615) |
|
|
(23,756,634) |
|
|
(1,663,559) |
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WEIGHTED AVERAGE NUMBER OF SHARES: |
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Basic |
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1,444,263 |
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|
509,828 |
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|
173,966 |
Diluted |
|
1,444,263 |
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|
509,828 |
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|
173,966 |
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LOSS PER SHARE: |
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|
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|
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Basic |
$ |
(2.93) |
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$ |
(41.46) |
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$ |
(18.35) |
Diluted |
$ |
(2.93) |
|
$ |
(41.46) |
|
$ |
(18.35) |
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For the years ended |
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|
2024 |
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2023 |
|
2022 |
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CASH FLOWS FROM OPERATING ACTIVITIES: |
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Net loss |
$ |
(4,234,242) |
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$ |
(21,138,777) |
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$ |
(3,198,366) |
Adjustments to reconcile net loss to net cash used in operating |
|
|
|
|
|
|
|
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Depreciation and amortization |
|
790,449 |
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|
718,002 |
|
|
1,256,491 |
Bad debt direct write-off and provision and reversal |
|
(249,257) |
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|
7,579,886 |
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|
939,720 |
Amortization of right-of-use assets |
|
4,594,172 |
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- |
|
|
- |
Loss from disposal of property and equipment |
|
107,251 |
|
|
- |
|
|
- |
Impairment of long lived assets |
|
- |
|
|
- |
|
|
148,795 |
Share-based compensation |
|
- |
|
|
10,360,000 |
|
|
- |
Investment loss |
|
1,607,537 |
|
|
2,316,994 |
|
|
- |
Change in operating assets and liabilities: |
|
|
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Accounts receivable |
|
(1,804,440) |
|
|
(2,531,755) |
|
|
(2,657,283) |
Notes receivable |
|
19,943 |
|
|
(20,861) |
|
|
40,260 |
Inventories and biological assets |
|
(1,699,621) |
|
|
(522,550) |
|
|
1,523,098 |
Other receivables |
|
(672,830) |
|
|
(958,671) |
|
|
(1,927,692) |
Advances to suppliers |
|
(839,221) |
|
|
201,984 |
|
|
(171,783) |
Long term deposit |
|
(132,568) |
|
|
589,653 |
|
|
(159,508) |
Other current assets |
|
19,076 |
|
|
331,426 |
|
|
376,134 |
Other noncurrent assets |
|
69,539 |
|
|
(30,483) |
|
|
62,394 |
Amount due from related parties |
|
(317,828) |
|
|
- |
|
|
- |
Accounts payable |
|
6,002,186 |
|
|
1,765,488 |
|
|
(3,558,050) |
Other payables and accrued liabilities |
|
868,975 |
|
|
(1,341,447) |
|
|
99,132 |
Customer deposits |
|
(144,761) |
|
|
(1,035,456) |
|
|
678,601 |
Taxes payable |
|
(948,277) |
|
|
433,054 |
|
|
1,162,084 |
Operating lease liabilities |
|
(6,191,522) |
|
|
- |
|
|
- |
Net cash used in operating activities |
|
(3,155,439) |
|
|
(3,283,513) |
|
|
(5,385,973) |
|
|
|
|
|
|
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CASH FLOWS FROM INVESTING ACTIVITIES: |
|
|
|
|
|
|
|
|
Acquisition of equipment and building |
|
(330,677) |
|
|
(118,272) |
|
|
(89,960) |
Investment in a joint venture |
|
(1,116,212) |
|
|
(4,379) |
|
|
- |
Purchases of intangible assets |
|
(66,973) |
|
|
(12,774) |
|
|
(7,012) |
Additions to leasehold improvements |
|
(525,988) |
|
|
(180,672) |
|
|
(209,166) |
Net cash used in investing activities |
|
(2,039,850) |
|
|
(316,097) |
|
|
(306,138) |
|
|
|
|
|
|
|
|
|
CASH FLOWS FROM FINANCING ACTIVITIES: |
|
|
|
|
|
|
|
|
Proceeds from short-term bank loan |
|
1,116,212 |
|
|
- |
|
|
- |
Repayment of short-term bank loan |
|
(837,159) |
|
|
- |
|
|
(779,059) |
Repayment of third parties loan |
|
- |
|
|
(1,811,558) |
|
|
(2,613,965) |
Proceeds from notes payable |
|
56,875,403 |
|
|
57,965,013 |
|
|
65,370,181 |
Repayment of notes payable |
|
(52,997,171) |
|
|
(60,273,598) |
|
|
(57,829,269) |
Proceeds from issuance of shares and warrants in private placements |
|
2,589,600 |
|
|
7,325,000 |
|
|
- |
Proceeds from other payable-related parties |
|
1,257,406 |
|
|
43,785 |
|
|
689,010 |
Repayment of other payable-related parties |
|
- |
|
|
(882,486) |
|
|
|
Net cash provided by financing activities |
|
8,004,291 |
|
|
2,366,156 |
|
|
4,836,898 |
|
|
|
|
|
|
|
|
|
EFFECT OF EXCHANGE RATE ON CASH |
|
(1,505,475) |
|
|
(2,535,479) |
|
|
1,522,146 |
|
|
|
|
|
|
|
|
|
INCREASE IN CASH AND CASH EQUIVALENTS AND |
|
1,303,527 |
|
|
(3,768,933) |
|
|
666,933 |
CASH AND CASH EQUIVALENTS AND RESTRICTED CASH, |
|
31,570,644 |
|
|
35,339,577 |
|
|
34,672,644 |
CASH AND CASH EQUIVALENTS AND RESTRICTED CASH, end |
$ |
32,874,171 |
|
$ |
31,570,644 |
|
$ |
35,339,577 |
|
|
|
|
|
|
|
|
|
SUPPLEMENTAL DISCLOSURE OF CASH FLOW |
|
|
|
|
|
|
|
|
Cash paid for income taxes |
$ |
149,023 |
|
$ |
63,668 |
|
$ |
3,955 |
Cash paid for interest |
|
13,604 |
|
|
64,943 |
|
|
262,218 |
|
|
|
|
|
|
|
|
|
NON-CASH ACTIVITIES: |
|
|
|
|
|
|
|
|
Cashless exercise of warrants |
$ |
- |
|
$ |
135,118 |
|
$ |
- |
View original content:https://www.prnewswire.com/news-releases/china-jo-jo-drugstores-reports-fiscal-year-2024-financial-results-302209643.html
SOURCE