Exhibit 99.1
The financial statements for the first half year ended June 30, 2024 of Top KingWin Ltd (the “Company”, “we” or “us”) included herein have not been audited by the Company’s independent registered accounting firm.
TOP KINGWIN LTD
UNAUDITED INTERIM CONDENSED CONSOLIDATED BALANCE SHEETS AS OF JUNE 30, 2024
AND DECEMBER 31, 2023
(In USD)
| June 30, 2024 | December 31, 2023 | |||||||
| ASSETS | ||||||||
| CURRENT ASSETS | ||||||||
| Cash | $ | 3,098,787 | $ | 4,618,670 | ||||
| Restricted cash | - | 30,310 | ||||||
| Accounts receivable, net | 297,161 | 504,472 | ||||||
| Prepayments | 51,394 | 203,126 | ||||||
| Due from related parties | 472,180 | 1,119,099 | ||||||
| Other receivables | 234,559 | 137,691 | ||||||
| Total current assets | 4,154,081 | 6,613,368 | ||||||
| NON-CURRENT ASSETS | ||||||||
| Property and equipment, net | 170,972 | 213,891 | ||||||
| Intangible assets, net | 71,425 | 46,365 | ||||||
| Operating lease right-of-use assets | 246,923 | 353,471 | ||||||
| Other non-current assets | 28,541 | 36,164 | ||||||
| Goodwill | 2,973,850 | 2,973,850 | ||||||
| Total non-current assets | 3,491,711 | 3,623,741 | ||||||
| TOTAL ASSETS | $ | 7,645,792 | $ | 10,237,109 | ||||
| LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||
| CURRENT LIABILITIES | ||||||||
| Accounts payable | $ | 334,718 | $ | 497,484 | ||||
| Accounts payable-related parties | 9,977 | 146,903 | ||||||
| Operating lease liabilities - current | 197,982 | 192,159 | ||||||
| Advance from clients | 479,327 | 626,851 | ||||||
| Due to related parties | 163,814 | 213,789 | ||||||
| Taxes payable | 10,776 | 64,120 | ||||||
| Accruals and other payables | 952,442 | 928,965 | ||||||
| Total current liabilities | 2,149,036 | 2,670,271 | ||||||
| Operating lease liabilities - non-current | 52,797 | 161,886 | ||||||
| Total non-current liabilities | 52,797 | 161,886 | ||||||
| TOTAL LIABILITIES | $ | 2,201,833 | $ | 2,832,157 | ||||
| COMMITMENTS AND CONTINGENCIES | ||||||||
| SHAREHOLDERS’ EQUITY | ||||||||
| Class A ordinary shares, $0.0001 par value, 300,000,000 shares authorized, 10,963,040 and 13,963,040 shares issued and outstanding as of December 31, 2023 and June 30, 2024* | $ | 1,396 | $ | 1,096 | ||||
| Class B ordinary shares, $0.0001 par value, 200,000,000 shares authorized, 3,786,960 shares issued and outstanding as of December 31, 2023 and June 30, 2024 | 379 | 379 | ||||||
| Additional paid-in capital | 10,016,212 | 8,275,034 | ||||||
| Statutory reserve | 282,545 | 282,545 | ||||||
| (Accumulated deficits) Retained earnings | (4,589,136 | ) | (928,311 | ) | ||||
| Accumulated other comprehensive loss | (267,437 | ) | (225,791 | ) | ||||
| Total shareholders’ equity | 5,443,959 | 7,404,952 | ||||||
| TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY | $ | 7,645,792 | $ | 10,237,109 | ||||
| * | Giving retroactive effect to the nominal issuance of shares effected on January 10, 2023 |
TOP KINGWIN LTD
UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENTS OF (LOSS) INCOME AND
COMPREHENSIVE (LOSS) INCOME FOR THE SIX MONTHS ENDED JUNE 30, 2024 AND 2023
(In USD)
| Six Months Ended | ||||||||
| June 30, | ||||||||
| 2024 | 2023 | |||||||
| REVENUES | 1,351,121 | 2,814,664 | ||||||
| COST OF REVENUES | (981,389 | ) | (746,661 | ) | ||||
| GROSS PROFIT | 369,732 | 2,068,003 | ||||||
| OPERATING EXPENSES | ||||||||
| Selling expenses | (611,938 | ) | (1,203,472 | ) | ||||
| General and administrative expenses | (3,444,910 | ) | (1,877,461 | ) | ||||
| Total operating expenses | (4,056,848 | ) | (3,080,933 | ) | ||||
| LOSS FROM OPERATIONS | (3,687,116 | ) | (1,012,930 | ) | ||||
| OTHER INCOME (EXPENSE), NET | ||||||||
| Other income | 122,261 | 58,524 | ||||||
| Other expense | (35,129 | ) | (6,638 | ) | ||||
| Total other income, net | 87,132 | 51,886 | ||||||
| NET LOSS BEFORE INCOME TAXES | (3,599,984 | ) | (961,044 | ) | ||||
| Income tax expense | (60,841 | ) | (117,629 | ) | ||||
| NET LOSS | $ | (3,660,825 | ) | $ | (1,078,673 | ) | ||
| Other comprehensive loss | ||||||||
| Foreign currency translation loss | (41,646 | ) | (65,734 | ) | ||||
| TOTAL COMPREHENSIVE LOSS | $ | (3,702,471 | ) | $ | (1,144,407 | ) | ||
| Basic and diluted loss per share* | $ | (0.21 | ) | $ | (0.08 | ) | ||
| Weighted average number of common shares outstanding - basic and diluted* | 17,750,000 | 13,115,278 | ||||||
| * | Giving retroactive effect to the nominal issuance of shares effected on January 10, 2023 |
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TOP KINGWIN LTD
UNAUDITED INTERIM CONDENSED STATEMENTS OF CASH FLOWS
FOR THE SIX MONTHS ENDED JUNE 30, 2024 AND 2023
(In USD)
| Six Months Ended | ||||||||
| June 30, | ||||||||
| 2024 | 2023 | |||||||
| Cash flows from operating activities | ||||||||
| Net loss | $ | (3,660,825 | ) | $ | (1,078,673 | ) | ||
| Adjustments to reconcile net income to cash (used in) provided by operating activities: | ||||||||
| Provision for doubtful accounts | (14,357 | ) | 114,462 | |||||
| Depreciation and amortization | 48,661 | 144,947 | ||||||
| Non-cash operating lease expenses | 106,548 | - | ||||||
| Share based compensation expenses | 1,773,600 | - | ||||||
| Foreign exchange gain | (42,850 | ) | - | |||||
| Deferred tax expenses | - | 118,159 | ||||||
| Changes in assets and liabilities | ||||||||
| Accounts receivable | 238,212 | (761,458 | ) | |||||
| Other receivables | (96,868 | ) | (68,925 | ) | ||||
| Prepayments | 151,732 | (366,835 | ) | |||||
| Accounts receivable - related party | - | (379,248 | ) | |||||
| Due from related parties | (234,387 | ) | - | |||||
| Other non-current assets | 7,623 | 1,971 | ||||||
| Accounts payable | (162,766 | ) | 257,028 | |||||
| Accruals and other payables | 23,477 | 1,026,012 | ||||||
| Advance from clients | (147,524 | ) | 423,795 | |||||
| Taxes payable | (53,344 | ) | 43,880 | |||||
| Operating lease liabilities | (103,266 | ) | (102,504 | ) | ||||
| Net cash used in operating activities | (2,166,334 | ) | (627,389 | ) | ||||
| Cash flows from investing activities | ||||||||
| Purchase of property and equipment | (5,690 | ) | 13,284 | |||||
| Purchase of intangible assets | (29,761 | ) | (4,028,815 | ) | ||||
| Net cash used in investing activities | (35,451 | ) | (4,015,531 | ) | ||||
| Cash flows from financing activities | ||||||||
| IPO proceeds net of deferred offering cost | - | 8,047,056 | ||||||
| Due from related parties | 881,306 | - | ||||||
| Due to related parties | (186,901 | ) | (1,099,907 | ) | ||||
| Net cash provided by financing activities | 694,405 | 6,947,149 | ||||||
| Effect of exchange rates on cash | (42,813 | ) | (65,734 | ) | ||||
| Net increase (decrease) in cash and restricted cash | (1,550,193 | ) | 2,238,495 | |||||
| Cash and restricted cash at beginning of period | 4,648,980 | 2,654,185 | ||||||
| Cash and restricted cash at end of period | $ | 3,098,787 | $ | 4,892,680 | ||||
| Cash at end of period | $ | 3,098,787 | $ | 4,892,680 | ||||
| Restricted cash at end of period | - | - | ||||||
| Cash and restricted cash at end of period | $ | 3,098,787 | $ | 4,892,680 | ||||
| Supplemental disclosure information | ||||||||
| Cash paid for interest expenses | $ | - | $ | - | ||||
| Cash paid for income tax | $ | 420 | $ | - | ||||
| Supplemental disclosure of non-cash financing activities: | ||||||||
| Operating lease asset obtained in exchange for operating lease obligation | $ | - | $ | 103,499 | ||||
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