10-Q

UNITED STATES

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 June 30, 2024

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

Commission file number 000-56198

VIVIC CORP.

(Exact name of registrant as specified in its charter)

Nevada	98-1353606
(State or other jurisdiction of incorporation or organization)	(IRS Employer Identification No.)

187 E Warm Springs Road

Las Vegas, Nevada 89119

(Address of principal executive offices)

702 899 0818

(Issuer’s telephone number)

Securities Registered Pursuant to Section 12(g) of the Act:

Title of Each Class	Trading Symbol(s)	Name of each Exchange on which Registered
Common Stock, $0.001 Par Value	VIVC	OTCQB

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 and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).

Yes ☐ No ☒

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company.

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 7(a)(2)(B) ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).

Yes ☐ No ☒

Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practical date: As of August 13, 2024, there were 26,657,921 shares of the registrant’s common stock outstanding.

VIVIC CORP.

FORM 10-Q

March 31, 2024

INDEX

		Page
Special Note Regarding Forward Looking Statements		3
Part I – Financial Information		4
Item 1.	Unaudited Condensed Consolidated Financial Statements	4
	Condensed Consolidated Balance Sheets as of June 30, 2024 (Unaudited) and December 31, 2023	4
	Unaudited Condensed Consolidated Statements of Operations and Comprehensive (Loss) for the Three and Six Months Ended June 30, 2024 and 2023	5
	Unaudited Condensed Consolidated Statements of Stockholders’ Deficit for the Three and Six Months Ended June 30, 2024 and 2023	6
	Unaudited Condensed Consolidated Statements of Cash Flows for the Six Months Ended June 30, 2024 and 2023	7
	Notes to Unaudited Condensed Consolidated Financial Statements	8
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	21
Item 4.	Controls and Procedures	29
Part II – Other Information		30
Item 1.	Legal Proceedings	30
Item 1A.	Risk Factors	30
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	30
Item 3.	Defaults Upon Senior Securities	30
Item 5.	Other Information	30
Item 6.	Exhibits	31
	Signatures	32

2

SPECIAL NOTE REGARDING FORWARD LOOKING STATEMENTS

This report contains forward-looking statements. These statements involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements to be materially different from any future results, performances or achievements expressed or implied by the forward-looking statements. In some cases, you can identify forward-looking statements by terms such as “anticipates,” “believes,” “could,” “estimates,” “expects,” “intends,” “may,” “plans,” “potential,” “predicts,” “projects,” “should,” “would” and similar expressions intended to identify forward-looking statements. Forward-looking statements reflect our current views with respect to future events and are based on assumptions and are subject to risks and uncertainties. Given these uncertainties, you should not place undue reliance on forward-looking statements. Forward-looking statements include, among other things, statements relating to:

● our goals and strategies;

● our future business development, financial condition and results of operations;

● our expectations regarding demand for, and market acceptance of, our products;

● our expectations regarding keeping and strengthening our relationships with merchants, manufacturers and end-users; and

● general economic and business conditions in the regions where we provide our services.

Also, forward-looking statements represent our estimates and assumptions only as of the date of this report. You should read this report and the documents that we reference and filed as exhibits to the report completely and with the understanding that our actual future results may be materially different from what we expect. Except as required by law, we assume no obligation to update any forward-looking statements publicly, or to update the reasons actual results could differ materially from those anticipated in any forward-looking statements, even if new information becomes available in the future.

Use of Certain Defined Terms

Except where the context otherwise requires and for the purposes of this report only:

the “Company,” “we,” “us,” and “our” refer to Vivic Corp. (“Vivic”) and its subsidiaries.

“Exchange Act” refers to the Securities Exchange Act of 1934, as amended;

“Hong Kong” refers to the Hong Kong Special Administrative Region of the People’s Republic of China;

“PRC,” “China,” and “Chinese,” refer to the People’s Republic of China (excluding Hong Kong and Taiwan);

“Renminbi” and “RMB” refer to the legal currency of China;

“Securities Act” refers to the Securities Act of 1933, as amended; and

“US dollars,” “dollars” and “$” refer to the legal currency of the United States.

3

PART I - FINANCIAL INFORMATION

VIVIC CORP.

CONDENSED CONSOLIDATED BALANCE SHEETS

	June 30, 2024			December 31, 2023
	(Unaudited)
ASSETS
Current assets
Cash and cash equivalents	$	310,859		$	72,907
Accounts receivables		1,402,097			179,777
Deposit and prepayments		250,794			915,497
Other receivables		93,089			92,190
Inventory		3,821			-
Due from related parties		2,802,852			2,851,649
Total current assets		4,863,512			4,112,020
Non-current assets
Property and equipment, net		715			993
Intangible assets, net		1,970			3,339
Total non-current assets		2,685			4,332
TOTAL ASSETS	$	4,866,197		$	4,116,352
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities
Accounts payable	$	142,272		$	1,715
Accounts payable-related party		903,728			-
Accrued liabilities and other payables		220,060			197,815
Deferred revenue		58,930			1,520,416
Income taxes payable		149,773			9,614
Due to related parties		186,653			191,808
Total current liabilities		1,661,416			1,921,368
Non-Current liabilities
SBA loan payable		87,500			87,500
Long term loan		523,883			555,193
Total non-current liabilities		611,383			642,693
TOTAL LIABILITIES		2,272,799			2,564,061
Commitments and contingencies
STOCKHOLDERS’ EQUITY
Preferred stock, $0.001 par value; 5,000,000 shares authorized; 832,000 shares issued and outstanding as of June 30, 2024 and December 31, 2023		832			832
Common stock, $0.001 par value; 70,000,000 shares authorized; 26,657,921 shares issued and outstanding as of June 30, 2024 and December 31, 2023		26,658			26,658
Additional paid-in capital		4,845,066			4,845,066
Accumulated other comprehensive loss		(9,641	)		(15,361	)
Accumulated deficit		(2,269,517	)		(3,304,904	)
Total stockholders’ equity		2,593,398			1,552,291
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY	$	4,866,197		$	4,116,352

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

4

VIVIC CORP.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS)

(UNAUDITED)

	For the Three Months Ended June 30,						For the Six Months Ended June 30,
	2024			2023			2024			2023
Revenue, net	$	2,574,818		$	-		$	4,412,260		$	-
		-			-
Cost of sales		1,749,265			-			2,398,756			-
Gross profit		825,553			-			2,013,504			-
Operating expenses
General and administrative expenses		384,186			109,103			788,727			152,436
Total operating expenses		384,186			109,103			788,727			152,436
Income (loss) from operations		441,367			(109,103	)		1,224,777			(152,436	)
Other income (expenses)
Interest expense, net		(6,414	)		(4,715	)		(12,422	)		(6,926	)
Other income (expenses), net		(24,609	)		31,081			(24,609	)		(28,921	)
Total other expenses, net		(31,023	)		26,366			(37,031	)		(35,847	)
Income (loss) before income taxes		410,344			(82,737	)		1,187,746			(188,283	)
Income tax provision		(14,878	)		-			152,359			-
Net income (loss) from continuing operations		425,222			(82,737	)		1,035,387			(188,283	)
Net income (loss) from discontinued operations		-			113,776			-			(112,905	)
Net income (loss) for the period	$	425,222		$	31,039		$	1,035,387		$	(301,188	)
Other comprehensive item
Foreign currency translation gain		3,885			4,018			5,720			2,872
COMPREHENSIVE INCOME (LOSS)	$	429,107		$	35,057		$	1,041,107		$	(298,316	)
Weighted average common stock outstanding
Basic		26,657,921			25,974,160			26,657,921			25,761,666
Diluted		27,489,921			26,806,160			27,489,921			25,761,666
Net income (loss) from per share of common stock – Basic	$	0.02		$	0.00		$	0.04		$	(0.01	)
Net income (loss) from per share of common stock – Diluted	$	0.02		$	0.00		$	0.04		$	(0.01	)

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

5

VIVIC CORP.

CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN SHAREHOLDERS’ EQUITY (DEFICIT)

FOR THE THREE AND SIX MONTHS ENDED JUNE 30, 2024

(UNAUDITED)

	Preferred stock				Common stock				Additional paid-in		Accumulated other comprehensive income			Accumulated			Total shareholders’
	No. of shares		Amount		No. of shares		Amount		capital		(loss)			loss			equity
Balance as of December 31, 2023		832,000	$	832		26,657,921	$	26,658	$	4,845,066	$	(15,361	)	$	(3,304,904	)	$	1,552,291
Foreign currency translation adjustment		-		-		-		-		-		1,835			-			1,835
Net income for the period		-		-		-		-		-		-			610,165			610,165
Balance as of March 31, 2024		832,000		832		26,657,921		26,658		4,845,066		(13,526	)		(2,694,739	)		2,164,291
Foreign currency translation adjustment		-		-		-		-		-		3,885			-			3,885
Net income for the period		-		-		-		-		-		-			425,222			425,222
Balance as of June 30, 2024		832,000	$	832		26,657,921	$	26,658	$	4,845,066	$	(9,641	)	$	(2,269,517	)	$	2,593,398

FOR THE THREE AND SIX MONTHS ENDED JUNE 30, 2023 (UNAUDITED)

	Preferred stock				Common stock				Additional paid-in		Accumulated other comprehensive income			Accumulated			Total  shareholders’
	No. of shares		Amount		No. of shares		Amount		capital		(loss)			loss			equity
Balance as of December 31, 2022		832,000	$	832		25,546,810	$	25,547	$	3,746,177	$	1,068		$	(4,809,846	)	$	(1,036,222	)
Foreign currency translation adjustment		-		-		-		-		-		(1,146	)		-			(1,146	)
Net loss for the period		-		-		-		-		-		-			(332,225	)		(332,225	)
Balance as of March 31, 2023		832,000		832		25,546,810		25,547		3,746,177		(78	)		(5,142,071	)		(1,369,593	)
Shares issued for loan settlement						1,111,111		1,111		1,098,889		-			-			1,100,000
Foreign currency translation adjustment		-		-		-		-		-		4,018			-			4,018
Net income for the period		-		-		-		-		-		-			31,039			31,039
Balance as of June 30, 2023		832,000	$	832		26,657,921	$	26,658	$	4,845,066	$	3,940		$	(5,111,032	)	$	(234,536	)

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

6

VIVIC CORP.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(UNAUDITED)

	For the Six Months Ended June 30,
	2024			2023
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss) from continuing operations	$	1,035,387		$	(188,283	)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Depreciation and amortization expenses		1,427			1,489
Shares issued for loan settlement		-			1,100,000
Changes in operating assets and liabilities:
Accounts receivables		(1,232,553	)		-
Deposit and prepayments		624,186			(530,739	)
Other receivables		(6,204	)		(90,277	)
Inventory		(3,887	)		(838,676	)
Deferred revenue		(1,399,498	)		1,821,076
Accounts payable		143,083			35,659
Accounts payable to related party		903,728			-
Accrued liabilities and other payables		22,596			57,980
Income taxes payables		143,131			6,002
Net cash provided by continuing operations		231,396			1,374,231
Net cash used in discontinued operations		-			(235,556	)
Net cash provided by operating activities		231,396			1,138,675
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchase of fixed assets		-			-
Net cash used in continuing operations		-			-
Net cash used in discontinued operations		-			(75,967	)
Net cash used in investing activities		-			(75,967	)
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from related parties		17,095			-
Repayment to related parties		(6,600	)		(64,462	)
Proceeds from loans		-			555,900
Net cash provided by continuing operations		10,495			491,438
Net cash used in discontinued operations		-			(744,664	)
Net cash provided by (used in) financing activities		10,495			(253,226	)
Effect of exchange loss on cash and cash equivalents		(3,939	)		(16,434	)
NET INCREASE IN CASH & CASH EQUIVALENTS		237,952			793,047
CASH & CASH EQUIVALENTS, BEGINNING OF PERIOD		72,907			163,439
CASH & CASH EQUIVALENTS, END OF PERIOD	$	310,859		$	956,486
ANALYSIS OF BALANCES OF CASH AND CASH EQUIVALENTS
Cash and cash equivalents		-			899,230
Cash and cash equivalents included in assets classified as held for sale		-			57,256
	$	-		$	956,486
Supplemental Cash Flows Information:
Continuing operations:
Cash paid for interest	$	12,452		$	7,118
Cash paid for income tax	$	-		$	-
Supplemental Disclosure of Non-Cash Flows Information:
Common stock issued for loan settlement	$	-		$	1,100,000

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

7

VIVIC CORP.

NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

NOTE– 1 ORGANIZATION AND BUSINESS BACKGROUND

VIVIC CORP. (the “Company” or “VIVC”) was established under the corporate laws of the State of Nevada on February 16, 2017. Beginning with a change in management resulting from a change in control of the Company which occurred at the end of 2018, the Company has explored and initiated operations in a number of business areas related to the pleasure boat industry. These included yacht sales, marine tourism, development of electric powered yachts, development and operation of yacht marinas in Asia and the development of a yacht rental and time share service. More recently, the Company determined to focus its efforts on yacht sales in Taiwan and other selected regions throughout the world. The Company is the exclusive distributor of Monte-Fino yachts in Asia and the Middle East and is the non-exclusive distributor in other territories throughout the world for which Monte-Fino has not appointed an exclusive distributor. Monte Fino is a well-known brand owned by Taiwan Kha Shing Yacht Company, one of the leading yacht manufacturers in the world.

The Company’s headquarters are maintained at its branch in the Republic of China (“ROC” or “Taiwan”), Vivic Corp. Taiwan Branch (“Vivic Taiwan”). It is mainly engaged in yacht procurement, sales, and leasing services in Taiwan and other countries.

On July 12, 2023, Vivic Corporation (Hong Kong) Co. Limited (“Vivic Hong Kong”), a wholly-owned subsidiary of the Company, entered into a Stock Purchase Agreement with Yun-Kuang Kung (Mr. “Kung”, son of Shang-Chiai Kung, the Company’s principal shareholder, President and Chief Executive Officer), pursuant to which, Mr. Kung acquired all of the shares of the Company’s wholly owned subsidiary Guangdong Weiguan Ship Tech Co., Ltd (“Weiguan Ship”). In consideration for its interest in Weiguan Ship, the Company received RMB 1,000 ($137) and the agreement of Mr. Kung to indemnify the Company and its affiliates and hold them harmless from, against and in respect of any and all claims arising out of or related to the business of Weiguan Ship whether arising before or after the date of the Stock Purchase Agreement, whether currently known or unknown, including, without limitation any claims for taxes.

Description of subsidiaries as of June 30, 2024 is as follows:

Name	Place of incorporation and kind of legal entity	Principal activities and place of operation	Particulars of issued/ registered share capital	Effective interest held
Vivic Corporation (Hong Kong) Co., Limited	Hong Kong	Holding company and tourism consultancy service	52,000,000 ordinary shares for HK$2,159,440	100%
Vivic Corp. Taiwan Branch	The Republic of China (Taiwan)	Provision of yacht service	Registered: TWD 5,000,000, Paid up: TWD5,000,000	100%

VIVC and its subsidiaries are hereinafter referred to as (the “Company”).

8

NOTE– 2 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

The accompanying unaudited condensed consolidated financial statements reflect the application of certain significant accounting policies as described in this note and elsewhere in the accompanying unaudited condensed consolidated financial statements and notes.

● Basis of presentation

These accompanying unaudited condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America (“U.S. GAAP”) for interim financial information and with the instructions to Quarterly Report on Form 10-Q and Article 10 of Regulation S-X. In the opinion of management, such financial information includes all adjustments (consisting only of normal recurring adjustments, unless otherwise indicated) considered necessary for a fair presentation of the Company’s financial position at such date and the operating results and cash flows for such periods. Operating results for the six and three months ended June 30, 2024 are not necessarily indicative of the results that may be expected for the entire year or for any other subsequent interim period. The interim unaudited condensed consolidated financial information should be read in conjunction with the financial statements and the notes thereto, included in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2023, previously filed with the SEC on April 16, 2024.

● Use of estimates

Preparing these unaudited condensed consolidated financial statements in conformity with U.S. GAAP requires the Company’s management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the unaudited condensed consolidated financial statements and the reported amounts of revenues and expenses during the periods reported. Making estimates requires management to exercise significant judgment. It is at least reasonably possible that the estimate of the effect of a condition, situation or set of circumstances that existed at the date of the unaudited condensed consolidated financial statements, which management considered in formulating its estimate, could change in the near term due to one or more future confirming events. Such estimates may be subject to change as more current information becomes available. Actual results may differ from these estimates.

● Principles of consolidation

The unaudited condensed consolidated financial statements include the financial statements of VIVC and its subsidiaries. All significant inter-company balances and transactions within the Company have been eliminated upon consolidation.

● Cash and cash equivalents

Cash and cash equivalents consist primarily of cash in readily available checking and saving accounts. Cash equivalents consist of highly liquid investments that are readily convertible to cash and that mature within three months or less from the date of purchase. The carrying amounts approximate fair value due to the short maturities of these instruments.

9

● Credit losses

On January1, 2023, the Company adopted Accounting Standards Update 2016-13 “Financial Instruments — Credit Losses (Topic 326), Measurement of Credit Losses on Financial Instruments,” which replaces the incurred loss methodology with an expected loss methodology that is referred to as the current expected credit loss (“CECL”) methodology. The adoption of the credit loss accounting standard has no material impact on the Company’s consolidated financial statements as of January 1, 2023.

The Company’s account receivables and other receivables in the balance sheet are within the scope of ASC Topic 326. As the Company has limited customers and debtors, the Company uses the loss-rate method to evaluates the expected credit losses on an individual basis. When establishing the loss rate, the Company makes the assessment on various factors, including historical experience, credit-worthiness of customers and debtors, current economic conditions, reasonable and supportable forecasts of future economic conditions, and other factors that may affect its ability to collect from the customers and debtors. The Company also provides specific provisions for allowance when facts and circumstances indicate that the receivable is unlikely to be collected.

Expected credit losses are recorded as allowance for credit losses on the consolidated statements of operations. After all attempts to collect a receivable have failed, the receivable is written off against the allowance. In the event the Company recovers amount that is previously reserved for, the Company will reduce the specific allowance for credit losses.

● Accounts receivable

Accounts receivable are recorded at the invoiced amount and do not bear interest and are due within contractual payment terms, generally 30 to 90 days from completion of service. Credit is extended based on an evaluation of a customer’s financial condition, the customer’s credit-worthiness and payment history. Accounts receivable outstanding longer than the contractual payment terms are considered past due. Past due balances over 90 days and over a specified amount are reviewed individually for collectability. Under the current expected credit loss model, at the end of each period, the Company specifically evaluates each individual customer’s financial condition, credit history, and the current economic conditions to monitor the progress of the collection of accounts receivables. The Company considers the allowance for doubtful accounts for any estimated losses resulting from the inability of its customers to make required payments. For receivables that are past due or not being paid according to payment terms, appropriate actions are taken to collect the amounts due, including seeking legal resolution in a court of law. Account balances are charged off against the allowance after all reasonable means of collection have been exhausted and the potential for recovery is considered remote. The Company does not have any off-balance-sheet credit exposure related to its customers. As of June 30, 2024 and December 31, 2023, the Company had no allowance for doubtful accounts.

● Property, plant, and equipment

Property, plant, and equipment are stated at cost less accumulated depreciation and accumulated impairment losses, if any. Depreciation is calculated on a straight-line basis over the following expected useful lives from the date on which assets become fully operational and after taking into account their estimated residual values:

	Expected useful life
Service yacht	10 years
Motor vehicle	5 years
Office equipment	5 years

Expenditures for repairs and maintenance are expensed as incurred. When assets have been retired or sold, the cost and related accumulated depreciation are removed from the accounts and any resulting gain or loss is recognized in the results of operations.

10

● Intangible assets, net

Intangible assets are stated at cost less accumulated amortization. Intangible assets represent the trademark registered in the PRC and purchased software which are amortized on a straight-line basis over a useful life of 10 years.

The Company follows ASC Topic 350 in accounting for intangible assets, which requires impairment losses to be recorded when indicators of impairment are present and the undiscounted cash flows estimated to be generated by the assets are less than the assets’ carrying amounts. During the three and six months ended June 30, 2024 and 2023 there were no intangible asset impairments to be recorded.

● Deferred revenue

Deferred revenue represents advance payments made by a customer for goods and services the company will provide in the future. Due to its short-term nature, deferred revenue is usually satisfied within the 12 months.

● Revenue recognition

In accordance with Accounting Standard Codification (“ASC”) Topic 606, “Revenue from Contracts with Customers”, the Company recognizes revenues when goods or services are transferred to customers in an amount that reflects the consideration which the Company expects to receive in exchange for those goods or services. In determining when and how revenues are recognized from contracts with customers, the Company performs the following five-step analysis: (i) identification of contract with customer; (ii) determination of performance obligations; (iii) measurement of the transaction price; (iv) allocation of the transaction price to the performance obligations, and (v) recognition of revenues when (or as) the Company satisfies each performance obligation. The Company derives revenues from processing, distribution, and sales of its products. The Company recognize its revenue at a point in time when the control of the products has been transferred to customers.

● Comprehensive income (loss)

ASC Topic 220, “Comprehensive Income”, establishes standards for reporting and display of comprehensive income, its components, and accumulated balances. Comprehensive income as defined includes all changes in equity during a period from non-owner sources. Accumulated other comprehensive income, as presented in the accompanying unaudited condensed consolidated statements of stockholders’ equity deficit, consists of changes in unrealized gains and losses on foreign currency translation. This comprehensive income (loss) is not included in the computation of income tax expense or benefit.

● Income taxes

Income taxes are determined in accordance with the provisions of ASC Topic 740, “Income Taxes” (“ASC 740”). Under this method, deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax basis. Deferred tax assets and liabilities are measured using enacted income tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. Any effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date.

ASC 740 prescribes a comprehensive model for how companies should recognize, measure, present, and disclose in their financial statements uncertain tax positions taken or expected to be taken on a tax return. Under ASC 740, tax positions must initially be recognized in the financial statements when it is more likely than not the position will be sustained upon examination by the tax authorities. Such tax positions must initially and subsequently be measured as the largest amount of tax benefit that has a greater than 50% likelihood of being realized upon ultimate settlement with the tax authority assuming full knowledge of the position and relevant facts.

The Company is subject to tax in local and foreign jurisdiction. As a result of its business activities, the Company files tax returns that are subject to examination by the relevant tax authorities.

11

● Foreign currencies translation

Transactions denominated in currencies other than the functional currency are translated into the functional currency at the exchange rates prevailing at the dates of the transaction. Monetary assets and liabilities denominated in currencies other than the functional currency are translated into the functional currency using the applicable exchange rates at the balance sheet dates. The resulting exchange differences are recorded in the unaudited condensed consolidated statements of operations.

The reporting currency of the Company is the United States Dollar (“US$”) and the accompanying unaudited condensed consolidated financial statements have been expressed in US$. In addition, the Company and its subsidiaries operating or which operated in the PRC, Taiwan and Hong Kong maintain their books and records in their local currency, Renminbi (“RMB”), New Taiwan Dollar (“TWD”) and Hong Kong dollars (“HK$”), each of which is a functional currency, being the primary currency of the economic environment in which their operations are conducted. In general, for consolidation purposes, assets, and liabilities of the Company’s subsidiaries whose functional currency is not US$ are translated into US$, in accordance with ASC Topic 830-30, “Translation of Financial Statement”, using the exchange rate on the balance sheet date. Revenues and expenses are translated at average rates prevailing during the year. The gains and losses resulting from translation of financial statements of foreign subsidiaries are recorded as a separate component of accumulated other comprehensive income within the unaudited condensed consolidated statements of changes in stockholder’s equity deficit.

Translation of amounts from RMB, TWD and HK$ into US$ has been made at the following exchange rates as of June 30, 2024 and December 31, 2023 and for the six months ended June 30, 2024 and 2023.

	June 30, 2024		June 30, 2023		December 31, 2023
Period/year-end RMB:US$ exchange rate		7.2672		7.2516		7.0999
Period/annual average RMB:US$ exchange rate		7.2150		6.9300		7.0809
Period/year-end HK$:US$ exchange rate		7.8083		7.8370		7.8109
Period/annual average HK$:US$ exchange rate		7.8191		7.8370		7.8292
Period/year-end TWD:US$ exchange rate		32.4500		31.1526		30.6200
Period/annual average TWD:US$ exchange rate		31.8992		30.5810		31.1525

Lease

At the inception of an arrangement, the Company determines whether the arrangement is or contains a lease based on the unique facts and circumstances present. Leases with a term greater than one year are recognized on the balance sheet as right-of-use assets, lease liabilities and long-term lease liabilities. The Company has elected not to recognize on the balance sheet leases with terms of one year or less. Operating lease liabilities and their corresponding right-of-use assets are recorded based on the present value of lease payments over the expected remaining lease term. However, certain adjustments to the right-of-use asset may be required for items such as prepaid or accrued lease payments. The interest rate implicit in lease contracts is typically not readily determinable. As a result, the Company utilizes its incremental borrowing rates, which are the rates incurred to borrow on a collateralized basis over a similar term an amount equal to the lease payments in a similar economic environment.

In accordance with the guidance in ASC 842, components of a lease should be split into three categories: lease components (e.g., land, building, etc.), non-lease components (e.g., common area maintenance, consumables, etc.), and non-components (e.g., property taxes, insurance, etc.). Subsequently, the fixed and in-substance fixed contract consideration (including any related to non-components) must be allocated based on the respective relative fair values to the lease components and non-lease components.

The Company made the policy election to not separate lease and non-lease components. Each lease component and the related non-lease components are accounted for together as a single component.

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● Net income (loss) per share

The Company calculates net loss per share in accordance with ASC Topic 260, “Earnings per Share.” Basic income per share is computed by dividing the net income by the weighted-average number of shares of common stock outstanding during the periods. Diluted loss per share of common stock is computed similar to basic loss per share of common stock except that the denominator is increased to include the number of additional shares of common stock that would have been outstanding if the potential common stock equivalents had been issued and if the additional common stock were dilutive.

● Related parties

Parties, which can be an entity or individual, are considered to be related if the Company has the ability, directly or indirectly, to control the other party or exercise significant influence over the other party in making financial and operational decisions. Companies are also considered to be related if they are subject to common control or common significant influence.

● Concentrations and credit risk

The Company’s principal financial instruments subject to potential concentration of credit risk are cash and cash equivalents, including amounts held in money market accounts. The Company places cash deposits with a federally insured financial institution. The Company maintains its cash at banks and financial institutions it considers to be of high credit quality; however, the Company’s domestic cash deposits may at times exceed the insured limit. Balances in excess of insured limitations may not be insured. The Company has not experienced losses on these accounts, and management believes that the Company is not exposed to significant risks on such accounts.

● Fair value of financial instruments

The carrying value of the Company’s financial instruments (excluding short-term bank borrowing and notes payable): cash and cash equivalents, accounts receivable, prepayments and other receivables, accounts payable, income tax payable, amount due to a related party, other payables and accrued liabilities approximate at their fair values because of the short-term nature of these financial instruments.

Management believes, based on the current market prices or interest rates for similar debt instruments, the fair value of notes payable approximates the carrying amount.

The Company also follows the guidance of the ASC Topic 820-10, “Fair Value Measurements and Disclosures” (“ASC 820-10”), with respect to financial assets and liabilities that are measured at fair value. ASC 820-10 establishes a three-tier fair value hierarchy that prioritizes the inputs used in measuring fair value as follows:

● Level 1 : Inputs are based upon unadjusted quoted prices for identical instruments traded in active markets;

● Level 2 : Inputs are based upon quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active, and

● Level 3 : Inputs are generally unobservable and typically reflect management’s estimates of assumptions that market participants would use in pricing the asset or liability. The fair values are therefore determined using model-based techniques, including option pricing models and discounted cash flow models.

13

Fair value estimates are made at a specific point in time based on relevant market information about the financial instrument. These estimates are subjective in nature and involve uncertainties and matters of significant judgment and, therefore, cannot be determined with precision. Changes in assumptions could significantly affect the estimates.

● Value-Added Tax

Sellers and service providers are generally obligated to pay business tax for the sales of goods or services within Taiwan unless the law provides otherwise. For importation of goods, the business tax will be paid by the goods receivers or buyers via customs. For importation of services sold by foreign companies to Taiwanese buyers, business tax shall be paid by the service buyers. However, the service buyer (corporate entity) will not be required to pay business tax if it is exclusively engaged in taxable transactions subject to either 5% or 0% VAT.

VAT is applicable to general industries, and the VAT rate is 5%. Under the VAT system, each seller collects output VAT from the buyer at the time of sale, deducts input VAT paid on purchases from output VAT, and remits the balance to the tax authority.

● Reclassification

Certain prior period accounts have been reclassified in conformity with current period’s presentation including reclassification of operations of discontinued entities from operations of continuing entities. These reclassifications had no impact on the reported results of operations and cash flows.

● Recent accounting pronouncements

In November 2023, the FASB issued ASU No. 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures (“ASU 2023-07”). The amendments in ASU 2023-07 improve reportable segment disclosure requirements through enhanced disclosures about significant segment expenses that are regularly provided to the chief operating decision maker (CODM). In addition, the amendments enhance interim disclosure requirements, clarify circumstances in which an entity can disclose multiple segment measures of profit or loss, provide new segment disclosure requirements for entities with a single reportable segment, and contain other disclosure requirements. ASU 2023-07 will be effective for annual reporting periods beginning after December 15, 2023, and interim periods within annual reporting periods beginning after December 15, 2024. Early adoption is permitted. The adoption of ASU 2023-01 did not have a material impact on the Company’s unaudited condensed consolidated financial statement presentation or disclosures.

In December 2023, the FASB issued ASU No. 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures (“ASU 2023-09”), which requires disclosures of incremental income tax information within the rate reconciliation and expanded disclosures of income taxes paid, among other disclosure requirements. This ASU will be effective for annual reporting periods beginning after December 15, 2024.

The Company’s management does not believe that any other recently issued, but not yet effective, authoritative guidance, if currently adopted, will have a material impact on the Company’s unaudited condensed consolidated financial statement presentation or disclosures.

NOTE– 3 GOING CONCERN UNCERTAINTIES

The accompanying consolidated financial statements have been prepared using the going concern basis of accounting, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business.

The Company had $310,859 of cash and cash equivalents and working capital of approximately $3.2 million as of June 30, 2024, which included a receivable from a related party in the amount of $2.8 million, and the Company generated net income of $0.43 million and $1.04 million during the three and six months ended June 30, 2024. However, the Company had an accumulated deficit of approximately $2.3 million as of June 30, 2024.

The continuation of the Company as a going concern through the one-year period from the date on which this report is filed is dependent upon continued financial support from its related parties or loans or investments by third parties. The Company is actively pursuing additional financing for its operations via potential loans and equity issuances. However, there is no assurance that the Company will be successful in securing sufficient funds to sustain its operations.

14

Management has determined that the above conditions indicate that it may be probable that the Company would not be able to meet its obligations within one year after the date that this report is issued. These and other factors raise substantial doubt about the Company’s ability to continue as a going concern. The consolidated financial statements contained in this report do not include any adjustments to reflect the possible future effects on the recoverability and classification of assets and liabilities that may result if the Company is unable to continue as a going concern. To date the Company has financed its operations primarily through equity investments and loans made by related parties and their affiliates in additional to loans from commercial banks and third parties. The Company may also seek funding through public or private financings, collaborative arrangements, and other possible means of financing.

In addition, the Company will seek to expand the yacht brands the Company can offer for sale, the territories in which the Company markets its yachts and, if appropriate based on the Company’s capabilities and what the Company can offer, seek to become the exclusive distributor for yacht manufacturers in Taiwan and other territories. The Company will also seek to enter other areas related to the marine industry where the Company believes it can be profitable.

NOTE– 4 DEPOSIT AND PREPAYMENTS

Deposit and prepayments consisted of the following:

	June 30, 2024		December 31, 2023
Prepayments	$	233,681	$	909,748
Prepaid service fee		17,113		5,749
Total deposit and prepayments	$	250,794	$	915,497

Prepayments mainly consisted of prepaid expenses to vendors. The prepaid service fee consisted of prepaid OTC listing fee and annual filling fee.

NOTE– 5 PROPERTY AND EQUIPMENT

Property and equipment consisted of the following:

	June 30, 2024			December 31, 2023
Office equipment	$	2,527		$	2,678
Subtotal		2,527			2,678
Less: accumulated depreciation		(1,812	)		(1,685	)
Property, plant and equipment, net	$	715		$	993

Depreciation expenses for the three months ended June 30, 2024, and 2023 were $111 and $118, respectively.

Depreciation expense for the six months ended June 30, 2024, and 2023 was $226 and $235, respectively.

NOTE– 6 INTANGIBLE ASSETS

Intangible assets consisted of the following:

	June 30, 2024			December 31, 2023
Software	$	7,088		$	7,511
Total intangible assets		7,088			7,511
Less: accumulated amortization		(5,118	)		(4,172	)
Intangible assets, net	$	1,970		$	3,339

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Amortization expense for the three months ended June 30, 2024, and 2023 were $592 and $623, respectively.

Amortization expense for the six months ended June 30, 2024, and 2023 was $1,202 and $1,254, respectively.

NOTE– 7 ACCRUED LIABILITIES AND OTHER PAYABLES

Accrued liabilities and other payables consisted of the following:

	June 30, 2024		December 31, 2023
Accrued penalty	$	9,400	$	32,850
Accrued salaries		7,147		2,354
Accrued consulting fee		150,000		120,000
Other payables		53,513		42,611
Total accrued liabilities and other payable	$	220,060	$	197,815

On August 22, 2023, the Company was charged by the Securities and Exchange Commission with violating Rule 12b-25 by filing a Form 12b-25 “Notification of Late Filing” with respect to its Report on Form 10-Q for the quarter ended March 31, 2022, without including sufficient detail under the circumstances presented as to why the Form 10-Q could not be timely filed. More specifically, the SEC alleged that the delay was the result of an anticipated restatement of financial statements. Further, the Company failed to acknowledge in the Form 12b-25 anticipated significant changes in its results of operations for the first quarter of 2022 as compared to the first quarter of 2021 and to provide an explanation of the changes. Without admitting or denying the findings of the SEC, the Company agreed to a cease-and-desist order that found that the Company filed one deficient Form NT and one untimely Form 8-K. In addition, the Company agreed to pay a fine of $60,000.

The Company recorded the $60,000 fine in September 2021. During the three months ended June 30, 2024 and 2023, the Company made a payment of $11,600 and $0 to an escrow account, which fund was subsequently released to the SEC. During the six months ended June 30, 2024 and 2023, the Company made a payment of $23,450 and $0 to an escrow account, which fund was subsequently released to the SEC.

Accrued liabilities and other payables are the expenses that will be settled in next twelve months.

NOTE– 8 LOAN PAYABLE

On March 13, 2023, Vivic Taiwan entered a loan agreement with a third-party individual. Vivic Taiwan borrowed TWD 5,000,000 ($164,042) from this individual for a term of one year, with annual interest of 10%, the interest is to be paid monthly. Vivic Taiwan was required to pay the interest for the first and second months on the 15^th of the month in which the Company received the loan proceeds. During the three months ended June 30, 2024, and 2023, the Company recorded and paid interest expenses of $3,862 and $4,074, respectively. During the six months ended June 30, 2024 and 2023, the Company recorded and paid interest expenses of $7,837 and $6,285, respectively. The loan is collateralized by 162,391 shares of the Company’s common stock owned by the son of the Company’s CEO (Mr. Yun-Kuang Kung). The fair value of 162,391 shares was $82,836 on March 13, 2023. When the loan matures, the lender has the option to ask for cash repayment from the Company or keep the 162,391 shares of the Company’s stock as repayment in full. If the lender decides to keep the 162,391 shares at maturity of the loan, the Company will repay TWD 5,000,000 ($164,042) to Yun-Kuang Kung without any interest. If the Company is not able to repay Yun-Kuang Kung by March 15, 2024, the Company is required to issue a number of shares equivalent to the loan amount based upon the fair market value of the shares at such date, plus 10% more of the equivalent shares. On March 13, 2024, the Company and the lender agreed to extend the term of this loan for an additional year.

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On May 18, 2023, Vivic Taiwan entered a loan agreement with Taiwan Hua Nan Bank. Vivic Taiwan borrowed TWD 12,000,000 ($381,658) from the bank for a term of one year, with an annual interest rate of approximately 3%, the interest is to be paid monthly. During the three months ended June 30, 2024 and 2023, the Company recorded and paid interest expense of $2,639 and $833. During the six months ended June 30, 2024 and 2023, the Company recorded and paid interest expense of $4,614 and $833. The loan is collateralized by a piece of land and real property. In addition, the loan is guaranteed by Yun-Kuang Kung (son of Shang-Chiai Kung CEO of Vivic Corp) and Kung Huang Liu Shiang (spouse of Shang-Chiai Kung CEO of Vivic Corp).

NOTE– 9 SBA LOAN PAYABLE

On June 23, 2020, Vivic Corp. received an $87,500 Economic Injury Disaster Loan (“EIDL loan”) from the Small Business Administration (“SBA”). This is a low-interest federal disaster loan for working capital to small businesses and non-profit organizations of any size suffering substantial economic injury as a result of the Coronavirus (COVID-19) epidemic, to help businesses to meet financial obligations and operating expenses that could have been met had the disaster not occurred. This loan has an annual interest rate of 3.75% and is not forgivable. The maturity of the loan is 30 years, installment payments including principal and interest of $427 monthly will begin 30 months from the loan disbursement date. Due to the fact that the loan repayment was deferred for 30 months, the payments are going 100% toward the interest since the interest started to accrue from the original disbursement date. For the three months ended June 30, 2024 and 2023, the Company made payments of interest of $1,281 and $854 on the EIDL loan, respectively. For the six months ended June 30, 2024 and 2023, the Company made payments of interest of $2,562 and $2,562 on the EIDL loan, respectively.

As of June 30, 2024, the future minimum EIDL loan payments for the Company to be paid by year are as follows:

Year Ending June 30,	Amount
2025	$	5,124
2026		5,124
2027		5,124
2028		5,124
2029		5,124
Thereafter		61,880
Total	$	87,500

NOTE– 10 STOCKHOLDERS’ EQUITY

Authorized Shares

The Company is authorized to issue 5,000,000 shares of preferred stock and 70,000,000 shares of common stock each with a par value of $0.001 per share.

Preferred Stock

As of June 30, 2024 and December 31, 2023, the Company had 832,000 shares of its preferred stock issued and outstanding.

Common Stock

On May 26, 2023, the Company issued 1,111,111 shares of common stock to settle a debt due to Yun-Kuang Kung in the amount of $1,100,000, at a conversion price of $0.99 per share.

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As of June 30, 2024 and December 31, 2023, the Company had 26,657,921 shares of its common stock issued and outstanding.

NOTE– 11 NET INCOME (LOSS) PER SHARE OF COMMON STOCK

Basic net (loss) income per share is computed using the weighted average number of shares of common stock outstanding during the periods. The dilutive effect of potential common stock outstanding is included in diluted net (loss) income per share of common stock. The following table sets forth the computation of basic and diluted net loss per share for the three and six months ended June 30, 2024 and 2023:

	Three Months ended June 30,
	2024		2023
Net income (loss) for basic and diluted attributable to Vivic Corp - continuing operations	$	425,222	$	(82,737	)
Net income (loss) for basic and diluted attributable to Vivic Corp – discontinued operations		-		113,776
Weighted average common stock outstanding – Basic		26,657,921		25,974,160
Dilutive impact of preferred stock		832,000		832,000
Weighted average common stock outstanding – Diluted		27,489,921		26,806,160
Net income (loss) per share of common stock – basic, continuing operations		0.02		(0.00	)
Net income (loss) per share of common stock – diluted, continuing operations		0.02		(0.00	)
Net income (loss) per share of common stock – basic and diluted, discontinued operations	$	-	$	(0.01	)

	Six Months ended June 30,
	2024		2023
Net income (loss) for basic and diluted attributable to Vivic Corp - continuing operations	$	1,035,387	$	(188,283	)
Net income (loss) for basic and diluted attributable to Vivic Corp – discontinued operations		-		(112,905	)
Weighted average common stock outstanding – Basic		26,657,921		25,761,666
Dilutive impact of preferred stock		832,000		832,000
Weighted average common stock outstanding – Diluted		27,489,921		25,761,666
Net income (loss) per share of common stock – basic, continuing operations		0.04		(0.01	)
Net income (loss) per share of common stock – diluted, continuing operations		0.04		(0.01	)
Net income (loss) per share of common stock – basic and diluted, discontinued operations	$	-	$	(0.01	)

NOTE– 12 RELATED PARTY TRANSACTIONS

a. Related parties

Name of Related Party	Relationship to the Company
Yun-Kuang Kung	Son of Shang-Chiai Kung, who is the CEO of Vivic Corp.
Kung Huang Liu Shiang	Director and Spouse of Shang-Chiai Kung, who is the CEO of Vivic Corp.
Shang-Chiai Kung	CEO of Vivic Corp.
Kun-Teng Liao*	Secretary and Board Member
Huilian Chen	Office manager of Vivic Corp.
Guangdong Weiguan Ship	Yun-Kuang Kung acquired 100% ownership of this entity from Vivic Corp. in July 2023

* On August 01,2024 Kun-Teng Liao resigned and ceased to be the Secretary and Board Member.

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b. Accounts payable - related party

Accounts payable to related party represented $903,728 to be paid to the Company’s vendor Guangdong Weiguan Ship for purchasing of the ships.

c. Due from related parties

Due from related parties consisted of the following:

Name	June 30, 2024		December 31, 2023
Guangdong Weiguan Ship 1)	$	2,615,882	$	2,630,821
Yun-Kuang Kung 2)		186,970		220,828
Total	$	2,802,852	$	2,851,649

1)	Due to disposal of Weiguan Ship in July 2023, the Company had a receivable from Weiguan Ship for $2,615,882 and $2,630,821 at June 30, 2024 and December 31, 2023, respectively, which was previously eliminated at consolidation before the disposal.
2)	On June 16, 2023, the Company entered a trilateral Corporation Agreement with Yun-Kuang Kung and Guangdong Weiguan Shipping Co., Ltd (“Weiguan Ship”, 100% owned by Mr. Kung after disposal of Weiguan Ship by the Company) to engage in yacht development leasing, dock operations, and related businesses in mainland China. Due to Mr. Kung’s extensive social relationship and rich business experience in China, the Company can do yacht leasing and dock operation business through Yinxin International Financial Leasing Co., Ltd (“Yinxin”) which was obtained through Mr. Kung’s personal channels, the Company advanced $313,743 (TWD 10,017,800), to Yun-Kuang Kung for a three-year term for developing the yacht business in China. Yun-Kuang Kung subsequently transferred the fund to Yinxin pursuant to the loan agreement.
	Per the terms of the agreement, Weiguan Ship pledged a yacht with book value of $402,000 (RMB 2,900,000) and estimated fair market value of $494,000 (RMB 3,500,000) as collateral for the loan. Yinxin is responsible for repaying the entire loan amount at the end of the term. Upon full repayment of the principal, Mr. Kung will receive half of the net profits of Yinxin as dividend, on an annual basis. These dividends will then be transferred back to the Company by Mr. Kung.
	In the event that Yinxin is unable to repay the full amount at maturity, the Company has the option to accept stock ownership from Yinxin or take possession of the pledged yacht as repayment.
	As of June 30, 2024 and December 31, 2023, Vivic HK had a due to Yun-Kuang Kung of $293,307 and $106,337, respectively, resulting from Yun-Kuang Kung’s investment into Vivic HK on behalf of the Company.
	After netting-off the amount of due-to and due-from Yun-Kuang Kung, the Company’s outstanding amount receivable from Yun-Kuang Kung was $186,970 and $220,828 as of June 30, 2024 and December 31, 2023, respectively.

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d. Due to related parties

Due to related parties consisted of the following:

Name	June 30, 2024		December 31, 2023
Kung Huang Liu Shiang	$	2,815	$	1,392
Shang-Chiai Kung		183,838		190,416
Total	$	186,653	$	191,808

In support of the Company’s efforts and cash requirements, it may rely on advances from related parties until such a time that the Company can support its operations or attains adequate financing through sales of its equity or traditional debt financing. There is no formal written commitment for continued support by officers, directors, or stockholders. Amounts represent advances or amounts paid in satisfaction of liabilities. The advances are considered temporary in nature and have not been formalized by a promissory note.

Due to related parties represented temporary advances to the Company by the stockholders or senior management of the Company, which were unsecured, interest-free and had no fixed terms of repayments. Imputed interests from related parties’ loan are not significant.

Apart from the transactions and balances detailed elsewhere in these accompanying consolidated financial statements, the Company has no other significant or material related party transactions during the periods presented.

NOTE– 13 COMMITMENTS AND CONTINGENCIES

As of June 30, 2024 and December 31, 2023, the Company has no material commitments and contingencies.

NOTE– 14 SUBSEQUENT EVENTS

The Company follows the guidance in FASB ASC 855-10 for the disclosure of subsequent events. The Company evaluated subsequent events through the date the unaudited condensed consolidated financial statements were issued and determined the Company had the following major subsequent event need to be disclosed:

On and effective August 1, 2024, the board of directors (the “Board”) of Vivic Corp. appointed Mr. Tse-Ling Wang, Ms. Liu-Shiang Kung Hwang, Mr. Richard Pao, Mr. Kevin Li and Ms. Amy Huang to the Board of Directors of the Company. Ms. Hwang, Mr. Wang and Mr. Kevin Li will each be issued 150,000 shares of the Company’s common stock in consideration of his or her agreement to serve as a director of the Company, and each of Ms. Huang and Mr. Pao will receive 50,000 shares of the Company’s common stock in consideration of his or her agreement to serve as a director of the Company.

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

The following discussion of our financial condition and results of operations should be read in conjunction with the unaudited financial statements and the notes to those statements included elsewhere in this Form 10-Q and with the audited financial statements and the notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2023 (the “2023 Form 10-K”). This discussion contains forward-looking statements that involve risks and uncertainties. We wish to caution readers not to place undue reliance on any such forward-looking statements, which speak only as of the date hereof. Any forward-looking statements represent management’s commercially reasonable judgment as to what may occur in the future. However, forward-looking statements are subject to risks, uncertainties and important factors beyond our control that could cause actual results and events to differ materially from historical results of operations and events and those presently anticipated or projected. We disclaim any obligation to revise any forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of anticipated or unanticipated events. You should specifically consider the various risk factors identified in our 2023 Form 10-K, that could cause actual results to differ materially from those anticipated in these forward-looking statements.

Overview

Beginning with a change in our management resulting from a change in control of our Company which occurred at the end of 2018, we have explored and initiated operations in a number of business areas related to the pleasure boat industry. These included yacht sales, marine tourism, development of electric powered yachts, development and operation of yacht marinas in Asia and the development of a yacht rental and time share service. In 2023, we determined to focus our efforts on yacht sales in Taiwan and other selected regions throughout the world, and since that time have disposed of all of our business operations in mainland China.

We are the exclusive distributor of Monte-Fino yachts in Asia and the Middle East pursuant to our agreement with Kha Shing Enterprise Co. We also distribute Monte Fino yachts in other territories throughout the world other than those where Kha Shing has granted another company exclusive distribution rights. Our employees located in Taiwan engage in the design, construction, on an outsourced basis, and distribution of power boats, charter boats and eco-friendly new energy boats. In cooperation with Kha Shing, we design and offer various yachts models which differ in their sizes, performances, and functions. Currently, we own our own brand name, “VIVIC.”

As our company grows, we will seek to expand the yacht brands we offer for sale, the territories in which we market yachts and, if appropriate based on our capabilities and what we can offer, seek to become the exclusive distributor for yacht manufacturers in Taiwan and other territories. We will also seek to enter other areas related to the marine industry where we believe we can be profitable.

Our yachts are manufactured by third parties selected by us on the basis of their production capabilities, technical ability and financial wherewithal. Once a customer places an order, we negotiate and sign an original equipment manufacturer contract with a selected local manufacturer. Our technical staff closely monitors the progress of construction. Upon completion, we deliver the boat to the location designated by our customer.

Results of Operations

On July 12, 2023, our subsidiary, Vivic Corporation (Hong Kong) Co. Limited (“Vivic Hong Kong”), entered into a Stock Purchase Agreement with Yun-Kuang Kung pursuant to which Mr. Kung acquired all of the shares of our indirectly wholly-owned subsidiary, Guangdong Weiguan Ship Tech Co., Ltd. (“Weiguan Ship”). In consideration for our interest in Weiguan Ship, we received RMB 1,000 ($137) and the agreement of Mr. Kung to indemnify us and our affiliates against any and all claims, including unknown claims and claims for taxes, related to the business of Weiguan Ship whether arising before or after the date of the Stock Purchase Agreement. The divestiture of Weiguan Ship completed our plan to divest of all activities other than our ongoing yacht business in Taiwan.

Our unaudited condensed consolidated financial statements contained in this report have been prepared assuming that we will continue as a going concern and, accordingly, do not include adjustments relating to the recoverability and realization of assets and classification of liabilities that might be necessary should we be unable to continue in operation.

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As a result of the sale of our interest in Weiguan Ship and its subsidiaries, the assets and related liabilities and the results of operations of such entities are included in the financial statements included in this report as discontinued operations. The following table sets forth the results of our operations for the periods indicated as a percentage of net sales. Certain columns may not add due to rounding.

Comparison of results of operations for the three months ended June 30, 2024, and 2023

													Dollar			Percent
	2024			% of sales			2023			% of sales			Increase (Decrease)			Increase (Decrease)
Revenue, net	$	2,574,818			-	%	$	-			-	%	$	2,574,818			100.00	%
Cost of revenue		1,749,265			67.94	%		-			-	%		1,749,265			100.00	%
Gross profit		825,553			32.06	%		-			-	%		825,553			100.00	%
General and administrative expenses		384,186			14.92	%		109,103			-	%		275,083			252.13	%
Total operating expenses		384,186			14.92	%		109,103			-	%		275,083			252.13	%
Income from operations		441,367			17.14	%		(109,103	)		-	%		550,470			(504.54	)%
Other expenses, net		(31,023	)		(1.20	)%		26,366			-	%		(57,389	)		(217.66	)%
Income (loss) before income taxes		410,344			15.94	%		(82,737	)		-	%		493,081			595.96	%
Income tax benefit		(14,878	)		(0.58	)%		-			-	%		(14,878	)		(100.00	)%
Net income (loss) from continuing operations		425,222			16.51	%		(82,737	)		-	%		507,959			(613.94	)%
Net income (loss) from discontinued operations		-			-	%		113,776			-	%		(113,776	)		(100.00	)%
Net income (loss) attributable to Vivic Corp.		425,222			16.51	%		31,039			-	%		394,183			1,269.96	%

Revenue

Revenue from continuing operations was $2,574,818 for the three months ended June 30, 2024. We did not generate revenues from continuing operations in the three months ended June 30, 2023. The revenue from continuing operations for the three months ended June 30, 2024 reflected sales of yachts. In 2023, we determined to focus our efforts on yacht sales in Taiwan and other selected regions throughout the world and we began to generate revenues from the sale of yachts in the third quarter of 2023, when revenues were $791,043.

Cost of revenue

Cost of revenue from continuing operations was $1,749,265 for the three months ended June 30, 2024. We did not generate revenues from continuing operations in the three months ended June 30, 2023 and thus had no cost of revenues in the period. The cost of revenues in the three months ended June 30, 2024 was mainly due to costs associated with yacht sales.

Gross profit

Gross profit from continuing operations was $825,553 for the three months ended June 30, 2024. We did not generate any revenues from continuing operations in the three months ended June 30,2023, and, consequently, had no gross profits from continuing operations during such quarter, The gross profit in the three months ended June 30, 2024 is all the result of yacht sales.

22

Operating expenses

Selling expenses consist mainly of employee salaries and welfare, entertainment, and transportation expenses of the marketing department. There were no selling expenses incurred for the three months ended June 30, 2024 and June 30, 2023.

General and administrative expenses consist mainly of employee salaries and welfare, business meeting, utilities, accounting, consulting, and legal expenses. General and administrative expenses were $384,186 for the three months ended June 30, 2024, compared to $109,103 for the three months ended June 30, 2023, an increase of $275,083 or 252%, the increase was mainly due to increased commission expense of $70,120, increased audit fee of $30,128, increased advertising expenses of $105,415, increased legal expenses of $23,071, increased consulting expenses of $30,000, and increased salary expense of $15,840.

Other income (expenses), net

Net other expenses were $31,023 for the three months ended June 30, 2024, and net other income was $26,366 for the three months ended June 30, 2023, respectively. For the three months ended June 30, 2024, the net other expenses mainly consisted of other expenses of $24,609 and interest expense of $6,414. For the three months ended June 30, 2023, the net other income mainly consisted of other income of $31,081, which was partly offset by interest expense of $4,715.

Net (income) loss from continuing operations

We had net income from continuing operations of $425,222 for the three months ended June 30, 2024, compared to a net loss of $82,737 for the three months ended June 30, 2023, an increase of $507,959 or 613.94%. The increase in net income from continuing operations was mainly due to the gross profit generated through yacht sales which was partly offset by increased G&A expenses.

Net income from discontinued operations

There was no financial impact in the three months ended June 30, 2024, from the operations which were disposed of previously. We generated net income from discontinued operations of $113,776 for the three months ended June 30, 2023.

Comparison of results of operations for the six months ended June 30, 2024, and 2023

													Dollar		Percent
	2024			% of sales			2023			% of sales			Increase (Decrease)		Increase (Decrease)
Revenue, net	$	4,412,260			-	%	$	-			-	%	$	4,412,260		100.00	%
Cost of revenue		2,398,756			54.37	%		-			-	%		2,398,756		100.00	%
Gross profit		2,013,504			45.63	%		-			-	%		2,013,504		100.00	%
General and administrative expenses		788,727			17.88	%		152,436			-	%		636,291		417.42	%
Total operating expenses		788,727			17.88	%		152,436			-	%		636,291		417.42	%
Income from operations		1,224,777			27.76	%		(152,436	)		-	%		1.377,213		(903.47	)%
Other expenses, net		(37,031	)		(0.84	)%		(35,847	)		-	%		1,184		3.30	%
Income (loss) before income taxes		1,187,746			26.92	%		(188,283	)		-	%		1,376,029		730.83	%
Income tax expense		152,359			3.45	%		-			-	%		152,359		100.00	%
Net income (loss) from continuing operations		1,035,387			23.47	%		(188,283	)		-	%		1,223,670		(649.91	)%
Net income (loss) from discontinued operations		-			-	%		(112,905	)		-	%		112,905		(100.00	)%
Net income (loss) attributable to Vivic Corp.		1,035,378			23.47	%		(301,188	)		-	%		1,336,575		(443.77	)%

23

Revenue

Revenue from continuing operations was $4,412,260 for the six months ended June 30, 2024. We did not generate any revenues from continuing operations in the six months ended June 30, 2023. The revenue from continuing operations for the six months ended June 30, 2024 reflected sales of yachts. In 2023, we determined to focus our efforts on yacht sales in Taiwan and other selected regions throughout the world and we began to generate revenues from the sale of yachts in the third quarter of 2023, when revenues were $791,043.

Cost of revenue

Cost of revenue from continuing operations was $2,398,756 for the six months ended June 30, 2024. We did not generate revenues from continuing operations in the same period of 2023 and thus had no cost of revenues in the period. The cost of revenues in the six months ended June 30, 2024 was mainly due to costs associated with yacht sales.

Gross profit

Gross profit from continuing operations was $2,013,504 for the six months ended June 30, 2024. We did not generate any revenues from continuing operations in the six months ended June 30,2023, and, consequently, had no gross profits from continuing operations during such period, The gross profit in the six months ended June 30, 2024 is all the result of yacht sales.

Operating expenses

Selling expenses consist mainly of employee salaries and welfare, entertainment, and transportation expenses of the marketing department. There were no selling expenses incurred for the six months ended June 30, 2024 and 2023.

General and administrative expenses consist mainly of employee salaries and welfare, business meeting, utilities, accounting, consulting, and legal expenses. General and administrative expenses were $788,727 for the six months ended June 30, 2024, compared to $152,436 for the six months ended June 30, 2023, an increase of $636,291 or 417.42%. The increase was mainly due to increased commission expense of $388,127, increased audit fee of $40,128, increased advertising expenses of $105,415, increased legal expenses of $36,082, increased consulting expenses of $30,000, increased salary expense of $18,372, increased travel expense of $9,500, increased OTC listing fee of $7,650 and increased amortization expense of $1,202.

Other income (expenses), net

Net other expenses were $37,031 for the six months ended June 30, 2024, and $35,847 for the six months ended June 30, 2023, respectively. For the six months ended June 30, 2024, the net other expenses mainly consisted of other expenses of $24,609 and interest expense of $12,422. For the six months ended June 30, 2023, the net other expenses mainly consisted of other expenses of $28,921, and interest expense of $6,926.

Net (income) loss from continuing operations

We had net income from continuing operations of $1,035,387 for the six months ended June 30, 2024, compared to a net loss of $188,283 for the six months ended June 30, 2023, an increase of $1,223,670. The increase in net income from continuing operations was mainly due to the increased gross profit which was partly offset by increased G&A expenses and increased income tax expense.

24

Net (income) loss from discontinued operations

There was no financial impact in the six months ended June 30, 2024, from the operations which were disposed of previously. We incurred a net loss of $112,905 from discontinued operations for the six months ended June 30, 2023.

LIQUIDITY AND GOING CONCERN

We had $310,859 of cash and cash equivalents and working capital of $3,202,096 as of June 30, 2024, and generated net income from continuing operations of $1,035,387 during the six months ended June 30, 2024. The following is a summary of cash provided by or used in each of the indicated types of activities during the six months ended June 30, 2024, and 2023.

	2024		2023
Net cash provided by operating activities for continuing operations	$	231,396	$	1,374,231
Net cash used in operating activities for discontinued operations		-		(235,556	)
Net cash provided by operating activities		231,396		1,138,675
Net cash used in investing activities for continuing operations		-		-
Net cash used in investing activities for discontinued operations		-		(75,967	)
Net cash used in investing activities				(75,967	)
Net cash provided by financing activities for continuing operations		10,495		491,438
Net cash used in financing activities for discontinued operations		-		(744,664	)
Net cash provided by (used in) financing activities	$	10,495	$	(253,226	)

Net cash provided by operating activities from continuing operations

Net cash provided by operating activities from continuing operations was $231,396 for the six months ended June 30, 2024, compared to net cash provided by operating activities from continuing operations of $1,374,231 for the six months ended June 30, 2023. The decrease in cash inflow from operating activities was principally attributable to increased cash outflow on accounts receivables of $1,232,553, and decreased cash inflow on deferred revenue of $3,220,574, which was partly offset by increased cash inflow on deposit and prepayments of $1,154,925, increased cash inflow on other receivables of $84,073, increased cash inflow on accounts payable to related party of $903,728, increased cash inflow on accounts payable of $107,424, increased cash inflow on income taxes payable of $137,129 and decreased cash outflow on inventory of $834,789.

Net cash from continuing operations used in or provided by investing activities.

There was no cash used in investing activities for continuing operations for both the six months ended June 30, 2024, and 2023, respectively.

Net cash provided by financing activities from continuing operations

Net cash used in financing activities for continuing operations was $10,495 for the six months ended June 30, 2024, compared to net cash provided by financing activities for continuing operations of $491,438 for six months ended June 30, 2023. Net cash used in financing activities for continuing operations for the six months ended June 30, 2024, consisted of advance from related party of $17,095 and repayment to related party of $6,600. Net cash provided by financing activities for continuing operations for the six months ended June 30, 2023, consisted of proceeds from loans of $555,900, which was partly offset by repayment to related parties of $64,462.

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Going Concern

The accompanying unaudited condensed consolidated financial statements have been prepared using the going concern basis of accounting, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business.

The Company had $310,859 of cash and cash equivalents and working capital of approximately $3.2 million as of June 30, 2024, which included a receivable from a related party in the amount of $2.8 million, and the Company generated net income of $1.04 million during the six months ended June 30, 2024. However, the Company had an accumulated deficit of approximately $2.3 million as of June 30, 2024.

The continuation of the Company as a going concern through the one-year anniversary of the date of this filing is dependent upon the continued financial support from its related parties and loans or investments from third parties. The Company is actively pursuing additional financing for its operations through loans and the sale of equity. However, there is no assurance that the Company will be successful in securing sufficient funds to sustain its operations.

Management has determined that the above conditions indicate that it may be probable that the Company would not be able to meet its obligations within one year after the date of issuance of this report. These and other factors raise substantial doubt about the Company’s ability to continue as a going concern. The unaudited condensed consolidated financial statements included in this report do not include any adjustments to reflect the possible future effects on the recoverability and classification of assets and liabilities that may result in the Company not being able to continue as a going concern.

PLAN OF OPERATION AND FUNDING

We expect that working capital requirements will continue to be funded through a combination of our existing funds, cash generated from operations and further issuances of securities to our principal shareholders. Our working capital requirements are expected to increase in line with the growth of our business.

Existing working capital, further advances and debt instruments, and anticipated cash flow are expected to be adequate to fund our operations over the next six months. We have no lines of credit or other bank financing arrangements apart from amounts outstanding under our SBA Loan and our loan with Taiwan Hua Nan Bank. Generally, we have financed operations to date through the proceeds of the private placement of equity and debt instruments to our principal shareholders. In connection with our business plan, management anticipates additional increases in operating expenses and capital expenditures relating to: (i) developmental expenses associated with our business and (ii) marketing expenses. We intend to finance these expenses with further issuances of equity securities and debt instruments. Thereafter, we expect we will need to raise additional capital and generate revenues to meet long-term operating requirements. Additional issuances of equity or convertible debt securities will result in dilution to our current stockholders. Further, such securities might have rights, preferences or privileges senior to our common stock. Additional financing may not be available on acceptable terms, or at all. If adequate funds are not available or are not available on acceptable terms, we may not be able to take advantage of prospective new business endeavors or opportunities, which could significantly and materially restrict our business operations.

MATERIAL COMMITMENTS

As of the date of this report, we do not have any material commitments.

OFF-BALANCE SHEET ARRANGEMENTS

As of the date of this Annual Report, we do not have any off-balance sheet arrangements that have or are reasonably likely to have a current or future effect on our financial condition, changes in financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources that are material to investors.

26

SIGNIFICANT ACCOUNTING POLICIES

Our unaudited condensed consolidated financial statements are prepared in accordance with U.S. GAAP. The preparation of these unaudited condensed consolidated financial statements requires us to make estimates and assumptions which affect the reported amounts of assets, liabilities, revenue, costs and expenses and related disclosures. Accounting policies are critical and necessary to account for the material estimates and assumptions on our unaudited condensed consolidated financial statements. For further information on all of our significant accounting policies, see the “Notes to Unaudited Condensed Consolidated Financial Statements” of this Annual Report.

● Revenue recognition

In accordance with ASC Topic 606, “Revenue from Contracts with Customers”, the Company recognizes revenues when goods or services are transferred to customers in an amount that reflects the consideration which the Company expects to receive in exchange for those goods or services. In determining when and how revenues are recognized from contracts with customers, the Company performs the following five-step analysis: (i) identification of contract with customer; (ii) determination of performance obligations; (iii) measurement of the transaction price; (iv) allocation of the transaction price to the performance obligations, and (v) recognition of revenues when (or as) the Company satisfies each performance obligation. The Company derives revenues from the processing, distribution, and sale of its products.

● Credit losses

On January1, 2023, the Company adopted Accounting Standards Update 2016-13 “Financial Instruments — Credit Losses (Topic 326), Measurement of Credit Losses on Financial Instruments,” which replaces the incurred loss methodology with an expected loss methodology that is referred to as the current expected credit loss (“CECL”) methodology. The adoption of the credit loss accounting standard has no material impact on the Company’s consolidated financial statements as of January 1, 2023.

The Company’s account receivables and other receivables in the balance sheet are within the scope of ASC Topic 326. As the Company has limited customers and debtors, the Company uses the loss-rate method to evaluates the expected credit losses on an individual basis. When establishing the loss rate, the Company makes the assessment on various factors, including historical experience, credit-worthiness of customers and debtors, current economic conditions, reasonable and supportable forecasts of future economic conditions, and other factors that may affect its ability to collect from the customers and debtors. The Company also provides specific provisions for allowance when facts and circumstances indicate that the receivable is unlikely to be collected.

Expected credit losses are recorded as allowance for credit losses on the consolidated statements of operations. After all attempts to collect a receivable have failed, the receivable is written off against the allowance. In the event the Company recovers amount that is previously reserved for, the Company will reduce the specific allowance for credit losses.

● Accounts receivable

Accounts receivable are recorded at the invoiced amount and do not bear interest and are due within contractual payment terms, generally 30 to 90 days from completion of service. Credit is extended based on an evaluation of a customer’s financial condition, the customer’s credit-worthiness and payment history. Accounts receivable outstanding longer than the contractual payment terms are considered past due. Past due balances over 90 days and over a specified amount are reviewed individually for collectability. Under the current expected credit loss model, at the end of each period, the Company specifically evaluates each individual customer’s financial condition, credit history, and the current economic conditions to monitor the progress of the collection of accounts receivables. The Company considers the allowance for doubtful accounts for any estimated losses resulting from the inability of its customers to make required payments. For receivables that are past due or not being paid according to payment terms, appropriate actions are taken to collect the amounts due, including seeking legal resolution in a court of law. Account balances are charged off against the allowance after all reasonable means of collection have been exhausted and the potential for recovery is considered remote. The Company does not have any off-balance-sheet credit exposure related to its customers. As of June 30, 2024 and December 31, 2023, the Company had no allowance for doubtful accounts.

27

● Income taxes

Income taxes are determined in accordance with the provisions of ASC Topic 740, “Income Taxes” (“ASC 740”). Under this method, deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax basis. Deferred tax assets and liabilities are measured using enacted income tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. Any effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date.

ASC 740 prescribes a comprehensive model for how companies should recognize, measure, present, and disclose in their financial statements uncertain tax positions taken or expected to be taken on a tax return. Under ASC 740, tax positions must initially be recognized in the financial statements when it is more likely than not the position will be sustained upon examination by the tax authorities. Such tax positions must initially and subsequently be measured as the largest amount of tax benefit that has a greater than 50% likelihood of being realized upon ultimate settlement with the tax authority assuming full knowledge of the position and relevant facts.

The Company is subject to tax in local and foreign jurisdiction. As a result of its business activities, the Company files tax returns that are subject to examination by the relevant tax authorities.

● Related parties

Parties, which can be an entity or individual, are considered to be related if the Company has the ability, directly or indirectly, to control the other party or exercise significant influence over the other party in making financial and operational decisions. Companies are also considered to be related if they are subject to common control or common significant influence.

● Recent accounting pronouncements

In November 2023, the FASB issued ASU No. 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures (“ASU 2023-07”). The amendments in ASU 2023-07 improve reportable segment disclosure requirements through enhanced disclosures about significant segment expenses that are regularly provided to the chief operating decision maker (CODM). In addition, the amendments enhance interim disclosure requirements, clarify circumstances in which an entity can disclose multiple segment measures of profit or loss, provide new segment disclosure requirements for entities with a single reportable segment, and contain other disclosure requirements. ASU 2023-07 will be effective for annual reporting periods beginning after December 15, 2023, and interim periods within annual reporting periods beginning after December 15, 2024. Early adoption is permitted. The adoption of ASU 2023-01 did not have a material impact on the Company’s unaudited condensed consolidated financial statement presentation or disclosures.

In December 2023, the FASB issued ASU No. 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures (“ASU 2023-09”), which requires disclosures of incremental income tax information within the rate reconciliation and expanded disclosures of income taxes paid, among other disclosure requirements. This ASU will be effective for annual reporting periods beginning after December 15, 2024.

The Company’s management does not believe that any other recently issued, but not yet effective, authoritative guidance, if currently adopted, will have a material impact on the Company’s financial statement presentation or disclosures.

28

Item 4. Controls and Procedures.

Disclosure Controls and Procedures

Management of our Company is responsible for maintaining disclosure controls and procedures that are designed to ensure that information required to be disclosed in the reports that we file or submit under the Securities Exchange Act of 1934 (the “Exchange Act”) is recorded, processed, summarized and reported within the time periods specified in the Securities and Exchange Commission’s rules and forms. In addition, the disclosure controls and procedures must ensure that such information is accumulated and communicated to our management, including our Chief Executive Officer and Chief Financial Officer, as appropriate, to allow timely decisions regarding required financial and other required disclosures.

An evaluation of the effectiveness of our disclosure controls and procedures (as defined in Rules 13(a)-15(e) and 15(d)-15(e) of the Exchange Act) at June 30, 2024 was carried out under the supervision and with the participation of our Chief Executive Officer who also is our Chief Financial Officer. Based on his evaluation of our disclosure controls and procedures, he concluded that at June 30, 2024, such disclosure controls and procedures were not effective. This was due to our limited resources, including the absence of a financial staff with accounting and financial expertise and deficiencies in the design or operation of our internal control over financial reporting that adversely affected our disclosure controls and that may be considered to be “material weaknesses.”

We plan to designate individuals responsible for identifying reportable developments and to implement procedures designed to remediate the material weakness by focusing additional attention and resources in our internal accounting functions at such time as such actions can be properly supported by the financial results of our operations. However, there is no assurance as to when we will undertake to hire the personnel and implement the procedures necessary to remediate the material weaknesses in our disclosure controls and procedures and the material weakness will not be considered remediated until the applicable remedial controls operate for a sufficient period of time and management has concluded, through testing, that these controls are operating effectively.

Changes in Internal Control over Financial Reporting

There have not been any changes in our internal control over financial reporting, as such term is defined in Rules 13a-15(f) and 15d-15(f) under the Exchange Act, during our most recently completed fiscal quarter which is the subject of this report that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

29

PART II – OTHER INFORMATION

Item 1. Legal Proceedings

We are not currently party to any material legal or administrative proceedings and are not aware of any claim which might lead to a material legal claim or proceeding being commenced us in the foreseeable future.

We anticipate paying on a timely basis the remaining instalments of the $60,000 fine we agreed to pay arising out of the charge brought against us by the Securities and Exchange Commission related to the Form12b-25 “Notification of Late Filing” we filed with respect to our Report on Form 10-Q for the quarter ended March 31, 2023.

Item 1A. Risk Factors

Reference is made to the risks and uncertainties disclosed in Item 1A (“Risk Factors”) of our 2023 Form 10-K, which are incorporated by reference into this report. Prospective investors are encouraged to consider the risks described in the 2023 Form 10-K, Management’s Discussion and Analysis of Financial Condition and Results of Operations contained in this report and other information publicly disclosed or contained in documents we file with the Securities and Exchange Commission before purchasing our securities.

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

During the six months ended June 30, 2024, we did not have any sales of equity securities in transactions that were not registered under the Securities Act of 1933, as amended, that have not been previously reported in a report filed pursuant to the Exchange Act.

Item 3. Defaults Upon Senior Securities

None.

Item 5. Other Information

None

30

Item 6. Exhibits

Exhibit No.	Description
3.1	Articles of Incorporation (incorporated by reference to the Company’s Registration Statement on Form S-1 filed February 17, 2021).
3.2	Bylaws of the Registrant (incorporated by reference to the Company’s Registration Statement on Form S-1 filed February 17, 2021).
31.1*	Certification of Chief Executive Officer pursuant to Rule 13a-14 or Rule 15d-14 of Securities Exchange Act of 1934.
31.2*	Certification of Chief Financial Officer pursuant to Rule 13a-14 or Rule 15d-14 of Securities Exchange Act of 1934.
32.1**	Certification of Chief Executive Officer pursuant to Section 906 of Sarbanes-Oxley Act of 2002 (18 U.S.C. Section 1350).
32.2**	Certification of Chief Financial Officer pursuant to Section 906 of Sarbanes-Oxley Act of 2002 (18 U.S.C. Section 1350).

101.INS	Inline XBRL Instance Document
101.SCH	Inline XBRL Taxonomy Extension Schema
101.CAL	Inline XBRL Taxonomy Extension Calculation
101.DEF	Inline XBRL Taxonomy Extension Definition
101.LAB	Inline XBRL Taxonomy Extension Label
101.PRE	Inline XBRL Taxonomy Extension Presentation
104	Cover Page Interactive Data File (embedded within the Inline XBRL document)

*Filed herewith

**Furnished herewith

31

SIGNATURES

Pursuant to the requirements of section 13 or 15(d) 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.

	VIVIC, CORP.
Dated: August 14, 2024	By:	/s/ Shang-Chiai Kung
		Shang-Chiai Kung
		President and Chief Executive Officer
		(Principal Executive Officer and Principal Accounting Officer)

32

EX-31.1

Exhibit 31.1

CERTIFICATION OF PRINCIPAL EXECUTIVE OFFICER

PURSUANT TO RULE 13a-14(a) UNDER THE EXCHANGE ACT

I, Shang-Chiai Kung, certify that:

1. I have reviewed this quarterly report on Form 10-Q of Vivic Corp.

2. Based on my knowledge, this 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 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. In my capacities as Principal Executive Officer and Principal Financial Officer, as the sole certifying officer of the registrant, I am 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 (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.

5. As the sole certifying officer of the registrant, I have disclosed, based on my most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of registrant’s board of directors (or persons performing the equivalent functions):

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.

Dated: August 14, 2024

/s/ Shang-Chiai Kung

Shang-Chiai Kung

Chief Executive Officer (Principal Executive Officer)

EX-31.2

Exhibit 31.2

CERTIFICATION OF PRINCIPAL FINANCIAL OFFICER

PURSUANT TO RULE 13a-14(a) UNDER THE EXCHANGE ACT

I, Shang-Chiai Kung, certify that:

1. I have reviewed this quarterly report on Form 10-Q of Vivic Corp.

2. Based on my knowledge, this 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 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. In my capacities as the Principal Executive Officer and Principal Financial Officer, as the sole certifying officer of the registrant, I am 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 my 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 (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.

5. As the sole certifying officer of the registrant, I have disclosed, based on my most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of registrant’s board of directors (or persons performing the equivalent functions):

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.

Dated: August 14, 2024

/s/ Shang-Chiai Kung

Shang-Chiai Kung

Chief Financial Officer (Principal Financial Officer)

EX-32.1

Exhibit 32.1

CERTIFICATION OF PRINCIPAL EXECUTIVE OFFICER

PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

(18 U.S.C. SECTION 1350)

In connection with the Quarterly Report of Vivic Corp., a Nevada corporation (the “Company”), on Form 10-Q for the period ended June 30, 2024, as filed with the Securities and Exchange Commission (the “Report”) Shang-Chiai Kung, Chief Executive Officer of the Company, does hereby certify, pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 (18 U.S.C. ss. 1350), that:

(1) The Report 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 the Report fairly presents, in all material respects, the financial condition and result of operations of the Company.

Dated: August 14, 2024

/s/ Shang-Chiai Kung

Shang-Chiai Kung

Chief Executive Officer (Principal Executive Officer)

[A signed original of this written statement required by Section 906 has been provided to the Company and will be retained by the Company and furnished to the Securities and Exchange Commission or its staff upon request.]

EX-32.2

Exhibit 32.2

CERTIFICATION OF PRINCIPAL FINANCIAL OFFICER

PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

(18 U.S.C. SECTION 1350)

In connection with the Quarterly Report of Vivic Corp., a Nevada corporation (the “Company”), on Form 10-Q for the period ended June 30, 2024, as filed with the Securities and Exchange Commission (the “Report”), Shang-Chiai Kung, Chief Financial Officer of the Company, does hereby certify, pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 (18 U.S.C. ss. 1350), that:

(1) The Report 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 the Report fairly presents, in all material respects, the financial condition and result of operations of the Company.

Dated: August 14, 2024

/s/ Shang-Chiai Kung

Chief Financial Officer (Principal Financial Officer)

[A signed original of this written statement required by Section 906 has been provided to the Company and will be retained by the Company. and furnished to the Securities and Exchange Commission or its staff upon request.]

XML

Cover - shares	6 Months Ended
	Jun. 30, 2024	Aug. 13, 2024
Cover [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Quarterly Report	true
Document Transition Report	false
Document Period End Date	Jun. 30, 2024
Document Fiscal Period Focus	Q2
Document Fiscal Year Focus	2024
Current Fiscal Year End Date	--12-31
Entity File Number	000-56198
Entity Registrant Name	VIVIC CORP.
Entity Central Index Key	0001703073
Entity Tax Identification Number	98-1353606
Entity Incorporation, State or Country Code	NV
Entity Address, Address Line One	187 E Warm Springs Road
Entity Address, City or Town	Las Vegas
Entity Address, State or Province	NV
Entity Address, Postal Zip Code	89119
City Area Code	702
Local Phone Number	899 0818
Title of 12(b) Security	Common Stock, $0.001 Par Value
Trading Symbol	VIVC
Entity Current Reporting Status	Yes
Entity Interactive Data Current	No
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		26,657,921

XML

Condensed Consolidated Balance Sheets - USD ($)	Jun. 30, 2024	Dec. 31, 2023
Current assets
Cash and cash equivalents	$ 310,859	$ 72,907
Accounts receivables	1,402,097	179,777
Deposit and prepayments	250,794	915,497
Total current assets	4,863,512	4,112,020
Non-current assets
Property and equipment, net	715	993
Intangible assets, net	1,970	3,339
Total non-current assets	2,685	4,332
TOTAL ASSETS	4,866,197	4,116,352
Current liabilities
Accrued liabilities and other payables	220,060	197,815
Deferred revenue	58,930	1,520,416
Income taxes payable	149,773	9,614
Total current liabilities	1,661,416	1,921,368
Non-Current liabilities
SBA loan payable	87,500	87,500
Long term loan	523,883	555,193
Total non-current liabilities	611,383	642,693
TOTAL LIABILITIES	2,272,799	2,564,061
Commitments and contingencies
STOCKHOLDERS’ EQUITY
Preferred stock, $0.001 par value; 5,000,000 shares authorized; 832,000 shares issued and outstanding as of June 30, 2024 and December 31, 2023	832	832
Common stock, $0.001 par value; 70,000,000 shares authorized; 26,657,921 shares issued and outstanding as of June 30, 2024 and December 31, 2023	26,658	26,658
Additional paid-in capital	4,845,066	4,845,066
Accumulated other comprehensive loss	(9,641)	(15,361)
Accumulated deficit	(2,269,517)	(3,304,904)
Total stockholders’ equity	2,593,398	1,552,291
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY	4,866,197	4,116,352
Nonrelated Party [Member]
Current assets
Other receivables	93,089	92,190
Inventory	3,821
Current liabilities
Accounts payable	142,272	1,715
Related Party [Member]
Current assets
Other receivables	2,802,852	2,851,649
Current liabilities
Accounts payable	903,728
Due to related parties	$ 186,653	$ 191,808

XML

Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares	Jun. 30, 2024	Dec. 31, 2023
Statement of Financial Position [Abstract]
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, shares authorized	5,000,000	5,000,000
Preferred stock, shares issued	832,000	832,000
Preferred stock, shares outstanding	832,000	832,000
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	70,000,000	70,000,000
Common stock, shares issued	26,657,921	26,657,921
Common stock, shares outstanding	26,657,921	26,657,921

XML

Condensed Consolidated Statements of Operations and Comprehensive Income (Loss) (Unaudited) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023	Jun. 30, 2024	Jun. 30, 2023
Income Statement [Abstract]
Revenue, net	$ 2,574,818		$ 4,412,260
Cost of sales	1,749,265		2,398,756
Gross profit	825,553		2,013,504
Operating expenses
General and administrative expenses	384,186	109,103	788,727	152,436
Total operating expenses	384,186	109,103	788,727	152,436
Income (loss) from operations	441,367	(109,103)	1,224,777	(152,436)
Other income (expenses)
Interest expense, net	(6,414)	(4,715)	(12,422)	(6,926)
Other income (expenses), net	(24,609)	31,081	(24,609)	(28,921)
Total other expenses, net	(31,023)	26,366	(37,031)	(35,847)
Income (loss) before income taxes	410,344	(82,737)	1,187,746	(188,283)
Income tax provision	(14,878)		152,359
Net income (loss) from continuing operations	425,222	(82,737)	1,035,387	(188,283)
Net income (loss) from discontinued operations		113,776		(112,905)
Net income (loss) for the period	425,222	31,039	1,035,387	(301,188)
Other comprehensive item
Foreign currency translation gain	3,885	4,018	5,720	2,872
COMPREHENSIVE INCOME (LOSS)	$ 429,107	$ 35,057	$ 1,041,107	$ (298,316)
Weighted average common stock outstanding
Basic	26,657,921	25,974,160	26,657,921	25,761,666
Diluted	27,489,921	26,806,160	27,489,921	25,761,666
Net income (loss) from per share of common stock – Basic	$ 0.02	$ 0.00	$ 0.04	$ (0.01)
Net income (loss) from per share of common stock – Diluted	$ 0.02	$ 0.00	$ 0.04	$ (0.01)

XML

Condensed Consolidated Statement of Changes in Shareholders' Equity (Deficit) (Unaudited) - USD ($)	Preferred Stock [Member]	Common Stock [Member]	Additional Paid-in Capital [Member]	AOCI Attributable to Parent [Member]	Retained Earnings [Member]	Total
Balance at Dec. 31, 2022	$ 832	$ 25,547	$ 3,746,177	$ 1,068	$ (4,809,846)	$ (1,036,222)
Balance, shares at Dec. 31, 2022	832,000	25,546,810
Foreign currency translation adjustment				(1,146)		(1,146)
Net income (loss) for the period					(332,225)	(332,225)
Balance at Mar. 31, 2023	$ 832	$ 25,547	3,746,177	(78)	(5,142,071)	(1,369,593)
Balance, shares at Mar. 31, 2023	832,000	25,546,810
Balance at Dec. 31, 2022	$ 832	$ 25,547	3,746,177	1,068	(4,809,846)	(1,036,222)
Balance, shares at Dec. 31, 2022	832,000	25,546,810
Foreign currency translation adjustment						2,872
Net income (loss) for the period						(301,188)
Balance at Jun. 30, 2023	$ 832	$ 26,658	4,845,066	3,940	(5,111,032)	(234,536)
Balance, shares at Jun. 30, 2023	832,000	26,657,921
Balance at Mar. 31, 2023	$ 832	$ 25,547	3,746,177	(78)	(5,142,071)	(1,369,593)
Balance, shares at Mar. 31, 2023	832,000	25,546,810
Foreign currency translation adjustment				4,018		4,018
Net income (loss) for the period					31,039	31,039
Shares issued for loan settlement		$ 1,111	1,098,889			1,100,000
Shares issued for loan settlement, shares		1,111,111
Balance at Jun. 30, 2023	$ 832	$ 26,658	4,845,066	3,940	(5,111,032)	(234,536)
Balance, shares at Jun. 30, 2023	832,000	26,657,921
Balance at Dec. 31, 2023	$ 832	$ 26,658	4,845,066	(15,361)	(3,304,904)	1,552,291
Balance, shares at Dec. 31, 2023	832,000	26,657,921
Foreign currency translation adjustment				1,835		1,835
Net income (loss) for the period					610,165	610,165
Balance at Mar. 31, 2024	$ 832	$ 26,658	4,845,066	(13,526)	(2,694,739)	2,164,291
Balance, shares at Mar. 31, 2024	832,000	26,657,921
Balance at Dec. 31, 2023	$ 832	$ 26,658	4,845,066	(15,361)	(3,304,904)	1,552,291
Balance, shares at Dec. 31, 2023	832,000	26,657,921
Foreign currency translation adjustment						5,720
Net income (loss) for the period						1,035,387
Balance at Jun. 30, 2024	$ 832	$ 26,658	4,845,066	(9,641)	(2,269,517)	2,593,398
Balance, shares at Jun. 30, 2024	832,000	26,657,921
Balance at Mar. 31, 2024	$ 832	$ 26,658	4,845,066	(13,526)	(2,694,739)	2,164,291
Balance, shares at Mar. 31, 2024	832,000	26,657,921
Foreign currency translation adjustment				3,885		3,885
Net income (loss) for the period					425,222	425,222
Balance at Jun. 30, 2024	$ 832	$ 26,658	$ 4,845,066	$ (9,641)	$ (2,269,517)	$ 2,593,398
Balance, shares at Jun. 30, 2024	832,000	26,657,921

XML

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)	6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss) from continuing operations	$ 1,035,387	$ (188,283)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Depreciation and amortization expenses	1,427	1,489
Shares issued for loan settlement		1,100,000
Changes in operating assets and liabilities:
Accounts receivables	(1,232,553)
Deposit and prepayments	624,186	(530,739)
Other receivables	(6,204)	(90,277)
Inventory	(3,887)	(838,676)
Deferred revenue	(1,399,498)	1,821,076
Accounts payable	143,083	35,659
Accounts payable to related party	903,728
Accrued liabilities and other payables	22,596	57,980
Income taxes payables	143,131	6,002
Net cash provided by continuing operations	231,396	1,374,231
Net cash used in discontinued operations		(235,556)
Net cash provided by operating activities	231,396	1,138,675
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchase of fixed assets
Net cash used in continuing operations
Net cash used in discontinued operations		(75,967)
Net cash used in investing activities		(75,967)
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from related parties	17,095
Repayment to related parties	(6,600)	(64,462)
Proceeds from loans		555,900
Net cash provided by continuing operations	10,495	491,438
Net cash used in discontinued operations		(744,664)
Net cash provided by (used in) financing activities	10,495	(253,226)
Effect of exchange loss on cash and cash equivalents	(3,939)	(16,434)
NET INCREASE IN CASH & CASH EQUIVALENTS	237,952	793,047
CASH & CASH EQUIVALENTS, BEGINNING OF PERIOD	72,907	163,439
CASH & CASH EQUIVALENTS, END OF PERIOD	310,859	956,486
ANALYSIS OF BALANCES OF CASH AND CASH EQUIVALENTS
Cash and cash equivalents		899,230
Cash and cash equivalents included in assets classified as held for sale		57,256
Total of cash and cash equivalents		956,486
Continuing operations:
Cash paid for interest	12,452	7,118
Cash paid for income tax
Supplemental Disclosure of Non-Cash Flows Information:
Common stock issued for loan settlement		$ 1,100,000

XML

ORGANIZATION AND BUSINESS BACKGROUND

6 Months Ended

Jun. 30, 2024

Accounting Policies [Abstract]

ORGANIZATION AND BUSINESS BACKGROUND

NOTE– 1 ORGANIZATION AND BUSINESS BACKGROUND

VIVIC CORP. (the “Company” or “VIVC”) was established under the corporate laws of the State of Nevada on February 16, 2017. Beginning with a change in management resulting from a change in control of the Company which occurred at the end of 2018, the Company has explored and initiated operations in a number of business areas related to the pleasure boat industry. These included yacht sales, marine tourism, development of electric powered yachts, development and operation of yacht marinas in Asia and the development of a yacht rental and time share service. More recently, the Company determined to focus its efforts on yacht sales in Taiwan and other selected regions throughout the world. The Company is the exclusive distributor of Monte-Fino yachts in Asia and the Middle East and is the non-exclusive distributor in other territories throughout the world for which Monte-Fino has not appointed an exclusive distributor. Monte Fino is a well-known brand owned by Taiwan Kha Shing Yacht Company, one of the leading yacht manufacturers in the world.

The Company’s headquarters are maintained at its branch in the Republic of China (“ROC” or “Taiwan”), Vivic Corp. Taiwan Branch (“Vivic Taiwan”). It is mainly engaged in yacht procurement, sales, and leasing services in Taiwan and other countries.

On July 12, 2023, Vivic Corporation (Hong Kong) Co. Limited (“Vivic Hong Kong”), a wholly-owned subsidiary of the Company, entered into a Stock Purchase Agreement with Yun-Kuang Kung (Mr. “Kung”, son of Shang-Chiai Kung, the Company’s principal shareholder, President and Chief Executive Officer), pursuant to which, Mr. Kung acquired all of the shares of the Company’s wholly owned subsidiary Guangdong Weiguan Ship Tech Co., Ltd (“Weiguan Ship”). In consideration for its interest in Weiguan Ship, the Company received RMB 1,000 ($137) and the agreement of Mr. Kung to indemnify the Company and its affiliates and hold them harmless from, against and in respect of any and all claims arising out of or related to the business of Weiguan Ship whether arising before or after the date of the Stock Purchase Agreement, whether currently known or unknown, including, without limitation any claims for taxes.

Description of subsidiaries as of June 30, 2024 is as follows:

Name	Place of incorporation and kind of legal entity	Principal activities and place of operation	Particulars of issued/ registered share capital	Effective interest held
Vivic Corporation (Hong Kong) Co., Limited	Hong Kong	Holding company and tourism consultancy service	52,000,000 ordinary shares for HK$2,159,440	100%
Vivic Corp. Taiwan Branch	The Republic of China (Taiwan)	Provision of yacht service	Registered: TWD 5,000,000, Paid up: TWD5,000,000	100%

VIVC and its subsidiaries are hereinafter referred to as (the “Company”).

XML

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

6 Months Ended

Jun. 30, 2024

Accounting Policies [Abstract]

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

NOTE– 2 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

The accompanying unaudited condensed consolidated financial statements reflect the application of certain significant accounting policies as described in this note and elsewhere in the accompanying unaudited condensed consolidated financial statements and notes.

● Basis of presentation

These accompanying unaudited condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America (“U.S. GAAP”) for interim financial information and with the instructions to Quarterly Report on Form 10-Q and Article 10 of Regulation S-X. In the opinion of management, such financial information includes all adjustments (consisting only of normal recurring adjustments, unless otherwise indicated) considered necessary for a fair presentation of the Company’s financial position at such date and the operating results and cash flows for such periods. Operating results for the six and three months ended June 30, 2024 are not necessarily indicative of the results that may be expected for the entire year or for any other subsequent interim period. The interim unaudited condensed consolidated financial information should be read in conjunction with the financial statements and the notes thereto, included in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2023, previously filed with the SEC on April 16, 2024.

● Use of estimates

Preparing these unaudited condensed consolidated financial statements in conformity with U.S. GAAP requires the Company’s management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the unaudited condensed consolidated financial statements and the reported amounts of revenues and expenses during the periods reported. Making estimates requires management to exercise significant judgment. It is at least reasonably possible that the estimate of the effect of a condition, situation or set of circumstances that existed at the date of the unaudited condensed consolidated financial statements, which management considered in formulating its estimate, could change in the near term due to one or more future confirming events. Such estimates may be subject to change as more current information becomes available. Actual results may differ from these estimates.

● Principles of consolidation

The unaudited condensed consolidated financial statements include the financial statements of VIVC and its subsidiaries. All significant inter-company balances and transactions within the Company have been eliminated upon consolidation.

● Cash and cash equivalents

Cash and cash equivalents consist primarily of cash in readily available checking and saving accounts. Cash equivalents consist of highly liquid investments that are readily convertible to cash and that mature within three months or less from the date of purchase. The carrying amounts approximate fair value due to the short maturities of these instruments.

● Credit losses

On January1, 2023, the Company adopted Accounting Standards Update 2016-13 “Financial Instruments — Credit Losses (Topic 326), Measurement of Credit Losses on Financial Instruments,” which replaces the incurred loss methodology with an expected loss methodology that is referred to as the current expected credit loss (“CECL”) methodology. The adoption of the credit loss accounting standard has no material impact on the Company’s consolidated financial statements as of January 1, 2023.

The Company’s account receivables and other receivables in the balance sheet are within the scope of ASC Topic 326. As the Company has limited customers and debtors, the Company uses the loss-rate method to evaluates the expected credit losses on an individual basis. When establishing the loss rate, the Company makes the assessment on various factors, including historical experience, credit-worthiness of customers and debtors, current economic conditions, reasonable and supportable forecasts of future economic conditions, and other factors that may affect its ability to collect from the customers and debtors. The Company also provides specific provisions for allowance when facts and circumstances indicate that the receivable is unlikely to be collected.

Expected credit losses are recorded as allowance for credit losses on the consolidated statements of operations. After all attempts to collect a receivable have failed, the receivable is written off against the allowance. In the event the Company recovers amount that is previously reserved for, the Company will reduce the specific allowance for credit losses.

● Accounts receivable

Accounts receivable are recorded at the invoiced amount and do not bear interest and are due within contractual payment terms, generally 30 to 90 days from completion of service. Credit is extended based on an evaluation of a customer’s financial condition, the customer’s credit-worthiness and payment history. Accounts receivable outstanding longer than the contractual payment terms are considered past due. Past due balances over 90 days and over a specified amount are reviewed individually for collectability. Under the current expected credit loss model, at the end of each period, the Company specifically evaluates each individual customer’s financial condition, credit history, and the current economic conditions to monitor the progress of the collection of accounts receivables. The Company considers the allowance for doubtful accounts for any estimated losses resulting from the inability of its customers to make required payments. For receivables that are past due or not being paid according to payment terms, appropriate actions are taken to collect the amounts due, including seeking legal resolution in a court of law. Account balances are charged off against the allowance after all reasonable means of collection have been exhausted and the potential for recovery is considered remote. The Company does not have any off-balance-sheet credit exposure related to its customers. As of June 30, 2024 and December 31, 2023, the Company had no allowance for doubtful accounts.

● Property, plant, and equipment

Property, plant, and equipment are stated at cost less accumulated depreciation and accumulated impairment losses, if any. Depreciation is calculated on a straight-line basis over the following expected useful lives from the date on which assets become fully operational and after taking into account their estimated residual values:

	Expected useful life
Service yacht	10 years
Motor vehicle	5 years
Office equipment	5 years

Expenditures for repairs and maintenance are expensed as incurred. When assets have been retired or sold, the cost and related accumulated depreciation are removed from the accounts and any resulting gain or loss is recognized in the results of operations.

● Intangible assets, net

Intangible assets are stated at cost less accumulated amortization. Intangible assets represent the trademark registered in the PRC and purchased software which are amortized on a straight-line basis over a useful life of 10 years.

The Company follows ASC Topic 350 in accounting for intangible assets, which requires impairment losses to be recorded when indicators of impairment are present and the undiscounted cash flows estimated to be generated by the assets are less than the assets’ carrying amounts. During the three and six months ended June 30, 2024 and 2023 there were no intangible asset impairments to be recorded.

● Deferred revenue

Deferred revenue represents advance payments made by a customer for goods and services the company will provide in the future. Due to its short-term nature, deferred revenue is usually satisfied within the 12 months.

● Revenue recognition

In accordance with Accounting Standard Codification (“ASC”) Topic 606, “Revenue from Contracts with Customers”, the Company recognizes revenues when goods or services are transferred to customers in an amount that reflects the consideration which the Company expects to receive in exchange for those goods or services. In determining when and how revenues are recognized from contracts with customers, the Company performs the following five-step analysis: (i) identification of contract with customer; (ii) determination of performance obligations; (iii) measurement of the transaction price; (iv) allocation of the transaction price to the performance obligations, and (v) recognition of revenues when (or as) the Company satisfies each performance obligation. The Company derives revenues from processing, distribution, and sales of its products. The Company recognize its revenue at a point in time when the control of the products has been transferred to customers.

● Comprehensive income (loss)

ASC Topic 220, “Comprehensive Income”, establishes standards for reporting and display of comprehensive income, its components, and accumulated balances. Comprehensive income as defined includes all changes in equity during a period from non-owner sources. Accumulated other comprehensive income, as presented in the accompanying unaudited condensed consolidated statements of stockholders’ equity deficit, consists of changes in unrealized gains and losses on foreign currency translation. This comprehensive income (loss) is not included in the computation of income tax expense or benefit.

● Income taxes

Income taxes are determined in accordance with the provisions of ASC Topic 740, “Income Taxes” (“ASC 740”). Under this method, deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax basis. Deferred tax assets and liabilities are measured using enacted income tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. Any effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date.

ASC 740 prescribes a comprehensive model for how companies should recognize, measure, present, and disclose in their financial statements uncertain tax positions taken or expected to be taken on a tax return. Under ASC 740, tax positions must initially be recognized in the financial statements when it is more likely than not the position will be sustained upon examination by the tax authorities. Such tax positions must initially and subsequently be measured as the largest amount of tax benefit that has a greater than 50% likelihood of being realized upon ultimate settlement with the tax authority assuming full knowledge of the position and relevant facts.

The Company is subject to tax in local and foreign jurisdiction. As a result of its business activities, the Company files tax returns that are subject to examination by the relevant tax authorities.

● Foreign currencies translation

Transactions denominated in currencies other than the functional currency are translated into the functional currency at the exchange rates prevailing at the dates of the transaction. Monetary assets and liabilities denominated in currencies other than the functional currency are translated into the functional currency using the applicable exchange rates at the balance sheet dates. The resulting exchange differences are recorded in the unaudited condensed consolidated statements of operations.

The reporting currency of the Company is the United States Dollar (“US$”) and the accompanying unaudited condensed consolidated financial statements have been expressed in US$. In addition, the Company and its subsidiaries operating or which operated in the PRC, Taiwan and Hong Kong maintain their books and records in their local currency, Renminbi (“RMB”), New Taiwan Dollar (“TWD”) and Hong Kong dollars (“HK$”), each of which is a functional currency, being the primary currency of the economic environment in which their operations are conducted. In general, for consolidation purposes, assets, and liabilities of the Company’s subsidiaries whose functional currency is not US$ are translated into US$, in accordance with ASC Topic 830-30, “Translation of Financial Statement”, using the exchange rate on the balance sheet date. Revenues and expenses are translated at average rates prevailing during the year. The gains and losses resulting from translation of financial statements of foreign subsidiaries are recorded as a separate component of accumulated other comprehensive income within the unaudited condensed consolidated statements of changes in stockholder’s equity deficit.

Translation of amounts from RMB, TWD and HK$ into US$ has been made at the following exchange rates as of June 30, 2024 and December 31, 2023 and for the six months ended June 30, 2024 and 2023.

	June 30, 2024		June 30, 2023		December 31, 2023
Period/year-end RMB:US$ exchange rate		7.2672		7.2516		7.0999
Period/annual average RMB:US$ exchange rate		7.2150		6.9300		7.0809
Period/year-end HK$:US$ exchange rate		7.8083		7.8370		7.8109
Period/annual average HK$:US$ exchange rate		7.8191		7.8370		7.8292
Period/year-end TWD:US$ exchange rate		32.4500		31.1526		30.6200
Period/annual average TWD:US$ exchange rate		31.8992		30.5810		31.1525

Lease

At the inception of an arrangement, the Company determines whether the arrangement is or contains a lease based on the unique facts and circumstances present. Leases with a term greater than one year are recognized on the balance sheet as right-of-use assets, lease liabilities and long-term lease liabilities. The Company has elected not to recognize on the balance sheet leases with terms of one year or less. Operating lease liabilities and their corresponding right-of-use assets are recorded based on the present value of lease payments over the expected remaining lease term. However, certain adjustments to the right-of-use asset may be required for items such as prepaid or accrued lease payments. The interest rate implicit in lease contracts is typically not readily determinable. As a result, the Company utilizes its incremental borrowing rates, which are the rates incurred to borrow on a collateralized basis over a similar term an amount equal to the lease payments in a similar economic environment.

In accordance with the guidance in ASC 842, components of a lease should be split into three categories: lease components (e.g., land, building, etc.), non-lease components (e.g., common area maintenance, consumables, etc.), and non-components (e.g., property taxes, insurance, etc.). Subsequently, the fixed and in-substance fixed contract consideration (including any related to non-components) must be allocated based on the respective relative fair values to the lease components and non-lease components.

The Company made the policy election to not separate lease and non-lease components. Each lease component and the related non-lease components are accounted for together as a single component.

● Net income (loss) per share

The Company calculates net loss per share in accordance with ASC Topic 260, “Earnings per Share.” Basic income per share is computed by dividing the net income by the weighted-average number of shares of common stock outstanding during the periods. Diluted loss per share of common stock is computed similar to basic loss per share of common stock except that the denominator is increased to include the number of additional shares of common stock that would have been outstanding if the potential common stock equivalents had been issued and if the additional common stock were dilutive.

● Related parties

Parties, which can be an entity or individual, are considered to be related if the Company has the ability, directly or indirectly, to control the other party or exercise significant influence over the other party in making financial and operational decisions. Companies are also considered to be related if they are subject to common control or common significant influence.

● Concentrations and credit risk

The Company’s principal financial instruments subject to potential concentration of credit risk are cash and cash equivalents, including amounts held in money market accounts. The Company places cash deposits with a federally insured financial institution. The Company maintains its cash at banks and financial institutions it considers to be of high credit quality; however, the Company’s domestic cash deposits may at times exceed the insured limit. Balances in excess of insured limitations may not be insured. The Company has not experienced losses on these accounts, and management believes that the Company is not exposed to significant risks on such accounts.

● Fair value of financial instruments

The carrying value of the Company’s financial instruments (excluding short-term bank borrowing and notes payable): cash and cash equivalents, accounts receivable, prepayments and other receivables, accounts payable, income tax payable, amount due to a related party, other payables and accrued liabilities approximate at their fair values because of the short-term nature of these financial instruments.

Management believes, based on the current market prices or interest rates for similar debt instruments, the fair value of notes payable approximates the carrying amount.

The Company also follows the guidance of the ASC Topic 820-10, “Fair Value Measurements and Disclosures” (“ASC 820-10”), with respect to financial assets and liabilities that are measured at fair value. ASC 820-10 establishes a three-tier fair value hierarchy that prioritizes the inputs used in measuring fair value as follows:

● Level 1 : Inputs are based upon unadjusted quoted prices for identical instruments traded in active markets;

● Level 2 : Inputs are based upon quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active, and

● Level 3 : Inputs are generally unobservable and typically reflect management’s estimates of assumptions that market participants would use in pricing the asset or liability. The fair values are therefore determined using model-based techniques, including option pricing models and discounted cash flow models.

Fair value estimates are made at a specific point in time based on relevant market information about the financial instrument. These estimates are subjective in nature and involve uncertainties and matters of significant judgment and, therefore, cannot be determined with precision. Changes in assumptions could significantly affect the estimates.

● Value-Added Tax

Sellers and service providers are generally obligated to pay business tax for the sales of goods or services within Taiwan unless the law provides otherwise. For importation of goods, the business tax will be paid by the goods receivers or buyers via customs. For importation of services sold by foreign companies to Taiwanese buyers, business tax shall be paid by the service buyers. However, the service buyer (corporate entity) will not be required to pay business tax if it is exclusively engaged in taxable transactions subject to either 5% or 0% VAT.

VAT is applicable to general industries, and the VAT rate is 5%. Under the VAT system, each seller collects output VAT from the buyer at the time of sale, deducts input VAT paid on purchases from output VAT, and remits the balance to the tax authority.

● Reclassification

Certain prior period accounts have been reclassified in conformity with current period’s presentation including reclassification of operations of discontinued entities from operations of continuing entities. These reclassifications had no impact on the reported results of operations and cash flows.

● Recent accounting pronouncements

In November 2023, the FASB issued ASU No. 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures (“ASU 2023-07”). The amendments in ASU 2023-07 improve reportable segment disclosure requirements through enhanced disclosures about significant segment expenses that are regularly provided to the chief operating decision maker (CODM). In addition, the amendments enhance interim disclosure requirements, clarify circumstances in which an entity can disclose multiple segment measures of profit or loss, provide new segment disclosure requirements for entities with a single reportable segment, and contain other disclosure requirements. ASU 2023-07 will be effective for annual reporting periods beginning after December 15, 2023, and interim periods within annual reporting periods beginning after December 15, 2024. Early adoption is permitted. The adoption of ASU 2023-01 did not have a material impact on the Company’s unaudited condensed consolidated financial statement presentation or disclosures.

In December 2023, the FASB issued ASU No. 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures (“ASU 2023-09”), which requires disclosures of incremental income tax information within the rate reconciliation and expanded disclosures of income taxes paid, among other disclosure requirements. This ASU will be effective for annual reporting periods beginning after December 15, 2024.

The Company’s management does not believe that any other recently issued, but not yet effective, authoritative guidance, if currently adopted, will have a material impact on the Company’s unaudited condensed consolidated financial statement presentation or disclosures.

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GOING CONCERN UNCERTAINTIES

6 Months Ended

Jun. 30, 2024

Organization, Consolidation and Presentation of Financial Statements [Abstract]

GOING CONCERN UNCERTAINTIES

NOTE– 3 GOING CONCERN UNCERTAINTIES

The accompanying consolidated financial statements have been prepared using the going concern basis of accounting, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business.

The Company had $310,859 of cash and cash equivalents and working capital of approximately $3.2 million as of June 30, 2024, which included a receivable from a related party in the amount of $2.8 million, and the Company generated net income of $0.43 million and $1.04 million during the three and six months ended June 30, 2024. However, the Company had an accumulated deficit of approximately $2.3 million as of June 30, 2024.

The continuation of the Company as a going concern through the one-year period from the date on which this report is filed is dependent upon continued financial support from its related parties or loans or investments by third parties. The Company is actively pursuing additional financing for its operations via potential loans and equity issuances. However, there is no assurance that the Company will be successful in securing sufficient funds to sustain its operations.

Management has determined that the above conditions indicate that it may be probable that the Company would not be able to meet its obligations within one year after the date that this report is issued. These and other factors raise substantial doubt about the Company’s ability to continue as a going concern. The consolidated financial statements contained in this report do not include any adjustments to reflect the possible future effects on the recoverability and classification of assets and liabilities that may result if the Company is unable to continue as a going concern. To date the Company has financed its operations primarily through equity investments and loans made by related parties and their affiliates in additional to loans from commercial banks and third parties. The Company may also seek funding through public or private financings, collaborative arrangements, and other possible means of financing.

In addition, the Company will seek to expand the yacht brands the Company can offer for sale, the territories in which the Company markets its yachts and, if appropriate based on the Company’s capabilities and what the Company can offer, seek to become the exclusive distributor for yacht manufacturers in Taiwan and other territories. The Company will also seek to enter other areas related to the marine industry where the Company believes it can be profitable.

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DEPOSIT AND PREPAYMENTS

6 Months Ended

Jun. 30, 2024

Deposit And Prepayments

DEPOSIT AND PREPAYMENTS

NOTE– 4 DEPOSIT AND PREPAYMENTS

Deposit and prepayments consisted of the following:

	June 30, 2024		December 31, 2023
Prepayments	$	233,681	$	909,748
Prepaid service fee		17,113		5,749
Total deposit and prepayments	$	250,794	$	915,497

Prepayments mainly consisted of prepaid expenses to vendors. The prepaid service fee consisted of prepaid OTC listing fee and annual filling fee.

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PROPERTY AND EQUIPMENT

6 Months Ended

Jun. 30, 2024

Property, Plant and Equipment [Abstract]

PROPERTY AND EQUIPMENT

NOTE– 5 PROPERTY AND EQUIPMENT

Property and equipment consisted of the following:

	June 30, 2024			December 31, 2023
Office equipment	$	2,527		$	2,678
Subtotal		2,527			2,678
Less: accumulated depreciation		(1,812	)		(1,685	)
Property, plant and equipment, net	$	715		$	993

Depreciation expenses for the three months ended June 30, 2024, and 2023 were $111 and $118, respectively.

Depreciation expense for the six months ended June 30, 2024, and 2023 was $226 and $235, respectively.

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INTANGIBLE ASSETS

6 Months Ended

Jun. 30, 2024

Goodwill and Intangible Assets Disclosure [Abstract]

INTANGIBLE ASSETS

NOTE– 6 INTANGIBLE ASSETS

Intangible assets consisted of the following:

	June 30, 2024			December 31, 2023
Software	$	7,088		$	7,511
Total intangible assets		7,088			7,511
Less: accumulated amortization		(5,118	)		(4,172	)
Intangible assets, net	$	1,970		$	3,339

Amortization expense for the three months ended June 30, 2024, and 2023 were $592 and $623, respectively.

Amortization expense for the six months ended June 30, 2024, and 2023 was $1,202 and $1,254, respectively.

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ACCRUED LIABILITIES AND OTHER PAYABLES

6 Months Ended

Jun. 30, 2024

Payables and Accruals [Abstract]

ACCRUED LIABILITIES AND OTHER PAYABLES

NOTE– 7 ACCRUED LIABILITIES AND OTHER PAYABLES

Accrued liabilities and other payables consisted of the following:

	June 30, 2024		December 31, 2023
Accrued penalty	$	9,400	$	32,850
Accrued salaries		7,147		2,354
Accrued consulting fee		150,000		120,000
Other payables		53,513		42,611
Total accrued liabilities and other payable	$	220,060	$	197,815

On August 22, 2023, the Company was charged by the Securities and Exchange Commission with violating Rule 12b-25 by filing a Form 12b-25 “Notification of Late Filing” with respect to its Report on Form 10-Q for the quarter ended March 31, 2022, without including sufficient detail under the circumstances presented as to why the Form 10-Q could not be timely filed. More specifically, the SEC alleged that the delay was the result of an anticipated restatement of financial statements. Further, the Company failed to acknowledge in the Form 12b-25 anticipated significant changes in its results of operations for the first quarter of 2022 as compared to the first quarter of 2021 and to provide an explanation of the changes. Without admitting or denying the findings of the SEC, the Company agreed to a cease-and-desist order that found that the Company filed one deficient Form NT and one untimely Form 8-K. In addition, the Company agreed to pay a fine of $60,000.

The Company recorded the $60,000 fine in September 2021. During the three months ended June 30, 2024 and 2023, the Company made a payment of $11,600 and $0 to an escrow account, which fund was subsequently released to the SEC. During the six months ended June 30, 2024 and 2023, the Company made a payment of $23,450 and $0 to an escrow account, which fund was subsequently released to the SEC.

Accrued liabilities and other payables are the expenses that will be settled in next twelve months.

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LOAN PAYABLE

6 Months Ended

Jun. 30, 2024

Debt Disclosure [Abstract]

LOAN PAYABLE

NOTE– 8 LOAN PAYABLE

On March 13, 2023, Vivic Taiwan entered a loan agreement with a third-party individual. Vivic Taiwan borrowed TWD 5,000,000 ($164,042) from this individual for a term of one year, with annual interest of 10%, the interest is to be paid monthly. Vivic Taiwan was required to pay the interest for the first and second months on the 15^th of the month in which the Company received the loan proceeds. During the three months ended June 30, 2024, and 2023, the Company recorded and paid interest expenses of $3,862 and $4,074, respectively. During the six months ended June 30, 2024 and 2023, the Company recorded and paid interest expenses of $7,837 and $6,285, respectively. The loan is collateralized by 162,391 shares of the Company’s common stock owned by the son of the Company’s CEO (Mr. Yun-Kuang Kung). The fair value of 162,391 shares was $82,836 on March 13, 2023. When the loan matures, the lender has the option to ask for cash repayment from the Company or keep the 162,391 shares of the Company’s stock as repayment in full. If the lender decides to keep the 162,391 shares at maturity of the loan, the Company will repay TWD 5,000,000 ($164,042) to Yun-Kuang Kung without any interest. If the Company is not able to repay Yun-Kuang Kung by March 15, 2024, the Company is required to issue a number of shares equivalent to the loan amount based upon the fair market value of the shares at such date, plus 10% more of the equivalent shares. On March 13, 2024, the Company and the lender agreed to extend the term of this loan for an additional year.

On May 18, 2023, Vivic Taiwan entered a loan agreement with Taiwan Hua Nan Bank. Vivic Taiwan borrowed TWD 12,000,000 ($381,658) from the bank for a term of one year, with an annual interest rate of approximately 3%, the interest is to be paid monthly. During the three months ended June 30, 2024 and 2023, the Company recorded and paid interest expense of $2,639 and $833. During the six months ended June 30, 2024 and 2023, the Company recorded and paid interest expense of $4,614 and $833. The loan is collateralized by a piece of land and real property. In addition, the loan is guaranteed by Yun-Kuang Kung (son of Shang-Chiai Kung CEO of Vivic Corp) and Kung Huang Liu Shiang (spouse of Shang-Chiai Kung CEO of Vivic Corp).

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SBA LOAN PAYABLE

6 Months Ended

Jun. 30, 2024

Debt Disclosure [Abstract]

SBA LOAN PAYABLE

NOTE– 9 SBA LOAN PAYABLE

On June 23, 2020, Vivic Corp. received an $87,500 Economic Injury Disaster Loan (“EIDL loan”) from the Small Business Administration (“SBA”). This is a low-interest federal disaster loan for working capital to small businesses and non-profit organizations of any size suffering substantial economic injury as a result of the Coronavirus (COVID-19) epidemic, to help businesses to meet financial obligations and operating expenses that could have been met had the disaster not occurred. This loan has an annual interest rate of 3.75% and is not forgivable. The maturity of the loan is 30 years, installment payments including principal and interest of $427 monthly will begin 30 months from the loan disbursement date. Due to the fact that the loan repayment was deferred for 30 months, the payments are going 100% toward the interest since the interest started to accrue from the original disbursement date. For the three months ended June 30, 2024 and 2023, the Company made payments of interest of $1,281 and $854 on the EIDL loan, respectively. For the six months ended June 30, 2024 and 2023, the Company made payments of interest of $2,562 and $2,562 on the EIDL loan, respectively.

As of June 30, 2024, the future minimum EIDL loan payments for the Company to be paid by year are as follows:

Year Ending June 30,	Amount
2025	$	5,124
2026		5,124
2027		5,124
2028		5,124
2029		5,124
Thereafter		61,880
Total	$	87,500

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STOCKHOLDERS’ EQUITY

6 Months Ended

Jun. 30, 2024

Equity [Abstract]

STOCKHOLDERS’ EQUITY

NOTE– 10 STOCKHOLDERS’ EQUITY

Authorized Shares

The Company is authorized to issue 5,000,000 shares of preferred stock and 70,000,000 shares of common stock each with a par value of $0.001 per share.

Preferred Stock

As of June 30, 2024 and December 31, 2023, the Company had 832,000 shares of its preferred stock issued and outstanding.

Common Stock

On May 26, 2023, the Company issued 1,111,111 shares of common stock to settle a debt due to Yun-Kuang Kung in the amount of $1,100,000, at a conversion price of $0.99 per share.

As of June 30, 2024 and December 31, 2023, the Company had 26,657,921 shares of its common stock issued and outstanding.

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NET INCOME (LOSS) PER SHARE OF COMMON STOCK

6 Months Ended

Jun. 30, 2024

Earnings Per Share [Abstract]

NET INCOME (LOSS) PER SHARE OF COMMON STOCK

NOTE– 11 NET INCOME (LOSS) PER SHARE OF COMMON STOCK

Basic net (loss) income per share is computed using the weighted average number of shares of common stock outstanding during the periods. The dilutive effect of potential common stock outstanding is included in diluted net (loss) income per share of common stock. The following table sets forth the computation of basic and diluted net loss per share for the three and six months ended June 30, 2024 and 2023:

	Three Months ended June 30,
	2024		2023
Net income (loss) for basic and diluted attributable to Vivic Corp - continuing operations	$	425,222	$	(82,737	)
Net income (loss) for basic and diluted attributable to Vivic Corp – discontinued operations		-		113,776
Weighted average common stock outstanding – Basic		26,657,921		25,974,160
Dilutive impact of preferred stock		832,000		832,000
Weighted average common stock outstanding – Diluted		27,489,921		26,806,160
Net income (loss) per share of common stock – basic, continuing operations		0.02		(0.00	)
Net income (loss) per share of common stock – diluted, continuing operations		0.02		(0.00	)
Net income (loss) per share of common stock – basic and diluted, discontinued operations	$	-	$	(0.01	)

	Six Months ended June 30,
	2024		2023
Net income (loss) for basic and diluted attributable to Vivic Corp - continuing operations	$	1,035,387	$	(188,283	)
Net income (loss) for basic and diluted attributable to Vivic Corp – discontinued operations		-		(112,905	)
Weighted average common stock outstanding – Basic		26,657,921		25,761,666
Dilutive impact of preferred stock		832,000		832,000
Weighted average common stock outstanding – Diluted		27,489,921		25,761,666
Net income (loss) per share of common stock – basic, continuing operations		0.04		(0.01	)
Net income (loss) per share of common stock – diluted, continuing operations		0.04		(0.01	)
Net income (loss) per share of common stock – basic and diluted, discontinued operations	$	-	$	(0.01	)

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RELATED PARTY TRANSACTIONS

6 Months Ended

Jun. 30, 2024

Related Party Transactions [Abstract]

RELATED PARTY TRANSACTIONS

NOTE– 12 RELATED PARTY TRANSACTIONS

a. Related parties

Name of Related Party	Relationship to the Company
Yun-Kuang Kung	Son of Shang-Chiai Kung, who is the CEO of Vivic Corp.
Kung Huang Liu Shiang	Director and Spouse of Shang-Chiai Kung, who is the CEO of Vivic Corp.
Shang-Chiai Kung	CEO of Vivic Corp.
Kun-Teng Liao*	Secretary and Board Member
Huilian Chen	Office manager of Vivic Corp.
Guangdong Weiguan Ship	Yun-Kuang Kung acquired 100% ownership of this entity from Vivic Corp. in July 2023

* On August 01,2024 Kun-Teng Liao resigned and ceased to be the Secretary and Board Member.

b. Accounts payable - related party

Accounts payable to related party represented $903,728 to be paid to the Company’s vendor Guangdong Weiguan Ship for purchasing of the ships.

c. Due from related parties

Due from related parties consisted of the following:

Name	June 30, 2024		December 31, 2023
Guangdong Weiguan Ship 1)	$	2,615,882	$	2,630,821
Yun-Kuang Kung 2)		186,970		220,828
Total	$	2,802,852	$	2,851,649

1)	Due to disposal of Weiguan Ship in July 2023, the Company had a receivable from Weiguan Ship for $2,615,882 and $2,630,821 at June 30, 2024 and December 31, 2023, respectively, which was previously eliminated at consolidation before the disposal.
2)	On June 16, 2023, the Company entered a trilateral Corporation Agreement with Yun-Kuang Kung and Guangdong Weiguan Shipping Co., Ltd (“Weiguan Ship”, 100% owned by Mr. Kung after disposal of Weiguan Ship by the Company) to engage in yacht development leasing, dock operations, and related businesses in mainland China. Due to Mr. Kung’s extensive social relationship and rich business experience in China, the Company can do yacht leasing and dock operation business through Yinxin International Financial Leasing Co., Ltd (“Yinxin”) which was obtained through Mr. Kung’s personal channels, the Company advanced $313,743 (TWD 10,017,800), to Yun-Kuang Kung for a three-year term for developing the yacht business in China. Yun-Kuang Kung subsequently transferred the fund to Yinxin pursuant to the loan agreement.
	Per the terms of the agreement, Weiguan Ship pledged a yacht with book value of $402,000 (RMB 2,900,000) and estimated fair market value of $494,000 (RMB 3,500,000) as collateral for the loan. Yinxin is responsible for repaying the entire loan amount at the end of the term. Upon full repayment of the principal, Mr. Kung will receive half of the net profits of Yinxin as dividend, on an annual basis. These dividends will then be transferred back to the Company by Mr. Kung.
	In the event that Yinxin is unable to repay the full amount at maturity, the Company has the option to accept stock ownership from Yinxin or take possession of the pledged yacht as repayment.
	As of June 30, 2024 and December 31, 2023, Vivic HK had a due to Yun-Kuang Kung of $293,307 and $106,337, respectively, resulting from Yun-Kuang Kung’s investment into Vivic HK on behalf of the Company.
	After netting-off the amount of due-to and due-from Yun-Kuang Kung, the Company’s outstanding amount receivable from Yun-Kuang Kung was $186,970 and $220,828 as of June 30, 2024 and December 31, 2023, respectively.

d. Due to related parties

Due to related parties consisted of the following:

Name	June 30, 2024		December 31, 2023
Kung Huang Liu Shiang	$	2,815	$	1,392
Shang-Chiai Kung		183,838		190,416
Total	$	186,653	$	191,808

In support of the Company’s efforts and cash requirements, it may rely on advances from related parties until such a time that the Company can support its operations or attains adequate financing through sales of its equity or traditional debt financing. There is no formal written commitment for continued support by officers, directors, or stockholders. Amounts represent advances or amounts paid in satisfaction of liabilities. The advances are considered temporary in nature and have not been formalized by a promissory note.

Due to related parties represented temporary advances to the Company by the stockholders or senior management of the Company, which were unsecured, interest-free and had no fixed terms of repayments. Imputed interests from related parties’ loan are not significant.

Apart from the transactions and balances detailed elsewhere in these accompanying consolidated financial statements, the Company has no other significant or material related party transactions during the periods presented.

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COMMITMENTS AND CONTINGENCIES

6 Months Ended

Jun. 30, 2024

Commitments and Contingencies Disclosure [Abstract]

COMMITMENTS AND CONTINGENCIES

NOTE– 13 COMMITMENTS AND CONTINGENCIES

As of June 30, 2024 and December 31, 2023, the Company has no material commitments and contingencies.

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SUBSEQUENT EVENTS

6 Months Ended

Jun. 30, 2024

Subsequent Events [Abstract]

SUBSEQUENT EVENTS

NOTE– 14 SUBSEQUENT EVENTS

The Company follows the guidance in FASB ASC 855-10 for the disclosure of subsequent events. The Company evaluated subsequent events through the date the unaudited condensed consolidated financial statements were issued and determined the Company had the following major subsequent event need to be disclosed:

On and effective August 1, 2024, the board of directors (the “Board”) of Vivic Corp. appointed Mr. Tse-Ling Wang, Ms. Liu-Shiang Kung Hwang, Mr. Richard Pao, Mr. Kevin Li and Ms. Amy Huang to the Board of Directors of the Company. Ms. Hwang, Mr. Wang and Mr. Kevin Li will each be issued 150,000 shares of the Company’s common stock in consideration of his or her agreement to serve as a director of the Company, and each of Ms. Huang and Mr. Pao will receive 50,000 shares of the Company’s common stock in consideration of his or her agreement to serve as a director of the Company.

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)

6 Months Ended

Jun. 30, 2024

Accounting Policies [Abstract]

Basis of presentation

● Basis of presentation

These accompanying unaudited condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America (“U.S. GAAP”) for interim financial information and with the instructions to Quarterly Report on Form 10-Q and Article 10 of Regulation S-X. In the opinion of management, such financial information includes all adjustments (consisting only of normal recurring adjustments, unless otherwise indicated) considered necessary for a fair presentation of the Company’s financial position at such date and the operating results and cash flows for such periods. Operating results for the six and three months ended June 30, 2024 are not necessarily indicative of the results that may be expected for the entire year or for any other subsequent interim period. The interim unaudited condensed consolidated financial information should be read in conjunction with the financial statements and the notes thereto, included in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2023, previously filed with the SEC on April 16, 2024.

Use of estimates

● Use of estimates

Preparing these unaudited condensed consolidated financial statements in conformity with U.S. GAAP requires the Company’s management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the unaudited condensed consolidated financial statements and the reported amounts of revenues and expenses during the periods reported. Making estimates requires management to exercise significant judgment. It is at least reasonably possible that the estimate of the effect of a condition, situation or set of circumstances that existed at the date of the unaudited condensed consolidated financial statements, which management considered in formulating its estimate, could change in the near term due to one or more future confirming events. Such estimates may be subject to change as more current information becomes available. Actual results may differ from these estimates.

Principles of consolidation

● Principles of consolidation

The unaudited condensed consolidated financial statements include the financial statements of VIVC and its subsidiaries. All significant inter-company balances and transactions within the Company have been eliminated upon consolidation.

Cash and cash equivalents

● Cash and cash equivalents

Cash and cash equivalents consist primarily of cash in readily available checking and saving accounts. Cash equivalents consist of highly liquid investments that are readily convertible to cash and that mature within three months or less from the date of purchase. The carrying amounts approximate fair value due to the short maturities of these instruments.

Credit losses

● Credit losses

On January1, 2023, the Company adopted Accounting Standards Update 2016-13 “Financial Instruments — Credit Losses (Topic 326), Measurement of Credit Losses on Financial Instruments,” which replaces the incurred loss methodology with an expected loss methodology that is referred to as the current expected credit loss (“CECL”) methodology. The adoption of the credit loss accounting standard has no material impact on the Company’s consolidated financial statements as of January 1, 2023.

The Company’s account receivables and other receivables in the balance sheet are within the scope of ASC Topic 326. As the Company has limited customers and debtors, the Company uses the loss-rate method to evaluates the expected credit losses on an individual basis. When establishing the loss rate, the Company makes the assessment on various factors, including historical experience, credit-worthiness of customers and debtors, current economic conditions, reasonable and supportable forecasts of future economic conditions, and other factors that may affect its ability to collect from the customers and debtors. The Company also provides specific provisions for allowance when facts and circumstances indicate that the receivable is unlikely to be collected.

Expected credit losses are recorded as allowance for credit losses on the consolidated statements of operations. After all attempts to collect a receivable have failed, the receivable is written off against the allowance. In the event the Company recovers amount that is previously reserved for, the Company will reduce the specific allowance for credit losses.

Accounts receivable

● Accounts receivable

Accounts receivable are recorded at the invoiced amount and do not bear interest and are due within contractual payment terms, generally 30 to 90 days from completion of service. Credit is extended based on an evaluation of a customer’s financial condition, the customer’s credit-worthiness and payment history. Accounts receivable outstanding longer than the contractual payment terms are considered past due. Past due balances over 90 days and over a specified amount are reviewed individually for collectability. Under the current expected credit loss model, at the end of each period, the Company specifically evaluates each individual customer’s financial condition, credit history, and the current economic conditions to monitor the progress of the collection of accounts receivables. The Company considers the allowance for doubtful accounts for any estimated losses resulting from the inability of its customers to make required payments. For receivables that are past due or not being paid according to payment terms, appropriate actions are taken to collect the amounts due, including seeking legal resolution in a court of law. Account balances are charged off against the allowance after all reasonable means of collection have been exhausted and the potential for recovery is considered remote. The Company does not have any off-balance-sheet credit exposure related to its customers. As of June 30, 2024 and December 31, 2023, the Company had no allowance for doubtful accounts.

Property, plant, and equipment

● Property, plant, and equipment

Property, plant, and equipment are stated at cost less accumulated depreciation and accumulated impairment losses, if any. Depreciation is calculated on a straight-line basis over the following expected useful lives from the date on which assets become fully operational and after taking into account their estimated residual values:

	Expected useful life
Service yacht	10 years
Motor vehicle	5 years
Office equipment	5 years

Expenditures for repairs and maintenance are expensed as incurred. When assets have been retired or sold, the cost and related accumulated depreciation are removed from the accounts and any resulting gain or loss is recognized in the results of operations.

Intangible assets, net

● Intangible assets, net

Intangible assets are stated at cost less accumulated amortization. Intangible assets represent the trademark registered in the PRC and purchased software which are amortized on a straight-line basis over a useful life of 10 years.

The Company follows ASC Topic 350 in accounting for intangible assets, which requires impairment losses to be recorded when indicators of impairment are present and the undiscounted cash flows estimated to be generated by the assets are less than the assets’ carrying amounts. During the three and six months ended June 30, 2024 and 2023 there were no intangible asset impairments to be recorded.

Deferred revenue

● Deferred revenue

Deferred revenue represents advance payments made by a customer for goods and services the company will provide in the future. Due to its short-term nature, deferred revenue is usually satisfied within the 12 months.

Revenue recognition

● Revenue recognition

In accordance with Accounting Standard Codification (“ASC”) Topic 606, “Revenue from Contracts with Customers”, the Company recognizes revenues when goods or services are transferred to customers in an amount that reflects the consideration which the Company expects to receive in exchange for those goods or services. In determining when and how revenues are recognized from contracts with customers, the Company performs the following five-step analysis: (i) identification of contract with customer; (ii) determination of performance obligations; (iii) measurement of the transaction price; (iv) allocation of the transaction price to the performance obligations, and (v) recognition of revenues when (or as) the Company satisfies each performance obligation. The Company derives revenues from processing, distribution, and sales of its products. The Company recognize its revenue at a point in time when the control of the products has been transferred to customers.

Comprehensive income (loss)

● Comprehensive income (loss)

ASC Topic 220, “Comprehensive Income”, establishes standards for reporting and display of comprehensive income, its components, and accumulated balances. Comprehensive income as defined includes all changes in equity during a period from non-owner sources. Accumulated other comprehensive income, as presented in the accompanying unaudited condensed consolidated statements of stockholders’ equity deficit, consists of changes in unrealized gains and losses on foreign currency translation. This comprehensive income (loss) is not included in the computation of income tax expense or benefit.

Income taxes

● Income taxes

Income taxes are determined in accordance with the provisions of ASC Topic 740, “Income Taxes” (“ASC 740”). Under this method, deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax basis. Deferred tax assets and liabilities are measured using enacted income tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. Any effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date.

ASC 740 prescribes a comprehensive model for how companies should recognize, measure, present, and disclose in their financial statements uncertain tax positions taken or expected to be taken on a tax return. Under ASC 740, tax positions must initially be recognized in the financial statements when it is more likely than not the position will be sustained upon examination by the tax authorities. Such tax positions must initially and subsequently be measured as the largest amount of tax benefit that has a greater than 50% likelihood of being realized upon ultimate settlement with the tax authority assuming full knowledge of the position and relevant facts.

The Company is subject to tax in local and foreign jurisdiction. As a result of its business activities, the Company files tax returns that are subject to examination by the relevant tax authorities.

Foreign currencies translation

● Foreign currencies translation

Transactions denominated in currencies other than the functional currency are translated into the functional currency at the exchange rates prevailing at the dates of the transaction. Monetary assets and liabilities denominated in currencies other than the functional currency are translated into the functional currency using the applicable exchange rates at the balance sheet dates. The resulting exchange differences are recorded in the unaudited condensed consolidated statements of operations.

The reporting currency of the Company is the United States Dollar (“US$”) and the accompanying unaudited condensed consolidated financial statements have been expressed in US$. In addition, the Company and its subsidiaries operating or which operated in the PRC, Taiwan and Hong Kong maintain their books and records in their local currency, Renminbi (“RMB”), New Taiwan Dollar (“TWD”) and Hong Kong dollars (“HK$”), each of which is a functional currency, being the primary currency of the economic environment in which their operations are conducted. In general, for consolidation purposes, assets, and liabilities of the Company’s subsidiaries whose functional currency is not US$ are translated into US$, in accordance with ASC Topic 830-30, “Translation of Financial Statement”, using the exchange rate on the balance sheet date. Revenues and expenses are translated at average rates prevailing during the year. The gains and losses resulting from translation of financial statements of foreign subsidiaries are recorded as a separate component of accumulated other comprehensive income within the unaudited condensed consolidated statements of changes in stockholder’s equity deficit.

Translation of amounts from RMB, TWD and HK$ into US$ has been made at the following exchange rates as of June 30, 2024 and December 31, 2023 and for the six months ended June 30, 2024 and 2023.

	June 30, 2024		June 30, 2023		December 31, 2023
Period/year-end RMB:US$ exchange rate		7.2672		7.2516		7.0999
Period/annual average RMB:US$ exchange rate		7.2150		6.9300		7.0809
Period/year-end HK$:US$ exchange rate		7.8083		7.8370		7.8109
Period/annual average HK$:US$ exchange rate		7.8191		7.8370		7.8292
Period/year-end TWD:US$ exchange rate		32.4500		31.1526		30.6200
Period/annual average TWD:US$ exchange rate		31.8992		30.5810		31.1525

Lease

Lease

At the inception of an arrangement, the Company determines whether the arrangement is or contains a lease based on the unique facts and circumstances present. Leases with a term greater than one year are recognized on the balance sheet as right-of-use assets, lease liabilities and long-term lease liabilities. The Company has elected not to recognize on the balance sheet leases with terms of one year or less. Operating lease liabilities and their corresponding right-of-use assets are recorded based on the present value of lease payments over the expected remaining lease term. However, certain adjustments to the right-of-use asset may be required for items such as prepaid or accrued lease payments. The interest rate implicit in lease contracts is typically not readily determinable. As a result, the Company utilizes its incremental borrowing rates, which are the rates incurred to borrow on a collateralized basis over a similar term an amount equal to the lease payments in a similar economic environment.

In accordance with the guidance in ASC 842, components of a lease should be split into three categories: lease components (e.g., land, building, etc.), non-lease components (e.g., common area maintenance, consumables, etc.), and non-components (e.g., property taxes, insurance, etc.). Subsequently, the fixed and in-substance fixed contract consideration (including any related to non-components) must be allocated based on the respective relative fair values to the lease components and non-lease components.

The Company made the policy election to not separate lease and non-lease components. Each lease component and the related non-lease components are accounted for together as a single component.

Net income (loss) per share

● Net income (loss) per share

The Company calculates net loss per share in accordance with ASC Topic 260, “Earnings per Share.” Basic income per share is computed by dividing the net income by the weighted-average number of shares of common stock outstanding during the periods. Diluted loss per share of common stock is computed similar to basic loss per share of common stock except that the denominator is increased to include the number of additional shares of common stock that would have been outstanding if the potential common stock equivalents had been issued and if the additional common stock were dilutive.

Related parties

● Related parties

Parties, which can be an entity or individual, are considered to be related if the Company has the ability, directly or indirectly, to control the other party or exercise significant influence over the other party in making financial and operational decisions. Companies are also considered to be related if they are subject to common control or common significant influence.

Concentrations and credit risk

● Concentrations and credit risk

The Company’s principal financial instruments subject to potential concentration of credit risk are cash and cash equivalents, including amounts held in money market accounts. The Company places cash deposits with a federally insured financial institution. The Company maintains its cash at banks and financial institutions it considers to be of high credit quality; however, the Company’s domestic cash deposits may at times exceed the insured limit. Balances in excess of insured limitations may not be insured. The Company has not experienced losses on these accounts, and management believes that the Company is not exposed to significant risks on such accounts.

Fair value of financial instruments

● Fair value of financial instruments

The carrying value of the Company’s financial instruments (excluding short-term bank borrowing and notes payable): cash and cash equivalents, accounts receivable, prepayments and other receivables, accounts payable, income tax payable, amount due to a related party, other payables and accrued liabilities approximate at their fair values because of the short-term nature of these financial instruments.

Management believes, based on the current market prices or interest rates for similar debt instruments, the fair value of notes payable approximates the carrying amount.

The Company also follows the guidance of the ASC Topic 820-10, “Fair Value Measurements and Disclosures” (“ASC 820-10”), with respect to financial assets and liabilities that are measured at fair value. ASC 820-10 establishes a three-tier fair value hierarchy that prioritizes the inputs used in measuring fair value as follows:

● Level 1 : Inputs are based upon unadjusted quoted prices for identical instruments traded in active markets;

● Level 2 : Inputs are based upon quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active, and

● Level 3 : Inputs are generally unobservable and typically reflect management’s estimates of assumptions that market participants would use in pricing the asset or liability. The fair values are therefore determined using model-based techniques, including option pricing models and discounted cash flow models.

Fair value estimates are made at a specific point in time based on relevant market information about the financial instrument. These estimates are subjective in nature and involve uncertainties and matters of significant judgment and, therefore, cannot be determined with precision. Changes in assumptions could significantly affect the estimates.

Value-Added Tax

● Value-Added Tax

Sellers and service providers are generally obligated to pay business tax for the sales of goods or services within Taiwan unless the law provides otherwise. For importation of goods, the business tax will be paid by the goods receivers or buyers via customs. For importation of services sold by foreign companies to Taiwanese buyers, business tax shall be paid by the service buyers. However, the service buyer (corporate entity) will not be required to pay business tax if it is exclusively engaged in taxable transactions subject to either 5% or 0% VAT.

VAT is applicable to general industries, and the VAT rate is 5%. Under the VAT system, each seller collects output VAT from the buyer at the time of sale, deducts input VAT paid on purchases from output VAT, and remits the balance to the tax authority.

Reclassification

● Reclassification

Certain prior period accounts have been reclassified in conformity with current period’s presentation including reclassification of operations of discontinued entities from operations of continuing entities. These reclassifications had no impact on the reported results of operations and cash flows.

Recent accounting pronouncements

● Recent accounting pronouncements

In November 2023, the FASB issued ASU No. 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures (“ASU 2023-07”). The amendments in ASU 2023-07 improve reportable segment disclosure requirements through enhanced disclosures about significant segment expenses that are regularly provided to the chief operating decision maker (CODM). In addition, the amendments enhance interim disclosure requirements, clarify circumstances in which an entity can disclose multiple segment measures of profit or loss, provide new segment disclosure requirements for entities with a single reportable segment, and contain other disclosure requirements. ASU 2023-07 will be effective for annual reporting periods beginning after December 15, 2023, and interim periods within annual reporting periods beginning after December 15, 2024. Early adoption is permitted. The adoption of ASU 2023-01 did not have a material impact on the Company’s unaudited condensed consolidated financial statement presentation or disclosures.

In December 2023, the FASB issued ASU No. 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures (“ASU 2023-09”), which requires disclosures of incremental income tax information within the rate reconciliation and expanded disclosures of income taxes paid, among other disclosure requirements. This ASU will be effective for annual reporting periods beginning after December 15, 2024.

The Company’s management does not believe that any other recently issued, but not yet effective, authoritative guidance, if currently adopted, will have a material impact on the Company’s unaudited condensed consolidated financial statement presentation or disclosures.

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ORGANIZATION AND BUSINESS BACKGROUND (Tables)

6 Months Ended

Jun. 30, 2024

Accounting Policies [Abstract]

SCHEDULE OF DESCRIPTION OF SUBSIDIARIES

Name	Place of incorporation and kind of legal entity	Principal activities and place of operation	Particulars of issued/ registered share capital	Effective interest held
Vivic Corporation (Hong Kong) Co., Limited	Hong Kong	Holding company and tourism consultancy service	52,000,000 ordinary shares for HK$2,159,440	100%
Vivic Corp. Taiwan Branch	The Republic of China (Taiwan)	Provision of yacht service	Registered: TWD 5,000,000, Paid up: TWD5,000,000	100%

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)

6 Months Ended

Jun. 30, 2024

Accounting Policies [Abstract]

SCHEDULE OF PROPERTY AND EQUIPMENT EXPECTED USEFUL LIVES

Property, plant, and equipment are stated at cost less accumulated depreciation and accumulated impairment losses, if any. Depreciation is calculated on a straight-line basis over the following expected useful lives from the date on which assets become fully operational and after taking into account their estimated residual values:

	Expected useful life
Service yacht	10 years
Motor vehicle	5 years
Office equipment	5 years

SCHEDULE OF FOREIGN CURRENCY TRANSLATIONS

Translation of amounts from RMB, TWD and HK$ into US$ has been made at the following exchange rates as of June 30, 2024 and December 31, 2023 and for the six months ended June 30, 2024 and 2023.

	June 30, 2024		June 30, 2023		December 31, 2023
Period/year-end RMB:US$ exchange rate		7.2672		7.2516		7.0999
Period/annual average RMB:US$ exchange rate		7.2150		6.9300		7.0809
Period/year-end HK$:US$ exchange rate		7.8083		7.8370		7.8109
Period/annual average HK$:US$ exchange rate		7.8191		7.8370		7.8292
Period/year-end TWD:US$ exchange rate		32.4500		31.1526		30.6200
Period/annual average TWD:US$ exchange rate		31.8992		30.5810		31.1525

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DEPOSIT AND PREPAYMENTS (Tables)

6 Months Ended

Jun. 30, 2024

Deposit And Prepayments

SCHEDULE OF DEPOSIT AND PREPAYMENTS

Deposit and prepayments consisted of the following:

	June 30, 2024		December 31, 2023
Prepayments	$	233,681	$	909,748
Prepaid service fee		17,113		5,749
Total deposit and prepayments	$	250,794	$	915,497

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PROPERTY AND EQUIPMENT (Tables)

6 Months Ended

Jun. 30, 2024

Property, Plant and Equipment [Abstract]

SCHEDULE OF PROPERTY AND EQUIPMENT

Property and equipment consisted of the following:

	June 30, 2024			December 31, 2023
Office equipment	$	2,527		$	2,678
Subtotal		2,527			2,678
Less: accumulated depreciation		(1,812	)		(1,685	)
Property, plant and equipment, net	$	715		$	993

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INTANGIBLE ASSETS (Tables)

6 Months Ended

Jun. 30, 2024

Goodwill and Intangible Assets Disclosure [Abstract]

SCHEDULE OF INTANGIBLE ASSETS

Intangible assets consisted of the following:

	June 30, 2024			December 31, 2023
Software	$	7,088		$	7,511
Total intangible assets		7,088			7,511
Less: accumulated amortization		(5,118	)		(4,172	)
Intangible assets, net	$	1,970		$	3,339

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ACCRUED LIABILITIES AND OTHER PAYABLES (Tables)

6 Months Ended

Jun. 30, 2024

Payables and Accruals [Abstract]

SCHEDULE OF ACCRUED LIABILITIES AND OTHER PAYABLE

Accrued liabilities and other payables consisted of the following:

	June 30, 2024		December 31, 2023
Accrued penalty	$	9,400	$	32,850
Accrued salaries		7,147		2,354
Accrued consulting fee		150,000		120,000
Other payables		53,513		42,611
Total accrued liabilities and other payable	$	220,060	$	197,815

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SBA LOAN PAYABLE (Tables)

6 Months Ended

Jun. 30, 2024

Debt Disclosure [Abstract]

SCHEDULE OF EIDL LOAN PAYMENTS

As of June 30, 2024, the future minimum EIDL loan payments for the Company to be paid by year are as follows:

Year Ending June 30,	Amount
2025	$	5,124
2026		5,124
2027		5,124
2028		5,124
2029		5,124
Thereafter		61,880
Total	$	87,500

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NET INCOME (LOSS) PER SHARE OF COMMON STOCK (Tables)

6 Months Ended

Jun. 30, 2024

Earnings Per Share [Abstract]

SCHEDULE OF NET LOSS PER SHARE

	Three Months ended June 30,
	2024		2023
Net income (loss) for basic and diluted attributable to Vivic Corp - continuing operations	$	425,222	$	(82,737	)
Net income (loss) for basic and diluted attributable to Vivic Corp – discontinued operations		-		113,776
Weighted average common stock outstanding – Basic		26,657,921		25,974,160
Dilutive impact of preferred stock		832,000		832,000
Weighted average common stock outstanding – Diluted		27,489,921		26,806,160
Net income (loss) per share of common stock – basic, continuing operations		0.02		(0.00	)
Net income (loss) per share of common stock – diluted, continuing operations		0.02		(0.00	)
Net income (loss) per share of common stock – basic and diluted, discontinued operations	$	-	$	(0.01	)

	Six Months ended June 30,
	2024		2023
Net income (loss) for basic and diluted attributable to Vivic Corp - continuing operations	$	1,035,387	$	(188,283	)
Net income (loss) for basic and diluted attributable to Vivic Corp – discontinued operations		-		(112,905	)
Weighted average common stock outstanding – Basic		26,657,921		25,761,666
Dilutive impact of preferred stock		832,000		832,000
Weighted average common stock outstanding – Diluted		27,489,921		25,761,666
Net income (loss) per share of common stock – basic, continuing operations		0.04		(0.01	)
Net income (loss) per share of common stock – diluted, continuing operations		0.04		(0.01	)
Net income (loss) per share of common stock – basic and diluted, discontinued operations	$	-	$	(0.01	)

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RELATED PARTY TRANSACTIONS (Tables)

6 Months Ended

Jun. 30, 2024

Related Party Transactions [Abstract]

SCHEDULE OF DUE FROM RELATED PARTY

Due from related parties consisted of the following:

Name	June 30, 2024		December 31, 2023
Guangdong Weiguan Ship 1)	$	2,615,882	$	2,630,821
Yun-Kuang Kung 2)		186,970		220,828
Total	$	2,802,852	$	2,851,649

1)	Due to disposal of Weiguan Ship in July 2023, the Company had a receivable from Weiguan Ship for $2,615,882 and $2,630,821 at June 30, 2024 and December 31, 2023, respectively, which was previously eliminated at consolidation before the disposal.
2)	On June 16, 2023, the Company entered a trilateral Corporation Agreement with Yun-Kuang Kung and Guangdong Weiguan Shipping Co., Ltd (“Weiguan Ship”, 100% owned by Mr. Kung after disposal of Weiguan Ship by the Company) to engage in yacht development leasing, dock operations, and related businesses in mainland China. Due to Mr. Kung’s extensive social relationship and rich business experience in China, the Company can do yacht leasing and dock operation business through Yinxin International Financial Leasing Co., Ltd (“Yinxin”) which was obtained through Mr. Kung’s personal channels, the Company advanced $313,743 (TWD 10,017,800), to Yun-Kuang Kung for a three-year term for developing the yacht business in China. Yun-Kuang Kung subsequently transferred the fund to Yinxin pursuant to the loan agreement.
	Per the terms of the agreement, Weiguan Ship pledged a yacht with book value of $402,000 (RMB 2,900,000) and estimated fair market value of $494,000 (RMB 3,500,000) as collateral for the loan. Yinxin is responsible for repaying the entire loan amount at the end of the term. Upon full repayment of the principal, Mr. Kung will receive half of the net profits of Yinxin as dividend, on an annual basis. These dividends will then be transferred back to the Company by Mr. Kung.
	In the event that Yinxin is unable to repay the full amount at maturity, the Company has the option to accept stock ownership from Yinxin or take possession of the pledged yacht as repayment.
	As of June 30, 2024 and December 31, 2023, Vivic HK had a due to Yun-Kuang Kung of $293,307 and $106,337, respectively, resulting from Yun-Kuang Kung’s investment into Vivic HK on behalf of the Company.
	After netting-off the amount of due-to and due-from Yun-Kuang Kung, the Company’s outstanding amount receivable from Yun-Kuang Kung was $186,970 and $220,828 as of June 30, 2024 and December 31, 2023, respectively.

SCHEDULE OF DUE TO RELATED PARTIES

Due to related parties consisted of the following:

Name	June 30, 2024		December 31, 2023
Kung Huang Liu Shiang	$	2,815	$	1,392
Shang-Chiai Kung		183,838		190,416
Total	$	186,653	$	191,808

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SCHEDULE OF DESCRIPTION OF SUBSIDIARIES (Details)		3 Months Ended	6 Months Ended
	Mar. 13, 2023 USD ($) shares	Jun. 30, 2023 USD ($)	Jun. 30, 2024 HKD ($) shares	Jun. 30, 2024 TWD ($) shares	Jun. 30, 2024 USD ($)	Jun. 30, 2024 TWD ($)	Dec. 31, 2023 USD ($)
Ordinary shares | shares	162,391
Ordinary shares, value	$ 82,836	$ 1,100,000
Paid in capital					$ 4,845,066		$ 4,845,066
Vivic Corporation (Hong Kong) Co., Limited [Member]
Place of incorporationand kind of legal entity			Hong Kong	Hong Kong
Principal activities and place of operation			Holding company and tourism consultancy service	Holding company and tourism consultancy service
Ordinary shares | shares			52,000,000	52,000,000
Ordinary shares, value			$ 2,159,440
Effective interest held					100.00%	100.00%
Vivic Corp Taiwan Branch [Member]
Place of incorporationand kind of legal entity			The Republic of China (Taiwan)	The Republic of China (Taiwan)
Principal activities and place of operation			Provision of yacht service	Provision of yacht service
Ordinary shares, value				$ 5,000,000
Effective interest held					100.00%	100.00%
Paid in capital						$ 5,000,000

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ORGANIZATION AND BUSINESS BACKGROUND (Details Narrative) - Jul. 12, 2023	USD ($)	CNY (¥)
Stock Purchase Agreement [Member]
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Consideration received	$ 137	¥ 1,000

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SCHEDULE OF PROPERTY AND EQUIPMENT EXPECTED USEFUL LIVES (Details)	Jun. 30, 2024
Service Yacht [Member]
Property, Plant and Equipment [Line Items]
Property and equipment, estimated useful lives	10 years
Vehicles [Member]
Property, Plant and Equipment [Line Items]
Property and equipment, estimated useful lives	5 years
Office Equipment [Member]
Property, Plant and Equipment [Line Items]
Property and equipment, estimated useful lives	5 years

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SCHEDULE OF FOREIGN CURRENCY TRANSLATIONS (Details)	Jun. 30, 2024	Dec. 31, 2023	Jun. 30, 2023
Period/Year-End RMB:US$ Exchange Rate [Member]
Intra-Entity Foreign Currency Balance [Line Items]
Period exchange rate	7.2672	7.0999	7.2516
Period/Annual Average RMB:US$ Exchange Rate [Member]
Intra-Entity Foreign Currency Balance [Line Items]
Period exchange rate	7.2150	7.0809	6.9300
Period/Year-End HK$:US$ Exchange Rate [Member]
Intra-Entity Foreign Currency Balance [Line Items]
Period exchange rate	7.8083	7.8109	7.8370
Period/Year Average HK$:US$ Exchange Rate [Member]
Intra-Entity Foreign Currency Balance [Line Items]
Period exchange rate	7.8191	7.8292	7.8370
Period/Year End TWD:US$ Exchange Rate [Member]
Intra-Entity Foreign Currency Balance [Line Items]
Period exchange rate	32.4500	30.6200	31.1526
Period/Annual Average TWD:US$ Exchange Rate [Member]
Intra-Entity Foreign Currency Balance [Line Items]
Period exchange rate	31.8992	31.1525	30.5810

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023	Jun. 30, 2024	Jun. 30, 2023	Dec. 31, 2023
Doubtful accounts	$ 0		$ 0		$ 0
Finite-lived intangible asset, useful life	10 years		10 years
Impairment of intangible assets	$ 0	$ 0	$ 0	$ 0
Value added tax description			However, the service buyer (corporate entity) will not be required to pay business tax if it is exclusively engaged in taxable transactions subject to either 5% or 0% VAT.
TAIWAN
Value added tax percentage	5.00%		5.00%

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GOING CONCERN UNCERTAINTIES (Details Narrative) - USD ($)	3 Months Ended				6 Months Ended
	Jun. 30, 2024	Mar. 31, 2024	Jun. 30, 2023	Mar. 31, 2023	Jun. 30, 2024	Jun. 30, 2023	Dec. 31, 2023
Defined Benefit Plan Disclosure [Line Items]
Cash and cash equivalents	$ 310,859				$ 310,859		$ 72,907
Working capital deficit	3,200,000				3,200,000
Net income	425,222	$ 610,165	$ 31,039	$ (332,225)	1,035,387	$ (301,188)
Accumulated deficit	2,269,517				2,269,517		$ 3,304,904
Related Party [Member]
Defined Benefit Plan Disclosure [Line Items]
Receivable due from a related party	$ 2,800,000				$ 2,800,000

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SCHEDULE OF DEPOSIT AND PREPAYMENTS (Details) - USD ($)	Jun. 30, 2024	Dec. 31, 2023
Deposit And Prepayments
Prepayments	$ 233,681	$ 909,748
Prepaid service fee	17,113	5,749
Total deposit and prepayments	$ 250,794	$ 915,497

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SCHEDULE OF PROPERTY AND EQUIPMENT (Details) - USD ($)	Jun. 30, 2024	Dec. 31, 2023
Property, Plant and Equipment [Line Items]
Subtotal	$ 2,527	$ 2,678
Less: accumulated depreciation	(1,812)	(1,685)
Property, plant and equipment, net	715	993
Office Equipment [Member]
Property, Plant and Equipment [Line Items]
Subtotal	$ 2,527	$ 2,678

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PROPERTY AND EQUIPMENT (Details Narrative) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023	Jun. 30, 2024	Jun. 30, 2023
Property, Plant and Equipment [Abstract]
Depreciation expense	$ 111	$ 118	$ 226	$ 235

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SCHEDULE OF INTANGIBLE ASSETS (Details) - USD ($)	Jun. 30, 2024	Dec. 31, 2023
Finite-Lived Intangible Assets [Line Items]
Total intangible assets	$ 7,088	$ 7,511
Less: accumulated amortization	(5,118)	(4,172)
Intangible assets, net	1,970	3,339
Computer Software, Intangible Asset [Member]
Finite-Lived Intangible Assets [Line Items]
Total intangible assets	$ 7,088	$ 7,511

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INTANGIBLE ASSETS (Details Narrative) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023	Jun. 30, 2024	Jun. 30, 2023
Goodwill and Intangible Assets Disclosure [Abstract]
Amortization expense	$ 592	$ 623	$ 1,202	$ 1,254

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SCHEDULE OF ACCRUED LIABILITIES AND OTHER PAYABLE (Details) - USD ($)	Jun. 30, 2024	Dec. 31, 2023
Payables and Accruals [Abstract]
Accrued penalty	$ 9,400	$ 32,850
Accrued salaries	7,147	2,354
Accrued consulting fee	150,000	120,000
Other payables	53,513	42,611
Total accrued liabilities and other payable	$ 220,060	$ 197,815

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ACCRUED LIABILITIES AND OTHER PAYABLES (Details Narrative) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023	Jun. 30, 2024	Jun. 30, 2023	Aug. 22, 2023	Sep. 30, 2021
Payables and Accruals [Abstract]
Accrued penalty					$ 60,000	$ 60,000
Payment to escrow account	$ 11,600	$ 0	$ 23,450	$ 0

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LOAN PAYABLE (Details Narrative)					3 Months Ended		6 Months Ended
	May 18, 2023 USD ($)	May 18, 2023 TWD ($)	Mar. 13, 2023 USD ($) shares	Mar. 13, 2023 TWD ($) shares	Jun. 30, 2024 USD ($)	Jun. 30, 2023 USD ($)	Jun. 30, 2024 USD ($)	Jun. 30, 2023 USD ($)
Financing Receivable, Modified [Line Items]
Number of shares issued | shares			162,391	162,391
Shares issued value			$ 82,836			$ 1,100,000
Vivic Taiwan [Member]
Financing Receivable, Modified [Line Items]
Borrowed loan	$ 381,658	$ 12,000,000	$ 164,042	$ 5,000,000
Annual interest rate	3.00%	3.00%	10.00%	10.00%
Interest expense					$ 3,862	4,074	$ 7,837	$ 6,285
Number of shares issued | shares			162,391	162,391
Repayment terms			When the loan matures, the lender has the option to ask for cash repayment from the Company or keep the 162,391 shares of the Company’s stock as repayment in full. If the lender decides to keep the 162,391 shares at maturity of the loan, the Company will repay TWD 5,000,000 ($164,042) to Yun-Kuang Kung without any interest. If the Company is not able to repay Yun-Kuang Kung by March 15, 2024, the Company is required to issue a number of shares equivalent to the loan amount based upon the fair market value of the shares at such date, plus 10% more of the equivalent shares.	When the loan matures, the lender has the option to ask for cash repayment from the Company or keep the 162,391 shares of the Company’s stock as repayment in full. If the lender decides to keep the 162,391 shares at maturity of the loan, the Company will repay TWD 5,000,000 ($164,042) to Yun-Kuang Kung without any interest. If the Company is not able to repay Yun-Kuang Kung by March 15, 2024, the Company is required to issue a number of shares equivalent to the loan amount based upon the fair market value of the shares at such date, plus 10% more of the equivalent shares.
Interest expense					$ 2,639	$ 833	$ 4,614	$ 833

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SCHEDULE OF EIDL LOAN PAYMENTS (Details)	Jun. 30, 2024 USD ($)
Debt Disclosure [Abstract]
2025	$ 5,124
2026	5,124
2027	5,124
2028	5,124
2029	5,124
Thereafter	61,880
Total	$ 87,500

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SBA LOAN PAYABLE (Details Narrative) - USD ($)		3 Months Ended		6 Months Ended
	Jun. 23, 2020	Jun. 30, 2024	Jun. 30, 2023	Jun. 30, 2024	Jun. 30, 2023
Debt Disclosure [Abstract]
Disaster Loan	$ 87,500
Annual interest	3.75%
Principal and interest	$ 427
Repayment of interest		$ 1,281	$ 854	$ 2,562	$ 2,562

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STOCKHOLDERS’ EQUITY (Details Narrative) - USD ($)			3 Months Ended
	May 26, 2023	Mar. 13, 2023	Jun. 30, 2023	Jun. 30, 2024	Dec. 31, 2023
Defined Benefit Plan Disclosure [Line Items]
Preferred stock, shares authorized				5,000,000	5,000,000
Common stock, shares authorized				70,000,000	70,000,000
Preferred stock, par value				$ 0.001	$ 0.001
Common stock, par value				$ 0.001	$ 0.001
Preferred stock, shares issued				832,000	832,000
Preferred stock, shares outstanding				832,000	832,000
Number of shares issued		162,391
Shares issued for loan settlement		$ 82,836	$ 1,100,000
Common stock, shares issued				26,657,921	26,657,921
Common stock, shares outstanding				26,657,921	26,657,921
Yun-Kuang Kung [Member]
Defined Benefit Plan Disclosure [Line Items]
Number of shares issued	1,111,111
Shares issued for loan settlement	$ 1,100,000
Conversion price	$ 0.99

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SCHEDULE OF NET LOSS PER SHARE (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023	Jun. 30, 2024	Jun. 30, 2023
Earnings Per Share [Abstract]
Net income (loss) for basic and diluted attributable to Vivic Corp - continuing operations	$ 425,222	$ (82,737)	$ 1,035,387	$ (188,283)
Net income (loss) for basic and diluted attributable to Vivic Corp – discontinued operations		$ 113,776		$ (112,905)
Weighted average common stock outstanding – Basic	26,657,921	25,974,160	26,657,921	25,761,666
Dilutive impact of preferred stock	832,000	832,000	832,000	832,000
Weighted average common stock outstanding – Diluted	27,489,921	26,806,160	27,489,921	25,761,666
Net income (loss) per share of common stock – basic, continuing operations	$ 0.02	$ (0.00)	$ 0.04	$ (0.01)
Net income (loss) per share of common stock – diluted, continuing operations	0.02	(0.00)	0.04	(0.01)
Net income (loss) per share of common stock - basic-discontinuing operations		(0.01)		(0.01)
Net income (loss) per share of common stock - diluted-discontinuing operations		$ (0.01)		$ (0.01)

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SCHEDULE OF DUE FROM RELATED PARTY (Details) - USD ($)		Jun. 30, 2024	Dec. 31, 2023
Guangdong Weiguan Ship Tech Co., Ltd [Member]
Related Party Transaction [Line Items]
Total	[1]	$ 2,615,882	$ 2,630,821
Yun-Kuang Kung [Member]
Related Party Transaction [Line Items]
Total	[2]	186,970	220,828
Related Party [Member]
Related Party Transaction [Line Items]
Total		$ 2,802,852	$ 2,851,649

[1] Due to disposal of Weiguan Ship in July 2023, the Company had a receivable from Weiguan Ship for $2,615,882 and $2,630,821 at June 30, 2024 and December 31, 2023, respectively, which was previously eliminated at consolidation before the disposal.

[2] On June 16, 2023, the Company entered a trilateral Corporation Agreement with Yun-Kuang Kung and Guangdong Weiguan Shipping Co., Ltd (“Weiguan Ship”, 100% owned by Mr. Kung after disposal of Weiguan Ship by the Company) to engage in yacht development leasing, dock operations, and related businesses in mainland China. Due to Mr. Kung’s extensive social relationship and rich business experience in China, the Company can do yacht leasing and dock operation business through Yinxin International Financial Leasing Co., Ltd (“Yinxin”) which was obtained through Mr. Kung’s personal channels, the Company advanced $313,743 (TWD 10,017,800), to Yun-Kuang Kung for a three-year term for developing the yacht business in China. Yun-Kuang Kung subsequently transferred the fund to Yinxin pursuant to the loan agreement. Per the terms of the agreement, Weiguan Ship pledged a yacht with book value of $402,000 (RMB 2,900,000) and estimated fair market value of $494,000 (RMB 3,500,000) as collateral for the loan. Yinxin is responsible for repaying the entire loan amount at the end of the term. Upon full repayment of the principal, Mr. Kung will receive half of the net profits of Yinxin as dividend, on an annual basis. These dividends will then be transferred back to the Company by Mr. Kung. In the event that Yinxin is unable to repay the full amount at maturity, the Company has the option to accept stock ownership from Yinxin or take possession of the pledged yacht as repayment. As of June 30, 2024 and December 31, 2023, Vivic HK had a due to Yun-Kuang Kung of $293,307 and $106,337, respectively, resulting from Yun-Kuang Kung’s investment into Vivic HK on behalf of the Company. After netting-off the amount of due-to and due-from Yun-Kuang Kung, the Company’s outstanding amount receivable from Yun-Kuang Kung was $186,970 and $220,828 as of June 30, 2024 and December 31, 2023, respectively.

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SCHEDULE OF DUE FROM RELATED PARTIES (Details) (Parenthetical)		Jun. 16, 2023 USD ($)	Jun. 16, 2023 TWD ($)	Jun. 30, 2024 USD ($)	Dec. 31, 2023 USD ($)	Jun. 16, 2023 CNY (¥)
Mr. Kung [Member]
Related Party Transaction [Line Items]
Ownership percentage		100.00%				100.00%
Guangdong Weiguan Ship Tech Co., Ltd [Member]
Related Party Transaction [Line Items]
Due from related parties	[1]			$ 2,615,882	$ 2,630,821
Mr. Kung [Member]
Related Party Transaction [Line Items]
Payments for leasing costs		$ 313,743	$ 10,017,800
Weiguan Ship [Member]
Related Party Transaction [Line Items]
Book value		402,000				¥ 2,900,000
Collateral amount		$ 494,000				¥ 3,500,000
Yun-Kuang Kung [Member]
Related Party Transaction [Line Items]
Due from related parties	[2]			186,970	220,828
Investments				293,307	106,337
Outstanding amount				$ 186,970	$ 220,828

[1] Due to disposal of Weiguan Ship in July 2023, the Company had a receivable from Weiguan Ship for $2,615,882 and $2,630,821 at June 30, 2024 and December 31, 2023, respectively, which was previously eliminated at consolidation before the disposal.

[2] On June 16, 2023, the Company entered a trilateral Corporation Agreement with Yun-Kuang Kung and Guangdong Weiguan Shipping Co., Ltd (“Weiguan Ship”, 100% owned by Mr. Kung after disposal of Weiguan Ship by the Company) to engage in yacht development leasing, dock operations, and related businesses in mainland China. Due to Mr. Kung’s extensive social relationship and rich business experience in China, the Company can do yacht leasing and dock operation business through Yinxin International Financial Leasing Co., Ltd (“Yinxin”) which was obtained through Mr. Kung’s personal channels, the Company advanced $313,743 (TWD 10,017,800), to Yun-Kuang Kung for a three-year term for developing the yacht business in China. Yun-Kuang Kung subsequently transferred the fund to Yinxin pursuant to the loan agreement. Per the terms of the agreement, Weiguan Ship pledged a yacht with book value of $402,000 (RMB 2,900,000) and estimated fair market value of $494,000 (RMB 3,500,000) as collateral for the loan. Yinxin is responsible for repaying the entire loan amount at the end of the term. Upon full repayment of the principal, Mr. Kung will receive half of the net profits of Yinxin as dividend, on an annual basis. These dividends will then be transferred back to the Company by Mr. Kung. In the event that Yinxin is unable to repay the full amount at maturity, the Company has the option to accept stock ownership from Yinxin or take possession of the pledged yacht as repayment. As of June 30, 2024 and December 31, 2023, Vivic HK had a due to Yun-Kuang Kung of $293,307 and $106,337, respectively, resulting from Yun-Kuang Kung’s investment into Vivic HK on behalf of the Company. After netting-off the amount of due-to and due-from Yun-Kuang Kung, the Company’s outstanding amount receivable from Yun-Kuang Kung was $186,970 and $220,828 as of June 30, 2024 and December 31, 2023, respectively.

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SCHEDULE OF DUE TO RELATED PARTIES (Details) - USD ($)	Jun. 30, 2024	Dec. 31, 2023
Kung Huang Liu Shiang [Member]
Related Party Transaction [Line Items]
Total	$ 2,815	$ 1,392
Shang Chiai Kung [Member]
Related Party Transaction [Line Items]
Total	183,838	190,416
Related Party [Member]
Related Party Transaction [Line Items]
Total	$ 186,653	$ 191,808

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RELATED PARTY TRANSACTIONS (Details Narrative)	Jun. 30, 2024 USD ($)
Related Party [Member]
Related Party Transaction [Line Items]
Accounts payable to related party	$ 903,728

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COMMITMENTS AND CONTINGENCIES (Details Narrative) - USD ($)	Jun. 30, 2024	Dec. 31, 2023
Long-Term Purchase Commitment [Line Items]
Commitments and contingencies
Capital Addition Purchase Commitments [Member]
Long-Term Purchase Commitment [Line Items]
Commitments and contingencies	$ 0	$ 0

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SUBSEQUENT EVENTS (Details Narrative) - Common Stock [Member]	Aug. 01, 2024 shares
Board Of Directors [Member]
Number of shares, issued	150,000
Ms. Huang And Mr. Pao [Member]
Number of shares, received	50,000