Wetouch Technology Inc. Files 2023 Annual Report (10-K)

TL;DR

<b>Wetouch Technology Inc. has submitted its 2023 annual 10-K filing, detailing its financial performance and corporate activities for the fiscal year ending December 31, 2023.</b>

AI Summary

Wetouch Technology Inc. (WETH) filed a Annual Report (10-K) with the SEC on April 17, 2024. Wetouch Technology Inc. filed its 10-K report for the fiscal year ending December 31, 2023. The filing covers the period from January 1, 2023, to December 31, 2023. Key dates related to share exchange agreements and statutory reserves are noted. The company's business address is in Meishan City, Sichuan, China, with a mailing address in New York, NY. The SIC code for Wetouch Technology Inc. is 3577 (COMPUTER PERIPHERAL EQUIPMENT, NEC).

Why It Matters

For investors and stakeholders tracking Wetouch Technology Inc., this filing contains several important signals. This 10-K filing provides a comprehensive overview of Wetouch Technology Inc.'s financial health, operational status, and strategic direction for the past fiscal year, crucial for investors and stakeholders to assess the company's performance and future prospects. The detailed financial data and risk factors disclosed in the 10-K are essential for understanding the company's market position, potential challenges, and compliance with regulatory requirements.

Risk Assessment

Risk Level: medium — Wetouch Technology Inc. shows moderate risk based on this filing. The company's financial performance and operational details are not fully elaborated in the provided text, making a precise risk assessment difficult without access to the full financial statements and management discussion.

Analyst Insight

Investors should review the full 10-K filing to understand Wetouch Technology Inc.'s financial performance, operational risks, and strategic initiatives for 2023.

Key Numbers

• 2023-12-31 — Fiscal Year End (Reporting period)
• 2024-04-17 — Filing Date (Date of submission)
• 105 — Public Document Count (Number of documents in the filing)
• 0001493152-24-014934 — Accession Number (Unique identifier for the filing)

Key Players & Entities

• Wetouch Technology Inc. (company) — Filer name
• 2023-12-31 (date) — Fiscal year end
• 2024-04-17 (date) — Filing date
• Meishan City, Sichuan (location) — Business address city and state
• New York, NY (location) — Mail address state
• 3577 (other) — Standard Industrial Classification code

FAQ

Industry Context

Wetouch Technology Inc. operates in the computer peripheral equipment sector, as indicated by its SIC code 3577.

Regulatory Implications

The filing is made under the Securities Exchange Act of 1934, requiring public companies to submit annual reports.

What Investors Should Do

1. Review the full 10-K filing for detailed financial statements and management's discussion and analysis.
2. Analyze the risk factors section to understand potential challenges facing Wetouch Technology Inc.
3. Compare the 2023 performance with previous years to identify trends and assess growth.

Key Dates

• 2023-12-31: Fiscal Year End — End of the reporting period for the 10-K filing.
• 2024-04-17: Filing Date — Date Wetouch Technology Inc. submitted its 10-K report.

Year-Over-Year Comparison

This is the initial filing data provided for Wetouch Technology Inc.'s 2023 10-K, with no prior filing data available for comparison in this context.

Key Financial Figures

• $0.001 — h registered Common Stock , par value $0.001 per share WETH The Nasdaq Stock Mar
• $39.7 million — 3 and 2022, we recognized approximately $39.7 million and $37.9 million, respectively, in rev
• $37.9 m — ognized approximately $39.7 million and $37.9 million, respectively, in revenues. We s
• $10,000 — Hong Kong Wetouch in consideration of HK$10,000 pursuant to instruments of transfer in
• $40,000,000 — pany for an aggregate purchase price of $40,000,000, or $0.25 per share. The net proceeds o
• $0.25 — egate purchase price of $40,000,000, or $0.25 per share. The net proceeds of the offe
• $1.2 m — rm (see Note 10) on the agent fees of US$1.2 million, payable only on the completion o
• $5.00 — er share, at a public offering price of $5.00 per share. The Offering was conducted p
• $10.8 million — 3, 2024 and generated gross proceeds of $10.8 million. We paid a total of approximately $0.8
• $0.8 million — llion. We paid a total of approximately $0.8 million in underwriting discounts and commissio
• $0.8 million — unts and commissions, and approximately $0.8 million for other costs and expenses related to
• $9.2 million — r Offering expenses, were approximately $9.2 million. We also issued the Representatives' Wa

Filing Documents

• form10-k.htm (10-K) — 2029KB
• ex4-2.htm (EX-4.2) — 9KB
• ex10-13_2.htm (EX-10.13_2) — 19KB
• ex10-29.htm (EX-10.29) — 149KB
• ex10-30.htm (EX-10.30) — 55KB
• ex19.htm (EX-19) — 78KB
• ex31-1.htm (EX-31.1) — 12KB
• ex31-2.htm (EX-31.2) — 12KB
• ex32-1.htm (EX-32.1) — 6KB
• ex32-2.htm (EX-32.2) — 6KB
• ex97.htm (EX-97.1) — 26KB
• ex99-1.htm (EX-99.1) — 42KB
• ex99-2.htm (EX-99.2) — 40KB
• ex99-3.htm (EX-99.3) — 48KB
• form10-k_001.jpg (GRAPHIC) — 23KB
• form10-k_002.jpg (GRAPHIC) — 2KB
• form10-k_003.jpg (GRAPHIC) — 3KB
• form10-k_004.jpg (GRAPHIC) — 2KB
• form10-k_005.jpg (GRAPHIC) — 2KB
• form10-k_006.jpg (GRAPHIC) — 4KB
• form10-k_007.jpg (GRAPHIC) — 4KB
• form10-k_008.jpg (GRAPHIC) — 4KB
• form10-k_009.jpg (GRAPHIC) — 4KB
• form10-k_010.jpg (GRAPHIC) — 3KB
• form10-k_011.jpg (GRAPHIC) — 3KB
• form10-k_012.jpg (GRAPHIC) — 5KB
• form10-k_013.jpg (GRAPHIC) — 21KB
• form10-k_014.jpg (GRAPHIC) — 48KB
• ex10-29_003.jpg (GRAPHIC) — 14KB
• ex10-29_001.jpg (GRAPHIC) — 89KB
• ex10-29_002.jpg (GRAPHIC) — 70KB
• ex10-29_004.jpg (GRAPHIC) — 4KB
• ex10-29_005.jpg (GRAPHIC) — 212KB
• 0001493152-24-014934.txt (&nbsp;) — 8829KB
• weth-20231231.xsd (EX-101.SCH) — 54KB
• weth-20231231_cal.xml (EX-101.CAL) — 65KB
• weth-20231231_def.xml (EX-101.DEF) — 215KB
• weth-20231231_lab.xml (EX-101.LAB) — 389KB
• weth-20231231_pre.xml (EX-101.PRE) — 306KB
• form10-k_htm.xml (XML) — 1000KB

RISK FACTORS

ITEM 1A. RISK FACTORS 22

UNRESOLVED STAFF COMMENTS

ITEM 1B. UNRESOLVED STAFF COMMENTS 44

CYBERSECURITY

ITEM 1C. CYBERSECURITY 44

PROPERTIES

ITEM 2. PROPERTIES 45

LEGAL PROCEEDINGS

ITEM 3. LEGAL PROCEEDINGS 46

MINE SAFETY DISCLOSURES

ITEM 4. MINE SAFETY DISCLOSURES 49 PART II

MARKET FOR REGISTRANT'S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES

ITEM 5. MARKET FOR REGISTRANT'S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES 49

[RESERVED]

ITEM 6. [RESERVED] 50

MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

ITEM 7. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS 50

QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

ITEM 7A. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK 64

FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA

ITEM 8. FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA 64

CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE

ITEM 9. CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE 64

CONTROLS AND PROCEDURES

ITEM 9A. CONTROLS AND PROCEDURES 65

OTHER INFORMATION

ITEM 9B. OTHER INFORMATION 66

DISCLOSURE REGARDING FOREIGN JURISDICTIONS THAT PREVENT INSPECTIONS

ITEM 9C. DISCLOSURE REGARDING FOREIGN JURISDICTIONS THAT PREVENT INSPECTIONS 66 PART III

DIRECTORS, EXECUTIVE OFFICERS AND CORPORATE GOVERNANCE

ITEM 10. DIRECTORS, EXECUTIVE OFFICERS AND CORPORATE GOVERNANCE 66

EXECUTIVE COMPENSATION

ITEM 11. EXECUTIVE COMPENSATION 70

SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDER MATTERS

ITEM 12. SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDER MATTERS 73

CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS, AND DIRECTOR INDEPENDENCE

ITEM 13. CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS, AND DIRECTOR INDEPENDENCE 74

PRINCIPAL ACCOUNTING FEES AND SERVICES

ITEM 14. PRINCIPAL ACCOUNTING FEES AND SERVICES 75 PART IV

EXHIBITS AND FINANCIAL STATEMENT SCHEDULES

ITEM 15. EXHIBITS AND FINANCIAL STATEMENT SCHEDULES 75

FORM 10–K SUMMARY

ITEM 16. FORM 10–K SUMMARY 78

FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA

FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA F-1 i COMMONLY USED DEFINED TERMS Unless otherwise indicated or the context requires otherwise, references in this Annual Report on Form 10-K (the "Annual Report") to: "China," "Chinese," or the "PRC" are to the People's Republic of China, including the special administrative regions of Hong Kong and Macau, and, for the purposes of this annual report only, excluding Taiwan; "BVI" are to the British Virgin Islands; "BVI Wetouch" are to Wetouch Holding Group Limited, a limited company organized under the laws of British Virgin Islands and a wholly owned subsidiary of Wetouch; "Hong Kong Wetouch" are to Hong Kong Wetouch Electronics Technology Limited (), a limited company organized under the laws of Hong Kong and a wholly owned subsidiary of BVI Wetouch. On June 18, 2021, Hong Kong Wetouch submitted its application for dissolution and was dissolved on March 18, 2022. "HK Wetouch" are to Hong Kong Wetouch Technology Limited (), a limited company organized under the laws of Hong Kong and a wholly owned subsidiary of BVI Wetouch; "Mainland China" are to the mainland of the People's Republic of China; excluding Taiwan and the special administrative regions of Hong Kong and Macau for the purposes of this prospectus only; "PRC laws and regulations" or "PRC laws" are to the laws and regulations of Mainland China; "Sichuan Wetouch" are to Sichuan Wetouch Technology Co., Ltd (), a limited liability company organized under the PRC laws and prior wholly foreign owned subsidiary of Hong Kong Wetouch. Sichuan Wetouch's business and operations have been assumed by Sichuan Vtouch; "Sichuan Vtouch" are to Sichuan Vtouch Technology Co., Ltd (), a limited liability company organized under the PRC laws and a wholly foreign owned subsidiary of HK Wetouch; "Shares," "shares" or "shares of common stock" are to the shares of common stock of Wetouch Technology Inc., with par value of $0.001 per share; "Renminbi," "RMB"

View Full Filing

View this 10-K filing on SEC EDGAR