Value Exchange International, Inc.

CIK:0001417664|SEC Filings

CONSOLIDATED STATEMENTS OF OPERATION (Unaudited) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
NET REVENUES
Service income	$ 4,387,174	$ 2,960,825	$ 11,821,327	$ 8,695,412
COST OF SERVICES
Cost of service income	(3,795,514)	(2,326,079)	(9,447,421)	(7,193,622)
GROSS PROFIT	591,660	634,746	2,373,906	1,501,790
OPERATING EXPENSES:
General and administrative expenses	(1,164,668)	(886,442)	(3,102,391)	(2,494,488)
Foreign exchange (loss) gain	142,352	17,545	(116,781)	815
LOSS FROM OPERATIONS	(430,656)	(234,151)	(845,266)	(991,883)
OTHER INCOME (EXPENSES):
Interest income	129	107	772	703
Interest expense	(56,201)	(74,851)	(158,805)	(120,032)
Change in fair value of embedded derivatives	(10,764)	(27,164)	567,061	(61,916)
Finance cost	(8,673)	(5,057)	(26,554)	(13,614)
VAT refund	3,440	3,845	15,089	4,316
Management fee income		8,410		36,286
Others	(18,731)	6,040	(32,301)	29,691
Total other income (expenses), net	(90,800)	(88,670)	365,262	(124,566)
LOSS BEFORE BENEFIT FOR INCOME TAXES	(521,456)	(322,821)	(480,004)	(1,116,449)
INCOME TAXES EXPENSES	(204)	(4,134)	(636)	(5,270)
NET LOSS	(521,660)	(326,955)	(480,640)	(1,121,719)
Less: Comprehensive (loss) income attributable to the non-controlling interests	(5,962)	17,192	(20,371)	9,039
Net loss attributable to the Company shareholders	$ (527,622)	$ (309,763)	$ (501,011)	$ (1,112,680)
Net loss per share, basic attributable to the Company shareholders	$ (0.01)	$ (0.01)	$ (0.01)	$ (0.03)
Net loss per share, diluted attributable to the Company shareholders	$ (0.01)	$ (0.01)	$ (0.01)	$ (0.03)
Weighted average number of shares outstanding, basic	43,500,762	37,124,653	43,500,762	36,478,971
Weighted average number of shares outstanding, diluted	43,500,762	37,124,653	43,500,762	36,478,971

CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($)	9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023
CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss	$ (480,640)	$ (1,121,719)
Adjustments to reconcile net loss to cash used in operating activities:
Depreciation	156,545	176,538
Noncash operating lease expense	26,554	13,614
Change in fair value of embedded derivatives	(567,061)	61,916
Deferred income taxes	(271)
Credit loss expense	124,449
Changes in operating assets and liabilities
Accounts receivable	(1,043,254)	(330,843)
Other receivables and prepayments	(860,814)	(515,071)
Amounts due from related parties	420,890	(272,191)
Inventories	(95,999)	(47,724)
Operating lease right-of-use assets	(147,696)	(473,221)
Accounts payable	183,237	879
Other payables and accrued liabilities	1,004,099	378,425
Deferred income	801,731	277,548
Amounts due to related parties	(168,986)	20,426
Operating lease liabilities	132,811	463,323
Net cash used in operating activities	(514,405)	(1,368,100)
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchase of plant and equipment	(106,188)	(30,911)
Acquisition of a subsidiary	60,355
Net cash used in investing activities	(45,833)	(30,911)
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from bank loan from an affiliate		450,000
Proceeds from convertible loan	110,000	1,500,000
Repayment of finance lease liability	(21,583)	(39,162)
Repayment of bank loan from an affiliate		(503,417)
Net cash (used in) provided by financing activities	88,417	1,407,421
EFFECT OF EXCHANGE RATE ON CASH	(88,885)	17,538
(DECREASE) INCREASE IN CASH	(560,706)	25,948
CASH, beginning of period	886,467	208,776
CASH, end of period	325,761	234,724
NON-CASH INVESTING AND FINANCING ACTIVITIES
ROU asset acquired with operating lease liability	292,609	84,177
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION
Cash paid for income taxes	(636)	(5,270)
Cash paid for interest expenses	$ (158,805)	$ (86,110)

CONSOLIDATED CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($)	Sep. 30, 2024	Dec. 31, 2023
CURRENT ASSETS
Cash	$ 325,761	$ 886,467
Accounts receivable, less allowance for credit losses	2,894,883	1,736,866
Amounts due from related parties	109,785	530,675
Other receivables and prepayments	1,489,968	623,408
Inventories	376,266
Total current assets	5,196,663	3,777,416
NON-CURRENT ASSETS
Plant and equipment, net	257,850	308,135
Goodwill	342,079	206,812
Operating lease right-of-use assets, net	1,048,137	926,630
Total non-current assets	1,648,066	1,441,577
Total assets	6,844,729	5,218,993
CURRENT LIABILITIES
Accounts payable	2,381,069	1,615,653
Other payables and accrued liabilities	3,640,859	2,601,761
Deferred income	1,579,857	778,126
Amounts due to related parties	19,455	83,649
Operating lease liabilities, current	563,851	463,411
Loan from a related party	500,000	500,000
Current portion of finance lease liability	20,151	28,867
Short term bank loan from an affiliate	940,147	940,147
Total current liabilities	9,645,389	7,011,614
NON-CURRENT LIABILITIES
Deferred tax liabilities	4,618	4,889
Convertible loan from affiliates	604,221	1,061,282
Long term finance lease liability		13,056
Operating lease liabilities, non-current	490,353	457,982
Total non-current liabilities	1,099,192	1,537,209
Total liabilities	10,744,581	8,548,823
SHAREHOLDERS’ EQUITY (DEFICIT)
Common stock, 100,000,000 shares authorized, $0.00001 par value; 43,500,762 and 43,500,762 shares issued and outstanding, respectively	435	435
Additional paid-in capital	2,480,327	2,480,327
Statutory reserves	11,835	11,835
Accumulated deficit	(6,319,462)	(5,859,193)
Accumulated other comprehensive losses	(153,233)	(63,063)
Total shareholders’ equity (deficit)	(3,980,098)	(3,429,659)
Non-controlling interest	80,246	99,829
Shareholders’ equity (deficit)	(3,899,852)	(3,329,830)
Total liabilities and shareholders’ equity (deficit)	$ 6,844,729	$ 5,218,993