The following condensed parent company financial information of XCHG Limited has been prepared using the same accounting policies as set out in the accompanying consolidated financial statements. As of December 31, 2024 and 2025, there were no material contingencies, significant provisions of long-term obligations, mandatory dividend or redemption requirements of redeemable convertible preference shares or guarantees of XCHG Limited, except for those which have been separately disclosed in the consolidated financial statements.

(a)

Condensed Balance Sheets


	As of December 31,			As of December 31,
	2024			2025
	US$			US$
ASSETS
Current assets
Cash		8,300,344			5,449,211
Amounts due from subsidiaries-current		8,162,028			7,534,102
Prepayments and other current assets		4,463,506			1,841,298
Total current assets		20,925,878			14,824,611
Non-current assets
Amounts due from subsidiaries-non-current		38,465,944			40,259,564
Other non-current assets		—			1,097,980
Total non-current assets		38,465,944			41,357,544
Total assets		59,391,822			56,182,155
LIABILITIES
Current liabilities
Net liabilities in subsidiaries		18,194,078			27,501,236
Amounts due to a subsidiary		9,871,978			9,926,198
Accrued expenses and other current liabilities		1,816,882			888,366
Total current liabilities		29,882,938			38,315,800
Total liabilities		29,882,938			38,315,800
SHAREHOLDERS’ EQUITY:
Class A ordinary shares		16,368			21,603
Class B ordinary shares		7,413			7,413
Additional paid-in capital		79,883,038			100,820,027
Accumulated other comprehensive income		1,975,487			1,893,379
Accumulated deficit		(52,373,422	)		(84,876,067	)
Total shareholders’ equity		29,508,884			17,866,355
Total liabilities and shareholders’ equity		59,391,822			56,182,155

(b)

Condensed Statements of Comprehensive Loss


	For the Years Ended December 31,
	2023			2024			2025
	US$			US$			US$
Total operating expenses		(7,419,798	)		(7,972,320	)		(23,378,821	)
Interest expense		(30,510	)		(8,998	)		(157	)
Interest income		396			19,832			101,383
Share of profits (losses) in subsidiaries		829,431			(3,979,050	)		(9,225,050	)
Changes in fair value of convertible debts		(1,463,159	)		—			—
Net loss		(8,083,640	)		(11,940,536	)		(32,502,645	)
Accretion of redeemable convertible preferred shares to redemption value		(2,377,429	)		(1,162,826	)	—
Net loss attributable to ordinary shareholders of XCHG Limited		(10,461,069	)		(13,103,362	)		(32,502,645	)

Net loss		(8,083,640	)		(11,940,536	)		(32,502,645	)
Other comprehensive income (loss)		1,043,513			151,122			(82,108	)
Total comprehensive loss		(7,040,127	)		(11,789,414	)		(32,584,753	)

(c)

Condensed Statements of Cash Flows


	For the Years Ended December 31,
	2023			2024			2025
	US$			US$			US$
Net cash used in operating activities		(77,908	)		(11,697,046	)		(2,339,902	)
Net cash (used in) provided by investing activities		(33,370,232	)		365,100			(952,452	)
Net cash provided by financing activities		34,749,595			18,330,800			441,221
Effect of foreign currency exchange rate changes on cash		35			—		—
Net increase (decrease) in cash		1,301,490			6,998,854			(2,851,133	)
Cash at the beginning of the year		—			1,301,490			8,300,344
Cash at the end of the year		1,301,490			8,300,344			5,449,211