PROPERTY AND EQUIPMENT, NET

12 Months Ended

Dec. 31, 2024

Property, Plant and Equipment [Abstract]

PROPERTY AND EQUIPMENT, NET

NOTE 8 — PROPERTY AND EQUIPMENT, NET

As of December 31, 2024 and 2023, property and equipment, net consist of the following:

	December 31, 2024			December 31, 2023
Land	$	2,008,132		$	1,799,443
Buildings and facilities attached to buildings		5,373,424			8,412,348
Machinery, equipment and automobiles		4,312,270			5,539,542
Aircraft		3,510,376			4,091,772
Software		4,811,260			3,778,911
Construction in progress		—			591,306
Subtotal		20,015,462			24,213,322
Less: accumulated depreciation		(8,749,391	)		(8,231,990	)
Less: accumulated impairment		(2,494,169	)		(2,399,315	)
Property and equipment, net	$	8,771,902		$	13,582,017

In August 2023, the Company disposed of certain properties to General Incorporated Association SBC, an entity controlled by the CEO of the Company, who is the sole stockholder of the Company. The payment in excess of the net book value received from General Incorporated Association SBC of $9,620,453 was included as a deemed contribution in connection with disposal of property and equipment in the Company’s consolidated statements of changes in stockholders’ equity.

Depreciation expense was $2,726,348 and $6,586,036 for the years ended December 31, 2024 and 2023, respectively.

The Company recognized an impairment loss of nil and $204,026, and a gain on disposal of property and equipment of $325,761 and $249,532 for the years ended December 31, 2024 and 2023, respectively.

SBC MEDICAL GROUP HOLDINGS INCORPORATED

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS