Hongchang International Co., Ltd. Files Quarterly Report (10-Q)

TL;DR

<b>Hongchang International Co., Ltd. has filed its quarterly report (10-Q) for the period ending March 31, 2024, confirming compliance with filing requirements.</b>

AI Summary

Hongchang International Co., Ltd (HCIL) filed a Quarterly Report (10-Q) with the SEC on May 15, 2024. Filed a Form 10-Q for the quarterly period ended March 31, 2024. The company is incorporated in Nevada and has its principal executive offices in Fuqing City, Fujian Province, China. Hongchang International Co., Ltd. was formerly known as Heyu Biological Technology Corp and Pacific Webworks Inc. The company has submitted all required reports for the preceding 12 months and has been subject to filing requirements for the last 90 days. The registrant has submitted electronically every Interactive Data File required by Rule 405 of Regulation S-T.

Why It Matters

For investors and stakeholders tracking Hongchang International Co., Ltd, this filing contains several important signals. This filing provides an update on the company's financial and operational status for the first quarter of 2024. The report details the company's compliance with SEC regulations, including electronic data submission.

Risk Assessment

Risk Level: low — Hongchang International Co., Ltd shows low risk based on this filing. The filing is a routine quarterly report and does not contain significant new financial data or disclosures that would indicate a change in risk profile.

Analyst Insight

Monitor future filings for detailed financial performance and any operational updates from Hongchang International Co., Ltd.

Key Numbers

• 20240331 — Quarterly Period End Date (Conformed period of report)
• 20240515 — Filing Date (Filed as of date)
• 000-26731 — SEC File Number (Commission file number)
• 87-0627910 — IRS Employer Identification No. (I.R.S. Employer Identification No.)

Key Players & Entities

• Hongchang International Co., Ltd (company) — Exact name of registrant
• March 31, 2024 (date) — Quarterly period ended
• Nevada (jurisdiction) — State or other jurisdiction of incorporation or organization
• Fuqing City, Fujian Province, China (location) — Address of principal executive offices
• Heyu Biological Technology Corp (company) — Former company name
• PACIFIC WEBWORKS INC (company) — Former company name
• 20180703 (date) — Date of name change
• 19990715 (date) — Date of name change

FAQ

Industry Context

The company operates within the Electromedical & Electrotherapeutic Apparatus industry, SIC code 3845.

Regulatory Implications

The filing is a standard Form 10-Q, adhering to the reporting requirements of the Securities Exchange Act of 1934.

What Investors Should Do

1. Review the full 10-Q filing for detailed financial statements and management discussion.
2. Track future SEC filings for updates on the company's performance and strategic initiatives.
3. Research the company's industry (Electromedical & Electrotherapeutic Apparatus) for competitive context.

Year-Over-Year Comparison

This is the initial analysis of the 2024 Q1 10-Q filing. Previous filings would need to be compared for specific changes.

Key Financial Figures

• $ — functional currency of the Company is US$, and the functional currency of the Com

Filing Documents

• ea0206010-10q_hong.htm (10-Q) — 540KB
• ea020601001ex31-1_hong.htm (EX-31.1) — 8KB
• ea020601001ex31-2_hong.htm (EX-31.2) — 8KB
• ea020601001ex32-1_hong.htm (EX-32.1) — 4KB
• ea020601001ex32-2_hong.htm (EX-32.2) — 4KB
• 0001213900-24-043614.txt (&nbsp;) — 4565KB
• hcil-20240331.xsd (EX-101.SCH) — 66KB
• hcil-20240331_cal.xml (EX-101.CAL) — 42KB
• hcil-20240331_def.xml (EX-101.DEF) — 231KB
• hcil-20240331_lab.xml (EX-101.LAB) — 399KB
• hcil-20240331_pre.xml (EX-101.PRE) — 227KB
• ea0206010-10q_hong_htm.xml (XML) — 483KB

Financial Statements

Financial Statements 1 Condensed Consolidated Balance Sheets (Unaudited) 1 Condensed Consolidated Statements of Operations and Comprehensive Income (Loss) (Unaudited) 2 Condensed Consolidated Statements of Stockholders' Equity (Unaudited) 3 Condensed Consolidated Statement of Cash Flows (Unaudited) 4 Notes to Condensed Consolidated Financial Statements (Unaudited) 5 Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations 20 Item 3. Quantitative and Qualitative Disclosures about Market Risk 25 Item 4.

Controls and Procedures

Controls and Procedures 25 Part II OTHER INFORMATION Item 1.

Legal Proceedings

Legal Proceedings 26 Item 1A.

Risk Factors

Risk Factors 26 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 26 Item 3. Defaults Upon Senior Securities 26 Item 4. Mine Safety Disclosures 26 Item 5. Other Information 26 Item 6. Exhibits 27 i

FORWARD LOOKING STATEMENTS

FORWARD LOOKING STATEMENTS This quarterly report on Form 10-Q ("Report"), financial statements, and notes to financial statements contain forward-looking statements that discuss, among other things, future expectations and projections regarding future developments, operations, and financial conditions. Forward-looking statements may appear throughout this Report and other documents we file with the Securities and Exchange Commission (the "SEC"), including without limitation, the following section: Part I, Item 2, "Management's Discussion and Analysis of Financial Condition and Results of Operations" in this Report.

Forward-looking statements generally can be identified

Forward-looking statements generally can be identified by words such as "anticipates," "believes," "estimates," "expects," "intends," "plans," "predicts," "projects," "will be," "will continue," "may," "could," "will likely result," and similar expressions. These forward-looking statements are based on current expectations and assumptions that are subject to risks and uncertainties, which could cause our actual results to differ materially from those reflected in the forward-looking statements. We undertake no obligation to revise or publicly release the results of any revision to these forward-looking statements, except as required by law. Given these risks and uncertainties, readers are cautioned not to place undue reliance on such forward-looking statements. ii

- FINANCIAL INFORMATION

PART I - FINANCIAL INFORMATION

FINANCIAL STATEMENTS

ITEM 1. FINANCIAL STATEMENTS Hongchang International Co., Ltd Condensed Consolidated Balance Sheets As of March 31, 2024 December 31, 2023 (unaudited) US$ US$ ASSETS: Current assets: Cash 895,074 895,730 Accounts receivable, net 4,375 742,851 Amount due from a related party - 141 Other receivable, net 1,757 1,106,574 Inventories, net 164 13,713 Advance to supplier-related party - 59,324 Other current assets 1,132,815 1,142,409 Total current assets 2,034,185 3,960,742 Non-current assets: Property and equipment, net 2,854 3,193 Construction-in-progress 41,508,424 41,423,399 Intangible assets, net 3,069 3,213 Land use right, net 4,015,455 4,118,101 Advance payment for construction 5,886,383 706,920 Total non-current assets 51,416,185 46,254,826 Total assets 53,450,370 50,215,568 LIABILITIES AND STOCKHOLDERS' EQUITY Current liabilities: Accounts payable 560 650,905 Accounts payable-construction in progress 29,616 18,493 Accrued expenses and other liabilities 317,140 385,805 Total current liabilities 347,316 1,055,203 Non-current liabilities Deferred subsidies 1,950,269 1,989,463 Long term loans 5,953,963 - Amounts due to a related party 5,622,858 6,682,959 Total non-current liabilities 13,527,090 8,672,422 Total liabilities 13,874,406 9,727,625 Commitments and contingencies - - Stockholders' equity: Common stocks (US$ 0.001 par value; 2,000,000,000 shares authorized; 518,831,367 and 518,831,367 issued and outstanding as of December 31, 2023 and March 31, 2024, respectively) 518,831 518,831 Additional paid-in capital 39,905,228 39,905,228 Accumulated deficit ( 909,108 ) ( 812,539 ) Accumulated other comprehensive income (loss) 61,013 876,423 Total stockholders' equity 39,575,964 40,487,943 Total liabilities and stockholders' equity 53,450,370 50,215,568 The accompanying notes are an integral part of these unaudited conde

Financial Statements

Financial Statements 1. ORGANIZATION (a) Nature of operations Hongchang International Co., Ltd (the "Company") was incorporated in the state of Nevada on May 18, 1987. The Company is a holding company. On September 4, 2023, Heyu Biological Technology Corporation ("HYBT"), the Company's predecessor, completed the merger and other related transactions (the "Merger Transactions") with Hongchang Global Investment Holdings Limited ("Hongchang BVI"), as a result of which Hongchang BVI became a wholly-owned subsidiary of HYBT and HYBT assumed and began conducting the principal business of Hongchang BVI. The name of the Company was changed from "Heyu Biological Technology Corporation" to "Hongchang International Co., Ltd." (HCIL). The "Group" means (i) prior to the completion of the Reorganization, Hongchang BVI and its subsidiaries that engage in businesses of food trade and biotechnology in China (ii) upon and after completion of the Merger Transactions, the Company and its subsidiaries that engage in businesses of food trade and biotechnology in China. (b) History and reorganization of the Group In preparation of the Merger Transactions, the following transactions were undertaken to reorganize the legal structure of Operating Entity ("Reorganization"). On January 13, 2023, Mr. Zengqiang Lin and Ms. Zhenzhu Lin, the existing stockholders of Fuqing Hongchang Food Co., Ltd ("Hongchang Food") established two wholly-owned subsidiaries ("BVI-1" and "BVI-2") in British Virgin Island, respectively. On January 18, 2023, Hong Chang Global Investment Holdings Limited ("Hongchang BVI") was then incorporated by BVI-1 and BVI-2 which held 70 % and 30 % equity interest of Hongchang BVI, respectively. On February 6, 2023, Hongchang BVI incorporated a wholly-owned subsidiary, Hong Chang Biotechnologies (HK) Limited ("Hongchang HK"). On February 28, 2023, Hongchang HK incorporated a wholly-owned subsidiary, Fujian Hongjin Biotechnology Co., Ltd. ("WFOE") in the People's Republi

View Full Filing

View this 10-Q filing on SEC EDGAR