Cover
Cover - USD ($) | 12 Months Ended | ||
Dec. 31, 2023 | Mar. 26, 2024 | Mar. 31, 2023 | |
Cover [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Annual Report | true | ||
Document Transition Report | false | ||
Document Period End Date | Dec. 31, 2023 | ||
Document Fiscal Period Focus | FY | ||
Document Fiscal Year Focus | 2023 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity File Number | 333-220144 | ||
Entity Registrant Name | AGAPE ATP CORPORATION | ||
Entity Central Index Key | 0001713210 | ||
Entity Tax Identification Number | 36-4838886 | ||
Entity Incorporation, State or Country Code | NV | ||
Entity Address, Address Line One | 1705 – 1708, Level 17, Tower 2, Faber Towers | ||
Entity Address, Address Line Two | Jalan Desa Bahagia | ||
Entity Address, Address Line Three | Taman Desa | ||
Entity Address, City or Town | Kuala Lumpur | ||
Entity Address, Country | MY | ||
Entity Address, Postal Zip Code | 58100 | ||
City Area Code | (60) | ||
Local Phone Number | 192230099 | ||
Title of 12(b) Security | Common Stock, $0.0001 par value | ||
Trading Symbol | ATPC | ||
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 | ||
Entity Shell Company | false | ||
Entity Public Float | $ 36,651,579 | ||
Entity Common Stock, Shares Outstanding | 76,966,712 | ||
Document Financial Statement Error Correction [Flag] | false | ||
Auditor Firm ID | 5395 | ||
Auditor Name | Marcum Asia CPAs LLP | ||
Auditor Location | New York, New York |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) | Dec. 31, 2023 | Dec. 31, 2022 |
CURRENT ASSETS | ||
Cash and cash equivalents (Included $122 and $1,609 in the consolidated VIE that can be used only to settle obligations of the consolidated VIE as of December 31, 2023 and 2022, respectively.) | $ 4,832,460 | $ 1,438,430 |
Accounts receivable, net | 55,458 | 2,826 |
Inventories | 47,907 | 46,277 |
Prepaid taxes (Included $1,670 and $1,741 in the consolidated VIE that can be used only to settle obligations of the consolidated VIE as of December 31, 2023 and 2022, respectively.) | 21,993 | 339,367 |
Prepayments and deposits (Included $7 and $0 in the consolidated VIE that can be used only to settle obligations of the consolidated VIE as of December 31, 2023 and 2022, respectively.) | 215,806 | 186,560 |
Total Current Assets | 5,185,152 | 2,028,534 |
OTHER ASSETS | ||
Property and equipment, net | 77,858 | 142,149 |
Intangible assets, net | 17,458 | 24,044 |
Finance lease assets | 86,335 | |
Operating right-of-use assets | 357,301 | 81,133 |
Investment in marketable securities | 20,171 | 16,687 |
Deferred offering costs | 499,202 | |
Deferred tax assets | 219 | |
Total other assets | 559,342 | 763,215 |
TOTAL ASSETS | 5,744,494 | 2,791,749 |
CURRENT LIABILITIES | ||
Customer deposits | 101,575 | 363,018 |
Operating lease liabilities, current | 138,548 | 82,708 |
Other payables and accrued liabilities ($899 and $1,090 are included in the consolidated VIE that are without recourse to the credit of Agape ATP Corporation as of December 31, 2023 and 2022, respectively.) | 726,061 | 713,277 |
Finance lease liabilities, current | 7,075 | |
Income tax payable | 10,968 | |
Total Current Liabilities | 1,071,538 | 1,229,295 |
NON-CURRENT LIABILITIES | ||
Operating lease liabilities, non-current | 219,530 | |
Finance lease liabilities, non-current | 72,563 | |
Total Non-current Liabilities | 292,093 | |
TOTAL LIABILITIES | 1,363,631 | 1,229,295 |
COMMITMENTS AND CONTINGENCIES (Note 19) | ||
STOCKHOLDERS’ EQUITY | ||
Preferred stock, $0.0001 par value; 200,000,000 shares authorized; None issued and outstanding | ||
Common Stock, par value $0.0001; 1,000,000,000 shares authorized, 77,102,012 and 75,452,012 shares issued and outstanding as of December 31, 2023 and 2022, respectively. | 7,711 | 7,545 |
Additional paid in capital | 11,378,743 | 6,470,716 |
Treasury Stock, par value $0.0001; 135,300 and 0 shares as of December 31, 2023 and 2022, respectively. | (14) | |
Accumulated deficit | (7,047,571) | (4,945,586) |
Accumulated other comprehensive income | 30,215 | 9,266 |
TOTAL AGAPE CORPORATION STOCKHOLDERS’ EQUITY | 4,369,084 | 1,541,941 |
NON-CONTROLLING INTERESTS | 11,779 | 20,513 |
TOTAL EQUITY | 4,380,863 | 1,562,454 |
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY | 5,744,494 | 2,791,749 |
Nonrelated Party [Member] | ||
CURRENT ASSETS | ||
Amount due from related parties | 435 | 4,540 |
CURRENT LIABILITIES | ||
Accounts payable – related parties | 55,585 | 28,833 |
Related Party [Member] | ||
CURRENT ASSETS | ||
Amount due from related parties | 11,093 | 10,534 |
CURRENT LIABILITIES | ||
Accounts payable – related parties | 34,848 | 25,611 |
Other payable – related parties | $ 7,846 | $ 4,880 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) | Dec. 31, 2023 | Dec. 31, 2022 |
Statement of Financial Position [Abstract] | ||
VIE consolidated amount of cash and cash equivalents | $ 122 | $ 1,609 |
VIE consolidated amount of prepaid taxes | 1,670 | 1,741 |
VIE consolidated amount of prrepayments and deposits | 7 | 0 |
VIE consolidated amount of other payables and accrued liabilities | $ 899 | $ 1,090 |
Preferred stock, par value | $ 0.0001 | $ 0.0001 |
Preferred stock, shares authorized | 200,000,000 | 200,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value | $ 0.0001 | $ 0.0001 |
Common stock, shares authorized | 1,000,000,000 | 1,000,000,000 |
Common stock, shares issued | 77,102,012 | 75,452,012 |
Common stock, shares outstanding | 77,102,012 | 75,452,012 |
Tresury stock, par value | $ 0.0001 | $ 0.0001 |
Tresury stock, shares | 135,300 | 0 |
Consolidated Statements of Oper
Consolidated Statements of Operations and Comprehensive Loss - USD ($) | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Income Statement [Abstract] | ||
REVENUE | $ 1,431,088 | $ 1,856,564 |
COST OF REVENUE | (494,516) | (666,042) |
GROSS PROFIT | 936,572 | 1,190,522 |
SELLING | (629,003) | (361,414) |
COMMISSION | (88,132) | (405,351) |
GENERAL AND ADMINISTRATIVE | (2,366,016) | (1,957,023) |
TOTAL OPERATING EXPENSES | (3,083,151) | (2,723,788) |
LOSS FROM OPERATIONS | (2,146,579) | (1,533,266) |
OTHER INCOME (EXPENSES) | ||
Other income (expenses), net | 5,724 | (79,539) |
Interest income | 29,249 | 16,190 |
Unrealized holding gain (loss) on marketable securities | 3,493 | (73,519) |
Gain on disposal of PPE | 1,753 | |
TOTAL OTHER INCOME (EXPENSES), NET | 40,219 | (136,868) |
LOSS BEFORE INCOME TAXES | (2,106,360) | (1,670,134) |
(PROVISION FOR) BENEFIT OF INCOME TAXES | (3,575) | 4,055 |
NET LOSS | (2,109,935) | (1,666,079) |
NET LOSS (INCOME) ATTRIBUTABLE TO NON-CONTROLLING INTERESTS | 7,950 | (20,820) |
NET LOSS ATTRIBUTABLE TO AGAPE ATP CORPORATION | (2,101,985) | (1,686,899) |
NET LOSS | (2,109,935) | (1,666,079) |
OTHER COMPREHENSIVE INCOME (LOSS) | ||
Foreign currency translation adjustment | 20,949 | (84,132) |
TOTAL COMPREHENSIVE LOSS | (2,088,986) | (1,750,211) |
Less: Comprehensive loss (income) attributable to non-controlling interests | 8,734 | (20,849) |
COMPREHENSIVE LOSS ATTRIBUTABLE TO AGAPE ATP CORPORATION | $ (2,080,252) | $ (1,771,060) |
LOSS PER SHARE | ||
LOSS PER SHARE - basic | $ (0.03) | $ (0.02) |
LOSS PER SHARE - diluted | $ (0.03) | $ (0.02) |
WEIGHTED AVERAGE NUMBER OF COMMON SHARES OUTSTANDING | ||
WEIGHTED AVERAGE NUMBER OF COMMON SHARES OUTSTANDING - basic | 75,814,507 | 87,822,337 |
WEIGHTED AVERAGE NUMBER OF COMMON SHARES OUTSTANDING - diluted | 75,814,507 | 87,822,337 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Stockholders' Equity - USD ($) | Common Stock [Member] | Treasury Stock, Common [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | AOCI Attributable to Parent [Member] | Noncontrolling Interest [Member] | Total |
Balance at Dec. 31, 2021 | $ 29,046 | $ 6,449,215 | $ (3,258,687) | $ 93,398 | $ (336) | $ 3,312,636 | |
Balance, shares at Dec. 31, 2021 | 290,460,047 | ||||||
Forfeiture of common stock | $ (21,501) | 21,501 | |||||
Forfeiture of common stock, shares | (215,008,035) | ||||||
Net loss | (1,686,899) | 20,820 | (1,666,079) | ||||
Foreign currency translation adjustment | (84,132) | 29 | (84,103) | ||||
Balance at Dec. 31, 2022 | $ 7,545 | 6,470,716 | (4,945,586) | 9,266 | 20,513 | 1,562,454 | |
Balance, shares at Dec. 31, 2022 | 75,452,012 | ||||||
Net loss | (2,101,985) | (7,950) | (2,109,935) | ||||
Foreign currency translation adjustment | 20,949 | (784) | 20,165 | ||||
Issuance of shares | $ 166 | 5,002,154 | 5,002,320 | ||||
Issuance of shares, shares | 1,650,000 | ||||||
Shares repurchased | $ (14) | (94,127) | (94,141) | ||||
Shares repurchased, shares | (135,300) | ||||||
Balance at Dec. 31, 2023 | $ 7,711 | $ (14) | $ 11,378,743 | $ (7,047,571) | $ 30,215 | $ 11,779 | $ 4,380,863 |
Balance, shares at Dec. 31, 2023 | 77,102,012 | (135,300) |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ||
Net loss | $ (2,109,935) | $ (1,666,079) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Depreciation of property and equipment | 70,337 | 71,754 |
Amortization of intangible assets | 5,645 | 2,122 |
Gain on disposal of office equipment | (1,753) | |
Amortization of operating right-of-use assets | 147,212 | 144,064 |
Unrealized holding (gain) loss on marketable securities | (3,493) | 73,519 |
Provision for credit losses | 29,955 | |
Deferred tax benefit | (220) | (14,751) |
Inventory write-down | 5,307 | |
Changes in operating assets and liabilities: | ||
Accounts receivables | (53,641) | (2,824) |
Amount due from related parties | (995) | (3,786) |
Inventories | (3,216) | 343,483 |
Prepaid taxes | 305,567 | 263,404 |
Prepayments and deposits | (34,532) | 61,500 |
Other receivables | 8,961 | 27,613 |
Accounts payable | 28,109 | 15,825 |
Accounts payable – related parties | 10,347 | 25,597 |
Customer deposits | (248,299) | 94,877 |
Operating lease liabilities | (147,951) | (145,197) |
Other payables and accrued liabilities | 3,485 | (119,963) |
Other payables – related parties | 3,185 | 4,878 |
Income tax payables | (10,591) | 6,974 |
Net cash used in operating activities | (2,001,823) | (811,683) |
CASH FLOWS FROM INVESTING ACTIVITIES: | ||
Purchase of property and equipment | (52,320) | (9,433) |
Proceeds from disposal of office equipment | 35,069 | |
Purchase of intangible assets | (22,686) | |
Net cash used in investing activities | (17,251) | (32,119) |
CASH FLOWS FROM FINANCING ACTIVITIES: | ||
Deferred offering costs | (234,466) | |
Shares repurchased | (93,889) | |
Payment of finance lease liabilities | (9,594) | |
Net proceeds from issuance of common stock | 5,501,520 | |
Net cash provided by (used in) financing activities | 5,398,037 | (234,466) |
EFFECT OF EXCHANGE RATE ON CASH AND CASH EQUIVALENTS | 15,067 | (81,150) |
INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS | 3,394,030 | (1,159,418) |
CASH AND CASH EQUIVALENTS, beginning of year | 1,438,430 | 2,597,848 |
CASH AND CASH EQUIVALENTS, end of year | 4,832,460 | 1,438,430 |
SUPPLEMENTAL CASH FLOWS INFORMATION | ||
Income taxes paid | 34,844 | 78,511 |
Refund of prepaid tax | 326,024 | |
SUPPLEMENTAL NON-CASH FLOWS INFORMATION | ||
Motor vehicle acquired through finance lease | 78,824 | |
Operating lease right-of-use assets obtained in exchange for lease liabilities | $ 428,523 |
ORGANIZATION AND BUSINESS BACKG
ORGANIZATION AND BUSINESS BACKGROUND | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
ORGANIZATION AND BUSINESS BACKGROUND | 1. ORGANIZATION AND BUSINESS BACKGROUND Agape ATP Corporation, a Nevada corporation (“the Company”) was incorporated under the laws of the State of Nevada on June 1, 2016. Agape ATP Corporation operates through its subsidiaries, namely, Agape ATP Corporation (“AATP LB”), a company incorporated in Labuan, Malaysia, and Agape Superior Living Sdn. Bhd. (“ASL”), a company incorporated in Malaysia. Agape ATP Corporation, incorporated in Labuan, Malaysia, is an investment holding company with 100 On May 8, 2020, the Company entered into a Share Exchange Agreement with Mr. How Kok Choong, CEO and director of the Company to acquire 9,590,596 99.99 Agape Superior Living Sdn. Bhd. is a limited company incorporated on August 8, 2003, under the laws of Malaysia. On September 11, 2020, the Company incorporated Wellness ATP International Holdings Sdn, Bhd. (“WATP”), a wholly owned subsidiary under the laws of Malaysia, to pursue the business of promoting wellness and wellbeing lifestyle of the community by providing services that includes online editorials, programs, events and campaigns on how to achieve positive wellness and lifestyle. On November 11, 2021, Agape ATP Corporation (Labuan) formed a joint-venture entity, DSY Wellness International Sdn. Bhd. (“DSY Wellness”) with an independent third party which Agape ATP Corporation (Labuan) owns 60 The Company and its subsidiaries are principally engaged in the Health and Wellness Industry. The principal activity of the Company is to supply high-quality health and wellness products, including supplements to assist in cell metabolism, detoxification, blood circulation, anti-aging and products designed to improve the overall health system of the human body and various wellness programs. The accompanying consolidated financial statements reflect the activities of the Company, AATP LB, AATP HK, WATP, ASL and its variable interest entity (“VIE”), Agape S.E.A. Sdn. Bhd. (“SEA”) (See Note 3), and DSY Wellness. Details of the Company’s subsidiaries: SCHEDULE OF SUBSIDIARIES AND ASSOCIATES Subsidiary company name Place and date of incorporation Particulars of issued capital Principal activities Proportional of ownership interest and voting power held 1. Agape ATP Corporation Labuan, 100 shares of ordinary share of US$1 each Investment holding 100 % 2. Agape ATP International Holding Limited Hong Kong, 1,000,000 shares of ordinary share of HK$1 each Wholesaling of health and wellness products; and health solution advisory services 100 % 3. Agape Superior Living Sdn. Bhd. Malaysia, 9,590,598 shares of ordinary share of RM1 each Health and wellness products and health solution advisory services via network marketing 99.99 % 4. Agape S.E.A. Sdn. Bhd. Malaysia, 2 shares of ordinary share of RM1 each VIE of Agape Superior Living Sdn. Bhd. VIE 5. Wellness ATP International Holdings Sdn, Bhd Malaysia, 100 shares of ordinary share of RM1 each The promotion of wellness and wellbeing lifestyle of the community by providing services that includes online editorials, programs, events and campaigns 100 % 6. DSY Wellness International Sdn Bhd. Malaysia, 1,000 shares of ordinary share of RM1 each Provision of complementary health therapies 60 % AGAPE ATP CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Currency expressed in United States Dollars (“US$”), except for number of shares) 1. ORGANIZATION AND BUSINESS BACKGROUND (CONT’D) Business Overview Agape ATP Corporation is a company that provides health and wellness products and health solution advisory services to our clients. The Company primarily focus its efforts on attracting customers in Malaysia. Its advisory services center on the “ATP Zeta Health Program”, which is a health program designed to effectively prevent diseases caused by polluted environments, unhealthy dietary intake and unhealthy lifestyles, and promotion of health. The program aims to promote improved health and longevity in our clients through a combination of modern medicine, proper nutrition and advice from skilled nutritionists and/or dieticians. In order to strengthen the Company’s supply chain, on May 8, 2020, the Company has successfully acquired approximately 99.99 Via ASL, the Company offers four series of programs which consist of different services and products: ATP Zeta Health Program, ÉNERGÉTIQUE, BEAUNIQUE and E.A.T.S. The ATP Zeta Health Program is a health program designed to promote health and general wellbeing designed to prevent health diseases caused by polluted environments, unhealthy dietary intake and unhealthy lifestyles. The program aims to promote improved health and longevity through a combination of modern health supplements, proper nutrition and advice from skilled dieticians as well as trained members and distributors. The ÉNERGÉTIQUE series aims to provide a total dermal solution for a healthy skin beginning from the cellular level. The series is comprised of the Energy Mask series, Hyaluronic Acid Serum and Mousse Facial Cleanser. The BEAUNIQUE product series focuses on the research of our diet’s impact on modifying gene expressions in order to address genetic variations and deliver a nutrigenomic solution for every individual. The Easy and Tasty Series (E.A.T.S) is crafted to bring nutritious lifestyle in convenient approach to maintain healthy living. The Company deems creating public awareness on wellness and wellbeing lifestyle as essential to enhance the provision of its health solution advisory services; and therefore, incorporated WATP. Upon its establishment, WATP started collaborating with ASL to carry out various wellness programs. To further its reach in the Health and Wellness Industry, on November 11, 2021, Agape ATP Corporation (Labuan) formed a joint-venture entity, DSY Wellness International Sdn. Bhd. (“DSY Wellness”) with an independent third party which Agape ATP Corporation (Labuan) owns 60% of the equity interest, to pursue the business of providing complementary health therapies. The Company is positioning itself for sustainable growth by diversifying its operations into the domain of renewable energy. This initiative is founded upon our commitment to environmental responsibility, long-term value creation, and proactive adaptation to global energy trends. On January 3, 2024, the Company formed a joint-venture entity, OIE ATPC Holdings (M) Sdn. Bhd. with OIE, which the Company and OIE each own 50 |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of presentation The accompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) for information pursuant to the rules and regulations of the Securities Exchange Commission (“SEC”). The consolidated financial statements include the financial statements of the Company, its subsidiaries and its VIE over which the Company exercises control and, where applicable, entities for which the Company has a controlling financial interest or is the primary beneficiary. All transactions and balances among the Company, its subsidiaries and its VIE have been eliminated upon consolidation. AGAPE ATP CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Currency expressed in United States Dollars (“US$”), except for number of shares) 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONT’D) Principles of consolidation Subsidiaries are those entities in which the Company, directly or indirectly, controls more than one half of the voting power; or has the power to govern the financial and operating policies, to appoint or remove the majority of the members of the board of directors, or to cast a majority of votes at the meeting of directors. A VIE is an entity that has either a total equity investment that is insufficient to permit the entity to finance its activities without additional subordinated financial support, or whose equity investors lack the characteristics of a controlling financial interest, such as through voting rights, right to receive the expected residual returns of the entity or obligation to absorb the expected losses of the entity. The variable interest holder, if any, that has a controlling financial interest in a VIE is deemed to be the primary beneficiary and must consolidate the VIE. As of and for the year ended December 31, 2023, SEA, the only VIE of the Company has no significant operations. Use of estimates The preparation of consolidated 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 disclosures of contingent assets and liabilities as of the date of the consolidated financial statements and the reported amounts of revenues and expenses during the periods presented. Significant accounting estimates reflected in the Company’s consolidated financial statements include allowance for inventories obsolescence, impairment of long-lived assets, allowance for deferred tax assets, allowance for credit losses and the assumptions used in the valuation of the derivative financial instruments. Actual results could differ from these estimates. Cash and cash equivalents Cash and cash equivalents represent cash on hand, time deposits placed with banks or other financial institutions and all highly liquid investments with an original maturity of three months or less. Accounts receivable Accounts receivable are recorded at the invoiced amount less an allowance for any uncollectible accounts and do not bear interest, which are due on credit term. The carrying value of accounts receivable is reduced by an allowance that reflects the Company’s best estimate of the amounts that will not be collected. An allowance for credit losses is recorded in the period when a loss is probable based on an assessment of collectivity by reviewing accounts receivable on a collective basis where similar characteristics exist, primarily base on similar business line, service or product offerings and on an individual basis when the Company identifies specific customers with known disputes or collectivity issues. In determining the amount of the allowance for credit losses, the Company considers historical collectivity based on past due status, the age of the accounts receivable balances, credit quality of the Company’s customers based on ongoing credit evaluations, current economic conditions, reasonable and supportable forecasts of future economic conditions, and other factors that may affect the Company’s ability to collect from customers. Accounts receivable 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’s management continues to evaluate the reasonableness of the valuation allowance policy and update it if necessary. As of December 31, 2023 and December 31, 2022, the company recorded $ 542 0 AGAPE ATP CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Currency expressed in United States Dollars (“US$”), except for number of shares) 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONT’D) Inventories Inventories consist of finished goods and are stated at the lower of cost or net realizable value using the first-in first-out method. Management reviews inventory on hand for estimated obsolescence or unmarketable items, as compared to future demand requirements and the shelf life of the various products. Based on the review, the Company records inventory write-downs, when necessary, when costs exceed expected net realizable value. For the years ended December 31, 2023 and 2022, the Company recognized $ 0 5,307 10,899 142,466 Prepaid taxes Prepaid taxes include prepaid income taxes that will either be refunded or utilized to offset future income tax. Prepayments and deposits Prepayments and deposits are mainly cash deposited or advanced to suppliers for future inventory purchases or service providers for future services. This amount is refundable and bears no interest. For any prepayments and deposits determined by management that such advances will not be in receipts of inventories, services, or refundable, the Company will recognize an allowance account to reserve such balances. Management reviews its prepayments and deposits on a regular basis to determine if the allowance is adequate, and adjusts the allowance when necessary. Delinquent account balances are written-off against allowance for doubtful accounts after management has determined that the likelihood of collection is not probable. The Company’s management continues to evaluate the reasonableness of the allowance policy and update it if necessary. For the years ended December 31, 2023 and 2022, the Company wrote-off allowance for credit losses of $ 0 120,372 no Property and equipment, net Property and equipment are stated at cost less accumulated depreciation. Depreciation is computed using the straight-line method over the estimated useful lives of the assets with no residual value. The estimated useful lives are as follows: SCHEDULE OF ESTIMATED USEFUL LIVES OF PROPERTY AND EQUIPMENT Classification Useful Life Computer and office equipment 5 7 Furniture & fixtures 6 7 Motor vehicle 5 Leasehold improvements Shorter of the remaining lease term or the estimated useful life The cost and related accumulated depreciation of assets sold or otherwise retired are eliminated from the accounts and any gain or loss is included in the consolidated statements of income and comprehensive income. Expenditures for maintenance and repairs are charged to earnings as incurred, while additions, renewals and betterments, which are expected to extend the useful life of assets, are capitalized. The Company also re-evaluates the periods of depreciation to determine whether subsequent events and circumstances warrant revised estimates of useful lives. AGAPE ATP CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Currency expressed in United States Dollars (“US$”), except for number of shares) 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONT’D) Intangible assets, net Intangible assets, net, are stated at cost, less accumulated amortization. Amortization expense is recognized on the straight-line basis over the estimated useful lives of the assets as follows: SCHEDULE OF ESTIMATED USEFUL LIVES OF INTANGIBLE ASSETS, NET Classification Useful Life Computer software 5 Impairment for long-lived assets Long-lived assets, including property and equipment, and intangible assets with finite lives are reviewed for impairment whenever events or changes in circumstances (such as a significant adverse change to market conditions that will impact the future use of the assets) indicate that the carrying value of an asset may not be recoverable. The Company assesses the recoverability of the assets based on the undiscounted future cash flows the assets are expected to generate and recognize an impairment loss when estimated undiscounted future cash flows expected to result from the use of the asset plus net proceeds expected from disposition of the asset, if any, are less than the carrying value of the asset. If an impairment is identified, the Company would reduce the carrying amount of the asset to its estimated fair value based on a discounted cash flows approach or, when available and appropriate, to comparable market values. As of December 31, 2023 and 2022, no impairment of long-lived assets was recognized. Deferred offering costs The Company has netted off the deferred offering costs against the gross proceeds from the Company’s recent Public Offering. Investment in marketable securities The Company follows the provisions of ASU 2016-01, Financial Instruments – Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities AGAPE ATP CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Currency expressed in United States Dollars (“US$”), except for number of shares) 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONT’D) Customer deposits Customer deposits represent amounts advanced by customers on product orders and unapplied unexpired coupons. Customer deposits are reduced when the related sale is recognized in accordance with the Company’s revenue recognition policy. Revenue recognition On July 1, 2019, the Company adopted Accounting Standards Update (“ASU”) 2014-09, Revenue from Contracts with Customers (ASC Topic 606). The core principle underlying the revenue recognition of this ASU allows the Company to recognize - revenue that represents the transfer of goods and services to customers in an amount that reflects the consideration to which the Company expects to be entitled in such exchange. This will require the Company to identify contractual performance obligations and determine whether revenue should be recognized at a point in time or over time, based on when control of goods and services transfers to a customer. The Company’s revenue streams are recognized at a point in time for the Company’s sale of health and wellness products. The ASU requires the use of a five-step model to recognize revenue from customer contracts. The five-step model requires that the Company (i) identify the contract with the customer, (ii) identify the performance obligations in the contract, (iii) determine the transaction price, including variable consideration to the extent that it is probable that a significant future reversal will not occur, (iv) allocate the transaction price to the respective performance obligations in the contract, and (v) recognize revenue when (or as) the Company satisfies the performance obligation. The Company accounts for a contract with a customer when the contract is committed in writing, the rights of the parties, including payment terms, are identified, the contract has commercial substance and consideration is probable of substantially collection. Sales of Health and Wellness products - Performance obligations satisfied at a point in time The Company derives its revenues from sales contracts with its customers with revenues being recognized when control of the health and wellness products are transferred to its customer at the Company’s office or shipment of the goods. The revenue is recorded net of estimated discounts and return allowances. Products are given 60 days for returns or exchanges from the date of purchase. Historically, there were insignificant sales returns. Under the Company’s network marketing business, the Company issues product coupons to members and distributors when these customers made purchases above certain thresholds set by the Company. Depending on the type of product coupons issued, the coupons carry varying values and can be used by the customers for reduction in the transaction price of product purchases within the coupon validity period. The value of the product coupons issued is recorded as a reduction of the Company’s revenue account upon issuance; the corresponding amount credited to the customer deposits account. Amounts in customer deposits will be reversed when the coupons are used. The Company’s coupons have a validity period of between six and twelve months. If the Company’s customers did not utilize the coupons after the validity period, the Company would recognize the forfeiture of the originated sales value of the coupons as net revenues. For the years ended December 31, 2023 and 2022, the Company recognized $ 112,166 7,543 As of December 31, 2023, the Company had contracts for the sales of health and wellness products amounting to $ 12,442 Sales of products for the provision of complementary health therapies Products for the provision of complementary health therapies are predominantly Chinese herbs in different forms, processed or otherwise, for prescriptions for treating non-communicable diseases. AGAPE ATP CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Currency expressed in United States Dollars (“US$”), except for number of shares) 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONT’D) Provision of Health and Wellness services - Performance obligations satisfied at a point in time The Company carries out its Wellness program, where the Company’s products are bundled with health screening test and a health camp program. The health screening test and the health camp programs are considered as separate performance obligations. The promises to deliver the health screening test report and the attendance at the health camp are separately identifiable, which are evidenced by the fact that the Company provides separate services of delivering the health screening test report and allowing admission of the customers to attend the health camp. The Company based on the health screening test contracts with customers, establishes the selling price for the health screening test and place order to the health screening center. The Company obtains control of the test report before they are delivered to the customers. The Company analyze the test report, provides consultations to the customers, bundle it with the Company’s products and services depending on the customer’s needs. The Company also separately derives its revenues from sales contracts with its customers with revenues being recognized when the health camp program is completed in the final day of the health camp. For the years ended December 31, 2023 and 2022, revenues from providing health and wellness services are $ 250,786 145,510 Disaggregated information of revenues by products and services are as follows: SCHEDULE OF DIS-AGGREGATED INFORMATION OF REVENUES 2023 2022 For the years ended December 31, 2023 2022 Survivor Select $ 28,210 $ 122,470 Ionized Cal-Mag 119,021 148,219 Omega Blend 22,471 272,332 BetaMaxx 21,206 137,447 Iron 21,617 16,697 Young Formula - 31,403 ATPR Mito+ - 271,493 Energetique - 49,089 Trim+ 9,587 88,613 LIVO5 130,391 - Soy Protein Isolate Powder 24,271 - Mix Soy Protein Isolate Powder with Black Sesame 19,348 - Others – Products for the provision of complementary health therapies 782,436 569,823 Others 1,745 3,468 Total revenues – products 1,180,303 1,711,054 Health and Wellness services 250,785 145,510 Total revenues – products and services $ 1,431,088 $ 1,856,564 Total net sales include $ 17,912 183,816 AGAPE ATP CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Currency expressed in United States Dollars (“US$”), except for number of shares) 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONT’D) Cost of revenue Cost of revenue comprised freight-in, the purchase cost of manufactured goods for sale to customers and products for the provision of complementary health therapies. Cost of revenue amounted to $ 494,516 no 10,899 666,042 5,307 142,466 Shipping and handling Shipping and handling charges amounted to $ 5,039 16,585 Advertising costs Advertising costs amounted to $ 0 4,688 Commission expenses Commission expenses are the Company’s most significant expenses. As with all companies in the network marketing industry, the Company’s sales channel is external to the Company. The Company’s “external sales force” is stratified into two levels based on priority recruitment. First, there are sales distributors. Second, all members recruited by a sales distributor, directly or indirectly, are referred to as “sales network members”. The Company pays commission to every sales distributor based on purchases made by its sales network members which includes the independent direct sales members. Top performing distributors with their own physical stores may also become stockists of the Company, whereby they enjoy benefits such as maintaining a certain amount of the Company’s inventory on their store premises. The stockists shall account to the Company for all products sales from their store premises as monitored through the Company’s centralized stock tracking system. The Company pays a separate commission to stockists based on revenue generated from the stockists’ physical stores. Commission expenses amounted to $ 88,132 405,351 Defined contribution plan The full-time employees of the Company are entitled to the government mandated defined contribution plan. The Company is required to accrue and pay for these benefits based on certain percentages of the employees’ respective salaries, subject to certain ceilings, in accordance with the relevant government regulations, and make cash contributions to the government mandated defined contribution plan. Total expenses for the plans were $ 158,143 133,489 The related contribution plans include: - Social Security Organization (“SOSCO”) – 1.75 5,000 - Employees Provident Fund (“EPF”) –based on employee’s monthly salary, 13 5,000 12 5,001 - Employment Insurance System (“EIS”) – 0.2 5,000 - Human Resource Development Fund (“HRDF”) – 1 AGAPE ATP CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Currency expressed in United States Dollars (“US$”), except for number of shares) 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONT’D) Income taxes The Company accounts for income taxes in accordance with U.S. GAAP for income taxes. The charge for taxation is based on the results for the fiscal year as adjusted for items, which are non-assessable or disallowed. It is calculated using tax rates that have been enacted or substantively enacted by the balance sheet date. Deferred taxes is accounted for using the asset and liability method in respect of temporary differences arising from differences between the carrying amount of assets and liabilities in the consolidated financial statements and the corresponding tax basis used in the computation of assessable tax profit. In principle, deferred tax liabilities are recognized for all taxable temporary differences. Deferred tax assets are recognized to the extent that it is probable that taxable profit will be available against which deductible temporary differences can be utilized. Deferred tax is calculated using tax rates that are expected to apply to the period when the asset is realized or the liability is settled. Deferred tax is charged or credited in the income statement, except when it is related to items credited or charged directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion or all of the deferred tax assets will not be realized. Current income taxes are provided for in accordance with the laws of the relevant taxing authorities. An uncertain tax position is recognized as a benefit only if it is “more likely than not” that the tax position would be sustained in a tax examination, with a tax examination being presumed to occur. The amount recognized is the largest amount of tax benefit that is greater than 50% likely of being realized on examination . For tax positions not meeting the “more likely than not” test, no tax benefit is recorded. Penalties and interest incurred related to underpayment of income tax are classified as income tax expense in the period incurred No penalties and interest incurred related to underpayment of income tax for the years ended December 31, 2023 and 2022, respectively. The Company conducts much of its business activities in Hong Kong and Malaysia and is subject to tax in each of their jurisdictions. As a result of its business activities, the Company will file separate tax returns that are subject to examination by the foreign tax authorities. Comprehensive income (loss) Comprehensive income (loss) consists of two components, net income (loss) and other comprehensive income (loss). Net income (loss) refers to revenue, expenses, gains and losses that under GAAP are recorded as an element of stockholders’ equity but are excluded from net income. Other comprehensive income (loss) consists of a foreign currency translation adjustment resulting from the Company not using the U.S. dollar as its functional currencies. Non-controlling interest Non-controlling interest consists of 40% of the equity interests of DSY Wellness held by an individual and approximately 0.01% (3 ordinary shares out of 9,590,599 shares) of the equity interests of ASL held by three individuals AGAPE ATP CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Currency expressed in United States Dollars (“US$”), except for number of shares) 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONT’D) Earnings (loss) per share The Company computes earnings (loss) per share (“EPS”) in accordance with ASC 260, “Earnings per Share”. ASC 260 requires companies to present basic and diluted EPS. Basic EPS is measured as net income divided by the weighted average ordinary share outstanding for the period. Diluted EPS presents the dilutive effect on a per share basis of the potential ordinary shares (e.g., convertible securities, options and warrants) as if they had been converted at the beginning of the periods presented, or issuance date, if later. Potential ordinary shares that have an anti-dilutive effect (i.e., those that increase income per share or decrease loss per share) are excluded from the calculation of diluted EPS. For the years ended December 31, 2023 and 2022, there were no Foreign currencies translation and transaction 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 transaction. Monetary assets and liabilities denominated in currencies other than the functional currency are translated into the functional currency using the applicable exchange rates at the balance sheet dates. The resulting exchange differences are recorded in the consolidated statements of operations and comprehensive income (loss). The reporting currency of the Company is United States Dollars (“US$”) and the accompanying financial statements have been expressed in US$. The Company’s subsidiary in Labuan maintains its books and record in United States Dollars (“US$”) albeit its functional currency being the primary currency of the economic environment in which the entity operates, which is the Malaysian Ringgit (“MYR” or “RM”). The Company’s subsidiary in Hong Kong maintains its books and record in Hong Kong Dollars (“HK$”), similar to its functional currency. The Company’s subsidiary and VIE in Malaysia conducts its businesses and maintains its books and record in the local currency, Malaysian Ringgit (“MYR” or “RM”), as its functional currency. In general, for consolidation purposes, assets and liabilities of its subsidiaries whose functional currency is not US$ are translated into US$, in accordance with ASC Topic 830-30, “ Translation of Financial Statement” Translation of foreign currencies into US$1 have been made at the following exchange rates for the respective periods: SCHEDULE OF FOREIGN CURRENCIES TRANSLATION EXCHANGE RATES 2023 2022 As of December 31, 2023 2022 Period-end MYR : US$1 exchange rate 4.59 4.41 Period-end HKD : US$1 exchange rate 7.81 7.80 Foreign currency exchange rate, translation 7.81 7.80 2023 2022 For the years ended December 31, 2023 2022 Period-average MYR : US$1 exchange rate 4.56 4.41 Period-average HKD : US$1 exchange rate 7.83 7.83 Foreign currency exchange rate period average 7.83 7.83 AGAPE ATP CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Currency expressed in United States Dollars (“US$”), except for number of shares) 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONT’D) Related parties Parties, which can be a corporation or individual, are considered to be related if the Company has the ability, directly or indirectly, to control the other party or exercise significant influence over the other party in making financial and operating decisions. Companies are also considered to be related if they are subject to common control or common significant influence. Fair value of financial instruments The accounting standard regarding fair value of financial instruments and related fair value measurements defines financial instruments and requires disclosure of the fair value of financial instruments held by the Company. The accounting standards define fair value, establish a three-level valuation hierarchy for disclosures of fair value measurement and enhance disclosure requirements for fair value measures. The three levels are defined as follow: ● Level 1 inputs to the valuation methodology are quoted prices (unadjusted) for identical assets or liabilities in active markets. ● Level 2 inputs to the valuation methodology include quoted prices for similar assets and liabilities in active markets, and inputs that are observable for the assets or liability, either directly or indirectly, for substantially the full term of the financial instruments. ● Level 3 inputs to the valuation methodology are unobservable and significant to the fair value. Financial instruments included in current assets and current liabilities are reported in the consolidated balance sheets at face value or cost, which approximate fair value because of the short period of time between the origination of such instruments and their expected realization and their current market rates of interest. Leases The Company adopted ASU 2016-02, “Leases” (Topic 842), and elected the practical expedients that does not require the Company to reassess: (1) whether any expired or existing contracts are, or contain, leases, (2) lease classification for any expired or existing leases and (3) initial direct costs for any expired or existing leases. For lease terms of twelve months or fewer, a lessee is permitted to make an accounting policy election not to recognize lease assets and liabilities. The Company also adopts the practical expedient that allows lessees to treat the lease and non-lease components of a lease as a single lease component. Some of the Company’s leases include one or more options to renew, which is typically at the Company’s sole discretion. The Company regularly evaluates the renewal options, and, when it is reasonably certain of exercise, it will include the renewal period in its lease term. New lease modifications result in re-measurement of the right of use (“ROU”) assets and lease liabilities. Operating ROU assets and lease liabilities are recognized at the commencement date, based on the present value of lease payments over the lease term. Since the implicit rate for the Company’s leases is not readily determinable, the Company use its incremental borrowing rate based on the information available at the commencement date in determining the present value of lease payments. The incremental borrowing rate is the rate of interest that the Company would have to pay to borrow, on a collateralized basis, an amount equal to the lease payments, in a similar economic environment and over a similar term. AGAPE ATP CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Currency expressed in United States Dollars (“US$”), except for number of shares) 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONT’D) Lease terms used to calculate the present value of lease payments generally do not include any options to extend, renew, or terminate the lease, as the Company does not have reasonable certainty at lease inception that these options will be exercised. The Company generally considers the economic life of its operating lease ROU assets to be comparable to the useful life of similar owned assets. The Company has elected the short-term lease exception, therefore operating lease ROU assets and liabilities do not include leases with a lease term of twelve months or less. Its leases generally do not provide a residual guarantee. The operating lease ROU asset also excludes lease incentives. Lease expense is recognized on a straight-line basis over the lease term. The Company reviews the impairment of its ROU assets consistent with the approach applied for its other long-lived assets. The Company reviews the recoverability of its long-lived assets when events or changes in circumstances occur that indicate that the carrying value of the asset may not be recoverable. The assessment of possible impairment is based on its ability to recover the carrying value of the asset from the expected undiscounted future pre-tax cash flows of the related operations. The Company has elected to include the carrying amount of operating lease liabilities in any tested asset group and includes the associated operating lease payments in the undiscounted future pre-tax cash flows. Derivative financial instruments Derivative financial instruments consist of financial instruments that contain a notional amount and one or more underlying variables such as interest rate, security price, variable conversion rate or other variables, require no initial new investment and permit net settlement. The derivative financial instruments may be free-standing or embedded in other financial instruments. The Company evaluates its financial instruments to determine if such instruments are derivatives or contain features that qualify as embedded derivatives. The Company based on the terms of the warrant agreement to determine the warrants as equity instruments or derivative liabilities. The Company follows the provision of ASC 815, Derivatives and Hedging for derivative financial instruments that are classified as equity instruments, the contracts are initially measured at fair value and no subsequent measurement is required for equity instruments. The Company uses Black-Scholes Model to calculate the fair value of the warrant. Reclassification Certain items of other receivable and prepayments and deposits in the consolidated balance sheet of comparative period have been reclassified to conform to the consolidated financial statements for the current period. The reclassifications have no impact on net loss. Recent accounting pronouncements The Company has reviewed all recently issued, but not yet effective, considers the applicability and impact of all accounting standards updates (“ASUs”). Management periodically reviews new accounting standards that are issued. In March 2023, the FASB issued ASU No. 2023-01 “Leases (Topic 842) Common Control Arrangements”. This ASU provides guidance in ASC Topic 842 that Leasehold improvements associated with common control leases should be (i) amortized by the lessee over the useful life of the leasehold improvements to the common control group, regardless of the lease term, as long as the lessee controls the use of the underlying asset through a lease, and (ii) accounted for as a transfer between entities under common control through an adjustment to equity if and when the lessee no longer controls the use of the underlying asset. The ASU 2023-01 is effective for reporting periods beginning after December 15, 2023. Early adoption is permitted for both interim and annual financial statements that have not yet been issued. When adopted in an interim period, it must be adopted from the beginning of the year that includes that interim period. The Company is currently evaluating the impact of this ASU may have on its consolidated fi |
VARIABLE INTEREST ENTITY (_VIE_
VARIABLE INTEREST ENTITY (“VIE”) | 12 Months Ended |
Dec. 31, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
VARIABLE INTEREST ENTITY (“VIE”) | 3. VARIABLE INTEREST ENTITY (“VIE”) SEA is a trading company incorporated on March 4, 2004, under the laws of Malaysia. SEA provided majority of ASL’s purchases. Its equity at risk was insufficient to finance its activities and 100 a. The power to direct the activities of the VIE that most significantly impact the VIE’s economic performance; and b. The obligation to absorb losses of the VIE that could potentially be significant to the VIE or the right to receive benefits from the VIE that could potentially be significant to the VIE. Accordingly, the accounts of SEA is consolidated in the accompanying financial statements. AGAPE ATP CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Currency expressed in United States Dollars (“US$”), except for number of shares) 3. VARIABLE INTEREST ENTITY (“VIE”) (CONT’D) The carrying amount of the VIE’s assets and liabilities were as follows: SCHEDULE OF VARIABLE INTEREST ENTITY 2023 2022 As of December 31, 2023 2022 Current assets $ 1,799 $ 3,350 Current liabilities (899 ) (43,512 ) Net asset (deficit) $ 900 $ (40,162 ) 2023 2022 As of December 31, 2023 2022 Current assets: Cash $ 122 $ 1,609 Prepayment and deposits 7 - Prepaid taxes 1,670 1,741 Total current assets $ 1,799 $ 3,350 Current liabilities: Accounts payable – intercompany $ - $ 42,422 Other payables and accrued liabilities 899 1,090 Total current liabilities $ 899 $ 43,512 Net asset (deficit) $ 900 $ (40,162 ) The summarized operating results of the VIE’s are as follows: 2023 2022 For the years ended December 31, 2023 2022 Operating revenues $ - $ - Gross profit $ - $ - Profit (loss) from operations $ 39,687 $ (9,432 ) Net profit (loss) $ 39,687 $ (9,432 ) |
CASH AND CASH EQUIVALENTS
CASH AND CASH EQUIVALENTS | 12 Months Ended |
Dec. 31, 2023 | |
Cash and Cash Equivalents [Abstract] | |
CASH AND CASH EQUIVALENTS | 4. CASH AND CASH EQUIVALENTS As of December 31, 2023 and 2022 the Company had $ 4,832,460 1,438,430 494,771 513,152 4,322,441 914,811 1.21 2.56 4,630,476 231,187 AGAPE ATP CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Currency expressed in United States Dollars (“US$”), except for number of shares) |
ACCOUNTS RECEIVABLE, NET
ACCOUNTS RECEIVABLE, NET | 12 Months Ended |
Dec. 31, 2023 | |
Receivables [Abstract] | |
ACCOUNTS RECEIVABLE, NET | 5. ACCOUNTS RECEIVABLE, NET SCHEDULE OF ACCOUNTS RECEIVABLES 2023 2022 As of December 31, 2023 2022 Accounts receivable $ 56,000 $ 2,826 Allowance for credit losses (542 ) - Total $ 55,458 $ 2,826 Movements of allowance for credit losses are as follows: SCHEDULE OF ALLOWANCE FOR CREDIT LOSSES 2023 2022 For the years ended December 31, 2023 2022 Beginning balance $ - $ - Addition 546 - Exchange rate effect (4 ) - Ending balance $ 542 $ - |
INVENTORIES
INVENTORIES | 12 Months Ended |
Dec. 31, 2023 | |
Inventory Disclosure [Abstract] | |
INVENTORIES | 6. INVENTORIES Inventories consist of the following: SCHEDULE OF INVENTORIES 2023 2022 As of December 31, 2023 2022 Finished goods $ 47,907 $ 46,277 For the years ended December 31, 2023 and 2022, the Company recognized $ 0 5,307 10,899 142,466 |
PREPAYMENTS AND DEPOSITS
PREPAYMENTS AND DEPOSITS | 12 Months Ended |
Dec. 31, 2023 | |
Prepayments And Deposits | |
PREPAYMENTS AND DEPOSITS | 7. PREPAYMENTS AND DEPOSITS SCHEDULE OF PREPAID EXPENSES AND DEPOSITS As of December 31, 2023 2022 Prepaid expenses $ 123,809 $ 39,056 Deposits to suppliers 91,997 147,504 Total $ 215,806 $ 186,560 Movements of allowance for credit losses are as follows: SCHEDULE OF CHANGES IN ALLOWANCE FOR DOUBTFUL ACCOUNTS For the years ended December 31, 2023 2022 Beginning balance $ - $ 121,095 Write off - (120,372 ) Exchange rate effect - (723 ) Ending balance $ - $ - AGAPE ATP CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Currency expressed in United States Dollars (“US$”), except for number of shares) |
PROPERTY AND EQUIPMENT, NET
PROPERTY AND EQUIPMENT, NET | 12 Months Ended |
Dec. 31, 2023 | |
Property, Plant and Equipment [Abstract] | |
PROPERTY AND EQUIPMENT, NET | 8. PROPERTY AND EQUIPMENT, NET Property and equipment, net consist of the following: SCHEDULE OF PROPERTY AND EQUIPMENT, NET 2023 2022 As of December 31, 2023 2022 Computer and office equipment $ 91,947 $ 87,428 Furniture & fixtures 111,164 115,789 Motor vehicle 89,729 93,535 Leasehold improvements 184,155 191,965 Subtotal 476,995 488,717 Property plant and equipment, gross 476,995 488,717 Less: accumulated depreciation (399,137 ) (346,568 ) Total $ 77,858 $ 142,149 Property plant and equipment, net $ 77,858 $ 142,149 Depreciation expense for the years ended December 31, 2023 and 2022 amounted to $ 70,337 71,754 |
INTANGIBLE ASSETS, NET
INTANGIBLE ASSETS, NET | 12 Months Ended |
Dec. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
INTANGIBLE ASSETS, NET | 9. INTANGIBLE ASSETS, NET Intangible assets, net, consist of the following: SCHEDULE OF INTANGIBLE ASSETS, NET 2023 2022 As of December 31, 2023 2022 Computer software $ 53,095 $ 55,348 Less: accumulated amortization (35,637 ) (31,304 ) Total $ 17,458 $ 24,044 Amortization expense for the years ended December 31, 2023 and 2022 amounted to $ 5,645 2,122 |
INVESTMENT IN MARKETABLE SECURI
INVESTMENT IN MARKETABLE SECURITIES | 12 Months Ended |
Dec. 31, 2023 | |
Investment In Marketable Securities | |
INVESTMENT IN MARKETABLE SECURITIES | 10. INVESTMENT IN MARKETABLE SECURITIES (i) On May 17, 2018, the Company purchased 83,333 500,000 6 (ii) On July 30, 2018, the Company disposed 20 125 6.2613 (iii) On October 16, 2018, the Company purchased 33,333 1,000 0.03 (iv) On July 19, 2022, Greenpro Capital Corp. filed a certificate of change with the Secretary of State of Nevada to effect a reverse split of the company’s common stock at the ratio of 10-for-1 effective July 28, 2022. Under the reverse stock split, each 10 pre-split share of common stock outstanding will automatically combine into 1 new share of common stock of the company. As at July 28, 2022, the Company has an investment of 116,646 116,646 11,665 (v) On November 3, 2020, the Company received dividend of 6,667 76,671 11.50 (vi) On December 9, 2020, the Company received dividend of 16,663 83,315 5 (vii) On September 27, 2021, the Company received dividend of 11,665 18,874 1.62 (viii) On April 3, 2019, the Company purchased a 5 15,000,000 1,500 0.0001 100 57,500 1,500 AGAPE ATP CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Currency expressed in United States Dollars (“US$”), except for number of shares) 10. INVESTMENT IN MARKETABLE SECURITIES (CONT’D) SCHEDULE OF INVESTMENT IN MARKETABLE SECURITIES 2023 2022 As of December 31, 2023 2022 Cost of investment $ 16,687 $ 89,001 Transfer from non-marketable security - 1,500 Unrealized holding gain (loss) 3,493 (73,519 ) Exchange rate effect (9 ) (295 ) Investment in marketable securities $ 20,171 $ 16,687 |
INVESTMENT IN NON-MARKETABLE SE
INVESTMENT IN NON-MARKETABLE SECURITIES | 12 Months Ended |
Dec. 31, 2023 | |
Investment In Non-marketable Securities | |
INVESTMENT IN NON-MARKETABLE SECURITIES | 11. INVESTMENT IN NON-MARKETABLE SECURITIES On April 3, 2019, the Company purchased a 5 15,000,000 1,500 0.0001 SCHEDULE OF INVESTMENT IN NON MARKETABLE SECURITIES 2023 2022 As of December 31, Phoenix Plus Corporation 2023 2022 Cost of investment $ - $ 1,500 Less: Transfer to investment in marketable securities - (1,500 ) Investment in non-marketable securities - - |
CUSTOMER DEPOSITS
CUSTOMER DEPOSITS | 12 Months Ended |
Dec. 31, 2023 | |
Customer Deposits | |
CUSTOMER DEPOSITS | 12. CUSTOMER DEPOSITS SCHEDULE OF CUSTOMER DEPOSITS 2023 2022 As of December 31, 2023 2022 Customer deposits $ 100,540 $ 289,487 Unexpired product coupons 1,035 73,531 Total $ 101,575 $ 363,018 Customer deposits represent amounts advanced by customers on product orders and unexpired product coupons issued to the Company’s members and distributors of its network marketing business. |
OTHER PAYABLES AND ACCRUED LIAB
OTHER PAYABLES AND ACCRUED LIABILITIES | 12 Months Ended |
Dec. 31, 2023 | |
Other Liabilities Disclosure [Abstract] | |
OTHER PAYABLES AND ACCRUED LIABILITIES | 13. OTHER PAYABLES AND ACCRUED LIABILITIES SCHEDULE OF OTHER PAYABLES AND ACCRUED LIABILITIES 2023 2022 As of December 31, 2023 2022 Professional fees $ 348,664 $ 324,629 Promotion expenses 47,995 38,583 Payroll 26,104 21,164 Amounts held in eWallets 185,137 216,049 Tax penalty 75,000 75,000 Others 43,161 37,852 Total $ 726,061 $ 713,277 The Company requires all members and distributors of its network marketing business to maintain an electronic wallet (eWallet) account with the Company. The eWallet is primarily for the crediting of any commission payment that falls below RM 100 100 100 AGAPE ATP CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Currency expressed in United States Dollars (“US$”), except for number of shares) |
RELATED PARTY BALANCES AND TRAN
RELATED PARTY BALANCES AND TRANSACTIONS | 12 Months Ended |
Dec. 31, 2023 | |
Related Party Transactions [Abstract] | |
RELATED PARTY BALANCES AND TRANSACTIONS | 14. RELATED PARTY BALANCES AND TRANSACTIONS Related party balances Amount due from related parties SCHEDULE OF RELATED PARTIES As of December 31, Name of Related Party Relationship Nature 2023 2022 TH3 Holdings Sdn Bhd (“TH3”) Mr. How Kok Choong, the CEO and director of the Company is also a director of TH3 Prepayment of IT expenses $ 2,922 $ 1,273 SY Welltech Sdn Bhd (“Welltech”) (formerly known as DSY Beauty Sdn Bhd) The directors and shareholders of Welltech are related parties to Mr. Yap Foo Ching (Steve Yap), a director of DSY Wellness International Sdn Bhd Deposits for products purchases 8,171 9,261 Total $ 11,093 $ 10,534 Accounts payable – related parties As of December 31, Name of Related Party Relationship Nature 2023 2022 CTA Nutriceuticals (Asia) Sdn Bhd (“CTA”) The directors and shareholders of CTA are related parties to Mr. Yap Foo Ching (Steve Yap), a director of DSY International Wellness Sdn Bhd Purchases of products for the provision of complementary health therapies $ 30,439 $ 25,387 SY Welltech Sdn Bhd (“Welltech”) (formerly known as DSY Beauty Sdn Bhd) The directors and shareholders of Welltech are related parties to Mr. Yap Foo Ching (Steve Yap), a director of DSY Wellness International Sdn Bhd Purchases of beauty products 54 224 Mr. Chew Yi Zheng Mr. Chew Yi Zheng is the member of the immediate family of Mr. Yap Foo Ching (Steve Yap), the director of DSY Wellness International Sdn Bhd Render therapy and health consultation to customer 4,355 - Total $ 34,848 $ 25,611 AGAPE ATP CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Currency expressed in United States Dollars (“US$”), except for number of shares) 14. RELATED PARTY BALANCES AND TRANSACTIONS (CONT’D) Related party balances Other payable - related parties As of December 31, Name of Related Party Relationship Nature 2023 2022 CTA Nutriceuticals (Asia) Sdn Bhd (“CTA”) The directors and shareholders of CTA are related parties to Mr. Yap Foo Ching (Steve Yap), a director of DSY International Wellness Sdn Bhd Purchase of products for general use $ 570 $ 2,149 SY Welltech Sdn Bhd (“Welltech”) (formerly known as DSY Beauty Sdn Bhd) The directors and shareholders of Welltech are related parties to Mr. Yap Foo Ching (Steve Yap), a director of DSY Wellness International Sdn Bhd Purchase of products for general use 535 2,147 Mr. Yap Foo Ching (Steve Yap) Mr. Yap Foo Ching, the director of the DSY Wellness International Sdn Bhd Payment on behalf by Mr. Yap 6,534 - Mr. How Kok Choong Mr. How Kok Choong, the CEO and director of the Company Commission expense 207 584 Total $ 7,846 $ 4,880 Related party transactions Purchases For the years ended December 31, Name of Related Party Relationship Nature 2023 2022 CTA Nutriceuticals (Asia) Sdn Bhd (“CTA”) The directors and shareholders of CTA are related parties to Mr. Yap Foo Ching (Steve Yap), a director of DSY International Wellness Sdn Bhd Purchases of products for the provision of complementary health therapies $ 272,993 $ 198,376 SY Welltech Sdn Bhd (“Welltech”) (formerly known as DSY Beauty Sdn Bhd) The directors and shareholders of Welltech are related parties to Mr. Yap Foo Ching (Steve Yap), a director of DSY Wellness International Sdn Bhd Purchases of beauty products 18,516 3,975 DSY Wellness & Longevity Center Sdn Bhd (“DSYWLC”) Mr. Yap Foo Ching (Steve Yap), a director of DSY Wellness International Sdn Bhd is also a director of DSYWLC. Purchases of products for the provision of complementary health therapies - 124 Mr. Chew Yi Zheng Mr. Chew Yi Zheng is the member of the immediate family of Mr. Yap Foo Ching (Steve Yap), the director of DSY Wellness International Sdn Bhd Services acquired for therapy and health consultation to customer 4,355 - Total $ 295,864 $ 202,475 AGAPE ATP CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Currency expressed in United States Dollars (“US$”), except for number of shares) 14. RELATED PARTY BALANCES AND TRANSACTIONS (CONT’D) Related party transactions Other income For the years ended December 31, Name of Related Party Relationship Nature 2023 2022 Ando Design Sdn Bhd (“Ando”) Mr. How Kok Choong, the CEO and director of the Company is also the director of Ando. Rental income $ 2,630 $ - Redboy Pictures Sdn Bhd (“Redboy”) Mr. How Kok Choong, the CEO and director of the Company is also the director of Redboy. Rental income $ 5,260 $ - TH3 Holdings Sdn Bhd (“TH3”) Mr. How Kok Choong, the CEO and director of the Company is also a director of TH3 Rental income $ 460 $ - Total $ 8,350 $ - Other purchases For the years ended December 31, Name of Related Party Relationship Nature 2023 2022 CTA Nutriceuticals (Asia) Sdn Bhd (“CTA”) The directors and shareholders of CTA are related parties to Mr. Yap Foo Ching (Steve Yap), a director of DSY International Wellness Sdn Bhd Purchases of products for the provision of complementary health therapies $ 6,213 $ 5,431 SY Welltech Sdn Bhd (“Welltech”) (formerly known as DSY Beauty Sdn Bhd) The directors and shareholders of Welltech are related parties to Mr. Yap Foo Ching (Steve Yap), a director of DSY Wellness International Sdn Bhd Purchases of beauty products 7,282 6,888 DSY Wellness & Longevity Center Sdn Bhd (“DSYWLC”) Mr. Yap Foo Ching (Steve Yap), a director of DSY Wellness International Sdn Bhd is also a director of DSYWLC. Purchases of products for the provision of complementary health therapies 368 4 Total $ 13,863 $ 12,323 AGAPE ATP CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Currency expressed in United States Dollars (“US$”), except for number of shares) 14. RELATED PARTY BALANCES AND TRANSACTIONS (CONT’D) Related party transactions Commission expense For the years ended December 31, Name of Related Party Relationship Nature 2023 2022 Mr. How Kok Choong Mr. How Kok Choong, the CEO and director of the Company Commission expense $ 5,947 $ 16,590 Total $ 5,947 $ 16,590 Other expenses For the years ended December 31, Name of Related Party Relationship Nature 2023 2022 TH3 Holdings Sdn Bhd (“TH3”) Mr. How Kok Choong, the CEO and director of the Company is also a director of TH3 IT support services fee $ 54,956 $ 56,450 Redboy Picture Sdn Bhd (“Redboy”) Mr. How Kok Choong, the CEO and director of the Company is also the director of Redboy Sponsorship fee - 22,686 DSY Wellness & Longevity Center Sdn Bhd (“DSYWLC”) Mr. Yap Foo Ching (Steve Yap), a director of DSY Wellness International Sdn Bhd is also a director of DSYWLC. Office rental expenses 31,563 21,779 Total $ 86,519 $ 100,915 AGAPE ATP CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Currency expressed in United States Dollars (“US$”), except for number of shares) |
STOCKHOLDERS_ EQUITY
STOCKHOLDERS’ EQUITY | 12 Months Ended |
Dec. 31, 2023 | |
Equity [Abstract] | |
STOCKHOLDERS’ EQUITY | 15. STOCKHOLDERS’ EQUITY Preferred stock As of December 31, 2023 and 2022, there were 200,000,000 none Common stock As of December 31, 2023 and 2022, there were 1,000,000,000 77,102,012 75,452,012 In December 2021, there were share forfeiture agreements (the “ Share Forfeiture Agreements Forfeiting Shareholders 41,750,000 44,242,000 11,242,000 85,992,000 A share forfeiture agreement (the “Share Forfeiture Agreement”) dated January 20, 2022, between the Company and Mr. How Kok Choong, the CEO and director of the Company, pursuant to which Mr. How Kok Choong agreed to forfeit 215,008,035 215,008,035 Treasury Stock On November 22, 2023, the Company announced that the Board of Directors has authorized a share repurchase plan under which the Company may repurchase up to $ 1 40,300 95,000 25,696 68,445 Warrants On October 10, 2023, the Company entered into an underwriting agreement with Network 1 Financial Securities, Inc., as underwriter named thereof, in connection with its initial public offering (“IPO”) of 1,650,000 0.0001 4.00 115,500 4.40 The warrants are classified as equity instruments, the contracts are initially measured at fair value and no subsequent measurement is need for equity instruments. The Company uses Black-Scholes Model to calculate the fair value of the warrant. As of October 13, 2023 (the “Grant Date”) the warrant was valued at $ 38,580 SCHEDULE OF SHARE-BASED COMPENSATION ARRANGEMENTS BY SHARE-BASED PAYMENT AWARD As of October 13, 2023 Risk-free interest rate 4.65 % Expected volatility 49 % Expected life (in years) 5 Expected dividend yield 0.00 % Fair value of warrants $ 38,580 |
NON-CONTROLLING INTEREST
NON-CONTROLLING INTEREST | 12 Months Ended |
Dec. 31, 2023 | |
Noncontrolling Interest [Abstract] | |
NON-CONTROLLING INTEREST | 16. NON-CONTROLLING INTEREST The Company’s non-controlling interest consists of the following: SCHEDULE OF NON CONTROLLING INTEREST 2023 2022 As of December 31, 2023 2022 DSY Wellness: Paid-in capital $ 97 $ 97 Retained earnings 12,434 20,384 Accumulated other comprehensive income (expense) (752 ) 32 Noncontrolling interest gross 11,779 20,513 ASL - - Total $ 11,779 $ 20,513 AGAPE ATP CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Currency expressed in United States Dollars (“US$”), except for number of shares) |
INCOME TAXES
INCOME TAXES | 12 Months Ended |
Dec. 31, 2023 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | 17. INCOME TAXES The United States and foreign components of loss before income taxes were comprised of the following: SCHEDULE OF COMPONENTS OF INCOME/(LOSS) BEFORE INCOME TAX 2023 2022 For the years ended December 31, 2023 2022 Tax jurisdictions from: Local – United States $ (735,503 ) $ (736,946 ) Foreign – Malaysia (1,315,491 ) (864,794 ) Foreign – Hong Kong (55,366 ) (68,394 ) Foreign – Tax Jurisdictions (55,366 ) (68,394 ) Loss before income tax $ (2,106,360 ) $ (1,670,134 ) The (provision for) benefit of income taxes consisted of the following: SCHEDULE OF PROVISION FOR INCOME TAX 2023 2022 For the years ended December 31, 2023 2022 Current: - Local $ - $ - - Foreign (3,795 ) (10,962 ) Deferred: - Local - - - Foreign 220 15,017 Benefit of (Provision for) income taxes $ (3,575 ) $ 4,055 The effective tax rate in the periods presented is the result of the mix of income earned in various tax jurisdictions that apply a broad range of income tax rates. The Company and its subsidiary that operate in various countries: United States, Malaysia (including Labuan) and Hong Kong that are subject to taxes in the jurisdictions in which they operate, are as follows: United States of America Agape ATP Corporation was incorporated in the State of Nevada and is subject to the tax laws of the United States of America with a corporate tax rate of 21 21 In addition, the Tax Cuts and Jobs Act imposed a global intangible low-taxed income (“GILTI”) tax, which is a tax on certain off-shore earnings at an effective rate of 10.5% for tax years (50% deduction of the current enacted tax rate of 21%) with a partial offset for 80% foreign tax credits. If the foreign tax rate is 13.125% or higher, there will be no U.S. corporate tax after the 80% foreign tax credits are applied For the years ended December 31, 2023 and 2022, the Company’s foreign subsidiaries did not generate any income that were subject to Subpart F tax and GILTI tax. AGAPE ATP CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Currency expressed in United States Dollars (“US$”), except for number of shares) 17. INCOME TAXES (CONT’D) As of December 31, 2023 and 2022, the operations in the United States of America incurred approximately $ 2,093,000 1,357,000 440,000 285,000 As of December 31, 2023, the tax year from 2020 to 2023 remain open for examination in the United States of America. Malaysia Changes to the Labuan Business Activity Tax Act (LBATA) 1990 which was gazetted and came into operation on January 1, 2019 mandate companies incorporated in Labuan to satisfy the “substantial activity requirements” to qualify for the preferential tax rate of 3% on net audited profit. Subsequently, on April 29, 2020, a circular setting out revisions to the “substantial activity requirements” was issued. As Agape ATP Corporation did not maintain a permanent establishment in Labuan, and therefore did not satisfy the said requirements, the company was subjected to tax at 24% on its net audited profit. On June 11, 2021, Agape ATP Corporation made an irrevocable election to be taxed under the Malaysian Income Tax Act 1967 as the elected tax regime is more tax efficient to the entity compare to LBATA. Agape Superior Living Sdn Bhd, Agape S.E.A Sdn Bhd and Wellness ATP International Holdings Sdn Bhd. are governed by the income taxes laws of Malaysia and the income taxes provision in respect of operations in Malaysia is calculated at the applicable tax rates on the taxable income for the periods based on existing legislation, interpretations and practices in respect thereof. Under the Income Tax Act of Malaysia, enterprises that incorporated in Malaysia are usually subject to a unified 24% enterprise income taxes rate while preferential tax rates, tax holidays and even tax exemption may be granted on case-by-case basis. The tax rate for small and medium sized companies (generally companies incorporated in Malaysia with paid-in capital of RM 2,500,000 15 150,000 37,500 17 150,000 600,000 37,500 150,000 17 600,000 150,000 As of December 31, 2023 and 2022, the operations in the Malaysia incurred approximately $ 2,796,000 1,640,000 758,000 842,000 1,196,000 670,000 408,000 As of December 31, 2023, the tax year from 2018 to 2023 remain open for examination in Malaysia. In cases of fraud, wilful default or negligence, there is no limitation to the examination period. Hong Kong Agape ATP International Holding (HK) Limited is subject to Hong Kong Profits Tax, which is charged at the statutory income rate of 16.5 AGAPE ATP CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Currency expressed in United States Dollars (“US$”), except for number of shares) 17. INCOME TAXES (CONT’D) The following table reconciles the Malaysia statutory rates to the Company’s effective tax rate for the periods indicated below: SCHEDULE OF EFFECTIVE INCOME TAX RATE 2023 2022 For the years ended December 31, 2023 2022 Malaysia statutory tax rate * 24.00 % 24.0 % Valuation allowance (20.23 )% (25.9 )% Differential of local statutory tax rate (1.55 )% 1.0 % Permanent difference (2.39 )% (1) 1.2 % (1) Effective tax rate (0.17 )% 0.3 % * As the Company business operation mainly concentrated in Malaysia, the Company determined to apply Malaysia statutory tax rate in reconciliation of the statutory tax rate to the effective tax rate. (1) The amount comprised: Expenses incurred in AATP LB, ASL, SEA and WATP that are not deductible in the Malaysia tax return. (1) The amount comprised: Being expenses incurred in AATP LB, ASL, SEA and WATP that are not deductible in the Malaysia tax return. The following table sets forth the significant components of the aggregate deferred tax assets of the Company as of: SCHEDULE OF DEFERRED TAX ASSETS 2023 2022 As of December 31, 2023 2022 Deferred tax assets: Net operating loss carry forwards in U.S. $ 439,492 $ 284,959 Net operating loss carry forwards in Malaysia 664,105 408,226 Unabsorbed capital allowance carry forward in Malaysia 5,577 - Less: valuation allowance (1,108,955 ) (693,185 ) Deferred tax assets, net $ 219 $ - Uncertain tax positions The Company evaluates each uncertain tax position (including the potential application of interest and penalties) based on the technical merits, and measure the unrecognized benefits associated with the tax positions. As of December 31, 2023 and 2022, the Company did not have any significant unrecognized uncertain tax positions. The Company did not incur interest and penalties tax for the years ended December 31, 2023 and 2022. AGAPE ATP CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Currency expressed in United States Dollars (“US$”), except for number of shares) |
CONCENTRATIONS OF RISKS
CONCENTRATIONS OF RISKS | 12 Months Ended |
Dec. 31, 2023 | |
Risks and Uncertainties [Abstract] | |
CONCENTRATIONS OF RISKS | 18. CONCENTRATIONS OF RISKS (a) Major customers For the years ended December 31, 2023 and 2022, no customer accounted for 10.0 As of December 31, 2023, six individual customers and one company accounted for approximately 40.2 72.0 (b) Major vendors For the year ended December 31, 2023, two vendors accounted for approximately 54.8 26.0 53.3 22.1 21.3 Via a dividend distribution, the Company acquired 23,330 0.01 6.6 22.1 As of December 31, 2023, two vendors accounted for approximately 61.8 35.4 35.4 46.6 25.8 23.9 46.6 (c) Commission Expenses to Sales Distributors and Stockists For the year ended December 2023, one sales distributor accounted for approximately 15.1 10.3 (d) Credit risk Financial instruments that potentially subject the Company to significant concentrations of credit risk consist primarily of cash. As of December 31, 2023 and 2022, $ 4,817,213 1,427,963 4,630,476 231,187 Financial instruments that are potentially subject to credit risk consist principally of accounts receivable. The Company believes the concentration of credit risk in its account receivable is substantially mitigated by its ongoing credit evaluation process and relatively short collection terms. The Company does not generally require collateral from customers. The Company evaluates the need for an allowance for credit losses based upon factors surrounding the credit risk of specific customers, historical trends and other information. (e) Exchange rate risk The Company cannot guarantee that the current exchange rate will remain steady; therefore, there is a possibility that the Company could post the same amount of profit for two comparable periods and because of the fluctuating exchange rate actually post higher or lower profit depending on exchange rate of RM and HK$ converted to US$ on that date. The exchange rate could fluctuate depending on changes in political and economic environments without notice. AGAPE ATP CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Currency expressed in United States Dollars (“US$”), except for number of shares) |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 12 Months Ended |
Dec. 31, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | 19. COMMITMENTS AND CONTINGENCIES Lease commitments The Company adopted ASC 842 beginning April 1, 2020, for ASL’s office space lease and sales and training center as the lease commencement date upon the acquisition of ASL. The Company’s lease commitments are as follows: On June 1, 2023, upon the expiry of the two-years lease for its office space, the Company entered into a new three-years lease with the same landlord who had earlier leased the same office space to the Company since April 1, 2020. 283,220 5.5 On September 1, 2023, upon the expiry of the two-years lease for its office space and sales training center, the Company entered into a new three-years lease with the same landlord who had earlier leased the same office space and sales training center to the Company since April 1, 2020. 126,093 5.5 On October 1, 2023, upon the expiry of the two-years lease for an apartment to serve as staff accommodation, the Company entered into a new two-years lease with the same landlord who had earlier leased the same apartment to the Company since October 1, 2021. 8,940 5.5 On December 18, 2023, the Company leased non-commercial vehicle as lessee under finance leases with 5 78,824 8.63 SCHEDULE OF LEASE COST Components of leases As of December 31, 2023 As of December 31, 2022 Operating lease cost 157,370 161,396 Amortization of finance lease asset $ 13,094 - Interest on finance lease liabilities 275 - Weighted average remaining lease term (years) Operating lease 2.48 0.54 Finance lease 5.00 - Weighted average discount rate Operating lease 5.5 % 5.5 % Finance lease 8.6 % - The five-year maturity of the Company’s operating and finance lease liabilities is as follow: SCHEDULE OF LEASE COMMITMENTS Twelve Months Ending December 31, Operating lease liabilities Finance lease liabilities 2024 $ 154,403 $ 12,910 2025 154,394 14,512 2026 74,525 14,512 2027 - 14,512 Thereafter - 47,432 Total lease payments 383,322 103,879 Less: interest (25,244 ) (24,241 ) Present value of lease liabilities $ 358,078 $ 79,638 The Company also leased one office and operation center, and two shophouses with an expiring term of twelve months or less, which were classified as operation leases. Since the lease terms for these leases were twelve months or less, a lessee is permitted to elect not to recognize lease assets and liabilities. The Company has elected not to recognize lease assets and liabilities on these leases. As of December 31, 2023, the Company’s commitment for minimum lease payment under these operating leases within the next twelve months were $ 40,675 Short term lease cost for the years ended December 31, 2023 and 2022 were $ 39,825 29,152 AGAPE ATP CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Currency expressed in United States Dollars (“US$”), except for number of shares) 19. COMMITMENTS AND CONTINGENCIES (CONT’D) Contingencies Legal From time to time, the Company is party to certain legal proceedings, as well as certain asserted and un-asserted claims. Amounts accrued, as well as the total amount of reasonably possible losses with respect to such matters, individually and in the aggregate, are not deemed to be material to the consolidated financial statements. COVID-19 Malaysia, where the operations of the Company predominantly reside, officially transitioned to the endemic phase of COVID-19 effective April 1, 2022. Restrictions on businesses and people are minimal. Meanwhile, the government continues to encourage inoculation for those between the ages of 5 and 11 years and its adolescent group which comprised those between the ages 12 and 17. Adults who have been fully vaccinated, i.e. received two doses of the COVID-19 vaccine are encouraged to take booster shots. Substantially all of our revenues are concentrated in Malaysia. Consequently, our results of operations will likely be adversely, and may be materially, affected, to the extent that the COVID-19 or any other epidemic harms the Malaysia and global economy in general. Any potential impact to our results will depend on, to a large extent, future developments and new information that may emerge regarding the duration and severity of the COVID-19 and the actions taken by government authorities and other entities to contain the COVID-19 or treat its impact, almost all of which are beyond our control. Potential impacts include, but are not limited to, the following: ● temporary closure of offices, travel restrictions, disruption or suspension of supplies, our customers may be negatively impacted financially resulting in which the demand for our products may be adversely affected; ● we may have to provide significant sales incentives to our customers during the outbreak, which may in turn materially adversely affect our financial condition and operating results; and ● any disruption of our supply chain, logistics providers or customers could adversely impact our business and results of operations, including causing us or our suppliers to cease manufacturing for a period of time or materially delay delivery to our customers, which may also lead to loss of our customers. On April 27, 2022, the Malaysian government announced the country had entered into the endemic phase with further easing of restrictions. In May 2023, the WHO declared an end to COVID-19 as a public health emergency of international concern. However, COVID-19 still affects various parts of the world. On December 18, 2023, there were 20,696 Covid-19 cases between December 10, 2023 to December 16, 2023. It shows an increase of about 8,000 cases as compared to previous week, majority of the cases reported are with mild symptoms. Since then there is no further update from the Health Ministry. Our business operations in year 2024 have experienced a minimal impact from the COVID-19 pandemic. |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 12 Months Ended |
Dec. 31, 2023 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | 20. SUBSEQUENT EVENTS On January 3, 2024, the Company formed a joint-venture entity, OIE ATPC Holdings (M) Sdn. Bhd with Oriental Industries Enterprise (M) Sdn Bhd (“OIE”), which the Company and OIE each own 50 The Company is positioning itself for sustainable growth by diversifying its operations into the domain of renewable energy. This initiative is founded upon our commitment to environmental responsibility, long-term value creation, and proactive adaptation to global energy trends. On January 8, 2024, OIE ATPC Holdings (M) Sdn Bhd formed a wholly own entity, OIE ATPC Exim (M) Sdn Bhd. However, the Company had decided not to proceed with the continued development of OIE ATPC Exim (M) Sdn Bhd. On March 14, 2024, the Company acquired 50 |
SUMMARY OF SIGNIFICANT ACCOUN_2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Basis of presentation | Basis of presentation The accompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) for information pursuant to the rules and regulations of the Securities Exchange Commission (“SEC”). The consolidated financial statements include the financial statements of the Company, its subsidiaries and its VIE over which the Company exercises control and, where applicable, entities for which the Company has a controlling financial interest or is the primary beneficiary. All transactions and balances among the Company, its subsidiaries and its VIE have been eliminated upon consolidation. AGAPE ATP CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Currency expressed in United States Dollars (“US$”), except for number of shares) 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONT’D) |
Principles of consolidation | Principles of consolidation Subsidiaries are those entities in which the Company, directly or indirectly, controls more than one half of the voting power; or has the power to govern the financial and operating policies, to appoint or remove the majority of the members of the board of directors, or to cast a majority of votes at the meeting of directors. A VIE is an entity that has either a total equity investment that is insufficient to permit the entity to finance its activities without additional subordinated financial support, or whose equity investors lack the characteristics of a controlling financial interest, such as through voting rights, right to receive the expected residual returns of the entity or obligation to absorb the expected losses of the entity. The variable interest holder, if any, that has a controlling financial interest in a VIE is deemed to be the primary beneficiary and must consolidate the VIE. As of and for the year ended December 31, 2023, SEA, the only VIE of the Company has no significant operations. |
Use of estimates | Use of estimates The preparation of consolidated 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 disclosures of contingent assets and liabilities as of the date of the consolidated financial statements and the reported amounts of revenues and expenses during the periods presented. Significant accounting estimates reflected in the Company’s consolidated financial statements include allowance for inventories obsolescence, impairment of long-lived assets, allowance for deferred tax assets, allowance for credit losses and the assumptions used in the valuation of the derivative financial instruments. Actual results could differ from these estimates. |
Cash and cash equivalents | Cash and cash equivalents Cash and cash equivalents represent cash on hand, time deposits placed with banks or other financial institutions and all highly liquid investments with an original maturity of three months or less. |
Accounts receivable | Accounts receivable Accounts receivable are recorded at the invoiced amount less an allowance for any uncollectible accounts and do not bear interest, which are due on credit term. The carrying value of accounts receivable is reduced by an allowance that reflects the Company’s best estimate of the amounts that will not be collected. An allowance for credit losses is recorded in the period when a loss is probable based on an assessment of collectivity by reviewing accounts receivable on a collective basis where similar characteristics exist, primarily base on similar business line, service or product offerings and on an individual basis when the Company identifies specific customers with known disputes or collectivity issues. In determining the amount of the allowance for credit losses, the Company considers historical collectivity based on past due status, the age of the accounts receivable balances, credit quality of the Company’s customers based on ongoing credit evaluations, current economic conditions, reasonable and supportable forecasts of future economic conditions, and other factors that may affect the Company’s ability to collect from customers. Accounts receivable 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’s management continues to evaluate the reasonableness of the valuation allowance policy and update it if necessary. As of December 31, 2023 and December 31, 2022, the company recorded $ 542 0 AGAPE ATP CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Currency expressed in United States Dollars (“US$”), except for number of shares) 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONT’D) |
Inventories | Inventories Inventories consist of finished goods and are stated at the lower of cost or net realizable value using the first-in first-out method. Management reviews inventory on hand for estimated obsolescence or unmarketable items, as compared to future demand requirements and the shelf life of the various products. Based on the review, the Company records inventory write-downs, when necessary, when costs exceed expected net realizable value. For the years ended December 31, 2023 and 2022, the Company recognized $ 0 5,307 10,899 142,466 |
Prepaid taxes | Prepaid taxes Prepaid taxes include prepaid income taxes that will either be refunded or utilized to offset future income tax. |
Prepayments and deposits | Prepayments and deposits Prepayments and deposits are mainly cash deposited or advanced to suppliers for future inventory purchases or service providers for future services. This amount is refundable and bears no interest. For any prepayments and deposits determined by management that such advances will not be in receipts of inventories, services, or refundable, the Company will recognize an allowance account to reserve such balances. Management reviews its prepayments and deposits on a regular basis to determine if the allowance is adequate, and adjusts the allowance when necessary. Delinquent account balances are written-off against allowance for doubtful accounts after management has determined that the likelihood of collection is not probable. The Company’s management continues to evaluate the reasonableness of the allowance policy and update it if necessary. For the years ended December 31, 2023 and 2022, the Company wrote-off allowance for credit losses of $ 0 120,372 no |
Property and equipment, net | Property and equipment, net Property and equipment are stated at cost less accumulated depreciation. Depreciation is computed using the straight-line method over the estimated useful lives of the assets with no residual value. The estimated useful lives are as follows: SCHEDULE OF ESTIMATED USEFUL LIVES OF PROPERTY AND EQUIPMENT Classification Useful Life Computer and office equipment 5 7 Furniture & fixtures 6 7 Motor vehicle 5 Leasehold improvements Shorter of the remaining lease term or the estimated useful life The cost and related accumulated depreciation of assets sold or otherwise retired are eliminated from the accounts and any gain or loss is included in the consolidated statements of income and comprehensive income. Expenditures for maintenance and repairs are charged to earnings as incurred, while additions, renewals and betterments, which are expected to extend the useful life of assets, are capitalized. The Company also re-evaluates the periods of depreciation to determine whether subsequent events and circumstances warrant revised estimates of useful lives. AGAPE ATP CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Currency expressed in United States Dollars (“US$”), except for number of shares) 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONT’D) |
Intangible assets, net | Intangible assets, net Intangible assets, net, are stated at cost, less accumulated amortization. Amortization expense is recognized on the straight-line basis over the estimated useful lives of the assets as follows: SCHEDULE OF ESTIMATED USEFUL LIVES OF INTANGIBLE ASSETS, NET Classification Useful Life Computer software 5 |
Impairment for long-lived assets | Impairment for long-lived assets Long-lived assets, including property and equipment, and intangible assets with finite lives are reviewed for impairment whenever events or changes in circumstances (such as a significant adverse change to market conditions that will impact the future use of the assets) indicate that the carrying value of an asset may not be recoverable. The Company assesses the recoverability of the assets based on the undiscounted future cash flows the assets are expected to generate and recognize an impairment loss when estimated undiscounted future cash flows expected to result from the use of the asset plus net proceeds expected from disposition of the asset, if any, are less than the carrying value of the asset. If an impairment is identified, the Company would reduce the carrying amount of the asset to its estimated fair value based on a discounted cash flows approach or, when available and appropriate, to comparable market values. As of December 31, 2023 and 2022, no impairment of long-lived assets was recognized. |
Deferred offering costs | Deferred offering costs The Company has netted off the deferred offering costs against the gross proceeds from the Company’s recent Public Offering. |
Investment in marketable securities | Investment in marketable securities The Company follows the provisions of ASU 2016-01, Financial Instruments – Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities AGAPE ATP CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Currency expressed in United States Dollars (“US$”), except for number of shares) 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONT’D) |
Customer deposits | Customer deposits Customer deposits represent amounts advanced by customers on product orders and unapplied unexpired coupons. Customer deposits are reduced when the related sale is recognized in accordance with the Company’s revenue recognition policy. |
Revenue recognition | Revenue recognition On July 1, 2019, the Company adopted Accounting Standards Update (“ASU”) 2014-09, Revenue from Contracts with Customers (ASC Topic 606). The core principle underlying the revenue recognition of this ASU allows the Company to recognize - revenue that represents the transfer of goods and services to customers in an amount that reflects the consideration to which the Company expects to be entitled in such exchange. This will require the Company to identify contractual performance obligations and determine whether revenue should be recognized at a point in time or over time, based on when control of goods and services transfers to a customer. The Company’s revenue streams are recognized at a point in time for the Company’s sale of health and wellness products. The ASU requires the use of a five-step model to recognize revenue from customer contracts. The five-step model requires that the Company (i) identify the contract with the customer, (ii) identify the performance obligations in the contract, (iii) determine the transaction price, including variable consideration to the extent that it is probable that a significant future reversal will not occur, (iv) allocate the transaction price to the respective performance obligations in the contract, and (v) recognize revenue when (or as) the Company satisfies the performance obligation. The Company accounts for a contract with a customer when the contract is committed in writing, the rights of the parties, including payment terms, are identified, the contract has commercial substance and consideration is probable of substantially collection. Sales of Health and Wellness products - Performance obligations satisfied at a point in time The Company derives its revenues from sales contracts with its customers with revenues being recognized when control of the health and wellness products are transferred to its customer at the Company’s office or shipment of the goods. The revenue is recorded net of estimated discounts and return allowances. Products are given 60 days for returns or exchanges from the date of purchase. Historically, there were insignificant sales returns. Under the Company’s network marketing business, the Company issues product coupons to members and distributors when these customers made purchases above certain thresholds set by the Company. Depending on the type of product coupons issued, the coupons carry varying values and can be used by the customers for reduction in the transaction price of product purchases within the coupon validity period. The value of the product coupons issued is recorded as a reduction of the Company’s revenue account upon issuance; the corresponding amount credited to the customer deposits account. Amounts in customer deposits will be reversed when the coupons are used. The Company’s coupons have a validity period of between six and twelve months. If the Company’s customers did not utilize the coupons after the validity period, the Company would recognize the forfeiture of the originated sales value of the coupons as net revenues. For the years ended December 31, 2023 and 2022, the Company recognized $ 112,166 7,543 As of December 31, 2023, the Company had contracts for the sales of health and wellness products amounting to $ 12,442 Sales of products for the provision of complementary health therapies Products for the provision of complementary health therapies are predominantly Chinese herbs in different forms, processed or otherwise, for prescriptions for treating non-communicable diseases. AGAPE ATP CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Currency expressed in United States Dollars (“US$”), except for number of shares) 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONT’D) Provision of Health and Wellness services - Performance obligations satisfied at a point in time The Company carries out its Wellness program, where the Company’s products are bundled with health screening test and a health camp program. The health screening test and the health camp programs are considered as separate performance obligations. The promises to deliver the health screening test report and the attendance at the health camp are separately identifiable, which are evidenced by the fact that the Company provides separate services of delivering the health screening test report and allowing admission of the customers to attend the health camp. The Company based on the health screening test contracts with customers, establishes the selling price for the health screening test and place order to the health screening center. The Company obtains control of the test report before they are delivered to the customers. The Company analyze the test report, provides consultations to the customers, bundle it with the Company’s products and services depending on the customer’s needs. The Company also separately derives its revenues from sales contracts with its customers with revenues being recognized when the health camp program is completed in the final day of the health camp. For the years ended December 31, 2023 and 2022, revenues from providing health and wellness services are $ 250,786 145,510 Disaggregated information of revenues by products and services are as follows: SCHEDULE OF DIS-AGGREGATED INFORMATION OF REVENUES 2023 2022 For the years ended December 31, 2023 2022 Survivor Select $ 28,210 $ 122,470 Ionized Cal-Mag 119,021 148,219 Omega Blend 22,471 272,332 BetaMaxx 21,206 137,447 Iron 21,617 16,697 Young Formula - 31,403 ATPR Mito+ - 271,493 Energetique - 49,089 Trim+ 9,587 88,613 LIVO5 130,391 - Soy Protein Isolate Powder 24,271 - Mix Soy Protein Isolate Powder with Black Sesame 19,348 - Others – Products for the provision of complementary health therapies 782,436 569,823 Others 1,745 3,468 Total revenues – products 1,180,303 1,711,054 Health and Wellness services 250,785 145,510 Total revenues – products and services $ 1,431,088 $ 1,856,564 Total net sales include $ 17,912 183,816 AGAPE ATP CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Currency expressed in United States Dollars (“US$”), except for number of shares) 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONT’D) |
Cost of revenue | Cost of revenue Cost of revenue comprised freight-in, the purchase cost of manufactured goods for sale to customers and products for the provision of complementary health therapies. Cost of revenue amounted to $ 494,516 no 10,899 666,042 5,307 142,466 |
Shipping and handling | Shipping and handling Shipping and handling charges amounted to $ 5,039 16,585 |
Advertising costs | Advertising costs Advertising costs amounted to $ 0 4,688 |
Commission expenses | Commission expenses Commission expenses are the Company’s most significant expenses. As with all companies in the network marketing industry, the Company’s sales channel is external to the Company. The Company’s “external sales force” is stratified into two levels based on priority recruitment. First, there are sales distributors. Second, all members recruited by a sales distributor, directly or indirectly, are referred to as “sales network members”. The Company pays commission to every sales distributor based on purchases made by its sales network members which includes the independent direct sales members. Top performing distributors with their own physical stores may also become stockists of the Company, whereby they enjoy benefits such as maintaining a certain amount of the Company’s inventory on their store premises. The stockists shall account to the Company for all products sales from their store premises as monitored through the Company’s centralized stock tracking system. The Company pays a separate commission to stockists based on revenue generated from the stockists’ physical stores. Commission expenses amounted to $ 88,132 405,351 |
Defined contribution plan | Defined contribution plan The full-time employees of the Company are entitled to the government mandated defined contribution plan. The Company is required to accrue and pay for these benefits based on certain percentages of the employees’ respective salaries, subject to certain ceilings, in accordance with the relevant government regulations, and make cash contributions to the government mandated defined contribution plan. Total expenses for the plans were $ 158,143 133,489 The related contribution plans include: - Social Security Organization (“SOSCO”) – 1.75 5,000 - Employees Provident Fund (“EPF”) –based on employee’s monthly salary, 13 5,000 12 5,001 - Employment Insurance System (“EIS”) – 0.2 5,000 - Human Resource Development Fund (“HRDF”) – 1 AGAPE ATP CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Currency expressed in United States Dollars (“US$”), except for number of shares) 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONT’D) |
Income taxes | Income taxes The Company accounts for income taxes in accordance with U.S. GAAP for income taxes. The charge for taxation is based on the results for the fiscal year as adjusted for items, which are non-assessable or disallowed. It is calculated using tax rates that have been enacted or substantively enacted by the balance sheet date. Deferred taxes is accounted for using the asset and liability method in respect of temporary differences arising from differences between the carrying amount of assets and liabilities in the consolidated financial statements and the corresponding tax basis used in the computation of assessable tax profit. In principle, deferred tax liabilities are recognized for all taxable temporary differences. Deferred tax assets are recognized to the extent that it is probable that taxable profit will be available against which deductible temporary differences can be utilized. Deferred tax is calculated using tax rates that are expected to apply to the period when the asset is realized or the liability is settled. Deferred tax is charged or credited in the income statement, except when it is related to items credited or charged directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion or all of the deferred tax assets will not be realized. Current income taxes are provided for in accordance with the laws of the relevant taxing authorities. An uncertain tax position is recognized as a benefit only if it is “more likely than not” that the tax position would be sustained in a tax examination, with a tax examination being presumed to occur. The amount recognized is the largest amount of tax benefit that is greater than 50% likely of being realized on examination . For tax positions not meeting the “more likely than not” test, no tax benefit is recorded. Penalties and interest incurred related to underpayment of income tax are classified as income tax expense in the period incurred No penalties and interest incurred related to underpayment of income tax for the years ended December 31, 2023 and 2022, respectively. The Company conducts much of its business activities in Hong Kong and Malaysia and is subject to tax in each of their jurisdictions. As a result of its business activities, the Company will file separate tax returns that are subject to examination by the foreign tax authorities. |
Comprehensive income (loss) | Comprehensive income (loss) Comprehensive income (loss) consists of two components, net income (loss) and other comprehensive income (loss). Net income (loss) refers to revenue, expenses, gains and losses that under GAAP are recorded as an element of stockholders’ equity but are excluded from net income. Other comprehensive income (loss) consists of a foreign currency translation adjustment resulting from the Company not using the U.S. dollar as its functional currencies. |
Non-controlling interest | Non-controlling interest Non-controlling interest consists of 40% of the equity interests of DSY Wellness held by an individual and approximately 0.01% (3 ordinary shares out of 9,590,599 shares) of the equity interests of ASL held by three individuals AGAPE ATP CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Currency expressed in United States Dollars (“US$”), except for number of shares) 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONT’D) |
Earnings (loss) per share | Earnings (loss) per share The Company computes earnings (loss) per share (“EPS”) in accordance with ASC 260, “Earnings per Share”. ASC 260 requires companies to present basic and diluted EPS. Basic EPS is measured as net income divided by the weighted average ordinary share outstanding for the period. Diluted EPS presents the dilutive effect on a per share basis of the potential ordinary shares (e.g., convertible securities, options and warrants) as if they had been converted at the beginning of the periods presented, or issuance date, if later. Potential ordinary shares that have an anti-dilutive effect (i.e., those that increase income per share or decrease loss per share) are excluded from the calculation of diluted EPS. For the years ended December 31, 2023 and 2022, there were no |
Foreign currencies translation and transaction | Foreign currencies translation and transaction 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 transaction. Monetary assets and liabilities denominated in currencies other than the functional currency are translated into the functional currency using the applicable exchange rates at the balance sheet dates. The resulting exchange differences are recorded in the consolidated statements of operations and comprehensive income (loss). The reporting currency of the Company is United States Dollars (“US$”) and the accompanying financial statements have been expressed in US$. The Company’s subsidiary in Labuan maintains its books and record in United States Dollars (“US$”) albeit its functional currency being the primary currency of the economic environment in which the entity operates, which is the Malaysian Ringgit (“MYR” or “RM”). The Company’s subsidiary in Hong Kong maintains its books and record in Hong Kong Dollars (“HK$”), similar to its functional currency. The Company’s subsidiary and VIE in Malaysia conducts its businesses and maintains its books and record in the local currency, Malaysian Ringgit (“MYR” or “RM”), as its functional currency. In general, for consolidation purposes, assets and liabilities of its subsidiaries whose functional currency is not US$ are translated into US$, in accordance with ASC Topic 830-30, “ Translation of Financial Statement” Translation of foreign currencies into US$1 have been made at the following exchange rates for the respective periods: SCHEDULE OF FOREIGN CURRENCIES TRANSLATION EXCHANGE RATES 2023 2022 As of December 31, 2023 2022 Period-end MYR : US$1 exchange rate 4.59 4.41 Period-end HKD : US$1 exchange rate 7.81 7.80 Foreign currency exchange rate, translation 7.81 7.80 2023 2022 For the years ended December 31, 2023 2022 Period-average MYR : US$1 exchange rate 4.56 4.41 Period-average HKD : US$1 exchange rate 7.83 7.83 Foreign currency exchange rate period average 7.83 7.83 AGAPE ATP CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Currency expressed in United States Dollars (“US$”), except for number of shares) 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONT’D) |
Related parties | Related parties Parties, which can be a corporation or individual, are considered to be related if the Company has the ability, directly or indirectly, to control the other party or exercise significant influence over the other party in making financial and operating decisions. Companies are also considered to be related if they are subject to common control or common significant influence. |
Fair value of financial instruments | Fair value of financial instruments The accounting standard regarding fair value of financial instruments and related fair value measurements defines financial instruments and requires disclosure of the fair value of financial instruments held by the Company. The accounting standards define fair value, establish a three-level valuation hierarchy for disclosures of fair value measurement and enhance disclosure requirements for fair value measures. The three levels are defined as follow: ● Level 1 inputs to the valuation methodology are quoted prices (unadjusted) for identical assets or liabilities in active markets. ● Level 2 inputs to the valuation methodology include quoted prices for similar assets and liabilities in active markets, and inputs that are observable for the assets or liability, either directly or indirectly, for substantially the full term of the financial instruments. ● Level 3 inputs to the valuation methodology are unobservable and significant to the fair value. Financial instruments included in current assets and current liabilities are reported in the consolidated balance sheets at face value or cost, which approximate fair value because of the short period of time between the origination of such instruments and their expected realization and their current market rates of interest. |
Leases | Leases The Company adopted ASU 2016-02, “Leases” (Topic 842), and elected the practical expedients that does not require the Company to reassess: (1) whether any expired or existing contracts are, or contain, leases, (2) lease classification for any expired or existing leases and (3) initial direct costs for any expired or existing leases. For lease terms of twelve months or fewer, a lessee is permitted to make an accounting policy election not to recognize lease assets and liabilities. The Company also adopts the practical expedient that allows lessees to treat the lease and non-lease components of a lease as a single lease component. Some of the Company’s leases include one or more options to renew, which is typically at the Company’s sole discretion. The Company regularly evaluates the renewal options, and, when it is reasonably certain of exercise, it will include the renewal period in its lease term. New lease modifications result in re-measurement of the right of use (“ROU”) assets and lease liabilities. Operating ROU assets and lease liabilities are recognized at the commencement date, based on the present value of lease payments over the lease term. Since the implicit rate for the Company’s leases is not readily determinable, the Company use its incremental borrowing rate based on the information available at the commencement date in determining the present value of lease payments. The incremental borrowing rate is the rate of interest that the Company would have to pay to borrow, on a collateralized basis, an amount equal to the lease payments, in a similar economic environment and over a similar term. AGAPE ATP CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Currency expressed in United States Dollars (“US$”), except for number of shares) 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONT’D) Lease terms used to calculate the present value of lease payments generally do not include any options to extend, renew, or terminate the lease, as the Company does not have reasonable certainty at lease inception that these options will be exercised. The Company generally considers the economic life of its operating lease ROU assets to be comparable to the useful life of similar owned assets. The Company has elected the short-term lease exception, therefore operating lease ROU assets and liabilities do not include leases with a lease term of twelve months or less. Its leases generally do not provide a residual guarantee. The operating lease ROU asset also excludes lease incentives. Lease expense is recognized on a straight-line basis over the lease term. The Company reviews the impairment of its ROU assets consistent with the approach applied for its other long-lived assets. The Company reviews the recoverability of its long-lived assets when events or changes in circumstances occur that indicate that the carrying value of the asset may not be recoverable. The assessment of possible impairment is based on its ability to recover the carrying value of the asset from the expected undiscounted future pre-tax cash flows of the related operations. The Company has elected to include the carrying amount of operating lease liabilities in any tested asset group and includes the associated operating lease payments in the undiscounted future pre-tax cash flows. |
Derivative financial instruments | Derivative financial instruments Derivative financial instruments consist of financial instruments that contain a notional amount and one or more underlying variables such as interest rate, security price, variable conversion rate or other variables, require no initial new investment and permit net settlement. The derivative financial instruments may be free-standing or embedded in other financial instruments. The Company evaluates its financial instruments to determine if such instruments are derivatives or contain features that qualify as embedded derivatives. The Company based on the terms of the warrant agreement to determine the warrants as equity instruments or derivative liabilities. The Company follows the provision of ASC 815, Derivatives and Hedging for derivative financial instruments that are classified as equity instruments, the contracts are initially measured at fair value and no subsequent measurement is required for equity instruments. The Company uses Black-Scholes Model to calculate the fair value of the warrant. |
Reclassification | Reclassification Certain items of other receivable and prepayments and deposits in the consolidated balance sheet of comparative period have been reclassified to conform to the consolidated financial statements for the current period. The reclassifications have no impact on net loss. |
Recent accounting pronouncements | Recent accounting pronouncements The Company has reviewed all recently issued, but not yet effective, considers the applicability and impact of all accounting standards updates (“ASUs”). Management periodically reviews new accounting standards that are issued. In March 2023, the FASB issued ASU No. 2023-01 “Leases (Topic 842) Common Control Arrangements”. This ASU provides guidance in ASC Topic 842 that Leasehold improvements associated with common control leases should be (i) amortized by the lessee over the useful life of the leasehold improvements to the common control group, regardless of the lease term, as long as the lessee controls the use of the underlying asset through a lease, and (ii) accounted for as a transfer between entities under common control through an adjustment to equity if and when the lessee no longer controls the use of the underlying asset. The ASU 2023-01 is effective for reporting periods beginning after December 15, 2023. Early adoption is permitted for both interim and annual financial statements that have not yet been issued. When adopted in an interim period, it must be adopted from the beginning of the year that includes that interim period. The Company is currently evaluating the impact of this ASU may have on its consolidated financial statements. In July 2023, the FASB issued ASU No. 2023-03 “Presentation of Financial Statements (Topic 205), Income Statement – Reporting Comprehensive Income (Topic 22), Distinguishing Liabilities from Equity (Topic 480), Equity (Topic 505), and Compensation – Stock Compensation (Topic 718): Amendments to SEC Paragraphs Pursuant to SEC Staff Accounting Bulletin No. 120, SEC Staff Announcement at the March 24, 2022 EITF Meeting, and Staff Accounting Bulletin Topic 6.B, Accounting Series Release 280 – General Revision of Regulation S-X: Income or Loss Applicable to Common Stock”. The ASU 2023-03 amends or supersedes various SEC paragraphs within the Codification to confirm to past SEC announcements and guidance issued by the SEC. The ASU 2023-03 was immediately effective and did not have a significant impact on our consolidated financial statements. AGAPE ATP CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Currency expressed in United States Dollars (“US$”), except for number of shares) 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONT’D) In October 2023, the FASB issued ASU No. 2023-06 “Disclosure Improvements: Codification Amendments in Response to the SEC’s Disclosure Update and Simplification Initiative” The ASU No. 2023-06 clarifies or improve disclosure and presentation requirements of a variety of topics, which will allow users to more easily compare entities subject to the SEC’s existing disclosures with those entities that were not previously subject to the requirements, and align the requirements in the FASB accounting standard codification with the SEC’s regulations. The effective date for each amendment will be the date on which the SEC’s removal of that related disclosure from Regulation S-X or Regulation S-K becomes effective, with early adoption prohibited. The ASU No. 2023-06 is not expected to have a significant impact on our consolidated financial statements. In November 2023, the FASB issued ASU 2023-07 “Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures”. The ASU 2023-07 is intended to improve reportable segment disclosure requirements primarily through enhanced disclosures about significant segment expenses. The ASU 2023-07 is effective for annual reporting periods beginning after December 15, 2023 and interim periods in fiscal years beginning after December 15, 2024. Early adoption is permitted. The Company is currently evaluating the impact of this ASU may have on its consolidated financial statements. In December 2023, the FASB issued ASU 2023-09 “Income Taxes (Topic 740): Improvements to Income Tax Disclosures”. The ASU 2023-09 requires companies to disclose specific categories in the rate reconciliation and provide additional information for reconciling items that meet a quantitative threshold (if the effect of those reconciling items is equal to or greater than 5 percent of the amount computed by multiplying pretax income or loss by the applicable statutory income tax rate). The ASU 2023-09 is effective for annual reporting periods beginning after December 15, 2024. Early adoption is permitted. The Company is currently evaluating the impact of this ASU may have on its consolidated financial statements. Except for the above-mentioned pronouncements, there are no new recent issued accounting standards that will have a material impact on the consolidated financial position, statements of operations and cash flows. |
Recently adopted Accounting Pronouncements | Recently adopted Accounting Pronouncements In November 2019, the FASB issued ASU No. 2019-10, which to update the effective date of ASU No. 2016-13 for private companies, not-for-profit organizations and certain smaller reporting companies applying for credit losses, leases, and hedging standard. The new effective date for these preparers is for fiscal years beginning after December 15, 2022. ASU 2019-05 is effective for the Company for annual and interim reporting periods beginning January 1, 2023 as the Company is qualified as a smaller reporting company. The Company has accordingly adopted ASUs 2016-13 and 2019-05 in the preparation of its consolidated financial statements. The adoption of the accounting standards has no material impact on the consolidated financial statements for the year ended December 31, 2023. |
ORGANIZATION AND BUSINESS BAC_2
ORGANIZATION AND BUSINESS BACKGROUND (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
SCHEDULE OF SUBSIDIARIES AND ASSOCIATES | Details of the Company’s subsidiaries: SCHEDULE OF SUBSIDIARIES AND ASSOCIATES Subsidiary company name Place and date of incorporation Particulars of issued capital Principal activities Proportional of ownership interest and voting power held 1. Agape ATP Corporation Labuan, 100 shares of ordinary share of US$1 each Investment holding 100 % 2. Agape ATP International Holding Limited Hong Kong, 1,000,000 shares of ordinary share of HK$1 each Wholesaling of health and wellness products; and health solution advisory services 100 % 3. Agape Superior Living Sdn. Bhd. Malaysia, 9,590,598 shares of ordinary share of RM1 each Health and wellness products and health solution advisory services via network marketing 99.99 % 4. Agape S.E.A. Sdn. Bhd. Malaysia, 2 shares of ordinary share of RM1 each VIE of Agape Superior Living Sdn. Bhd. VIE 5. Wellness ATP International Holdings Sdn, Bhd Malaysia, 100 shares of ordinary share of RM1 each The promotion of wellness and wellbeing lifestyle of the community by providing services that includes online editorials, programs, events and campaigns 100 % 6. DSY Wellness International Sdn Bhd. Malaysia, 1,000 shares of ordinary share of RM1 each Provision of complementary health therapies 60 % |
SUMMARY OF SIGNIFICANT ACCOUN_3
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
SCHEDULE OF ESTIMATED USEFUL LIVES OF PROPERTY AND EQUIPMENT | SCHEDULE OF ESTIMATED USEFUL LIVES OF PROPERTY AND EQUIPMENT Classification Useful Life Computer and office equipment 5 7 Furniture & fixtures 6 7 Motor vehicle 5 Leasehold improvements Shorter of the remaining lease term or the estimated useful life |
SCHEDULE OF ESTIMATED USEFUL LIVES OF INTANGIBLE ASSETS, NET | Intangible assets, net, are stated at cost, less accumulated amortization. Amortization expense is recognized on the straight-line basis over the estimated useful lives of the assets as follows: SCHEDULE OF ESTIMATED USEFUL LIVES OF INTANGIBLE ASSETS, NET Classification Useful Life Computer software 5 |
SCHEDULE OF DIS-AGGREGATED INFORMATION OF REVENUES | Disaggregated information of revenues by products and services are as follows: SCHEDULE OF DIS-AGGREGATED INFORMATION OF REVENUES 2023 2022 For the years ended December 31, 2023 2022 Survivor Select $ 28,210 $ 122,470 Ionized Cal-Mag 119,021 148,219 Omega Blend 22,471 272,332 BetaMaxx 21,206 137,447 Iron 21,617 16,697 Young Formula - 31,403 ATPR Mito+ - 271,493 Energetique - 49,089 Trim+ 9,587 88,613 LIVO5 130,391 - Soy Protein Isolate Powder 24,271 - Mix Soy Protein Isolate Powder with Black Sesame 19,348 - Others – Products for the provision of complementary health therapies 782,436 569,823 Others 1,745 3,468 Total revenues – products 1,180,303 1,711,054 Health and Wellness services 250,785 145,510 Total revenues – products and services $ 1,431,088 $ 1,856,564 |
SCHEDULE OF FOREIGN CURRENCIES TRANSLATION EXCHANGE RATES | Translation of foreign currencies into US$1 have been made at the following exchange rates for the respective periods: SCHEDULE OF FOREIGN CURRENCIES TRANSLATION EXCHANGE RATES 2023 2022 As of December 31, 2023 2022 Period-end MYR : US$1 exchange rate 4.59 4.41 Period-end HKD : US$1 exchange rate 7.81 7.80 Foreign currency exchange rate, translation 7.81 7.80 2023 2022 For the years ended December 31, 2023 2022 Period-average MYR : US$1 exchange rate 4.56 4.41 Period-average HKD : US$1 exchange rate 7.83 7.83 Foreign currency exchange rate period average 7.83 7.83 |
VARIABLE INTEREST ENTITY (_VI_2
VARIABLE INTEREST ENTITY (“VIE”) (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
SCHEDULE OF VARIABLE INTEREST ENTITY | The carrying amount of the VIE’s assets and liabilities were as follows: SCHEDULE OF VARIABLE INTEREST ENTITY 2023 2022 As of December 31, 2023 2022 Current assets $ 1,799 $ 3,350 Current liabilities (899 ) (43,512 ) Net asset (deficit) $ 900 $ (40,162 ) 2023 2022 As of December 31, 2023 2022 Current assets: Cash $ 122 $ 1,609 Prepayment and deposits 7 - Prepaid taxes 1,670 1,741 Total current assets $ 1,799 $ 3,350 Current liabilities: Accounts payable – intercompany $ - $ 42,422 Other payables and accrued liabilities 899 1,090 Total current liabilities $ 899 $ 43,512 Net asset (deficit) $ 900 $ (40,162 ) The summarized operating results of the VIE’s are as follows: 2023 2022 For the years ended December 31, 2023 2022 Operating revenues $ - $ - Gross profit $ - $ - Profit (loss) from operations $ 39,687 $ (9,432 ) Net profit (loss) $ 39,687 $ (9,432 ) |
ACCOUNTS RECEIVABLE, NET (Table
ACCOUNTS RECEIVABLE, NET (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Receivables [Abstract] | |
SCHEDULE OF ACCOUNTS RECEIVABLES | SCHEDULE OF ACCOUNTS RECEIVABLES 2023 2022 As of December 31, 2023 2022 Accounts receivable $ 56,000 $ 2,826 Allowance for credit losses (542 ) - Total $ 55,458 $ 2,826 |
SCHEDULE OF ALLOWANCE FOR CREDIT LOSSES | Movements of allowance for credit losses are as follows: SCHEDULE OF ALLOWANCE FOR CREDIT LOSSES 2023 2022 For the years ended December 31, 2023 2022 Beginning balance $ - $ - Addition 546 - Exchange rate effect (4 ) - Ending balance $ 542 $ - |
INVENTORIES (Tables)
INVENTORIES (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Inventory Disclosure [Abstract] | |
SCHEDULE OF INVENTORIES | Inventories consist of the following: SCHEDULE OF INVENTORIES 2023 2022 As of December 31, 2023 2022 Finished goods $ 47,907 $ 46,277 |
PREPAYMENTS AND DEPOSITS (Table
PREPAYMENTS AND DEPOSITS (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Prepayments And Deposits | |
SCHEDULE OF PREPAID EXPENSES AND DEPOSITS | SCHEDULE OF PREPAID EXPENSES AND DEPOSITS As of December 31, 2023 2022 Prepaid expenses $ 123,809 $ 39,056 Deposits to suppliers 91,997 147,504 Total $ 215,806 $ 186,560 |
SCHEDULE OF CHANGES IN ALLOWANCE FOR DOUBTFUL ACCOUNTS | Movements of allowance for credit losses are as follows: SCHEDULE OF CHANGES IN ALLOWANCE FOR DOUBTFUL ACCOUNTS For the years ended December 31, 2023 2022 Beginning balance $ - $ 121,095 Write off - (120,372 ) Exchange rate effect - (723 ) Ending balance $ - $ - |
PROPERTY AND EQUIPMENT, NET (Ta
PROPERTY AND EQUIPMENT, NET (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Property, Plant and Equipment [Abstract] | |
SCHEDULE OF PROPERTY AND EQUIPMENT, NET | Property and equipment, net consist of the following: SCHEDULE OF PROPERTY AND EQUIPMENT, NET 2023 2022 As of December 31, 2023 2022 Computer and office equipment $ 91,947 $ 87,428 Furniture & fixtures 111,164 115,789 Motor vehicle 89,729 93,535 Leasehold improvements 184,155 191,965 Subtotal 476,995 488,717 Property plant and equipment, gross 476,995 488,717 Less: accumulated depreciation (399,137 ) (346,568 ) Total $ 77,858 $ 142,149 Property plant and equipment, net $ 77,858 $ 142,149 |
INTANGIBLE ASSETS, NET (Tables)
INTANGIBLE ASSETS, NET (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
SCHEDULE OF INTANGIBLE ASSETS, NET | Intangible assets, net, consist of the following: SCHEDULE OF INTANGIBLE ASSETS, NET 2023 2022 As of December 31, 2023 2022 Computer software $ 53,095 $ 55,348 Less: accumulated amortization (35,637 ) (31,304 ) Total $ 17,458 $ 24,044 |
INVESTMENT IN MARKETABLE SECU_2
INVESTMENT IN MARKETABLE SECURITIES (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Investment In Marketable Securities | |
SCHEDULE OF INVESTMENT IN MARKETABLE SECURITIES | SCHEDULE OF INVESTMENT IN MARKETABLE SECURITIES 2023 2022 As of December 31, 2023 2022 Cost of investment $ 16,687 $ 89,001 Transfer from non-marketable security - 1,500 Unrealized holding gain (loss) 3,493 (73,519 ) Exchange rate effect (9 ) (295 ) Investment in marketable securities $ 20,171 $ 16,687 |
INVESTMENT IN NON-MARKETABLE _2
INVESTMENT IN NON-MARKETABLE SECURITIES (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Investment In Non-marketable Securities | |
SCHEDULE OF INVESTMENT IN NON MARKETABLE SECURITIES | SCHEDULE OF INVESTMENT IN NON MARKETABLE SECURITIES 2023 2022 As of December 31, Phoenix Plus Corporation 2023 2022 Cost of investment $ - $ 1,500 Less: Transfer to investment in marketable securities - (1,500 ) Investment in non-marketable securities - - |
CUSTOMER DEPOSITS (Tables)
CUSTOMER DEPOSITS (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Customer Deposits | |
SCHEDULE OF CUSTOMER DEPOSITS | SCHEDULE OF CUSTOMER DEPOSITS 2023 2022 As of December 31, 2023 2022 Customer deposits $ 100,540 $ 289,487 Unexpired product coupons 1,035 73,531 Total $ 101,575 $ 363,018 |
OTHER PAYABLES AND ACCRUED LI_2
OTHER PAYABLES AND ACCRUED LIABILITIES (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Other Liabilities Disclosure [Abstract] | |
SCHEDULE OF OTHER PAYABLES AND ACCRUED LIABILITIES | SCHEDULE OF OTHER PAYABLES AND ACCRUED LIABILITIES 2023 2022 As of December 31, 2023 2022 Professional fees $ 348,664 $ 324,629 Promotion expenses 47,995 38,583 Payroll 26,104 21,164 Amounts held in eWallets 185,137 216,049 Tax penalty 75,000 75,000 Others 43,161 37,852 Total $ 726,061 $ 713,277 |
RELATED PARTY BALANCES AND TR_2
RELATED PARTY BALANCES AND TRANSACTIONS (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Related Party Transactions [Abstract] | |
SCHEDULE OF RELATED PARTIES | SCHEDULE OF RELATED PARTIES As of December 31, Name of Related Party Relationship Nature 2023 2022 TH3 Holdings Sdn Bhd (“TH3”) Mr. How Kok Choong, the CEO and director of the Company is also a director of TH3 Prepayment of IT expenses $ 2,922 $ 1,273 SY Welltech Sdn Bhd (“Welltech”) (formerly known as DSY Beauty Sdn Bhd) The directors and shareholders of Welltech are related parties to Mr. Yap Foo Ching (Steve Yap), a director of DSY Wellness International Sdn Bhd Deposits for products purchases 8,171 9,261 Total $ 11,093 $ 10,534 Accounts payable – related parties As of December 31, Name of Related Party Relationship Nature 2023 2022 CTA Nutriceuticals (Asia) Sdn Bhd (“CTA”) The directors and shareholders of CTA are related parties to Mr. Yap Foo Ching (Steve Yap), a director of DSY International Wellness Sdn Bhd Purchases of products for the provision of complementary health therapies $ 30,439 $ 25,387 SY Welltech Sdn Bhd (“Welltech”) (formerly known as DSY Beauty Sdn Bhd) The directors and shareholders of Welltech are related parties to Mr. Yap Foo Ching (Steve Yap), a director of DSY Wellness International Sdn Bhd Purchases of beauty products 54 224 Mr. Chew Yi Zheng Mr. Chew Yi Zheng is the member of the immediate family of Mr. Yap Foo Ching (Steve Yap), the director of DSY Wellness International Sdn Bhd Render therapy and health consultation to customer 4,355 - Total $ 34,848 $ 25,611 AGAPE ATP CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Currency expressed in United States Dollars (“US$”), except for number of shares) 14. RELATED PARTY BALANCES AND TRANSACTIONS (CONT’D) Related party balances Other payable - related parties As of December 31, Name of Related Party Relationship Nature 2023 2022 CTA Nutriceuticals (Asia) Sdn Bhd (“CTA”) The directors and shareholders of CTA are related parties to Mr. Yap Foo Ching (Steve Yap), a director of DSY International Wellness Sdn Bhd Purchase of products for general use $ 570 $ 2,149 SY Welltech Sdn Bhd (“Welltech”) (formerly known as DSY Beauty Sdn Bhd) The directors and shareholders of Welltech are related parties to Mr. Yap Foo Ching (Steve Yap), a director of DSY Wellness International Sdn Bhd Purchase of products for general use 535 2,147 Mr. Yap Foo Ching (Steve Yap) Mr. Yap Foo Ching, the director of the DSY Wellness International Sdn Bhd Payment on behalf by Mr. Yap 6,534 - Mr. How Kok Choong Mr. How Kok Choong, the CEO and director of the Company Commission expense 207 584 Total $ 7,846 $ 4,880 Related party transactions Purchases For the years ended December 31, Name of Related Party Relationship Nature 2023 2022 CTA Nutriceuticals (Asia) Sdn Bhd (“CTA”) The directors and shareholders of CTA are related parties to Mr. Yap Foo Ching (Steve Yap), a director of DSY International Wellness Sdn Bhd Purchases of products for the provision of complementary health therapies $ 272,993 $ 198,376 SY Welltech Sdn Bhd (“Welltech”) (formerly known as DSY Beauty Sdn Bhd) The directors and shareholders of Welltech are related parties to Mr. Yap Foo Ching (Steve Yap), a director of DSY Wellness International Sdn Bhd Purchases of beauty products 18,516 3,975 DSY Wellness & Longevity Center Sdn Bhd (“DSYWLC”) Mr. Yap Foo Ching (Steve Yap), a director of DSY Wellness International Sdn Bhd is also a director of DSYWLC. Purchases of products for the provision of complementary health therapies - 124 Mr. Chew Yi Zheng Mr. Chew Yi Zheng is the member of the immediate family of Mr. Yap Foo Ching (Steve Yap), the director of DSY Wellness International Sdn Bhd Services acquired for therapy and health consultation to customer 4,355 - Total $ 295,864 $ 202,475 AGAPE ATP CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Currency expressed in United States Dollars (“US$”), except for number of shares) 14. RELATED PARTY BALANCES AND TRANSACTIONS (CONT’D) Related party transactions Other income For the years ended December 31, Name of Related Party Relationship Nature 2023 2022 Ando Design Sdn Bhd (“Ando”) Mr. How Kok Choong, the CEO and director of the Company is also the director of Ando. Rental income $ 2,630 $ - Redboy Pictures Sdn Bhd (“Redboy”) Mr. How Kok Choong, the CEO and director of the Company is also the director of Redboy. Rental income $ 5,260 $ - TH3 Holdings Sdn Bhd (“TH3”) Mr. How Kok Choong, the CEO and director of the Company is also a director of TH3 Rental income $ 460 $ - Total $ 8,350 $ - Other purchases For the years ended December 31, Name of Related Party Relationship Nature 2023 2022 CTA Nutriceuticals (Asia) Sdn Bhd (“CTA”) The directors and shareholders of CTA are related parties to Mr. Yap Foo Ching (Steve Yap), a director of DSY International Wellness Sdn Bhd Purchases of products for the provision of complementary health therapies $ 6,213 $ 5,431 SY Welltech Sdn Bhd (“Welltech”) (formerly known as DSY Beauty Sdn Bhd) The directors and shareholders of Welltech are related parties to Mr. Yap Foo Ching (Steve Yap), a director of DSY Wellness International Sdn Bhd Purchases of beauty products 7,282 6,888 DSY Wellness & Longevity Center Sdn Bhd (“DSYWLC”) Mr. Yap Foo Ching (Steve Yap), a director of DSY Wellness International Sdn Bhd is also a director of DSYWLC. Purchases of products for the provision of complementary health therapies 368 4 Total $ 13,863 $ 12,323 AGAPE ATP CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Currency expressed in United States Dollars (“US$”), except for number of shares) 14. RELATED PARTY BALANCES AND TRANSACTIONS (CONT’D) Related party transactions Commission expense For the years ended December 31, Name of Related Party Relationship Nature 2023 2022 Mr. How Kok Choong Mr. How Kok Choong, the CEO and director of the Company Commission expense $ 5,947 $ 16,590 Total $ 5,947 $ 16,590 Other expenses For the years ended December 31, Name of Related Party Relationship Nature 2023 2022 TH3 Holdings Sdn Bhd (“TH3”) Mr. How Kok Choong, the CEO and director of the Company is also a director of TH3 IT support services fee $ 54,956 $ 56,450 Redboy Picture Sdn Bhd (“Redboy”) Mr. How Kok Choong, the CEO and director of the Company is also the director of Redboy Sponsorship fee - 22,686 DSY Wellness & Longevity Center Sdn Bhd (“DSYWLC”) Mr. Yap Foo Ching (Steve Yap), a director of DSY Wellness International Sdn Bhd is also a director of DSYWLC. Office rental expenses 31,563 21,779 Total $ 86,519 $ 100,915 |
STOCKHOLDERS_ EQUITY (Tables)
STOCKHOLDERS’ EQUITY (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Equity [Abstract] | |
SCHEDULE OF SHARE-BASED COMPENSATION ARRANGEMENTS BY SHARE-BASED PAYMENT AWARD | SCHEDULE OF SHARE-BASED COMPENSATION ARRANGEMENTS BY SHARE-BASED PAYMENT AWARD As of October 13, 2023 Risk-free interest rate 4.65 % Expected volatility 49 % Expected life (in years) 5 Expected dividend yield 0.00 % Fair value of warrants $ 38,580 |
NON-CONTROLLING INTEREST (Table
NON-CONTROLLING INTEREST (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Noncontrolling Interest [Abstract] | |
SCHEDULE OF NON CONTROLLING INTEREST | The Company’s non-controlling interest consists of the following: SCHEDULE OF NON CONTROLLING INTEREST 2023 2022 As of December 31, 2023 2022 DSY Wellness: Paid-in capital $ 97 $ 97 Retained earnings 12,434 20,384 Accumulated other comprehensive income (expense) (752 ) 32 Noncontrolling interest gross 11,779 20,513 ASL - - Total $ 11,779 $ 20,513 |
INCOME TAXES (Tables)
INCOME TAXES (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Income Tax Disclosure [Abstract] | |
SCHEDULE OF COMPONENTS OF INCOME/(LOSS) BEFORE INCOME TAX | The United States and foreign components of loss before income taxes were comprised of the following: SCHEDULE OF COMPONENTS OF INCOME/(LOSS) BEFORE INCOME TAX 2023 2022 For the years ended December 31, 2023 2022 Tax jurisdictions from: Local – United States $ (735,503 ) $ (736,946 ) Foreign – Malaysia (1,315,491 ) (864,794 ) Foreign – Hong Kong (55,366 ) (68,394 ) Foreign – Tax Jurisdictions (55,366 ) (68,394 ) Loss before income tax $ (2,106,360 ) $ (1,670,134 ) |
SCHEDULE OF PROVISION FOR INCOME TAX | The (provision for) benefit of income taxes consisted of the following: SCHEDULE OF PROVISION FOR INCOME TAX 2023 2022 For the years ended December 31, 2023 2022 Current: - Local $ - $ - - Foreign (3,795 ) (10,962 ) Deferred: - Local - - - Foreign 220 15,017 Benefit of (Provision for) income taxes $ (3,575 ) $ 4,055 |
SCHEDULE OF EFFECTIVE INCOME TAX RATE | The following table reconciles the Malaysia statutory rates to the Company’s effective tax rate for the periods indicated below: SCHEDULE OF EFFECTIVE INCOME TAX RATE 2023 2022 For the years ended December 31, 2023 2022 Malaysia statutory tax rate * 24.00 % 24.0 % Valuation allowance (20.23 )% (25.9 )% Differential of local statutory tax rate (1.55 )% 1.0 % Permanent difference (2.39 )% (1) 1.2 % (1) Effective tax rate (0.17 )% 0.3 % * As the Company business operation mainly concentrated in Malaysia, the Company determined to apply Malaysia statutory tax rate in reconciliation of the statutory tax rate to the effective tax rate. (1) The amount comprised: Expenses incurred in AATP LB, ASL, SEA and WATP that are not deductible in the Malaysia tax return. (1) The amount comprised: Being expenses incurred in AATP LB, ASL, SEA and WATP that are not deductible in the Malaysia tax return. |
SCHEDULE OF DEFERRED TAX ASSETS | The following table sets forth the significant components of the aggregate deferred tax assets of the Company as of: SCHEDULE OF DEFERRED TAX ASSETS 2023 2022 As of December 31, 2023 2022 Deferred tax assets: Net operating loss carry forwards in U.S. $ 439,492 $ 284,959 Net operating loss carry forwards in Malaysia 664,105 408,226 Unabsorbed capital allowance carry forward in Malaysia 5,577 - Less: valuation allowance (1,108,955 ) (693,185 ) Deferred tax assets, net $ 219 $ - |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
SCHEDULE OF LEASE COST | SCHEDULE OF LEASE COST Components of leases As of December 31, 2023 As of December 31, 2022 Operating lease cost 157,370 161,396 Amortization of finance lease asset $ 13,094 - Interest on finance lease liabilities 275 - Weighted average remaining lease term (years) Operating lease 2.48 0.54 Finance lease 5.00 - Weighted average discount rate Operating lease 5.5 % 5.5 % Finance lease 8.6 % - |
SCHEDULE OF LEASE COMMITMENTS | The five-year maturity of the Company’s operating and finance lease liabilities is as follow: SCHEDULE OF LEASE COMMITMENTS Twelve Months Ending December 31, Operating lease liabilities Finance lease liabilities 2024 $ 154,403 $ 12,910 2025 154,394 14,512 2026 74,525 14,512 2027 - 14,512 Thereafter - 47,432 Total lease payments 383,322 103,879 Less: interest (25,244 ) (24,241 ) Present value of lease liabilities $ 358,078 $ 79,638 |
SCHEDULE OF SUBSIDIARIES AND AS
SCHEDULE OF SUBSIDIARIES AND ASSOCIATES (Details) | 12 Months Ended |
Dec. 31, 2023 | |
Subsidiary Company [Member] | |
Subsidiary company name | Agape ATP Corporation |
Place and date of incorporation | Labuan, March 6, 2017 |
Particulars of issued capital | 100 shares of ordinary share of US$1 each |
Principal activities | Investment holding |
Proportional of ownership interest and voting power held | 100% |
Subsidiary Company One [Member] | |
Subsidiary company name | Agape ATP International Holding Limited |
Place and date of incorporation | Hong Kong, June 1, 2017 |
Particulars of issued capital | 1,000,000 shares of ordinary share of HK$1 each |
Principal activities | Wholesaling of health and wellness products; and health solution advisory services |
Proportional of ownership interest and voting power held | 100% |
Subsidiary Company Two [Member] | |
Subsidiary company name | Agape Superior Living Sdn. Bhd. |
Place and date of incorporation | Malaysia, August 8, 2003 |
Particulars of issued capital | 9,590,598 shares of ordinary share of RM1 each |
Principal activities | Health and wellness products and health solution advisory services via network marketing |
Proportional of ownership interest and voting power held | 99.99% |
Subsidiary Company Three [Member] | |
Subsidiary company name | Agape S.E.A. Sdn. Bhd. |
Place and date of incorporation | Malaysia, March 4, 2004 |
Particulars of issued capital | 2 shares of ordinary share of RM1 each |
Principal activities | VIE of Agape Superior Living Sdn. Bhd. |
Proportional of ownership interest and voting power held | 100% |
Subsidiary Company Four [Member] | |
Subsidiary company name | Wellness ATP International Holdings Sdn, Bhd |
Place and date of incorporation | Malaysia, September 11, 2020 |
Particulars of issued capital | 100 shares of ordinary share of RM1 each |
Principal activities | The promotion of wellness and wellbeing lifestyle of the community by providing services that includes online editorials, programs, events and campaigns |
Proportional of ownership interest and voting power held | 100% |
Subsidiary Company Five [Member] | |
Subsidiary company name | DSY Wellness International Sdn Bhd. |
Place and date of incorporation | Malaysia, November 11, 2021 |
Particulars of issued capital | 1,000 shares of ordinary share of RM1 each |
Principal activities | Provision of complementary health therapies |
Proportional of ownership interest and voting power held | 60% |
ORGANIZATION AND BUSINESS BAC_3
ORGANIZATION AND BUSINESS BACKGROUND (Details Narrative) - shares | May 08, 2020 | Jan. 03, 2024 | Dec. 31, 2023 | Nov. 11, 2021 |
Share Exchange Agreement [Member] | Mr.How Kok Choong [Member] | ||||
Stock issued during period acquisitions, shares | 9,590,596 | |||
Agape ATP International Holding Limited [Member] | ||||
Ownership interest percentage | 100% | |||
Agape ATP International Holding Limited [Member] | Subsequent Event [Member] | ||||
Ownership interest percentage | 50% | |||
Agape Superior Living Sdn. Bhd., [Member] | ||||
Ownership interest percentage | 99.99% | |||
DSY Wellness International Sdn. Bhd. [Member] | ||||
Ownership interest percentage | 60% |
SCHEDULE OF ESTIMATED USEFUL LI
SCHEDULE OF ESTIMATED USEFUL LIVES OF PROPERTY AND EQUIPMENT (Details) | Dec. 31, 2023 |
Computer and Office Equipment [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Estimated Useful Life of Property and Equipment | 5 years |
Computer and Office Equipment [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Estimated Useful Life of Property and Equipment | 7 years |
Furniture and Fixtures [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Estimated Useful Life of Property and Equipment | 6 years |
Furniture and Fixtures [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Estimated Useful Life of Property and Equipment | 7 years |
Vehicles [Member] | |
Property, Plant and Equipment [Line Items] | |
Estimated Useful Life of Property and Equipment | 5 years |
Leasehold Improvements [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant, and Equipment, Useful Life, Term, Description [Extensible Enumeration] | Leasehold Improvements [Member] |
SCHEDULE OF ESTIMATED USEFUL _2
SCHEDULE OF ESTIMATED USEFUL LIVES OF INTANGIBLE ASSETS, NET (Details) | Dec. 31, 2023 |
Computer Software, Intangible Asset [Member] | |
Finite-Lived Intangible Assets [Line Items] | |
Estimated useful lives of intangible assets | 5 years |
SCHEDULE OF DIS-AGGREGATED INFO
SCHEDULE OF DIS-AGGREGATED INFORMATION OF REVENUES (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Product Information [Line Items] | ||
Total revenues – products and services | $ 1,431,088 | $ 1,856,564 |
Survivor Select [Member] | ||
Product Information [Line Items] | ||
Total revenues – products and services | 28,210 | 122,470 |
Ionized Cal-Mag [Member] | ||
Product Information [Line Items] | ||
Total revenues – products and services | 119,021 | 148,219 |
Omega Blend [Member] | ||
Product Information [Line Items] | ||
Total revenues – products and services | 22,471 | 272,332 |
BetaMaxx [Member] | ||
Product Information [Line Items] | ||
Total revenues – products and services | 21,206 | 137,447 |
Iron [Member] | ||
Product Information [Line Items] | ||
Total revenues – products and services | 21,617 | 16,697 |
Young Formula [Member] | ||
Product Information [Line Items] | ||
Total revenues – products and services | 31,403 | |
ATPR Mito+ [Member] | ||
Product Information [Line Items] | ||
Total revenues – products and services | 271,493 | |
Energetique [Member] | ||
Product Information [Line Items] | ||
Total revenues – products and services | 49,089 | |
Trim+ [Member] | ||
Product Information [Line Items] | ||
Total revenues – products and services | 9,587 | 88,613 |
LIVO5 [Member] | ||
Product Information [Line Items] | ||
Total revenues – products and services | 130,391 | |
Soy Protein Isolate Powder [Member] | ||
Product Information [Line Items] | ||
Total revenues – products and services | 24,271 | |
Mix Soy Protein Isolate Powder with Black Sesame [Member] | ||
Product Information [Line Items] | ||
Total revenues – products and services | 19,348 | |
Product Health Therapies [Member] | ||
Product Information [Line Items] | ||
Total revenues – products and services | 782,436 | 569,823 |
Others [Member] | ||
Product Information [Line Items] | ||
Total revenues – products and services | 1,745 | 3,468 |
Product [Member] | ||
Product Information [Line Items] | ||
Total revenues – products and services | 1,180,303 | 1,711,054 |
Health and Wellness Services [Member] | ||
Product Information [Line Items] | ||
Total revenues – products and services | $ 250,785 | $ 145,510 |
SCHEDULE OF FOREIGN CURRENCIES
SCHEDULE OF FOREIGN CURRENCIES TRANSLATION EXCHANGE RATES (Details) | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Period-end MYR [Member] | ||
Debt Instrument [Line Items] | ||
Foreign currency exchange rate, translation | 4.59 | 4.41 |
Period-end HKD [Member] | ||
Debt Instrument [Line Items] | ||
Foreign currency exchange rate, translation | 7.81 | 7.80 |
Period-average MYR [Member] | ||
Debt Instrument [Line Items] | ||
Foreign currency exchange rate period average | 4.56 | 4.41 |
Period-average HKD [Member] | ||
Debt Instrument [Line Items] | ||
Foreign currency exchange rate period average | 7.83 | 7.83 |
SUMMARY OF SIGNIFICANT ACCOUN_4
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) | 12 Months Ended | |||
Dec. 31, 2023 USD ($) shares | Dec. 31, 2023 MYR (RM) shares | Dec. 31, 2022 USD ($) shares | Dec. 31, 2021 USD ($) | |
Product Information [Line Items] | ||||
Accounts receivable, allowance for credit loss | $ 542 | |||
Inventories write-down | 5,307 | |||
Inventories write off | 10,899 | 142,466 | ||
Wrote-off allowance for doubtful accounts | 120,372 | |||
Allowance for doubtful accounts | 0 | 0 | ||
Value of coupons | 112,166 | 7,543 | ||
Revenue from contract with customer | 1,431,088 | 1,856,564 | ||
Cost of revenue | 494,516 | 666,042 | ||
Selling expenses | 629,003 | 361,414 | ||
Advertising costs | 0 | 4,688 | ||
Commission expenses | 88,132 | 405,351 | ||
Defined contribution plan expense | $ 158,143 | 133,489 | ||
Income tax description | greater than 50% likely of being realized on examination | greater than 50% likely of being realized on examination | ||
Income tax examination, penalties and interest expense | $ 0 | $ 0 | ||
Noncontrolling interest, description | Non-controlling interest consists of 40% of the equity interests of DSY Wellness held by an individual and approximately 0.01% (3 ordinary shares out of 9,590,599 shares) of the equity interests of ASL held by three individuals | Non-controlling interest consists of 40% of the equity interests of DSY Wellness held by an individual and approximately 0.01% (3 ordinary shares out of 9,590,599 shares) of the equity interests of ASL held by three individuals | ||
Potentially dilutive securities outstanding | shares | 0 | 0 | 0 | |
Social Security Organization [Member] | ||||
Product Information [Line Items] | ||||
Salary percentage | 1.75% | 1.75% | ||
Monthly salary | RM | RM 5,000 | |||
Employees Provident Fund [Member] | Minimum [Member] | ||||
Product Information [Line Items] | ||||
Salary percentage | 13% | 13% | ||
Monthly salary | RM | RM 5,000 | |||
Employees Provident Fund [Member] | Maximum [Member] | ||||
Product Information [Line Items] | ||||
Salary percentage | 12% | 12% | ||
Monthly salary | RM | RM 5,001 | |||
Employment Insurance System [Member] | ||||
Product Information [Line Items] | ||||
Salary percentage | 0.20% | 0.20% | ||
Monthly salary | RM | RM 5,000 | |||
Human Resource Development Fund [Member] | ||||
Product Information [Line Items] | ||||
Salary percentage | 1% | 1% | ||
Customer Deposits [Member] | ||||
Product Information [Line Items] | ||||
Revenue from contract with customer | $ 17,912 | $ 183,816 | ||
Health and Wellness Services [Member] | ||||
Product Information [Line Items] | ||||
Cost of revenue | 12,442 | |||
Revenue from contract with customer | 250,786 | 145,510 | ||
Shipping and Handling [Member] | ||||
Product Information [Line Items] | ||||
Selling expenses | $ 5,039 | $ 16,585 |
SCHEDULE OF VARIABLE INTEREST E
SCHEDULE OF VARIABLE INTEREST ENTITY (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Trading Activity, Gains and Losses, Net [Line Items] | ||
Total current assets | $ 5,185,152 | $ 2,028,534 |
Current liabilities | (1,071,538) | (1,229,295) |
Net asset (deficit) | 4,369,084 | 1,541,941 |
Cash | 4,832,460 | 1,438,430 |
Prepayment and deposits | 215,806 | 186,560 |
Prepaid taxes | 21,993 | 339,367 |
Other payables and accrued liabilities | 726,061 | 713,277 |
Total current liabilities | 1,071,538 | 1,229,295 |
Operating revenues | 1,431,088 | 1,856,564 |
Gross profit | 936,572 | 1,190,522 |
Profit (loss) from operations | (2,146,579) | (1,533,266) |
Net profit (loss) | (2,101,985) | (1,686,899) |
Variable Income Interest Rate [Member] | ||
Trading Activity, Gains and Losses, Net [Line Items] | ||
Total current assets | 1,799 | 3,350 |
Current liabilities | (899) | (43,512) |
Net asset (deficit) | 900 | (40,162) |
Cash | 122 | 1,609 |
Prepayment and deposits | 7 | |
Prepaid taxes | 1,670 | 1,741 |
Accounts payable – intercompany | 42,422 | |
Other payables and accrued liabilities | 899 | 1,090 |
Total current liabilities | 899 | 43,512 |
Operating revenues | ||
Gross profit | ||
Profit (loss) from operations | 39,687 | (9,432) |
Net profit (loss) | $ 39,687 | $ (9,432) |
VARIABLE INTEREST ENTITY (_VI_3
VARIABLE INTEREST ENTITY (“VIE”) (Details Narrative) | Dec. 31, 2023 |
Subsidiary Company Three [Member] | |
Ownership interest percentage | 100% |
CASH AND CASH EQUIVALENTS (Deta
CASH AND CASH EQUIVALENTS (Details Narrative) - USD ($) | Dec. 31, 2023 | Dec. 31, 2022 |
Cash and cash equivalents | $ 4,832,460 | $ 1,438,430 |
Cash in bank | 494,771 | 513,152 |
Time deposits | 4,322,441 | 914,811 |
Time deposit uninsured | $ 4,630,476 | $ 231,187 |
Minimum [Member] | ||
Percentage of Interest rate for time deposits | 1.21% | 1.21% |
Maximum [Member] | ||
Percentage of Interest rate for time deposits | 2.56% | 2.56% |
SCHEDULE OF ACCOUNTS RECEIVABLE
SCHEDULE OF ACCOUNTS RECEIVABLES (Details) - USD ($) | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Receivables [Abstract] | |||
Accounts receivable | $ 56,000 | $ 2,826 | |
Allowance for credit losses | (542) | ||
Total | $ 55,458 | $ 2,826 |
SCHEDULE OF ALLOWANCE FOR CREDI
SCHEDULE OF ALLOWANCE FOR CREDIT LOSSES (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Receivables [Abstract] | ||
Beginning balance | ||
Addition | 546 | |
Exchange rate effect | (4) | |
Ending balance | $ 542 |
SCHEDULE OF INVENTORIES (Detail
SCHEDULE OF INVENTORIES (Details) - USD ($) | Dec. 31, 2023 | Dec. 31, 2022 |
Inventory Disclosure [Abstract] | ||
Finished goods | $ 47,907 | $ 46,277 |
INVENTORIES (Details Narrative)
INVENTORIES (Details Narrative) - USD ($) | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Inventory Disclosure [Abstract] | ||
Inventory write-down | $ 5,307 | |
Inventory write-off | $ 10,899 | $ 142,466 |
SCHEDULE OF PREPAID EXPENSES AN
SCHEDULE OF PREPAID EXPENSES AND DEPOSITS (Details) - USD ($) | Dec. 31, 2023 | Dec. 31, 2022 |
Prepayments And Deposits | ||
Prepaid expenses | $ 123,809 | $ 39,056 |
Deposits to suppliers | 91,997 | 147,504 |
Total | $ 215,806 | $ 186,560 |
SCHEDULE OF CHANGES IN ALLOWANC
SCHEDULE OF CHANGES IN ALLOWANCE FOR DOUBTFUL ACCOUNTS (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Prepayments And Deposits | ||
Beginning balance | $ 121,095 | |
Write off | (120,372) | |
Exchange rate effect | (723) | |
Ending balance |
SCHEDULE OF PROPERTY AND EQUIPM
SCHEDULE OF PROPERTY AND EQUIPMENT, NET (Details) - USD ($) | Dec. 31, 2023 | Dec. 31, 2022 |
Property, Plant and Equipment [Line Items] | ||
Property plant and equipment, gross | $ 476,995 | $ 488,717 |
Less: accumulated depreciation | (399,137) | (346,568) |
Property plant and equipment, net | 77,858 | 142,149 |
Computer and Office Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property plant and equipment, gross | 91,947 | 87,428 |
Furniture and Fixtures [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property plant and equipment, gross | 111,164 | 115,789 |
Vehicles [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property plant and equipment, gross | 89,729 | 93,535 |
Leasehold Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property plant and equipment, gross | $ 184,155 | $ 191,965 |
PROPERTY AND EQUIPMENT, NET (De
PROPERTY AND EQUIPMENT, NET (Details Narrative) - USD ($) | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Property, Plant and Equipment [Abstract] | ||
Depreciation | $ 70,337 | $ 71,754 |
SCHEDULE OF INTANGIBLE ASSETS,
SCHEDULE OF INTANGIBLE ASSETS, NET (Details) - USD ($) | Dec. 31, 2023 | Dec. 31, 2022 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Computer software | $ 53,095 | $ 55,348 |
Less: accumulated amortization | (35,637) | (31,304) |
Total | $ 17,458 | $ 24,044 |
INTANGIBLE ASSETS, NET (Details
INTANGIBLE ASSETS, NET (Details Narrative) - USD ($) | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Amortization expense | $ 5,645 | $ 2,122 |
SCHEDULE OF INVESTMENT IN MARKE
SCHEDULE OF INVESTMENT IN MARKETABLE SECURITIES (Details) - USD ($) | Dec. 31, 2023 | Dec. 31, 2022 |
Investment In Marketable Securities | ||
Cost of investment | $ 16,687 | $ 89,001 |
Transfer from non-marketable security | 1,500 | |
Unrealized holding gain (loss) | 3,493 | (73,519) |
Exchange rate effect | (9) | (295) |
Investment in marketable securities | $ 20,171 | $ 16,687 |
INVESTMENT IN MARKETABLE SECU_3
INVESTMENT IN MARKETABLE SECURITIES (Details Narrative) - USD ($) | 12 Months Ended | 21 Months Ended | ||||||||||
Jul. 19, 2022 | Dec. 31, 2023 | Feb. 09, 2024 | Dec. 31, 2022 | Jul. 28, 2022 | Sep. 27, 2021 | Dec. 09, 2020 | Nov. 03, 2020 | Apr. 03, 2019 | Oct. 16, 2018 | Jul. 30, 2018 | May 17, 2018 | |
Investment amount | $ 16,687 | $ 89,001 | ||||||||||
Stockholders equity reverse stock split | the company’s common stock at the ratio of 10-for-1 effective July 28, 2022. Under the reverse stock split, each 10 pre-split share of common stock outstanding will automatically combine into 1 new share of common stock of the company. As at July 28, 2022, the Company has an investment of 116,646 common stock of Greenpro Capital Corp. The Company’s investment of 116,646 common stock of Greenpro Capital Corp. was reduced to 11,665 subsequent to the reverse stock split. | |||||||||||
Common Stock [Member] | ||||||||||||
Stock issued during peirod shares new issues | 1,650,000 | |||||||||||
Common Stock [Member] | Minimum [Member] | ||||||||||||
Stock issued during peirod shares new issues | 100 | |||||||||||
Common Stock [Member] | Maximum [Member] | ||||||||||||
Stock issued during peirod shares new issues | 57,500 | |||||||||||
Phoenix Plus Corporation [Member] | ||||||||||||
Investment amount | $ 1,500 | |||||||||||
Shares issued price per share | $ 0.0001 | |||||||||||
Equity interest percentage | 5% | |||||||||||
Investments | $ 1,500 | $ 1,500 | ||||||||||
Phoenix Plus Corporation [Member] | Common Stock [Member] | ||||||||||||
Shares purchased during period | 15,000,000 | |||||||||||
Greenpro Capital Corp. [Member] | ||||||||||||
Shares purchased during period | 11,665 | 116,646 | 33,333 | 20 | 83,333 | |||||||
Investment amount | $ 1,000 | $ 125 | $ 500,000 | |||||||||
Shares issued price per share | $ 0.03 | $ 6.2613 | $ 6 | |||||||||
DSwiss Inc. [Member] | ||||||||||||
Shares purchased during period | 16,663 | 6,667 | ||||||||||
Investment amount | $ 83,315 | $ 76,671 | ||||||||||
Shares issued price per share | $ 5 | $ 11.50 | ||||||||||
SEATech Ventures Corp. [Member] | ||||||||||||
Shares purchased during period | 11,665 | |||||||||||
Investment amount | $ 18,874 | |||||||||||
Shares issued price per share | $ 1.62 |
SCHEDULE OF INVESTMENT IN NON M
SCHEDULE OF INVESTMENT IN NON MARKETABLE SECURITIES (Details) - USD ($) | Dec. 31, 2023 | Dec. 31, 2022 |
Cost of investment | $ 16,687 | $ 89,001 |
Phoenix Plus Corporation [Member] | ||
Cost of investment | 1,500 | |
Less: Transfer to investment in marketable securities | (1,500) | |
Investment in non-marketable securities |
INVESTMENT IN NON-MARKETABLE _3
INVESTMENT IN NON-MARKETABLE SECURITIES (Details Narrative) - USD ($) | Dec. 31, 2023 | Dec. 31, 2022 | Apr. 03, 2019 |
Investment amount | $ 16,687 | $ 89,001 | |
Phoenix Plus Corporation [Member] | |||
Equity interest percentage | 5% | ||
Investment amount | $ 1,500 | ||
Shares issued price per share | $ 0.0001 | ||
Phoenix Plus Corporation [Member] | Common Stock [Member] | |||
Shares purchased during period | 15,000,000 |
SCHEDULE OF CUSTOMER DEPOSITS (
SCHEDULE OF CUSTOMER DEPOSITS (Details) - USD ($) | Dec. 31, 2023 | Dec. 31, 2022 |
Customer Deposits | ||
Customer deposits | $ 100,540 | $ 289,487 |
Unexpired product coupons | 1,035 | 73,531 |
Total | $ 101,575 | $ 363,018 |
SCHEDULE OF OTHER PAYABLES AND
SCHEDULE OF OTHER PAYABLES AND ACCRUED LIABILITIES (Details) - USD ($) | Dec. 31, 2023 | Dec. 31, 2022 |
Other Liabilities Disclosure [Abstract] | ||
Professional fees | $ 348,664 | $ 324,629 |
Promotion expenses | 47,995 | 38,583 |
Payroll | 26,104 | 21,164 |
Amounts held in eWallets | 185,137 | 216,049 |
Tax penalty | 75,000 | 75,000 |
Others | 43,161 | 37,852 |
Total | $ 726,061 | $ 713,277 |
SCHEDULE OF OTHER PAYABLES AN_2
SCHEDULE OF OTHER PAYABLES AND ACCRUED LIABILITIES (Details) (Parenthetical) | 12 Months Ended |
Dec. 31, 2023 MYR (RM) | |
Commission payments descriptions | The eWallet is primarily for the crediting of any commission payment that falls below RM100 (or $22.70) |
Comission payable | RM 100 |
Commission payable, threshold | 100 |
Maximum [Member] | |
Commission payable, threshold | RM 100 |
SCHEDULE OF RELATED PARTIES (De
SCHEDULE OF RELATED PARTIES (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Related Party Transaction [Line Items] | ||
Other expenses | $ 295,864 | $ 202,475 |
Office rental expense | 8,350 | |
Purchases | 13,863 | 12,323 |
Commission expense | 88,132 | 405,351 |
Other expenses | $ 86,519 | $ 100,915 |
TH3 Technology Sdn Bhd [Member] | ||
Related Party Transaction [Line Items] | ||
Relationship | Mr. How Kok Choong, the CEO and director of the Company is also a director of TH3 | Mr. How Kok Choong, the CEO and director of the Company is also a director of TH3 |
Nature | Prepayment of IT expenses | Prepayment of IT expenses |
Due from related parties | $ 2,922 | $ 1,273 |
DSY Beauty Sdn Bhd [Member] | ||
Related Party Transaction [Line Items] | ||
Relationship | The directors and shareholders of Welltech are related parties to Mr. Yap Foo Ching (Steve Yap), a director of DSY Wellness International Sdn Bhd | The directors and shareholders of Welltech are related parties to Mr. Yap Foo Ching (Steve Yap), a director of DSY Wellness International Sdn Bhd |
Nature | Deposits for products purchases | Deposits for products purchases |
Due from related parties | $ 8,171 | $ 9,261 |
Related Party [Member] | ||
Related Party Transaction [Line Items] | ||
Due from related parties | 11,093 | 10,534 |
Accounts payable, related parties, current | 34,848 | 25,611 |
Due to related parties | $ 7,846 | $ 4,880 |
CTA Nutriceuticals Sdn Bhd [Member] | ||
Related Party Transaction [Line Items] | ||
Relationship | The directors and shareholders of CTA are related parties to Mr. Yap Foo Ching (Steve Yap), a director of DSY International Wellness Sdn Bhd | The directors and shareholders of CTA are related parties to Mr. Yap Foo Ching (Steve Yap), a director of DSY International Wellness Sdn Bhd |
Nature | Purchases of products for the provision of complementary health therapies | Purchases of products for the provision of complementary health therapies |
Accounts payable, related parties, current | $ 30,439 | $ 25,387 |
DSY Beauty Sdn Bhd [Member] | ||
Related Party Transaction [Line Items] | ||
Relationship | The directors and shareholders of Welltech are related parties to Mr. Yap Foo Ching (Steve Yap), a director of DSY Wellness International Sdn Bhd | The directors and shareholders of Welltech are related parties to Mr. Yap Foo Ching (Steve Yap), a director of DSY Wellness International Sdn Bhd |
Nature | Purchases of beauty products | Purchases of beauty products |
Accounts payable, related parties, current | $ 54 | $ 224 |
DSY Wellness International Sdn. Bhd. [Member] | ||
Related Party Transaction [Line Items] | ||
Relationship | Mr. Chew Yi Zheng is the member of the immediate family of Mr. Yap Foo Ching (Steve Yap), the director of DSY Wellness International Sdn Bhd | Mr. Chew Yi Zheng is the member of the immediate family of Mr. Yap Foo Ching (Steve Yap), the director of DSY Wellness International Sdn Bhd |
Nature | Render therapy and health consultation to customer | Render therapy and health consultation to customer |
Accounts payable, related parties, current | $ 4,355 | |
CTA Nutriceuticals Asia Sdn Bhd [Member] | ||
Related Party Transaction [Line Items] | ||
Relationship | The directors and shareholders of CTA are related parties to Mr. Yap Foo Ching (Steve Yap), a director of DSY International Wellness Sdn Bhd | The directors and shareholders of CTA are related parties to Mr. Yap Foo Ching (Steve Yap), a director of DSY International Wellness Sdn Bhd |
Nature | Purchase of products for general use | Purchase of products for general use |
Due to related parties | $ 570 | $ 2,149 |
DSY Beauty Sdn Bhd Two [Member] | ||
Related Party Transaction [Line Items] | ||
Relationship | The directors and shareholders of Welltech are related parties to Mr. Yap Foo Ching (Steve Yap), a director of DSY Wellness International Sdn Bhd | The directors and shareholders of Welltech are related parties to Mr. Yap Foo Ching (Steve Yap), a director of DSY Wellness International Sdn Bhd |
Nature | Purchase of products for general use | Purchase of products for general use |
Due to related parties | $ 535 | $ 2,147 |
Yap Foo Ching [Member] | ||
Related Party Transaction [Line Items] | ||
Relationship | Mr. Yap Foo Ching, the director of the DSY Wellness International Sdn Bhd | Mr. Yap Foo Ching, the director of the DSY Wellness International Sdn Bhd |
Nature | Payment on behalf by Mr. Yap | Payment on behalf by Mr. Yap |
Due to related parties | $ 6,534 | |
How Kok Choong [Member] | ||
Related Party Transaction [Line Items] | ||
Relationship | Mr. How Kok Choong, the CEO and director of the Company | Mr. How Kok Choong, the CEO and director of the Company |
Nature | Commission expense | Commission expense |
Due to related parties | $ 207 | $ 584 |
How Kok Choong [Member] | Chief Executive Officer [Member] | ||
Related Party Transaction [Line Items] | ||
Commission expense | $ 5,947 | $ 16,590 |
CTA Nutriceuticals Sdn Bhd One [Member] | ||
Related Party Transaction [Line Items] | ||
Relationship | The directors and shareholders of CTA are related parties to Mr. Yap Foo Ching (Steve Yap), a director of DSY International Wellness Sdn Bhd | The directors and shareholders of CTA are related parties to Mr. Yap Foo Ching (Steve Yap), a director of DSY International Wellness Sdn Bhd |
Nature | Purchases of products for the provision of complementary health therapies | Purchases of products for the provision of complementary health therapies |
Other expenses | $ 272,993 | $ 198,376 |
DSY Beauty Sdn Bhd Three [Member] | ||
Related Party Transaction [Line Items] | ||
Relationship | The directors and shareholders of Welltech are related parties to Mr. Yap Foo Ching (Steve Yap), a director of DSY Wellness International Sdn Bhd | The directors and shareholders of Welltech are related parties to Mr. Yap Foo Ching (Steve Yap), a director of DSY Wellness International Sdn Bhd |
Nature | Purchases of beauty products | Purchases of beauty products |
Other expenses | $ 18,516 | $ 3,975 |
DSY Wellness & Longevity Center Sdn Bhd (DSYWLC) [Member] | ||
Related Party Transaction [Line Items] | ||
Relationship | Mr. Yap Foo Ching (Steve Yap), a director of DSY Wellness International Sdn Bhd is also a director of DSYWLC. | Mr. Yap Foo Ching (Steve Yap), a director of DSY Wellness International Sdn Bhd is also a director of DSYWLC. |
Nature | Purchases of products for the provision of complementary health therapies | Purchases of products for the provision of complementary health therapies |
Other expenses | $ 124 | |
Mr. Chew Yi Zheng [Member] | ||
Related Party Transaction [Line Items] | ||
Relationship | Mr. Chew Yi Zheng is the member of the immediate family of Mr. Yap Foo Ching (Steve Yap), the director of DSY Wellness International Sdn Bhd | Mr. Chew Yi Zheng is the member of the immediate family of Mr. Yap Foo Ching (Steve Yap), the director of DSY Wellness International Sdn Bhd |
Nature | Services acquired for therapy and health consultation to customer | Services acquired for therapy and health consultation to customer |
Other expenses | $ 4,355 | |
Ando Design Sdn Bhd [Member] | ||
Related Party Transaction [Line Items] | ||
Relationship | Mr. How Kok Choong, the CEO and director of the Company is also the director of Ando. | Mr. How Kok Choong, the CEO and director of the Company is also the director of Ando. |
Nature | Rental income | Rental income |
Office rental expense | $ 2,630 | |
Redboy Picture Sdn Bhd [Member] | ||
Related Party Transaction [Line Items] | ||
Relationship | Mr. How Kok Choong, the CEO and director of the Company is also the director of Redboy. | Mr. How Kok Choong, the CEO and director of the Company is also the director of Redboy. |
Nature | Rental income | Rental income |
Office rental expense | $ 5,260 | |
TH3 Technology Sdn Bhd One [Member] | ||
Related Party Transaction [Line Items] | ||
Relationship | Mr. How Kok Choong, the CEO and director of the Company is also a director of TH3 | Mr. How Kok Choong, the CEO and director of the Company is also a director of TH3 |
Nature | Rental income | Rental income |
Office rental expense | $ 460 | |
CTA Nutriceuticals Asia Sdn Bhd One [Member] | ||
Related Party Transaction [Line Items] | ||
Relationship | The directors and shareholders of CTA are related parties to Mr. Yap Foo Ching (Steve Yap), a director of DSY International Wellness Sdn Bhd | The directors and shareholders of CTA are related parties to Mr. Yap Foo Ching (Steve Yap), a director of DSY International Wellness Sdn Bhd |
Nature | Purchases of products for the provision of complementary health therapies | Purchases of products for the provision of complementary health therapies |
Purchases | $ 6,213 | $ 5,431 |
DSY Beauty Sdn Bhd Four [Member] | ||
Related Party Transaction [Line Items] | ||
Relationship | The directors and shareholders of Welltech are related parties to Mr. Yap Foo Ching (Steve Yap), a director of DSY Wellness International Sdn Bhd | The directors and shareholders of Welltech are related parties to Mr. Yap Foo Ching (Steve Yap), a director of DSY Wellness International Sdn Bhd |
Nature | Purchases of beauty products | Purchases of beauty products |
Purchases | $ 7,282 | $ 6,888 |
DSY Wellness and Longevity Center Sdn Bhd ("DSYWLC") [Member] | ||
Related Party Transaction [Line Items] | ||
Relationship | Mr. Yap Foo Ching (Steve Yap), a director of DSY Wellness International Sdn Bhd is also a director of DSYWLC. | Mr. Yap Foo Ching (Steve Yap), a director of DSY Wellness International Sdn Bhd is also a director of DSYWLC. |
Nature | Purchases of products for the provision of complementary health therapies | Purchases of products for the provision of complementary health therapies |
Other expenses | $ 368 | $ 4 |
How Kok Choong One [Member] | ||
Related Party Transaction [Line Items] | ||
Relationship | Mr. How Kok Choong, the CEO and director of the Company | Mr. How Kok Choong, the CEO and director of the Company |
Nature | Commission expense | Commission expense |
Commission expense | $ 5,947 | $ 16,590 |
TH3 Technology Sdn Bhd Two [Member] | ||
Related Party Transaction [Line Items] | ||
Relationship | Mr. How Kok Choong, the CEO and director of the Company is also a director of TH3 | Mr. How Kok Choong, the CEO and director of the Company is also a director of TH3 |
Nature | IT support services fee | IT support services fee |
Other expenses | $ 54,956 | $ 56,450 |
Redboy Picture Sdn Bhd Two [Member] | ||
Related Party Transaction [Line Items] | ||
Relationship | Mr. How Kok Choong, the CEO and director of the Company is also the director of Redboy | Mr. How Kok Choong, the CEO and director of the Company is also the director of Redboy |
Nature | Sponsorship fee | Sponsorship fee |
Other expenses | $ 22,686 | |
DSY Wellness & Longevity Center Sdn Bhd (DSYWLC) [Member] | ||
Related Party Transaction [Line Items] | ||
Relationship | Mr. Yap Foo Ching (Steve Yap), a director of DSY Wellness International Sdn Bhd is also a director of DSYWLC. | Mr. Yap Foo Ching (Steve Yap), a director of DSY Wellness International Sdn Bhd is also a director of DSYWLC. |
Nature | Office rental expenses | Office rental expenses |
DSY Wellness and Longevity Center Sdn Bhd Two ("DSYWLC") [Member] | ||
Related Party Transaction [Line Items] | ||
Other expenses | $ 31,563 | $ 21,779 |
SCHEDULE OF SHARE-BASED COMPENS
SCHEDULE OF SHARE-BASED COMPENSATION ARRANGEMENTS BY SHARE-BASED PAYMENT AWARD (Details) | Oct. 13, 2023 USD ($) |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |
Warrant fair value | $ 38,580 |
Warrant [Member] | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |
Risk-free interest rate | 4.65% |
Expected volatility | 49% |
Expected life (in years) | 5 years |
Expected dividend yield | 0% |
STOCKHOLDERS_ EQUITY (Details N
STOCKHOLDERS’ EQUITY (Details Narrative) - USD ($) | 12 Months Ended | |||||||
Dec. 21, 2023 | Dec. 20, 2023 | Nov. 22, 2023 | Oct. 13, 2023 | Oct. 10, 2023 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||
Preferred stock, shares authorized | 200,000,000 | 200,000,000 | ||||||
Preferred stock, shares issued | 0 | 0 | ||||||
Preferred stock, shares outstanding | 0 | 0 | ||||||
Common stock, shares authorized | 1,000,000,000 | 1,000,000,000 | ||||||
Common stock, shares issued | 77,102,012 | 75,452,012 | ||||||
Common stock, shares outstanding | 77,102,012 | 75,452,012 | ||||||
Stock repurchased | $ 94,141 | |||||||
Issuance of shares | $ 5,002,320 | |||||||
Common stock, par value | $ 0.0001 | $ 0.0001 | ||||||
Warrant fair value | $ 38,580 | |||||||
Common Stock [Member] | ||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||
Number of shares forfeited | (215,008,035) | |||||||
Stock repurchased | $ 68,445 | $ 25,696 | $ 1,000,000 | |||||
Stock repurchased, shares | 95,000 | 40,300 | 115,500 | |||||
Issuance of shares | $ 1,650,000 | $ 166 | ||||||
Common stock, par value | $ 0.0001 | |||||||
Share price | $ 4.40 | $ 4 | ||||||
Share Forfeiture Agreements [Member] | ||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||
Reduction in outstanding shares | 215,008,035 | 85,992,000 | ||||||
Share Forfeiture Agreements [Member] | How Kok Choong Talent Limited [Member] | ||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||
Number of shares forfeited | 215,008,035 | 41,750,000 | ||||||
Share Forfeiture Agreements [Member] | How Kok Choong Talent Limited [Member] | Shareholders [Member] | ||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||
Number of shares forfeited | 44,242,000 | |||||||
Share Forfeiture Agreements [Member] | HKC Holdings Sdn Bhd [Member] | ||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||
Number of shares forfeited | 11,242,000 |
SCHEDULE OF NON CONTROLLING INT
SCHEDULE OF NON CONTROLLING INTEREST (Details) - USD ($) | Dec. 31, 2023 | Dec. 31, 2022 |
Noncontrolling Interest [Abstract] | ||
Paid-in capital | $ 97 | $ 97 |
Retained earnings | 12,434 | 20,384 |
Accumulated other comprehensive income (expense) | (752) | 32 |
Noncontrolling interest gross | 11,779 | 20,513 |
ASL | ||
Total | $ 11,779 | $ 20,513 |
SCHEDULE OF COMPONENTS OF INCOM
SCHEDULE OF COMPONENTS OF INCOME/(LOSS) BEFORE INCOME TAX (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Loss before income tax | $ (2,106,360) | $ (1,670,134) |
UNITED STATES | ||
Local – United States | (735,503) | (736,946) |
MALAYSIA | ||
Foreign – Tax Jurisdictions | (1,315,491) | (864,794) |
HONG KONG | ||
Foreign – Tax Jurisdictions | $ (55,366) | $ (68,394) |
SCHEDULE OF PROVISION FOR INCOM
SCHEDULE OF PROVISION FOR INCOME TAX (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Current: | ||
- Local | ||
- Foreign | (3,795) | (10,962) |
Deferred: | ||
- Local | ||
- Foreign | 220 | 15,017 |
Benefit of (Provision for) income taxes | $ (3,575) | $ 4,055 |
SCHEDULE OF EFFECTIVE INCOME TA
SCHEDULE OF EFFECTIVE INCOME TAX RATE (Details) | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | ||
Income Tax Disclosure [Abstract] | |||
Malaysia statutory tax rate | [1] | 24% | 24% |
Valuation allowance | (20.23%) | (25.90%) | |
Differential of local statutory tax rate | (1.55%) | 1% | |
Permanent difference | [2] | (2.39%) | 1.20% |
Effective tax rate | (0.17%) | 0.30% | |
[1]As the Company business operation mainly concentrated in Malaysia, the Company determined to apply Malaysia statutory tax rate in reconciliation of the statutory tax rate to the effective tax rate.[2]The amount comprised: Being expenses incurred in AATP LB, ASL, SEA and WATP that are not deductible in the Malaysia tax return. |
SCHEDULE OF DEFERRED TAX ASSETS
SCHEDULE OF DEFERRED TAX ASSETS (Details) - USD ($) | Dec. 31, 2023 | Dec. 31, 2022 |
Income Tax Disclosure [Abstract] | ||
Net operating loss carry forwards in U.S. | $ 439,492 | $ 284,959 |
Net operating loss carry forwards in Malaysia | 664,105 | 408,226 |
Unabsorbed capital allowance carry forward in Malaysia | 5,577 | |
Less: valuation allowance | (1,108,955) | (693,185) |
Deferred tax assets, net | $ 219 |
INCOME TAXES (Details Narrative
INCOME TAXES (Details Narrative) | 12 Months Ended | ||||
Dec. 31, 2023 USD ($) | Dec. 31, 2023 MYR (RM) | Dec. 31, 2022 USD ($) | Dec. 31, 2022 MYR (RM) | Dec. 31, 2023 MYR (RM) | |
Operating Loss Carryforwards [Line Items] | |||||
Tax rate description | In addition, the Tax Cuts and Jobs Act imposed a global intangible low-taxed income (“GILTI”) tax, which is a tax on certain off-shore earnings at an effective rate of 10.5% for tax years (50% deduction of the current enacted tax rate of 21%) with a partial offset for 80% foreign tax credits. If the foreign tax rate is 13.125% or higher, there will be no U.S. corporate tax after the 80% foreign tax credits are applied | In addition, the Tax Cuts and Jobs Act imposed a global intangible low-taxed income (“GILTI”) tax, which is a tax on certain off-shore earnings at an effective rate of 10.5% for tax years (50% deduction of the current enacted tax rate of 21%) with a partial offset for 80% foreign tax credits. If the foreign tax rate is 13.125% or higher, there will be no U.S. corporate tax after the 80% foreign tax credits are applied | |||
Deferred tax valuation allowance | $ 1,108,955 | $ 693,185 | |||
2031 [Member] | |||||
Operating Loss Carryforwards [Line Items] | |||||
Operating loss carryforwards | 758,000 | ||||
2032 [Member] | |||||
Operating Loss Carryforwards [Line Items] | |||||
Operating loss carryforwards | 842,000 | ||||
2033 [Member] | |||||
Operating Loss Carryforwards [Line Items] | |||||
Operating loss carryforwards | 1,196,000 | ||||
UNITED STATES | |||||
Operating Loss Carryforwards [Line Items] | |||||
Operating loss carryforwards | 2,093,000 | 1,357,000 | |||
Deferred tax valuation allowance | 440,000 | $ 285,000 | |||
MALAYSIA | |||||
Operating Loss Carryforwards [Line Items] | |||||
Tax percentage | 17% | 17% | |||
Operating loss carryforwards | 2,796,000 | $ 1,640,000 | |||
Deferred tax valuation allowance | $ 670,000 | 408,000 | |||
Income tax examination, description | The tax rate for small and medium sized companies (generally companies incorporated in Malaysia with paid-in capital of RM 2,500,000 or less) is 15% for the first RM 150,000 (or approximately $37,500), 17% for the subsequent RM 150,000 to RM 600,000 (or approximately $37,500 to $150,000) and 24% for the remaining balance for the year ended December 31, 2023. Whereas the tax rate for the year ended December 31, 2022 is 17% for the first RM 600,000 (or approximately $150,000) and the remaining balance being taxed at the 24% rate | The tax rate for small and medium sized companies (generally companies incorporated in Malaysia with paid-in capital of RM 2,500,000 or less) is 15% for the first RM 150,000 (or approximately $37,500), 17% for the subsequent RM 150,000 to RM 600,000 (or approximately $37,500 to $150,000) and 24% for the remaining balance for the year ended December 31, 2023. Whereas the tax rate for the year ended December 31, 2022 is 17% for the first RM 600,000 (or approximately $150,000) and the remaining balance being taxed at the 24% rate | |||
Paid in capital | RM | RM 2,500,000 | ||||
Additional paid in capital stock split | $ 37,500 | RM 150,000 | $ 150,000 | RM 600,000 | |
MALAYSIA | Minimum [Member] | |||||
Operating Loss Carryforwards [Line Items] | |||||
Additional paid in capital stock split | 150,000 | 150,000 | |||
MALAYSIA | Maximum [Member] | |||||
Operating Loss Carryforwards [Line Items] | |||||
Additional paid in capital stock split | $ 37,500 | RM 600,000 | |||
MALAYSIA | First RM [Member] | |||||
Operating Loss Carryforwards [Line Items] | |||||
Tax percentage | 15% | 15% | |||
MALAYSIA | Subsequent RM [Member] | |||||
Operating Loss Carryforwards [Line Items] | |||||
Tax percentage | 17% | 17% | |||
HONG KONG | |||||
Operating Loss Carryforwards [Line Items] | |||||
Tax percentage | 16.50% | 16.50% | |||
State and Local Jurisdiction [Member] | |||||
Operating Loss Carryforwards [Line Items] | |||||
Tax percentage | 21% | 21% | |||
Foreign Tax Authority [Member] | |||||
Operating Loss Carryforwards [Line Items] | |||||
Tax percentage | 21% | 21% |
CONCENTRATIONS OF RISKS (Detail
CONCENTRATIONS OF RISKS (Details Narrative) - USD ($) | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Concentration Risk [Line Items] | ||
Deposits | $ 4,817,213 | $ 1,427,963 |
Deposit for insurance | $ 4,630,476 | $ 231,187 |
DSwiss Inc. [Member] | ||
Concentration Risk [Line Items] | ||
Proportional of ownership interest and voting power held | 0.01% | |
DSwiss Inc. [Member] | ||
Concentration Risk [Line Items] | ||
Dividend share for common stock | 23,330 | |
No Customer [Member] | Revenue from Contract with Customer Benchmark [Member] | Customer Concentration Risk [Member] | ||
Concentration Risk [Line Items] | ||
Concentrations of risk percentage | 10% | 10% |
Six Individual Customers [Member] | Accounts Receivable [Member] | Customer Concentration Risk [Member] | ||
Concentration Risk [Line Items] | ||
Concentrations of risk percentage | 40.20% | |
Five Individual Customers [Member] | Accounts Receivable [Member] | Customer Concentration Risk [Member] | ||
Concentration Risk [Line Items] | ||
Concentrations of risk percentage | 72% | |
Vendor One [Member] | Cost of Goods and Service Benchmark [Member] | Supplier Concentration Risk [Member] | ||
Concentration Risk [Line Items] | ||
Concentrations of risk percentage | 54.80% | 53.30% |
Vendor One [Member] | Cost of Goods and Service Benchmark [Member] | Supplier Concentration Risk [Member] | DSwiss Inc. [Member] | ||
Concentration Risk [Line Items] | ||
Concentrations of risk percentage | 6.60% | 22.10% |
Vendor One [Member] | Accounts Payable [Member] | Supplier Concentration Risk [Member] | ||
Concentration Risk [Line Items] | ||
Concentrations of risk percentage | 61.80% | 46.60% |
Vendor Two [Member] | Cost of Goods and Service Benchmark [Member] | Supplier Concentration Risk [Member] | ||
Concentration Risk [Line Items] | ||
Concentrations of risk percentage | 26% | 22.10% |
Vendor Two [Member] | Accounts Payable [Member] | Supplier Concentration Risk [Member] | ||
Concentration Risk [Line Items] | ||
Concentrations of risk percentage | 35.40% | 25.80% |
Vendor Three [Member] | Cost of Goods and Service Benchmark [Member] | Supplier Concentration Risk [Member] | ||
Concentration Risk [Line Items] | ||
Concentrations of risk percentage | 21.30% | |
Vendor Three [Member] | Accounts Payable [Member] | Supplier Concentration Risk [Member] | ||
Concentration Risk [Line Items] | ||
Concentrations of risk percentage | 23.90% | |
Vendor [Member] | Accounts Payable [Member] | Supplier Concentration Risk [Member] | ||
Concentration Risk [Line Items] | ||
Concentrations of risk percentage | 35.40% | 46.60% |
One Sales Distributor [Member] | Cost of Goods and Service Benchmark [Member] | Supplier Concentration Risk [Member] | ||
Concentration Risk [Line Items] | ||
Concentrations of risk percentage | 15.10% | 10.30% |
SCHEDULE OF LEASE COST (Details
SCHEDULE OF LEASE COST (Details) - USD ($) | 12 Months Ended | |||||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 18, 2023 | Oct. 01, 2023 | Sep. 01, 2023 | Jun. 01, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | ||||||
Operating lease cost | $ 157,370 | $ 161,396 | ||||
Amortization of finance lease asset | 13,094 | |||||
Interest on finance lease liabilities | $ 275 | |||||
Weighted average remaining lease term (years) - Operating lease | 2 years 5 months 23 days | 6 months 14 days | ||||
Weighted average remaining lease term (years) - Finance lease | 5 years | |||||
Weighted average discount rate - Operating lease | 5.50% | 5.50% | 5.50% | 5.50% | 5.50% | |
Weighted average discount rate - Finance lease | 8.60% | 8.63% |
SCHEDULE OF LEASE COMMITMENTS (
SCHEDULE OF LEASE COMMITMENTS (Details) - USD ($) | Dec. 31, 2023 | Dec. 18, 2023 |
Lessee, Operating Lease, Liability, to be Paid, Fiscal Year Maturity [Abstract] | ||
Operating lease liabilities - 2024 | $ 154,403 | |
Operating lease liabilities - 2025 | 154,394 | |
Operating lease liabilities - 2026 | 74,525 | |
Operating lease liabilities - 2027 | ||
Operating lease liabilities - Thereafter | ||
Operating lease liabilities - Total lease payments | 383,322 | |
Operating lease liabilities - Less: interest | (25,244) | |
Present value of operating lease liabilities | 358,078 | |
Finance Lease, Liability, to be Paid, Fiscal Year Maturity [Abstract] | ||
Finance lease liabilities - 2024 | 12,910 | |
Finance lease liabilities - 2025 | 14,512 | |
Finance lease liabilities - 2026 | 14,512 | |
Finance lease liabilities - 2027 | 14,512 | |
Finance lease liabilities - Thereafter | 47,432 | |
Finance lease liabilities - Total lease payments | 103,879 | |
Finance lease liabilities - Less: interest | (24,241) | |
Present value of finance lease liabilities | $ 79,638 | $ 78,824 |
COMMITMENTS AND CONTINGENCIES_2
COMMITMENTS AND CONTINGENCIES (Details Narrative) - USD ($) | 12 Months Ended | |||||
Oct. 01, 2023 | Sep. 01, 2023 | Jun. 01, 2023 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 18, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | ||||||
Lease option to extend | upon the expiry of the two-years lease for an apartment to serve as staff accommodation, the Company entered into a new two-years lease with the same landlord who had earlier leased the same apartment to the Company since October 1, 2021. | upon the expiry of the two-years lease for its office space and sales training center, the Company entered into a new three-years lease with the same landlord who had earlier leased the same office space and sales training center to the Company since April 1, 2020. | upon the expiry of the two-years lease for its office space, the Company entered into a new three-years lease with the same landlord who had earlier leased the same office space to the Company since April 1, 2020. | |||
Operating right-of-use assets | $ 8,940 | $ 126,093 | $ 283,220 | $ 357,301 | $ 81,133 | |
Operating lease effective interest rate | 5.50% | 5.50% | 5.50% | 5.50% | 5.50% | |
Lease term | 5 years | |||||
Finance lease liabilities | $ 79,638 | $ 78,824 | ||||
Finance lease effective interest rate | 8.60% | 8.63% | ||||
Operating lease payments | $ 40,675 | |||||
Operating lease, expense | $ 39,825 | $ 29,152 |
SUBSEQUENT EVENTS (Details Narr
SUBSEQUENT EVENTS (Details Narrative) - Subsequent Event [Member] - OIE ATPC Holdings [Member] | Mar. 14, 2024 | Jan. 03, 2024 |
Subsequent Event [Line Items] | ||
Proportional of ownership interest and voting power held | 50% | |
OIE [Member] | ||
Subsequent Event [Line Items] | ||
Proportional of ownership interest and voting power held | 50% | 50% |