10-Q

U.S.

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 10-Q 

(Mark One)

☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended: September 30, 2023

OR

☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from ___________ to __________ 

Commission File Number 000-21320

YUBO INTERNATIONAL BIOTECH LIMITED

(Exact name of registrant as specified in its charter)

New York	11-3074326
(State or other jurisdiction of	(I.R.S. Employer
incorporation or organization)	Identification No.)

Room 105, Building 5, 31 Xishiku Avenue, Xicheng District, Beijing, China

(Address of principal executive offices and Zip code)

+86 (040) 0677-6010

(Registrant’s telephone number, including area code)

Not Applicable

(Former name, former address and former fiscal year, if changed since last report)

Securities registered pursuant to Section 12(b) of the Act: None.

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act:

Large accelerated filer	☐	Accelerated filer	☐
Non-accelerated Filer	☐	Smaller reporting company	☒
		Emerging growth company	☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ☒

State the number of shares outstanding of each of the issuer’s classes of common equity as of the latest practicable date – November 19, 2023

Class A Common Stock, $0.001 par value	119,816,343
Class B Common Stock, $0.001 par value	4,447
Class	Shares

YUBO INTERNATIONAL BIOTECH LIMITED

TABLE OF CONTENTS

SPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTS		3
PART 1 – FINANCIAL INFORMATION
Item 1.	– Financial Statements (Unaudited)	F-1
	Consolidated Balance Sheets	F-2
	Consolidated Statements of Operations and Comprehensive Income (Loss)	F-3
	Consolidated Statements of Changes in Stockholders’ Deficit	F-4
	Consolidated Statements of Cash Flows	F-5
	Notes to Consolidated Financial Statements	F-6
Item 2.	– Management’s Discussion and Analysis of Financial Condition and Results of Operations	4
Item 3.	– Quantitative and Qualitative Disclosures about Market Risk	12
Item 4.	– Controls and Procedures	12
PART II - OTHER INFORMATION
Item 1.	– Legal Proceedings	13
Item 1A.	– Risk Factors	13
Item 2	– Unregistered Sales of Equity Securities and Use of Proceeds	13
Item 3.	– Defaults Upon Senior Securities	13
Item 4.	– Mine Safety Disclosures	13
Item 5.	– Other Information	13
Item 6.	– Exhibits	14
SIGNATURES		15

In this Quarterly Report on Form 10-Q (this “Quarterly Report”), unless otherwise specified, the terms “we,” “our,” “us,” our “Company,” the “Company,” or the “Registrant” refer to Yubo International Biotech Limited, a U.S. holding company and a New York corporation (formerly known as Magna-Lab, Inc.) and its wholly owned subsidiaries, including without limitation, Platinum International Biotech Co., Ltd., a company organized under the laws of the Cayman Islands, and Yubo International Biotech (Chengdu) Limited, a company organized under the laws of the People’s Republic of China (“Yubo Chengdu” or the “WFOE”), and Yubo Global Biotechnology (Chengdu) Co., Ltd., a company organized under the laws of the People’s Republic of China (“Yubo Global”). The term “Yubo Beijing” refers to Yubo International Biotech (Beijing) Limited, a variable interest entity organized under the laws of the People’s Republic of China, including its wholly-owned subsidiary, Yubo Jingzhi Biotechnology (Chengdu) Co., Ltd. (“Yubo Jingzhi”).

2

SPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTS

Statements in this Quarterly Report that are not descriptions of historical facts are forward-looking statements that are based on management’s current expectations and assumptions and are subject to risks and uncertainties. If such risks or uncertainties materialize or such assumptions prove incorrect, our business, operating results, financial condition and stock price could be materially negatively affected. In some cases, you can identify forward-looking statements by terminology including “anticipates,” “believes,” “can,” “continue,” “could,” “estimates,” “expects,” “intends,” “may,” “plans,” “potential,” “predicts,” “should,” “will,” “would” or the negative of these terms or other comparable terminology. Factors that could cause actual results to differ materially from those currently anticipated include those set forth in “Part II Other Information—Item 1A. Risk Factors” of this Quarterly Report and “Part I—Item 1A. Risk Factors” in our Annual Report on Form 10-K filed with the U.S. Securities and Exchange Commission (the “SEC”) on April 14, 2023, including, without limitation, risks relating to:

· the results of Yubo Beijing’s research and development activities relating, in particular, to stem cell related technologies;

· the early stage of Yubo Beijing’s product candidates presently under development;

· the need for substantial additional funds in order to continue our operations, and the uncertainty of whether we will be able to obtain the funding we need;

· Yubo Beijing’s ability to obtain and, if obtained, maintain regulatory approval of its current product candidates, and any of its other future product candidates, and any related restrictions, limitations, and/or warnings in the label of any approved product candidate;

· Yubo Beijing’s ability to retain or hire key scientific or management personnel;

· Yubo Beijing’s ability to protect its intellectual property rights that are valuable to its business, including patent and other intellectual property rights;

· Yubo Beijing’s dependence on third-party manufacturers, suppliers, research organizations, testing laboratories and other potential collaborators;

· Yubo Beijing’s ability to develop successful sales and marketing capabilities in the future as needed;

· the size and growth of the potential markets for any of Yubo Beijing’s approved product candidates, and the rate and degree of market acceptance of any of its approved product candidates;

· competition in the industry; and

· regulatory developments in China.

We operate in a rapidly changing environment and new risks emerge from time to time. As a result, it is not possible for our management to predict all risks, nor can we assess the impact of all factors on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements we may make. In light of these risks, uncertainties and assumptions, the forward-looking events and circumstances discussed in this Quarterly Report may not occur and actual results could differ materially and adversely from those anticipated or implied in the forward-looking statements. You should not rely upon forward-looking statements as predictions of future events. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee that the future results, levels of activity, performance or events and circumstances reflected in the forward-looking statements will be achieved or occur. Moreover, neither we nor any other person assumes responsibility for the accuracy and completeness of the forward-looking statements. The forward-looking statements included in this Quarterly Report speak only as of the date hereof, and except as required by law, we undertake no obligation to update publicly any forward-looking statements for any reason after the date of this Quarterly Report to conform these statements to actual results or to changes in our expectations.

3

PART I: FINANCIAL INFORMATION

Item 1. Financial Statements

YUBO INTERNATIONAL BIOTECH LIMITED

INDEX TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS

For the three months and nine months ended September 30, 2023 and 2022

Table of Contents

Consolidated Balance Sheets (Unaudited)	F-2
Consolidated Statements of Operations and Comprehensive Income (Loss) (Unaudited)	F-3
Consolidated Statements of Changes in Shareholders’ Deficit  (Unaudited)	F-4
Consolidated Statements of Cash Flows  (Unaudited)	F-5
Notes to Consolidated Financial Statements (Unaudited)	F-6

F-1

YUBO INTERNATIONAL BIOTECH LIMITED

CONSOLIDATED BALANCE SHEETS

(Expressed in US Dollars) 

(Unaudited)

	September 30,			December 31,
	2023			2022
	(Unaudited)
ASSETS
Current assets
Cash	$	5,295		$	18,220
Receivables		48,510			51,932
Prepaid expenses		171,320			64,253
Inventory		209,746			322,173
Due from related parties		277,432			293,434
Total Current Assets		712,303			750,011
Property and equipment, net		528,322			616,652
Intangible assets, net		55,585			67,679
Operating lease right of use assets		490,781			790,499
Lease security deposits		116,901			123,709
Total Assets	$	1,903,892		$	2,348,551
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities
Accounts payable and accrued expenses (including accounts payable and accrued expenses of VIE without recourse to the Company of $253,914 and $276,325 at September 30, 2023 and December 31, 2022, respectively)	$	547,381		$	549,838
Advances from prospective customers/distributors (including advances from prospective customers/distributors of VIE without recourse to the Company of $422,005 and $459,970 as of September 30, 2023 and December 31, 2022, respectively)		422,005			459,970
Due to related parties (including due to related parties of VIE without recourse to the Company of $1,441,101 and $1,057,052 as of September 30, 2023 and December 31, 2022, respectively)		1,544,582			1,113,617
Operating lease liabilities – current (including operating lease liabilities - current of VIE without recourse to the Company of $259,689 and $316,185 as of September 30, 2023 and December 31, 2022, respectively)		351,319			400,054
Total Current Liabilities		2,865,287			2,523,479
Non-current liabilities
Operating lease liabilities - non-current (including operating lease liability – non- current of VIE without recourse to the Company of $0 and $122,976 as of September 30, 2023 and December 31, 2022, respectively)		139,462			390,445
Total Liabilities		3,004,749			2,913,924
Commitments and contingencies
Shareholders' Equity:
Preferred stock, par value $0.01 per share, 5,000,000 shares authorized, none issued		—			—
Common stock, Class A par value $ 0.001 per share; authorized 1,000,000,000 shares, 119,816,343 issued and outstanding at September 30, 2023 and December 31, 2022.		119,816			119,816
Common stock, Class B, par value $0.001 per share, 3,750,000 shares authorized, 4,447 shares issued and outstanding at September 30, 2023 and December 31, 2022.		4			4
Additional Paid in Capital		2,935,190			2,935,190
Accumulated deficit		(4,368,127	)		(3,690,426	)
Accumulated other comprehensive income (loss)		212,260			70,043
Total Shareholders' Equity		(1,100,857	)		(565,373	)
Total Liabilities and Shareholders' Equity	$	1,903,892		$	2,348,551

The accompanying notes are an integral part of these consolidated financial statements.

F-2

YUBO INTERNATIONAL BIOTECH LIMITED

CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS)

(Expressed in US Dollars)

(Unaudited)

	For the three months ended September 30,						For the nine months ended September 30,
	2023			2022			2023			2022
	(Unaudited)			(Unaudited)			(Unaudited)			(Unaudited)
Revenue
Sales of products and services	$	428,510		$	14,580		$	582,390		$	37,763
Cost of goods and services sold		(84,428	)		(4,980	)		(181,267	)		(14,046	)
Gross Profit		344,082			9,600			401,123			23,717
Operating expenses:
Sales commissions		—			14			—			8,098
Employee compensation		151,515			143,862			456,935			507,388
Occupancy		124,370			177,153			287,964			735,645
Provision for doubtful accounts		—			(94,831	)		—			(44,407	)
Depreciation and amortization of property and equipment		44,206			3,067			66,309			9,885
Amortization of intangible assets		2,862			2,208			8,640			6,253
Other operating expenses		14,706			16,397			258,660			109,560
Total Operating Expenses		337,659			247,870			1,078,508			1,332,422
Income (loss) from operations		6,423			(238,270	)		(677,385	)		(1,308,705	)
Other Income (Expenses)
Interest expenses		(130	)		174			(316	)		102
Total Other Income (Expenses)		(130	)		174			(316	)		102
Income (Loss) before Provision for Income Tax		6,293			(238,096	)		(677,701	)		(1,308,603	)
Provision for Income Tax		—			—			—			—
Net income (loss)	$	6,293		$	(238,096	)	$	(677,701	)	$	(1,308,603	)
Net income (loss) per share basic and diluted	$	0.00		$	(0.00	)	$	(0.01	)	$	(0.01	)
Weighted average common shares outstanding basic and diluted		119,820,790			118,698,803			119,820,790			118,356,381
Comprehensive income (loss)
Net income (loss)	$	6,293		$	(238,096	)	$	(677,701	)	$	(1,308,603	)
Foreign currency translation adjustment		43,469			12,368			142,217			(37,559	)
Total comprehensive income (loss)	$	49,762		$	(225,728	)	$	(535,484	)	$	(1,346,162	)

The accompanying notes are an integral part of these consolidated financial statement.

F-3

YUBO INTERNATIONAL BIOTECH LIMITED

CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS’ DEFICIT

(Expressed in US Dollars)

(Unaudited)

	Common stock								Additional					Accumulated Other Comprehensive		Total
	Class A				Class B				paid in		Accumulated			Income		Stockholders'
	Shares		Amount		Shares		Amount		capital		Deficit			(loss)		Deficit
BALANCE, December 31, 2022		119,816,343	$	119,816		4,447	$	4	$	2,935,190	$	(3,690,426	)	$	70,043	$	(565,373	)
Net loss for the three months ended March 31, 2023		—		—		—		—		—		(316,667	)		—		(316,667	)
Foreign currency adjustment		—		—		—		—		—		—			43,285		43,285
BALANCE, March 31, 2023		119,816,343		119,816		4,447		4		2,935,190		(4,007,093	)		113,328		(838,755	)
Net loss for the three months ended June 30, 2023		—		—		—		—		—		(367,327	)		—		(367,327	)
Foreign currency adjustment		—		—		—		—		—		—			55,463		55,463
BALANCE, June 30, 2023		119,816,343		119,816		4,447		4		2,935,190		(4,374,420	)		168,791		(1,150,619	)
Net income for the three months ended September 30, 2023		—		—		—		—		—		6,293			—		6,293
Foreign currency adjustment		—		—		—		—		—		—			43,469		43,469
BALANCE, September 30, 2023		119,816,343	$	119,816		4,447	$	4	$	2,935,190	$	(4,368,127	)	$	212,260	$	(1,100,857	)

	Common Stock								Additional					Accumulated Other Comprehensive			Total
	Class A				Class B				paid in		Accumulated			Income			Stockholders’
	Shares		Amount		Shares		Amount		capital		Deficit			(loss)			Deficit
BALANCE, December 31, 2021		118,177,885	$	118,178		4,447	$	4	$	2,117,599	$	(2,485,432	)	$	118,453		$	(131,198	)
Net loss for the three months ended March 31, 2022		—		—		—		—		—		(578,948	)		—			(578,948	)
Foreign currency adjustment		—		—		—		—		—		—			(49,977	)		(49,977	)
BALANCE, March 31, 2022		118,177,885		118,178		4,447	$	4		2,117,599		(3,064,380	)		68,476			(760,123	)
Net loss for the three months ended June 30, 2022		—		—		—		—		—		(491,559	)		—			(491,559	)
Foreign currency adjustment		—		—		—		—		—		—			50			50
BALANCE, June 30, 2022		118,177,885		118,178		4,447		4		2,117,599		(3,555,939	)		68,526			(1,251,632	)
Conversion of World Precision Debt		1,638,458		1,638		—		—		817,591		—			—			819,229
Net loss for the three months ended September 30, 2022		—		—		—		—		—		(238,096	)		—			(238,096	)
Foreign currency adjustment		—		—		—		—		—		—			12,368			12,368
BALANCE, September 30, 2022		119,916,343	$	119,816		4,447	$	4	$	2,935,190	$	(3,794,035	)	$	80,884		$	(658,141	)

The accompanying notes are an integral part of these consolidated financial statement.

F-4

YUBO INTERNATIONAL BIOTECH LIMITED

CONSOLIDATED STATEMENTS OF CASH FLOWS

(Expressed in US Dollars)

	For the nine months ended September 30,
	2023			2022
	(Unaudited)			(Unaudited)
Cash flows from operating activities:
Net loss	$	(677,701	)	$	(1,308,603	)
Adjustments to reconcile net loss to net cash provided by (used in) operating activities:
Depreciation and amortization		74,949			16,139
Provision for doubtful accounts
Changes in operating assets and liabilities:
Receivables		3,422			113,495
Prepaid expenses		(107,068	)		82,718
Inventory		112,426			33,752
Due from related parties		16,003			113,063
Lease security deposits		6,808			69,439
Accounts payable and accrued expenses		(2,456	)		408,223
Advances from prospective customers/distributors		(37,965	)		(38,105	)
Due to related parties		430,964			598,457
Net cash provided by (used in) operating activities		(180,618	)		88,578
Cash flows from investing activities:
Purchases of property and equipment		—			—
Purchase of intangibles		—			(39,772	)
Net cash used in investing activities		—			(39,772	)
Cash flows from financing activities		—			—
Effect of exchange rate changes		167,693			13,643
Net increase (decrease) in cash		(12,925	)		62,449
Cash at beginning of period		18,220			27,517
Cash at end of period	$	5,295		$	89,966
Supplemental Cash Flow Information:
Income taxes paid		—			—
Interest paid		—			—

The accompanying notes are an integral part of these consolidated financial statements.

F-5

YUBO INTERNATIONAL BIOTECH LIMITED

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

For the three and nine months ended September 30, 2023 and 2022

(Unaudited)

NOTE 1 – ORGANIZATION

Yubo International Biotech Limited (formerly Magna-Lab Inc.) (the “Company”), a New York corporation, acquired Platinum International Biotech Co. Ltd. (“Platinum”) in a “reverse merger” transaction on January 14, 2021.

On January 14, 2021 (the “Closing Date”), the Company closed a voluntary share exchange transaction with Platinum International Biotech Co., Ltd., a company organized under the laws of the Cayman Islands (“Platinum”), pursuant to that certain Agreement and Plan of Share Exchange, dated January 14, 2021 (the “Exchange Agreement”), by and among the Company, Platinum, Yubo International Biotech (Beijing) Limited, a company organized under the laws of the People’s Republic of China (“PRC”) (“Yubo Beijing”), and certain selling stockholders named therein.

In accordance with the terms of the Exchange Agreement, on the Closing Date, the Company issued a total of 117,000,000 shares of its Class A common stock to the Selling Stockholders, who were then stockholders of Platinum (the “Selling Stockholders”), in exchange for 100% of the issued and outstanding capital stock of Platinum (the “Exchange Transaction”). As a result of the Exchange Transaction, the Selling Stockholders acquired more than 99% of the Company’s issued and outstanding capital stock, Platinum became the Company’s wholly-owned subsidiary, and the Company acquired the business and operations of Platinum and Yubo Beijing. Immediately prior to the Exchange Transaction, the Company had 117,875,323 shares of Class A common stock and 4,447 shares of Class B common stock issued and outstanding. Immediately after the Exchange Transaction and the surrender and cancellation of 116,697,438 shares held by Lina Liu, the controlling shareholder, Chief Financial Officer, Treasurer and Secretary of the Company, the Company had 118,177,885 shares of Class A common stock and 4,447 shares of Class B common stock issued and outstanding.

Platinum was incorporated on April 7, 2020 under the laws of the Cayman Islands as a holding company. On May 4, 2020, Platinum incorporated a wholly owned subsidiary Platinum International Biotech (Hong Kong) Limited (“Platinum HK”) in Hong Kong. On September 4, 2020, Platinum HK incorporated a wholly foreign owned enterprise (“WFOE”) Yubo International Biotech (Chengdu) Limited (“Yubo Chengdu”) in Chengdu, China.

On September 11, 2020, Yubo Chengdu entered into a series of Variable Interest Entity (“VIE”) agreements with the owners of Yubo International Biotech (Beijing) Limited (“Yubo Beijing”). Pursuant to the VIE agreements, Yubo Beijing became Yubo Chengdu’s contractually controlled affiliate. The purpose and effect of the VIE Agreements is to provide Yubo Chengdu with all management control and net profits earned by Yubo Beijing.

Yubo Beijing was incorporated on June 14, 2016. For the year ended December 31, 2020 (commencing April 2020), Yubo Beijing sold approximately 850 nebulizers to customers in the People’s Republic of China (“PRC”). In 2021, 2022 and 2023, Yubo Beijing sales also included sales of skincare products, hair care products, healthy beverages, and male and female personal care products. Commencing in the quarterly period ended  September 30, 2023, Yubo Beijing started selling health management and health maintenance service agreements to customers.

Upon executing the series of VIE agreements in September 2020, Yubo Beijing has been considered a Variable Interest Entity (“VIE”) of Yubo Chengdu, its primary beneficiary. Accordingly, Yubo Beijing has been consolidated under the guidance of FASB Accounting Standards Codification (“ASC”) 810, Consolidation.

The officers, directors, and controlling beneficial owners of Yubo Beijing from its inception on June 14, 2016 were also officers, directors, and controlling beneficial owners of Platinum. Accordingly, the accompanying consolidated financial statements include Yubo Beijing’s operations from its inception on June 14, 2016.

On January 21, 2021 and December 31, 2020, respectively, the Company formed two new wholly owned subsidiaries: Yubo Jingzhi Biotechnology (Chengdu) Co. Ltd. (“Yubo Jingzhi”) as a subsidiary of Yubo Beijing and Yubo Global Biotechnology (Chengdu) Co. Ltd (“Yubo Global”) as a subsidiary of Platinum HK.

Yubo International Biotech Limited and its consolidated subsidiaries and VIE are collectively referred to herein as the “Company” unless specific reference is made to an entity.

F-6

NOTE 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Basis of Presentation

The accompanying consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”).

Interim Financial Information

The unaudited financial statements have been prepared in accordance with generally accepted accounting principles (GAAP) applicable to interim financial information and the requirements of Form 10-Q and Rule 8-03 of Regulation S-X of the Securities and Exchange Commission. Accordingly, they do not include all of the information and disclosure required by accounting principles generally accepted in the United States of America for complete financial statements. Interim results are not necessarily indicative of results for a full year. In the opinion of management, all adjustments considered necessary for a fair presentation of the financial position and the results of operations and cash flows for the interim periods have been included. These financial statements should be read in conjunction with the audited financial statements as of and for the year ended December 31, 2022, as not all disclosures required by generally accepted accounting principles for annual financial statements are presented. The interim financial statements follow the same accounting policies and methods of computations as the audited financial statements as of and for the year ended December 31, 2022.

Principles of Consolidation

The consolidated financial statements include the accounts of the Company, its wholly owned subsidiaries, and its consolidated VIE for which the Company is the primary beneficiary.

All transactions and balances among the Company, its subsidiaries and consolidated VIE have been eliminated upon consolidation.

The accompanying consolidated financial statements reflect the activities of the following entities:

Name	Background	Ownership
Yubo International Biotech Limited (“Yubo New York”)	·      A New York Corporation ·      Incorporated on February 22, 1991 ·      A holding company
Platinum International Biotech Co. LTD (“Platinum”)	·      A Cayman Island company ·      Incorporated on April 7, 2020 ·      A holding company	100% owned by Yubo New York
Platinum International Biotech (Hong Kong) Limited.  (“Platinum HK”)	·      A Hong Kong company ·      Incorporated on May 4, 2020 ·      A holding company	100% owned by Platinum
Yubo International Biotech (Chengdu) Limited (“Yubo Chengdu”)	·      A PRC company and deemed a wholly foreign owned enterprise ·      Incorporated on September 4, 2020 ·      Subscribed capital of $1,500,000 ·      A holding company	100% owned by Platinum HK
Yubo International Biotech (Beijing) Limited (“Yubo Beijing”)	·      A PRC limited liability company ·      Incorporated on June 14, 2016 ·      Subscribed capital of $1,454,038 (RMB 10,000,000) ·      Stem cell storage and bank	VIE of Yubo Chengdu WFOE
Yubo Jingzhi Biotechnology (ChengDu) Co. Ltd. (“Yubo Jingzhi”)	·      A PRC company incorporated on January 21, 2021	100% owned by Yubo Beijing
Yubo Global Biotechnology (Chengdu) Co. Ltd (“Yubo Global”)	·      A PRC company incorporated on December 20, 2020	100% owned by Platinum HK

F-7

On September 11, 2020, our wholly-owned subsidiary, Yubo Chengdu, entered into the following contractual arrangements with Yubo Beijing and the shareholders of Yubo Beijing (the “Yubo Shareholders”), as applicable, each of which is enforceable and valid in accordance with the laws of the PRC:

Exclusive Consulting Services Agreement

Pursuant to the Exclusive Consulting Services Agreement among Yubo Beijing, Yubo WFOE, and the Yubo Shareholders, Yubo WFOE agrees to provide, and Yubo Beijing agrees to accept, exclusive management services provided by Yubo WFOE. Such management services include but are not limited to financial management, business management, marketing management, human resource management and internal control of Yubo Beijing. The Exclusive Consulting Services Agreement will remain in effect until the acquisition of all assets or equity of Yubo Beijing by Yubo WFOE is complete (as more fully described in the Exclusive Purchase Option Agreement below).

Exclusive Purchase Option Agreement

Under the Exclusive Option Agreement among Yubo Beijing, Yubo WFOE, and the Yubo Shareholders, the Yubo Shareholders granted Yubo WFOE an irrevocable and exclusive purchase option to acquire Yubo Beijing’s equity and/or assets at a nominal consideration. Yubo WFOE may exercise the purchase option at any time.

Equity Pledge Agreement

Under the Equity Pledge Agreement among Yubo WFOE and the Yubo Shareholders, the Yubo Shareholders pledged all of their equity interests in Yubo Beijing, including the proceeds thereof, to guarantee all of Yubo WFOE’s rights and benefits under the Exclusive Consulting Services Agreement and the Exclusive Option Agreement. Prior to termination of this Equity Pledge Agreement, the pledged equity interests cannot be transferred without Yubo WFOE’s prior consent. The Yubo Shareholders covenants to Yubo WFOE that among other things, it will only appoint/elect the candidates for the directors of Yubo Beijing nominated by Yubo WFOE.

Financial Statements of Yubo Beijing (VIE)

The assets and liabilities of Yubo Beijing (VIE) at September 30, 2023 and December 31, 2022 consist of:

	September 30, 2023			December 31, 2022
Cash	$	912		$	3,922
Receivables (net)		—			624
Prepaid Expenses		145,240			52,804
Inventory		209,746			322,173
Due from related parties		277,432			293,434
Property and equipment (net)		17,901			14,766
Intangible assets (net)		55,584			67,679
Operating lease right of use asset		259,689			499,161
Lease security deposit		81,209			85,372
Investment in Yubo Jingzhi (A)		205,537			217,391
Receivables from other consolidated entities (A)		353,611			337,790
Total assets		1,606,861			1,895,116
Accounts payable and accrued expenses		253,914			276,325
Advances from prospective customers/distributors		422,005			459,970
Due to related parties		1,441,101			1,057,052
Operating lease liabilities		259,689			499,161
Payables to other consolidated entities (A)		412,579			437,826
Total liabilities		2,789,288			2,730,334
Shareholders’ equity	$	(1,182,427	)	$	(835,218	)

F-8

(A) Eliminated in consolidation.

Except for $190,462 occupancy expense, $8,748 depreciation expense and $50,262 other operating expenses for the nine months ended September 30, 2023 and except for $399,633 occupancy expense and $36,313 other operating expenses for the nine months ended September 30, 2022, all revenues and expenses included in the accompanying Consolidated Statements of Operations for the nine months ended September 30, 2023 and September 30, 2022 represent revenues and expenses of Yubo Beijing.

Foreign Currency Translation

The accompanying consolidated financial statements are presented in United States dollars (“$”), which is the reporting currency of the Company. The functional currency of Platinum and Platinum HK is the United States dollar. The functional currency of the Company’s subsidiaries and VIE located in the PRC is the Renminbi (“RMB”). For the entities whose functional currencies are the RMB, results of operations and cash flows are translated at average exchange rates during the period ($1=7.0977 RMB for the nine months ended September 30, 2023 and $1=6.7368 for the nine months ended September 30, 2022), assets and liabilities are translated at the current exchange rate at the end of the period ($1=7.2980 RMB at September 30, 2023 and $1=6.900 RMB at December 31, 2022), and equity is translated at historical exchange rates. The resulting translation adjustments are included in determining other comprehensive income (loss). Transaction gains and losses, which were not significant for the periods presented, are reflected in the consolidated statements of operations.

Use of Estimates

The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and judgments that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities on the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. The Company bases its estimates and judgments on historical experience and on various other assumptions and information that are believed to be reasonable under the circumstances. Estimates and assumptions of future events and their effects cannot be perceived with certainty and, accordingly, these estimates may change as new events occur, as more experience is acquired, as additional information is obtained and as our operating environment changes. Significant estimates and assumptions by management include, among others, useful lives and impairment of long-lived assets, and income taxes including the valuation allowance for deferred tax assets. While the Company believes that the estimates and assumptions used in the preparation of the financial statements are appropriate, actual results could differ from those estimates. Estimates and assumptions are periodically reviewed and the effects of revisions are reflected in the financial statements in the period they are determined to be necessary.

Cash and Cash Equivalents

Cash and cash equivalents include cash on hand, cash in bank accounts, cash in time deposits, certificates of deposit and all highly liquid instruments with original maturities of three months or less.

F-9

Inventories

Inventories, mainly consisting of nebulizers and components and other  health products, are stated at the lower of cost utilizing the weighted average method or net realizable value. Net realizable value is the estimated selling price in the ordinary course of business less the estimated selling costs.

The valuation of inventory requires the Company to estimate excess and slow-moving inventories. The Company evaluates the recoverability of the inventory based on expected demand and market conditions. No inventory write downs were recorded in the periods presented.

Property and Equipment

Property and equipment consist of leasehold improvements, construction in progress, air conditioning equipment, and office equipment. All property and equipment are stated at historical cost net of accumulated depreciation. Repairs and maintenance are expensed as incurred. Property and equipment are depreciated on a straight-line basis over the following periods:

Leasehold improvements	Remaining term of lease
Air conditioning equipment	5 years
Office equipment	3 years

Intangible Assets

Intangible assets consist of distribution software and patents and are stated at historical cost less accumulated amortization. Amortization of intangible assets is calculated on a straight-line basis over the shorter of the contractual terms or the expected useful lives of the respective assets. The amortization period by major asset classes is as follows:

Distribution software	5 years
Patents	20 years

Impairment of Long-Lived Assets

The Company’s long-lived assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of the asset may not be recoverable. Recoverability of an asset to be held and used is measured by a comparison of the carrying amount of the asset to the future undiscounted cash flows expected to be generated by the asset. If such asset is considered to be impaired, the impairment to be recognized is measured by the amount by which the carrying amount of the asset exceeds its fair value. Impairment evaluations involve management’s estimates on asset useful lives and future cash flows. Actual useful lives and cash flows could be different from those estimated by management which could have a material effect on our reporting results and financial position. Fair value is determined through various valuation techniques including discounted cash flow models, quoted market values and third-party independent appraisals, as considered necessary.

Fair Value of Financial Instruments

The Company adopted ASC 820 “Fair Value Measurements,” which defines fair value, establishes a three-level valuation hierarchy for disclosures of fair value measurement and enhances disclosure requirements for fair value measures. The three levels are defined as follows:

Level 1 — inputs to the valuation methodology are quoted prices (unadjusted) for identical assets or liabilities in active markets.

Level 2 — inputs to the valuation methodology include quoted prices for similar assets and liabilities in active markets, and inputs that are observable for the assets or liabilities, either directly or indirectly, for substantially the full term of the financial instruments.

Level 3 — inputs to the valuation methodology are unobservable and significant to the fair value.

F-10

Financial instruments include cash, receivables, due from related parties, accounts payable and accrued expenses, advances from prospective customers/distributors and due to related parties. The carrying values of these financial instruments approximate their fair values due to the short-term maturities of these instruments.

For the periods presented, there were no financial assets or liabilities measured at fair value.

Leases

We determine if an arrangement is a lease at inception. Operating leases are included in operating lease right-of-use (“ROU”) assets, operating lease liabilities - current, and operating lease liabilities - noncurrent on the balance sheets. The initial lease liability is equal to the future fixed minimum lease payments discounted using the Company’s incremental borrowing rate, on a secured basis. The initial measurement of the right-of-use asset is equal to the initial lease liability plus any initial direct costs.

ROU assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. Operating lease ROU assets and liabilities are recognized at commencement date based on the present value of lease payments over the lease term.

Revenue Recognition

The Company derives its revenue from (1) the sale of health management and health maintenance service agreements (commencing in the quarterly period ended September 30, 2023 and (2) the sale of nebulizers containing frozen tubes with medical fluid and from the sale of other health and personal care products. The nebulizers are sold directly to consumers on the Company’s online e-commerce platform. The Company adopted ASC 606 requires the use of a five-step model to recognize revenue from contracts with customers. The five-step model requires entities to exercise judgment when considering the terms of contracts, which includes (1) identifying the contracts or agreements with a customer, (2) identifying our contract with performance obligations in the contract or agreement, (3) determining the transaction price, (4) allocating the transaction price to the separate performance obligations, and (5) recognizing revenue as each performance obligation is satisfied.

Allowance for Doubtful Accounts

Trade accounts receivable arise from the sale of products and services on trade credit terms. On a quarterly basis, we review all significant accounts as to their past due balances, as well as collectability of the outstanding  trade account receivables for possible write off. It is our policy to write off the account receivable against the allowance account when we deem the receivable to be uncollectible. Additionally, we review orders from dealers that are significantly past due,  and we ship product only when our ability to collect payment from our customer for the new order is probable.

Our allowance for doubtful accounts reflects our best estimate for losses inherent in the trade accounts receivable balance. We  determine the allowance based on known troubled accounts, weighting probabilities of future conditions and expected outcomes, and other currently available evidence.

Advertising Costs

Advertising costs are expensed as incurred.

Income Taxes

The Company follows the liability method in accounting for income taxes in accordance with ASC topic 740 (“ASC 740”), Income Taxes. Under this method, deferred tax assets and liabilities are determined based on the differences between the financial reporting and tax bases of assets and liabilities using enacted tax rates that will be in effect in the period in which the differences are expected to reverse. The Company records a valuation allowance against deferred tax assets if, based on the weight of available evidence, it is more-likely than not that some portion, or all, of the deferred tax assets will not be realized.

F-11

The Company applies the provisions of ASC 740 to account for uncertainty in income taxes. ASC 740 clarifies the accounting for uncertainty in income taxes by prescribing the recognition threshold a tax position is required to meet before being recognized in the consolidated financial statements.

The Company will classify interest and penalties related to unrecognized tax benefits, if and when required, as part of income tax expense in the consolidated statements of operations.

Net Income (Loss) per Share

Basic net income (loss) per share is computed by dividing net loss by the weighted average number of Class A and Class B common shares outstanding during the period.

Diluted net income (loss) per share reflects the potential dilution that could occur if dilutive securities (such as stock options and convertible securities) were exercised or converted into common shares. For the periods presented, the Company had no dilutive securities outstanding.

Comprehensive Income (Loss)

Comprehensive income (loss) is defined as the increase (decrease) in equity of the Company during a period from transactions and other events and circumstances excluding transactions resulting from investments by owners and distributions to owners. Comprehensive income (loss) is reported in the consolidated statements of operations and comprehensive income (loss), including net income (loss) and foreign currency translation adjustments, presented net of tax.

New Accounting Pronouncements

In February, 2016, the FASB issued Accounting Standards Update No. 2016-02 (ASU 2016-02) “Leases (Topic 842)”. ASU 2016-02 requires a lessee to recognize in the statement of financial position a liability to make lease payments (the lease liability) and a right-of-use asset representing its right to use the underlying asset for the lease term. We adopted ASU 2016-02 for interim and annual reporting periods beginning after December 15, 2018.

For finance leases, a lessee is required to do the following:

· Recognize a right-of-use asset and a lease liability, initially measured at the present value of the lease payments, in the balance sheet.

· Recognize interest on the lease liability separately from amortization of the right-of-use asset in the statement of comprehensive income.

· Classify repayments of the principal portion of the lease liability within financing activities and payments of interest on the lease liability and variable lease payments within operating activities in the statement of cash flows.

For operating leases, a lessee is required to do the following:

· Recognize a right-of-use asset and a lease liability, initially measured at the present value of the lease payments, in the balance sheet.

· Recognize a single lease cost, calculated so that the cost of the lease is allocated over the lease term on a generally straight-line basis.

· Classify all cash payments within operating activities in the statement of cash flows.

Other than increasing assets and liabilities at the inception of the respective leases (See Note 8), ASU 2016-02 has not had a significant effect on the Company’s financial position or results of operations.

F-12

The Company does not believe other recently issued but not yet effective accounting standards, if currently adopted, would have a material impact on its consolidated financial position, statements of operations or cash flows.

NOTE 3 – GOING CONCERN

The Company’s financial statements as of September 30, 2023 and December 31, 2022 have been prepared using generally accepted accounting principles in the United States of America applicable to a going concern, which contemplates the realization of assets and liquidation of liabilities in the normal course of business. The Company has not yet established an ongoing source of revenues and cash flows sufficient to cover its operating costs and allow it to continue as a going concern. At September 30, 2023, the Company had cash of $5,295 and negative working capital of $2,152,984. For the nine months ended September 30, 2023 and September 30, 2022, the Company had losses of $677,701 and $1,308,603, respectively.  These factors among others raise substantial doubt about the ability of the Company to continue as a going concern for a reasonable period of time.

In order to continue as a going concern, the Company will need, among other things, additional capital resources. Management’s plan is to obtain such resources for the Company by obtaining capital from management and significant shareholders sufficient to meet its minimal operating expenses and seeking third party equity and/or debt financing. However, management cannot provide any assurances that the Company will be successful in accomplishing any of its plans. These financial statements do not include any adjustments related to the recoverability and classification of assets or the amounts and classification of liabilities that might be necessary should the Company be unable to continue as a going concern.

NOTE 4 – INVENTORY

Inventory consisted of the following:

	September 30,		December 31,
	2023		2022
	(Unaudited)
Nebulizers and components	$	46,490	$	50,894
Oral liquid health products		66,246		76,239
Beauty care products		95,373		104,500
Soft drinks		—		87,725
Other		1,637		2,815
Total Inventory	$	209,746	$	322,173

NOTE 5 – DUE FROM RELATED PARTIES

Due from related parties consisted of:

	September 30,		December 31,
	2023		2022
	(Unaudited)
Beijing Zhenhuikang Biotechnology Co., LTD (“Zhenhuikang”)  (1)	$	277,432	$	293,434
Total Due from Related Parties	$	277,432	$	293,434

(1) Zhenhuikang is controlled by Beijing Zhenxigu Medical Research Center LP (“Zhenxigu”). Zhenxigu is controlled by Mr. Yulin Cao, a director and significant stockholder of Yubo Beijing. The due from related parties receivable is non-interest bearing and due on demand.

F-13

NOTE 6 – PROPERTY AND EQUIPMENT

Property and equipment, net, consisted of the following:

	September 30,			December 31,
	2023			2022
	(Unaudited)
Leasehold improvements	$	20,006		$	282,681
Construction in progress		499,733			323,832
Air conditioning equipment		22,215			20,343
Office equipment		23,709			28,230
Total property and equipment		565,663			655,086
Less accumulated depreciation and amortization		(37,341	)		(38,434	)
Property and equipment, net	$	528,322		$	616,652

For the three months ended September 30, 2023 and 2022, depreciation and amortization of property and equipment was $44,206 and $3,067, respectively.

For the nine months ended September 30, 2023 and 2022, depreciation and amortization of property and equipment was $66,309 and $9,885, respectively.

NOTE 7 – INTANGIBLE ASSETS

Intangible assets, net, consisted of the following:

	September 30,			December 31,
	2023			2022
	(Unaudited)
Distribution software	$	33,917		$	35,784
Experience center software		38,780			41,017
Patents acquired from related party		10,854			11,569
Total intangible assets		83,551			88,370
Less: Accumulated amortization		(27,966	)		(20,691	)
Intangible assets, net	$	55,585		$	67,679

For the three months ended September 30, 2023 and 2022, amortization of intangible assets expense was $2,862 and $2,208, respectively.

For the nine months ended September 30, 2023 and 2022, amortization of intangible assets expense was $8,640 and $6,253, respectively.

At September 30, 2023, the expected future amortization of intangible assets expense was:

Year ending December 31, 2023	$	3,452
Year ending December 31, 2024		15,546
Year ending December 31, 2025		15,546
Year ending December 31, 2026		9,659
Thereafter		11,382
Total	$	55,585

F-14

NOTE 8 – OPERATING LEASE RIGHT OF USE ASSETS AND OPERATING LEASE LIABILITIES

On August 1, 2019 Yubo Beijing executed a lease agreement with Jiu Si Cheng Investment Management (the “Landlord”) to rent approximately 746 square meters of office space in Beijing China. The lease provided for an initial term of 2 years and 4 months from August 2, 2019 to November 30, 2021 with a right to renew for an additional term of 2 years and 8 months from December 1, 2021 to July 31, 2024. In December 2021, the Company renewed the lease. The current lease provides for monthly rent of RMB 166,845 ($22,862 through July 31, 2023 and RMB 176,833 ($24,230) for the year ended July 31, 2024.

Effective March 1, 2021, Yubo Global executed a lease agreement with Chengdu Liangkang Investment Co. to rent approximately 6,960 square meters of laboratory space in Chengdu China. The lease provided for a lease term of 5 years from March 1, 2021 to February 28, 2026. The lease provided for monthly rent of RMB 299,277 ($41,008) through February 28, 2024 and RMB 317,233 ($43,468) from March 1, 2024 to February 28, 2026. In the fourth quarter of 2022, the lease was terminated with an effective date of September 1, 2021.

Also in the fourth quarter of 2022, effective September 1, 2021, Yubo Jingzhi executed a lease agreement with Sichuan Anyi Hengke Tech Co. to rent approximately 1,282 square meters of laboratory space in the same building in Chengdu China as that relating to the terminated lease discussed in the preceding paragraph. This lease provides for monthly rent of RMB 56,611 ($7,757) from September 1, 2021 to February 28, 2024 and monthly rent of RMB 58,449 ($8,009) from March 1, 2024 to February 28, 2026.

At September 30, 2023, the future undiscounted minimum lease payments under the two noncancellable leases are as follows:

	As of September 30, 2023
Year ending December 31, 2023	$	101,829
Year ending December 31, 2024		281,436
Year ending December 31, 2025		101,988
Year ending December 31, 2026		16,998
Total	$	502,251

The operating lease liabilities totaling $490,781 at September 30, 2023 as presented in the Consolidated Balance Sheet represents the discounted (at a 4.75% estimated incremental borrowing rate) value of the future lease payments of $502,251 at September 30, 2023.

For the three months ended September 30, 2023 and September 30, 2022, occupancy expense attributable to leases was $124,370 and $177,153, respectively.

For the nine months ended September 30, 2023 and September 30, 2022, occupancy expense attributable to leases was $287,964 and $735,645, respectively.

NOTE 9 – ADVANCES FROM PROSPECTIVE CUSTOMERS/DISTRIBUTORS

Advances from prospective customers/distributors consists of:

	In RMB				In USD
Source of Advance	September 30, 2023		December 31, 2022		September 30, 2023		December 31, 2022
Advancer 1	¥	1,544,748	¥	1,544,748	$	211,667	$	223,877
Advancer 2		550,000		550,000		75,363		79,710
Advancer 3		500,000		500,000		68,512		72,464
Advancer 4		348,000		348,000		47,684		50,435
Advancer 5		50,000		50,000		6,851		7,246
Advancer 6		50,000		50,000		6,851		7,246
Advancer 7		31,012		31,012		4,249		4,494
Advancer 8		31		31		4		5
Advancer 9		—		100,000		—		14,493
Advancer 10		6,000		—		822		—
	¥	3,079,791	¥	3,173,791	$	422,005	$	459,970

F-15

The related verbal agreements between Yubo Beijing and the nine advancers provide for the nine advancers to purchase inventory from Yubo Beijing or enter into such other arrangements with Yubo Beijing as the parties mutually agree. Pending formal approval of any such arrangements, all of the nine PRC advancers have the right to request the return of their advances.

NOTE 10 – DUE TO RELATED PARTIES

Due to related parties consisted of the following:

	September 30,		December 31,
	2023		2022
	(Unaudited)
Mr. Yang Wang (1)	$	434,834	$	417,609
Mr. Jun Wang (2)		1,046,267		639,443
Ms. Huang Li (3)		53,480		56,565
Mr. Jin Wei (4)		10,000		—
Total	$	1,544,582	$	1,113,617

(1)	Mr. Yang Wang controls 20.85% of the outstanding Class A common stock of Yubo New York and is a director of the Company and Yubo Beijing.
(2)	Mr. Jun Wang controls 33.34% of the outstanding Class A common stock of Yubo New York and is the CEO of the Company and Yubo Beijing.
(3)	Ms. Huang Li is a shareholder of Focus One Technology Group Limited (“Focus One”). Focus One owns 9.62% of the issued and outstanding Class A common stock of the Company.
(4)	Mr. Jin Wei controls 9.62% of the outstanding Class A commons stock of Yubo New York.

The due to related parties payables are noninterest bearing and are due on demand.

NOTE 11 – SHAREHOLDERS’ EQUITY

Yubo Biotech International Limited

The Company has three types of stocks:

Preferred stock – par value 0.01 per share, 5,000,000 shares authorized, none issued.

Common Stock Class A – par value 0.001 per share, 1,000,000,000 shares authorized, 119,816,343 shares issued and outstanding at September 30, 2023 and December 31, 2022.

Common Stock Class B – par value 0.001 per share, 3,750,000 shares authorized, 4,447 shares issued and outstanding at September 30, 2023 and December 31, 2022.

F-16

On January 14, 2021, the Company issued 117,000,000 shares of Class A common stock in connection with the acquisition of Platinum, as follows:

Name of Selling Shareholder	Number of Exchange Shares		Percentage of Exchange Shares
FLYDRAGON INTERNATIONAL LIMITED (controlled by Mr. Jun Wang)		39,943,800		34.14	%
CHINAONE TECHNOLOGY LIMITED (controlled by Mr. Yang Wang)		19,211,400		16.42	%
BOAO BIOTECH LIMITED (controlled by Mr. Yulin Cao)		24,967,800		21.34	%
FOCUS DRAW GROUP LIMITED (controlled by Ms. Lina Liu)		13,829,400		11.82	%
FOCUSONE TECHNOLOGY GROUP LIMITED (controlled by Mr. Jin Wei)		11,524,500		9.85	%
DRAGONCLOUD TECHNOLOGY LIMITED (controlled by Mr. Yang Wang)		5,768,100		4.93	%
CHEUNG HO SHUN		1,755,000		1.50	%
TOTAL		117,000,000		100.00	%

On September 2, 2022, the Company issued 1,638,458 shares of its Class A Common stock to World Precision Medicine Technology, Inc. (“World Precision”) in settlement of a $819,229 liability due  to World Precision.

Platinum International Biotech Co., LTD (Cayman Islands) (“Platinum”)

Platinum has authorized 500,000,000 ordinary shares with a par value of $0.0001 per share with 10,152,284 shares issued and outstanding at September 30, 2023 and December 31, 2022.

On April 7, 2020, Platinum issued a total of 10,000,000 ordinary shares to six entities as follows:

Entity	Shares
1. Flydragon International Limited (controlled by Mr. Jun Wang)		3,466,000
2. Chinaone Technology Limited (controlled by Mr. Yang Wang)		1,667,000
3. Boao Biotech Limited (controlled by Mr. Yulin Cao)		2,167,000
4. Dragoncloud Technology Limited (controlled by Mr. Yang Wang)		500,000
5. Focus Draw Group Limited (controlled by Ms. Lina Liu)		1,200,000
6. Focusone Technology Group Limited (controlled by Mr. Jin Wei)		1,000,000
Total		10,000,000

On September 11, 2020, Platinum sold 152,284 ordinary shares to Mr. Cheung Ho Shun for $750,000 cash.

On January 21, 2021, Yubo New York acquired all 10,152,284 ordinary shares of Platinum outstanding.

Yubo International Biotech (Chengdu) Limited (“Yubo Chengdu”)

Yubo Chengdu has subscribed capital of $1,500,000 which has not yet been paid by its shareholder. The subscribed capital is due for payment on January 1, 2040.

Yubo International Biotech (Beijing) Limited (“Yubo Beijing”)

Yubo Beijing has subscribed capital of $1,370,238 (RMB 10,000,000), all of which was paid by its shareholders as of December 31, 2021.

Restricted net assets

The Company’s ability to pay dividends is primarily dependent on the Company receiving distributions of funds from its subsidiaries or its VIE. Relevant PRC statutory laws and regulations permit payments of dividends by Yubo Chengdu, Yubo Jingzhi, Yubo Global, and Yubo Beijing only out of its retained earnings, if any, as determined in accordance with PRC accounting standards and regulations and after it has met the PRC requirements for appropriation to statutory reserves. Paid in capital of the PRC subsidiaries and VIE included in the Company’s consolidated net assets are also non-distributable for dividend purposes. The results of operations reflected in the accompanying consolidated financial statements prepared in accordance with U.S. GAAP differ from those reflected in the statutory financial statements of Yubo Chengdu, Yubo Jingzhi, Yubo Global, and Yubo Beijing.

F-17

Yubo Chengdu, Yubo Jingzhi, Yubo Global and Yubo Beijing are required to set aside at least 10% of their after-tax profits each year, if any, to fund certain statutory reserve funds until such reserve funds reach 50% of its registered capital. In addition, Yubo Chengdu, Yubo Jingzhi, Yubo Global and Yubo Beijing may allocate a portion of its after-tax profits based on PRC accounting standards to an enterprise expansion fund and a staff bonus and welfare fund at its discretion. The statutory reserve funds and the discretionary funds are not distributable as cash dividends.

Since inception to September 30, 2023, Yubo Chengdu, Yubo Jingzhi, Yubo Global, and Yubo Beijing have not generated any profit and had negative retained earnings as of September 30, 2023.  As a result, these entities have not accrued statutory reserve funds.

The ability of the Company’s PRC subsidiaries and its VIE to make dividends and other payments to the Company may also be restricted by changes in applicable foreign exchange and other laws and regulations. Foreign currency exchange regulation in China is primarily governed by the following rules:

· Foreign Exchange Administration Rules (1996), as amended in August 2008, or the Exchange Rules;

· Administration Rules of the Settlement, Sale and Payment of Foreign Exchange (1996), or the Administration Rules.

Currently, under the Administration Rules, Renminbi is freely convertible for current account items, including the distribution of dividends, interest payments, trade and service related foreign exchange transactions, but not for capital account items, such as direct investments, loans, repatriation of investments and investments in securities outside of China, unless the prior approval of the State Administration of Foreign Exchange (the “SAFE”) is obtained and prior registration with the SAFE is made. Foreign-invested enterprises that need foreign exchange for the distribution of profits to its shareholders may affect payment from their foreign exchange accounts or purchase and pay foreign exchange rates at the designated foreign exchange banks to their foreign shareholders by producing board resolutions for such profit distribution. Based on their needs, foreign-invested enterprises are permitted to open foreign exchange settlement accounts for current account receipts and payments of foreign exchange along with specialized accounts for capital account receipts and payments of foreign exchange at certain designated foreign exchange banks.

Although the current Exchange Rules allow the convertibility of Chinese Renminbi into foreign currency for current account items, conversion of Chinese Renminbi into foreign exchange for capital items, such as foreign direct investment, loans or securities, requires the approval of SAFE, which is under the authority of the People’s Bank of China. These approvals, however, do not guarantee the availability of foreign currency conversion. The Company cannot be sure that it will be able to obtain all required conversion approvals for its operations or that the Chinese regulatory authorities will not impose greater restrictions on the convertibility of Chinese Renminbi in the future. Currently, all of the Company’s revenues are generated in Renminbi. Any future restrictions on currency exchanges may limit the Company’s ability to use its retained earnings generated in Renminbi to make dividends or other payments in U.S. dollars or fund possible business activities outside China.

NOTE 12 – RELATED PARTY TRANSACTIONS

On February 27, 2020, Yubo Beijing executed an Entrustment Technical Service Agreement with Beijing Zhenhuikang Biotechnology Co. LTD (“Zhenhuikang”), an entity controlled by Mr. Yulin Cao (who is a director of Platinum and Yubo Beijing). The Agreement provides for Zhenhuikang to, among other things, assist Yubo Beijing in the preparation of 300 sets of endometrial stem cell harvesting packages. As amended July 2, 2020, the Agreement provides for Yubo Beijing to pay Zhenhuikang at the rate of RMB 666 per set or RMB 199,800 total ($27,377 at the 7.2980 current exchange rate at September 30, 2023). As of September 30, 2023, preparation of the stem cell harvesting packages has not yet commenced, no payments to Zhenhuikang have been made, and no expense or liability has been recorded.

On May 11, 2021, World Precision Medicine Technology Inc., a company owned and controlled by Cheung Ho Shun, a shareholder of Yubo International Biotech Limited, provided the Company $600,000 in a working capital loan. On November 24, 2021, April 14, 2022 and September 7, 2022, World Precision Medicine Technology, Inc. provided the Company additional loans of $70,000, $50,000, and $99,229, respectively. The four loans were due on demand and non-interest bearing.  In September 2022, the $819,229 loans owed to World Precision Medicine Technology Inc. were settled by conversion into 1,638,458 shares of Class A common stock at $0.50 per share. See NOTE 11 – SHAREHOLDERS’ EQUITY above.

F-18

NOTE 13 – INCOME TAX

Cayman Islands

Under the current laws of the Cayman Islands, Platinum is not subject to tax on income or capital gains. In addition, payments of dividends by Platinum to its shareholders are not subject to withholding tax in the Cayman Islands.

Hong Kong

Platinum HK was incorporated under the Hong Kong tax law where the statutory income tax rate is 16.5%. Platinum HK has had no taxable income or loss from May 4, 2020 (inception) to June 30, 2023.

People’s Republic of China

Yubo International Biotech (Chengdu) Limited (“Yubo Chengdu”), Yubo Jingzhi Biotechnology (Chengdu) Co. LTD. (“Yubo Jingzhi”), Yubo Global Biotechnology (Chengdu) Co. Ltd (“Yubo Global”) and Yubo International Biotech (Beijing) Limited were incorporated in the PRC and are subject to PRC Enterprise Income Tax (“EIT”) on their taxable income in accordance with the relevant PRC income tax laws. On March 16, 2007, the National People’s Congress enacted a new enterprise income tax law, which took effect on January 1, 2008. The law applies a uniform 25% enterprise income tax rate to both foreign invested enterprises and domestic enterprises.

Yubo Chengdu has had no taxable income or loss from September 4, 2020 (inception) to September 30, 2023.

Yubo Beijing has had net losses of $231,193 for the year ended December 31, 2019, $597,713 for the year ended December 31, 2020, $649,871 for the year ended December 31, 2021, $961,446 for the year ended December 31, 2022, and $420,886 for the nine months ended September 30, 2023. Yubo Global had a net loss of $488,790 for the year ended December 31, 2021, net income of $23,257 for the year ended December 31, 2022, and a net loss of $40,679 for the nine months ended September 30, 2023. Yubo Jingzhi had a net loss of $1,207 for the year ended December 31, 2021, a net loss of $145,763 for the year ended December 31, 2022 and a net loss of $125,761  for the nine months ended September 30, 2023 . These losses can be carried forward for five years to reduce future years’ taxable income through year 2024 to year 2028. Based on management’s present assessment, the Company has not yet determined it to be more likely than not that future utilization of the net operating loss carryforwards will be realized. Accordingly, the Company has recorded a 100% valuation allowance against the deferred tax asset at September 30, 2023 and December 31, 2022.

The components of deferred tax assets were as follows:

	September 30, 2023			December 31, 2022
	(Unaudited)
Net operating losses carry forward	$	910,013		$	763,182
Valuation allowance		(910,013	)		(763,182	)
Deferred tax assets, net	$	—		$	—

The reconciliation of the provisions for (benefits from) income tax by applying the PRC tax rate to income (loss) before provisions for income tax and the actual provisions for income tax is as follows:

	For the nine months ended September 30, 2023			For the nine months ended September 30, 2022
	(Unaudited)			(Unaudited)
Income tax (benefit) at 25%	$	(169,425	)	$	(327,151	)
Net loss of Platinum		12,563			8,957
Increase in valuation allowance		146,831			318,242
Other		10,031			(48	)
Provision for income taxes	$	—		$	—

F-19

Accounting for Uncertainty in Income Taxes

The tax authority of the PRC government conducts periodic and ad hoc tax filing reviews on business enterprises operating in the PRC after those enterprises complete their relevant tax filings. Therefore, the Company’s PRC entities’ tax filings results are subject to change and may lead to tax liabilities.

ASC 740 requires recognition and measurement of uncertain income tax positions using a “more-likely-than-not” approach. The management evaluated the Company’s tax positions and concluded that no liability for uncertainty in income taxes was necessary as of September 30, 2023 and December 31, 2022.

NOTE 14 – COMMITMENTS AND CONTINGENCIES

Credit risk

Cash deposits with banks are held in financial institutions in the PRC, which are insured with deposit protection up to RMB 500,000 (approximately $68,512 at September 30, 2023). Accordingly, the Company has a concentration of credit risk from time to time relating to the uninsured part of bank deposits. The Company has not experienced any losses in such accounts and believes it is not exposed to significant credit risk.

Risks of Variable Interest Entity Structure

Although the structure the Company has adopted is consistent with longstanding industry practice, and is commonly adopted by comparable companies in China, the PRC government may not agree that these arrangements comply with PRC licensing, registration or other regulatory requirements, with existing policies or with requirements or policies that may be adopted in the future. There are uncertainties regarding the interpretation and application of PRC laws and regulations including those that govern the Company’s contractual arrangements, which could limit the Company’s ability to enforce these contractual arrangements. If the Company or its variable interest entity is found to be in violation of any existing or future PRC laws, rules or regulations, or fail to obtain or maintain any of the required permits or approvals, the relevant PRC regulatory authorities would have broad discretion to take action in dealing with such violations or failures, including levying fines, revoking business and other licenses of the Company’s variable interest entity, requiring the Company to discontinue or restrict its operations, restricting its right to collect revenue, requiring the Company to restructure its operations or taking other regulatory or enforcement actions against the Company. In addition, it is unclear what impact the PRC government actions would have on the Company and on its ability to consolidate the financial results of its variable interest entity in the consolidated financial statements, if the PRC government authorities were to find the Company’s legal structure and contractual arrangements to be in violation of PRC laws, rules and regulations. If the imposition of any of these government actions causes the Company to lose its right to direct the activities of Yubo Beijing or the right to receive their economic benefits, the Company would no longer be able to consolidate Yubo Beijing.

NOTE 15 – MAJOR CUSTOMERS

Two customers accounted for 14.83% and 14.83%, respectively, of total sales for the nine months ended September 30, 2023.

F-20

Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations.

The following discussion and analysis of our financial condition and results of operations should be read in conjunction with our unaudited consolidated financial statements for the three and nine months ended September 30, 2023 and 2022 included under “Part I Financial Information—Item 1. Financial Statements” of this Quarterly Report. In addition to historical information, this discussion and analysis contains forward-looking statements that involve risks, uncertainties and assumptions. Our actual results may differ materially from those anticipated in these forward-looking statements as a result of certain factors, including, but not limited, to those set forth under “Part II Other Information—Item 1A. Risk Factors” and elsewhere in our Annual Report on Form 10-K filed with the SEC on April 14, 2023.

Corporate Overview

We are a U.S. holding company primarily operating through our wholly owned subsidiary, Platinum. Platinum is not a Chinese operating company but a Cayman Islands holding company which in turn operates in China through its subsidiaries and contractual arrangements with Yubo Beijing, the Chinese operating company. None of our Company, Platinum, or Platinum HK, each as a holding company, conducts any day-to-day business operations in China.

Yubo Beijing conducts the day-to-day business operations of our Company in China through contractual relationships with us. Yubo Beijing is a technology company focused on the research and development and application of endometrial stem cells. Yubo Beijing is committed to building the first public endometrial stem cell repository in the world. Yubo Beijing offers its products and services under the brand “VIVCELL.” Yubo Beijing’s product offerings include healthcare products for respiratory system, skincare products, hair care products, healthy beverages and male and female personal care products. Yubo Beijing also offers stem cell related services including cell testing and health management consulting services.

Key factors affecting our results of operations include revenues, cost of goods sold, operating expenses and income and taxation. 

The VIE and China Operations

We are a U.S. holding company primarily operating through our wholly owned subsidiary, Platinum. Platinum is not a Chinese operating company but a Cayman Islands holding company, which in turn operates in China through (i) its Hong Kong and PRC subsidiaries, including Yubo Jingzhi, Yubo Global, and the WFOE, in which we hold equity ownership interests, and (ii) Yubo Beijing, a Chinese operating company that conducts the day-to-day business operations in China as described in this Quarterly Report. We do not own any equity interest in Yubo Beijing or Yubo Jingzhi.

We manage Yubo Beijing through the WFOE.  On September 11, 2020, the WFOE entered into a series of contractual arrangements with Yubo Beijing and its shareholders, allowing us to exercise effective control over Yubo Beijing. These agreements include:

· Exclusive Consulting Services Agreement. Pursuant to the Exclusive Consulting Services Agreement, the WFOE agreed to provide, and Yubo Beijing agreed to accept, exclusive management services provided by the WFOE. The Exclusive Consulting Services Agreement was amended in March 2022 for the sole purpose of clarifying the fee structure under such agreement. Pursuant to the amendment, Yubo Beijing agreed to compensate the WFOE, Yubo Chengdu, for its services on an annual basis. Under the amendment, the WFOE is entitled to receive 90% of the after-tax profit from Yubo Beijing annually following the closing of Yubo Beijing’s annual accounts. In light of such arrangement, the WFOE is considered a primary beneficiary of benefits that are otherwise potentially significant to Yubo Beijing. The amendment did not change the contractual relationships that we have with Yubo Beijing. Since Yubo Beijing has not generated any after-tax profit to date, Yubo Beijing has not paid any fee to the WFOE to date.

· Exclusive Option Agreement. Pursuant the Exclusive Option Agreement, the shareholders of Yubo Beijing granted the WFOE an irrevocable and exclusive purchase option to acquire Yubo Beijing’s equity and/or assets at a nominal consideration. The WFOE may exercise the purchase option at any time.

· Equity Pledge Agreement. Pursuant to the Equity Pledge Agreement, the shareholders of Yubo Beijing pledged all of their equity interests in Yubo Beijing, including the proceeds thereof, to guarantee all of the WFOE’s rights and benefits under the Exclusive Consulting Services Agreement and the Exclusive Option Agreement.

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We do not have any equity ownership interest in, direct foreign investment in, or control through such contractual agreements of Yubo Beijing. As a result of our contractual relationships with Yubo Beijing, we consolidate Yubo Beijing’s financial results in our consolidated financial statements and are the primary beneficiary of Yubo Beijing for accounting purposes only. Our corporate structure involving the VIE provides investors with contractual exposure to foreign investment in China-based companies where PRC laws prohibit direct foreign investment in Chinese operating companies in certain industries, such as Yubo Beijing. This structure involves unique risks to investors. For example, management through these contractual arrangements may be less effective than direct ownership, and we could face heightened risks and costs in enforcing these contractual arrangements, because there are substantial uncertainties regarding the interpretation and application of current and future PRC laws, regulations, and rules relating to these contractual arrangements. Our contractual arrangements with Yubo Beijing have not been tested in a court of law. If the PRC government finds such agreements non-compliant with relevant PRC laws, regulations, and rules, or if these laws, regulations, and rules or the interpretation thereof change in the future, we could be subject to severe penalties or be forced to relinquish our interests in Yubo Beijing or forfeit our rights under the contractual arrangements. See “Item 1A. Risk Factors—Risks Related to Our Corporate Structure.”

The OTCQB^® Venture Market

On April 24, 2023, shares of our Class A common stock began being quoted on the OTCQB^® Venture Market under the symbol “YBGJ”. 

COVID-19

On March 11, 2020, the World Health Organization declared the Covid-19 outbreak to be a global pandemic. In addition to the devastating effects on human life, the pandemic is having a negative ripple effect on the global economy, leading to disruptions and volatility in the global financial markets. Most U.S. states and many countries have issued policies intended to stop or slow the further spread of the disease.

Covid-19 and the U.S’s and China’s responses to the pandemic have significantly affected the economy. There are no comparable events that provide guidance as to the ultimate effect the Covid-19 pandemic may have, and, as a result, the ultimate effect of the pandemic is highly uncertain and subject to change. We do not yet know the full extent of the effects on the economy, the markets we serve, our business, or our operations.

Regulatory Developments

Implication of the Holding Foreign Companies Accountable Act

The Holding Foreign Companies Accountable Act, or the HFCA Act, was enacted on December 18, 2020. The HFCA Act states that if the SEC determines that an issuer’s audit reports issued by a registered public accounting firm have not been subject to inspection by the PCAOB for three consecutive years beginning in 2021, the SEC shall prohibit such issuer’s securities from being traded on a national securities exchange or in the over-the-counter trading market in the United States.

On June 22, 2021, the U.S. Senate passed the Accelerating Holding Foreign Companies Accountable Act (“AHFCAA”), which was signed into law on December 29, 2022. the AHFCAA amended the HFCA Act and require the SEC to prohibit an issuer’s securities from trading on any U.S. stock exchanges if its auditor is not subject to PCAOB inspections for two consecutive years instead of three years.

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On December 2, 2021, the SEC adopted amendments to finalize rules implementing the submission and disclosure requirements in the HFCA Act. We will be required to comply with these rules if the SEC identifies us as a Commission-Identified Issuer (as defined in the final rules) under a process to be subsequently established by the SEC, and the SEC could prohibit the trading of our securities on national securities exchanges if we are identified as a Commission-Identified Issuer. Under the HFCA Act, our securities may be prohibited from trading on the Nasdaq or other U.S. stock exchanges if our auditor is not inspected by the PCAOB for three consecutive years, and this ultimately could result in our shares being delisted.

On December 16, 2021, PCAOB announced the PCAOB Holding Foreign Companies Accountable Act determinations (the “2021 PCAOB Determinations”) relating to the PCAOB’s inability to inspect or investigate completely registered public accounting firms headquartered in mainland China of the PRC or Hong Kong, a Special Administrative Region and dependency of the PRC, because of a position taken by one or more authorities in the PRC or Hong Kong.

On August 26, 2022, the PCAOB announced and signed a Statement of Protocol (the “Protocol”) with the CSRC and the Ministry of Finance of the PRC (the “MOF”). The Protocol provides the PCAOB with: (1) sole discretion to select the firms, audit engagements and potential violations it inspects and investigates, without any involvement of Chinese authorities; (2) procedures for PCAOB inspectors and investigators to view complete audit work papers with all information included and for the PCAOB to retain information as needed; (3) direct access to interview and take testimony from all personnel associated with the audits the PCAOB inspects or investigates.

The PCAOB reassessed the 2021 PCAOB Determinations that the positions taken by PRC authorities prevented the PCAOB from inspecting and investigating in mainland China and Hong Kong completely. The PCAOB sent its inspectors to conduct on-site inspections and investigations of firms headquartered in mainland China and Hong Kong from September to November 2022.

On December 15, 2022, the PCAOB announced in the 2022 Determination its determination that the PCAOB was able to secure complete access to inspect and investigate accounting firms headquartered in mainland China and Hong Kong, and the PCAOB Board voted to vacate previous determinations to the contrary. Should the PCAOB again encounter impediments to inspections and investigations in mainland China or Hong Kong as a result of positions taken by any authority in either jurisdiction, including by the CSRC or the MOF, the PCAOB will make determinations under the HFCAA as and when appropriate.

As of the date of this Quarterly Report, our auditor, Michael T. Studer CPA P.C., an independent registered public accounting firm headquartered in the United States, is currently subject to PCAOB inspections and has been inspected by the PCAOB on a regular basis. However, in the event it is later determined that the PCAOB is unable to inspect or investigate completely our auditor because of a position taken by an authority in a foreign jurisdiction, then such lack of inspection could cause trading in our securities to be delisted from the stock exchange in the United States pursuant to the HFCA Act.

Cybersecurity Review Measures

On December 28, 2021, the Cyberspace Administration of China (“CAC”) published the revised Measures for Cybersecurity Review (“CRM”), which further restates and expands the applicable scope of the cybersecurity review. The revised CRM took effect on February 15, 2022. Pursuant to the revised CRM, if a network platform operator holding personal information of over one million users seeks for “foreign” listing, it must apply for the cybersecurity review, and operators of critical information infrastructure purchasing network products and services are also obligated to apply for the cybersecurity review for such purchasing activities. Although the CRM provides no further explanation on the extent of “network platform operator” and “foreign” listing, we do not believe we are obligated to apply for a cybersecurity review pursuant to the revised CRM, considering that (i) we are not in possession of or otherwise holding personal information of over one million users and it is also very unlikely that we will reach such threshold in the near future; and (ii) as of the date of this Quarterly Report, we have not received any notice or determination from applicable PRC governmental authorities identifying it as a CIIO or requiring us to go through cybersecurity review or similar government reviews. That being said, considering that the revised CRM empowers the cybersecurity review office to initiate cybersecurity review when they believe any particular data processing activities “affect or may affect national security”, and that the revised CRM is new, it is uncertain whether the competent government authorities will deem that Yubo Beijing’s data processing activities may affect national security and thus initiating the cybersecurity review against Yubo Beijing’s businesses, and whether the competent government authorities, including the CAC, will adopt new laws, regulations or rules related to the revised CRM subjecting Yubo Beijing or its business to the cybersecurity review. We cannot guarantee, however, that we will not be subject to the cybersecurity review in the future. If a cybersecurity review is determined to apply to us in the future, we may be required to suspend our operations or experience other disruptions to our operations. Cybersecurity review could also result in negative publicity with respect to our Company and diversion of our managerial and financial resources, which could materially and adversely affect our business, financial condition, and results of operations. Failure of cybersecurity, data privacy and data security compliance which may be identified during any of such cybersecurity review could subject Yubo Beijing to penalties, damage its reputation and brand, and harm its business and results of operations.

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Furthermore, on August 20, 2021, the Standing Committee of the National People’s Congress promulgated the PRC Personal Information Protection Law (the “PIPL”), which took effect in November 2021. The PIPL provides that any entity involving processing of personal information (“PI Handler”) shall take various measures to prevent the disclosure, modification or losing of the personal information processed by such entity, including, but not limited to, formulating a related internal management system and standard of operation, conducting classified management of personal information, taking safety technology measures to encrypt and de-identify the processed personal information, providing regular safety training and education for staff and formulating a personal information safety emergency accident plan. The PIPL further provides that a PI Handler shall conduct a prior evaluation of the impact of personal information protection before the occurrence of various situations, including, but not limited to, processing of sensitive personal information (personal information that, once leaked or illegally used, may lead to discrimination against an individual or serious harm to an individual’s personal or property safety, including information on an individual’s ethnicity, religious beliefs, personal biological characteristics, medical health, financial accounts, personal whereabouts), using personal information to make automated decisions and providing personal information to any overseas entity. Notably, in case of cross-border transfer of personal information, the PIPL requires the PI Handler to either (i) complete a mandatory security assessment by CAC, (ii) complete the personal information protection certification (the “PIPC”) by a certification institution designated by the CAC, or (iii) conclude a standard contract provided by CAC with the foreign recipients.

On July 7, 2022, the CAC promogulated the Outbound Data Transfer Security Assessment Measures (the “Measures”), which became effective on September 1, 2022. According to the Measures, a PI Handler should declare a mandatory security assessment for its outbound data transfer to the CAC through the local provincial cyberspace administration under the following circumstances (i) where such PI Handler provides critical data outside the territory of the PRC, (ii) where the PI Handler being a CIIO or processing the personal information of more than one million individuals provides personal information outside the territory of the PRC, (iii) where a PI Handler has provided personal information of 100,000 individuals or sensitive personal information of 10,000 individuals in total outside the territory of the PRC since January 1 of the previous year; or (iv) other circumstances prescribed by the CAC for which declaration for security assessment for cross-border data transfers is required. Considering that (i) Yubo Beijing is not in possession of or otherwise holding personal information of over one million users and it is also very unlikely that we will reach such threshold in the near future; (ii) as of the date of this Quarterly Report, Yubo Beijing has not received any notice or determination from applicable PRC governmental authorities identifying Yubo Beijing as a CIIO, or as a processor of critical data, and (iii) since January 1, 2022, Yubo Beijing has not provided personal information of 100,000 individuals or sensitive personal information of 10,000 individuals outbound accumulatively, we do not believe we are currently obliged to declare a mandatory security assessment under the Measures. However, according to the draft version of the PRC national standard “Information security technology—Guideline for identification of critical data” dated January 2022, information related to human genetic resources might fall into the scope of critical data. Although this national standard has not released its final version and become effective yet, if we are deemed to be a PI Handler providing critical data outbound in the future, we might be subject to the mandatory security assessment as mentioned above.

On November 4, 2022, the CAC and the State Administration for Market Regulation (the “SAMR”) jointly issued the Notification on the Implementation of Personal Information Protection Certification, formally initiating the mechanism of PIPC. In parallel, on December 16, 2022, the National Information Security Standardization Technical Committee released an updated version of the Guidance on Network Security Standardized Practice – Specification for Certification of Personal Information Cross-Border Processing Activities, which provides the general principles and detailed requirements for cross-border PIPC.

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On February 24, 2023, the CAC released the Measures for the Standard Contract for Cross-Border Transfer of Personal Information, along with the final version of the standard contract for the cross-border transfer of personal information outside of mainland China (the “PRC Standard Contract”), which came into effect on June 1, 2023. A PI Handler may choose either (i) to complete a PIPC, or (ii) to conclude a PRC Standard Contract with the foreign recipient and submit it along with other required materials to the provincial-level CAC where the PI Handler is located for filing to ensure the legality of a cross-border transfer of personal information, as long as not falling into the circumstances required for a mandatory security assessment as mentioned above.

Yubo Beijing’s business involves the processing of personal information of customers using Yubo Beijing’s healthcare products and receiving Yubo Beijing’s services, which may be deemed as sensitive personal information. Considering that (i) Yubo Beijing has not provided the personal information collected and gathered in its business outside the territory of China, (ii) our Company do not have the access to the personal information gathered by Yubo Beijing, based on our understanding of current PRC laws and regulations, we are not subject to the regulations over the cross-border transfer of personal information so far. However, given that the national security legal framework imposes stricter data localization and protection requirements on personal information and human health-related data in recent years, we might need to maintain the data and personal information collected and generated in our business in mainland China, enter into standard contracts with the overseas recipients of any personal information processed by us (if any), conduct self-assessments, undergo security assessments, or even obtain the requisite approvals from the Chinese government if the transmission of such information and data outside of mainland China is needed, which could significantly increase our operating costs or cause delays or disruptions in our business operations. Furthermore, if Yubo Beijing does not take measures to review and improve its mechanisms in protecting personal information, failure of personal information protection compliance could subject Yubo Beijing to penalties, damage its reputation and brand and harm its business and results of operations.

Cybersecurity Risk Management, Strategy, Governance and Incident Reporting

On July 26, 2023, the SEC adopted amendments to its rules to require disclosure regarding cybersecurity risk management, strategy, governance and incident reporting by public companies. The SEC’s adopted amendments require public companies to (i) disclose, on a current basis, any cybersecurity incident it deems to be material within four business days on a Form 8-K; (ii) describe, on a periodic basis, the company’s processes, if any, for the assessment, identification and management of material risks from cybersecurity threats, as well as whether any risks from cybersecurity threats have materially affected or are reasonably likely to materially affect their business strategy, results of operations or financial condition; and (iii) describe, on a periodic basis, the board’s oversight of risks from cybersecurity threats and management’s role in assessing and managing those risks. The amendments will require ongoing evaluation and analysis of possible changes in our applicable processes and procedures, including regarding cyber incident response plans and procedures, disclosure analysis framework, risk management processes, and board oversight structure.

Disclosure

requirements for risk management, strategy and governance will become effective for all registrants for fiscal years ending on or after December 15, 2023. As such, we will be required to provide our risk management strategy and governance disclosures in our annual report on Form 10-K for the year ending December 31, 2023. The material incident disclosure requirements will become effective on or after December 18, 2023. We, as a “smaller reporting company”, have a 180-day deferral period to postpone the disclosure of any material cybersecurity incident in current report on Form 8-K. As such, we will be required to report material cybersecurity incidents beginning June 2024.

Other

To operate its business activities in China, Yubo Beijing is required to obtain the following licenses and approvals. Yubo Beijing has obtained such licenses and approvals, and, to date, no application for any such licenses and approvals has been denied.

Licenses and Approvals	PRC Regulatory Authority
Food Operation License Permit	Xicheng District Market Supervision and Administration Office of Beijing Municipality
Medical License Distribution Enterprise Filing Certificate	Xicheng District Market Supervision and Administration Office of Beijing Municipality

Major Customers

Yubo Beijing has historically generated most of its revenue from a limited number of customers. Two customers accounted for approximately 14.8% and 14.8% of Yubo Beijing’s total sales for the nine months ended September 30, 2023.

Corporate Information

Our principal executive offices are located at room 105, building 5, 31 Xishiku Avenue, Xicheng District, Beijing, PRC 100034. Our telephone number is +86 (040) 0677-6010. Our website address is http://www.yubogroup.com/. The information contained in, or that can be accessed through, our website is not incorporated by reference into, and is not a part of, this Quarterly Report. You should not consider any information on our website to be part of this Quarterly Report or in decides whether to purchase our securities. We have included our website address in this Quarterly Report solely for informational purposes.

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Critical Accounting Principles and Estimates

This section discusses our financial statements, which have been prepared in accordance with accounting principles generally accepted in the United States of America. The preparation of these financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of income and expenses during the reporting period. On an on-going basis, management evaluates its estimates and judgments, including those related to accrued expenses, financing operations, and contingencies and litigation. Management bases its estimates and judgments on historical experience and on various other factors that are believed to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying value of assets and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates under different assumptions or conditions. The most significant accounting estimates inherent in the preparation of our financial statements include estimates as to the appropriate carrying value of certain assets and liabilities which are not readily apparent from other sources. We consider certain accounting policies related to fair value measurements and earnings per share to be critical accounting policies that require the use of significant judgments and estimates relating to matters that are inherently uncertain and may result in materially different results under different assumptions and conditions. See Note 2 – Summary of Significant Accounting Policies to our unaudited consolidated financial statements for the three and nine months ended September 30, 2023 and 2022 included elsewhere in this Quarterly Report.

As of September 30, 2023, the impact of COVID-19 on our business continued to unfold. As a result, many of our estimates and assumptions carry a higher degree of variability and volatility. As events continue to evolve and additional information becomes available, our estimates may change in future periods.

Recently Issued and Adopted Accounting Pronouncements

In February 2016, the FASB issued Accounting Standards Update No. 2016-02 (ASU 2016-02) “Leases (Topic 842).” ASU 2016-02 requires a lessee to recognize in the statement of financial position a liability to make lease payments (the lease liability) and a right-of-use asset representing its right to use the underlying asset for the lease term. ASU 2016-02 is effective for interim and annual reporting periods beginning after December 15, 2018. Early adoption is permitted. For more information, see Note 2: Summary of Significant Accounting Policies to our unaudited consolidated financial statements for the three and nine months ended September 30, 2023 and 2022 included elsewhere in this Quarterly Report.

We do not believe other recently issued but not yet effective accounting standards, if currently adopted, would have a material impact on its consolidated financial position, statements of operations or cash flows.

Results of Operations for the Three Months Ended September 30, 2023 Compared to the Three Months Ended September 30, 2022 and for the Nine Months Ended September 30, 2023 Compared to the Nine Months Ended September 30, 2022

Sales, Cost of Goods Sold and Gross Profit 

Our sales increased to $428,510 for the three months ended September 30, 2023 from $14,580 for the three months ended September 30, 2022, primarily as a result of  the launch of our new health management and health maintenance services as a new revenue stream during the quarter. Our cost of goods sold increased to $84,428 for the three months ended September 30, 2023 from $4,980 for the three months ended September 30, 2022, primarily as a result of the increase in sales. Accordingly, our gross profit increased to $344,082 for the three months ended September 30, 2023 from $9,600 for the three months ended September 30, 2022.

Our sales increased to $582,390 for the nine months ended September 30, 2023 from $37,763 for the nine months ended September 30, 2022, primarily as a result of the launch of our new health management and health maintenance services as a new revenue stream during the third quarter. Our cost of goods sold increased to $181,267 for the nine months ended September 30, 2023 from $14,046 for the nine months ended September 30, 2022, primarily as a result of the increase in sales. Accordingly, our gross profit increased to $401,123 for the nine months ended September 30, 2023 from $23,717 for the nine months ended September 30, 2022.

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Operating Expenses

Our operating expenses increased to $337,659 for the three months ended September 30, 2022 from $247,870 for the three months ended September 30, 2022, primarily as a result of a decrease in employee compensation expense.

Our operating expenses decreased to $1,078,508 for the nine months ended September 30, 2023 from $1,332,422 for the nine months ended September 30, 2022, primarily as a result of a decrease in occupancy expense.

Income (Loss) from Operations

Our income from operations was $6,423 for the three months ended September 30, 2023, as compared to loss from operations of $(238,096) for the three months ended September 30, 2022. The increase in our income from operations was primarily due to the new revenue stream provided by our new health management and health maintenance services that we launched in the third quarter.

Our loss from operations was $(1,078,508) for the nine months ended September 30, 2023, as compared to $(1,308,705) for the nine months ended September 30, 2022. The decrease in our loss from operations was primarily due to the new revenue stream provided by our new health management and health maintenance services that we launched in the third quarter.

Other Income (Expense)

Our other expense was $(130) for the three months ended September 30, 2023, as compared to other income of $174 for the three months ended September 30, 2022. The decrease was primarily due to interest expense.

Our other expense was $(316) for the nine months ended September 30, 2023, as compared to other income of $102 for the nine months ended September 30, 2022. The decrease was primarily due to interest expense.

Net Income (Loss)

Our net income was $6,293 for the three months ended September 30, 2023, as compared to a net loss of $(238,096) for the three months ended September 30, 2022. The increase in our net income was primarily due to higher gross profit and higher revenue from the new revenue stream.  

Our net loss was $(677,701) for the nine months ended September 30, 2023, as compared to $(1,308,603) for the nine months ended September 30, 2022. The decrease was primarily due to higher gross profit and higher revenue from the new revenue stream.  

Liquidity and Capital Resources

As of September 30, 2023, we had cash and equivalents on hand of $5,295 and a negative working capital of $(2,152,984). Generally, the primary sources of our funds have been cash from operations, loans from our shareholders and capital contributions. We believe that our cash on hand and working capital will be sufficient to meet our and Yubo Beijing’s anticipated cash requirements through 2023. We intend to continue working toward identifying and obtaining new sources of financing and we intend to raise additional capital in the fourth quarter of 2023 through the next fiscal year. No assurances can be given that we will be successful in obtaining additional financing in the future. Any future financing that we may obtain may cause significant dilution to existing stockholders. Any debt financing or other financing of securities senior to common stock that we are able to obtain will likely include financial and other covenants that will restrict our flexibility. Any failure to comply with these covenants would have a negative impact on our business, prospects, financial condition, results of operations and cash flows.

If adequate funds are not available, we may be required to delay, scale back or eliminate portions of Yubo Beijing’s operations, cease operations or obtain funds through arrangements with strategic partners or others that may require us to relinquish rights to certain of our assets. Accordingly, the inability to obtain such financing could result in a significant loss of ownership and/or control of our assets and could also adversely affect our ability to fund Yubo Beijing’s continued operations and the expansion efforts.

10

We expect to incur significant legal and accounting costs in connection with being a public company. We expect those fees will be significant and will continue to impact our liquidity. Those fees will be higher as our business volume and activity increases.

Cash Flows

Net cash provided by (used in) operating activities

Net cash used in operating activities was $(180,618) for the nine months ended September 30, 2023, as compared to net cash provided by operating activities of $88,578 for the nine months ended September 30, 2022. The decrease in cash from operations was primarily due to an increase in prepaid expense.

Net cash provided by (used in) investing activities

Net cash provided by investing activities was nil for the nine months ended September 30, 2023, as compared to net cash used in investing activities of $(39,772) for the nine months ended September 30, 2022. The decrease in cash from investing activities was primarily due to that no intangible assets were purchased during the nine month ended September 30, 2023.

Net cash provided by (used in) financing activities

Net cash provided by financing activities was nil for the nine months ended September 30, 2023, as compared to $nil for the nine months ended September 30, 2022.

Current Liabilities

As of September 30, 2023, Yubo Beijing received an aggregate amount of $422,005 from nine PRC entities. The related verbal agreements provide for the nine entities to purchase inventory from Yubo Beijing or enter into such other arrangements with Yubo Beijing as the parties mutually agree. Pending formal approval of any such arrangements, all of the nine PRC entities have the right to request the return of their advances.

Shareholder Loans

In May and November 2021 and April and September 2022, we entered into several verbal loan agreements with World Precision Medicine Technology Inc. (“World Precision”), a company owned and controlled by Mr. Cheung Ho Shun, our existing shareholder, which provided the Company with working capital loans of an aggregate principal amount of $819,229. Such loans have been settled by our issuance of an aggregate of 1,638,458 new shares of our Class A common stock to World Precision in September 2022. As of the date of this Quarterly Report, Mr. Cheung Ho Shun is the beneficial owner of an aggregate of 7,121,458 shares of our Class A common stock, representing approximately 5.9% of the total shares of such class issued and outstanding.

As of September 30, 2023, we also had payables due to Mr. Jun Wang, our director, President and Chief Executive Officer, in the amount of $1,046,267, to Mr. Yang Wang, our director, in the amount of $434,834, to Mr. Huang Li, our indirect shareholder, in the amount of $53,480, and to Mr. Jin Wei, our shareholder, in the amount of $10,000.

All of our shareholder loans are due on demand and non-interest bearing.

Going concern

The accompanying interim unaudited consolidated financial statements for the three and nine months ended September 30, 2023 included an explanatory note referring to our recurring operating losses and expressing substantial doubt in our ability to continue as a going concern. Our consolidated financial statements have been prepared on a going concern basis, which assumes the realization of assets and settlement of liabilities in the normal course of business. To date, we have not yet established an ongoing source of revenues and cash flows sufficient to cover our operating costs and allow us to continue as a going concern. For the three and nine months ended September 30, 2023, we had net income (loss) of $6,293 and $(677,701), respectively. These factors among others raise substantial doubt about our ability to continue as a going concern for a reasonable period of time.

11

Our ability to continue as a going concern is dependent upon our ability to generate profitable operations in the future and/or to obtain the necessary financing to meet our obligations and repay our liabilities arising from normal business operations when they become due. The outcome of these matters cannot be predicted with any certainty at this time and raise substantial doubt that we will be able to continue as a going concern. Our consolidated financial statements do not include any adjustments to the amount and classification of assets and liabilities that may be necessary should we be unable to continue as a going concern.

 Off-Balance Sheet Arrangements

We have not entered into any other financial guarantees or other commitments to guarantee the payment obligations of any third parties. We have not entered into any derivative contracts that are indexed to our shares and classified as shareholder’s equity or that are not reflected in its consolidated financial statements. Furthermore, we do not have any retained or contingent interest in assets transferred to an unconsolidated entity that serves as credit, liquidity or market risk support to such entity. We do not have any variable interest in any unconsolidated entity that provides financing, liquidity, market risk or credit support to us or engages in leasing, hedging or research and development services with us.

Item 3. Quantitative and Qualitative Disclosures About Market Risk.

We are a smaller reporting company as defined by Rule 12b-2 of the Exchange Act and are not required to provide the information under this item. 

Item 4. Controls and Procedures.

Evaluation of Disclosure Controls and Procedures

Our chief executive officer and our chief financial officer, have evaluated the effectiveness of the Company’s “disclosure controls and procedures” (as defined in the Securities Exchange Act of 1934 Rules 13a-15(e) and 15d-15(e)), as of the end of the period covered by this Quarterly Report (the “Evaluation Date”), to ensure that information that we are required to disclose in reports that we file or submit under the Exchange Act is recorded, processed, summarized and reported within the time periods specified in the SEC rules and forms

Our disclosure controls and procedures are designed to provide reasonable assurance of achieving their objectives. We believe that a control system, no matter how well designed and operated, cannot provide absolute assurance that the objectives of the control system are met, and no evaluation of controls can provide absolute assurance that all control issues and instances of fraud, if any, within a company have been detected. Based on the evaluation of our disclosure controls and procedures as of the end of the period covered by this Quarterly Report, management, with the participation of our chief executive officer and our chief financial officer concluded that our disclosure controls and procedures were effective as of such date.

Changes in Internal Control Over Financial Reporting

There were no changes in our internal controls over financial reporting that occurred during the quarterly period ended September 30, 2023 that have materially affected, or are reasonably likely to materially affect, our internal controls over financial reporting. We believe that a control system, no matter how well designed and operated, cannot provide absolute assurance that the objectives of the control system are met, and no evaluation of controls can provide absolute assurance that all control issues and instances of fraud, if any, within any company have been detected.

Inherent Limitations on Effectiveness of Internal Controls

The Company’s management, including the chief executive officer and chief financial officer, do not expect that our disclosure controls or our internal control over financial reporting will prevent or detect all error and all fraud. A control system, no matter how well designed and operated, can provide only reasonable, not absolute, assurance that the control system’s objectives will be met. The design of a control system must reflect the fact that there are resource constraints, and the benefits of controls must be considered relative to their costs. Further, because of the inherent limitations in all control systems, no evaluation of controls can provide absolute assurance that misstatements due to error or fraud will not occur or that all control issues and instances of fraud, if any, within the company have been detected. These inherent limitations include the realities that judgments in decision-making can be faulty and that breakdowns can occur because of simple error or mistake. Controls can also be circumvented by the individual acts of some persons, by collusion of two or more people, or by management override of the controls. The design of any system of controls is based in part on certain assumptions about the likelihood of future events, and there can be no assurance that any design will succeed in achieving its stated goals under all potential future conditions. Projections of any evaluation of controls effectiveness to future periods are subject to risks. Over time, controls may become inadequate because of changes in conditions or deterioration in the degree of compliance with policies or procedures.

12

PART II - OTHER INFORMATION

Item 1. Legal Proceedings.

We are currently not a party to any material legal or administrative proceedings.

Item 1A. Risk Factors.

We are a smaller reporting company as defined by Rule 12b-2 of the Exchange Act and are not required to provide the information under this item. 

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds.

None.

Item 3. Defaults Upon Senior Securities.

None.

Item 4. Mine Safety Disclosures.

Not applicable.

Item 5. Other Information.

Rule 10b5-1 Trading Plans 

During the quarter ended September 30, 2023, no director or officer of the Company adopted or terminated a “Rule 10b5-1 trading arrangement” or a “non-Rule 10b5-1 trading arrangement” (in each case, as defined in Item 408 of Regulation S-K).

13

Item 6. – Exhibits.

3.1	Articles of Incorporation of Registrant, as amended (1)
3.2	Bylaws of Registrant (1)
31.1	Certification of Principal Executive Officer pursuant to Exchange Act Rule 13a – 14(a), as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
31.2	Certification of Principal Financial Officer pursuant to Exchange Act Rule 13a – 14(a), as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
32.1	Certification of Principal Executive Officer pursuant to 18 U.S.C. 1350 as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002
32.2	Certification of Principal Financial Officer pursuant to 18 U.S.C. 1350 as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002
101.ins	XBRL Instance Document
101.sch	XBRL Taxonomy Schema Document
101.cal	XBRL Taxonomy Calculation Document
101.def	XBRL Taxonomy Linkbase Document
101.lab	XBRL Taxonomy Label Linkbase Document
101.pre	XBRL Taxonomy Presentation Linkbase Document

____________________

(1) Filed as an exhibit to the Current Report on Form 8-K filed by the Company with the SEC on January 14, 2021, and is incorporated herein by reference.

14

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

	YUBO INTERNATIONAL BIOTECH LIMITED
Date: November 20, 2023	By:	/s/ Jun Wang
		Jun Wang
		President, Chief Executive Officer and Director
		(Principal Executive Officer)

Date: November 20, 2023	By:	/s/ Lina Liu
		Lina Liu
		Chief Financial Officer, Treasurer and Secretary
		(Principal Financial and Accounting Officer)

15

EX-31.1

EXHIBIT 31.1

CERTIFICATION OF PRINCIPAL EXECUTIVE OFFICER

PURSUANT TO EXCHANGE ACT RULES 13a-14(a) AND 15d-14(a)

AS ADOPTED PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002

I, Jun Wang, certify that:

1.	I have reviewed this quarterly report on Form 10-Q of Yubo International Biotech Limited;
2.	Based on my knowledge, this quarterly report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this quarterly report;
3.	Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
4.	The registrant’s other certifying officers and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a‑15(f) and 15d‑15(f)) for the registrant and have:

a)	Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
b)	Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
c)	Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
d)	Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officers and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent function):

a)	all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and
b)	any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: November 20, 2023	By:	/s/ Jun Wang
		Jun Wang, Chief Executive Officer

EX-31.2

EXHIBIT 31.2

CERTIFICATION OF PRINCIPAL FINANCIAL OFFICER

PURSUANT TO EXCHANGE ACT RULES 13a-14(a) AND 15d-14(a)

AS ADOPTED PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002

I, Lina Liu, certify that:

1.	I have reviewed this quarterly report on Form 10-Q of Yubo International Biotech Limited;
2.	Based on my knowledge, this quarterly report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this quarterly report;
3.	Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
4.	The registrant’s other certifying officers and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a‑15(f) and 15d‑15(f)) for the registrant and have:

a)	Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
b)	Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
c)	Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
d)	Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officers and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent function):

a)	all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and
b)	any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: November 20, 2023	By:	/s/ Lina Liu
		Lina Liu, Chief Financial Officer

EX-32.1

EXHIBIT 32.1

 CERTIFICATIONS OF CHIEF EXECUTIVE OFFICER

PURSUANT TO

18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the accompanying quarterly report on Form 10-Q of Yubo International Biotech Limited for the quarter ended September 30, 2023, the undersigned hereby certifies pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, to the best of my knowledge and belief, that:

(1)	such quarterly report on Form 10-Q for the quarter ended September 30, 2023 fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and
(2)	the information contained in such quarterly report on Form 10-Q for the quarter ended September 30, 2023 fairly presents, in all material respects, the financial condition and results of operations of Yubo International Biotech Limited.

Date: November 20, 2023	/s/ Jun Wang
	Name: Jun Wang
	Title: Chief Executive Officer

EX-32.2

EXHIBIT 32.2

CERTIFICATIONS OF CHIEF FINANCIAL OFFICER

PURSUANT TO

18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the accompanying quarterly report on Form 10-Q of Yubo International Biotech Limited for the quarter ended September 30, 2023, the undersigned hereby certifies pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, to the best of my knowledge and belief, that:

(1)	such quarterly report on Form 10-Q for the quarter ended September 30, 2023 fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and
(2)	the information contained in such quarterly report on Form 10-Q for the quarter ended September 30, 2023 fairly presents, in all material respects, the financial condition and results of operations of Yubo International Biotech Limited.

Date: November 20, 2023	/s/ Lina Liu
	Name: Lina Liu
	Title: Chief Financial Officer

XML

Cover - shares	9 Months Ended
	Sep. 30, 2023	Nov. 19, 2023
Cover [Abstract]
Entity Registrant Name	YUBO INTERNATIONAL BIOTECH LIMITED
Entity Central Index Key	0000895464
Document Type	10-Q
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Small Business	true
Entity Shell Company	false
Entity Emerging Growth Company	false
Entity Current Reporting Status	Yes
Document Period End Date	Sep. 30, 2023
Entity Filer Category	Non-accelerated Filer
Document Fiscal Period Focus	Q3
Document Fiscal Year Focus	2023
Entity Common Stock Shares Outstanding		119,816,343
Document Quarterly Report	true
Document Transition Report	false
Entity File Number	000-21320
Entity Incorporation State Country Code	NY
Entity Tax Identification Number	11-3074326
Entity Address Address Line 1	Room 105
Entity Address Address Line 2	Building 5
Entity Address Address Line 3	31 Xishiku Avenue
Entity Address City Or Town	Xicheng District
Entity Address Region	Beijing
Entity Address Country	CN
City Area Code	040
Local Phone Number	0677-6010
Entity Interactive Data Current	Yes

XML

CONSOLIDATED BALANCE SHEETS - USD ($)	Sep. 30, 2023	Dec. 31, 2022
Current assets
Cash	$ 5,295	$ 18,220
Receivables	48,510	51,932
Prepaid expenses	171,320	64,253
Inventory	209,746	322,173
Due from related parties	277,432	293,434
Total Current Assets	712,303	750,011
Property and equipment, net	528,322	616,652
Intangible assets, net	55,585	67,679
Operating lease right of use assets	490,781	790,499
Lease security deposits	116,901	123,709
Total Assets	1,903,892	2,348,551
Current liabilities
Accounts payable and accrued expenses (including accounts payable and accrued expenses of VIE without recourse to the Company of $253,914 and $276,325 at September 30, 2023 and December 31, 2022, respectively)	547,381	549,838
Advances from prospective customers/distributors (including advances from prospective customers/distributors of VIE without recourse to the Company of $422,005 and $459,970 as of September 30, 2023 and December 31, 2022, respectively)	422,005	459,970
Due to related parties (including due to related parties of VIE without recourse to the Company of $1,441,101 and $1,057,052 as of September 30, 2023 and December 31, 2022, respectively)	1,544,582	1,113,617
Operating lease liabilities - current (including operating lease liabilities - current of VIE without recourse to the Company of $259,689 and $316,185 as of September 30, 2023 and December 31, 2022, respectively)	351,319	400,054
Total Current Liabilities	2,865,287	2,523,479
Non-current liabilities
Operating lease liabilities - non-current (including operating lease liability - non- current of VIE without recourse to the Company of $0 and $122,976 as of September 30, 2023 and December 31, 2022, respectively)	139,462	390,445
Total Liabilities	3,004,749	2,913,924
Shareholders' Equity:
Preferred stock, par value $.01 per share, 5,000,000 shares authorized, none issued	0	0
Additional Paid in Capital	2,935,190	2,935,190
Accumulated deficit	(4,368,127)	(3,690,426)
Accumulated other comprehensive income (loss)	212,260	70,043
Total Shareholders' Equity	(1,100,857)	(565,373)
Total Liabilities and Shareholders' Equity	1,903,892	2,348,551
Common Class A [Member]
Shareholders' Equity:
Common stock, value	119,816	119,816
Common Class B [Member]
Shareholders' Equity:
Common stock, value	$ 4	$ 4

XML

CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($)	Sep. 30, 2023	Dec. 31, 2022
Accounts payable and accrued expense VIE without recourse	$ 253,914	$ 276,325
Advances from prospective customers/distributors without recourse	422,005	459,970
Due to related parties without recourse	1,441,101	1,057,052
Operating lease liabilities current of VIE without recourse	259,689	316,185
Operating lease liability non current of VIE without recourse	$ 0	$ 122,976
Preferred stock, par value	$ 0.01	$ 0.01
Preferred stock, shares authorized	5,000,000	5,000,000
Preferred stock, shares issued	0	0
Common Class A [Member]
Common stock, par value	$ 0.001	$ 0.001
Common Stock Shares Authorized	1,000,000,000	1,000,000,000
Common stock, issued	119,816,343	119,816,343
Common stock, outstanding	119,816,343	119,816,343
Common Class B [Member]
Common stock, par value	$ 0.001	$ 0.001
Common Stock Shares Authorized	3,750,000	3,750,000
Common stock, issued	4,447	4,447
Common stock, outstanding	4,447	4,447

XML

CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS (Unaudited) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Revenue
Sales of products and services	$ 428,510	$ 14,580	$ 582,390	$ 37,763
Cost of goods and services sold	(84,428)	(4,980)	(181,267)	(14,046)
Gross Profit	344,082	9,600	401,123	23,717
Operating expenses:
Sales commissions	0	14	0	8,098
Employee compensation	151,515	143,862	456,935	507,388
Occupancy	124,370	177,153	287,964	735,645
Provision for doubtful accounts	0	(94,831)	0	(44,407)
Depreciation and amortization of property and equipment	44,206	3,067	66,309	9,885
Amortization of intangible assets	2,862	2,208	8,640	6,253
Other operating expenses	14,706	16,397	258,660	109,560
Total Operating Expenses	337,659	247,870	1,078,508	1,332,422
Income (loss) from operations	6,423	(238,270)	(677,385)	(1,308,705)
Other Income (Expenses)
Interest expenses	130	174	316	102
Total Other Income (Expenses)	(130)	174	(316)	102
Income (Loss) before Provision for Income Tax	6,293	(238,096)	(677,701)	(1,308,603)
Provision for Income Tax	0	0	0	0
Net income (loss)	$ 6,293	$ (238,096)	$ (677,701)	$ (1,308,603)
Net income (loss) per share basic and diluted	$ 0.00	$ (0.00)	$ (0.01)	$ (0.01)
Weighted average common shares outstanding basic and diluted	119,820,790	118,698,803	119,820,790	118,356,381
Comprehensive income (loss)
Net income (loss)	$ 6,293	$ (238,096)	$ (677,701)	$ (1,308,603)
Foreign currency translation adjustment	43,469	12,368	142,217	(37,559)
Total comprehensive income (loss)	$ 49,762	$ (225,728)	$ (535,484)	$ (1,346,162)

XML

CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (Unaudited) - USD ($)	Total	Common Stock Class A	Common Stock Class B	Additional Paid-In Capital	Accumulated Deficit	Accumulated other comprehensive Income (loss)
Balance, shares at Dec. 31, 2021		118,177,885	4,447
Balance, amount at Dec. 31, 2021	$ (131,198)	$ 118,178	$ 4	$ 2,117,599	$ (2,485,432)	$ 118,453
Net loss for the three months ended March 31, 2022	(578,948)	0	0	0	(578,948)	0
Foreign currency adjustment	(49,977)	$ 0	$ 0	0	0	(49,977)
Balance, shares at Mar. 31, 2022		118,177,885	4,447
Balance, amount at Mar. 31, 2022	(760,123)	$ 118,178	$ 4	2,117,599	(3,064,380)	68,476
Balance, shares at Dec. 31, 2021		118,177,885	4,447
Balance, amount at Dec. 31, 2021	(131,198)	$ 118,178	$ 4	2,117,599	(2,485,432)	118,453
Net loss for the three months ended March 31, 2022	(1,308,603)
Foreign currency adjustment	(37,559)
Balance, shares at Sep. 30, 2022		119,916,343	4,447
Balance, amount at Sep. 30, 2022	(658,141)	$ 119,816	$ 4	2,935,190	(3,794,035)	80,884
Balance, shares at Mar. 31, 2022		118,177,885	4,447
Balance, amount at Mar. 31, 2022	(760,123)	$ 118,178	$ 4	2,117,599	(3,064,380)	68,476
Net loss for the three months ended March 31, 2022	(491,559)	0	0	0	(491,559)	0
Foreign currency adjustment	50	$ 0	$ 0	0	0	50
Balance, shares at Jun. 30, 2022		118,177,885	4,447
Balance, amount at Jun. 30, 2022	(1,251,632)	$ 118,178	$ 4	2,117,599	(3,555,939)	68,526
Net loss for the three months ended March 31, 2022	(238,096)	0	0	0	(238,096)	0
Foreign currency adjustment	12,368	$ 0	0	0	0	12,368
Conversion of World Precision Debt, shares		1,638,458
Conversion of World Precision Debt, amount	819,229	$ 1,638	$ 0	817,591	0	0
Balance, shares at Sep. 30, 2022		119,916,343	4,447
Balance, amount at Sep. 30, 2022	(658,141)	$ 119,816	$ 4	2,935,190	(3,794,035)	80,884
Balance, shares at Dec. 31, 2022		119,816,343	4,447
Balance, amount at Dec. 31, 2022	(565,373)	$ 119,816	$ 4	2,935,190	(3,690,426)	70,043
Net loss for the three months ended March 31, 2022	(316,667)	0	0	0	(316,667)	0
Foreign currency adjustment	43,285	$ 0	$ 0	0	0	43,285
Balance, shares at Mar. 31, 2023		119,816,343	4,447
Balance, amount at Mar. 31, 2023	(838,755)	$ 119,816	$ 4	2,935,190	(4,007,093)	113,328
Balance, shares at Dec. 31, 2022		119,816,343	4,447
Balance, amount at Dec. 31, 2022	(565,373)	$ 119,816	$ 4	2,935,190	(3,690,426)	70,043
Net loss for the three months ended March 31, 2022	(677,701)
Foreign currency adjustment	142,217
Balance, shares at Sep. 30, 2023		119,816,343	4,447
Balance, amount at Sep. 30, 2023	(1,100,857)	$ 119,816	$ 4	2,935,190	(4,368,127)	212,260
Balance, shares at Mar. 31, 2023		119,816,343	4,447
Balance, amount at Mar. 31, 2023	(838,755)	$ 119,816	$ 4	2,935,190	(4,007,093)	113,328
Net loss for the three months ended March 31, 2022	(367,327)	0	0	0	(367,327)	0
Foreign currency adjustment	55,463	$ 0	$ 0	0	0	55,463
Balance, shares at Jun. 30, 2023		119,816,343	4,447
Balance, amount at Jun. 30, 2023	(1,150,619)	$ 119,816	$ 4	2,935,190	(4,374,420)	168,791
Net loss for the three months ended March 31, 2022	6,293	0	0	0	6,293	0
Foreign currency adjustment	43,469	$ 0	$ 0	0	0	43,469
Balance, shares at Sep. 30, 2023		119,816,343	4,447
Balance, amount at Sep. 30, 2023	$ (1,100,857)	$ 119,816	$ 4	$ 2,935,190	$ (4,368,127)	$ 212,260

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CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($)	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Cash flows from operating activities:
Net loss	$ (677,701)	$ (1,308,603)
Adjustments to reconcile net loss to net cash provided by (used in) operating activities:
Depreciation and amortization	74,949	16,139
Changes in operating assets and liabilities:
Receivables	3,422	113,495
Prepaid expenses	(107,068)	82,718
Inventory	112,426	33,752
Due from related parties	16,003	113,063
Lease security deposits	6,808	69,439
Accounts payable and accrued expenses	(2,456)	408,223
Advances from prospective customers/distributors	(37,965)	(38,105)
Due to related parties	430,964	598,457
Net cash provided by (used in) operating activities	(180,618)	88,578
Cash flows from investing activities:
Purchases of property and equipment	0	0
Purchase of intangibles	0	(39,772)
Net cash used in investing activities	0	(39,772)
Cash flows from financing activities	0	0
Effect of exchange rate changes	167,693	13,643
Net increase (decrease) in cash	(12,925)	62,449
Cash at beginning of period	18,220	27,517
Cash at end of period	5,295	89,966
Supplemental Cash Flow Information:
Income taxes paid	0	0
Interest paid	$ 0	$ 0

XML

ORGANIZATION

9 Months Ended

Sep. 30, 2023

ORGANIZATION

ORGANIZATION

NOTE 1 – ORGANIZATION

Yubo International Biotech Limited (formerly Magna-Lab Inc.) (the “Company”), a New York corporation, acquired Platinum International Biotech Co. Ltd. (“Platinum”) in a “reverse merger” transaction on January 14, 2021.

On January 14, 2021 (the “Closing Date”), the Company closed a voluntary share exchange transaction with Platinum International Biotech Co., Ltd., a company organized under the laws of the Cayman Islands (“Platinum”), pursuant to that certain Agreement and Plan of Share Exchange, dated January 14, 2021 (the “Exchange Agreement”), by and among the Company, Platinum, Yubo International Biotech (Beijing) Limited, a company organized under the laws of the People’s Republic of China (“PRC”) (“Yubo Beijing”), and certain selling stockholders named therein.

In accordance with the terms of the Exchange Agreement, on the Closing Date, the Company issued a total of 117,000,000 shares of its Class A common stock to the Selling Stockholders, who were then stockholders of Platinum (the “Selling Stockholders”), in exchange for 100% of the issued and outstanding capital stock of Platinum (the “Exchange Transaction”). As a result of the Exchange Transaction, the Selling Stockholders acquired more than 99% of the Company’s issued and outstanding capital stock, Platinum became the Company’s wholly-owned subsidiary, and the Company acquired the business and operations of Platinum and Yubo Beijing. Immediately prior to the Exchange Transaction, the Company had 117,875,323 shares of Class A common stock and 4,447 shares of Class B common stock issued and outstanding. Immediately after the Exchange Transaction and the surrender and cancellation of 116,697,438 shares held by Lina Liu, the controlling shareholder, Chief Financial Officer, Treasurer and Secretary of the Company, the Company had 118,177,885 shares of Class A common stock and 4,447 shares of Class B common stock issued and outstanding.

Platinum was incorporated on April 7, 2020 under the laws of the Cayman Islands as a holding company. On May 4, 2020, Platinum incorporated a wholly owned subsidiary Platinum International Biotech (Hong Kong) Limited (“Platinum HK”) in Hong Kong. On September 4, 2020, Platinum HK incorporated a wholly foreign owned enterprise (“WFOE”) Yubo International Biotech (Chengdu) Limited (“Yubo Chengdu”) in Chengdu, China.

On September 11, 2020, Yubo Chengdu entered into a series of Variable Interest Entity (“VIE”) agreements with the owners of Yubo International Biotech (Beijing) Limited (“Yubo Beijing”). Pursuant to the VIE agreements, Yubo Beijing became Yubo Chengdu’s contractually controlled affiliate. The purpose and effect of the VIE Agreements is to provide Yubo Chengdu with all management control and net profits earned by Yubo Beijing.

Yubo Beijing was incorporated on June 14, 2016. For the year ended December 31, 2020 (commencing April 2020), Yubo Beijing sold approximately 850 nebulizers to customers in the People’s Republic of China (“PRC”). In 2021, 2022 and 2023, Yubo Beijing sales also included sales of skincare products, hair care products, healthy beverages, and male and female personal care products. Commencing in the quarterly period ended  September 30, 2023, Yubo Beijing started selling health management and health maintenance service agreements to customers.

Upon executing the series of VIE agreements in September 2020, Yubo Beijing has been considered a Variable Interest Entity (“VIE”) of Yubo Chengdu, its primary beneficiary. Accordingly, Yubo Beijing has been consolidated under the guidance of FASB Accounting Standards Codification (“ASC”) 810, Consolidation.

The officers, directors, and controlling beneficial owners of Yubo Beijing from its inception on June 14, 2016 were also officers, directors, and controlling beneficial owners of Platinum. Accordingly, the accompanying consolidated financial statements include Yubo Beijing’s operations from its inception on June 14, 2016.

On January 21, 2021 and December 31, 2020, respectively, the Company formed two new wholly owned subsidiaries: Yubo Jingzhi Biotechnology (Chengdu) Co. Ltd. (“Yubo Jingzhi”) as a subsidiary of Yubo Beijing and Yubo Global Biotechnology (Chengdu) Co. Ltd (“Yubo Global”) as a subsidiary of Platinum HK.

Yubo International Biotech Limited and its consolidated subsidiaries and VIE are collectively referred to herein as the “Company” unless specific reference is made to an entity.

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

9 Months Ended

Sep. 30, 2023

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

NOTE 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Basis of Presentation

The accompanying consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”).

Interim Financial Information

The unaudited financial statements have been prepared in accordance with generally accepted accounting principles (GAAP) applicable to interim financial information and the requirements of Form 10-Q and Rule 8-03 of Regulation S-X of the Securities and Exchange Commission. Accordingly, they do not include all of the information and disclosure required by accounting principles generally accepted in the United States of America for complete financial statements. Interim results are not necessarily indicative of results for a full year. In the opinion of management, all adjustments considered necessary for a fair presentation of the financial position and the results of operations and cash flows for the interim periods have been included. These financial statements should be read in conjunction with the audited financial statements as of and for the year ended December 31, 2022, as not all disclosures required by generally accepted accounting principles for annual financial statements are presented. The interim financial statements follow the same accounting policies and methods of computations as the audited financial statements as of and for the year ended December 31, 2022.

Principles of Consolidation

The consolidated financial statements include the accounts of the Company, its wholly owned subsidiaries, and its consolidated VIE for which the Company is the primary beneficiary.

All transactions and balances among the Company, its subsidiaries and consolidated VIE have been eliminated upon consolidation.

The accompanying consolidated financial statements reflect the activities of the following entities:

Name	Background	Ownership
Yubo International Biotech Limited (“Yubo New York”)	·      A New York Corporation ·      Incorporated on February 22, 1991 ·      A holding company
Platinum International Biotech Co. LTD (“Platinum”)	·      A Cayman Island company ·      Incorporated on April 7, 2020 ·      A holding company	100% owned by Yubo New York
Platinum International Biotech (Hong Kong) Limited.  (“Platinum HK”)	·      A Hong Kong company ·      Incorporated on May 4, 2020 ·      A holding company	100% owned by Platinum
Yubo International Biotech (Chengdu) Limited (“Yubo Chengdu”)	·      A PRC company and deemed a wholly foreign owned enterprise ·      Incorporated on September 4, 2020 ·      Subscribed capital of $1,500,000 ·      A holding company	100% owned by Platinum HK
Yubo International Biotech (Beijing) Limited (“Yubo Beijing”)	·      A PRC limited liability company ·      Incorporated on June 14, 2016 ·      Subscribed capital of $1,454,038 (RMB 10,000,000) ·      Stem cell storage and bank	VIE of Yubo Chengdu WFOE
Yubo Jingzhi Biotechnology (ChengDu) Co. Ltd. (“Yubo Jingzhi”)	·      A PRC company incorporated on January 21, 2021	100% owned by Yubo Beijing
Yubo Global Biotechnology (Chengdu) Co. Ltd (“Yubo Global”)	·      A PRC company incorporated on December 20, 2020	100% owned by Platinum HK

On September 11, 2020, our wholly-owned subsidiary, Yubo Chengdu, entered into the following contractual arrangements with Yubo Beijing and the shareholders of Yubo Beijing (the “Yubo Shareholders”), as applicable, each of which is enforceable and valid in accordance with the laws of the PRC:

Exclusive Consulting Services Agreement

Pursuant to the Exclusive Consulting Services Agreement among Yubo Beijing, Yubo WFOE, and the Yubo Shareholders, Yubo WFOE agrees to provide, and Yubo Beijing agrees to accept, exclusive management services provided by Yubo WFOE. Such management services include but are not limited to financial management, business management, marketing management, human resource management and internal control of Yubo Beijing. The Exclusive Consulting Services Agreement will remain in effect until the acquisition of all assets or equity of Yubo Beijing by Yubo WFOE is complete (as more fully described in the Exclusive Purchase Option Agreement below).

Exclusive Purchase Option Agreement

Under the Exclusive Option Agreement among Yubo Beijing, Yubo WFOE, and the Yubo Shareholders, the Yubo Shareholders granted Yubo WFOE an irrevocable and exclusive purchase option to acquire Yubo Beijing’s equity and/or assets at a nominal consideration. Yubo WFOE may exercise the purchase option at any time.

Equity Pledge Agreement

Under the Equity Pledge Agreement among Yubo WFOE and the Yubo Shareholders, the Yubo Shareholders pledged all of their equity interests in Yubo Beijing, including the proceeds thereof, to guarantee all of Yubo WFOE’s rights and benefits under the Exclusive Consulting Services Agreement and the Exclusive Option Agreement. Prior to termination of this Equity Pledge Agreement, the pledged equity interests cannot be transferred without Yubo WFOE’s prior consent. The Yubo Shareholders covenants to Yubo WFOE that among other things, it will only appoint/elect the candidates for the directors of Yubo Beijing nominated by Yubo WFOE.

Financial Statements of Yubo Beijing (VIE)

The assets and liabilities of Yubo Beijing (VIE) at September 30, 2023 and December 31, 2022 consist of:

	September 30, 2023			December 31, 2022
Cash	$	912		$	3,922
Receivables (net)		—			624
Prepaid Expenses		145,240			52,804
Inventory		209,746			322,173
Due from related parties		277,432			293,434
Property and equipment (net)		17,901			14,766
Intangible assets (net)		55,584			67,679
Operating lease right of use asset		259,689			499,161
Lease security deposit		81,209			85,372
Investment in Yubo Jingzhi (A)		205,537			217,391
Receivables from other consolidated entities (A)		353,611			337,790
Total assets		1,606,861			1,895,116
Accounts payable and accrued expenses		253,914			276,325
Advances from prospective customers/distributors		422,005			459,970
Due to related parties		1,441,101			1,057,052
Operating lease liabilities		259,689			499,161
Payables to other consolidated entities (A)		412,579			437,826
Total liabilities		2,789,288			2,730,334
Shareholders’ equity	$	(1,182,427	)	$	(835,218	)

(A) Eliminated in consolidation.

Except for $190,462 occupancy expense, $8,748 depreciation expense and $50,262 other operating expenses for the nine months ended September 30, 2023 and except for $399,633 occupancy expense and $36,313 other operating expenses for the nine months ended September 30, 2022, all revenues and expenses included in the accompanying Consolidated Statements of Operations for the nine months ended September 30, 2023 and September 30, 2022 represent revenues and expenses of Yubo Beijing.

Foreign Currency Translation

The accompanying consolidated financial statements are presented in United States dollars (“$”), which is the reporting currency of the Company. The functional currency of Platinum and Platinum HK is the United States dollar. The functional currency of the Company’s subsidiaries and VIE located in the PRC is the Renminbi (“RMB”). For the entities whose functional currencies are the RMB, results of operations and cash flows are translated at average exchange rates during the period ($1=7.0977 RMB for the nine months ended September 30, 2023 and $1=6.7368 for the nine months ended September 30, 2022), assets and liabilities are translated at the current exchange rate at the end of the period ($1=7.2980 RMB at September 30, 2023 and $1=6.900 RMB at December 31, 2022), and equity is translated at historical exchange rates. The resulting translation adjustments are included in determining other comprehensive income (loss). Transaction gains and losses, which were not significant for the periods presented, are reflected in the consolidated statements of operations.

Use of Estimates

The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and judgments that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities on the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. The Company bases its estimates and judgments on historical experience and on various other assumptions and information that are believed to be reasonable under the circumstances. Estimates and assumptions of future events and their effects cannot be perceived with certainty and, accordingly, these estimates may change as new events occur, as more experience is acquired, as additional information is obtained and as our operating environment changes. Significant estimates and assumptions by management include, among others, useful lives and impairment of long-lived assets, and income taxes including the valuation allowance for deferred tax assets. While the Company believes that the estimates and assumptions used in the preparation of the financial statements are appropriate, actual results could differ from those estimates. Estimates and assumptions are periodically reviewed and the effects of revisions are reflected in the financial statements in the period they are determined to be necessary.

Cash and Cash Equivalents

Cash and cash equivalents include cash on hand, cash in bank accounts, cash in time deposits, certificates of deposit and all highly liquid instruments with original maturities of three months or less.

Inventories

Inventories, mainly consisting of nebulizers and components and other  health products, are stated at the lower of cost utilizing the weighted average method or net realizable value. Net realizable value is the estimated selling price in the ordinary course of business less the estimated selling costs.

The valuation of inventory requires the Company to estimate excess and slow-moving inventories. The Company evaluates the recoverability of the inventory based on expected demand and market conditions. No inventory write downs were recorded in the periods presented.

Property and Equipment

Property and equipment consist of leasehold improvements, construction in progress, air conditioning equipment, and office equipment. All property and equipment are stated at historical cost net of accumulated depreciation. Repairs and maintenance are expensed as incurred. Property and equipment are depreciated on a straight-line basis over the following periods:

Leasehold improvements	Remaining term of lease
Air conditioning equipment	5 years
Office equipment	3 years

Intangible Assets

Intangible assets consist of distribution software and patents and are stated at historical cost less accumulated amortization. Amortization of intangible assets is calculated on a straight-line basis over the shorter of the contractual terms or the expected useful lives of the respective assets. The amortization period by major asset classes is as follows:

Distribution software	5 years
Patents	20 years

Impairment of Long-Lived Assets

The Company’s long-lived assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of the asset may not be recoverable. Recoverability of an asset to be held and used is measured by a comparison of the carrying amount of the asset to the future undiscounted cash flows expected to be generated by the asset. If such asset is considered to be impaired, the impairment to be recognized is measured by the amount by which the carrying amount of the asset exceeds its fair value. Impairment evaluations involve management’s estimates on asset useful lives and future cash flows. Actual useful lives and cash flows could be different from those estimated by management which could have a material effect on our reporting results and financial position. Fair value is determined through various valuation techniques including discounted cash flow models, quoted market values and third-party independent appraisals, as considered necessary.

Fair Value of Financial Instruments

The Company adopted ASC 820 “Fair Value Measurements,” which defines fair value, establishes a three-level valuation hierarchy for disclosures of fair value measurement and enhances disclosure requirements for fair value measures. The three levels are defined as follows:

Level 1 — inputs to the valuation methodology are quoted prices (unadjusted) for identical assets or liabilities in active markets.

Level 2 — inputs to the valuation methodology include quoted prices for similar assets and liabilities in active markets, and inputs that are observable for the assets or liabilities, either directly or indirectly, for substantially the full term of the financial instruments.

Level 3 — inputs to the valuation methodology are unobservable and significant to the fair value.

Financial instruments include cash, receivables, due from related parties, accounts payable and accrued expenses, advances from prospective customers/distributors and due to related parties. The carrying values of these financial instruments approximate their fair values due to the short-term maturities of these instruments.

For the periods presented, there were no financial assets or liabilities measured at fair value.

Leases

We determine if an arrangement is a lease at inception. Operating leases are included in operating lease right-of-use (“ROU”) assets, operating lease liabilities - current, and operating lease liabilities - noncurrent on the balance sheets. The initial lease liability is equal to the future fixed minimum lease payments discounted using the Company’s incremental borrowing rate, on a secured basis. The initial measurement of the right-of-use asset is equal to the initial lease liability plus any initial direct costs.

ROU assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. Operating lease ROU assets and liabilities are recognized at commencement date based on the present value of lease payments over the lease term.

Revenue Recognition

The Company derives its revenue from (1) the sale of health management and health maintenance service agreements (commencing in the quarterly period ended September 30, 2023 and (2) the sale of nebulizers containing frozen tubes with medical fluid and from the sale of other health and personal care products. The nebulizers are sold directly to consumers on the Company’s online e-commerce platform. The Company adopted ASC 606 requires the use of a five-step model to recognize revenue from contracts with customers. The five-step model requires entities to exercise judgment when considering the terms of contracts, which includes (1) identifying the contracts or agreements with a customer, (2) identifying our contract with performance obligations in the contract or agreement, (3) determining the transaction price, (4) allocating the transaction price to the separate performance obligations, and (5) recognizing revenue as each performance obligation is satisfied.

Allowance for Doubtful Accounts

Trade accounts receivable arise from the sale of products and services on trade credit terms. On a quarterly basis, we review all significant accounts as to their past due balances, as well as collectability of the outstanding  trade account receivables for possible write off. It is our policy to write off the account receivable against the allowance account when we deem the receivable to be uncollectible. Additionally, we review orders from dealers that are significantly past due,  and we ship product only when our ability to collect payment from our customer for the new order is probable.

Our allowance for doubtful accounts reflects our best estimate for losses inherent in the trade accounts receivable balance. We  determine the allowance based on known troubled accounts, weighting probabilities of future conditions and expected outcomes, and other currently available evidence.

Advertising Costs

Advertising costs are expensed as incurred.

Income Taxes

The Company follows the liability method in accounting for income taxes in accordance with ASC topic 740 (“ASC 740”), Income Taxes. Under this method, deferred tax assets and liabilities are determined based on the differences between the financial reporting and tax bases of assets and liabilities using enacted tax rates that will be in effect in the period in which the differences are expected to reverse. The Company records a valuation allowance against deferred tax assets if, based on the weight of available evidence, it is more-likely than not that some portion, or all, of the deferred tax assets will not be realized.

The Company applies the provisions of ASC 740 to account for uncertainty in income taxes. ASC 740 clarifies the accounting for uncertainty in income taxes by prescribing the recognition threshold a tax position is required to meet before being recognized in the consolidated financial statements.

The Company will classify interest and penalties related to unrecognized tax benefits, if and when required, as part of income tax expense in the consolidated statements of operations.

Net Income (Loss) per Share

Basic net income (loss) per share is computed by dividing net loss by the weighted average number of Class A and Class B common shares outstanding during the period.

Diluted net income (loss) per share reflects the potential dilution that could occur if dilutive securities (such as stock options and convertible securities) were exercised or converted into common shares. For the periods presented, the Company had no dilutive securities outstanding.

Comprehensive Income (Loss)

Comprehensive income (loss) is defined as the increase (decrease) in equity of the Company during a period from transactions and other events and circumstances excluding transactions resulting from investments by owners and distributions to owners. Comprehensive income (loss) is reported in the consolidated statements of operations and comprehensive income (loss), including net income (loss) and foreign currency translation adjustments, presented net of tax.

New Accounting Pronouncements

In February, 2016, the FASB issued Accounting Standards Update No. 2016-02 (ASU 2016-02) “Leases (Topic 842)”. ASU 2016-02 requires a lessee to recognize in the statement of financial position a liability to make lease payments (the lease liability) and a right-of-use asset representing its right to use the underlying asset for the lease term. We adopted ASU 2016-02 for interim and annual reporting periods beginning after December 15, 2018.

For finance leases, a lessee is required to do the following:

· Recognize a right-of-use asset and a lease liability, initially measured at the present value of the lease payments, in the balance sheet.

· Recognize interest on the lease liability separately from amortization of the right-of-use asset in the statement of comprehensive income.

· Classify repayments of the principal portion of the lease liability within financing activities and payments of interest on the lease liability and variable lease payments within operating activities in the statement of cash flows.

For operating leases, a lessee is required to do the following:

· Recognize a right-of-use asset and a lease liability, initially measured at the present value of the lease payments, in the balance sheet.

· Recognize a single lease cost, calculated so that the cost of the lease is allocated over the lease term on a generally straight-line basis.

· Classify all cash payments within operating activities in the statement of cash flows.

Other than increasing assets and liabilities at the inception of the respective leases (See Note 8), ASU 2016-02 has not had a significant effect on the Company’s financial position or results of operations.

The Company does not believe other recently issued but not yet effective accounting standards, if currently adopted, would have a material impact on its consolidated financial position, statements of operations or cash flows.

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GOING CONCERN

9 Months Ended

Sep. 30, 2023

GOING CONCERN

GOING CONCERN

NOTE 3 – GOING CONCERN

The Company’s financial statements as of September 30, 2023 and December 31, 2022 have been prepared using generally accepted accounting principles in the United States of America applicable to a going concern, which contemplates the realization of assets and liquidation of liabilities in the normal course of business. The Company has not yet established an ongoing source of revenues and cash flows sufficient to cover its operating costs and allow it to continue as a going concern. At September 30, 2023, the Company had cash of $5,295 and negative working capital of $2,152,984. For the nine months ended September 30, 2023 and September 30, 2022, the Company had losses of $677,701 and $1,308,603, respectively.  These factors among others raise substantial doubt about the ability of the Company to continue as a going concern for a reasonable period of time.

In order to continue as a going concern, the Company will need, among other things, additional capital resources. Management’s plan is to obtain such resources for the Company by obtaining capital from management and significant shareholders sufficient to meet its minimal operating expenses and seeking third party equity and/or debt financing. However, management cannot provide any assurances that the Company will be successful in accomplishing any of its plans. These financial statements do not include any adjustments related to the recoverability and classification of assets or the amounts and classification of liabilities that might be necessary should the Company be unable to continue as a going concern.

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INVENTORY

9 Months Ended

Sep. 30, 2023

INVENTORY

INVENTORY

NOTE 4 – INVENTORY

Inventory consisted of the following:

	September 30,		December 31,
	2023		2022
	(Unaudited)
Nebulizers and components	$	46,490	$	50,894
Oral liquid health products		66,246		76,239
Beauty care products		95,373		104,500
Soft drinks		—		87,725
Other		1,637		2,815
Total Inventory	$	209,746	$	322,173

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DUE FROM RELATED PARTIES

9 Months Ended

Sep. 30, 2023

DUE FROM RELATED PARTIES

DUE FROM RELATED PARTIES

NOTE 5 – DUE FROM RELATED PARTIES

Due from related parties consisted of:

	September 30,		December 31,
	2023		2022
	(Unaudited)
Beijing Zhenhuikang Biotechnology Co., LTD (“Zhenhuikang”)  (1)	$	277,432	$	293,434
Total Due from Related Parties	$	277,432	$	293,434

(1) Zhenhuikang is controlled by Beijing Zhenxigu Medical Research Center LP (“Zhenxigu”). Zhenxigu is controlled by Mr. Yulin Cao, a director and significant stockholder of Yubo Beijing. The due from related parties receivable is non-interest bearing and due on demand.

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PROPERTY AND EQUIPMENT

9 Months Ended

Sep. 30, 2023

PROPERTY AND EQUIPMENT

PROPERTY AND EQUIPMENT

NOTE 6 – PROPERTY AND EQUIPMENT

Property and equipment, net, consisted of the following:

	September 30,			December 31,
	2023			2022
	(Unaudited)
Leasehold improvements	$	20,006		$	282,681
Construction in progress		499,733			323,832
Air conditioning equipment		22,215			20,343
Office equipment		23,709			28,230
Total property and equipment		565,663			655,086
Less accumulated depreciation and amortization		(37,341	)		(38,434	)
Property and equipment, net	$	528,322		$	616,652

For the three months ended September 30, 2023 and 2022, depreciation and amortization of property and equipment was $44,206 and $3,067, respectively.

For the nine months ended September 30, 2023 and 2022, depreciation and amortization of property and equipment was $66,309 and $9,885, respectively.

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INTANGIBLE ASSETS

9 Months Ended

Sep. 30, 2023

INTANGIBLE ASSETS

INTANGIBLE ASSETS

NOTE 7 – INTANGIBLE ASSETS

Intangible assets, net, consisted of the following:

	September 30,			December 31,
	2023			2022
	(Unaudited)
Distribution software	$	33,917		$	35,784
Experience center software		38,780			41,017
Patents acquired from related party		10,854			11,569
Total intangible assets		83,551			88,370
Less: Accumulated amortization		(27,966	)		(20,691	)
Intangible assets, net	$	55,585		$	67,679

For the three months ended September 30, 2023 and 2022, amortization of intangible assets expense was $2,862 and $2,208, respectively.

For the nine months ended September 30, 2023 and 2022, amortization of intangible assets expense was $8,640 and $6,253, respectively.

At September 30, 2023, the expected future amortization of intangible assets expense was:

Year ending December 31, 2023	$	3,452
Year ending December 31, 2024		15,546
Year ending December 31, 2025		15,546
Year ending December 31, 2026		9,659
Thereafter		11,382
Total	$	55,585

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OPERATING LEASE RIGHT OF USE ASSET AND OPERATING LEASE LIABILITY

9 Months Ended

Sep. 30, 2023

OPERATING LEASE RIGHT OF USE ASSET AND OPERATING LEASE LIABILITY

OPERATING LEASE RIGHT OF USE ASSET AND OPERATING LEASE LIABILITY

NOTE 8 – OPERATING LEASE RIGHT OF USE ASSETS AND OPERATING LEASE LIABILITIES

On August 1, 2019 Yubo Beijing executed a lease agreement with Jiu Si Cheng Investment Management (the “Landlord”) to rent approximately 746 square meters of office space in Beijing China. The lease provided for an initial term of 2 years and 4 months from August 2, 2019 to November 30, 2021 with a right to renew for an additional term of 2 years and 8 months from December 1, 2021 to July 31, 2024. In December 2021, the Company renewed the lease. The current lease provides for monthly rent of RMB 166,845 ($22,862 through July 31, 2023 and RMB 176,833 ($24,230) for the year ended July 31, 2024.

Effective March 1, 2021, Yubo Global executed a lease agreement with Chengdu Liangkang Investment Co. to rent approximately 6,960 square meters of laboratory space in Chengdu China. The lease provided for a lease term of 5 years from March 1, 2021 to February 28, 2026. The lease provided for monthly rent of RMB 299,277 ($41,008) through February 28, 2024 and RMB 317,233 ($43,468) from March 1, 2024 to February 28, 2026. In the fourth quarter of 2022, the lease was terminated with an effective date of September 1, 2021.

Also in the fourth quarter of 2022, effective September 1, 2021, Yubo Jingzhi executed a lease agreement with Sichuan Anyi Hengke Tech Co. to rent approximately 1,282 square meters of laboratory space in the same building in Chengdu China as that relating to the terminated lease discussed in the preceding paragraph. This lease provides for monthly rent of RMB 56,611 ($7,757) from September 1, 2021 to February 28, 2024 and monthly rent of RMB 58,449 ($8,009) from March 1, 2024 to February 28, 2026.

At September 30, 2023, the future undiscounted minimum lease payments under the two noncancellable leases are as follows:

	As of September 30, 2023
Year ending December 31, 2023	$	101,829
Year ending December 31, 2024		281,436
Year ending December 31, 2025		101,988
Year ending December 31, 2026		16,998
Total	$	502,251

The operating lease liabilities totaling $490,781 at September 30, 2023 as presented in the Consolidated Balance Sheet represents the discounted (at a 4.75% estimated incremental borrowing rate) value of the future lease payments of $502,251 at September 30, 2023.

For the three months ended September 30, 2023 and September 30, 2022, occupancy expense attributable to leases was $124,370 and $177,153, respectively.

For the nine months ended September 30, 2023 and September 30, 2022, occupancy expense attributable to leases was $287,964 and $735,645, respectively.

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ADVANCES FROM PROSPECTIVE CUSTOMERS DISTRIBUTORS

9 Months Ended

Sep. 30, 2023

ADVANCES FROM PROSPECTIVE CUSTOMERS DISTRIBUTORS

ADVANCES FROM PROSPECTIVE CUSTOMERS/DISTRIBUTORS

NOTE 9 – ADVANCES FROM PROSPECTIVE CUSTOMERS/DISTRIBUTORS

Advances from prospective customers/distributors consists of:

	In RMB				In USD
Source of Advance	September 30, 2023		December 31, 2022		September 30, 2023		December 31, 2022
Advancer 1	¥	1,544,748	¥	1,544,748	$	211,667	$	223,877
Advancer 2		550,000		550,000		75,363		79,710
Advancer 3		500,000		500,000		68,512		72,464
Advancer 4		348,000		348,000		47,684		50,435
Advancer 5		50,000		50,000		6,851		7,246
Advancer 6		50,000		50,000		6,851		7,246
Advancer 7		31,012		31,012		4,249		4,494
Advancer 8		31		31		4		5
Advancer 9		—		100,000		—		14,493
Advancer 10		6,000		—		822		—
	¥	3,079,791	¥	3,173,791	$	422,005	$	459,970

The related verbal agreements between Yubo Beijing and the nine advancers provide for the nine advancers to purchase inventory from Yubo Beijing or enter into such other arrangements with Yubo Beijing as the parties mutually agree. Pending formal approval of any such arrangements, all of the nine PRC advancers have the right to request the return of their advances.

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DUE TO RELATED PARTIES

9 Months Ended

Sep. 30, 2023

DUE TO RELATED PARTIES

DUE TO RELATED PARTIES

NOTE 10 – DUE TO RELATED PARTIES

Due to related parties consisted of the following:

	September 30,		December 31,
	2023		2022
	(Unaudited)
Mr. Yang Wang (1)	$	434,834	$	417,609
Mr. Jun Wang (2)		1,046,267		639,443
Ms. Huang Li (3)		53,480		56,565
Mr. Jin Wei (4)		10,000		—
Total	$	1,544,582	$	1,113,617

(1)	Mr. Yang Wang controls 20.85% of the outstanding Class A common stock of Yubo New York and is a director of the Company and Yubo Beijing.
(2)	Mr. Jun Wang controls 33.34% of the outstanding Class A common stock of Yubo New York and is the CEO of the Company and Yubo Beijing.
(3)	Ms. Huang Li is a shareholder of Focus One Technology Group Limited (“Focus One”). Focus One owns 9.62% of the issued and outstanding Class A common stock of the Company.
(4)	Mr. Jin Wei controls 9.62% of the outstanding Class A commons stock of Yubo New York.

The due to related parties payables are noninterest bearing and are due on demand.

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SHAREHOLDERS EQUITY

9 Months Ended

Sep. 30, 2023

SHAREHOLDERS EQUITY

SHAREHOLDERS' EQUITY

NOTE 11 – SHAREHOLDERS’ EQUITY

Yubo Biotech International Limited

The Company has three types of stocks:

Preferred stock – par value 0.01 per share, 5,000,000 shares authorized, none issued.

Common Stock Class A – par value 0.001 per share, 1,000,000,000 shares authorized, 119,816,343 shares issued and outstanding at September 30, 2023 and December 31, 2022.

Common Stock Class B – par value 0.001 per share, 3,750,000 shares authorized, 4,447 shares issued and outstanding at September 30, 2023 and December 31, 2022.

On January 14, 2021, the Company issued 117,000,000 shares of Class A common stock in connection with the acquisition of Platinum, as follows:

Name of Selling Shareholder	Number of Exchange Shares		Percentage of Exchange Shares
FLYDRAGON INTERNATIONAL LIMITED (controlled by Mr. Jun Wang)		39,943,800		34.14	%
CHINAONE TECHNOLOGY LIMITED (controlled by Mr. Yang Wang)		19,211,400		16.42	%
BOAO BIOTECH LIMITED (controlled by Mr. Yulin Cao)		24,967,800		21.34	%
FOCUS DRAW GROUP LIMITED (controlled by Ms. Lina Liu)		13,829,400		11.82	%
FOCUSONE TECHNOLOGY GROUP LIMITED (controlled by Mr. Jin Wei)		11,524,500		9.85	%
DRAGONCLOUD TECHNOLOGY LIMITED (controlled by Mr. Yang Wang)		5,768,100		4.93	%
CHEUNG HO SHUN		1,755,000		1.50	%
TOTAL		117,000,000		100.00	%

On September 2, 2022, the Company issued 1,638,458 shares of its Class A Common stock to World Precision Medicine Technology, Inc. (“World Precision”) in settlement of a $819,229 liability due  to World Precision.

Platinum International Biotech Co., LTD (Cayman Islands) (“Platinum”)

Platinum has authorized 500,000,000 ordinary shares with a par value of $0.0001 per share with 10,152,284 shares issued and outstanding at September 30, 2023 and December 31, 2022.

On April 7, 2020, Platinum issued a total of 10,000,000 ordinary shares to six entities as follows:

Entity	Shares
1. Flydragon International Limited (controlled by Mr. Jun Wang)		3,466,000
2. Chinaone Technology Limited (controlled by Mr. Yang Wang)		1,667,000
3. Boao Biotech Limited (controlled by Mr. Yulin Cao)		2,167,000
4. Dragoncloud Technology Limited (controlled by Mr. Yang Wang)		500,000
5. Focus Draw Group Limited (controlled by Ms. Lina Liu)		1,200,000
6. Focusone Technology Group Limited (controlled by Mr. Jin Wei)		1,000,000
Total		10,000,000

On September 11, 2020, Platinum sold 152,284 ordinary shares to Mr. Cheung Ho Shun for $750,000 cash.

On January 21, 2021, Yubo New York acquired all 10,152,284 ordinary shares of Platinum outstanding.

Yubo International Biotech (Chengdu) Limited (“Yubo Chengdu”)

Yubo Chengdu has subscribed capital of $1,500,000 which has not yet been paid by its shareholder. The subscribed capital is due for payment on January 1, 2040.

Yubo International Biotech (Beijing) Limited (“Yubo Beijing”)

Yubo Beijing has subscribed capital of $1,370,238 (RMB 10,000,000), all of which was paid by its shareholders as of December 31, 2021.

Restricted net assets

The Company’s ability to pay dividends is primarily dependent on the Company receiving distributions of funds from its subsidiaries or its VIE. Relevant PRC statutory laws and regulations permit payments of dividends by Yubo Chengdu, Yubo Jingzhi, Yubo Global, and Yubo Beijing only out of its retained earnings, if any, as determined in accordance with PRC accounting standards and regulations and after it has met the PRC requirements for appropriation to statutory reserves. Paid in capital of the PRC subsidiaries and VIE included in the Company’s consolidated net assets are also non-distributable for dividend purposes. The results of operations reflected in the accompanying consolidated financial statements prepared in accordance with U.S. GAAP differ from those reflected in the statutory financial statements of Yubo Chengdu, Yubo Jingzhi, Yubo Global, and Yubo Beijing.

Yubo Chengdu, Yubo Jingzhi, Yubo Global and Yubo Beijing are required to set aside at least 10% of their after-tax profits each year, if any, to fund certain statutory reserve funds until such reserve funds reach 50% of its registered capital. In addition, Yubo Chengdu, Yubo Jingzhi, Yubo Global and Yubo Beijing may allocate a portion of its after-tax profits based on PRC accounting standards to an enterprise expansion fund and a staff bonus and welfare fund at its discretion. The statutory reserve funds and the discretionary funds are not distributable as cash dividends.

Since inception to September 30, 2023, Yubo Chengdu, Yubo Jingzhi, Yubo Global, and Yubo Beijing have not generated any profit and had negative retained earnings as of September 30, 2023.  As a result, these entities have not accrued statutory reserve funds.

The ability of the Company’s PRC subsidiaries and its VIE to make dividends and other payments to the Company may also be restricted by changes in applicable foreign exchange and other laws and regulations. Foreign currency exchange regulation in China is primarily governed by the following rules:

· Foreign Exchange Administration Rules (1996), as amended in August 2008, or the Exchange Rules;

· Administration Rules of the Settlement, Sale and Payment of Foreign Exchange (1996), or the Administration Rules.

Currently, under the Administration Rules, Renminbi is freely convertible for current account items, including the distribution of dividends, interest payments, trade and service related foreign exchange transactions, but not for capital account items, such as direct investments, loans, repatriation of investments and investments in securities outside of China, unless the prior approval of the State Administration of Foreign Exchange (the “SAFE”) is obtained and prior registration with the SAFE is made. Foreign-invested enterprises that need foreign exchange for the distribution of profits to its shareholders may affect payment from their foreign exchange accounts or purchase and pay foreign exchange rates at the designated foreign exchange banks to their foreign shareholders by producing board resolutions for such profit distribution. Based on their needs, foreign-invested enterprises are permitted to open foreign exchange settlement accounts for current account receipts and payments of foreign exchange along with specialized accounts for capital account receipts and payments of foreign exchange at certain designated foreign exchange banks.

Although the current Exchange Rules allow the convertibility of Chinese Renminbi into foreign currency for current account items, conversion of Chinese Renminbi into foreign exchange for capital items, such as foreign direct investment, loans or securities, requires the approval of SAFE, which is under the authority of the People’s Bank of China. These approvals, however, do not guarantee the availability of foreign currency conversion. The Company cannot be sure that it will be able to obtain all required conversion approvals for its operations or that the Chinese regulatory authorities will not impose greater restrictions on the convertibility of Chinese Renminbi in the future. Currently, all of the Company’s revenues are generated in Renminbi. Any future restrictions on currency exchanges may limit the Company’s ability to use its retained earnings generated in Renminbi to make dividends or other payments in U.S. dollars or fund possible business activities outside China.

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RELATED PARTY TRANSACTIONS

9 Months Ended

Sep. 30, 2023

RELATED PARTY TRANSACTIONS

RELATED PARTY TRANSACTIONS

NOTE 12 – RELATED PARTY TRANSACTIONS

On February 27, 2020, Yubo Beijing executed an Entrustment Technical Service Agreement with Beijing Zhenhuikang Biotechnology Co. LTD (“Zhenhuikang”), an entity controlled by Mr. Yulin Cao (who is a director of Platinum and Yubo Beijing). The Agreement provides for Zhenhuikang to, among other things, assist Yubo Beijing in the preparation of 300 sets of endometrial stem cell harvesting packages. As amended July 2, 2020, the Agreement provides for Yubo Beijing to pay Zhenhuikang at the rate of RMB 666 per set or RMB 199,800 total ($27,377 at the 7.2980 current exchange rate at September 30, 2023). As of September 30, 2023, preparation of the stem cell harvesting packages has not yet commenced, no payments to Zhenhuikang have been made, and no expense or liability has been recorded.

On May 11, 2021, World Precision Medicine Technology Inc., a company owned and controlled by Cheung Ho Shun, a shareholder of Yubo International Biotech Limited, provided the Company $600,000 in a working capital loan. On November 24, 2021, April 14, 2022 and September 7, 2022, World Precision Medicine Technology, Inc. provided the Company additional loans of $70,000, $50,000, and $99,229, respectively. The four loans were due on demand and non-interest bearing.  In September 2022, the $819,229 loans owed to World Precision Medicine Technology Inc. were settled by conversion into 1,638,458 shares of Class A common stock at $0.50 per share. See NOTE 11 – SHAREHOLDERS’ EQUITY above.

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INCOME TAX

9 Months Ended

Sep. 30, 2023

INCOME TAX

INCOME TAX

NOTE 13 – INCOME TAX

Cayman Islands

Under the current laws of the Cayman Islands, Platinum is not subject to tax on income or capital gains. In addition, payments of dividends by Platinum to its shareholders are not subject to withholding tax in the Cayman Islands.

Hong Kong

Platinum HK was incorporated under the Hong Kong tax law where the statutory income tax rate is 16.5%. Platinum HK has had no taxable income or loss from May 4, 2020 (inception) to June 30, 2023.

People’s Republic of China

Yubo International Biotech (Chengdu) Limited (“Yubo Chengdu”), Yubo Jingzhi Biotechnology (Chengdu) Co. LTD. (“Yubo Jingzhi”), Yubo Global Biotechnology (Chengdu) Co. Ltd (“Yubo Global”) and Yubo International Biotech (Beijing) Limited were incorporated in the PRC and are subject to PRC Enterprise Income Tax (“EIT”) on their taxable income in accordance with the relevant PRC income tax laws. On March 16, 2007, the National People’s Congress enacted a new enterprise income tax law, which took effect on January 1, 2008. The law applies a uniform 25% enterprise income tax rate to both foreign invested enterprises and domestic enterprises.

Yubo Chengdu has had no taxable income or loss from September 4, 2020 (inception) to September 30, 2023.

Yubo Beijing has had net losses of $231,193 for the year ended December 31, 2019, $597,713 for the year ended December 31, 2020, $649,871 for the year ended December 31, 2021, $961,446 for the year ended December 31, 2022, and $420,886 for the nine months ended September 30, 2023. Yubo Global had a net loss of $488,790 for the year ended December 31, 2021, net income of $23,257 for the year ended December 31, 2022, and a net loss of $40,679 for the nine months ended September 30, 2023. Yubo Jingzhi had a net loss of $1,207 for the year ended December 31, 2021, a net loss of $145,763 for the year ended December 31, 2022 and a net loss of $125,761  for the nine months ended September 30, 2023 . These losses can be carried forward for five years to reduce future years’ taxable income through year 2024 to year 2028. Based on management’s present assessment, the Company has not yet determined it to be more likely than not that future utilization of the net operating loss carryforwards will be realized. Accordingly, the Company has recorded a 100% valuation allowance against the deferred tax asset at September 30, 2023 and December 31, 2022.

The components of deferred tax assets were as follows:

	September 30, 2023			December 31, 2022
	(Unaudited)
Net operating losses carry forward	$	910,013		$	763,182
Valuation allowance		(910,013	)		(763,182	)
Deferred tax assets, net	$	—		$	—

The reconciliation of the provisions for (benefits from) income tax by applying the PRC tax rate to income (loss) before provisions for income tax and the actual provisions for income tax is as follows:

	For the nine months ended September 30, 2023			For the nine months ended September 30, 2022
	(Unaudited)			(Unaudited)
Income tax (benefit) at 25%	$	(169,425	)	$	(327,151	)
Net loss of Platinum		12,563			8,957
Increase in valuation allowance		146,831			318,242
Other		10,031			(48	)
Provision for income taxes	$	—		$	—

Accounting for Uncertainty in Income Taxes

The tax authority of the PRC government conducts periodic and ad hoc tax filing reviews on business enterprises operating in the PRC after those enterprises complete their relevant tax filings. Therefore, the Company’s PRC entities’ tax filings results are subject to change and may lead to tax liabilities.

ASC 740 requires recognition and measurement of uncertain income tax positions using a “more-likely-than-not” approach. The management evaluated the Company’s tax positions and concluded that no liability for uncertainty in income taxes was necessary as of September 30, 2023 and December 31, 2022.

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COMMITMENTS AND CONTINGENCIES

9 Months Ended

Sep. 30, 2023

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES

NOTE 14 – COMMITMENTS AND CONTINGENCIES

Credit risk

Cash deposits with banks are held in financial institutions in the PRC, which are insured with deposit protection up to RMB 500,000 (approximately $68,512 at September 30, 2023). Accordingly, the Company has a concentration of credit risk from time to time relating to the uninsured part of bank deposits. The Company has not experienced any losses in such accounts and believes it is not exposed to significant credit risk.

Risks of Variable Interest Entity Structure

Although the structure the Company has adopted is consistent with longstanding industry practice, and is commonly adopted by comparable companies in China, the PRC government may not agree that these arrangements comply with PRC licensing, registration or other regulatory requirements, with existing policies or with requirements or policies that may be adopted in the future. There are uncertainties regarding the interpretation and application of PRC laws and regulations including those that govern the Company’s contractual arrangements, which could limit the Company’s ability to enforce these contractual arrangements. If the Company or its variable interest entity is found to be in violation of any existing or future PRC laws, rules or regulations, or fail to obtain or maintain any of the required permits or approvals, the relevant PRC regulatory authorities would have broad discretion to take action in dealing with such violations or failures, including levying fines, revoking business and other licenses of the Company’s variable interest entity, requiring the Company to discontinue or restrict its operations, restricting its right to collect revenue, requiring the Company to restructure its operations or taking other regulatory or enforcement actions against the Company. In addition, it is unclear what impact the PRC government actions would have on the Company and on its ability to consolidate the financial results of its variable interest entity in the consolidated financial statements, if the PRC government authorities were to find the Company’s legal structure and contractual arrangements to be in violation of PRC laws, rules and regulations. If the imposition of any of these government actions causes the Company to lose its right to direct the activities of Yubo Beijing or the right to receive their economic benefits, the Company would no longer be able to consolidate Yubo Beijing.

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MAJOR CUSTOMER

9 Months Ended

Sep. 30, 2023

MAJOR CUSTOMER

Major customer

NOTE 15 – MAJOR CUSTOMERS

Two customers accounted for 14.83% and 14.83%, respectively, of total sales for the nine months ended September 30, 2023.

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)

9 Months Ended

Sep. 30, 2023

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Basis of Presentation

The accompanying consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”).

Interim Financial Information

The unaudited financial statements have been prepared in accordance with generally accepted accounting principles (GAAP) applicable to interim financial information and the requirements of Form 10-Q and Rule 8-03 of Regulation S-X of the Securities and Exchange Commission. Accordingly, they do not include all of the information and disclosure required by accounting principles generally accepted in the United States of America for complete financial statements. Interim results are not necessarily indicative of results for a full year. In the opinion of management, all adjustments considered necessary for a fair presentation of the financial position and the results of operations and cash flows for the interim periods have been included. These financial statements should be read in conjunction with the audited financial statements as of and for the year ended December 31, 2022, as not all disclosures required by generally accepted accounting principles for annual financial statements are presented. The interim financial statements follow the same accounting policies and methods of computations as the audited financial statements as of and for the year ended December 31, 2022.

Principles of Consolidation

The consolidated financial statements include the accounts of the Company, its wholly owned subsidiaries, and its consolidated VIE for which the Company is the primary beneficiary.

All transactions and balances among the Company, its subsidiaries and consolidated VIE have been eliminated upon consolidation.

The accompanying consolidated financial statements reflect the activities of the following entities:

Name	Background	Ownership
Yubo International Biotech Limited (“Yubo New York”)	·      A New York Corporation ·      Incorporated on February 22, 1991 ·      A holding company
Platinum International Biotech Co. LTD (“Platinum”)	·      A Cayman Island company ·      Incorporated on April 7, 2020 ·      A holding company	100% owned by Yubo New York
Platinum International Biotech (Hong Kong) Limited.  (“Platinum HK”)	·      A Hong Kong company ·      Incorporated on May 4, 2020 ·      A holding company	100% owned by Platinum
Yubo International Biotech (Chengdu) Limited (“Yubo Chengdu”)	·      A PRC company and deemed a wholly foreign owned enterprise ·      Incorporated on September 4, 2020 ·      Subscribed capital of $1,500,000 ·      A holding company	100% owned by Platinum HK
Yubo International Biotech (Beijing) Limited (“Yubo Beijing”)	·      A PRC limited liability company ·      Incorporated on June 14, 2016 ·      Subscribed capital of $1,454,038 (RMB 10,000,000) ·      Stem cell storage and bank	VIE of Yubo Chengdu WFOE
Yubo Jingzhi Biotechnology (ChengDu) Co. Ltd. (“Yubo Jingzhi”)	·      A PRC company incorporated on January 21, 2021	100% owned by Yubo Beijing
Yubo Global Biotechnology (Chengdu) Co. Ltd (“Yubo Global”)	·      A PRC company incorporated on December 20, 2020	100% owned by Platinum HK

On September 11, 2020, our wholly-owned subsidiary, Yubo Chengdu, entered into the following contractual arrangements with Yubo Beijing and the shareholders of Yubo Beijing (the “Yubo Shareholders”), as applicable, each of which is enforceable and valid in accordance with the laws of the PRC:

Exclusive Consulting Services Agreement

Pursuant to the Exclusive Consulting Services Agreement among Yubo Beijing, Yubo WFOE, and the Yubo Shareholders, Yubo WFOE agrees to provide, and Yubo Beijing agrees to accept, exclusive management services provided by Yubo WFOE. Such management services include but are not limited to financial management, business management, marketing management, human resource management and internal control of Yubo Beijing. The Exclusive Consulting Services Agreement will remain in effect until the acquisition of all assets or equity of Yubo Beijing by Yubo WFOE is complete (as more fully described in the Exclusive Purchase Option Agreement below).

Exclusive Purchase Option Agreement

Under the Exclusive Option Agreement among Yubo Beijing, Yubo WFOE, and the Yubo Shareholders, the Yubo Shareholders granted Yubo WFOE an irrevocable and exclusive purchase option to acquire Yubo Beijing’s equity and/or assets at a nominal consideration. Yubo WFOE may exercise the purchase option at any time.

Equity Pledge Agreement

Under the Equity Pledge Agreement among Yubo WFOE and the Yubo Shareholders, the Yubo Shareholders pledged all of their equity interests in Yubo Beijing, including the proceeds thereof, to guarantee all of Yubo WFOE’s rights and benefits under the Exclusive Consulting Services Agreement and the Exclusive Option Agreement. Prior to termination of this Equity Pledge Agreement, the pledged equity interests cannot be transferred without Yubo WFOE’s prior consent. The Yubo Shareholders covenants to Yubo WFOE that among other things, it will only appoint/elect the candidates for the directors of Yubo Beijing nominated by Yubo WFOE.

Financial Statements of Yubo Beijing (VIE)

The assets and liabilities of Yubo Beijing (VIE) at September 30, 2023 and December 31, 2022 consist of:

	September 30, 2023			December 31, 2022
Cash	$	912		$	3,922
Receivables (net)		—			624
Prepaid Expenses		145,240			52,804
Inventory		209,746			322,173
Due from related parties		277,432			293,434
Property and equipment (net)		17,901			14,766
Intangible assets (net)		55,584			67,679
Operating lease right of use asset		259,689			499,161
Lease security deposit		81,209			85,372
Investment in Yubo Jingzhi (A)		205,537			217,391
Receivables from other consolidated entities (A)		353,611			337,790
Total assets		1,606,861			1,895,116
Accounts payable and accrued expenses		253,914			276,325
Advances from prospective customers/distributors		422,005			459,970
Due to related parties		1,441,101			1,057,052
Operating lease liabilities		259,689			499,161
Payables to other consolidated entities (A)		412,579			437,826
Total liabilities		2,789,288			2,730,334
Shareholders’ equity	$	(1,182,427	)	$	(835,218	)

(A) Eliminated in consolidation.

Except for $190,462 occupancy expense, $8,748 depreciation expense and $50,262 other operating expenses for the nine months ended September 30, 2023 and except for $399,633 occupancy expense and $36,313 other operating expenses for the nine months ended September 30, 2022, all revenues and expenses included in the accompanying Consolidated Statements of Operations for the nine months ended September 30, 2023 and September 30, 2022 represent revenues and expenses of Yubo Beijing.

Foreign Currency Translation

The accompanying consolidated financial statements are presented in United States dollars (“$”), which is the reporting currency of the Company. The functional currency of Platinum and Platinum HK is the United States dollar. The functional currency of the Company’s subsidiaries and VIE located in the PRC is the Renminbi (“RMB”). For the entities whose functional currencies are the RMB, results of operations and cash flows are translated at average exchange rates during the period ($1=7.0977 RMB for the nine months ended September 30, 2023 and $1=6.7368 for the nine months ended September 30, 2022), assets and liabilities are translated at the current exchange rate at the end of the period ($1=7.2980 RMB at September 30, 2023 and $1=6.900 RMB at December 31, 2022), and equity is translated at historical exchange rates. The resulting translation adjustments are included in determining other comprehensive income (loss). Transaction gains and losses, which were not significant for the periods presented, are reflected in the consolidated statements of operations.

Use of Estimates

The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and judgments that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities on the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. The Company bases its estimates and judgments on historical experience and on various other assumptions and information that are believed to be reasonable under the circumstances. Estimates and assumptions of future events and their effects cannot be perceived with certainty and, accordingly, these estimates may change as new events occur, as more experience is acquired, as additional information is obtained and as our operating environment changes. Significant estimates and assumptions by management include, among others, useful lives and impairment of long-lived assets, and income taxes including the valuation allowance for deferred tax assets. While the Company believes that the estimates and assumptions used in the preparation of the financial statements are appropriate, actual results could differ from those estimates. Estimates and assumptions are periodically reviewed and the effects of revisions are reflected in the financial statements in the period they are determined to be necessary.

Cash and Cash Equivalents

Cash and cash equivalents include cash on hand, cash in bank accounts, cash in time deposits, certificates of deposit and all highly liquid instruments with original maturities of three months or less.

Inventories

Inventories, mainly consisting of nebulizers and components and other  health products, are stated at the lower of cost utilizing the weighted average method or net realizable value. Net realizable value is the estimated selling price in the ordinary course of business less the estimated selling costs.

The valuation of inventory requires the Company to estimate excess and slow-moving inventories. The Company evaluates the recoverability of the inventory based on expected demand and market conditions. No inventory write downs were recorded in the periods presented.

Property and Equipment

Property and equipment consist of leasehold improvements, construction in progress, air conditioning equipment, and office equipment. All property and equipment are stated at historical cost net of accumulated depreciation. Repairs and maintenance are expensed as incurred. Property and equipment are depreciated on a straight-line basis over the following periods:

Leasehold improvements	Remaining term of lease
Air conditioning equipment	5 years
Office equipment	3 years

Intangible Assets

Intangible assets consist of distribution software and patents and are stated at historical cost less accumulated amortization. Amortization of intangible assets is calculated on a straight-line basis over the shorter of the contractual terms or the expected useful lives of the respective assets. The amortization period by major asset classes is as follows:

Distribution software	5 years
Patents	20 years

Impairment of Long-Lived Assets

The Company’s long-lived assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of the asset may not be recoverable. Recoverability of an asset to be held and used is measured by a comparison of the carrying amount of the asset to the future undiscounted cash flows expected to be generated by the asset. If such asset is considered to be impaired, the impairment to be recognized is measured by the amount by which the carrying amount of the asset exceeds its fair value. Impairment evaluations involve management’s estimates on asset useful lives and future cash flows. Actual useful lives and cash flows could be different from those estimated by management which could have a material effect on our reporting results and financial position. Fair value is determined through various valuation techniques including discounted cash flow models, quoted market values and third-party independent appraisals, as considered necessary.

Fair Value of Financial Instruments

The Company adopted ASC 820 “Fair Value Measurements,” which defines fair value, establishes a three-level valuation hierarchy for disclosures of fair value measurement and enhances disclosure requirements for fair value measures. The three levels are defined as follows:

Level 1 — inputs to the valuation methodology are quoted prices (unadjusted) for identical assets or liabilities in active markets.

Level 2 — inputs to the valuation methodology include quoted prices for similar assets and liabilities in active markets, and inputs that are observable for the assets or liabilities, either directly or indirectly, for substantially the full term of the financial instruments.

Level 3 — inputs to the valuation methodology are unobservable and significant to the fair value.

Financial instruments include cash, receivables, due from related parties, accounts payable and accrued expenses, advances from prospective customers/distributors and due to related parties. The carrying values of these financial instruments approximate their fair values due to the short-term maturities of these instruments.

For the periods presented, there were no financial assets or liabilities measured at fair value.

Leases

We determine if an arrangement is a lease at inception. Operating leases are included in operating lease right-of-use (“ROU”) assets, operating lease liabilities - current, and operating lease liabilities - noncurrent on the balance sheets. The initial lease liability is equal to the future fixed minimum lease payments discounted using the Company’s incremental borrowing rate, on a secured basis. The initial measurement of the right-of-use asset is equal to the initial lease liability plus any initial direct costs.

ROU assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. Operating lease ROU assets and liabilities are recognized at commencement date based on the present value of lease payments over the lease term.

Revenue Recognition

The Company derives its revenue from (1) the sale of health management and health maintenance service agreements (commencing in the quarterly period ended September 30, 2023 and (2) the sale of nebulizers containing frozen tubes with medical fluid and from the sale of other health and personal care products. The nebulizers are sold directly to consumers on the Company’s online e-commerce platform. The Company adopted ASC 606 requires the use of a five-step model to recognize revenue from contracts with customers. The five-step model requires entities to exercise judgment when considering the terms of contracts, which includes (1) identifying the contracts or agreements with a customer, (2) identifying our contract with performance obligations in the contract or agreement, (3) determining the transaction price, (4) allocating the transaction price to the separate performance obligations, and (5) recognizing revenue as each performance obligation is satisfied.

Allowance for Doubtful Accounts

Trade accounts receivable arise from the sale of products and services on trade credit terms. On a quarterly basis, we review all significant accounts as to their past due balances, as well as collectability of the outstanding  trade account receivables for possible write off. It is our policy to write off the account receivable against the allowance account when we deem the receivable to be uncollectible. Additionally, we review orders from dealers that are significantly past due,  and we ship product only when our ability to collect payment from our customer for the new order is probable.

Our allowance for doubtful accounts reflects our best estimate for losses inherent in the trade accounts receivable balance. We  determine the allowance based on known troubled accounts, weighting probabilities of future conditions and expected outcomes, and other currently available evidence.

Advertising Costs

Advertising costs are expensed as incurred.

Income Taxes

The Company follows the liability method in accounting for income taxes in accordance with ASC topic 740 (“ASC 740”), Income Taxes. Under this method, deferred tax assets and liabilities are determined based on the differences between the financial reporting and tax bases of assets and liabilities using enacted tax rates that will be in effect in the period in which the differences are expected to reverse. The Company records a valuation allowance against deferred tax assets if, based on the weight of available evidence, it is more-likely than not that some portion, or all, of the deferred tax assets will not be realized.

The Company applies the provisions of ASC 740 to account for uncertainty in income taxes. ASC 740 clarifies the accounting for uncertainty in income taxes by prescribing the recognition threshold a tax position is required to meet before being recognized in the consolidated financial statements.

The Company will classify interest and penalties related to unrecognized tax benefits, if and when required, as part of income tax expense in the consolidated statements of operations.

Net Loss per Share

Basic net income (loss) per share is computed by dividing net loss by the weighted average number of Class A and Class B common shares outstanding during the period.

Diluted net income (loss) per share reflects the potential dilution that could occur if dilutive securities (such as stock options and convertible securities) were exercised or converted into common shares. For the periods presented, the Company had no dilutive securities outstanding.

Comprehensive Loss

Comprehensive income (loss) is defined as the increase (decrease) in equity of the Company during a period from transactions and other events and circumstances excluding transactions resulting from investments by owners and distributions to owners. Comprehensive income (loss) is reported in the consolidated statements of operations and comprehensive income (loss), including net income (loss) and foreign currency translation adjustments, presented net of tax.

New Accounting Pronouncements

In February, 2016, the FASB issued Accounting Standards Update No. 2016-02 (ASU 2016-02) “Leases (Topic 842)”. ASU 2016-02 requires a lessee to recognize in the statement of financial position a liability to make lease payments (the lease liability) and a right-of-use asset representing its right to use the underlying asset for the lease term. We adopted ASU 2016-02 for interim and annual reporting periods beginning after December 15, 2018.

For finance leases, a lessee is required to do the following:

· Recognize a right-of-use asset and a lease liability, initially measured at the present value of the lease payments, in the balance sheet.

· Recognize interest on the lease liability separately from amortization of the right-of-use asset in the statement of comprehensive income.

· Classify repayments of the principal portion of the lease liability within financing activities and payments of interest on the lease liability and variable lease payments within operating activities in the statement of cash flows.

For operating leases, a lessee is required to do the following:

· Recognize a right-of-use asset and a lease liability, initially measured at the present value of the lease payments, in the balance sheet.

· Recognize a single lease cost, calculated so that the cost of the lease is allocated over the lease term on a generally straight-line basis.

· Classify all cash payments within operating activities in the statement of cash flows.

Other than increasing assets and liabilities at the inception of the respective leases (See Note 8), ASU 2016-02 has not had a significant effect on the Company’s financial position or results of operations.

The Company does not believe other recently issued but not yet effective accounting standards, if currently adopted, would have a material impact on its consolidated financial position, statements of operations or cash flows.

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)

9 Months Ended

Sep. 30, 2023

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Schedule of consolidated financial statements reflect the activities

Name	Background	Ownership
Yubo International Biotech Limited (“Yubo New York”)	·      A New York Corporation ·      Incorporated on February 22, 1991 ·      A holding company
Platinum International Biotech Co. LTD (“Platinum”)	·      A Cayman Island company ·      Incorporated on April 7, 2020 ·      A holding company	100% owned by Yubo New York
Platinum International Biotech (Hong Kong) Limited.  (“Platinum HK”)	·      A Hong Kong company ·      Incorporated on May 4, 2020 ·      A holding company	100% owned by Platinum
Yubo International Biotech (Chengdu) Limited (“Yubo Chengdu”)	·      A PRC company and deemed a wholly foreign owned enterprise ·      Incorporated on September 4, 2020 ·      Subscribed capital of $1,500,000 ·      A holding company	100% owned by Platinum HK
Yubo International Biotech (Beijing) Limited (“Yubo Beijing”)	·      A PRC limited liability company ·      Incorporated on June 14, 2016 ·      Subscribed capital of $1,454,038 (RMB 10,000,000) ·      Stem cell storage and bank	VIE of Yubo Chengdu WFOE
Yubo Jingzhi Biotechnology (ChengDu) Co. Ltd. (“Yubo Jingzhi”)	·      A PRC company incorporated on January 21, 2021	100% owned by Yubo Beijing
Yubo Global Biotechnology (Chengdu) Co. Ltd (“Yubo Global”)	·      A PRC company incorporated on December 20, 2020	100% owned by Platinum HK

Schedule of assets and liabilities of Yubo Beijing (VIE)

	September 30, 2023			December 31, 2022
Cash	$	912		$	3,922
Receivables (net)		—			624
Prepaid Expenses		145,240			52,804
Inventory		209,746			322,173
Due from related parties		277,432			293,434
Property and equipment (net)		17,901			14,766
Intangible assets (net)		55,584			67,679
Operating lease right of use asset		259,689			499,161
Lease security deposit		81,209			85,372
Investment in Yubo Jingzhi (A)		205,537			217,391
Receivables from other consolidated entities (A)		353,611			337,790
Total assets		1,606,861			1,895,116
Accounts payable and accrued expenses		253,914			276,325
Advances from prospective customers/distributors		422,005			459,970
Due to related parties		1,441,101			1,057,052
Operating lease liabilities		259,689			499,161
Payables to other consolidated entities (A)		412,579			437,826
Total liabilities		2,789,288			2,730,334
Shareholders’ equity	$	(1,182,427	)	$	(835,218	)

Schedule of Property and Equipment

Leasehold improvements	Remaining term of lease
Air conditioning equipment	5 years
Office equipment	3 years

Schedule of amortization period of intangible assets

Distribution software	5 years
Patents	20 years

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INVENTORY (Tables)

9 Months Ended

Sep. 30, 2023

INVENTORY

Schedule of inventory

	September 30,		December 31,
	2023		2022
	(Unaudited)
Nebulizers and components	$	46,490	$	50,894
Oral liquid health products		66,246		76,239
Beauty care products		95,373		104,500
Soft drinks		—		87,725
Other		1,637		2,815
Total Inventory	$	209,746	$	322,173

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DUE FROM RELATED PARTIES (Tables)

9 Months Ended

Sep. 30, 2023

DUE FROM RELATED PARTIES

Schedule of Due from related parties

	September 30,		December 31,
	2023		2022
	(Unaudited)
Beijing Zhenhuikang Biotechnology Co., LTD (“Zhenhuikang”)  (1)	$	277,432	$	293,434
Total Due from Related Parties	$	277,432	$	293,434

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PROPERTY AND EQUIPMENT (Tables)

9 Months Ended

Sep. 30, 2023

PROPERTY AND EQUIPMENT

Schedule of Property and equipment

	September 30,			December 31,
	2023			2022
	(Unaudited)
Leasehold improvements	$	20,006		$	282,681
Construction in progress		499,733			323,832
Air conditioning equipment		22,215			20,343
Office equipment		23,709			28,230
Total property and equipment		565,663			655,086
Less accumulated depreciation and amortization		(37,341	)		(38,434	)
Property and equipment, net	$	528,322		$	616,652

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INTANGIBLE ASSETS (Tables)

9 Months Ended

Sep. 30, 2023

INTANGIBLE ASSETS

Schedule of Intangible assets

	September 30,			December 31,
	2023			2022
	(Unaudited)
Distribution software	$	33,917		$	35,784
Experience center software		38,780			41,017
Patents acquired from related party		10,854			11,569
Total intangible assets		83,551			88,370
Less: Accumulated amortization		(27,966	)		(20,691	)
Intangible assets, net	$	55,585		$	67,679

Schedule of amortization of intangible assets expense

Year ending December 31, 2023	$	3,452
Year ending December 31, 2024		15,546
Year ending December 31, 2025		15,546
Year ending December 31, 2026		9,659
Thereafter		11,382
Total	$	55,585

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OPERATING LEASE RIGHT OF USE ASSET AND OPERATING LEASE LIABILITY (Tables)

9 Months Ended

Sep. 30, 2023

OPERATING LEASE RIGHT OF USE ASSET AND OPERATING LEASE LIABILITY

Schedule of Future Undiscounted Minimum lease payments

	As of September 30, 2023
Year ending December 31, 2023	$	101,829
Year ending December 31, 2024		281,436
Year ending December 31, 2025		101,988
Year ending December 31, 2026		16,998
Total	$	502,251

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ADVANCE FROM PROSPECTIVE CUSTOMERDISTRIBUTER TABLE (Tables)

9 Months Ended

Sep. 30, 2023

ADVANCES FROM PROSPECTIVE CUSTOMERS DISTRIBUTORS

Schedule of Advances from Prospective Customers/Distributors

	In RMB				In USD
Source of Advance	September 30, 2023		December 31, 2022		September 30, 2023		December 31, 2022
Advancer 1	¥	1,544,748	¥	1,544,748	$	211,667	$	223,877
Advancer 2		550,000		550,000		75,363		79,710
Advancer 3		500,000		500,000		68,512		72,464
Advancer 4		348,000		348,000		47,684		50,435
Advancer 5		50,000		50,000		6,851		7,246
Advancer 6		50,000		50,000		6,851		7,246
Advancer 7		31,012		31,012		4,249		4,494
Advancer 8		31		31		4		5
Advancer 9		—		100,000		—		14,493
Advancer 10		6,000		—		822		—
	¥	3,079,791	¥	3,173,791	$	422,005	$	459,970

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DUE TO RELATED PARTIES (Tables)

9 Months Ended

Sep. 30, 2023

DUE TO RELATED PARTIES

Schedule of Due to related parties

	September 30,		December 31,
	2023		2022
	(Unaudited)
Mr. Yang Wang (1)	$	434,834	$	417,609
Mr. Jun Wang (2)		1,046,267		639,443
Ms. Huang Li (3)		53,480		56,565
Mr. Jin Wei (4)		10,000		—
Total	$	1,544,582	$	1,113,617

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SHAREHOLDERS EQUITY (Tables)

9 Months Ended

Sep. 30, 2023

SHAREHOLDERS EQUITY

Schedule of acquisition of Platinum

Name of Selling Shareholder	Number of Exchange Shares		Percentage of Exchange Shares
FLYDRAGON INTERNATIONAL LIMITED (controlled by Mr. Jun Wang)		39,943,800		34.14	%
CHINAONE TECHNOLOGY LIMITED (controlled by Mr. Yang Wang)		19,211,400		16.42	%
BOAO BIOTECH LIMITED (controlled by Mr. Yulin Cao)		24,967,800		21.34	%
FOCUS DRAW GROUP LIMITED (controlled by Ms. Lina Liu)		13,829,400		11.82	%
FOCUSONE TECHNOLOGY GROUP LIMITED (controlled by Mr. Jin Wei)		11,524,500		9.85	%
DRAGONCLOUD TECHNOLOGY LIMITED (controlled by Mr. Yang Wang)		5,768,100		4.93	%
CHEUNG HO SHUN		1,755,000		1.50	%
TOTAL		117,000,000		100.00	%

Schedule of ordinary shares

Entity	Shares
1. Flydragon International Limited (controlled by Mr. Jun Wang)		3,466,000
2. Chinaone Technology Limited (controlled by Mr. Yang Wang)		1,667,000
3. Boao Biotech Limited (controlled by Mr. Yulin Cao)		2,167,000
4. Dragoncloud Technology Limited (controlled by Mr. Yang Wang)		500,000
5. Focus Draw Group Limited (controlled by Ms. Lina Liu)		1,200,000
6. Focusone Technology Group Limited (controlled by Mr. Jin Wei)		1,000,000
Total		10,000,000

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INCOME TAX (Tables)

9 Months Ended

Sep. 30, 2023

INCOME TAX

Schedule of deferred tax assets

	September 30, 2023			December 31, 2022
	(Unaudited)
Net operating losses carry forward	$	910,013		$	763,182
Valuation allowance		(910,013	)		(763,182	)
Deferred tax assets, net	$	—		$	—

Schedule of Provisions for (benefit from) income tax

	For the nine months ended September 30, 2023			For the nine months ended September 30, 2022
	(Unaudited)			(Unaudited)
Income tax (benefit) at 25%	$	(169,425	)	$	(327,151	)
Net loss of Platinum		12,563			8,957
Increase in valuation allowance		146,831			318,242
Other		10,031			(48	)
Provision for income taxes	$	—		$	—

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ORGANIZATION (Details Narrative) - shares	Jan. 14, 2021	Sep. 30, 2023	Dec. 31, 2022	Sep. 02, 2022
Liu Lina [Member]
Cancellation of shares held by related party	116,697,438
Exchange Agreement [Member] | Maximum [Member]
Ownership percentage	99.00%
Common Class A [Member]
Common stock shares issued	117,000,000	118,177,885		1,638,458
Common stock shares outstanding		119,816,343	119,816,343
Common stock shares issued		119,816,343	119,816,343
Common Class A [Member] | Platinum and Yubo Beijing [Member]
Common stock shares outstanding	117,875,323
Common stock shares issued	117,875,323
Common Class B [Member]
Common stock shares outstanding		4,447	4,447
Common stock shares issued		4,447	4,447
Common Class B [Member] | Platinum and Yubo Beijing [Member]
Common stock shares outstanding	4,447
Common stock shares issued	4,447
Common Stock Class A [Member] | Exchange Agreement [Member]
Common stock shares issued	117,000,000

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details)	9 Months Ended
	Sep. 30, 2023 USD ($)
Yubo International Biotech (Beijing) Limited [Member]
Name of company	A PRC limited liability company
Date of incorporation	June 14, 2016
Subscribed capital	$ 1,454,038
Voting interest equity	VIE of Yubo Chengdu WFOE
Platinum International Biotech Co. LTD [Member]
Name of company	A Cayman Island company
Ownership percentage	100.00%
Date of incorporation	April 7, 2020
Platinum HK [Member]
Name of company	A Hong Kong company
Ownership percentage	100.00%
Date of incorporation	May 4, 2020
Yubo International Biotech (Chengdu) Limited [Member]
Name of company	A PRC company and deemed a wholly foreign owned enterprise
Ownership percentage	100.00%
Date of incorporation	September 4, 2020
Subscribed capital	$ 1,500,000
Yubo Jingzhi [Member]
Name of company	A PRC company
Ownership percentage	100.00%
Date of incorporation	January 21, 2021
Yubo Global [Member]
Name of company	A PRC company
Ownership percentage	100.00%
Date of incorporation	December 20, 2020
Yubo International Biotechs Limited [Member]
Name of company	A New York Corporation
Date of incorporation	February 22, 1991

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details 1) - USD ($)	Sep. 30, 2023	Jun. 30, 2023	Mar. 31, 2023	Dec. 31, 2022	Sep. 30, 2022	Jun. 30, 2022	Mar. 31, 2022	Dec. 31, 2021
Receivables	$ 48,510			$ 51,932
Prepaid Expenses	171,320			64,253
Inventory	209,746			322,173
Due from related parties	277,432			293,434
Intangible assets (net)	55,585			67,679
Operating lease right of use assets	490,781			790,499
Accounts payable and accrued expense	547,381			549,838
Due to related parties	1,544,582			1,113,617
Operating lease liabilities	351,319			400,054
Total Liabilities	3,004,749			2,913,924
Shareholders' equity	(1,100,857)	$ (1,150,619)	$ (838,755)	(565,373)	$ (658,141)	$ (1,251,632)	$ (760,123)	$ (131,198)
Yubo Beijing [Member]
Cash	912			3,922
Receivables	0			624
Prepaid Expenses	145,240			52,804
Inventory	209,746			322,173
Due from related parties	277,432			293,434
Property and equipment (net)	17,901			14,766
Intangible assets (net)	55,584			67,679
Operating lease right of use assets	259,689			499,161
Lease security deposits	81,209			85,372
Investment in Yubo Jingzhi (A)	205,537			217,391
Receivables from other consolidating entities (A)	353,611			337,790
Total assets	1,606,861			1,895,116
Accounts payable and accrued expense	253,914			276,325
Advances from prospective customers/distributors	422,005			459,970
Due to related parties	1,441,101			1,057,052
Operating lease liabilities	259,689			499,161
Payables to other consolidating entities (A)	412,579			437,826
Total Liabilities	2,789,288			2,730,334
Shareholders' equity	$ (1,182,427)			$ (835,218)

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details 2)	9 Months Ended
	Sep. 30, 2023
Air conditioning equipment [Member]
Leasehold improvements, remaining term of lease	5 years
Office Equipment [Member]
Leasehold improvements, remaining term of lease	3 years

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details 3)	9 Months Ended
	Sep. 30, 2023
Distribution software [Member]
Intangible assets, amortization period	5 years
Patents [Member]
Intangible assets, amortization period	20 years

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) - USD ($)	9 Months Ended		12 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Dec. 31, 2022
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Assets and liabilities currency translation	1=7.0977	1=6.7368
Currency translation description	1=7.2980		1=6.900
Operating expenses	$ 50,262	$ 36,313
Occupancy expense	190,462	399,633
Depreciation expense	$ 8,748	$ 0

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GOING CONCERN (Details Narrative) - USD ($)	3 Months Ended						9 Months Ended
	Sep. 30, 2023	Jun. 30, 2023	Mar. 31, 2023	Sep. 30, 2022	Jun. 30, 2022	Mar. 31, 2022	Sep. 30, 2023	Sep. 30, 2022
GOING CONCERN
Net loss	$ 6,293	$ (367,327)	$ (316,667)	$ (238,096)	$ (491,559)	$ (578,948)	$ (677,701)	$ (1,308,603)
Cash	5,295						5,295
Working capital	$ (2,152,984)						$ (2,152,984)

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INVENTORY (Details) - USD ($)	Sep. 30, 2023	Dec. 31, 2022
Total Inventory	$ 209,746	$ 322,173
Soft drinks [Member]
Total Inventory	0	87,725
Nebulizers and components [Member]
Total Inventory	46,490	50,894
Oral liquid and health products [Member]
Total Inventory	66,246	76,239
Beauty care products [Member]
Total Inventory	95,373	104,500
Other [Member]
Total Inventory	$ 1,637	$ 2,815

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DUE FROM RELATED PARTIES (Details) - USD ($)	Sep. 30, 2023	Dec. 31, 2022
Due from related parties	$ 277,432	$ 293,434
Beijing Zhenhuikang Biotechnology Co., LTD [Member]
Due from related parties	$ 277,432	$ 293,434

XML

PROPERTY AND EQUIPMENT (Details) - USD ($)	Sep. 30, 2023	Dec. 31, 2022
PROPERTY AND EQUIPMENT
Leasehold improvements	$ 20,006	$ 282,681
Construction in progress	499,733	323,832
Air conditioning equipment	22,215	20,343
Office equipment	23,709	28,230
Total property and equipment	565,663	655,086
Less accumulated depreciation and amortization	(37,341)	(38,434)
Property and equipment, net	$ 528,322	$ 616,652

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PROPERTY AND EQUIPMENT (Details Narrative) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
PROPERTY AND EQUIPMENT
Depreciation and amortization of property and equipment	$ 44,206	$ 3,067	$ 66,309	$ 9,885

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INTANGIBLE ASSETS (Details) - USD ($)	Sep. 30, 2023	Dec. 31, 2022
INTANGIBLE ASSETS
Distribution software	$ 33,917	$ 35,784
Experience centre software	38,780	41,017
Patents acquired from related party (Note 12)	10,854	11,569
Total intangible assets	83,551	88,370
Less: Accumulated amortization	(27,966)	(20,691)
Intangible assets, net	$ 55,585	$ 67,679

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INTANGIBLE ASSETS (Details 1) - USD ($)	Sep. 30, 2023	Dec. 31, 2022
INTANGIBLE ASSETS
Year ending December 31, 2023	$ 3,452
Year ending December 31, 2024	15,546
Year ending December 31, 2025	15,546
Year ending December 31, 2026	9,659
Thereafter	11,382
Intangible assets, net	$ 55,585	$ 67,679

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INTANGIBLE ASSETS (Details Narrative) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
INTANGIBLE ASSETS
Amortization of intangible assets	$ 2,862	$ 2,208	$ 8,640	$ 6,253

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OPERATING LEASE RIGHT OF USE ASSET AND OPERATING LEASE LIABILITY (Details)	Sep. 30, 2023 USD ($)
OPERATING LEASE RIGHT OF USE ASSET AND OPERATING LEASE LIABILITY
2023	$ 101,829
2024	281,436
2025	101,988
2026	16,998
Total lease payments	$ 502,251

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OPERATING LEASE RIGHT OF USE ASSET AND OPERATING LEASE LIABILITY (Details Narrative) - USD ($)		3 Months Ended		9 Months Ended
	Mar. 01, 2021	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Operating lease liabilities		$ 490,781		$ 490,781
Borrowing rate				4.75%
Occupancy expense		124,370	$ 177,153	$ 287,964	$ 735,645
Value of the future lease payments		$ 502,251		$ 502,251
August 1, 2019 [Member] | Chengdu Liangkang Investment [Member]
Lease agreement, description				a right to renew for an additional term of 2 years and 8 months from December 1, 2021 to July 31, 2024. In December 2021, the Company renewed the lease. The current lease provides for monthly rent of RMB 166,845 ($22,862 through July 31, 2023 and RMB 176,833 ($24,230) for the year ended July 31, 2024
March 1 2021 [Member] | Chengdu Liangkang Investment [Member]
Lease agreement, description	Investment Co. to rent approximately 6,960 square meters of laboratory space in Chengdu China. The lease provided for a lease term of 5 years from March 1, 2021 to February 28, 2026. The lease provided for monthly rent of RMB 299,277 ($41,008) through February 28, 2024 and RMB 317,233 ($43,468) from March 1, 2024 to February 28, 2026. In the fourth quarter of 2022, the lease was terminated with an effective date of September 1, 2021
September 1, 2021 [Member] | Chengdu Liangkang Investment [Member]
Lease agreement, description				to rent approximately 1,282 square meters of laboratory space in the same building in Chengdu China as that relating to the terminated lease discussed in the preceding paragraph. This lease provides for monthly rent of RMB 56,611 ($7,757) from September 1, 2021 to February 28, 2024 and monthly rent of RMB 58,449 ($8,009) from March 1, 2024 to February 28, 2026

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ADVANCES FROM PROSPECTIVE CUSTOMERSDISTRIBUTORS (Details) - USD ($)	Sep. 30, 2023	Dec. 31, 2022
Advances from prospective customers	$ 422,005	$ 459,970
PRC Entities Four [Member]
Advances from prospective customers	47,684	50,435
PRC Entities Five [Member]
Advances from prospective customers	6,851	7,246
PRC Entities Six [Member]
Advances from prospective customers	6,851	7,246
PRC Entities Seven [Member]
Advances from prospective customers	4,249	4,494
PRC Entities Eight [Member]
Advances from prospective customers	4	5
PRC Entities Ten [Member]
Advances from prospective customers	822	0
PRC Entities Nine [Member]
Advances from prospective customers	0	14,493
PRC Entities One [Member]
Advances from prospective customers	211,667	223,877
PRC Entities Two [Member]
Advances from prospective customers	75,363	79,710
PRC Entities Three [Member]
Advances from prospective customers	$ 68,512	$ 72,464

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DUE TO RELATED PARTIES (Details) - USD ($)	Sep. 30, 2023	Dec. 31, 2022
Due to related parties	$ 1,544,582	$ 1,113,617
Mr. Jin Wei [Member]
Due to related parties	10,000
Ms. Huang Li [Member]
Due to related parties	53,480	56,565
Mr. Yang Wang [Member]
Due to related parties	434,834	417,609
Mr. Jung Wang [Member]
Due to related parties	$ 1,046,267	$ 639,443

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DUE TO RELATED PARTIES (Details Narrative)	Sep. 30, 2023
Mr. Jin Wei [Member]
Class A common stock rate	9.62%
Ms. Huang Li [Member]
Class A common stock rate	9.62%
Mr. Yang Wang [Member]
Class A common stock rate	20.85%
Mr. Jung Wang [Member]
Class A common stock rate	33.34%

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SHAREHOLDERS EQUITY (Details) - shares	Jan. 14, 2021	Apr. 07, 2020
FLYDRAGON INTERNATIONAL LIMITED [Member]
Common stock shares issued	39,943,800	3,466,000
Number of shares selling percentage	34.14%
Chinaone Technology Limited [Member]
Common stock shares issued	19,211,400	1,667,000
Number of shares selling percentage	16.42%
Boao Biotech Limited [Member]
Common stock shares issued	24,967,800	2,167,000
Number of shares selling percentage	21.34%
Focus Draw Group Limited [Member]
Common stock shares issued	13,829,400	1,200,000
Number of shares selling percentage	11.82%
Focusone Technology Group Limited [Member]
Common stock shares issued	11,524,500	1,000,000
Number of shares selling percentage	9.85%
Dragoncloud Technology Limited [Member]
Common stock shares issued	5,768,100	500,000
Number of shares selling percentage	4.93%
Cheung Ho Shun [Member]
Common stock shares issued	1,755,000
Number of shares selling percentage	1.50%
Total [Member]
Common stock shares issued	117,000,000	10,000,000
Number of shares selling percentage	100.00%

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SHAREHOLDERS EQUITY (Details Narrative) - USD ($)		1 Months Ended
	Sep. 11, 2020	Jan. 21, 2021	Sep. 30, 2023	Dec. 31, 2022	Sep. 02, 2022	Jan. 14, 2021	Apr. 07, 2020
Preferred stock, par value			$ 0.01	$ 0.01
Preferred shares authorized			5,000,000	5,000,000
Subscribed capital paid				$ 1,370,238
Platinum International Biotech Co. LTD [Member]
Ordinary shares, par value			$ 0.0001	$ 0.0001
Ordinary shares, authorized			500,000,000	500,000,000
Ordinary shares issued			10,152,284	10,152,284			10,000,000
Ordinary shares outstanding			10,152,284	10,152,284
Sale of ordinary shares	152,284
Sale of ordinary shares in cash	$ 750,000
Ordinary shares acquired		10,152,284
Common Class A [Member]
Settlement liabilities amount					$ 819,229
Common stock shares outstanding			119,816,343	119,816,343
Common stock shares issued			119,816,343	119,816,343
Shares issued			118,177,885		1,638,458	117,000,000
Common stock, authorized			1,000,000,000	1,000,000,000
Common stock, par value			$ 0.001	$ 0.001
Common Class A [Member] | Platinum and Yubo Beijing [Member]
Common stock shares outstanding						117,875,323
Common stock shares issued						117,875,323
Subscribed capital				1,500,000
Common Class B [Member]
Common stock shares outstanding			4,447	4,447
Common stock shares issued			4,447	4,447
Common stock, authorized			3,750,000	3,750,000
Common stock, par value			$ 0.001	$ 0.001
Common Class B [Member] | Platinum and Yubo Beijing [Member]
Common stock shares outstanding						4,447
Common stock shares issued						4,447

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RELATED PARTY TRANSACTIONS (Details Narrative) - USD ($)		9 Months Ended
	May 11, 2021	Sep. 30, 2023	Sep. 07, 2022	Apr. 14, 2022	Nov. 24, 2021
Description of loans owed to World Precision Medicine	the $819,229 loans owed to World Precision Medicine Technology Inc. were settled by conversion into 1,638,458 shares of Class A common stock at $0.50 per share
Entrustment Technical Service Agreement [Member]
Amount payable for harvesting		$ 27,377
Exchange rate		$ 7.2980
World Precision Medicine Technology Inc [Member]
Additional loan amount			$ 99,229	$ 50,000	$ 70,000
Mr. Yulin [Member] | Joint Research and Development [Member]
Working capital loan	$ 600,000

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INCOME TAX (Details) - USD ($)	Sep. 30, 2023	Dec. 31, 2022
INCOME TAX
Net operating losses carry forward	$ 910,013	$ 763,182
Valuation allowance	(910,013)	(763,182)
Deferred tax assets, net	$ 0	$ 0

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INCOME TAX (Details 1) - USD ($)	3 Months Ended				9 Months Ended
	Sep. 30, 2023	Jun. 30, 2023	Sep. 30, 2022	Jun. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
INCOME TAX
Income tax (benefits)					$ (169,425)	$ (327,151)
Net loss of Platinum					12,563	8,957
Increase in valuation allowance					146,831	318,242
Other					10,031	(48)
Provision for income tax	$ 0	$ 0	$ 0	$ 0	$ 0	$ 0

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INCOME TAX (Details Narrative) - USD ($)	9 Months Ended	12 Months Ended
	Sep. 30, 2023	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Income tax rate	25.00%
Statutory income tax rate	16.50%
Valuation allowance against deferred tax asset	100.00%	100.00%
Yubo Beijing [Member]
Net losses	$ 420,886	$ 961,446	$ 649,871	$ 597,713	$ 231,193
Yubo Jingzhi [Member]
Net losses	125,761	145,763	1,207
Yubo Global [Member]
Net losses	$ 40,679	$ 23,257	$ 488,790

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COMMITMENTS AND CONTINGENCIES (Details Narrative)	Sep. 30, 2023 USD ($)
COMMITMENTS AND CONTINGENCIES
Cash deposits	$ 68,512

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MAJOR CUSTOMERS (Details Narrative)	9 Months Ended
	Sep. 30, 2023
MAJOR CUSTOMER
Customers accounted for sale percentage	14.83%
Customers accounted for sale two customer	14.83%