Thu, Sep 12, 11:17 AM (22 days ago)
Next Technology Holdings Inc. (formerly WeTrade Group Inc.) filed an amendment to its quarterly report for the period ending March 31, 2024, primarily to revise its accounting policy for digital assets and to disclose a Bitcoin prepayment affecting financial results. The company reported significant changes in its financial health, with total assets rising to $73,081,526 from $49,064,580, driven mainly by a substantial increase in digital assets valued at $59,156,975. The net profit for the quarter was $19,546,495, a notable recovery from a loss of $166,295 in the same period the previous year, attributed to gains from digital assets. Operating expenses rose due to increased consulting fees. Cash flow from operating activities was minimal, with a decline in shareholder advances. The company’s liquidity remains stable with cash and cash equivalents of $668,387. Notably, the company is negotiating a transaction to acquire additional Bitcoin that may significantly dilute existing shareholder equity. The report highlights material weaknesses in internal controls, mainly due to limited resources and oversight. These financial metrics indicate a transformative quarter for the company, reflecting its strategic focus on digital asset investments while facing operational uncertainties.