Document And Entity Information
Document And Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2022 | Apr. 17, 2023 | Jun. 30, 2022 | |
Document Information [Line Items] | |||
Entity Central Index Key | 0001376321 | ||
Entity Registrant Name | ZW Data Action Technologies Inc. | ||
Amendment Flag | false | ||
Current Fiscal Year End Date | --12-31 | ||
Document Fiscal Period Focus | FY | ||
Document Fiscal Year Focus | 2022 | ||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2022 | ||
Document Transition Report | false | ||
Entity File Number | 001-34647 | ||
Entity Incorporation, State or Country Code | NV | ||
Entity Tax Identification Number | 20-4672080 | ||
Entity Address, Address Line One | Room 1811, Xinghuo Keji Plaza, No. 2 Fufeng Road, Fengtai District | ||
Entity Address, City or Town | Beijing | ||
Entity Address, Country | CN | ||
City Area Code | 86 | ||
Local Phone Number | 10-6084-6616 | ||
Title of 12(b) Security | Common Stock, par value $0.001 | ||
Trading Symbol | CNET | ||
Security Exchange Name | NASDAQ | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Non-accelerated Filer | ||
Entity Small Business | true | ||
Entity Emerging Growth Company | false | ||
ICFR Auditor Attestation Flag | false | ||
Entity Shell Company | false | ||
Entity Public Float | $ 9,724,763 | ||
Entity Common Stock, Shares Outstanding | 7,174,506 | ||
Auditor Firm ID | 2769 | ||
Auditor Name | Centurion ZD CPA & Co. | ||
Auditor Location | Hong Kong, China |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | |
Current assets | |||
Cash and cash equivalents | $ 4,391 | $ 7,173 | |
Accounts receivable, net of allowance for doubtful accounts of $3,760 and $2,236, respectively | 1,745 | 3,439 | |
Prepayment and deposit to suppliers | 4,567 | 7,559 | |
Due from related parties, net | 0 | 90 | |
Other current assets, net | 1,610 | 1,657 | |
Total current assets | 12,313 | 19,918 | |
Long-term investments, net | 1,596 | 2,280 | |
Operating lease right-of-use assets | 1,761 | 2,019 | |
Property and equipment, net | 249 | 375 | |
Intangible assets, net | 3,264 | 7,523 | |
Long-term deposits and prepayments | 69 | 75 | |
Deferred tax assets, net | 406 | 441 | |
Total Assets | 19,658 | 32,631 | |
Current liabilities: | |||
Accounts payable | [1] | 205 | 1,119 |
Advances from customers * | [1] | 739 | 1,245 |
Accrued payroll and other accruals | [1] | 438 | 389 |
Taxes payable | [1] | 3,248 | 3,534 |
Operating lease liabilities | [1] | 347 | 202 |
Lease payment liabilities related to short-term leases * | 101 | 152 | |
Other current liabilities | [1] | 437 | 141 |
Warrant liabilities | 185 | 2,039 | |
Total current liabilities | 5,700 | 8,821 | |
Long-term liabilities: | |||
Operating lease liabilities-Non current | [1] | 1,535 | 1,907 |
Long-term borrowing from a related party | 126 | 137 | |
Total Liabilities | 7,361 | 10,865 | |
Commitments and contingencies | |||
Equity: | |||
Common stock (US$0.001 par value; authorized 20,000,000 shares; issued and outstanding 7,174,506 shares and 7,075,506 shares at December 31, 2022 and 2021, respectively **) | 7 | 7 | |
Additional paid-in capital ** | [2] | 62,017 | 61,813 |
Statutory reserves | 2,598 | 2,598 | |
Accumulated deficit | (53,525) | (43,734) | |
Accumulated other comprehensive income | 1,200 | 1,082 | |
Total ZW Data Action Technologies Inc.’s stockholders’ equity | 12,297 | 21,766 | |
Noncontrolling interests | 0 | 0 | |
Total equity | 12,297 | 21,766 | |
Total Liabilities and Equity | $ 19,658 | $ 32,631 | |
[1]Liabilities recognized as a result of consolidating the VIEs do not represent additional claims on the Company’s general assets (Note 2).[2]Retrospectively restated for effect of the 1-for-5 reverse stock split on January 18, 2023, see Note 4(l). |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parentheticals) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | |
Accounts receivable, allowance for doubtful account | $ 3,760 | $ 2,236 | |
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 | |
Common stock, shares authorized (in shares) | 20,000,000 | 20,000,000 | |
Common stock, shares issued (in shares) | [1] | 7,174,506 | 7,075,506 |
Common stock, shares outstanding (in shares) | [1] | 7,174,506 | 7,075,506 |
[1]Retrospectively restated for effect of the 1-for-5 reverse stock split on January 18, 2023, see Note 4(l). |
Consolidated Statements of Oper
Consolidated Statements of Operations and Comprehensive Loss - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | ||
Revenues | $ 26,235 | $ 47,328 | |
Total revenues | 26,235 | 47,328 | |
Cost of revenues | 26,429 | 47,230 | |
Gross (loss)/profit | (194) | 98 | |
Operating expenses | |||
Sales and marketing expenses | 269 | 730 | |
General and administrative expenses | 8,304 | 12,632 | |
Research and development expenses | 229 | 326 | |
Impairment on intangible assets | 2,123 | 0 | |
Total operating expenses | 10,925 | 13,688 | |
Loss from operations | (11,119) | (13,590) | |
Other income/(expenses) | |||
Change in fair value of warrant liabilities | 1,854 | 11,329 | |
Interest income | 116 | 4 | |
Impairment on long-term investments | (596) | 0 | |
Loss on disposal of long-term investments | 0 | (38) | |
Other expenses, net | (49) | (216) | |
Total other income | 1,325 | 11,079 | |
Loss before income tax benefit/(expense) and noncontrolling interests | (9,794) | (2,511) | |
Income tax benefit/(expenses) | 3 | (177) | |
Net income (loss) | (9,791) | (2,688) | |
Net income attributable to noncontrolling interests | 0 | (66) | |
Net loss attributable to ZW Data Action Technologies Inc. | (9,791) | (2,754) | |
Net loss | (9,791) | (2,688) | |
Foreign currency translation income/(loss) | 118 | (47) | |
Comprehensive loss | (9,673) | (2,735) | |
Comprehensive income attributable to noncontrolling interests | 0 | (66) | |
Comprehensive loss attributable to ZW Data Action Technologies Inc. | $ (9,673) | $ (2,801) | |
Loss per common share | |||
Basic and diluted ** (in dollars per share) | [1] | $ (1.37) | $ (0.42) |
Weighted average number of common shares outstanding : | |||
Basic and diluted ** (in shares) | 7,136,290 | 6,618,754 | |
Unrelated Parties [Member] | |||
Revenues | $ 26,235 | $ 47,324 | |
Total revenues | 26,235 | 47,324 | |
Related Parties [Member] | |||
Revenues | 0 | 4 | |
Total revenues | $ 0 | $ 4 | |
[1]Retrospectively restated for effect of the 1-for-5 reverse stock split on January 18, 2023, see Note 4(l). |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Cash flows from operating activities | ||
Net loss | $ (9,791) | $ (2,688) |
Adjustments to reconcile net loss to net cash used in operating activities | ||
Depreciation and amortization | 2,215 | 632 |
Amortization of operating lease right-of-use assets | 341 | 207 |
Share-based compensation expenses | 186 | 7,028 |
Loss on disposal of long-term investment | 0 | 38 |
Impairment on long-term investments | 596 | 0 |
Impairment of Intangible Assets, Finite-Lived | 2,123 | 0 |
Provision of allowances for doubtful accounts | 2,394 | 0 |
Change in fair value of warrant liabilities | (1,854) | (11,329) |
Deferred taxes | (3) | 177 |
Other non-operating (income)/losses | (113) | 524 |
Changes in operating assets and liabilities | ||
Accounts receivable | (276) | (986) |
Prepayment and deposit to suppliers | 1,652 | (2,061) |
Due from related parties | 59 | 0 |
Other current assets | 2 | 6 |
Long-term deposits and prepayments | 0 | (74) |
Accounts payable | (848) | 495 |
Advances from customers | (420) | (221) |
Accrued payroll and other accruals | 60 | (90) |
Other current liabilities | 836 | (355) |
Taxes payable | (6) | 29 |
Operating lease liabilities | (302) | (116) |
Lease payment liability related to short-term leases | (40) | (54) |
Net cash used in operating activities | (3,189) | (8,838) |
Cash flows from investing activities | ||
Payment for leasehold improvements and purchase of vehicles, furniture and office equipment | 0 | (334) |
Cash effect of deconsolidation of VIE’s subsidiaries | 0 | (8) |
Investment and advances to ownership investee entities | 0 | (2,263) |
Repayment of short-term loans from ownership investee entities | 12 | 0 |
Short-term loans to unrelated parties | (2,600) | (1,507) |
Repayment of short-term loans and interest income from unrelated parties | 2,140 | 1,305 |
Deposit and prepayment repaid from/(paid for) contracts of other investing activities | 1,000 | (1,500) |
Payment for purchase of software technology and other intangible assets | 0 | (1,160) |
Net cash provided by/(used in) investing activities | 552 | (5,467) |
Cash flows from financing activities | ||
Proceeds from issuance of common stock and warrants (net of cash offering cost of $1,600) | 0 | 17,111 |
Net cash provided by financing activities | 0 | 17,111 |
Effect of exchange rate fluctuation on cash and cash equivalents | (145) | 70 |
Net (decrease)/increase in cash and cash equivalents | (2,782) | 2,876 |
Cash and cash equivalents, at beginning of the year | 7,173 | 4,297 |
Cash and cash equivalents, at end of the year | 4,391 | 7,173 |
Supplemental disclosure of cash flow information | ||
Income taxes paid | 0 | 0 |
Interest expense paid | $ 0 | $ 0 |
Consolidated Statements of Ca_2
Consolidated Statements of Cash Flows (Parentheticals) $ in Millions | 12 Months Ended |
Dec. 31, 2021 USD ($) | |
Issuance of common stock, cost | $ 1.6 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Equity - USD ($) $ in Thousands | Share-Based Payment Arrangement, Employee [Member] Common Stock [Member] | Share-Based Payment Arrangement, Employee [Member] Additional Paid-in Capital [Member] | Share-Based Payment Arrangement, Employee [Member] Statutory Reserves [Member] | Share-Based Payment Arrangement, Employee [Member] Retained Earnings [Member] | Share-Based Payment Arrangement, Employee [Member] AOCI Attributable to Parent [Member] | Share-Based Payment Arrangement, Employee [Member] Noncontrolling Interest [Member] | Share-Based Payment Arrangement, Employee [Member] | Common Stock [Member] | Additional Paid-in Capital [Member] | Statutory Reserves [Member] | Retained Earnings [Member] | AOCI Attributable to Parent [Member] | Noncontrolling Interest [Member] | Total |
Balance (in shares) at Dec. 31, 2020 | 5,221,552 | |||||||||||||
Balance at Dec. 31, 2020 | $ 5 | $ 49,793 | $ 2,598 | $ (40,980) | $ 1,129 | $ (66) | $ 12,479 | |||||||
Issuance of common stock for private placement, net of $10,476 proceeds allocated to investor warrants labilities and $3,045 direct offering costs (including $1,445 proceeds allocated to placement agent warrants liabilities and $1,600 cash offering cost, respectively), respectively (in shares) | 1,042,400 | |||||||||||||
Issuance of common stock for private placement, net of $10,476 proceeds allocated to investor warrants labilities and $3,045 direct offering costs (including $1,445 proceeds allocated to placement agent warrants liabilities and $1,600 cash offering cost, respectively), respectively | $ 1 | 5,189 | 0 | 0 | 0 | 0 | 5,190 | |||||||
Share-based compensation in exchange for services from employees and directors (in shares) | 803,148 | |||||||||||||
Share-based compensation in exchange for services from employees and directors | $ 1 | $ 6,749 | $ 0 | $ 0 | $ 0 | $ 0 | $ 6,750 | |||||||
Cashless exercise of warrants (in shares) | 8,406 | |||||||||||||
Cashless exercise of warrants | $ 0 | 82 | 0 | 0 | 0 | 0 | 82 | |||||||
Net loss | 0 | 0 | 0 | (2,754) | 0 | 66 | (2,688) | |||||||
Foreign currency translation adjustment | $ 0 | 0 | 0 | 0 | (47) | 0 | (47) | |||||||
Balance (in shares) at Dec. 31, 2021 | 7,075,506 | |||||||||||||
Balance at Dec. 31, 2021 | $ 7 | 61,813 | 2,598 | (43,734) | 1,082 | 0 | 21,766 | |||||||
Share-based compensation in exchange for services from employees and directors (in shares) | 19,000 | |||||||||||||
Share-based compensation in exchange for services from employees and directors | $ 0 | 64 | 0 | 0 | 0 | 0 | 64 | |||||||
Net loss | 0 | 0 | 0 | (9,791) | 0 | 0 | (9,791) | |||||||
Foreign currency translation adjustment | $ 0 | 0 | 0 | 0 | 118 | 0 | 118 | |||||||
Share-based compensation in exchange for services from nonemployees (in shares) | 80,000 | |||||||||||||
Share-based compensation in exchange for services from nonemployees | $ 0 | 140 | 0 | 0 | 0 | 0 | 140 | |||||||
Balance (in shares) at Dec. 31, 2022 | 7,174,506 | |||||||||||||
Balance at Dec. 31, 2022 | $ 7 | $ 62,017 | $ 2,598 | $ (53,525) | $ 1,200 | $ 0 | $ 12,297 |
Consolidated Statements of Ch_2
Consolidated Statements of Changes in Equity (Parentheticals) $ in Thousands | 12 Months Ended |
Dec. 31, 2021 USD ($) | |
Private Placement [Member] | Investor Warrants [Member] | |
Proceeds allocated to warrant liabilities | $ 10,476 |
Private Placement [Member] | Private Placement Agent Costs [Member] | |
Proceeds allocated to warrant liabilities | 1,445 |
Investor Costs [Member] | |
Direct offering costs | 3,045 |
Private Placement Agent Costs [Member] | |
Direct offering costs | 1,600 |
Proceeds allocated to warrant liabilities | $ 2,039 |
Note 1 - Organization and Natur
Note 1 - Organization and Nature of Operations | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Nature of Operations [Text Block] | 1. Organization and nature of operations ZW Data Action Technologies Inc. (f/k/a ChinaNet Online Holdings, Inc.) (the “Company”) was incorporated in the State of Texas in April 2006 October 2006. June 26, 2009, O2O The Company’s wholly owned subsidiary, China Net BVI was incorporated in the British Virgin Islands on August 13, 2007. April 11, 2008, PRC regulations prohibit direct foreign ownership of business entities providing Internet content, or ICP services in the PRC, and used to restrict foreign ownership of business entities engaging in the advertising business, which was subsequently lifted in June 2015. may As a result of these Contractual Agreements, Rise King WFOE has the power to direct activities of the PRC Operating Entities that most significantly impact the economic performance of the PRC Operating Entities and the obligation to absorb the losses and the right to receive benefits of the PRC Operating Entities that could potentially be significant to the PRC Operating Entities in a manner that does not 810 10. As of December 31, 2022, Name of the entity Place and date of incorporation Percentage of legal ownership Principal activities Subsidiaries: China Net Online Media Group Limited (“China Net BVI”) British Virgin Islands August 13, 2007 100% Investment holding company CNET Online Technology Co. Limited (“China Net HK”) Hong Kong, PRC September 4, 2007 100% Investment holding company ChinaNet Investment Holding Ltd. (“ChinaNet Investment BVI”) British Virgin Islands January 12, 2015 100% Investment holding company Grandon Investments Limited (“Grandon BVI”) British Virgin Islands February 13, 2006 100% Investment holding company, providing e-commerce advertising services and blockchain-based SaaS services Winner Glory Limited Hong Kong, PRC August 12, 2020 100% Investment holding company Rise King Century Technology Development (Beijing) Co., Ltd. (“Rise King WFOE”) PRC January 17, 2008 100% Investment holding company, providing advertising, marketing and related services ChinaNet Online Holdings Co., Ltd. (“ChinaNet Online Holdings”) PRC August 31, 2015 100% Investment holding company ChinaNet Online (Guangdong) Holdings Co., Ltd. (“ChinaNet Online Guangdong Holdings”) PRC May 12, 2021 100% Investment holding company VIEs: Business Opportunity Online (Beijing) Network Technology Co., Ltd. (“Business Opportunity Online”) PRC December 8, 2004 Consolidated VIE Providing online advertising, precision marketing and the related data services Beijing CNET Online Advertising Co., Ltd. (“Beijing CNET Online”) PRC January 27, 2003 Consolidated VIE Providing advertising, marketing and related value-added services VIEs ’ subsidiaries: Beijing Chuang Fu Tian Xia Network Technology Co., Ltd. (“Beijing Chuang Fu Tian Xia”) PRC March 1, 2011 VIE’s subsidiary Providing online advertising, precision marketing and the related data services Business Opportunity Online (Hubei) Network Technology Co., Ltd. (“Business Opportunity Online Hubei”) PRC January 28, 2011 VIE’s subsidiary Providing online advertising, precision marketing and the related data services Beijing Chuang Shi Xin Qi Advertising Media Co., Ltd. (“Beijing Chuang Shi Xin Qi”) PRC April 16, 2014 VIE’s subsidiary Providing online advertising, precision marketing and the related data services Beijing Hong Da Shi Xing Network Technology Co., Ltd. (“Beijing Hong Da Shi Xing”) PRC April 16, 2014 VIE’s subsidiary Providing online advertising, precision marketing and the related data services ChinaNet Online (Guangdong) Technology Co., Ltd. (“ChinaNet Online Guangdong Technology”) PRC May 26, 2020 VIE’s subsidiary Developing and operating blockchain technology-based products and services, and other related value-added services |
Note 2 - Variable Interest Enti
Note 2 - Variable Interest Entities | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Variable Interest Entities Disclosure [Text Block] | 2. Variable Interest Entities To satisfy PRC laws and regulations, the Company conducts certain business in the PRC through its Variable Interest Entities (“VIEs”). The significant terms of the Company’s VIE Agreements are summarized below: Exclusive Business Cooperation Agreements: not Exclusive Option Agreements: 10, Equity Pledge Agreements: one not may Irrevocable Powers of Attorney: As a result of these VIE Agreements, the Company through its wholly-owned subsidiary, Rise King WFOE, was granted with unconstrained decision making rights and power over key strategic and operational functions that would significantly impact the PRC Operating Entities or the VIEs’ economic performance, which includes, but is not In the opinion of the Company’s PRC legal counsel, as of the date hereof, the Company’s current contractual arrangements with the VIEs and their respective shareholders are valid, binding and enforceable. However, there exist substantial uncertainties and risks regarding regulations and their potential effect on the Company’s VIE structure and contractual arrangements. On March 15, 2019, January 1, 2020. not no not may In addition, these contractual arrangements may not may may may may may may not may not not not not As of the date hereof, to the best knowledge of the Company and its directors and management, the Company’s VIE agreements have not may not Summarized below is the information related to the VIEs’ assets and liabilities reported in the Company’s consolidated balance sheets as of December 31, 2022 2021, As of December 31, 2022 2021 US$( 000) US$( 000) Assets Current assets: Cash and cash equivalents $ 578 $ 181 Accounts receivable, net 1,745 2,796 Prepayment and deposit to suppliers 2,020 5,287 Due from related parties, net - 90 Other current assets 2 4 Total current assets 4,345 8,358 Long-term investments, net 165 496 Operating lease right-of-use assets 145 21 Property and equipment, net 113 168 Deferred tax assets 406 441 Total Assets $ 5,174 $ 9,484 Liabilities Current liabilities: Accounts payable $ 205 $ 1,119 Advances from customers 515 1,113 Accrued payroll and other accruals 63 83 Taxes payable 2,602 2,849 Operating lease liabilities 146 9 Lease payment liabilities related to short-term leases 101 110 Other current liabilities 320 53 Total current liabilities 3,952 5,336 Operating lease liabilities-Non current - 10 Total Liabilities $ 3,952 $ 5,346 Liabilities recognized as a result of consolidating the VIEs do not Summarized below is the information related to the financial performance of the VIEs reported in the Company’s consolidated statements of operations and comprehensive loss for the years ended December 31, 2022 2021, Year Ended December 31, 2022 2021 US$( 000) US$( 000) Revenues $ 24,188 $ 42,136 Cost of revenues 25,599 45,730 Total operating expenses 3,117 1,409 Net loss before allocation to noncontrolling interests 4,873 5,182 |
Note 3 - Liquidity and Capital
Note 3 - Liquidity and Capital Resource and Going Concern Evaluation | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Liquidity and Management’s Plan, Policy [Policy Text Block] | 3. Liquidity and capital resource and going concern evaluation For the years ended December 31, 2022 2021, US$11.12 US$13.59 December 31, 2022 2021 US$3.19 US$8.84 December 31, 2022, US$4.39 US$6.61 The Company experienced temporary decreases in revenues, incurred a gross loss, and did not December 31, 2022. 19 2022, zero 19 2022 2022. December 2022, three zero 19 12 In order to improve operation performance, from early 2022, 19 2022 not not third In addition, to further improve its liquidity, the Company plans to negotiate with its major suppliers for more favorable payment terms, collect short-term loan principals provided to unrelated parties and the related interest income, when they become due, reduce its operating costs through optimizing the personnel structure among different offices, and reduce its office leasing spaces, if needed. The Company also intends to obtain revolving credit facilities to supplement its short-term working capital, as needed, from the commercial banks in the PRC. The Company has not Based on the above discussion, the Company believes that its current cash and cash equivalents, its anticipated new cash flows from operations and from investing and financing activities, and other liquidity improving measures will ensure the Company has sufficient cash to meet its obligations as they become due with the next 12 |
Note 4 - Summary of Significant
Note 4 - Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Significant Accounting Policies [Text Block] | 4. Summary of significant accounting policies a) Basis of presentation The consolidated financial statements are prepared and presented in accordance with generally accepted accounting principles in the United States of America (“U.S. GAAP”). b) Principles of consolidation The consolidated financial statements include the accounts of all the subsidiaries and VIEs of the Company. All transactions and balances between the Company and its subsidiaries and VIEs have been eliminated upon consolidation. c) Use of estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the related disclosure of contingent assets and liabilities at the date of these consolidated financial statements, and the reported amounts of revenue and expenses during the reporting period. The Company continually evaluates these estimates and assumptions based on the most recently available information, historical experience and various other assumptions that the Company believes to be reasonable under the circumstances. Since the use of estimates is an integral component of the financial reporting process, actual results could differ from those estimates. d) Foreign currency translation and transactions The Company conducts substantially all of its operations through its PRC operating subsidiaries and VIEs, PRC is the primary economic environment in which the Company operates. For financial reporting purposes, the financial statements of the Company’s PRC operating subsidiaries and VIEs, which are prepared using the functional currency of the PRC, Renminbi (“RMB”), are translated into the Company’s reporting currency, the United States Dollar (“U.S. dollar”). Assets and liabilities are translated using the exchange rate at each balance sheet date. Revenue and expenses are translated using average rates prevailing during each reporting period, and stockholders’ equity is translated at historical exchange rates. Adjustments resulting from the translation are recorded as a separate component of accumulated other comprehensive income in stockholders’ equity. Transactions denominated in currencies other than the functional currency are translated into the functional currency at the exchange rates prevailing at the dates of the transactions. The resulting exchange differences are included in the determination of net loss of the consolidated statements of operations and comprehensive loss for the respective periods. The exchange rates used to translate amounts in RMB into US$ for the purposes of preparing the consolidated financial statements are as follows: As of December 31, 2022 2021 Balance sheet items, except for equity accounts 6.9646 6.3757 Year Ended December 31, 2022 2021 Items in the statements of operations and comprehensive loss 6.7261 6.4515 No e) Cash and cash equivalents Cash and cash equivalents consist of cash on hand and bank deposits. The Company considers all highly liquid investments with original maturities of three The Company’s cash is held in accounts at major financial institutions located in the U.S. and the PRC. As of December 31, 2022, US$1.66 US$2.73 US$0.25 RMB0.50 not not The cash held in accounts at the financial institutions in the PRC is in Renminbi. Renminbi is not not may may may may no The Company is a Nevada holding company with operations primarily conducted in China through its PRC subsidiaries, VIEs and VIEs’ subsidiaries. The intercompany flow of funds within its organization is effected through capital contributions and intercompany loans, which requires prior approval by the delegated executive officers before execution. The Company has transferred, and intends to continue to transfer, most of its cash raised from the U.S. stock market to its PRC operating entities to support their operations and expansions. The Company’s ability to pay dividends to U.S. investors may not not For the year ended December 31, 2022, not US$0.48 December 31, 2021, US$16.33 US$5.0 US$11.33 US$2.0 2022. For the years ended December 31, 2022 2021, US$0.34 US$4.25 For the years ended December 31, 2022 2021, not f) Accounts receivable, net Accounts receivable are recorded at net realizable value consisting of the carrying amount less an allowance for uncollectible accounts as needed. The allowance for doubtful accounts is the Company’s best estimate of the amount of probable credit losses in the Company’s existing accounts receivable. The Company determines the allowance based on aging data, historical collection experience, customer specific facts and economic conditions. Account balances are charged off against the allowance after all means of collection have been exhausted and the potential for recovery is considered remote. The Company did not December 31, 2022, US$1.76 December 31, 2021, not g) Long-term investments The Company’s investments in equity securities and other ownership interests (except those accounted for under the equity method of accounting or those that resulted in consolidation of the investee), i.e. investments in investee companies that are not not 321: 20% 321 10 35 2, not In accordance with ASC 321 10 35 3, 321 10 35 2. For the year ended December 31, 2022, US$0.60 December 31, 2021, not h) Property and equipment, net Property and equipment are recorded at cost less accumulated depreciation/amortization. Depreciation/amortization is calculated on the straight-line method after taking into account their respective estimated residual values over the following estimated useful lives: Leasehold improvements (years) 3 Vehicles (years) 5 Office equipment (years) 3 - 5 Electronic devices (years) 5 Depreciation/amortization expenses of fixed assets are included in sales and marketing expenses, general and administrative expenses and research and development expenses. Leasehold improvements are amortized over the lesser of the lease term or estimated useful life. When property and equipment are retired or otherwise disposed of, resulting gain or loss is included in net income or loss in the period of disposition. Maintenance and repairs which do not i) Intangible assets, net The Company accounted for cost related to internal-used software in accordance with ASC Topic 350 40 j) Impairment of long-lived assets In accordance with ASC 360 10 35, may not For the year ended December 31, 2022, US$2.12 December 31, 2021, not k) Fair value The Company’s financial instruments primarily consist of cash and cash equivalents, accounts receivable, short-term loans to unrelated parties and accounts payable. The carrying values of these financial instruments approximate fair values due to their short maturities. ASC Topic 820 three may Level 1 Level 2 1 not Level 3 no Determining which category an asset or liability falls within the hierarchy requires significant judgment. The Company evaluates its hierarchy disclosures each quarter. Liabilities measured at fair value on a recurring basis by level within the fair value hierarchy as of December 31, 2022 2021 Fair value measurement at reporting date using As of December 31, 2022 Quoted Prices in Active Markets for Identical Assets/Liabilities (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) US$( 000) US$( 000) US$( 000) US$( 000) Warrant liabilities 185 - - 185 Fair value measurement at reporting date using As of December 31, 2021 Quoted Prices in Active Markets for Identical Assets/Liabilities (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) US$( 000) US$( 000) US$( 000) US$( 000) Warrant liabilities 2,039 - - 2,039 Significant unobservable inputs utilized to determine the fair value of the Company’s warrant liabilities was disclosed in Note 16. l) Reverse stock split The Board of Directors of the Company approved a reverse stock split of the Company’s issued and outstanding shares of common stock, par value $0.001 per share (the “Common Stock”) at a ratio of 1 January 18, 2023 ( no When the Reverse Stock Split became effective, each five one No As a result of the Reverse Stock Split, 35,827,677 shares of Common Stock that were issued and outstanding at January 18, 2023 Except where otherwise specified, all number of shares, number of warrants, share prices, exercise prices and per share data in the consolidated financial statements and notes to the consolidated financial statements have been retroactively restated as if the Reverse Stock Split occurred at the beginning of the periods presented. m) Revenue recognition In accordance with ASC Topic 606, five 1 2 3 4 5 Multiple performance obligations included in the Company’s contracts with customers are neither capable of being distinct, that is, can benefit the customer on its own or together with other readily available resources, nor is distinct within the context of the contract, that is, the promise to transfer the service separately identifiable from other promises in the contract. The Company’s contract with customers do not Advance from customers related to unsatisfied performance obligations are generally refundable. Refund of advance from customers was insignificant for both the years ended December 31, 2022 2021. The Company does not 606 Distribution of the right to use search engine marketing service Revenue from distribution of the right to use search engine marketing service is recognized on a monthly basis based on the direct cost consumed through search engines for providing such services with a premium (“over time”). The Company recognizes the revenue on a gross basis, because the Company determines that it is a principal in the transaction who control the goods or services before they are transferred to the customers. Online advertising placement service/ecommerce advertising placement service For online advertising placement service contracts and other ecommerce advertising placement service contracts that are established based on a fixed price scheme with the related advertisement placements obligation, the Company provides advertisement placements in specified locations on the Company’s advertising portals for agreed periods and/or place the advertisements onto the Company’s purchased advertisement time on specific outdoor billboards for agreed periods. Revenue is recognized ratably over the period the advertisement is placed and, as such, the Company considers the services to have been delivered (“over time”). Blockchain-based SaaS services The Company develops blockchain enabled web/mobile applications and provides Software-as-a-Service (“SaaS”) services for clients. Fixed periodical subscription fee revenues for the use of the Company’s Blockchain Integrated Framework (“BIF”) platform are recognized ratably on a monthly basis over the period of the subscription service (“over time”). Revenues related to the Non-fungible Token (“NFT”) generation service provided through the BIF platform are recognized based on a fixed price per NFT generation, when a NFT is generated, delivered and accepted by customers (“point in time”). The following tables present the Company’s revenues disaggregated by products and services and timing of revenue recognition: Year Ended December 31, 2022 2021 US$( 000) US$( 000) Internet advertising and related service --distribution of the right to use search engine marketing service 22,262 39,224 --online advertising placements 3,548 7,442 Ecommerce O2O advertising and marketing services - 662 Blockchain-based SaaS services 425 - Total revenues $ 26,235 $ 47,328 Year Ended December 31, 2022 2021 US$( 000) US$( 000) Revenue recognized over time 25,835 47,328 Revenue recognized at a point in time 400 - Total revenues $ 26,235 $ 47,328 Contract costs For the years ended December 31, 2022 2021, not Contract balances The Company evaluates overall economic conditions, its working capital status and customer specific credit and negotiates the payment terms of a contract with individual customer on a case-by-case basis in its normal course of business. Advances received from customers related to unsatisfied performance obligations are recoded as contract liabilities (advance from customers), which will be realized as revenues upon the satisfaction of performance obligations through the transfer of related promised goods and services to customers. For contracts without a full or any advance payments required, the Company bills the customers any unpaid contract price immediately upon satisfaction of the related performance obligations when revenue is recognized. The Company does not not The Company’s contract liabilities primarily consist of advance from customers related to unsatisfied performance obligations in relation to online advertising placement service and distribution of the right to use search engine marketing service. All contract liabilities are expected to be recognized as revenue within one two December 31, 2022: Contract liabilities US$( 000) Balance as of January 1, 2021 1,436 Exchange translation adjustment 34 Revenue recognized from beginning contract liability balance (1,390 ) Advances received from customers related to unsatisfied performance obligations 1,165 Balance as of December 31, 2021 1,245 Exchange translation adjustment (105 ) Revenue recognized from beginning contract liability balance (1,104 ) Advances received from customers related to unsatisfied performance obligations 703 Balance as of December 31, 2022 739 For the years ended December 31, 2022 2021, no Transaction price allocated to remaining performance obligation The Company has elected to apply the practical expedient in paragraph ASC Topic 606 10 50 14 not December 31, 2022 2021, one n) Cost of revenues Cost of revenues primarily includes the cost of Internet and other forms of advertising resources and related technical services purchased from third o) Research and development expenses The Company accounts for expenses for the enhancement, maintenance and technical support to the Company’s Internet platforms and intellectual properties that are used in its daily operations in research and development expenses. Research and development costs are charged to expense when incurred. Expenses for research and development for the years ended December 31, 2022 2021 US$0.23 US$0.33 p) Lease The Company leases office spaces from unrelated parties in its normal course of business. Other than these office spaces lease contracts, the Company does not 842. The Company’s lease contracts do not not not The Company’s office lease contracts do not 842 10 25 3. For lease contracts with a duration of twelve 842, 842 20 25 2, not not December 31, 2022 2021, US$0.10 US$0.15 For lease contracts with a duration of over twelve 842 20 30 3, As of December 31, 2022, US$1.76 US$1.88 Maturity of operating lease liabilities Operating leases US$( 000) Year ending December 31, -2023 447 -2024 313 -2025 328 -2026 345 -2027 362 -thereafter 444 Total undiscounted lease payments 2,239 Less: imputed interest (357 ) Operating lease liabilities as of December 31, 2022 $ 1,882 Including: Operating lease liabilities 347 Operating lease liabilities-Non current 1,535 $ 1,882 As of December 31, 2021, US$2.02 US$2.11 Operating lease expenses: Year Ended December 31, 2022 2021 US$( 000) US$( 000) Long-term operating lease contracts 459 302 Short-term operating lease contracts 48 60 Total 507 362 Supplemental information related to operating leases : Year Ended December 31, 2022 2021 Operating cash flows used for operating leases (US$’000) 361 210 Right-of-use assets obtained in exchange for new lease liabilities (US$’000) 252 2,186 Weighted-average remaining lease term (years) 5.75 7.12 Weighted-average discount rate 6 % 6 % q) Income taxes The Company follows the guidance of ASC Topic 740 not not r) Uncertain tax positions The Company follows the guidance of ASC Topic 740 not not not 50% The Company recognizes interest on non-payment of income taxes under requirement by tax law and penalties associated with tax positions when a tax position does not 3 10 no not December 31, 2022 2021 not December 31, 2022 2021. s) Share-based payment transactions The Company adopts ASC Topic 718 For fully vested, nonforfeitable equity instruments granted to a nonemployee service provider at the date upon entering into the agreement ( no t) Comprehensive income (loss) The Company accounts for comprehensive income (loss) in accordance with ASC Topic 220 u) Earnings (loss) per share Earnings (loss) per share are calculated in accordance with ASC Topic 260, v) Commitments and contingencies The Company adopts ASC Topic 450 20, not w) Recent issued or adopted accounting standards In June 2016, No. 2016 13, 326 November 2018, No. 2018 19, 326, not 326 20. 842, December 15, 2019, November 2019, No. 2019 10, 326 815 842 December 15, 2022, January 1, 2023. not |
Note 5 - Accounts Receivable, N
Note 5 - Accounts Receivable, Net | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Accounts Receivable Disclosure [Text Block] | 5. Accounts receivable, net As of December 31, 2022 2021 US$( 000) US$( 000) Accounts receivable 5,505 5,675 Allowance for doubtful accounts (3,760 ) (2,236 ) Accounts receivable, net 1,745 3,439 All of the accounts receivable are non-interest bearing. Based on the assessment of the collectability of the accounts receivable as of December 31, 2022 2021, US$3.76 US$2.24 six six December 31, 2022 2021, US $1.76 |
Note 6 - Prepayments and Deposi
Note 6 - Prepayments and Deposit to Suppliers | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Prepayments and Deposits to Suppliers Disclosure [Text Block] | 6. Prepayments and deposit to suppliers As of December 31, 2022 2021 US$( 000) US$( 000) Deposits to advertising resources providers 1,077 934 Prepayments to advertising resources providers 3,036 5,185 Deposit for a potential investing contract - 1,000 Other deposits and prepayments 454 440 4,567 7,559 As of December 31, 2022 2021, one According to the contracts signed between the Company and its suppliers, the Company is required to pay certain of the contract amounts in advance. These prepayments will be recognized as cost of revenues when the related services are delivered by the suppliers. As of December 31, 2022 2021, Other deposits and prepayments as of December 31, 2022 2021 As of December 31, 2021, US $1.0 December 2022 no |
Note 7 - Due from Related Parti
Note 7 - Due from Related Parties, Net | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Due from Related Parties Disclosure [Text Block] | 7. Due from related parties, net As of December 31, 2022 2021 US$( 000) US$( 000) Zhongwang Xiyue Technology (Beijing) Co., Ltd. (“Zhongwang Xiyue”) - 62 Guangzhou Gong Xiang Technology Co., Ltd. (“Gong Xiang Technology”) 14 28 Due from related parties, total 14 90 Allowance for doubtful accounts (14 ) - Due from related parties, net - 90 Related parties of the Company represented the Company’s direct or indirect unconsolidated investee entities, as well as entities that the Company’s officers or directors can exercise significant influence. As of December 31, 2021, December 31, 2022. As of December 31, 2022 2021, US$0.04 March 2021. December 31, 2022, December 31, 2022 |
Note 8 - Other Current Assets,
Note 8 - Other Current Assets, Net | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Other Current Assets [Text Block] | 8. Other current assets, net December 31, 2022 December 31, 2021 US$( 000) US$( 000) Short-term loans to unrelated parties 2,197 1,646 Short-term loans interest receivables 22 - Staff advances for business operations 8 11 Total other current assets 2,227 1,657 Allowance for doubtful accounts (617 ) - Other current assets, net 1,610 1,657 In fiscal 2022, two On January 5, 2022, US$2.5 May 5, 2022. April 25, 2022, US$1.02 US0.06 January 5, 2022 April 30, 2022, US$2.5 US$1.48 October 31, 2022 October 31, 2022, April 30, 2023. October 2022, US$0.03 May 1, 2022 September 30, 2022. February 2023, US$0.02 October 1, 2022 December 31, 2022. On April 21, 2022, US$0.10 December 31, 2022. December 31, 2022. March 17, 2023 March 17, 2023, US$0.10 US$0.005 April 21, 2022 March 17, 2023. As of December 31, 2022, US$0.62 March 2021, US$1.65 one March 2022. The Company provided this unsecured and interest free loan to Digital Sun in consideration of the promises and claims made by Digital Sun’s management that Digital Sun has close connections with international well-known media companies seeking for strategic cooperation partners in China, and Digital Sun will facilitate building strategic business partnerships among the Company and these media companies. As of March 31, 2022, US$1.03 US$0.62 June 2022, US$0.62 March 2023, not not |
Note 9 - Long-term Investments
Note 9 - Long-term Investments | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Equity Method Investments and Joint Ventures Disclosure [Text Block] | 9. Long-term investment Amount US$( 000) Balance as of January 1, 2021 67 Exchange translation adjustment 1 Cash investments during the year 2,250 Disposed during the year (38 ) Balance as of December 31, 2021 2,280 Exchange translation adjustment (88 ) Impairment losses provided during the year (596 ) Balance as of December 31, 2022 1,596 As of December 31, 2022, 15.38%, 10%, 19% In August 2022, RMB6.73 US$0.97 December 31, 2065. In September 2022, RMB0.09 US$0.01 December 31, 2040. The Company measures these investments which do not For the year ended December 31 2022, US$0.60 December 31, 2022. |
Note 10 - Property and Equipmen
Note 10 - Property and Equipment, Net | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Property, Plant and Equipment Disclosure [Text Block] | 10. Property and equipment, net As of December 31, 2022 2021 US$( 000) US$( 000) Vehicles 855 933 Office equipment 865 944 Electronic devices 575 629 Leasehold improvement 185 202 Property and equipment, cost 2,480 2,708 Less: accumulated depreciation (2,231 ) (2,333 ) Property and equipment, net 249 375 Depreciation expenses in the aggregate for the years ended December 31, 2022 2021 US$0.10 US$0.03 |
Note 11 - Intangible Assets, Ne
Note 11 - Intangible Assets, Net | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Intangible Assets Disclosure [Text Block] | 11. Intangible assets, net As of December 31, 2022 Items Gross Carrying Value Accumulated Amortization Impairment Net Carrying Value US$( 000) US$( 000) US$( 000) US$( 000) Intangible assets subject to amortization: -- 10 Cloud compute software technology 1,333 (924 ) (409 ) - Licensed products use right 1,201 (374 ) - 827 -- 5 Internet Ad tracking system 1,160 (405 ) - 755 Live streaming technology 1,500 (625 ) (875 ) - -- 3 Blockchain Integrated Framework 4,038 (1,346 ) (1,010 ) 1,682 Bo!News application 345 (115 ) (230 ) - Other computer software 113 (113 ) - - Total $ 9,690 $ (3,902 ) $ (2,524 ) $ 3,264 As of December 31, 2021 Items Gross Carrying Value Accumulated Amortization Impairment Net Carrying Value US$( 000) US$( 000) US$( 000) US$( 000) Intangible assets subject to amortization: -- 10 Cloud compute software technology 1,456 (1,010 ) (446 ) - Licensed products use right 1,205 (255 ) - 950 -- 5 Internet Ad tracking system 1,158 (174 ) - 984 Live streaming technology 1,500 (325 ) - 1,175 -- 3 Blockchain Integrated Framework 4,038 - - 4,038 Bo!News application 376 - - 376 Other computer software 123 (123 ) - - Total $ 9,856 $ (1,887 ) $ (446 ) $ 7,523 Amortization expenses in the aggregate for the years ended December 31, 2022 2021 US$2.12 US$0.60 Intangible assets of the Company are tested for impairment when events or circumstances occur that could indicate that the carrying amount of an asset may not December 31, 2022, US$2.12 December 31, 2021, not Based on the adjusted carrying value of the finite-lived intangible assets after the deduction of the impairment losses, which has a weighted average remaining useful life of 3.51 years as of December 31, 2022, no US $1.19 December 31, 2023 2024, US$0.35 December 31, 2025, US$0.18 December 31, 2026, US$0.12 December 31, 2027. |
Note 12 - Long-term Deposits an
Note 12 - Long-term Deposits and Prepayment | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Long-term Prepayments [Text Block] | 12. Long-term deposits and prepayment As of December 31, 2022 2021, not one |
Note 13 - Accrued Payroll and O
Note 13 - Accrued Payroll and Other Accruals | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Accounts Payable and Accrued Liabilities Disclosure [Text Block] | 13. Accrued payroll and other accruals As of December 31, 2022 2021 US$( 000) US$( 000) Accrued payroll and staff welfare 101 142 Accrued operating expenses 337 247 438 389 |
Note 14 - Taxation
Note 14 - Taxation | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Income Tax Disclosure [Text Block] | 14. Taxation 1 Income tax The entities within the Company file separate tax returns in the respective tax jurisdictions in which they operate. i). a. The Company is incorporated in the state of Nevada. Under the current law of Nevada, the Company is not not December 2017, not December 22, 2017, not 35% 2018, one December 31, 2017. i). b. Effective from January 1, 2018, 50 December 31, 2022 2021, no no ii). Under the current law of the BVI, the Company’s subsidiaries being incorporate in the BVI are not no iii). The Company’s subsidiaries being incorporated in Hong Kong are governed by the Hong Kong Inland Revenue Ordinance (the “HK tax laws”). Effective from April 1, 2018, two first HK$2.0 no iv). The Company’s operating subsidiaries and VIEs, being incorporated in the PRC, are governed by the income tax law of the PRC and is subject to PRC enterprise income tax (“EIT”). The EIT rate of PRC is 25%, which applies to both domestic and foreign invested enterprises. ● The applicable EIT rate for all the Company’s PRC operating entities is 25% for both the years ended December 31, 2022 2021. ● Business Opportunity Online’s qualification as a High and New Technology Enterprise expired in November 2021, December 31, 2021, 5 10 December 31, 2021. ● Under the current PRC EIT law and related regulations, dividends, interests, rent or royalties payable by a foreign-invested enterprise to its immediate holding company outside China are subject to a 10% withholding tax. A lower withholding tax rate will be applied if there is a tax treaty arrangement between mainland China and the jurisdiction of the foreign holding company, subject to certain conditions and requirements. 2 Turnover taxes and the relevant surcharges Service revenues generated by the Company’s PRC operating subsidiaries and VIEs are subject to Value Added Tax (“VAT”). VAT rate for provision of modern services (other than lease of corporeal movables) is 6%, and for small scale taxpayer, 3%. Therefore, for the years ended December 31, 2022 2021, As of December 31, 2022, 2021, As of December 31, 2022 2021 US$( 000) US$( 000) Turnover tax and surcharge payable 1,288 1,414 Enterprise income tax payable 1,960 2,120 Taxes payable 3,248 3,534 A reconciliation of the income tax benefit determined at the U.S. federal corporate income tax rate to the Company’s effective income tax benefit/(expense) is as follows: Year Ended December 31, 2022 2021 US$( 000) US$( 000) Pre-tax loss (9,794 ) (2,511 ) U.S. federal rate 21 % 21 % Income tax benefit computed at U.S. federal rate 2,057 527 Reconciling items: Rate differential for foreign earnings (4 ) (131 ) Tax effect on non-taxable change in fair value of warrant liabilities 389 2,379 Tax effect enactment of new tax rate of a VIE - 683 Provision of valuation allowance on deferred tax assets (833 ) (2,312 ) Expired tax attribute carryforwards (1,528 ) (1,358 ) Tax effect on other (non-deductible expenses)/non-taxable income (78 ) 35 Effective income tax benefit/(expense) 3 (177 ) For the years ended December 31, 2022 2021, Year Ended December 31, 2022 2021 US$( 000) US$( 000) Current - - Deferred 3 (177 ) Income tax benefit/(expense) 3 (177 ) The Company’s deferred tax assets at December 31, 2022 2021 As of December 31, 2022 2021 US$( 000) US$( 000) Tax effect of net operating losses carried forward 11,537 12,130 Operating lease cost 30 23 Impairment on long-term investments 144 - Impairment on intangible assets 368 - Bad debts provision 1,018 559 Valuation allowance (12,691 ) (12,271 ) Deferred tax assets, net 406 441 The U.S. holding company has incurred aggregate net operating losses (NOLs) of approximately US$31.8 US$31.0 December 31, 2022 2021, December 31, 2017 2037. December 31, 2017 no December 31, 2017. not The NOLs carried forward incurred by the Company’s PRC subsidiaries and VIEs were approximately US$15.4 US$18.3 December 31, 2022 2021, 2027. The Company recorded approximately US$12.7 US$12.3 December 31, 2022 2021, not not For the years ended December 31, 2022 2021, US$0.83 US$2.31 |
Note 15 - Long-term Borrowing F
Note 15 - Long-term Borrowing From a Related Party | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Long-Term Borrowing from Director Disclosure [Text Block] | 15. Long-term borrowing from a related party Long-term borrowing from a related party is a non-interest bearing loan from a related party of the Company relating to the original paid-in capital contribution in the Company’s wholly-owned subsidiary Rise King WFOE, which is not one |
Note 16 - The Financing and War
Note 16 - The Financing and Warrant Liabilities | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Warrants Disclosure [Text Block] | 16. The Financing and warrant liabilities On February 18, 2021 ( US$17.95 “2021 US$17.95 “2021 2021 February 18, 2021 August 18, 2024 ( third one US$18.7 2021 2021 US$22.4375 “2021 2021 August 18, 2021 ( six August 18, 2024 ( third one The Company consummated similar registered direct offerings and issued the Company’s common stock and common stock purchase warrants to certain institutional investors, and common stock purchase warrants to its placement agent, in December 2020 ( “2020 January 2018 ( “2018 2020 “2020 “2020 2018 “2018 “2018 2021 2020 2018 The respective initial exercise price of the Warrants is subject to anti-dilution provisions that require adjustment of the number of shares of common stock that may The Warrants may not may no 9.99% not 61st Accounting for securities issued in the Financings The Company determined that the Company’s common stock issued in the Financings should be classified as permanent equity as there was no not The Company analyzed the Warrants issued in the Financings in accordance with ASC Topic 815 815, not not 815, Allocation of gross proceeds from the 2021 Initial Measurement (USD 000) Investor Warrants 10,476 Common Stock (par value and additional paid in capital) 8,235 Total proceeds from the Financing 18,711 The 2021 2021 2021 2021 Offering costs of the 2021 Offering costs of the 2021 US$3.05 US$1.31 US$0.29 2021 US$1.45 Fair value of the Warrants The Company used Binomial model to determine the fair value of the Warrants on their respective valuation dates, based on the assumptions summarized as below: Warrants issued in the 2021 2021 Investors Warrants 2021 Placement Agent Warrants December 31, 2022 December 31, 2021 February 18, 2021* December 31, 2022 December 31, 2021 February 18, 2021* Stock price # $ 0.46 $ 1.00 $ 4.48 $ 0.46 $ 1.00 $ 4.48 Years to maturity 1.63 2.63 3.50 1.63 2.63 3.50 Risk-free interest rate 4.625 % 0.87 % 0.26 % 4.625 % 0.87 % 0.26 % Dividend yield - - - - - - Expected volatility 99.74 % 115 % 168 % 99.74 % 115 % 168 % Exercise Price # $ 3.59 $ 3.59 $ 3.59 $ 4.4875 $ 4.4875 $ 4.4875 Fair value of the warrant $ 0.0329 $ 0.37 $ 4.02 $ 0.0256 $ 0.36 $ 3.96 Warrant Liabilities (US$’000) $ 86 $ 964 $ 10,476 $ 9 $ 132 $ 1,445 * Closing date of the 2021 Warrants issued in the 2020 2020 Investors Warrants 2020 Placement Agent Warrants December 31, 2022 December 31, 2021 December 31, 2020 December 31, 2022 December 31, 2021 December 31, 2020 Stock price # $ 0.46 $ 1.00 $ 1.35 $ 0.46 $ 1.00 $ 1.35 Years to maturity 0.95 1.95 2.95 0.95 1.95 2.95 Risk-free interest rate 4.716 % 0.72 % 0.17 % 4.716 % 0.72 % 0.17 % Dividend yield - - - - - - Expected volatility 115.61 % 128 % 102 % 115.61 % 128 % 102 % Exercise Price # $ 2.03 $ 2.03 $ 2.03 $ 2.03 $ 2.03 $ 2.03 Fair value of the warrant $ 0.0439 $ 0.46 $ 0.74 $ 0.0456 $ 0.49 $ 0.74 Warrant Liabilities (US$’000) $ 76 $ 795 $ 1,279 $ 14 $ 148 $ 224 Warrants issued in the 2018 2018 Placement Agent Warrants July 2, 2021* December 31, 2020 Stock price # $ 1.94 $ 1.35 Years to maturity 0.04 0.05 Risk-free interest rate 0.05 % 0.08 % Dividend yield - - Expected volatility 75 % 59 % Exercise Price # $ 1.4927 $ 1.4927 Fair value of the warrant $ 0.45 $ 0.02 Warrant liabilities (US$’000) $ 58 $ 2 * The investor warrants issued in the 2018 Financing expired in July 2020. The placement agent warrants issued in the 2018 Financing were cashless exercised on July 2, 2021. s restricted common stock to the placement agent, with a loss of approximately US$0.02 December 31, 2021, s restricted common stock issued, based on the close bid price of the Company s common stock on the same date. # To reflect the actual inputs used for the determination of fair value of the Warrants, the stock prices and exercise prices presented in the above tables were not 1 January 18, 2023, 4 Stock price is the closing bid price of the Company’s common stock at the respective valuation date. Years to maturity is the respective remaining contract life of the warrants. Yield-to-maturities in continuous compounding of the United States Government Bonds with the time-to-maturities same as the respective warrant are adopted as the risk-free rate. Annualized historical stock price volatility of the Company at the respective valuation date is deemed to be appropriate to serve as the expected volatility of the stock price of the Company. The dividend yield is calculated based on management’s estimate of dividends to be paid on the underlying stock. Exercise price is the respective contractual exercise price of the Warrants at the respective valuation date. Changes in fair value of warrant liabilities For the year ended December 31, 2022 As of December 31, 2022 As of December 31, 2021 Change in Fair Value (Gain)/Loss (US$ 000) (US$ 000) (US$ 000) Warrants issued in the 2021 Financing: --Investor warrants 86 964 (878 ) --Placement agent warrants 9 132 (123 ) Warrants issued in the 2020 Financing: --Investor warrants 76 795 (719 ) --Placement agent warrants 14 148 (134 ) Warrant liabilities 185 2,039 (1,854 ) For the year ended December 31, 2021 As of December 31, 2021 As of July 2, 2021 As of February 18, 2021 As of December 31, 2020 Change in Fair Value (Gain)/Loss (US$’000) (US$’000) (US$’000) (US$’000) (US$’000) Warrants issued in the 2021 Financing: --Investor warrants 964 * 10,476 * (9,512 ) --Placement agent warrants 132 * 1,445 * (1,313 ) Warrants issued in the 2020 Financing: --Investor warrants 795 * * 1,279 (484 ) --Placement agent warrants 148 * * 224 (76 ) Warrants issued in the 2018 Financing: --Placement agent warrants - 58 * 2 56 Warrant liabilities 2,039 1,505 (11,329 ) * Not Warrants issued and outstanding on December 31, 2022 two Warrant Outstanding Warrant Exercisable Number of underlying shares Weighted Weighted Number of underlying shares Weighted Weighted Balance, January 1, 2021 431,975 2.78 $ 9.99 25,800 0.05 $ 7.4635 Issued/Vested 594,168 2.63 $ 18.50 1,000,343 2.36 $ 15.11 Exercised (25,800 ) $ 7.4635 (25,800 ) $ 7.4635 Balance, December 31, 2021 1,000,343 2.36 $ 15.11 1,000,343 2.36 $ 15.11 Issued/Vested - - Exercised - - Balance, December 31, 2022 1,000,343 1.36 $ 15.11 1,000,343 1.36 $ 15.11 ** Except where otherwise specified, the numbers of common stock and common stock purchase warrant, the purchase prices of the common stock, the exercise prices of the common stock purchase warrant discussed in this note have been retroactively restated for effect of the 1 5 January 18, 2023, 4 |
Note 17 - Restricted Net Assets
Note 17 - Restricted Net Assets | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Restricted Assets Disclosure [Text Block] | 17. Restricted Net Assets The Company is a Nevada holding company with operations primarily conducted in China through its PRC subsidiaries, the consolidated VIEs and VIEs’ subsidiaries. The Company’s ability to pay dividends to U.S. investors may The PRC regulations currently permit payment of dividends only out of accumulated profits, as determined in accordance with PRC accounting standards and regulations. The Company’s PRC subsidiaries, the consolidated VIEs and their subsidiaries in China are also required to set aside at least 10% of their respective after-tax profit based on the PRC accounting standards and regulations each year to the statutory surplus reserve, until the balance in the reserve reaches 50% of the registered capital of the respective PRC entities. In accordance with these PRC laws and regulations, the Company’s PRC subsidiaries, the consolidated VIEs and their subsidiaries are restricted in their ability to transfer a portion of their net assets to the Nevada holding company. As of December 31, 2022 December 31, 2021, US$13.31 US$11.58 none may Under the PRC Enterprise Income Tax (“EIT”) Law and related regulations, dividends, interests, rent or royalties payable by a foreign-invested enterprise to its immediate holding company outside China are subject to a 10% withholding tax. A lower withholding tax rate will be applied if there is a tax treaty arrangement between mainland China and the jurisdiction of the foreign holding company. Hong Kong has a tax arrangement with mainland China that provides for a 5% 25% 12 2018 not no not There are no may may may The Company’s PRC subsidiaries generate all of their revenue in Renminbi, Renminbi is not may may not may may may may may To date, none The Company does not not |
Note 18 - Employee Defined Cont
Note 18 - Employee Defined Contribution Plan | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Retirement Benefits [Text Block] | 18. Employee defined contribution plan Full time employees of the Company in the PRC participate in a government mandated defined contribution plan, pursuant to which certain pension benefits, medical care, employee housing fund and other welfare benefits are provided to employees. Chinese labor regulations require that the PRC subsidiaries and VIEs of the Company make contributions to the government for these benefits based on certain percentages of the employees’ salaries. The employee benefits were expensed as incurred. The Company has no US$0.22 December 31, 2022 2021. |
Note 19 - Concentration of Risk
Note 19 - Concentration of Risk | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Concentration Risk Disclosure [Text Block] | 19. Concentration of risk Credit risk Financial instruments that potentially subject the Company to significant concentrations of credit risk consist primarily of cash and cash equivalents, accounts receivable and short-term loans to unrelated parties. As of December 31, 2022, Concentration of customers The following tables summarized the information about the Company’s concentration of customers for the years ended December 31, 2022 2021, Customer A Customer B Customer C Customer D Customer E Year Ended December 31, 2022 Revenues, customer concentration risk * * * * - Year Ended December 31, 2021 Revenues, customer concentration risk * * * * * As of December 31, 2022 Accounts receivable, customer concentration risk 16% 16% 33% 24% - As of December 31, 2021 Accounts receivable, customer concentration risk 33% 32% 11% - 19% * Less than 10%. - No Concentration of suppliers The following tables summarized the information about the Company’s concentration of suppliers for the years ended December 31, 2022 2021, Supplier A Supplier B Year Ended December 31, 2022 Cost of revenues, supplier concentration risk 57% 20% Year Ended December 31, 2021 Cost of revenues, supplier concentration risk * 73% * Less than 10%. |
Note 20 - Commitments and Conti
Note 20 - Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Commitments and Contingencies Disclosure [Text Block] | 20. Commitments and contingencies The Company may may not |
Note 21 - Segment Reporting
Note 21 - Segment Reporting | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Segment Reporting Disclosure [Text Block] | 21. Segment reporting The Company follows ASC Topic 280 For the Year Ended December 31, 2022 Internet Ad. and data service Ecommerce Blockchain technology Corporate Inter- segment and reconciling item Total US$(’000) US$(’000) US$(’000) US$(’000) US$(’000) US$(’000) Revenues 25,810 - 425 - - 26,235 Cost of revenues 26,093 - 336 - - 26,429 Total operating expenses 3,072 1,764 2,376 3,713 (1) - 10,925 Depreciation and amortization expenses included in cost of revenues and operating expenses 366 300 1,465 84 - 2,215 Impairment on intangible assets included in operating expenses - 875 1,248 - - 2,123 Loss from operations (3,355 ) (1,764 ) (2,287 ) (3,713 ) - (11,119 ) Impairment on long-term investments 76 - - 520 - 596 Change in fair value of warrant liabilities - - - 1,854 - 1,854 Net loss (3,485 ) (1,764 ) (2,288 ) (2,254 ) - (9,791 ) Total assets-December 31, 2022 10,385 156 1,682 39,136 (31,701 ) 19,658 ( 1 US$0.19 For the Year Ended December 31, 2021 Internet Ad. and data service Ecommerce Blockchain technology Corporate Inter- segment and reconciling item Total US$(’000) US$(’000) US$(’000) US$(’000) US$(’000) US$(’000) Revenues 46,666 662 - - - 47,328 Cost of revenues 45,730 1,500 - - - 47,230 Total operating expenses 1,423 2,529 2 9,734 (1) - 13,688 Depreciation and amortization expenses included in cost of revenues and operating expenses 313 300 1 18 - 632 Loss from operations (487 ) (3,367 ) (2 ) (9,734 ) - (13,590 ) Change in fair value of warrant liabilities - - - 11,329 - 11,329 Net (loss)/income (309 ) (3,366 ) (3 ) 990 - (2,688 ) Expenditure for long-term assets 1,214 - - 280 - 1,494 Total assets-December 31, 2021 12,150 2,236 4,414 44,328 (30,497 ) 32,631 ( 1 US$7.03 |
Note 22 - Loss Per Share
Note 22 - Loss Per Share | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Earnings Per Share [Text Block] | 22. Loss per share Basic and diluted loss per share for each of the years presented is calculated as follows (All amounts, except number of shares and per share data, are presented in thousands of U.S. dollars): Year Ended December 31, 2022 2021 US$( 000) US$( 000) Net loss attributable to ZW Data Action Technologies Inc. (numerator for basic and diluted loss per share) $ (9,791 ) $ (2,754 ) Weighted average number of common shares outstanding – Basic and diluted ** 7,136,290 6,618,754 Loss per share -Basic and diluted ** $ (1.37 ) $ (0.42 ) For the years ended December 31, 2022 2021, not ** Retrospectively restated for effect of the 1 January 18, 2023, 4 |
Note 23 - Share-based Compensat
Note 23 - Share-based Compensation Expenses | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Share-Based Payment Arrangement [Text Block] | 23. Share-based compensation expenses In March 2022, 2020 two December 31, 2022. US$0.06 December 31, 2022. In June 2022, 12 May 2023. US$1.75 US$0.14 US$0.08 December 31, 2022. In May 2021, 2020 US$8.35 US$6.66 December 31, 2021. In March 2021, one US$15.65 US$0.09 December 31, 2021. For the years ended December 31, 2022 2021, US$0.04 US$0.24 one March 2020 24 February 2022. For the year ended December 31, 2021, US$0.04 August 2020 12 July 2021. The table below summarized share-based compensation expenses recorded for the years ended December 31, 2022 2021, Year Ended December 31, 2022 2021 US$( 000) US$( 000) Sales and marketing expenses - - General and administrative expenses 186 7,028 Research and development expenses - - Total 186 7,028 The aggregate unrecognized share-based compensation expenses as of December 31, 2022 US$0.06 December 31, 2023. **The numbers of restricted common stock and the related stock prices discussed in this note have been retroactively restated for effect of the 1 January 18, 2023, 4 |
Note 24 - Subsequent Events
Note 24 - Subsequent Events | 12 Months Ended |
Dec. 31, 2022 | |
Notes to Financial Statements | |
Subsequent Events [Text Block] | 24. Subsequent events The Board of Directors of the Company approved a reverse stock split of the Company’s issued and outstanding shares of common stock, par value $0.001 per share (the “Common Stock”) at a ratio of 1 January 18, 2023 ( 78.209 January 18, 2023 No no In March 2020, 19” 19 19 may may 19 three zero 2022, December 2022, no 19 Except for the above mentioned matters, no |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2022 | |
Accounting Policies [Abstract] | |
Basis of Accounting, Policy [Policy Text Block] | a) Basis of presentation The consolidated financial statements are prepared and presented in accordance with generally accepted accounting principles in the United States of America (“U.S. GAAP”). |
Consolidation, Policy [Policy Text Block] | b) Principles of consolidation The consolidated financial statements include the accounts of all the subsidiaries and VIEs of the Company. All transactions and balances between the Company and its subsidiaries and VIEs have been eliminated upon consolidation. |
Use of Estimates, Policy [Policy Text Block] | c) Use of estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the related disclosure of contingent assets and liabilities at the date of these consolidated financial statements, and the reported amounts of revenue and expenses during the reporting period. The Company continually evaluates these estimates and assumptions based on the most recently available information, historical experience and various other assumptions that the Company believes to be reasonable under the circumstances. Since the use of estimates is an integral component of the financial reporting process, actual results could differ from those estimates. |
Foreign Currency Transactions and Translations Policy [Policy Text Block] | d) Foreign currency translation and transactions The Company conducts substantially all of its operations through its PRC operating subsidiaries and VIEs, PRC is the primary economic environment in which the Company operates. For financial reporting purposes, the financial statements of the Company’s PRC operating subsidiaries and VIEs, which are prepared using the functional currency of the PRC, Renminbi (“RMB”), are translated into the Company’s reporting currency, the United States Dollar (“U.S. dollar”). Assets and liabilities are translated using the exchange rate at each balance sheet date. Revenue and expenses are translated using average rates prevailing during each reporting period, and stockholders’ equity is translated at historical exchange rates. Adjustments resulting from the translation are recorded as a separate component of accumulated other comprehensive income in stockholders’ equity. Transactions denominated in currencies other than the functional currency are translated into the functional currency at the exchange rates prevailing at the dates of the transactions. The resulting exchange differences are included in the determination of net loss of the consolidated statements of operations and comprehensive loss for the respective periods. The exchange rates used to translate amounts in RMB into US$ for the purposes of preparing the consolidated financial statements are as follows: As of December 31, 2022 2021 Balance sheet items, except for equity accounts 6.9646 6.3757 Year Ended December 31, 2022 2021 Items in the statements of operations and comprehensive loss 6.7261 6.4515 No |
Cash and Cash Equivalents, Policy [Policy Text Block] | e) Cash and cash equivalents Cash and cash equivalents consist of cash on hand and bank deposits. The Company considers all highly liquid investments with original maturities of three The Company’s cash is held in accounts at major financial institutions located in the U.S. and the PRC. As of December 31, 2022, US$1.66 US$2.73 US$0.25 RMB0.50 not not The cash held in accounts at the financial institutions in the PRC is in Renminbi. Renminbi is not not may may may may no The Company is a Nevada holding company with operations primarily conducted in China through its PRC subsidiaries, VIEs and VIEs’ subsidiaries. The intercompany flow of funds within its organization is effected through capital contributions and intercompany loans, which requires prior approval by the delegated executive officers before execution. The Company has transferred, and intends to continue to transfer, most of its cash raised from the U.S. stock market to its PRC operating entities to support their operations and expansions. The Company’s ability to pay dividends to U.S. investors may not not For the year ended December 31, 2022, not US$0.48 December 31, 2021, US$16.33 US$5.0 US$11.33 US$2.0 2022. For the years ended December 31, 2022 2021, US$0.34 US$4.25 For the years ended December 31, 2022 2021, not |
Accounts Receivable [Policy Text Block] | f) Accounts receivable, net Accounts receivable are recorded at net realizable value consisting of the carrying amount less an allowance for uncollectible accounts as needed. The allowance for doubtful accounts is the Company’s best estimate of the amount of probable credit losses in the Company’s existing accounts receivable. The Company determines the allowance based on aging data, historical collection experience, customer specific facts and economic conditions. Account balances are charged off against the allowance after all means of collection have been exhausted and the potential for recovery is considered remote. The Company did not December 31, 2022, US$1.76 December 31, 2021, not |
Investment, Policy [Policy Text Block] | g) Long-term investments The Company’s investments in equity securities and other ownership interests (except those accounted for under the equity method of accounting or those that resulted in consolidation of the investee), i.e. investments in investee companies that are not not 321: 20% 321 10 35 2, not In accordance with ASC 321 10 35 3, 321 10 35 2. For the year ended December 31, 2022, US$0.60 December 31, 2021, not |
Property, Plant and Equipment, Policy [Policy Text Block] | h) Property and equipment, net Property and equipment are recorded at cost less accumulated depreciation/amortization. Depreciation/amortization is calculated on the straight-line method after taking into account their respective estimated residual values over the following estimated useful lives: Leasehold improvements (years) 3 Vehicles (years) 5 Office equipment (years) 3 - 5 Electronic devices (years) 5 Depreciation/amortization expenses of fixed assets are included in sales and marketing expenses, general and administrative expenses and research and development expenses. Leasehold improvements are amortized over the lesser of the lease term or estimated useful life. When property and equipment are retired or otherwise disposed of, resulting gain or loss is included in net income or loss in the period of disposition. Maintenance and repairs which do not |
Intangible Assets, Finite-Lived, Policy [Policy Text Block] | i) Intangible assets, net The Company accounted for cost related to internal-used software in accordance with ASC Topic 350 40 |
Impairment or Disposal of Long-Lived Assets, Including Intangible Assets, Policy [Policy Text Block] | j) Impairment of long-lived assets In accordance with ASC 360 10 35, may not For the year ended December 31, 2022, US$2.12 December 31, 2021, not |
Fair Value Measurement, Policy [Policy Text Block] | k) Fair value The Company’s financial instruments primarily consist of cash and cash equivalents, accounts receivable, short-term loans to unrelated parties and accounts payable. The carrying values of these financial instruments approximate fair values due to their short maturities. ASC Topic 820 three may Level 1 Level 2 1 not Level 3 no Determining which category an asset or liability falls within the hierarchy requires significant judgment. The Company evaluates its hierarchy disclosures each quarter. Liabilities measured at fair value on a recurring basis by level within the fair value hierarchy as of December 31, 2022 2021 Fair value measurement at reporting date using As of December 31, 2022 Quoted Prices in Active Markets for Identical Assets/Liabilities (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) US$( 000) US$( 000) US$( 000) US$( 000) Warrant liabilities 185 - - 185 Fair value measurement at reporting date using As of December 31, 2021 Quoted Prices in Active Markets for Identical Assets/Liabilities (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) US$( 000) US$( 000) US$( 000) US$( 000) Warrant liabilities 2,039 - - 2,039 Significant unobservable inputs utilized to determine the fair value of the Company’s warrant liabilities was disclosed in Note 16. |
Stockholders' Equity, Policy [Policy Text Block] | l) Reverse stock split The Board of Directors of the Company approved a reverse stock split of the Company’s issued and outstanding shares of common stock, par value $0.001 per share (the “Common Stock”) at a ratio of 1 January 18, 2023 ( no When the Reverse Stock Split became effective, each five one No As a result of the Reverse Stock Split, 35,827,677 shares of Common Stock that were issued and outstanding at January 18, 2023 Except where otherwise specified, all number of shares, number of warrants, share prices, exercise prices and per share data in the consolidated financial statements and notes to the consolidated financial statements have been retroactively restated as if the Reverse Stock Split occurred at the beginning of the periods presented. |
Revenue from Contract with Customer [Policy Text Block] | m) Revenue recognition In accordance with ASC Topic 606, five 1 2 3 4 5 Multiple performance obligations included in the Company’s contracts with customers are neither capable of being distinct, that is, can benefit the customer on its own or together with other readily available resources, nor is distinct within the context of the contract, that is, the promise to transfer the service separately identifiable from other promises in the contract. The Company’s contract with customers do not Advance from customers related to unsatisfied performance obligations are generally refundable. Refund of advance from customers was insignificant for both the years ended December 31, 2022 2021. The Company does not 606 Distribution of the right to use search engine marketing service Revenue from distribution of the right to use search engine marketing service is recognized on a monthly basis based on the direct cost consumed through search engines for providing such services with a premium (“over time”). The Company recognizes the revenue on a gross basis, because the Company determines that it is a principal in the transaction who control the goods or services before they are transferred to the customers. Online advertising placement service/ecommerce advertising placement service For online advertising placement service contracts and other ecommerce advertising placement service contracts that are established based on a fixed price scheme with the related advertisement placements obligation, the Company provides advertisement placements in specified locations on the Company’s advertising portals for agreed periods and/or place the advertisements onto the Company’s purchased advertisement time on specific outdoor billboards for agreed periods. Revenue is recognized ratably over the period the advertisement is placed and, as such, the Company considers the services to have been delivered (“over time”). Blockchain-based SaaS services The Company develops blockchain enabled web/mobile applications and provides Software-as-a-Service (“SaaS”) services for clients. Fixed periodical subscription fee revenues for the use of the Company’s Blockchain Integrated Framework (“BIF”) platform are recognized ratably on a monthly basis over the period of the subscription service (“over time”). Revenues related to the Non-fungible Token (“NFT”) generation service provided through the BIF platform are recognized based on a fixed price per NFT generation, when a NFT is generated, delivered and accepted by customers (“point in time”). The following tables present the Company’s revenues disaggregated by products and services and timing of revenue recognition: Year Ended December 31, 2022 2021 US$( 000) US$( 000) Internet advertising and related service --distribution of the right to use search engine marketing service 22,262 39,224 --online advertising placements 3,548 7,442 Ecommerce O2O advertising and marketing services - 662 Blockchain-based SaaS services 425 - Total revenues $ 26,235 $ 47,328 Year Ended December 31, 2022 2021 US$( 000) US$( 000) Revenue recognized over time 25,835 47,328 Revenue recognized at a point in time 400 - Total revenues $ 26,235 $ 47,328 Contract costs For the years ended December 31, 2022 2021, not Contract balances The Company evaluates overall economic conditions, its working capital status and customer specific credit and negotiates the payment terms of a contract with individual customer on a case-by-case basis in its normal course of business. Advances received from customers related to unsatisfied performance obligations are recoded as contract liabilities (advance from customers), which will be realized as revenues upon the satisfaction of performance obligations through the transfer of related promised goods and services to customers. For contracts without a full or any advance payments required, the Company bills the customers any unpaid contract price immediately upon satisfaction of the related performance obligations when revenue is recognized. The Company does not not The Company’s contract liabilities primarily consist of advance from customers related to unsatisfied performance obligations in relation to online advertising placement service and distribution of the right to use search engine marketing service. All contract liabilities are expected to be recognized as revenue within one two December 31, 2022: Contract liabilities US$( 000) Balance as of January 1, 2021 1,436 Exchange translation adjustment 34 Revenue recognized from beginning contract liability balance (1,390 ) Advances received from customers related to unsatisfied performance obligations 1,165 Balance as of December 31, 2021 1,245 Exchange translation adjustment (105 ) Revenue recognized from beginning contract liability balance (1,104 ) Advances received from customers related to unsatisfied performance obligations 703 Balance as of December 31, 2022 739 For the years ended December 31, 2022 2021, no Transaction price allocated to remaining performance obligation The Company has elected to apply the practical expedient in paragraph ASC Topic 606 10 50 14 not December 31, 2022 2021, one |
Cost of Goods and Service [Policy Text Block] | n) Cost of revenues Cost of revenues primarily includes the cost of Internet and other forms of advertising resources and related technical services purchased from third |
Research and Development Expense, Policy [Policy Text Block] | o) Research and development expenses The Company accounts for expenses for the enhancement, maintenance and technical support to the Company’s Internet platforms and intellectual properties that are used in its daily operations in research and development expenses. Research and development costs are charged to expense when incurred. Expenses for research and development for the years ended December 31, 2022 2021 US$0.23 US$0.33 |
Lessee, Leases [Policy Text Block] | p) Lease The Company leases office spaces from unrelated parties in its normal course of business. Other than these office spaces lease contracts, the Company does not 842. The Company’s lease contracts do not not not The Company’s office lease contracts do not 842 10 25 3. For lease contracts with a duration of twelve 842, 842 20 25 2, not not December 31, 2022 2021, US$0.10 US$0.15 For lease contracts with a duration of over twelve 842 20 30 3, As of December 31, 2022, US$1.76 US$1.88 Maturity of operating lease liabilities Operating leases US$( 000) Year ending December 31, -2023 447 -2024 313 -2025 328 -2026 345 -2027 362 -thereafter 444 Total undiscounted lease payments 2,239 Less: imputed interest (357 ) Operating lease liabilities as of December 31, 2022 $ 1,882 Including: Operating lease liabilities 347 Operating lease liabilities-Non current 1,535 $ 1,882 As of December 31, 2021, US$2.02 US$2.11 Operating lease expenses: Year Ended December 31, 2022 2021 US$( 000) US$( 000) Long-term operating lease contracts 459 302 Short-term operating lease contracts 48 60 Total 507 362 Supplemental information related to operating leases : Year Ended December 31, 2022 2021 Operating cash flows used for operating leases (US$’000) 361 210 Right-of-use assets obtained in exchange for new lease liabilities (US$’000) 252 2,186 Weighted-average remaining lease term (years) 5.75 7.12 Weighted-average discount rate 6 % 6 % |
Income Tax, Policy [Policy Text Block] | q) Income taxes The Company follows the guidance of ASC Topic 740 not not |
Income Tax Uncertainties, Policy [Policy Text Block] | r) Uncertain tax positions The Company follows the guidance of ASC Topic 740 not not not 50% The Company recognizes interest on non-payment of income taxes under requirement by tax law and penalties associated with tax positions when a tax position does not 3 10 no not December 31, 2022 2021 not December 31, 2022 2021. |
Share-Based Payment Arrangement [Policy Text Block] | s) Share-based payment transactions The Company adopts ASC Topic 718 For fully vested, nonforfeitable equity instruments granted to a nonemployee service provider at the date upon entering into the agreement ( no |
Comprehensive Income, Policy [Policy Text Block] | t) Comprehensive income (loss) The Company accounts for comprehensive income (loss) in accordance with ASC Topic 220 |
Earnings Per Share, Policy [Policy Text Block] | u) Earnings (loss) per share Earnings (loss) per share are calculated in accordance with ASC Topic 260, |
Commitments and Contingencies, Policy [Policy Text Block] | v) Commitments and contingencies The Company adopts ASC Topic 450 20, not |
New Accounting Pronouncements, Policy [Policy Text Block] | w) Recent issued or adopted accounting standards In June 2016, No. 2016 13, 326 November 2018, No. 2018 19, 326, not 326 20. 842, December 15, 2019, November 2019, No. 2019 10, 326 815 842 December 15, 2022, January 1, 2023. not |
Note 1 - Organization and Nat_2
Note 1 - Organization and Nature of Operations (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Schedule of Consolidated Subsidiaries and VIEs [Table Text Block] | Name of the entity Place and date of incorporation Percentage of legal ownership Principal activities Subsidiaries: China Net Online Media Group Limited (“China Net BVI”) British Virgin Islands August 13, 2007 100% Investment holding company CNET Online Technology Co. Limited (“China Net HK”) Hong Kong, PRC September 4, 2007 100% Investment holding company ChinaNet Investment Holding Ltd. (“ChinaNet Investment BVI”) British Virgin Islands January 12, 2015 100% Investment holding company Grandon Investments Limited (“Grandon BVI”) British Virgin Islands February 13, 2006 100% Investment holding company, providing e-commerce advertising services and blockchain-based SaaS services Winner Glory Limited Hong Kong, PRC August 12, 2020 100% Investment holding company Rise King Century Technology Development (Beijing) Co., Ltd. (“Rise King WFOE”) PRC January 17, 2008 100% Investment holding company, providing advertising, marketing and related services ChinaNet Online Holdings Co., Ltd. (“ChinaNet Online Holdings”) PRC August 31, 2015 100% Investment holding company ChinaNet Online (Guangdong) Holdings Co., Ltd. (“ChinaNet Online Guangdong Holdings”) PRC May 12, 2021 100% Investment holding company VIEs: Business Opportunity Online (Beijing) Network Technology Co., Ltd. (“Business Opportunity Online”) PRC December 8, 2004 Consolidated VIE Providing online advertising, precision marketing and the related data services Beijing CNET Online Advertising Co., Ltd. (“Beijing CNET Online”) PRC January 27, 2003 Consolidated VIE Providing advertising, marketing and related value-added services VIEs ’ subsidiaries: Beijing Chuang Fu Tian Xia Network Technology Co., Ltd. (“Beijing Chuang Fu Tian Xia”) PRC March 1, 2011 VIE’s subsidiary Providing online advertising, precision marketing and the related data services Business Opportunity Online (Hubei) Network Technology Co., Ltd. (“Business Opportunity Online Hubei”) PRC January 28, 2011 VIE’s subsidiary Providing online advertising, precision marketing and the related data services Beijing Chuang Shi Xin Qi Advertising Media Co., Ltd. (“Beijing Chuang Shi Xin Qi”) PRC April 16, 2014 VIE’s subsidiary Providing online advertising, precision marketing and the related data services Beijing Hong Da Shi Xing Network Technology Co., Ltd. (“Beijing Hong Da Shi Xing”) PRC April 16, 2014 VIE’s subsidiary Providing online advertising, precision marketing and the related data services ChinaNet Online (Guangdong) Technology Co., Ltd. (“ChinaNet Online Guangdong Technology”) PRC May 26, 2020 VIE’s subsidiary Developing and operating blockchain technology-based products and services, and other related value-added services |
Note 2 - Variable Interest En_2
Note 2 - Variable Interest Entities (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Schedule of Variable Interest Entities [Table Text Block] | As of December 31, 2022 2021 US$( 000) US$( 000) Assets Current assets: Cash and cash equivalents $ 578 $ 181 Accounts receivable, net 1,745 2,796 Prepayment and deposit to suppliers 2,020 5,287 Due from related parties, net - 90 Other current assets 2 4 Total current assets 4,345 8,358 Long-term investments, net 165 496 Operating lease right-of-use assets 145 21 Property and equipment, net 113 168 Deferred tax assets 406 441 Total Assets $ 5,174 $ 9,484 Liabilities Current liabilities: Accounts payable $ 205 $ 1,119 Advances from customers 515 1,113 Accrued payroll and other accruals 63 83 Taxes payable 2,602 2,849 Operating lease liabilities 146 9 Lease payment liabilities related to short-term leases 101 110 Other current liabilities 320 53 Total current liabilities 3,952 5,336 Operating lease liabilities-Non current - 10 Total Liabilities $ 3,952 $ 5,346 |
Financial Performance of VIEs [Table Text Block] | Year Ended December 31, 2022 2021 US$( 000) US$( 000) Revenues $ 24,188 $ 42,136 Cost of revenues 25,599 45,730 Total operating expenses 3,117 1,409 Net loss before allocation to noncontrolling interests 4,873 5,182 |
Note 4 - Summary of Significa_2
Note 4 - Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Foreign Currency Exchange Rates [Table Text Block] | As of December 31, 2022 2021 Balance sheet items, except for equity accounts 6.9646 6.3757 Year Ended December 31, 2022 2021 Items in the statements of operations and comprehensive loss 6.7261 6.4515 |
Property, Plant and Equipment, Useful Life [Table Text Block] | Leasehold improvements (years) 3 Vehicles (years) 5 Office equipment (years) 3 - 5 Electronic devices (years) 5 |
Fair Value Measurements, Recurring and Nonrecurring [Table Text Block] | Fair value measurement at reporting date using As of December 31, 2022 Quoted Prices in Active Markets for Identical Assets/Liabilities (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) US$( 000) US$( 000) US$( 000) US$( 000) Warrant liabilities 185 - - 185 Fair value measurement at reporting date using As of December 31, 2021 Quoted Prices in Active Markets for Identical Assets/Liabilities (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) US$( 000) US$( 000) US$( 000) US$( 000) Warrant liabilities 2,039 - - 2,039 |
Disaggregation of Revenue [Table Text Block] | Year Ended December 31, 2022 2021 US$( 000) US$( 000) Internet advertising and related service --distribution of the right to use search engine marketing service 22,262 39,224 --online advertising placements 3,548 7,442 Ecommerce O2O advertising and marketing services - 662 Blockchain-based SaaS services 425 - Total revenues $ 26,235 $ 47,328 Year Ended December 31, 2022 2021 US$( 000) US$( 000) Revenue recognized over time 25,835 47,328 Revenue recognized at a point in time 400 - Total revenues $ 26,235 $ 47,328 |
Contract with Customer, Contract Asset, Contract Liability, and Receivable [Table Text Block] | Contract liabilities US$( 000) Balance as of January 1, 2021 1,436 Exchange translation adjustment 34 Revenue recognized from beginning contract liability balance (1,390 ) Advances received from customers related to unsatisfied performance obligations 1,165 Balance as of December 31, 2021 1,245 Exchange translation adjustment (105 ) Revenue recognized from beginning contract liability balance (1,104 ) Advances received from customers related to unsatisfied performance obligations 703 Balance as of December 31, 2022 739 |
Lessee, Operating Lease, Liability, Maturity [Table Text Block] | Operating leases US$( 000) Year ending December 31, -2023 447 -2024 313 -2025 328 -2026 345 -2027 362 -thereafter 444 Total undiscounted lease payments 2,239 Less: imputed interest (357 ) Operating lease liabilities as of December 31, 2022 $ 1,882 Including: Operating lease liabilities 347 Operating lease liabilities-Non current 1,535 $ 1,882 |
Lease, Cost [Table Text Block] | Year Ended December 31, 2022 2021 US$( 000) US$( 000) Long-term operating lease contracts 459 302 Short-term operating lease contracts 48 60 Total 507 362 Year Ended December 31, 2022 2021 Operating cash flows used for operating leases (US$’000) 361 210 Right-of-use assets obtained in exchange for new lease liabilities (US$’000) 252 2,186 Weighted-average remaining lease term (years) 5.75 7.12 Weighted-average discount rate 6 % 6 % |
Note 5 - Accounts Receivable,_2
Note 5 - Accounts Receivable, Net (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Schedule of Accounts Receivable [Table Text Block] | As of December 31, 2022 2021 US$( 000) US$( 000) Accounts receivable 5,505 5,675 Allowance for doubtful accounts (3,760 ) (2,236 ) Accounts receivable, net 1,745 3,439 |
Note 6 - Prepayments and Depo_2
Note 6 - Prepayments and Deposit to Suppliers (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Schedule of Prepayments and Deposit to Suppliers [Table Text Block] | As of December 31, 2022 2021 US$( 000) US$( 000) Deposits to advertising resources providers 1,077 934 Prepayments to advertising resources providers 3,036 5,185 Deposit for a potential investing contract - 1,000 Other deposits and prepayments 454 440 4,567 7,559 |
Note 7 - Due from Related Par_2
Note 7 - Due from Related Parties, Net (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Due From Related Parties [Member] | |
Notes Tables | |
Schedule of Related Party Transactions [Table Text Block] | As of December 31, 2022 2021 US$( 000) US$( 000) Zhongwang Xiyue Technology (Beijing) Co., Ltd. (“Zhongwang Xiyue”) - 62 Guangzhou Gong Xiang Technology Co., Ltd. (“Gong Xiang Technology”) 14 28 Due from related parties, total 14 90 Allowance for doubtful accounts (14 ) - Due from related parties, net - 90 |
Note 8 - Other Current Assets_2
Note 8 - Other Current Assets, Net (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Schedule of Other Current Assets [Table Text Block] | December 31, 2022 December 31, 2021 US$( 000) US$( 000) Short-term loans to unrelated parties 2,197 1,646 Short-term loans interest receivables 22 - Staff advances for business operations 8 11 Total other current assets 2,227 1,657 Allowance for doubtful accounts (617 ) - Other current assets, net 1,610 1,657 |
Note 9 - Long-term Investments
Note 9 - Long-term Investments (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Other Investments Not Readily Marketable [Table Text Block] | Amount US$( 000) Balance as of January 1, 2021 67 Exchange translation adjustment 1 Cash investments during the year 2,250 Disposed during the year (38 ) Balance as of December 31, 2021 2,280 Exchange translation adjustment (88 ) Impairment losses provided during the year (596 ) Balance as of December 31, 2022 1,596 |
Note 10 - Property and Equipm_2
Note 10 - Property and Equipment, Net (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Schedule of Property and Equipment [Table Text Block] | As of December 31, 2022 2021 US$( 000) US$( 000) Vehicles 855 933 Office equipment 865 944 Electronic devices 575 629 Leasehold improvement 185 202 Property and equipment, cost 2,480 2,708 Less: accumulated depreciation (2,231 ) (2,333 ) Property and equipment, net 249 375 |
Note 11 - Intangible Assets, _2
Note 11 - Intangible Assets, Net (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Schedule of Finite and Indefinite-Lived Intangible Assets [Table Text Block] | As of December 31, 2022 Items Gross Carrying Value Accumulated Amortization Impairment Net Carrying Value US$( 000) US$( 000) US$( 000) US$( 000) Intangible assets subject to amortization: -- 10 Cloud compute software technology 1,333 (924 ) (409 ) - Licensed products use right 1,201 (374 ) - 827 -- 5 Internet Ad tracking system 1,160 (405 ) - 755 Live streaming technology 1,500 (625 ) (875 ) - -- 3 Blockchain Integrated Framework 4,038 (1,346 ) (1,010 ) 1,682 Bo!News application 345 (115 ) (230 ) - Other computer software 113 (113 ) - - Total $ 9,690 $ (3,902 ) $ (2,524 ) $ 3,264 As of December 31, 2021 Items Gross Carrying Value Accumulated Amortization Impairment Net Carrying Value US$( 000) US$( 000) US$( 000) US$( 000) Intangible assets subject to amortization: -- 10 Cloud compute software technology 1,456 (1,010 ) (446 ) - Licensed products use right 1,205 (255 ) - 950 -- 5 Internet Ad tracking system 1,158 (174 ) - 984 Live streaming technology 1,500 (325 ) - 1,175 -- 3 Blockchain Integrated Framework 4,038 - - 4,038 Bo!News application 376 - - 376 Other computer software 123 (123 ) - - Total $ 9,856 $ (1,887 ) $ (446 ) $ 7,523 |
Note 13 - Accrued Payroll and_2
Note 13 - Accrued Payroll and Other Accruals (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Schedule of Accrued Liabilities [Table Text Block] | As of December 31, 2022 2021 US$( 000) US$( 000) Accrued payroll and staff welfare 101 142 Accrued operating expenses 337 247 438 389 |
Note 14 - Taxation (Tables)
Note 14 - Taxation (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Schedule Of Taxes Payable [Table Text Block] | As of December 31, 2022 2021 US$( 000) US$( 000) Turnover tax and surcharge payable 1,288 1,414 Enterprise income tax payable 1,960 2,120 Taxes payable 3,248 3,534 |
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block] | Year Ended December 31, 2022 2021 US$( 000) US$( 000) Pre-tax loss (9,794 ) (2,511 ) U.S. federal rate 21 % 21 % Income tax benefit computed at U.S. federal rate 2,057 527 Reconciling items: Rate differential for foreign earnings (4 ) (131 ) Tax effect on non-taxable change in fair value of warrant liabilities 389 2,379 Tax effect enactment of new tax rate of a VIE - 683 Provision of valuation allowance on deferred tax assets (833 ) (2,312 ) Expired tax attribute carryforwards (1,528 ) (1,358 ) Tax effect on other (non-deductible expenses)/non-taxable income (78 ) 35 Effective income tax benefit/(expense) 3 (177 ) |
Schedule of Components of Income Tax Expense (Benefit) [Table Text Block] | Year Ended December 31, 2022 2021 US$( 000) US$( 000) Current - - Deferred 3 (177 ) Income tax benefit/(expense) 3 (177 ) |
Schedule Of Deferred Tax Assets [Table Text Block] | As of December 31, 2022 2021 US$( 000) US$( 000) Tax effect of net operating losses carried forward 11,537 12,130 Operating lease cost 30 23 Impairment on long-term investments 144 - Impairment on intangible assets 368 - Bad debts provision 1,018 559 Valuation allowance (12,691 ) (12,271 ) Deferred tax assets, net 406 441 |
Note 16 - The Financing and W_2
Note 16 - The Financing and Warrant Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Allocation of Proceeds from Issuance of Equity [Table Text Block] | Initial Measurement (USD 000) Investor Warrants 10,476 Common Stock (par value and additional paid in capital) 8,235 Total proceeds from the Financing 18,711 |
Schedule of Warrant Liabilities [Table Text Block] | As of December 31, 2022 As of December 31, 2021 Change in Fair Value (Gain)/Loss (US$ 000) (US$ 000) (US$ 000) Warrants issued in the 2021 Financing: --Investor warrants 86 964 (878 ) --Placement agent warrants 9 132 (123 ) Warrants issued in the 2020 Financing: --Investor warrants 76 795 (719 ) --Placement agent warrants 14 148 (134 ) Warrant liabilities 185 2,039 (1,854 ) As of December 31, 2021 As of July 2, 2021 As of February 18, 2021 As of December 31, 2020 Change in Fair Value (Gain)/Loss (US$’000) (US$’000) (US$’000) (US$’000) (US$’000) Warrants issued in the 2021 Financing: --Investor warrants 964 * 10,476 * (9,512 ) --Placement agent warrants 132 * 1,445 * (1,313 ) Warrants issued in the 2020 Financing: --Investor warrants 795 * * 1,279 (484 ) --Placement agent warrants 148 * * 224 (76 ) Warrants issued in the 2018 Financing: --Placement agent warrants - 58 * 2 56 Warrant liabilities 2,039 1,505 (11,329 ) |
Schedule of Warrant Activity [Table Text Block] | Warrant Outstanding Warrant Exercisable Number of underlying shares Weighted Weighted Number of underlying shares Weighted Weighted Balance, January 1, 2021 431,975 2.78 $ 9.99 25,800 0.05 $ 7.4635 Issued/Vested 594,168 2.63 $ 18.50 1,000,343 2.36 $ 15.11 Exercised (25,800 ) $ 7.4635 (25,800 ) $ 7.4635 Balance, December 31, 2021 1,000,343 2.36 $ 15.11 1,000,343 2.36 $ 15.11 Issued/Vested - - Exercised - - Balance, December 31, 2022 1,000,343 1.36 $ 15.11 1,000,343 1.36 $ 15.11 |
Warrant [Member] | |
Notes Tables | |
Fair Value Measurement Inputs and Valuation Techniques [Table Text Block] | 2021 Investors Warrants 2021 Placement Agent Warrants December 31, 2022 December 31, 2021 February 18, 2021* December 31, 2022 December 31, 2021 February 18, 2021* Stock price # $ 0.46 $ 1.00 $ 4.48 $ 0.46 $ 1.00 $ 4.48 Years to maturity 1.63 2.63 3.50 1.63 2.63 3.50 Risk-free interest rate 4.625 % 0.87 % 0.26 % 4.625 % 0.87 % 0.26 % Dividend yield - - - - - - Expected volatility 99.74 % 115 % 168 % 99.74 % 115 % 168 % Exercise Price # $ 3.59 $ 3.59 $ 3.59 $ 4.4875 $ 4.4875 $ 4.4875 Fair value of the warrant $ 0.0329 $ 0.37 $ 4.02 $ 0.0256 $ 0.36 $ 3.96 Warrant Liabilities (US$’000) $ 86 $ 964 $ 10,476 $ 9 $ 132 $ 1,445 2020 Investors Warrants 2020 Placement Agent Warrants December 31, 2022 December 31, 2021 December 31, 2020 December 31, 2022 December 31, 2021 December 31, 2020 Stock price # $ 0.46 $ 1.00 $ 1.35 $ 0.46 $ 1.00 $ 1.35 Years to maturity 0.95 1.95 2.95 0.95 1.95 2.95 Risk-free interest rate 4.716 % 0.72 % 0.17 % 4.716 % 0.72 % 0.17 % Dividend yield - - - - - - Expected volatility 115.61 % 128 % 102 % 115.61 % 128 % 102 % Exercise Price # $ 2.03 $ 2.03 $ 2.03 $ 2.03 $ 2.03 $ 2.03 Fair value of the warrant $ 0.0439 $ 0.46 $ 0.74 $ 0.0456 $ 0.49 $ 0.74 Warrant Liabilities (US$’000) $ 76 $ 795 $ 1,279 $ 14 $ 148 $ 224 2018 Placement Agent Warrants July 2, 2021* December 31, 2020 Stock price # $ 1.94 $ 1.35 Years to maturity 0.04 0.05 Risk-free interest rate 0.05 % 0.08 % Dividend yield - - Expected volatility 75 % 59 % Exercise Price # $ 1.4927 $ 1.4927 Fair value of the warrant $ 0.45 $ 0.02 Warrant liabilities (US$’000) $ 58 $ 2 |
Note 19 - Concentration of Ri_2
Note 19 - Concentration of Risk (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Schedules of Concentration of Risk, by Risk Factor [Table Text Block] | Customer A Customer B Customer C Customer D Customer E Year Ended December 31, 2022 Revenues, customer concentration risk * * * * - Year Ended December 31, 2021 Revenues, customer concentration risk * * * * * As of December 31, 2022 Accounts receivable, customer concentration risk 16% 16% 33% 24% - As of December 31, 2021 Accounts receivable, customer concentration risk 33% 32% 11% - 19% Supplier A Supplier B Year Ended December 31, 2022 Cost of revenues, supplier concentration risk 57% 20% Year Ended December 31, 2021 Cost of revenues, supplier concentration risk * 73% |
Note 21 - Segment Reporting (Ta
Note 21 - Segment Reporting (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Schedule of Segment Reporting Information, by Segment [Table Text Block] | Internet Ad. and data service Ecommerce Blockchain technology Corporate Inter- segment and reconciling item Total US$(’000) US$(’000) US$(’000) US$(’000) US$(’000) US$(’000) Revenues 25,810 - 425 - - 26,235 Cost of revenues 26,093 - 336 - - 26,429 Total operating expenses 3,072 1,764 2,376 3,713 (1) - 10,925 Depreciation and amortization expenses included in cost of revenues and operating expenses 366 300 1,465 84 - 2,215 Impairment on intangible assets included in operating expenses - 875 1,248 - - 2,123 Loss from operations (3,355 ) (1,764 ) (2,287 ) (3,713 ) - (11,119 ) Impairment on long-term investments 76 - - 520 - 596 Change in fair value of warrant liabilities - - - 1,854 - 1,854 Net loss (3,485 ) (1,764 ) (2,288 ) (2,254 ) - (9,791 ) Total assets-December 31, 2022 10,385 156 1,682 39,136 (31,701 ) 19,658 Internet Ad. and data service Ecommerce Blockchain technology Corporate Inter- segment and reconciling item Total US$(’000) US$(’000) US$(’000) US$(’000) US$(’000) US$(’000) Revenues 46,666 662 - - - 47,328 Cost of revenues 45,730 1,500 - - - 47,230 Total operating expenses 1,423 2,529 2 9,734 (1) - 13,688 Depreciation and amortization expenses included in cost of revenues and operating expenses 313 300 1 18 - 632 Loss from operations (487 ) (3,367 ) (2 ) (9,734 ) - (13,590 ) Change in fair value of warrant liabilities - - - 11,329 - 11,329 Net (loss)/income (309 ) (3,366 ) (3 ) 990 - (2,688 ) Expenditure for long-term assets 1,214 - - 280 - 1,494 Total assets-December 31, 2021 12,150 2,236 4,414 44,328 (30,497 ) 32,631 |
Note 22 - Loss Per Share (Table
Note 22 - Loss Per Share (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | Year Ended December 31, 2022 2021 US$( 000) US$( 000) Net loss attributable to ZW Data Action Technologies Inc. (numerator for basic and diluted loss per share) $ (9,791 ) $ (2,754 ) Weighted average number of common shares outstanding – Basic and diluted ** 7,136,290 6,618,754 Loss per share -Basic and diluted ** $ (1.37 ) $ (0.42 ) |
Note 23 - Share-based Compens_2
Note 23 - Share-based Compensation Expenses (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Notes Tables | |
Share-Based Payment Arrangement, Expensed and Capitalized, Amount [Table Text Block] | Year Ended December 31, 2022 2021 US$( 000) US$( 000) Sales and marketing expenses - - General and administrative expenses 186 7,028 Research and development expenses - - Total 186 7,028 |
Note 1 - Organization and Nat_3
Note 1 - Organization and Nature of Operations - Consolidated Subsidiaries and VIEs (Details) | Dec. 31, 2022 |
ChinaNet BVI [Member] | |
Consolidated subsidiaries, percentage of ownership | 100% |
China Net HK [Member] | |
Consolidated subsidiaries, percentage of ownership | 100% |
ChinaNet Investment BVI [Member] | |
Consolidated subsidiaries, percentage of ownership | 100% |
Grandon BVI [Member] | |
Consolidated subsidiaries, percentage of ownership | 100% |
Winner Glory HK [Member] | |
Consolidated subsidiaries, percentage of ownership | 100% |
Rise King WFOE [Member] | |
Consolidated subsidiaries, percentage of ownership | 100% |
ChinaNet Online Holdings Co. [Member] | |
Consolidated subsidiaries, percentage of ownership | 100% |
ChinaNet Online Guangdong [Member] | |
Consolidated subsidiaries, percentage of ownership | 100% |
Note 2 - Variable Interest En_3
Note 2 - Variable Interest Entities - Consolidated VIEs' Assets and Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | |
Cash and Cash Equivalents, at Carrying Value, Total | $ 4,391 | $ 7,173 | |
Accounts receivable, net | 1,745 | 3,439 | |
Prepayment and deposit to suppliers | 4,567 | 7,559 | |
Due from Related Parties, Current, Total | 0 | 90 | |
Other current assets | 1,610 | 1,657 | |
Total current assets | 12,313 | 19,918 | |
Long-term investments, net | 1,596 | 2,280 | |
Operating Lease, Right-of-Use Asset | 1,761 | 2,019 | |
Property and equipment, net | 249 | 375 | |
Deferred tax assets | 406 | 441 | |
Total Assets | 19,658 | 32,631 | |
Accounts payable | [1] | 205 | 1,119 |
Advances from customers | [1] | 739 | 1,245 |
Accrued payroll and other accruals | [1] | 438 | 389 |
Taxes payable | [1] | 3,248 | 3,534 |
Operating lease liabilities | [1] | 347 | 202 |
Short-term Lease Liability | 101 | 152 | |
Other current liabilities | [1] | 437 | 141 |
Total current liabilities | 5,700 | 8,821 | |
Operating lease liabilities-Non current | [1] | 1,535 | 1,907 |
Total Liabilities | 7,361 | 10,865 | |
Variable Interest Entity, Primary Beneficiary [Member] | |||
Cash and Cash Equivalents, at Carrying Value, Total | 578 | 181 | |
Accounts receivable, net | 1,745 | 2,796 | |
Prepayment and deposit to suppliers | 2,020 | 5,287 | |
Due from Related Parties, Current, Total | 0 | 90 | |
Other current assets | 2 | 4 | |
Total current assets | 4,345 | 8,358 | |
Long-term investments, net | 165 | 496 | |
Operating Lease, Right-of-Use Asset | 145 | 21 | |
Property and equipment, net | 113 | 168 | |
Deferred tax assets | 406 | 441 | |
Total Assets | 5,174 | 9,484 | |
Accounts payable | 205 | 1,119 | |
Advances from customers | 515 | 1,113 | |
Accrued payroll and other accruals | 63 | 83 | |
Taxes payable | 2,602 | 2,849 | |
Operating lease liabilities | 146 | 9 | |
Short-term Lease Liability | 101 | 110 | |
Other current liabilities | 320 | 53 | |
Total current liabilities | 3,952 | 5,336 | |
Operating lease liabilities-Non current | 0 | 10 | |
Total Liabilities | $ 3,952 | $ 5,346 | |
[1]Liabilities recognized as a result of consolidating the VIEs do not represent additional claims on the Company’s general assets (Note 2). |
Note 2 - Variable Interest En_4
Note 2 - Variable Interest Entities - Consolidated VIEs' Financial Performance (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Revenues | $ 26,235 | $ 47,328 |
Cost of revenues | 26,429 | 47,230 |
Total operating expenses | 10,925 | 13,688 |
Net loss before allocation to noncontrolling interests | (9,791) | (2,688) |
Variable Interest Entity, Primary Beneficiary [Member] | ||
Revenues | 24,188 | 42,136 |
Cost of revenues | 25,599 | 45,730 |
Total operating expenses | 3,117 | 1,409 |
Net loss before allocation to noncontrolling interests | $ 4,873 | $ 5,182 |
Note 3 - Liquidity and Capita_2
Note 3 - Liquidity and Capital Resource and Going Concern Evaluation (Details Textual) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Operating Income (Loss), Total | $ (11,119) | $ (13,590) |
Net Cash Provided by (Used in) Operating Activities, Total | (3,189) | (8,838) |
Cash and Cash Equivalents, at Carrying Value, Total | 4,391 | $ 7,173 |
Working Capital | $ 6,610 |
Note 4 - Summary of Significa_3
Note 4 - Summary of Significant Accounting Policies (Details Textual) $ / shares in Units, $ in Thousands | 12 Months Ended | ||||
Jan. 18, 2023 shares | Dec. 31, 2022 USD ($) $ / shares shares | Dec. 31, 2021 USD ($) $ / shares shares | Jan. 17, 2023 shares | ||
Cash and Cash Equivalents, at Carrying Value, Total | $ 4,391 | $ 7,173 | |||
Off-Balance-Sheet, Credit Loss, Liability, Ending Balance | 0 | ||||
Accounts Receivable, Allowance for Credit Loss, Ending Balance | 1,760 | 0 | |||
Other than Temporary Impairment Losses, Investments | $ 596 | 0 | |||
Finite-Lived Intangible Asset, Useful Life (Year) | 3 years 6 months 3 days | ||||
Asset Impairment Charges, Total | $ 2,120 | $ 0 | |||
Common Stock, Par or Stated Value Per Share (in dollars per share) | $ / shares | $ 0.001 | $ 0.001 | |||
Common Stock, Shares Authorized (in shares) | shares | 20,000,000 | 20,000,000 | |||
Common Stock, Shares, Issued (in shares) | shares | [1] | 7,174,506 | 7,075,506 | ||
Common Stock, Shares, Outstanding, Ending Balance (in shares) | shares | [1] | 7,174,506 | 7,075,506 | ||
Contract with Customer, Asset, after Allowance for Credit Loss, Total | $ 0 | ||||
Contract with Customer, Performance Obligation Satisfied in Previous Period | 0 | $ 0 | |||
Research and Development Expense, Total | 229 | 326 | |||
Short-term Lease Liability | 101 | 152 | |||
Operating Lease, Right-of-Use Asset | 1,761 | 2,019 | |||
Operating Lease, Liability, Total | 1,882 | ||||
Other Current Assets [Member] | |||||
Operating Lease, Right-of-Use Asset | 1,760 | 2,020 | |||
Other Current Liabilities [Member] | |||||
Operating Lease, Liability, Total | $ 1,880 | 2,110 | |||
Subsequent Event [Member] | |||||
Common Stock, Shares Authorized (in shares) | shares | 20,000,000 | 100,000,000 | |||
Stock Issued During Period, Fractional Shares, Reverse Stock Splits (in shares) | shares | 0 | ||||
Common Stock, Shares, Issued (in shares) | shares | 7,174,506 | 35,827,677 | |||
Common Stock, Shares, Outstanding, Ending Balance (in shares) | shares | 7,174,506 | 35,827,677 | |||
Reverse Stock Split [Member] | Subsequent Event [Member] | |||||
Stockholders' Equity Note, Stock Split, Conversion Ratio | 5 | ||||
Minimum [Member] | |||||
Lessee, Operating Lease, Term of Contract (Year) | 1 year | ||||
Maximum [Member] | |||||
Lessee, Operating Lease, Term of Contract (Year) | 8 years | ||||
Purchased Software and Software Platform [Member] | Minimum [Member] | |||||
Finite-Lived Intangible Asset, Useful Life (Year) | 3 years | ||||
Purchased Software and Software Platform [Member] | Maximum [Member] | |||||
Finite-Lived Intangible Asset, Useful Life (Year) | 10 years | ||||
Variable Interest Entity, Primary Beneficiary [Member] | |||||
Cash and Cash Equivalents, at Carrying Value, Total | $ 578 | 181 | |||
Short-term Lease Liability | 101 | 110 | |||
Operating Lease, Right-of-Use Asset | 145 | 21 | |||
Subsidiaries [Member] | Subsidiary's Payment on Behalf of Parent to Satisfy Shareholder loans Obligation [Member] | |||||
Related Party Transaction, Amounts of Transaction | 480 | ||||
Subsidiaries [Member] | Cash Transfer [Member] | |||||
Related Party Transaction, Amounts of Transaction | 16,330 | ||||
Subsidiaries [Member] | Capital Contributions [Member] | |||||
Related Party Transaction, Amounts of Transaction | 5,000 | ||||
Subsidiaries [Member] | Shareholder Loans [Member] | |||||
Related Party Transaction, Amounts of Transaction | 11,330 | ||||
Subsidiaries [Member] | Shareholder Loans Converted to Capital Contribution [Member] | |||||
Related Party Transaction, Amounts of Transaction | 2,000 | ||||
Subsidiaries [Member] | Subsidiary, Loan to Variable Entity Interests (VIEs) [Member] | Variable Interest Entity, Primary Beneficiary [Member] | |||||
Related Party Transaction, Amounts of Transaction | 340 | 4,250 | |||
Scenario, Plan [Member] | |||||
Dividends, Common Stock, Cash | 0 | ||||
UNITED STATES | |||||
Cash and Cash Equivalents, at Carrying Value, Total | 1,660 | ||||
CHINA | |||||
Cash and Cash Equivalents, at Carrying Value, Total | 2,730 | ||||
CHINA | PRC Subsidiary And VIE's [Member] | Cash Transfer [Member] | |||||
Related Party Transaction, Amounts of Transaction | $ 0 | $ 0 | |||
[1]Retrospectively restated for effect of the 1-for-5 reverse stock split on January 18, 2023, see Note 4(l). |
Note 4 - Summary of Significa_4
Note 4 - Summary of Significant Accounting Policies - Exchange Rates Used to Translate Amounts in RMB Into US$ (Details) | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Balance sheet items, except for equity accounts | 6.9646 | 6.3757 |
Items in the statements of operations and comprehensive loss | 6.7261 | 6.4515 |
Note 4 - Summary of Significa_5
Note 4 - Summary of Significant Accounting Policies - Estimated Useful Lives of Property, Plant, and Equipment (Details) | 12 Months Ended |
Dec. 31, 2022 | |
Leasehold Improvements [Member] | |
Property and equipment, useful life (Year) | 3 years |
Vehicles [Member] | |
Property and equipment, useful life (Year) | 5 years |
Office Equipment [Member] | Minimum [Member] | |
Property and equipment, useful life (Year) | 3 years |
Office Equipment [Member] | Maximum [Member] | |
Property and equipment, useful life (Year) | 5 years |
Electronic Devices [Member] | |
Property and equipment, useful life (Year) | 5 years |
Note 4 - Summary of Significa_6
Note 4 - Summary of Significant Accounting Policies - Summary of Assets and Liabilities Measured at Fair Value on a Recurring and Nonrecurring Basis (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Warrant liabilities | $ 185 | $ 2,039 |
Fair Value, Recurring [Member] | ||
Warrant liabilities | 185 | 2,039 |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Warrant liabilities | $ 185 | $ 2,039 |
Note 4 - Summary of Significa_7
Note 4 - Summary of Significant Accounting Policies - Disaggregation of Revenue (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Revenues | $ 26,235 | $ 47,328 |
Search Engine Marketing and Data Service [Member] | ||
Revenues | 22,262 | 39,224 |
Online Advertising Placement [Member] | ||
Revenues | 3,548 | 7,442 |
Offline Advertising and Marketing Services [Member] | ||
Revenues | 0 | 662 |
Blockchain-based SaaS services [Member] | ||
Revenues | 425 | 0 |
Transferred over Time [Member] | ||
Revenues | 25,835 | 47,328 |
Transferred at Point in Time [Member] | ||
Revenues | $ 400 | $ 0 |
Note 4 - Summary of Significa_8
Note 4 - Summary of Significant Accounting Policies - Contract liabilities (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Balance | $ 1,245 | $ 1,436 |
Exchange translation adjustment | (105) | 34 |
Revenue recognized from beginning contract liability balance | (1,104) | (1,390) |
Advances received from customers related to unsatisfied performance obligations | 703 | 1,165 |
Balance | $ 739 | $ 1,245 |
Note 4 - Summary of Significa_9
Note 4 - Summary of Significant Accounting Policies - Maturity of Operating Lease Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | |
-2023 | $ 447 | ||
-2024 | 313 | ||
-2025 | 328 | ||
-2026 | 345 | ||
-2027 | 362 | ||
-thereafter | 444 | ||
Total undiscounted lease payments | 2,239 | ||
Less: imputed interest | (357) | ||
Operating lease liabilities | 1,882 | ||
Operating lease liabilities | [1] | 347 | $ 202 |
Operating lease liabilities-Non current | [1] | 1,535 | $ 1,907 |
Operating lease liabilities | $ 1,882 | ||
[1]Liabilities recognized as a result of consolidating the VIEs do not represent additional claims on the Company’s general assets (Note 2). |
Note 4 - Summary of Signific_10
Note 4 - Summary of Significant Accounting Policies - Operating Lease Expenses and Supplemental Information (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Long-term operating lease contracts | $ 459 | $ 302 |
Short-term operating lease contracts | 48 | 60 |
Total | 507 | 362 |
Operating cash flows used for operating leases (US$’000) | 361 | 210 |
Right-of-use assets obtained in exchange for new lease liabilities (US$’000) | $ 252 | $ 2,186 |
Weighted-average remaining lease term (Year) | 5 years 9 months | 7 years 1 month 13 days |
Weighted-average discount rate | 6% | 6% |
Note 5 - Accounts Receivable,_3
Note 5 - Accounts Receivable, Net (Details Textual) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Accounts Receivable, Allowance for Credit Loss, Current | $ 3,760 | $ 2,236 |
Accounts Receivable, Credit Loss Expense (Reversal) | 2,394 | 0 |
Internet Advertising and TV Advertising [Member] | ||
Accounts Receivable, Allowance for Credit Loss, Current | $ 3,760 | |
Number of Months Past Due (Month) | 6 months | |
Accounts Receivable, Credit Loss Expense (Reversal) | $ 1,760 | 1,760 |
Internet Advertising And TV Advertising Contractual Deposit [Member] | ||
Accounts Receivable, Allowance for Credit Loss, Current | $ 2,240 |
Note 5 - Accounts Receivable,_4
Note 5 - Accounts Receivable, Net - Accounts Receivable, Net (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Accounts receivable | $ 5,505 | $ 5,675 |
Allowance for doubtful accounts | (3,760) | (2,236) |
Accounts receivable, net | $ 1,745 | $ 3,439 |
Note 6 - Prepayments and Depo_3
Note 6 - Prepayments and Deposit to Suppliers (Details Textual) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Contractual Deposits, Term of Contract (Year) | 1 year | |
Deposit Assets, Total | $ 1 | |
Increase (Decrease) in Deposit Assets, Total | $ (1) |
Note 6 - Prepayments and Depo_4
Note 6 - Prepayments and Deposit to Suppliers - Prepayments and Deposit to Suppliers (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Prepayment and deposit to suppliers | $ 4,567 | $ 7,559 |
Deposits to TV Ad and Internet Ad Resources Providers [Member] | ||
Prepayment and deposit to suppliers | 1,077 | 934 |
Prepayment to TV Ad and Internet Ad Resources Providers [Member] | ||
Prepayment and deposit to suppliers | 3,036 | 5,185 |
Deposits and Prepayments for Potential Investing Contracts [Member] | ||
Prepayment and deposit to suppliers | 0 | 1,000 |
Other Deposits and Prepayments [Member] | ||
Prepayment and deposit to suppliers | $ 454 | $ 440 |
Note 7 - Due from Related Par_3
Note 7 - Due from Related Parties, Net (Details Textual) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Mar. 31, 2021 |
Due from Related Parties, Current, Total | $ 0 | $ 90 | |
Guangzhou Gong Xiang Technology Co. [Member] | Related Party, Working Capital Loan [Member] | |||
Due from Related Parties, Current, Total | $ 40 |
Note 7 - Due from Related Par_4
Note 7 - Due from Related Parties, Net - Due From Related Parties (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Due from related parties, gross | $ 14 | $ 90 |
Allowance for doubtful accounts | (14) | 0 |
Due from related parties, net | 0 | 90 |
Zhong Wang Xi Yue Technology (Beijing) Co. Ltd [Member] | ||
Due from related parties, gross | 0 | 62 |
Guangzhou Gong Xiang Technology Co. [Member] | ||
Due from related parties, gross | $ 14 | $ 28 |
Note 8 - Other Current Assets_3
Note 8 - Other Current Assets, Net (Details Textual) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | 4 Months Ended | 5 Months Ended | ||||||||
Mar. 17, 2023 | Apr. 25, 2022 | Mar. 31, 2022 | Mar. 31, 2021 | Dec. 31, 2022 | Apr. 30, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | May 01, 2022 | Apr. 21, 2022 | Jan. 05, 2022 | Dec. 31, 2021 | |
Financing Receivable, before Allowance for Credit Loss, Current | $ 2,197 | $ 1,646 | ||||||||||
Loan to Unrelated Party [Member] | ||||||||||||
Financing Receivable, before Allowance for Credit Loss, Current | $ 2,500 | |||||||||||
Loans Receivable, Interest Rate, Stated Percentage | 7.50% | |||||||||||
Proceeds from Collection of Notes Receivable | $ 1,020 | |||||||||||
Proceeds from Interest Received | $ 60 | |||||||||||
Revised Loan to Original Unrelated Party [Member] | ||||||||||||
Financing Receivable, before Allowance for Credit Loss, Current | $ 1,480 | |||||||||||
Loans Receivable, Interest Rate, Stated Percentage | 5% | |||||||||||
Proceeds from Interest Received | 20 | $ 30 | ||||||||||
Second Loan to Unrelated Party [Member] | ||||||||||||
Financing Receivable, before Allowance for Credit Loss, Current | $ 100 | |||||||||||
Loans Receivable, Interest Rate, Stated Percentage | 5% | |||||||||||
Second Loan to Unrelated Party [Member] | Subsequent Event [Member] | ||||||||||||
Proceeds from Collection of Notes Receivable | $ 100 | |||||||||||
Proceeds from Interest Received | $ 5 | |||||||||||
Digital Sun [Member] | ||||||||||||
Financing Receivable, before Allowance for Credit Loss, Current | $ 1,650 | |||||||||||
Proceeds from Collection of Notes Receivable | $ 1,030 | |||||||||||
Notes And Loans Receivable, Term (Year) | 1 year | |||||||||||
Financing Receivable, Troubled Debt Restructuring, Subsequent Default | $ 620 | |||||||||||
Financing Receivable, Allowance for Credit Loss, Ending Balance | $ 620 | |||||||||||
Digital Sun [Member] | Other Current Assets [Member] | ||||||||||||
Financing Receivable, after Allowance for Credit Loss, Current, Total | $ 620 |
Note 8 - Other Current Assets_4
Note 8 - Other Current Assets, Net - Summary of Other Current Assets, Net (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Short-term loans to unrelated parties | $ 2,197 | $ 1,646 |
Short-term loans interest receivables | 22 | 0 |
Staff advances for business operations | 8 | 11 |
Total other current assets | 2,227 | 1,657 |
Allowance for doubtful accounts | (617) | 0 |
Other current assets, net | $ 1,610 | $ 1,657 |
Note 9 - Long-term Investment_2
Note 9 - Long-term Investments (Details Textual) ¥ in Thousands, $ in Thousands | Dec. 31, 2022 USD ($) | Sep. 30, 2022 USD ($) | Sep. 30, 2022 CNY (¥) | Aug. 31, 2022 USD ($) | Aug. 31, 2022 CNY (¥) | Dec. 31, 2021 USD ($) | Dec. 31, 2020 USD ($) |
Equity Securities without Readily Determinable Fair Value, Amount | $ 1,596 | $ 2,280 | $ 67 | ||||
New Business Holdings Limited [Member] | |||||||
Equity Securities without Readily Determinable Fair Value, Percent | 15.38% | ||||||
Guang Dong WeFriend Co., Ltd [Member] | |||||||
Equity Securities without Readily Determinable Fair Value, Percent | 10% | ||||||
Guangdong Yong Fu Xiang Health Management Co., Ltd (Yong Fu Xiang) [Member] | |||||||
Equity Securities without Readily Determinable Fair Value, Percent | 9.90% | 9.90% | 9.90% | ||||
Equity Securities without Readily Determinable Fair Value, Amount | $ 970 | ¥ 6,730 | |||||
Guangzhou Yuan Qi Man Man Technology Co., Ltd. (Yuan Qi Man Man) [Member] | |||||||
Equity Securities without Readily Determinable Fair Value, Percent | 9% | 9% | 9% | ||||
Equity Securities without Readily Determinable Fair Value, Amount | $ 10 | ¥ 90 | |||||
Business Opportunity Chain [Member] | |||||||
Equity Securities without Readily Determinable Fair Value, Percent | 19% | ||||||
Shenzhen Global Best Products, Gong Xiang Technology, and Xiao Peng Education [Member] | |||||||
Equity Securities without Readily Determinable Fair Value, Impairment Loss, Cumulative Amount | $ 600 |
Note 9 - Long-term Investment_3
Note 9 - Long-term Investments - Summary of Long-term Investments (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Balance | $ 2,280 | $ 67 |
Exchange translation adjustment | (88) | 1 |
Cash investments during the year | 2,250 | |
Disposed during the year | (38) | |
Impairment losses provided during the year | (596) | |
Balance | $ 1,596 | $ 2,280 |
Note 10 - Property and Equipm_3
Note 10 - Property and Equipment, Net (Details Textual) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Depreciation, Total | $ 100 | $ 30 |
Note 10 - Property and Equipm_4
Note 10 - Property and Equipment, Net - Property and Equipment, Net (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Property and equipment, gross | $ 2,480 | $ 2,708 |
Less: accumulated depreciation | (2,231) | (2,333) |
Property and equipment, net | 249 | 375 |
Vehicles [Member] | ||
Property and equipment, gross | 855 | 933 |
Office Equipment [Member] | ||
Property and equipment, gross | 865 | 944 |
Electronic Devices [Member] | ||
Property and equipment, gross | 575 | 629 |
Leasehold Improvements [Member] | ||
Property and equipment, gross | $ 185 | $ 202 |
Note 11 - Intangible Assets, _3
Note 11 - Intangible Assets, Net (Details Textual) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Amortization of Intangible Assets | $ 2,120 | $ 600 |
Impairment of Intangible Assets, Finite-Lived | $ 2,123 | $ 0 |
Finite-Lived Intangible Asset, Useful Life (Year) | 3 years 6 months 3 days | |
Finite-Lived Intangible Asset, Expected Amortization, Year One | $ 1,190 | |
Finite-Lived Intangible Asset, Expected Amortization, Year Three | 350 | |
Finite-Lived Intangible Asset, Expected Amortization, Year Four | 180 | |
Finite-Lived Intangible Asset, Expected Amortization, Year Five | 120 | |
Finite-Lived Intangible Asset, Expected Amortization, Year Two | $ 1,190 |
Note 11 - Intangible Assets, _4
Note 11 - Intangible Assets, Net - Intangible Assets, Net (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Finite-lived intangible assets | $ 9,690 | $ 9,856 |
Finite-lived intangible assets, Accumulated amortization | (3,902) | (1,887) |
Finite-lived intangible assets, Impairment | (2,524) | (446) |
Intangible assets, net | 3,264 | 7,523 |
Finite-lived intangible assets, Impairment | 2,524 | 446 |
Finite-lived intangible assets, Accumulated amortization | 3,902 | 1,887 |
Cloud-Computing Based Software Platforms [Member] | ||
Finite-lived intangible assets | 1,333 | 1,456 |
Finite-lived intangible assets, Accumulated amortization | (924) | (1,010) |
Finite-lived intangible assets, Impairment | (409) | 446 |
Intangible assets, net | 0 | 0 |
Finite-lived intangible assets, Impairment | 409 | (446) |
Finite-lived intangible assets, Accumulated amortization | 924 | 1,010 |
Licensing Agreements [Member] | ||
Finite-lived intangible assets | 1,201 | 1,205 |
Finite-lived intangible assets, Accumulated amortization | (374) | (255) |
Intangible assets, net | 827 | 950 |
Finite-lived intangible assets, Accumulated amortization | 374 | 255 |
Internet Ad Tracking System [Member] | ||
Finite-lived intangible assets | 1,160 | 1,158 |
Finite-lived intangible assets, Accumulated amortization | (405) | (174) |
Intangible assets, net | 755 | 984 |
Finite-lived intangible assets, Accumulated amortization | 405 | 174 |
Livestreaming Technology [Member] | ||
Finite-lived intangible assets | 1,500 | 1,500 |
Finite-lived intangible assets, Accumulated amortization | (625) | (325) |
Finite-lived intangible assets, Impairment | (875) | |
Intangible assets, net | 0 | 1,175 |
Finite-lived intangible assets, Impairment | 875 | |
Finite-lived intangible assets, Accumulated amortization | 625 | 325 |
Blockchain Integrated Framework Platform [Member] | ||
Finite-lived intangible assets | 4,038 | 4,038 |
Finite-lived intangible assets, Accumulated amortization | (1,346) | 0 |
Finite-lived intangible assets, Impairment | (1,010) | |
Intangible assets, net | 1,682 | 4,038 |
Finite-lived intangible assets, Impairment | 1,010 | |
Finite-lived intangible assets, Accumulated amortization | 1,346 | 0 |
Bo!News Application [Member] | ||
Finite-lived intangible assets | 345 | 376 |
Finite-lived intangible assets, Accumulated amortization | (115) | 0 |
Finite-lived intangible assets, Impairment | (230) | |
Intangible assets, net | 0 | 376 |
Finite-lived intangible assets, Impairment | 230 | |
Finite-lived intangible assets, Accumulated amortization | 115 | 0 |
Other Computer Software [Member] | ||
Finite-lived intangible assets | 113 | 123 |
Finite-lived intangible assets, Accumulated amortization | (113) | (123) |
Intangible assets, net | 0 | 0 |
Finite-lived intangible assets, Accumulated amortization | $ 113 | $ 123 |
Note 11 - Intangible Assets, _5
Note 11 - Intangible Assets, Net - Intangible Assets, Net (Details) (Parentheticals) | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Useful life (Year) | 3 years 6 months 3 days | |
Cloud-Computing Based Software Platforms [Member] | ||
Useful life (Year) | 10 years | 10 years |
Licensing Agreements [Member] | ||
Useful life (Year) | 10 years | 10 years |
Internet Ad Tracking System [Member] | ||
Useful life (Year) | 5 years | 5 years |
Livestreaming Technology [Member] | ||
Useful life (Year) | 5 years | 5 years |
Blockchain Integrated Framework Platform [Member] | ||
Useful life (Year) | 3 years | 3 years |
Bo!News Application [Member] | ||
Useful life (Year) | 3 years | 3 years |
Other Computer Software [Member] | ||
Useful life (Year) | 3 years | 3 years |
Note 13 - Accrued Payroll and_3
Note 13 - Accrued Payroll and Other Accruals - Accrued Payroll and Other Accruals (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | |
Accrued payroll and other accruals | [1] | $ 438 | $ 389 |
Accrued Payroll and Staff Welfare [Member] | |||
Accrued payroll and other accruals | 101 | 142 | |
Accrued Operating Expenses [Member] | |||
Accrued payroll and other accruals | $ 337 | $ 247 | |
[1]Liabilities recognized as a result of consolidating the VIEs do not represent additional claims on the Company’s general assets (Note 2). |
Note 14 - Taxation (Details Tex
Note 14 - Taxation (Details Textual) $ in Thousands, $ in Millions | 12 Months Ended | ||
Apr. 01, 2018 HKD ($) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | |
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 21% | 21% | |
Income Tax Withholding Rate Pursuant to EIT Law | 10% | ||
Operating Loss Carryforwards | $ 31,800 | $ 31,000 | |
Operating Loss Carryforwards, Taxable Income Deduction Limitations | 80% | ||
Deferred Tax Assets, Valuation Allowance | $ 12,691 | 12,271 | |
Valuation Allowance, Deferred Tax Asset, Increase (Decrease), Amount | $ 830 | $ 2,310 | |
Minimum [Member] | |||
PRC Value Added Tax Surcharge Rate | 12% | ||
PRC [Member] | |||
PRC Value Added Tax Rate for Modern Service Provided | 6% | 6% | |
PRC Value Added Tax Rate for Modern Service Provided Small Scale Tax Payer | 3% | 3% | |
Other PRC Operating Entities [Member] | PRC [Member] | |||
Applicable Income Tax Rate | 25% | 25% | 25% |
Business Opportunity Online [Member] | PRC [Member] | |||
Applicable Income Tax Rate | 25% | 15% | |
PRC Subsidiary And VIE's [Member] | |||
Operating Loss Carryforwards | $ 15,400 | $ 18,300 | |
HONG KONG | |||
Applicable Income Tax Rate for First Profit Limit | 8.25% | ||
Taxable Profits for Applicable Income Tax Rate | $ 2 | ||
Applicable Income Tax Rate for Subsequent Profit | 16.50% |
Note 14 - Taxation - Taxes Paya
Note 14 - Taxation - Taxes Payable (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | |
Turnover tax and surcharge payable | $ 1,288 | $ 1,414 | |
Enterprise income tax payable | 1,960 | 2,120 | |
Taxes payable | [1] | $ 3,248 | $ 3,534 |
[1]Liabilities recognized as a result of consolidating the VIEs do not represent additional claims on the Company’s general assets (Note 2). |
Note 14 - Taxation - Reconcilia
Note 14 - Taxation - Reconciliation of the Income Tax (Expense) Benefit (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Pre-tax loss | $ (9,794) | $ (2,511) |
U.S. federal rate | 21% | 21% |
Income tax benefit computed at U.S. federal rate | $ 2,057 | $ 527 |
Rate differential for foreign earnings | (4) | (131) |
Tax effect on non-taxable change in fair value of warrant liabilities | 389 | 2,379 |
Tax effect enactment of new tax rate of a VIE | 0 | 683 |
Provision of valuation allowance on deferred tax assets | (833) | (2,312) |
Expired tax attribute carryforwards | (1,528) | (1,358) |
Tax effect on other (non-deductible expenses)/non-taxable income | (78) | 35 |
Effective income tax benefit/(expense) | $ 3 | $ (177) |
Note 14 - Taxation - Income Tax
Note 14 - Taxation - Income Tax Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Current | $ 0 | $ 0 |
Deferred | 3 | (177) |
Effective income tax benefit/(expense) | $ 3 | $ (177) |
Note 14 - Taxation - Deferred T
Note 14 - Taxation - Deferred Tax Assets (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Tax effect of net operating losses carried forward | $ 11,537 | $ 12,130 |
Operating lease cost | 30 | 23 |
Impairment on long-term investments | 144 | 0 |
Impairment on intangible assets | 368 | 0 |
Bad debts provision | 1,018 | 559 |
Valuation allowance | (12,691) | (12,271) |
Deferred tax assets, net | $ 406 | $ 441 |
Note 16 - The Financing and W_3
Note 16 - The Financing and Warrant Liabilities (Details Textual) $ / shares in Units, $ in Thousands | 12 Months Ended | ||||||
Jan. 18, 2023 | Jul. 02, 2021 USD ($) shares | Feb. 18, 2021 USD ($) $ / shares shares | Dec. 31, 2021 USD ($) | Dec. 31, 2022 USD ($) | Dec. 31, 2020 USD ($) | Dec. 14, 2020 | |
Warrants and Rights Outstanding | $ 2,039 | $ 185 | $ 1,505 | ||||
Subsequent Event [Member] | Reverse Stock Split [Member] | |||||||
Stockholders' Equity Note, Stock Split, Conversion Ratio | 5 | ||||||
Investor Warrants [Member] | |||||||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights (in shares) | shares | 521,200 | ||||||
Class of Warrant or Right, Exercise Price of Warrants or Rights (in dollars per share) | $ / shares | $ 17.95 | ||||||
Placement Agent Warrants [Member] | |||||||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights (in shares) | shares | 72,968 | ||||||
Class of Warrant or Right, Exercise Price of Warrants or Rights (in dollars per share) | $ / shares | $ 22.4375 | ||||||
Warrants and Rights Outstanding | $ 1,450 | ||||||
Stock Issued During Period, Shares, Cashless Warrants Exercised (in shares) | shares | 8,000 | ||||||
Placement Agent Warrants [Member] | Other Nonoperating Income (Expense) [Member] | |||||||
Gain (Loss), Exercise of Cashless Warrants | $ (20) | ||||||
The Warrants [Member] | Minimum [Member] | |||||||
Class of Warrant or Right, Beneficial Ownership Percentage | 4.99% | ||||||
The Warrants [Member] | Maximum [Member] | |||||||
Class of Warrant or Right, Beneficial Ownership Percentage | 9.99% | ||||||
Private Placement [Member] | |||||||
Stock Issued During Period, Shares, New Issues (in shares) | shares | 1,042,400 | ||||||
Shares Issued, Price Per Share (in dollars per share) | $ / shares | $ 17.95 | ||||||
Proceeds from Issuance or Sale of Equity, Total | $ 18,700 | 18,711 | |||||
Sale of Equity, Placement Fee, Percent | 7% | ||||||
Adjustments to Additional Paid in Capital, Stock Issued, Issuance Costs | $ 3,050 | ||||||
Placement Agent Fee | 1,310 | ||||||
Stock Issuance Costs, Other Offering Costs | $ 290 | ||||||
Private Placement [Member] | Investor Warrants [Member] | |||||||
Warrants and Rights Outstanding | $ 10,476 |
Note 16 - The Financing and W_4
Note 16 - The Financing and Warrant Liabilities - Allocation of Gross Proceeds from the Financing (Details) - Private Placement [Member] - USD ($) $ in Thousands | 12 Months Ended | |
Feb. 18, 2021 | Dec. 31, 2021 | |
Investor Warrants | $ 10,476 | |
Common Stock (par value and additional paid in capital) | 8,235 | |
Total proceeds from the Financing | $ 18,700 | $ 18,711 |
Note 16 - The Financing and W_5
Note 16 - The Financing and Warrant Liabilities- Fair Value of Warrants (Details) $ in Thousands | Dec. 31, 2022 USD ($) yr | Dec. 31, 2021 USD ($) yr | Jul. 02, 2021 USD ($) | Feb. 18, 2021 USD ($) yr | [1] | Dec. 31, 2020 USD ($) | |
Proceeds allocated to warrant liabilities | $ 185 | $ 2,039 | $ 1,505 | ||||
Investor Warrants Issued in Connection with 2021 Financing [Member] | |||||||
Proceeds allocated to warrant liabilities | 86 | 964 | $ 10,476 | ||||
Placement Agent Warrants Issued in Connection with 2021 Financing [Member] | |||||||
Proceeds allocated to warrant liabilities | 9 | 132 | $ 1,445 | ||||
Investor Warrants Issued in Connection with 2020 Financing [Member] | |||||||
Proceeds allocated to warrant liabilities | 76 | 795 | 1,279 | ||||
Placement Agent Warrants Issued in Connection with 2020 Financing [Member] | |||||||
Proceeds allocated to warrant liabilities | $ 14 | 148 | 224 | ||||
Investor Warrants Issued in Connection with 2018 Financing [Member] | |||||||
Proceeds allocated to warrant liabilities | [2] | $ 58 | |||||
Placement Agent Warrants Issued in Connection with 2018 Financing [Member] | |||||||
Proceeds allocated to warrant liabilities | $ 0 | $ 58 | $ 2 | ||||
Measurement Input, Share Price [Member] | Investor Warrants Issued in Connection with 2021 Financing [Member] | |||||||
Fair value of the warrants | 0.46 | 1 | 4.48 | ||||
Measurement Input, Share Price [Member] | Placement Agent Warrants Issued in Connection with 2021 Financing [Member] | |||||||
Fair value of the warrants | 0.46 | 1 | 4.48 | ||||
Measurement Input, Share Price [Member] | Investor Warrants Issued in Connection with 2020 Financing [Member] | |||||||
Fair value of the warrants | 0.46 | 1 | 1.35 | ||||
Measurement Input, Share Price [Member] | Placement Agent Warrants Issued in Connection with 2020 Financing [Member] | |||||||
Fair value of the warrants | 0.46 | 1 | 1.35 | ||||
Measurement Input, Share Price [Member] | Investor Warrants Issued in Connection with 2018 Financing [Member] | |||||||
Fair value of the warrants | [2],[3] | 1.94 | |||||
Measurement Input, Share Price [Member] | Placement Agent Warrants Issued in Connection with 2018 Financing [Member] | |||||||
Fair value of the warrants | [3] | 1.35 | |||||
Measurement Input, Expected Term [Member] | Investor Warrants Issued in Connection with 2021 Financing [Member] | |||||||
Fair value of the warrants | yr | 1.63 | 2.63 | 3.50 | ||||
Measurement Input, Expected Term [Member] | Placement Agent Warrants Issued in Connection with 2021 Financing [Member] | |||||||
Fair value of the warrants | yr | 1.63 | 2.63 | 3.50 | ||||
Measurement Input, Expected Term [Member] | Investor Warrants Issued in Connection with 2020 Financing [Member] | |||||||
Fair value of the warrants | 0.95 | 1.95 | 2.95 | ||||
Measurement Input, Expected Term [Member] | Placement Agent Warrants Issued in Connection with 2020 Financing [Member] | |||||||
Fair value of the warrants | 0.95 | 1.95 | 2.95 | ||||
Measurement Input, Expected Term [Member] | Investor Warrants Issued in Connection with 2018 Financing [Member] | |||||||
Fair value of the warrants | [2] | 0.04 | |||||
Measurement Input, Expected Term [Member] | Placement Agent Warrants Issued in Connection with 2018 Financing [Member] | |||||||
Fair value of the warrants | 0.05 | ||||||
Measurement Input, Risk Free Interest Rate [Member] | Investor Warrants Issued in Connection with 2021 Financing [Member] | |||||||
Fair value of the warrants | 0.04625 | 0.0087 | 0.0026 | ||||
Measurement Input, Risk Free Interest Rate [Member] | Placement Agent Warrants Issued in Connection with 2021 Financing [Member] | |||||||
Fair value of the warrants | 0.04625 | 0.0087 | 0.0026 | ||||
Measurement Input, Risk Free Interest Rate [Member] | Investor Warrants Issued in Connection with 2020 Financing [Member] | |||||||
Fair value of the warrants | 0.04716 | 0.0072 | 0.0017 | ||||
Measurement Input, Risk Free Interest Rate [Member] | Placement Agent Warrants Issued in Connection with 2020 Financing [Member] | |||||||
Fair value of the warrants | 0.04716 | 0.0072 | 0.0017 | ||||
Measurement Input, Risk Free Interest Rate [Member] | Investor Warrants Issued in Connection with 2018 Financing [Member] | |||||||
Fair value of the warrants | [2] | 0.0005 | |||||
Measurement Input, Risk Free Interest Rate [Member] | Placement Agent Warrants Issued in Connection with 2018 Financing [Member] | |||||||
Fair value of the warrants | 0.0008 | ||||||
Measurement Input, Expected Dividend Rate [Member] | Investor Warrants Issued in Connection with 2018 Financing [Member] | |||||||
Fair value of the warrants | [2] | 0 | |||||
Measurement Input, Expected Dividend Rate [Member] | Placement Agent Warrants Issued in Connection with 2018 Financing [Member] | |||||||
Fair value of the warrants | 0 | ||||||
Measurement Input, Price Volatility [Member] | Investor Warrants Issued in Connection with 2021 Financing [Member] | |||||||
Fair value of the warrants | 0.9974 | 1.15 | 1.68 | ||||
Measurement Input, Price Volatility [Member] | Placement Agent Warrants Issued in Connection with 2021 Financing [Member] | |||||||
Fair value of the warrants | 0.9974 | 1.15 | 1.68 | ||||
Measurement Input, Price Volatility [Member] | Investor Warrants Issued in Connection with 2020 Financing [Member] | |||||||
Fair value of the warrants | 1.1561 | 1.28 | 1.02 | ||||
Measurement Input, Price Volatility [Member] | Placement Agent Warrants Issued in Connection with 2020 Financing [Member] | |||||||
Fair value of the warrants | 1.1561 | 1.28 | 1.02 | ||||
Measurement Input, Price Volatility [Member] | Investor Warrants Issued in Connection with 2018 Financing [Member] | |||||||
Fair value of the warrants | [2] | 0.75 | |||||
Measurement Input, Price Volatility [Member] | Placement Agent Warrants Issued in Connection with 2018 Financing [Member] | |||||||
Fair value of the warrants | 0.59 | ||||||
Measurement Input, Exercise Price [Member] | Investor Warrants Issued in Connection with 2021 Financing [Member] | |||||||
Fair value of the warrants | 3.59 | 3.59 | 3.59 | ||||
Measurement Input, Exercise Price [Member] | Placement Agent Warrants Issued in Connection with 2021 Financing [Member] | |||||||
Fair value of the warrants | 4.4875 | 4.4875 | 4.4875 | ||||
Measurement Input, Exercise Price [Member] | Investor Warrants Issued in Connection with 2020 Financing [Member] | |||||||
Fair value of the warrants | 2.03 | 2.03 | 2.03 | ||||
Measurement Input, Exercise Price [Member] | Placement Agent Warrants Issued in Connection with 2020 Financing [Member] | |||||||
Fair value of the warrants | 2.03 | 2.03 | 2.03 | ||||
Measurement Input, Exercise Price [Member] | Investor Warrants Issued in Connection with 2018 Financing [Member] | |||||||
Fair value of the warrants | [2],[3] | 1.4927 | |||||
Measurement Input, Exercise Price [Member] | Placement Agent Warrants Issued in Connection with 2018 Financing [Member] | |||||||
Fair value of the warrants | [3] | 1.4927 | |||||
Measurement Input, Quoted Price [Member] | Investor Warrants Issued in Connection with 2021 Financing [Member] | |||||||
Fair value of the warrants | 0.0329 | 0.37 | 4.02 | ||||
Measurement Input, Quoted Price [Member] | Placement Agent Warrants Issued in Connection with 2021 Financing [Member] | |||||||
Fair value of the warrants | 0.0256 | 0.36 | 3.96 | ||||
Measurement Input, Quoted Price [Member] | Investor Warrants Issued in Connection with 2020 Financing [Member] | |||||||
Fair value of the warrants | 0.0439 | 0.46 | 0.74 | ||||
Measurement Input, Quoted Price [Member] | Placement Agent Warrants Issued in Connection with 2020 Financing [Member] | |||||||
Fair value of the warrants | 0.0456 | 0.49 | 0.74 | ||||
Measurement Input, Quoted Price [Member] | Investor Warrants Issued in Connection with 2018 Financing [Member] | |||||||
Fair value of the warrants | [2] | 0.45 | |||||
Measurement Input, Quoted Price [Member] | Placement Agent Warrants Issued in Connection with 2018 Financing [Member] | |||||||
Fair value of the warrants | 0.02 | ||||||
[1]Closing date of the 2021 Financing.[2]The investor warrants issued in the 2018 Financing expired in July 2020. The placement agent warrants issued in the 2018 Financing were cashless exercised on July 2, 2021. As a result, the Company issued approximately 0.008 million shares of the Company’s restricted common stock to the placement agent, with a loss of approximately US$0.02 million recognized in other income/(loss) account for the year ended December 31, 2021, which represented the difference between the fair value of these warrants on the date of the cashless exercise and the cost of the Company’s restricted common stock issued, based on the close bid price of the Company’s common stock on the same date.[3]To reflect the actual inputs used for the determination of fair value of the Warrants, the stock prices and exercise prices presented in the above tables were not retrospectively restated for effect of the 1-for-5 reverse stock split on January 18, 2023 see Note 4(l). |
Note 16 - The Financing and W_6
Note 16 - The Financing and Warrant Liabilities - Warrant Liabilities (Details) - USD ($) $ in Thousands | 12 Months Ended | |||||
Dec. 31, 2022 | Dec. 31, 2021 | Jul. 02, 2021 | Feb. 18, 2021 | [1] | Dec. 31, 2020 | |
Proceeds allocated to warrant liabilities | $ 185 | $ 2,039 | $ 1,505 | |||
Change in fair value of warrants | (1,854) | (11,329) | ||||
Change in fair value of warrant liabilities | 1,854 | 11,329 | ||||
Investor Warrants Issued in Connection with 2021 Financing [Member] | ||||||
Proceeds allocated to warrant liabilities | 86 | 964 | $ 10,476 | |||
Change in fair value of warrants | (878) | (9,512) | ||||
Change in fair value of warrant liabilities | 878 | 9,512 | ||||
Placement Agent Warrants Issued in Connection with 2021 Financing [Member] | ||||||
Proceeds allocated to warrant liabilities | 9 | 132 | $ 1,445 | |||
Change in fair value of warrants | (123) | (1,313) | ||||
Change in fair value of warrant liabilities | 123 | 1,313 | ||||
Investor Warrants Issued in Connection with 2020 Financing [Member] | ||||||
Proceeds allocated to warrant liabilities | 76 | 795 | 1,279 | |||
Change in fair value of warrants | (719) | (484) | ||||
Change in fair value of warrant liabilities | 719 | 484 | ||||
Placement Agent Warrants Issued in Connection with 2020 Financing [Member] | ||||||
Proceeds allocated to warrant liabilities | 14 | 148 | 224 | |||
Change in fair value of warrants | (134) | (76) | ||||
Change in fair value of warrant liabilities | $ 134 | 76 | ||||
Placement Agent Warrants Issued in Connection with 2018 Financing [Member] | ||||||
Proceeds allocated to warrant liabilities | 0 | $ 58 | $ 2 | |||
Change in fair value of warrants | 56 | |||||
Change in fair value of warrant liabilities | $ (56) | |||||
[1]Closing date of the 2021 Financing. |
Note 16 - The Financing and W_7
Note 16 - The Financing and Warrant Liabilities - Warrant Activity (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Balance (in shares) | 1,000,343 | 431,975 | |
Balance, weighted average remaining contractual life (Year) | 1 year 4 months 9 days | 2 years 4 months 9 days | 2 years 9 months 10 days |
Weighted average exercise price (in dollars per share) | $ 15.11 | $ 9.99 | |
Exercisable (in shares) | 1,000,343 | 25,800 | |
Exercisable, weighted average remaining contractual life (Year) | 1 year 4 months 9 days | 2 years 4 months 9 days | 18 days |
Exercisable, weighted average exercise price (in dollars per share) | $ 15.11 | $ 7.4635 | |
Issued/Vested (in shares) | 0 | 594,168 | |
Issued/Vested, weighted average remaining contractual life (Year) | 2 years 7 months 17 days | ||
Issued/Vested, weighted average exercise price (in dollars per share) | $ 18.50 | ||
Issued/Vested, Exercisable (in shares) | 0 | 1,000,343 | |
Issued/Vested, exercisable, weighted average remaining contractual life (Year) | 2 years 4 months 9 days | ||
Issued/Vested, exercisable, weighted average exercise price (in dollars per share) | $ 15.11 | ||
Exercised (in shares) | 0 | (25,800) | |
Exercised, weighted average exercise price (in dollars per share) | $ 7.4635 | ||
Exercised, exercisable (in shares) | 0 | (25,800) | |
Exercised, exercisable, weighted average exercise price (in dollars per share) | $ 7.4635 | ||
Balance (in shares) | 1,000,343 | 1,000,343 | 431,975 |
Weighted average exercise price (in dollars per share) | $ 15.11 | $ 15.11 | $ 9.99 |
Exercisable (in shares) | 1,000,343 | 1,000,343 | 25,800 |
Exercisable, weighted average exercise price (in dollars per share) | $ 15.11 | $ 15.11 | $ 7.4635 |
Note 17 - Restricted Net Asse_2
Note 17 - Restricted Net Assets (Details Textual) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Amount of Restricted Net Assets for Consolidated and Unconsolidated Subsidiaries | $ 13,310 | $ 11,580 |
Withholding Tax Rate Pursuant To EIT Law | 10% | |
WFOE [Member] | ||
Minimum Percentage Of Annual After-tax Profit For General Reserve | 10% | |
Minimum Required Reserve As Percent Of Registered Capital | 50% | |
Domestic Enterprise [Member] | ||
Minimum Percentage Of Annual After-tax Profit For General Reserve | 10% |
Note 18 - Employee Defined Co_2
Note 18 - Employee Defined Contribution Plan (Details Textual) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Defined Contribution Plan, Cost | $ 220 | $ 220 |
Note 19 - Concentration of Ri_3
Note 19 - Concentration of Risk (Details Textual) - Geographic Concentration Risk [Member] - Cash and Cash Equivalents [Member] | 12 Months Ended |
Dec. 31, 2022 | |
UNITED STATES | |
Concentration Risk, Percentage | 38% |
CHINA | |
Concentration Risk, Percentage | 62% |
Note 19 - Concentration of Ri_4
Note 19 - Concentration of Risk - Company's Concentration of Customers and Suppliers (Details) | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | ||
Cost Of Sales Total [Member] | Supplier Concentration Risk [Member] | Supplier A [Member] | |||
Concentration risk | 57% | ||
Cost Of Sales Total [Member] | Supplier Concentration Risk [Member] | Supplier B [Member] | |||
Concentration risk | 20% | 73% | |
Accounts Receivable [Member] | Customer Concentration Risk [Member] | Customer A [Member] | |||
Concentration risk | 16% | 33% | |
Accounts Receivable [Member] | Customer Concentration Risk [Member] | Customer B [Member] | |||
Concentration risk | 16% | 32% | |
Accounts Receivable [Member] | Customer Concentration Risk [Member] | Customer C [Member] | |||
Concentration risk | 33% | 11% | |
Accounts Receivable [Member] | Customer Concentration Risk [Member] | Customer D [Member] | |||
Concentration risk | 24% | ||
Accounts Receivable [Member] | Customer Concentration Risk [Member] | Customer E [Member] | |||
Concentration risk | [1] | 19% | |
[1]Less than 10%. |
Note 21 - Segment Reporting (De
Note 21 - Segment Reporting (Details Textual) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Share-Based Payment Arrangement, Expense | $ 186 | $ 7,028 |
Note 21 - Segment Reporting - S
Note 21 - Segment Reporting - Summary of Segment Reporting Information (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2022 | Dec. 31, 2021 | |||
Revenues | $ 26,235 | $ 47,328 | ||
Cost of revenues | 26,429 | 47,230 | ||
Total operating expenses | 10,925 | 13,688 | ||
Depreciation and amortization expenses included in cost of revenues and operating expenses | 2,215 | 632 | ||
Impairment on intangible assets included in operating expenses | 2,123 | |||
Loss from operations | (11,119) | (13,590) | ||
Impairment on long-term investments | 596 | 0 | ||
Change in fair value of warrant liabilities | 1,854 | 11,329 | ||
Net loss | (9,791) | (2,688) | ||
Total assets | 19,658 | 32,631 | ||
Expenditure for long-term assets | 1,494 | |||
Corporate, Non-Segment [Member] | ||||
Revenues | 0 | |||
Cost of revenues | 0 | |||
Total operating expenses | 3,713 | [1] | 9,734 | [2] |
Depreciation and amortization expenses included in cost of revenues and operating expenses | 84 | 18 | ||
Loss from operations | (3,713) | (9,734) | ||
Impairment on long-term investments | 520 | |||
Change in fair value of warrant liabilities | 1,854 | 11,329 | ||
Net loss | (2,254) | 990 | ||
Total assets | 39,136 | 44,328 | ||
Expenditure for long-term assets | 280 | |||
Intersegment Eliminations [Member] | ||||
Impairment on intangible assets included in operating expenses | 0 | |||
Loss from operations | 0 | 0 | ||
Net loss | 0 | 0 | ||
Total assets | (31,701) | (30,497) | ||
Expenditure for long-term assets | 0 | |||
Internet Ad [Member] | Operating Segments [Member] | ||||
Revenues | 25,810 | 46,666 | ||
Cost of revenues | 26,093 | 45,730 | ||
Total operating expenses | 3,072 | 1,423 | ||
Depreciation and amortization expenses included in cost of revenues and operating expenses | 366 | 313 | ||
Impairment on intangible assets included in operating expenses | 0 | |||
Loss from operations | (3,355) | (487) | ||
Impairment on long-term investments | 76 | |||
Net loss | (3,485) | (309) | ||
Total assets | 10,385 | 12,150 | ||
Expenditure for long-term assets | 1,214 | |||
Ecommerce O2O Ad and Marketing Services [Member] | Operating Segments [Member] | ||||
Revenues | 0 | 662 | ||
Cost of revenues | 0 | 1,500 | ||
Total operating expenses | 1,764 | 2,529 | ||
Depreciation and amortization expenses included in cost of revenues and operating expenses | 300 | 300 | ||
Impairment on intangible assets included in operating expenses | 875 | |||
Loss from operations | (1,764) | (3,367) | ||
Net loss | (1,764) | (3,366) | ||
Total assets | 156 | 2,236 | ||
Expenditure for long-term assets | 0 | |||
Corporate Segment [Member] | ||||
Revenues | 26,235 | |||
Cost of revenues | 26,429 | |||
Total operating expenses | 10,925 | |||
Change in fair value of warrant liabilities | 1,854 | |||
Blockchain Technology [Member] | Operating Segments [Member] | ||||
Cost of revenues | 336 | |||
Total operating expenses | 2,376 | 2 | ||
Depreciation and amortization expenses included in cost of revenues and operating expenses | 1,465 | 1 | ||
Impairment on intangible assets included in operating expenses | 1,248 | |||
Loss from operations | (2,287) | (2) | ||
Net loss | (2,288) | (3) | ||
Total assets | $ 1,682 | 4,414 | ||
Expenditure for long-term assets | $ 0 | |||
[1]Including approximately US$0.14 million share-based compensation expenses.[2]Including approximately US$0.05 million share-based compensation expenses. |
Note 22 - Loss Per Share (Detai
Note 22 - Loss Per Share (Details Textual) | Jan. 18, 2023 |
Subsequent Event [Member] | Reverse Stock Split [Member] | |
Stockholders' Equity Note, Stock Split, Conversion Ratio | 5 |
Note 22 - (Loss) Earnings Per S
Note 22 - (Loss) Earnings Per Share - Basic and Diluted Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | ||
Net loss attributable to ZW Data Action Technologies Inc. (numerator for basic and diluted loss per share) | $ (9,791) | $ (2,754) | |
Weighted average number of common shares outstanding – Basic and diluted ** (in shares) | 7,136,290 | 6,618,754 | |
Loss per share -Basic and diluted ** (in dollars per share) | [1] | $ (1.37) | $ (0.42) |
[1]Retrospectively restated for effect of the 1-for-5 reverse stock split on January 18, 2023, see Note 4(l). |
Note 23 - Share-based Compens_3
Note 23 - Share-based Compensation Expenses (Details Textual) $ / shares in Units, shares in Thousands, $ in Thousands | 1 Months Ended | 12 Months Ended | |||||
Jan. 18, 2023 | Jun. 30, 2022 USD ($) $ / shares shares | Mar. 31, 2022 shares | May 31, 2021 $ / shares shares | Mar. 31, 2021 $ / shares shares | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | |
Share-Based Payment Arrangement, Expense | $ 186 | $ 7,028 | |||||
Share-Based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Amount, Total | 60 | ||||||
Subsequent Event [Member] | Reverse Stock Split [Member] | |||||||
Stockholders' Equity Note, Stock Split, Conversion Ratio | 5 | ||||||
Restricted Stock [Member] | |||||||
Share-Based Payment Arrangement, Expense | 40 | 240 | |||||
Executive Officer [Member] | Restricted Stock [Member] | The 2020 Omnibus Securities and Incentive Plan, Second Issuance [Member] | |||||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Equity Instruments Other than Options, Grants in Period (in shares) | shares | 19 | ||||||
Share-Based Payment Arrangement, Expense | 60 | ||||||
Management Consulting and Advisory Service Providers [Member] | Restricted Stock [Member] | |||||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Equity Instruments Other than Options, Grants in Period (in shares) | shares | 80 | ||||||
Share-Based Payment Arrangement, Expense | $ 80 | ||||||
Shares Issued, Price Per Share (in dollars per share) | $ / shares | $ 1.75 | ||||||
Issuance of Stock and Warrants for Services or Claims | $ 140 | ||||||
Management and Employees [Member] | Restricted Stock [Member] | The 2020 Omnibus Securities and Incentive Plan, Second Issuance [Member] | |||||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Equity Instruments Other than Options, Grants in Period (in shares) | shares | 797 | ||||||
Share-Based Payment Arrangement, Expense | 6,660 | ||||||
Shares Issued, Price Per Share (in dollars per share) | $ / shares | $ 8.35 | ||||||
Independent Director [Member] | Restricted Stock [Member] | The 2020 Omnibus Securities and Incentive Plan, Second Issuance [Member] | |||||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Equity Instruments Other than Options, Grants in Period (in shares) | shares | 6 | ||||||
Share-Based Payment Arrangement, Expense | $ 90 | ||||||
Shares Issued, Price Per Share (in dollars per share) | $ / shares | $ 15.65 |
Note 23 - Share-based Compens_4
Note 23 - Share-based Compensation Expenses - Share-based Compensation Expenses (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Share-based Compensation expenses | $ 186 | $ 7,028 |
Selling and Marketing Expense [Member] | ||
Share-based Compensation expenses | 0 | |
General and Administrative Expense [Member] | ||
Share-based Compensation expenses | $ 186 | 7,028 |
Research and Development Expense [Member] | ||
Share-based Compensation expenses | $ 0 |
Note 24 - Subsequent Events (De
Note 24 - Subsequent Events (Details Textual) | Jan. 18, 2023 shares | Jan. 17, 2023 shares | Dec. 31, 2022 $ / shares shares | Dec. 31, 2021 $ / shares shares | |
Common Stock, Par or Stated Value Per Share (in dollars per share) | $ / shares | $ 0.001 | $ 0.001 | |||
Common Stock, Shares Authorized (in shares) | 20,000,000 | 20,000,000 | |||
Common Stock, Shares, Issued (in shares) | [1] | 7,174,506 | 7,075,506 | ||
Common Stock, Shares, Outstanding, Ending Balance (in shares) | [1] | 7,174,506 | 7,075,506 | ||
Subsequent Event [Member] | |||||
Common Stock, Shares Authorized (in shares) | 20,000,000 | 100,000,000 | |||
Common Stock, Shares, Issued (in shares) | 7,174,506 | 35,827,677 | |||
Common Stock, Shares, Outstanding, Ending Balance (in shares) | 7,174,506 | 35,827,677 | |||
Reverse Stock Split [Member] | Subsequent Event [Member] | |||||
Stockholders' Equity Note, Stock Split, Conversion Ratio | 5 | ||||
[1]Retrospectively restated for effect of the 1-for-5 reverse stock split on January 18, 2023, see Note 4(l). |