HONG YUAN HOLDING GROUP

Going-concern China-VIE micro-cap supply-chain shell with negligible cash and an accumulated deficit near $98M.

Strengths

• Reported high gross/net margins and ROA on a tiny revenue base
• Nominal cash burn currently

Risks

• Explicit going-concern opinion, negative working capital and only ~$16.7K cash
• China VIE control structure with related-party (majority-shareholder) asset transfers and recent business-model/deconsolidation churn — severe governance red flags

Notable findings

• Going concernThese and other factors raise substantial doubt about our ability to continue as a going concern
• Exec changeRecent 8-K item 5.02 8-K ↗
• Weak liquidityCurrent ratio 0.98 (<1)
• Revenue declineRevenue -80.6% YoY