Segment Reporting

6 Months Ended

Dec. 31, 2023

Segment Reporting [Abstract]

SEGMENT REPORTING

Note 18. SEGMENT REPORTING

ASC 280, “Segment Reporting”, establishes standards for reporting information about operating segments on a basis consistent with the Company’s internal organizational structure as well as information about geographical areas, business segments and major customers in unaudited condensed consolidated financial statements for detailing the Company’s business segments. 

The Company’s chief operating decision maker is the Chief Operating Officer, who reviews the financial information of the separate operating segments when making decisions about allocating resources and assessing the performance of the group. The Company ceased to sell crypto-mining equipment since January 1, 2023. For the six months ended December 31, 2023, the Company operated in one segment, freight logistics services, which had operations in both the United States and PRC. For the six months ended December 31, 2023, the Company did not sell crypto-mining machines.

The following tables present summary information by segment for the three and six months ended December 31, 2023 and 2022, respectively:

	For the Three Months Ended December 31, 2023
	Freight Logistics Services			Crypto- mining equipment sales		Total
Net revenues	$	961,240		$	-	$	961,240
Cost of revenues	$	976,876		$	-	$	976,876
Gross profit	$	(15,636	)	$	-	$	(15,636	)
Depreciation and amortization	$	37,567		$	357	$	37,924
Total capital expenditures	$	589		$	-	$	589
Gross margin%		(1.6	)%		-		(1.6	)%

	For the Three Months Ended December 31, 2022
	Freight Logistics Services			Crypto- mining equipment sales			Total
Net revenues	$	1,255,411		$	235,520		$	1,490,931
Cost of revenues	$	1,311,137		$	-		$	1,311,137
Gross profit	$	(55,726	)	$	235,520		$	179,794
Depreciation and amortization	$	76,704		$	-		$	76,704
Total capital expenditures	$	-		$	-		$	-
Gross margin%		(4.4	)%		100.0	%		12.1	%

	For the Six Months Ended December 31, 2023
	Freight Logistics Services			Crypto- mining equipment sales		Total
Net revenues	$	1,857,166		$	-	$	1,857,166
Cost of revenues	$	1,979,825		$	-	$	1,979,825
Gross profit	$	(122,659	)	$	-	$	(122,659	)
Depreciation and amortization	$	75,338		$	713	$	76,051
Total capital expenditures	$	589		$	-	$	589
Gross margin%		(6.6	)%		-		(6.6	)%

	For the Six Months Ended December 31, 2022
	Freight Logistics Services			Crypto-mining equipment sales			Total
Net revenues	$	1,979,570		$	732,565		$	2,712,135
Cost of revenues	$	2,056,764		$	-		$	2,056,764
Gross profit	$	(77,194	)	$	732,565		$	655,371
Depreciation and amortization	$	155,649		$	-		$	155,649
Total capital expenditures	$	150,966		$	-		$	150,966
Gross margin%		(3.9	)%		100.0	%		24.2	%

Total assets as of:

	December 31,		June 30,
	2023		2023
Freight Logistic Services	$	10,267,437	$	19,075,202
Sale of crypto mining machines		3,644		162,605
Total Assets	$	10,271,081	$	19,237,807

The Company’s operations are primarily based in the PRC and U.S, where the Company derives all of its revenues. Management also reviews consolidated financial results by business locations.

Disaggregated information of revenues by geographic locations are as follows:

	For the Three Months Ended				For the Six Months Ended
	December 31,		December 31,		December 31,		December 31,
	2023		2022		2023		2022
PRC	$	837,763	$	912,611	$	1,538,419	$	1,160,821
U.S.		123,477		578,320		318,747		1,551,314
Total revenues	$	961,240	$	1,490,931	$	1,857,166	$	2,712,135