2022 Q3 Form 10-Q Financial Statement

#000121390022077666 Filed on December 05, 2022

View on sec.gov

Income Statement

Concept 2022 Q3 2021 Q3
Revenue $27.60M $37.38M
YoY Change -26.17% -15.43%
Cost Of Revenue $22.41M $30.13M
YoY Change -25.61% -15.84%
Gross Profit $5.185M $7.253M
YoY Change -28.52% -12.61%
Gross Profit Margin 18.79% 19.4%
Selling, General & Admin $5.722M $22.19M
YoY Change -74.21% -41.14%
% of Gross Profit 110.37% 305.92%
Research & Development
YoY Change
% of Gross Profit
Depreciation & Amortization $662.2K $812.6K
YoY Change -18.51% -11.68%
% of Gross Profit 12.77% 11.2%
Operating Expenses $5.722M $22.19M
YoY Change -74.21% -41.14%
Operating Profit -$537.7K -$14.94M
YoY Change -96.4% -49.2%
Interest Expense $82.24K -$26.71K
YoY Change -407.91%
% of Operating Profit
Other Income/Expense, Net $9.546K -$2.910K
YoY Change -428.04% -97.09%
Pretax Income -$528.1K -$14.97M
YoY Change -96.47% -49.1%
Income Tax $112.0K
% Of Pretax Income
Net Earnings -$528.1K -$15.08M
YoY Change -96.5% -51.36%
Net Earnings / Revenue -1.91% -40.33%
Basic Earnings Per Share -$0.04 -$1.78
Diluted Earnings Per Share -$0.04 -$1.776M
COMMON SHARES
Basic Shares Outstanding 12.93M shares 8.488M shares
Diluted Shares Outstanding 12.93M shares 8.488M shares

Balance Sheet

Concept 2022 Q3 2021 Q3
SHORT-TERM ASSETS
Cash & Short-Term Investments $69.83M $22.02M
YoY Change 217.1% 72.05%
Cash & Equivalents $69.83M $22.02M
Short-Term Investments
Other Short-Term Assets $18.34M $29.38M
YoY Change -37.58% -30.38%
Inventory $45.35M $52.46M
Prepaid Expenses
Receivables $27.37M $99.14M
Other Receivables $17.23K $93.98K
Total Short-Term Assets $160.9M $203.1M
YoY Change -20.78% -25.41%
LONG-TERM ASSETS
Property, Plant & Equipment $17.36M $21.65M
YoY Change -19.83% -6.26%
Goodwill
YoY Change
Intangibles $13.97M
YoY Change
Long-Term Investments
YoY Change
Other Assets $6.597M $9.852M
YoY Change -33.04% -12.04%
Total Long-Term Assets $37.94M $47.81M
YoY Change -20.65% -17.28%
TOTAL ASSETS
Total Short-Term Assets $160.9M $203.1M
Total Long-Term Assets $37.94M $47.81M
Total Assets $198.8M $250.9M
YoY Change -20.75% -23.99%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $1.651M $18.80M
YoY Change -91.22% -20.99%
Accrued Expenses $8.512M $9.384M
YoY Change -9.3% 3.12%
Deferred Revenue
YoY Change
Short-Term Debt $3.785M $4.188M
YoY Change -9.61% 4.69%
Long-Term Debt Due $3.785M
YoY Change
Total Short-Term Liabilities $57.64M $78.02M
YoY Change -26.12% -7.99%
LONG-TERM LIABILITIES
Long-Term Debt $1.122M $0.00
YoY Change
Other Long-Term Liabilities
YoY Change
Total Long-Term Liabilities $1.122M $0.00
YoY Change
TOTAL LIABILITIES
Total Short-Term Liabilities $57.64M $78.02M
Total Long-Term Liabilities $1.122M $0.00
Total Liabilities $58.76M $78.02M
YoY Change -24.69% -7.99%
SHAREHOLDERS EQUITY
Retained Earnings -$104.0M
YoY Change
Common Stock $241.4M
YoY Change
Preferred Stock
YoY Change
Treasury Stock (at cost)
YoY Change
Treasury Stock Shares
Shareholders Equity $140.1M $172.9M
YoY Change
Total Liabilities & Shareholders Equity $198.8M $250.9M
YoY Change -20.75% -23.99%

Cashflow Statement

Concept 2022 Q3 2021 Q3
OPERATING ACTIVITIES
Net Income -$528.1K -$15.08M
YoY Change -96.5% -51.36%
Depreciation, Depletion And Amortization $662.2K $812.6K
YoY Change -18.51% -11.68%
Cash From Operating Activities -$2.996M $1.515M
YoY Change -297.73% -191.82%
INVESTING ACTIVITIES
Capital Expenditures -$228.5K -$69.79K
YoY Change 227.47% 132.63%
Acquisitions
YoY Change
Other Investing Activities $912.4K $1.863M
YoY Change -51.02%
Cash From Investing Activities $683.9K $1.793M
YoY Change -61.86% -6077.23%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net $16.76M
YoY Change
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities $18.03M
YoY Change
NET CHANGE
Cash From Operating Activities -$2.996M 1.515M
Cash From Investing Activities $683.9K 1.793M
Cash From Financing Activities $18.03M
Net Change In Cash $12.06M $0.00
YoY Change -100.0%
FREE CASH FLOW
Cash From Operating Activities -$2.996M $1.515M
Capital Expenditures -$228.5K -$69.79K
Free Cash Flow -$2.767M $1.585M
YoY Change -274.6% -197.82%

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CY2021Q3 cga Derivative Liability Issued For Acquisitions
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CY2021Q3 us-gaap Weighted Average Number Of Shares Outstanding Basic
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CY2022Q3 us-gaap Finite Lived Intangible Assets Amortization Expense Year Five
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CY2022Q3 us-gaap Finite Lived Intangible Assets Amortization Expense Year Two
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CY2022Q3 us-gaap Finite Lived Intangible Assets Amortization Expense Year Three
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CY2022Q3 us-gaap Finite Lived Intangible Assets Amortization Expense Year Four
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CY2022Q3 cga Schedule Of Estimated Amortization Expenses Of Lease Advance Payments
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<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif"> <tr style="vertical-align: bottom"> <td style="font-weight: bold; text-align: justify; border-bottom: Black 1.5pt solid">Twelve months ending September 30,</td><td style="padding-bottom: 1.5pt"> </td> <td colspan="2"> </td><td style="padding-bottom: 1.5pt"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 88%; text-align: justify">2024</td><td style="width: 1%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">1,882,185</td><td style="width: 1%; text-align: left"> </td></tr> <tr style="vertical-align: bottom; "> <td style="text-align: justify">2025</td><td> </td> <td style="text-align: left">$</td><td style="text-align: right">1,882,185</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: justify">2026</td><td> </td> <td style="text-align: left">$</td><td style="text-align: right">1,882,185</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; "> <td style="text-align: justify">2027</td><td> </td> <td style="text-align: left">$</td><td style="text-align: right">950,259</td><td style="text-align: left"> </td></tr> </table>
CY2022Q3 cga Future Minimum Sublease Rental Sale Leaseback Transactions Due In Rolling Year Three
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CY2022Q3 cga Future Minimum Sublease Rental Sale Leaseback Transactions Due In Rolling Year Five
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CY2022Q3 cga Future Minimum Sublease Rental Sale Leaseback Transactions Due In Rolling After Year Five
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CY2022Q3 cga Common Stock Discription
CommonStockDiscription
On August 2, 2022, the Company completed the issuance of 1,117,142 shares of its Common Stock for $16,757,130 to P Kevin HODL Ltd, an entity owned and controlled by Mr. Zhibiao Pan, who was subsequently appointed as the Company’s co-Chief Executive Officer on August 25, 2022.
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CY2022Q4 cga Common Stock Value1
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CY2022Q3 us-gaap Debt Conversion Description
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The per share conversion price of the notes is the higher of the following: (i) $5.00 per share or (ii) 75% of the closing price of the Company’s common stock on the date the noteholder delivers the conversion notice.
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The two-year tax exemption and three-year 50% tax reduction tax holiday for production-oriented FIEs was eliminated.
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CY2022Q3 dei Amendment Flag
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CY2022Q3 dei City Area Code
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CY2022Q3 dei Current Fiscal Year End Date
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CY2022Q3 us-gaap Preferred Units Description
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Under the Company’s Articles of Incorporation, the Board has the authority, without further action by stockholders, to designate up to 20,000,000 shares of preferred stock in one or more series and to fix the rights, preferences, privileges, qualifications and restrictions granted to or imposed upon the preferred stock, including dividend rights, conversion rights, voting rights, rights and terms of redemption, liquidation preference and sinking fund terms, any or all of which may be greater than the rights of the common stock.
CY2022Q3 us-gaap Preferred Stock Shares Authorized
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1
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CY2022Q3 cga Concentration Risk Percentage
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0.10 pure
CY2021Q3 cga Concentration Risk Percentage
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0.10 pure
CY2022Q3 us-gaap Number Of Operating Segments
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3 pure
CY2022Q3 cga Number Of Business Segments
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3 pure
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662177 usd
CY2021Q3 us-gaap Other Depreciation And Amortization
OtherDepreciationAndAmortization
732272 usd
CY2022Q3 us-gaap Interest Income Expense Net
InterestIncomeExpenseNet
82244 usd
CY2021Q3 us-gaap Interest Income Expense Net
InterestIncomeExpenseNet
72011 usd
CY2022Q3 us-gaap Payments To Acquire Productive Assets
PaymentsToAcquireProductiveAssets
228541 usd
CY2021Q3 us-gaap Payments To Acquire Productive Assets
PaymentsToAcquireProductiveAssets
69792 usd
CY2022Q3 us-gaap Assets
Assets
198842270 usd
CY2022Q2 us-gaap Assets
Assets
195115195 usd
CY2022Q3 cga Non Compete Agreements Description
NonCompeteAgreementsDescription
Pursuant to the terms of certain Non-Compete Agreements dated June 30, 2016 and January 1, 2017, among Jinong and the shareholders of the sales VIE companies (the “Non-Compete Agreements”), the shareholders of the sales VIE companies agreed that during the period beginning on the initial date of their services with Jinong, and ending five (5) years after termination of their services with Jinong, without Jinong’s prior written consent, they will not provide services or accept positions including but not limited to partners, directors, shareholders, managers, proxies or consultants, provided by any profit making organizations with businesses that may compete with Jinong. They will not solicit or interfere with any of the Jinong’s customers, or solicit, induce, recruit or encourage any person engaged or employed by Jinong to terminate his or her service or engagement. If the shareholders of the sales VIE companies breach the non-compete obligations contained therein, Jinong is entitled to all loss and damages; if the damages are difficult to determine, remedies bore the shareholders of the sales VIE companies shall be no less than 50% of the salaries and other expenses Jinong provided in the past. 
CY2022Q3 dei Document Fiscal Period Focus
DocumentFiscalPeriodFocus
Q1
CY2004Q1 cga Rental Term Description
RentalTermDescription
In February 2004, Tianjuyuan signed a fifty-year lease with the village committee of Dong Gao Village and Zhen Nan Zhang Dai Village in the Beijing Ping Gu District, at a monthly rent of RMB 2,958(approximately $415). 
CY2021Q3 us-gaap Lease And Rental Expense
LeaseAndRentalExpense
12500 cny
CY2021Q3 us-gaap Lease And Rental Expense
LeaseAndRentalExpense
1753 usd
CY2020Q1 us-gaap Lease And Rental Expense
LeaseAndRentalExpense
35000 cny
CY2020Q1 us-gaap Lease And Rental Expense
LeaseAndRentalExpense
4907 usd
CY2022Q3 cga Rent Expense
RentExpense
13021 usd
CY2021Q3 cga Rent Expense
RentExpense
34869 usd
CY2017Q1 us-gaap Business Combination Recognized Identifiable Assets Acquired And Liabilities Assumed Equipment
BusinessCombinationRecognizedIdentifiableAssetsAcquiredAndLiabilitiesAssumedEquipment
222875 usd
CY2017Q1 us-gaap Business Combination Recognized Identifiable Assets Acquired And Liabilities Assumed Indefinite Lived Intangible Assets
BusinessCombinationRecognizedIdentifiableAssetsAcquiredAndLiabilitiesAssumedIndefiniteLivedIntangibleAssets
1440 usd
CY2017Q1 us-gaap Business Combination Recognized Identifiable Assets Acquired And Liabilities Assumed Intangibles
BusinessCombinationRecognizedIdentifiableAssetsAcquiredAndLiabilitiesAssumedIntangibles
684400 usd
CY2017Q1 cga Business Combination Recognized Identifiable Assets Acquired And Liabilities Assumed Deferred Tax Liabilities Customer Relationship
BusinessCombinationRecognizedIdentifiableAssetsAcquiredAndLiabilitiesAssumedDeferredTaxLiabilitiesCustomerRelationship
522028 usd
CY2017Q1 cga Business Combination Recognized Identifiable Assets Acquired And Liabilities Assumed Deferred Tax Liabilities Non Compete Agreement
BusinessCombinationRecognizedIdentifiableAssetsAcquiredAndLiabilitiesAssumedDeferredTaxLiabilitiesNonCompeteAgreement
392852 usd
CY2017Q1 cga Business Combination Recognized Identifiable Assets Acquired And Liabilities Assumed Deferred Tax Liabilities Purchase Price
BusinessCombinationRecognizedIdentifiableAssetsAcquiredAndLiabilitiesAssumedDeferredTaxLiabilitiesPurchasePrice
2764787 usd
CY2017Q1 us-gaap Business Combination Recognized Identifiable Assets Acquired And Liabilities Assumed Cash And Equivalents
BusinessCombinationRecognizedIdentifiableAssetsAcquiredAndLiabilitiesAssumedCashAndEquivalents
1201888 usd
CY2017Q1 cga Business Combination Recognized Identifiable Assets Acquired And Liabilities Assumed Convertible Notes
BusinessCombinationRecognizedIdentifiableAssetsAcquiredAndLiabilitiesAssumedConvertibleNotes
1559350 usd
CY2022Q3 cga Operating Leases Future Minimum Payment Due Current
OperatingLeasesFutureMinimumPaymentDueCurrent
52084 usd
CY2022Q3 cga Operating Leases Future Minimum Payment Due In Two Years
OperatingLeasesFutureMinimumPaymentDueInTwoYears
52084 usd
CY2022Q3 cga Operating Leases Future Minimum Payment Due In Three Years
OperatingLeasesFutureMinimumPaymentDueInThreeYears
52084 usd
CY2022Q3 cga Operating Leases Future Minimum Payment Due In Four Years
OperatingLeasesFutureMinimumPaymentDueInFourYears
52084 usd
CY2022Q3 cga Operating Leases Future Minimum Payment Due In Five Years
OperatingLeasesFutureMinimumPaymentDueInFiveYears
52084 usd
CY2017Q1 cga Business Combination Recognized Identifiable Assets Acquired And Liabilities Assumed Deferred Tax Liabilities Working Capital
BusinessCombinationRecognizedIdentifiableAssetsAcquiredAndLiabilitiesAssumedDeferredTaxLiabilitiesWorkingCapital
941192 usd
CY2017Q1 cga Business Combination Recognized Identifiable Assets Acquired And Liabilities Assumed Derivative Liability
BusinessCombinationRecognizedIdentifiableAssetsAcquiredAndLiabilitiesAssumedDerivativeLiability
3549 usd
CY2017Q1 cga Business Combination Recognized Identifiable Assets Acquired And Liabilities Assumed Total
BusinessCombinationRecognizedIdentifiableAssetsAcquiredAndLiabilitiesAssumedTotal
2764787 usd
CY2022Q3 dei Local Phone Number
LocalPhoneNumber
88266368
CY2022Q3 us-gaap Income Tax Expense Benefit
IncomeTaxExpenseBenefit
usd
CY2022Q3 us-gaap Income Loss From Discontinued Operations Net Of Tax
IncomeLossFromDiscontinuedOperationsNetOfTax
usd
CY2022Q3 us-gaap Income Loss From Discontinued Operations Net Of Tax Per Basic Share
IncomeLossFromDiscontinuedOperationsNetOfTaxPerBasicShare
CY2022Q3 us-gaap Income Loss From Discontinued Operations Net Of Tax Per Diluted Share
IncomeLossFromDiscontinuedOperationsNetOfTaxPerDilutedShare
CY2021Q3 cga Transfer To Statutory Reserve
TransferToStatutoryReserve
usd
CY2021Q3 us-gaap Increase Decrease In Interest Payable Net
IncreaseDecreaseInInterestPayableNet
usd
CY2021Q3 us-gaap Proceeds From Related Party Debt
ProceedsFromRelatedPartyDebt
usd
CY2022Q3 cga Rental Agreement Was Renewed Term
RentalAgreementWasRenewedTerm
P2Y
CY2022Q3 us-gaap Current Foreign Tax Expense Benefit
CurrentForeignTaxExpenseBenefit
usd
CY2022Q3 us-gaap Deferred Tax Liabilities
DeferredTaxLiabilities
usd
CY2021Q3 us-gaap Deferred Tax Liabilities
DeferredTaxLiabilities
usd
CY2022Q3 us-gaap Income Tax Expense Benefit
IncomeTaxExpenseBenefit
usd
CY2022Q3 us-gaap Deferred Tax Assets Net
DeferredTaxAssetsNet
usd
CY2022Q2 us-gaap Deferred Tax Assets Net
DeferredTaxAssetsNet
usd
CY2022Q3 dei Document Fiscal Year Focus
DocumentFiscalYearFocus
2023
CY2022Q3 dei Entity Central Index Key
EntityCentralIndexKey
0000857949

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