Linkhome Holdings Inc.

Previous wording

This management’s discussion and analysis of financial condition and results of operations contains forward-looking statements that involve risks and uncertainties. See “Special Note Regarding Forward-Looking Statements” for a discussion of the uncertainties, risks and assumptions associated with these statements. You should read the following discussion in conjunction with our unaudited consolidated financial statements and related notes included elsewhere in this Quarterly Report on Form 10-Q. Our actual results may differ materially from those discussed in the forward-looking statements as a result of various factors, including, but not limited to, those described under “Risk Factors” and included in other portions of this Quarterly Report on Form 10-Q.

Current wording

This management’s discussion and analysis of financial condition and results of operations contains forward-looking statements that involve risks and uncertainties. See “Cautionary Statement Regarding Forward-Looking Statements” for a discussion of the uncertainties, risks and assumptions associated with these statements. You should read the following discussion in conjunction with our unaudited consolidated financial statements and related notes included elsewhere in this Quarterly Report on Form 10-Q. Our actual results may differ materially from those discussed in the forward-looking statements as a result of various factors, including, but not limited to, those described under “Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2025 and included in other portions of this Quarterly Report on Form 10-Q.

Previous wording

During the three months ended March 31, 2025, the Company provided real estate agency services to Na Li, the Company’s Chief Financial Officer and Director, assisting with the sale of one property. The Company earned $126,000 in real estate agency commission revenue and paid a referral fee of $28,440 in connection with the transaction, resulting in net revenue of $97,560 recognized by the Company. The Company did not engage in any related party transactions during the three months ended March 31, 2026.

Current wording

During the six months ended June 30, 2025, the Company provided real estate agency services to Na Li, the Company’s Chief Financial Officer and Director, assisting with the sale of one property. The Company earned $126,000 in real estate agency commission revenue and paid a referral fee of $28,440 in connection with the transaction, resulting in net revenue of $97,560 recognized by the Company. The transaction occurred during the three months ended March 31, 2025. The Company did not engage in any related party transactions during the three months ended June 30, 2025 or during the three and six months ended June 30, 2026.

Previous wording

We derive our net revenues from (i) real estate purchases and sales made through Cash Offer, and (ii) real estate services including acting as real estate agency for buying and selling properties, property management, home renovation and mortgage referral services. The following table presents our net revenues by revenue stream for the periods presented:

Current wording

We derive our net revenues from (i) real estate purchases and sales made through Cash Offer, and (ii) real estate services, including acting as a real estate agency for buying and selling properties, property management, home renovation and mortgage referral services. The following tables present our net revenues by revenue stream for the periods presented:

Previous wording

Revenue from property purchases and sales through our Cash Offer program accounted for 98.48% and 95.98% of net revenues for the three months ended March 31, 2026 and 2025, respectively. Revenue from this program decreased by $646,890, or 11.80%, from $5,479,890 for the three months ended March 31, 2025 to $4,833,000 for the three months ended March 31, 2026.

Current wording

Revenue from property purchases and sales through our Cash Offer program accounted for 96.96% and 97.51% of net revenues for the three months ended June 30, 2026 and 2025, respectively. Revenue from this program increased by $567,100, or 12.12%, from $4,680,100 for the three months ended June 30, 2025 to $5,247,200 for the three months ended June 30, 2026.

Previous wording

Cost of property purchases and sales through Cash Offer decreased by $753,062, or 13.85%, from $5,437,924 for the three months ended March 31, 2025 to $4,684,862 for the three months ended March 31, 2026. The decrease was primarily attributable to a lower number of Cash Offer transactions during the three months ended March 31, 2026 compared to the same period in 2025, which management believes was primarily due to elevated interest rates and softer residential real estate market activity during the period.

Current wording

For the three months ended June 30, 2026 and 2025, we completed four and seven property transactions, respectively, through the Cash Offer program. Although the number of transactions decreased, the increase in revenue was primarily attributable to a higher average transaction price, which increased from approximately $0.67 million for the three months ended June 30, 2025 to approximately $1.31 million for the three months ended June 30, 2026. Management believes the decrease in the number of transactions was primarily attributable to elevated interest rates and softer residential real estate market activity, while the increase in average transaction price primarily reflected the mix of properties transacted during the period, as the Cash Offer transactions completed during the three months ended June 30, 2026 involved higher-priced properties on average than those completed during the same period in 2025.

Previous wording

For the three months ended March 31, 2026 and 2025, we completed five and six property transactions, respectively, through the Cash Offer program. The decrease in revenue was primarily attributable to a lower number of transactions and lower transaction volume, which management believes was primarily due to elevated interest rates and softer residential real estate market activity during the period. The average transaction price was approximately $0.97 million and $0.90 million for the three months ended March 31, 2026 and 2025, respectively.

Current wording

For the six months ended June 30, 2026 and 2025, we completed nine and thirteen property transactions, respectively, through the Cash Offer program. The decrease in the number of transactions was substantially offset by an increase in average transaction price from approximately $0.78 million for the six months ended June 30, 2025 to approximately $1.12 million for the six months ended June 30, 2026. Management believes the lower transaction count was primarily attributable to elevated interest rates and softer residential real estate market activity, while the higher average transaction price primarily reflected the mix of properties transacted during the period.

Previous wording

Real estate agency commission revenue decreased by $157,017, or 74.23%, from $211,517 for the three months ended March 31, 2025 to $54,500 for the three months ended March 31, 2026. The decrease was primarily driven by a lower number of real estate transactions and lower transaction volume. For the three months ended March 31, 2026 and 2025, we completed three and eight real estate transactions, respectively, with total transaction volume of approximately $2.8 million and $7.1 million, respectively. The average transaction price increased from approximately $0.89 million for the three months ended March 31, 2025 to approximately $0.93 million for the three months ended March 31, 2026. Gross commissions were partially offset by client rebates, which were $1,800 and $49,483 for the three months ended March 31, 2026 and 2025, respectively, representing approximately 3.20% and 18.96% of gross commissions for the respective periods.

Current wording

Real estate agency commission revenue increased by $14,781, or 60.16%, from $24,569 for the three months ended June 30, 2025 to $39,350 for the three months ended June 30, 2026. The increase was primarily driven by a higher number of real estate transactions and greater total transaction volume, together with a higher average transaction price. For the three months ended June 30, 2026 and 2025, we completed three and two real estate transactions, respectively, with total transaction volume of approximately $3.5 million and $2.1 million, respectively. The average transaction price increased from approximately $1.03 million for the three months ended June 30, 2025 to approximately $1.16 million for the three months ended June 30, 2026.

Previous wording

Real estate service revenue accounted for 1.52% and 4.02% of net revenues for the three months ended March 31, 2026 and 2025, respectively. Real estate service revenue decreased by $155,066, or 67.56%, from $229,536 for the three months ended March 31, 2025 to $74,470 for the three months ended March 31, 2026, primarily due to decreases in real estate agency commission revenue and home renovation service revenue, partially offset by increases in property management and mortgage referral service revenues.

Current wording

Real estate service revenue accounted for 2.32% and 3.32% of net revenues for the six months ended June 30, 2026 and 2025, respectively. Real estate service revenue decreased by $109,945, or 31.50%, from $348,992 for the six months ended June 30, 2025 to $239,047 for the six months ended June 30, 2026. The decrease was primarily attributable to decreases in real estate agency commission revenue and mortgage referral revenue, partially offset by increases in property management and home renovation service revenues.

Previous wording

Revenue from property management services increased by $5,090, or 288.06%, from $1,767 for the three months ended March 31, 2025 to $6,857 for the three months ended March 31, 2026. The increase was primarily attributable to growth in tenant placement services and the number of properties under ongoing property management. We completed two tenant placements during the three months ended March 31, 2026, compared to no tenant placements during the three months ended March 31, 2025. In addition, the number of properties under ongoing property management increased to five properties as of March 31, 2026, compared to three properties as of March 31, 2025.

Current wording

Revenue from property management services increased by $6,230, or 176.29%, from $3,534 for the six months ended June 30, 2025 to $9,764 for the six months ended June 30, 2026. The increase was primarily attributable to growth in tenant placement services and ongoing property management activities. We completed two tenant placements during the six months ended June 30, 2026, compared to no tenant placements during the same period in 2025. In addition, the number of properties under ongoing property management increased to five properties as of June 30, 2026, compared to three properties as of June 30, 2025.

Previous wording

We derive our cost of revenues from two revenue streams: (i) property purchases and sales through Cash Offer and (ii) real estate services. The following table presents our cost of revenues by revenue stream for the periods presented.

Current wording

We derive our cost of revenues from two revenue streams: (i) property purchases and sales through Cash Offer and (ii) real estate services. The following tables present our cost of revenues by revenue stream for the periods presented.

Previous wording

Cost of real estate services increased by $26,995, or 281.64%, from $9,585 for the three months ended March 31, 2025 to $36,580 for the three months ended March 31, 2026. The increase was driven by higher real estate agency service costs, which rose from $2,085 for the three months ended March 31, 2025 to $36,580 for the three months ended March 31, 2026. Although real estate agency commission revenue decreased over the same period, real estate agency service costs increased primarily due to a higher proportion of transactions involving commission splits paid to cooperating external agents during the three months ended March 31, 2026. The increase in commission split ratios paid to external cooperating agents was primarily due to intensified market competition and the Company’s efforts to expand transaction volume and geographic coverage. During the period, the Company offered more competitive commission structures to attract and retain external agents and referral partners in key markets. Home renovation service costs decreased from $7,500 for the three months ended March 31, 2025 to $0 for the three months ended March 31, 2026, as no home renovation projects were completed during the three months ended March 31, 2026.

Current wording

Cost of real estate services increased by $45,905, or 63.93%, from $71,809 for the six months ended June 30, 2025 to $117,714 for the six months ended June 30, 2026. The increase was primarily attributable to higher real estate agency service costs and home renovation service costs. Real estate agency service costs increased from $2,085 for the six months ended June 30, 2025 to $36,580 for the six months ended June 30, 2026. Although real estate agency commission revenue decreased during the six months ended June 30, 2026, real estate agency service costs increased primarily because a higher proportion of transactions involved commission splits paid to cooperating external agents, reflecting the Company’s use of more competitive commission structures to support transaction activity and geographic expansion. Home renovation service costs increased from $69,724 for the six months ended June 30, 2025 to $81,134 for the six months ended June 30, 2026, primarily reflecting differences in the mix and scope of renovation projects completed during the respective periods.

Previous wording

The following table summarized our consolidated results of operations for the three months ended March 31, 2026 and 2025:

Current wording

The following table summarizes our consolidated results of operations for the three months ended June 30, 2026 and 2025:

Previous wording

Gross profit from property purchases and sales through the Cash Offer program increased by $106,172, from $41,966 for the three months ended March 31, 2025 to $148,138 for the three months ended March 31, 2026, primarily due to improved gross margins on Cash Offer transactions during the three months ended March 31, 2026.

Current wording

Gross profit from property purchases and sales through the Cash Offer program increased by $22,966, from $52,310 for the three months ended June 30, 2025 to $75,276 for the three months ended June 30, 2026, primarily due to more favorable margins on Cash Offer transactions completed during the three months ended June 30, 2026.

Previous wording

General and administrative expenses for the three months ended March 31, 2026 and 2025 were $393,358 and $120,754, respectively, representing an increase of $272,604, or 225.75%. The increase was primarily driven by higher legal and professional fees, depreciation and amortization expenses, rent expense, payroll and payroll tax expenses, and other general and administrative expenses.

Current wording

General and administrative expenses for the three months ended June 30, 2026 and 2025 were $338,843 and $88,813, respectively, representing an increase of $250,030, or 281.52%. The increase was primarily driven by higher legal and professional fees, rent expense, and depreciation and amortization expenses, together with increases in payroll and payroll tax expenses and other general and administrative expenses.

Previous wording

Legal and professional fees increased by $127,587, primarily due to additional costs associated with operating as a public company, including legal, accounting, audit, and other professional service fees. In addition, certain professional fees incurred during the three months ended March 31, 2025 were capitalized as deferred offering costs in connection with the Company’s IPO rather than recognized as general and administrative expenses, which impacted the period-over-period comparison. Depreciation and amortization expenses increased by $42,504, primarily due to amortization of internally developed software placed into service in December 2025, as well as depreciation associated with leasehold improvements and other fixed assets. Rent expense increased by $41,604, primarily due to higher office lease costs and additional technology-related lease arrangements. Payroll and payroll tax expenses increased by $17,342, primarily attributable to increased headcount and payroll-related costs. Other general and administrative expenses increased by $43,567, primarily due to higher operational and administrative costs associated with the Company’s business activities during the three months ended March 31, 2026.

Current wording

Legal and professional fees increased by $104,524, primarily due to higher legal, accounting, audit, SEC reporting and other professional service costs associated with operating as a public company. In addition, certain professional fees incurred during the three months ended June 30, 2025 were capitalized as deferred offering costs in connection with the Company’s IPO rather than recognized as general and administrative expenses, which impacted the period-over-period comparison. Rent expense increased by $58,547, primarily due to higher office lease costs and additional technology-related lease arrangements. Depreciation and amortization expenses increased by $42,375, primarily due to amortization of internally developed software placed in service in December 2025, as well as depreciation associated with leasehold improvements and other fixed assets. Payroll and payroll tax expenses increased by $15,534, primarily due to increases in employee compensation. Other general and administrative expenses increased by $29,050, primarily due to higher office and travel expenses during the three months ended June 30, 2026.

Previous wording

Other income (expenses), net was income of $47,828 for the three months ended March 31, 2026, compared to expense of $11,749 for the three months ended March 31, 2025. Other income during the three months ended March 31, 2026 primarily consisted of interest income earned on cash deposits and other miscellaneous income, partially offset by interest expense. Other expenses during the three months ended March 31, 2025 primarily consisted of unrealized losses on trading securities and interest expense.

Current wording

Other income, net was $33,154 for the three months ended June 30, 2026, compared to $7,590 for the three months ended June 30, 2025. Other income during the three months ended June 30, 2026 primarily consisted of interest income, realized gains on trading securities and other miscellaneous income, partially offset by unrealized losses on trading securities and interest expense. Other income during the three months ended June 30, 2025 primarily consisted of unrealized gains on trading securities, partially offset by realized losses on trading securities, interest expense and other expenses.

Previous wording

Income tax benefit for the three months ended March 31, 2026 was $31,802, compared to income tax expense of $31,444 for the three months ended March 31, 2025. The income tax benefit during the three months ended March 31, 2026 was primarily attributable to the Company’s loss before income taxes and the recognition of deferred tax assets related to net operating loss carryforwards. Income tax expense during the three months ended March 31, 2025 was primarily attributable to taxable income generated during the period.

Current wording

Income tax benefit for the three months ended June 30, 2026 was $35,648, compared to income tax expense of $6,446 for the three months ended June 30, 2025. The income tax benefit during the three months ended June 30, 2026 was primarily attributable to the Company’s loss before income taxes and the recognition of deferred tax assets related to net operating loss carryforwards and unrealized losses on trading securities. Income tax expense during the three months ended June 30, 2025 was primarily attributable to taxable income generated during the period.

Previous wording

Net loss for the three months ended March 31, 2026 was $134,670, compared to net income of $80,629 for the three months ended March 31, 2025, representing a decrease of $215,299, or 267.02%. The decrease was primarily attributable to lower gross profit and higher general and administrative expenses during the three months ended March 31, 2026.

Current wording

Net loss for the three months ended June 30, 2026 was $128,505, compared to net income of $14,418 for the three months ended June 30, 2025, representing a decrease of $142,923. The decrease was primarily attributable to higher general and administrative expenses during the three months ended June 30, 2026, partially offset by higher gross profit.

Previous wording

Net revenues for the three months ended March 31, 2026 and 2025 were $4,907,470 and $5,709,426, respectively, representing a decrease of $801,956, or 14.05%. The decrease was primarily driven by a $646,890 decrease in revenue from property purchases and sales through the Cash Offer program and a $155,066 decrease in real estate service revenue. The decline in Cash Offer revenue was primarily attributable to a lower number of property transactions completed during the three months ended March 31, 2026 compared to the same period in 2025. The decrease in real estate service revenue was primarily due to lower real estate agency commission revenue and no home renovation revenue recognized during the three months ended March 31, 2026.

Current wording

Net revenues for the six months ended June 30, 2026 and 2025 were $10,319,247 and $10,508,982, respectively, representing a decrease of $189,735, or 1.81%. The decrease was primarily driven by a $79,790 decrease in revenue from property purchases and sales through the Cash Offer program and a $109,945 decrease in real estate service revenue. The decrease in Cash Offer revenue was primarily attributable to fewer transactions, substantially offset by higher average transaction prices, while the decrease in real estate service revenue was primarily attributable to lower real estate agency commission and mortgage referral revenues, partially offset by higher property management and home renovation revenues.

Previous wording

Gross profit for the three months ended March 31, 2026 and 2025 was $186,028 and $261,917, respectively, representing a decrease of $75,889, or 28.97%. Gross margin was 3.79% for the three months ended March 31, 2026, compared to 4.59% for the same period in 2025. The decrease in gross profit and gross margin was primarily attributable to lower gross profit from real estate services, partially offset by improved gross profit from property purchases and sales through the Cash Offer program.

Current wording

Gross profit for the six months ended June 30, 2026 and 2025 was $344,747 and $371,459, respectively, representing a decrease of $26,712, or 7.19%. Gross margin decreased to 3.34% for the six months ended June 30, 2026 from 3.53% for the same period in 2025. The decrease in gross profit and gross margin was primarily attributable to lower gross profit from real estate services, partially offset by higher gross profit from property purchases and sales through the Cash Offer program.

Previous wording

Selling expenses for the three months ended March 31, 2026 and 2025 were $6,970 and $17,341, respectively, representing a decrease of $10,371, or 59.81%. The decrease was primarily attributable to lower advertising and marketing expenditures during the three months ended March 31, 2026 compared to the same period in 2025.

Current wording

Selling expenses for the six months ended June 30, 2026 and 2025 were $24,153 and $24,796, respectively, representing a decrease of $643, or 2.59%. The decrease was primarily attributable to lower advertising and marketing expenditures, partially offset by higher staging expenses during the six months ended June 30, 2026 compared to the same period in 2025.

Previous wording

We believe that our current cash position and expected operating cash flows will be sufficient to meet our working capital and operating requirements for at least the next twelve months from the date of issuance of the consolidated financial statements. However, as we continue to expand our business, including potential investments in technology development and real estate transaction activities, we may seek additional financing from time to time. Such financing may include equity financing, debt financing or other strategic funding sources. Any financing involving the issuance of equity securities or securities convertible into equity could result in dilution to our existing stockholders.

Current wording

We believe that our current cash position and expected operating cash flows will be sufficient to meet our working capital and operating requirements for at least the next twelve months from the date of issuance of the condensed consolidated financial statements. However, as we continue to expand our business, including potential investments in technology development and real estate transaction activities, we may seek additional financing from time to time. Such financing may include equity financing, debt financing or other strategic funding sources. Any financing involving the issuance of equity securities or securities convertible into equity could result in dilution to our existing stockholders.

Previous wording

Cash Flows For the Three Months Ended March 31, 2026 and 2025

Current wording

Cash Flows for the Six Months Ended June 30, 2026 and 2025

Previous wording

As of March 31, 2026, we had cash and cash equivalents of $3,471,824, other current assets of $1,976,298, current liabilities of $457,021, net working capital of $4,991,101, and a current ratio of 11.92:1. As of December 31, 2025, we had cash and cash equivalents of $7,018,931, other current assets of $128,235, current liabilities of $2,082,601, net working capital of $5,064,565, and a current ratio of 3.43:1.

Current wording

As of June 30, 2026, we had cash and cash equivalents of $5,102,528, other current assets of $597,804, current liabilities of $561,240, net working capital of $5,139,092, and a current ratio of 10.16:1. As of December 31, 2025, we had cash and cash equivalents of $7,018,931, other current assets of $128,235, current liabilities of $2,082,601, net working capital of $5,064,565, and a current ratio of 3.43:1.

Previous wording

The following table presented a summary of our cash flows for the three months ended March 31, 2026 and 2025:

Current wording

The following table presents a summary of our cash flows for the six months ended June 30, 2026 and 2025:

Previous wording

Net Cash Used in Operating Activities

Current wording

Net Cash (Used In) Provided By Operating Activities

Previous wording

Net cash used in operating activities was $3,292,646 for the three months ended March 31, 2026, primarily derived from (i) net loss of $134,670, adjusted for non-cash items including deferred income taxes of $35,519, partially offset by operating lease expense of $53,654, and depreciation and amortization of $47,143, and (ii) net changes in operating assets and liabilities as of March 31, 2026 compared to December 31, 2025, primarily consisting of (a) an increase in real estate held for sale of $1,665,203, (b) a decrease in other current liabilities of $1,538,252, (c) a decrease in accounts payable of $89,435, (d) a decrease in operating lease liabilities of $33,254, and (e) an increase in advances to contractors of $12,853, partially offset by (a) a decrease in accounts receivable of $81,993, and (b) a decrease in long-term prepaid expenses of $33,750.

Current wording

Net cash used in operating activities was $1,653,751 for the six months ended June 30, 2026, primarily derived from (i) net loss of $263,175, adjusted for non-cash items including deferred income tax benefits of $70,920 and realized gains on trading securities of $20,005, partially offset by operating lease expense of $104,142, depreciation and amortization of $94,286, and unrealized losses on trading securities of $19,111, and (ii) net changes in operating assets and liabilities as of June 30, 2026 compared to December 31, 2025, primarily consisting of (a) a decrease in other current liabilities of $1,436,181, (b) a decrease in accounts payable of $89,435, (c) an increase in advances to contractors of $64,291, (d) an increase in prepayments and other receivables of $58,000, and (e) a decrease in operating lease liabilities of $46,451, partially offset by (a) a decrease in accounts receivable of $109,668 and (b) a decrease in long-term prepaid expenses of $67,500.

Previous wording

Net cash used in operating activities was $844,832 for the three months ended March 31, 2025, primarily derived from (i) net income of $80,629, adjusted for non-cash items including deferred income taxes of $3,080, partially offset by operating lease expense of $11,337, an unrealized loss on trading securities of $11,007, and depreciation and amortization of $4,639, and (ii) net changes in operating assets and liabilities as of March 31, 2025 compared to December 31, 2024, primarily consisting of (a) an increase in accounts receivable of $1,815,840, (b) an increase in advances to contractors of $26,873, (c) a decrease in accounts payable of $21,300, and (d) a decrease in operating lease liabilities of $11,551, partially offset by (a) a decrease in real estate held for sale of $907,061, (b) a decrease in prepaid expenses and other receivables of $9,979, and (c) an increase in other current liabilities of $9,160.

Current wording

Net cash provided by operating activities was $1,009,610 for the six months ended June 30, 2025, primarily derived from (i) net income of $95,047, adjusted for non-cash items including operating lease expense of $22,673, depreciation and amortization of $9,407, and realized losses on trading securities of $2,651, partially offset by deferred income tax benefits of $3,080, and (ii) net changes in operating assets and liabilities as of June 30, 2025 compared to December 31, 2024, primarily consisting of (a) a decrease in real estate held for sale of $907,061, (b) a decrease in accounts receivable of $18,160, and (c) a decrease in prepayments and other receivables of $9,979, partially offset by (a) a decrease in operating lease liabilities of $23,101, (b) a decrease in accounts payable of $21,300, and (c) a decrease in other current liabilities of $7,887.

Previous wording

Net cash used in operating activities was $3,292,646 for the three months ended March 31, 2026, compared to $844,832 for the three months ended March 31, 2025, representing an increase in cash outflow of $2,447,814. This increase was primarily due to (i) an increase in cash outflow of $2,572,264 on real estate held for sale, (ii) an increase in cash outflow of $1,547,412 on other current liabilities, (iii) an increase in cash outflow of $173,924 on net loss adjusted for noncash items, (iv) an increase in cash outflow of $68,135 on accounts payable, (v) an increase in cash outflow of $21,703 on operating lease liabilities, and (vi) a decrease in cash inflow of $9,979 on prepaid expenses and other receivables, partially offset by (i) an increase in cash inflow of $1,897,833 on accounts receivable, (ii) a decrease in cash outflow of $33,750 on long-term prepaid expenses, and (iii) a decrease in cash outflow of $14,020 on advances to contractors.

Current wording

Net cash used in operating activities was $1,653,751 for the six months ended June 30, 2026, compared to net cash provided by operating activities of $1,009,610 for the six months ended June 30, 2025, representing an increase in cash outflow of $2,663,361. This increase was primarily due to (i) an increase in cash outflow of $1,428,294 from changes in other current liabilities, (ii) the absence of the $907,061 cash inflow from the decrease in real estate held for sale recognized during the 2025 period, (iii) an increase in cash outflow of $263,259 attributable to net loss adjusted for non-cash items, (iv) an increase in cash outflow of $68,135 from changes in accounts payable, (v) an increase in cash outflow of $67,979 from changes in prepayments and other receivables, (vi) an increase in cash outflow of $64,291 from changes in advances to contractors, and (vii) an increase in cash outflow of $23,350 from payments for operating leases, partially offset by (i) an increase in cash inflow of $91,508 from changes in accounts receivable and (ii) a decrease in cash outflow of $67,500 from changes in long-term prepaid expenses.

Previous wording

Net cash used in investing activities was $252,350 for the three months ended March 31, 2026, which primarily consisted of the issuance of a loan receivable of $252,000 and capitalized intangible assets of $350.

Current wording

Net cash used in investing activities was $258,402 for the six months ended June 30, 2026, primarily consisting of purchases of trading securities of $258,052, the issuance of a loan receivable of $252,000, and capitalized intangible assets of $350, partially offset by proceeds of $252,000 from the collection of the loan receivable.

Previous wording

Net cash used in investing activities was $136,000 for the three months ended March 31, 2025, which consisted of purchases of trading securities.

Current wording

Net cash used in investing activities was $2,651 for the six months ended June 30, 2025, consisting of purchases of trading securities of $274,718, substantially offset by proceeds of $272,067 from sales of trading securities.

Previous wording

Net cash used in financing activities was $2,111 for the three months ended March 31, 2026, which consisted of repayments of auto loan principal.

Current wording

Net cash used in financing activities was $4,250 for the six months ended June 30, 2026, consisting of repayments of auto loan principal.

Previous wording

Net cash used in financing activities was $105,974 for the three months ended March 31, 2025, which primarily consisted of repayments of related party advances of $381,000, payment of offering costs of $49,000, and repayments of auto loan principal of $1,974, partially offset by proceeds from related party advances of $326,000.

Current wording

Net cash used in financing activities was $120,663 for the six months ended June 30, 2025, primarily consisting of repayments of related party advances of $381,000, payments of offering costs of $201,027, and repayments of auto loan principal of $3,983, partially offset by proceeds of $465,347 from related party advances.

Previous wording

Our discussion and analysis of our financial condition and results of operations are based upon our consolidated financial statements. These financial statements are prepared in accordance with U.S. GAAP, which requires us to make estimates and assumptions that affect the reported amounts of our assets and liabilities and revenue and expenses, to disclose contingent assets and liabilities on the date of the consolidated financial statements, and to disclose the reported amounts of revenue and expenses incurred during the financial reporting period. We continue to evaluate these estimates and assumptions that we believe to be reasonable under the circumstances. We rely on these evaluations as the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. Since the use of estimates is an integral component of the financial reporting process, actual results could differ from those estimates. Some of our accounting policies require higher degrees of judgment than others in their application. We believe that the critical accounting policies disclosed in this Quarterly Report on Form 10-Q reflect the more significant judgments and estimates used in preparation of our consolidated financial statements. Further, as an emerging growth company, we have elected to use the extended transition period for complying with new or revised accounting standards that have different effective dates for emerging growth companies until the earlier of the date that we (i) are no longer an emerging growth company or (ii) affirmatively and irrevocably opt out of the extended transition period provided in the JOBS Act. As a result, these financial statements contained in our subsequent filings with the SEC may not be comparable to other public companies.

Current wording

Our discussion and analysis of our financial condition and results of operations are based upon our condensed consolidated financial statements. These financial statements are prepared in accordance with U.S. GAAP, which requires us to make estimates and assumptions that affect the reported amounts of our assets and liabilities and revenue and expenses, to disclose contingent assets and liabilities on the date of the consolidated financial statements, and to disclose the reported amounts of revenue and expenses incurred during the financial reporting period. We continue to evaluate these estimates and assumptions that we believe to be reasonable under the circumstances. We rely on these evaluations as the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. Since the use of estimates is an integral component of the financial reporting process, actual results could differ from those estimates. Some of our accounting policies require higher degrees of judgment than others in their application. We believe that the critical accounting policies disclosed in this Quarterly Report on Form 10-Q reflect the more significant judgments and estimates used in preparation of our consolidated financial statements. Further, as an emerging growth company, we have elected to use the extended transition period for complying with new or revised accounting standards that have different effective dates for emerging growth companies until the earlier of the date that we (i) are no longer an emerging growth company or (ii) affirmatively and irrevocably opt out of the extended transition period provided in the JOBS Act. As a result, these financial statements contained in our subsequent filings with the SEC may not be comparable to other public companies.

Previous wording

The Company derives its revenues primarily from real estate services and real estate purchases and sales through Cash Offer.

Current wording

The Company derives its revenues primarily from real estate services and purchases and sales of real estate through its Cash Offer program.

Previous wording

The Company’s real estate service revenue consists primarily of real estate agency commission for buying and selling properties for clients, revenue generated from property management service, home renovation service, and mortgage referral service.

Current wording

The Company’s real estate service revenue consists primarily of real estate agency commission for buying and selling properties for clients, and revenue generated from property management service, home renovation service, and mortgage referral service.

Previous wording

The Company earns agency commission revenue, usually at a fixed percentage of property’s selling price, through facilitating the buy or sale of various types of properties, including residential, commercial, and land parcels. The Company is considered an agent for these services provided, and reports service revenue earned through these transactions on a net basis. Revenue is recognized when the agency service is provided, usually at the closing of the escrow.

Current wording

The Company earns agency commission revenue, usually at a fixed percentage of the property’s selling price, through facilitating the buy or sale of various types of properties, including residential, commercial, and land parcels. The Company is considered an agent for these services provided, and reports service revenue earned through these transactions on a net basis. Revenue is recognized when the agency service is provided, usually at the closing of escrow.

Previous wording

The Company’s revenue from purchases and sales through its Cash Offer program primarily consists of purchasing residential properties and subsequently reselling those properties to customers within a short period of time. Under the Cash Offer program, the Company may purchase residential properties using its own capital, with title transferred to Linkhome Realty, and subsequently resell the properties to customers. Both purchase and sales transactions go through an escrow company. The Company is the principal of these transactions and recognizes revenue and cost when the property purchased is sold and escrow is closed. This type of revenue does not contain a financing component due to there being no difference between the amount of promised consideration and the cash selling price of the promised goods or services, and the length of time between when the Company transfers the promised goods or services to the customer and when the customer pays for those goods is very short, usually within a few weeks or a few months.

Current wording

The Company’s revenue from purchases and sales through its Cash Offer program primarily consists of purchasing residential properties and subsequently reselling those properties to customers within a short period of time. Under the Cash Offer program, the Company may purchase residential properties using its own capital, with title transferred to Linkhome Realty, and subsequently resell the properties to customers. Both purchase and sales transactions go through an escrow company. The Company is the principal of these transactions and recognizes revenue and cost when the property purchased is sold and escrow is closed. The Company does not recognize a significant financing component because the period between the transfer of the property to the customer and payment is generally short, typically within a few weeks or months.

Previous wording

The Company’s accounts receivable, loan receivable and certain other financial assets included in the consolidated balance sheets are within the scope of ASC Topic 326. As the Company has limited customers and debtors, the Company uses the loss-rate method to evaluate the expected credit losses on an individual basis. When establishing the loss rate, the Company makes the assessment on various factors, including historical experience, creditworthiness 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.

Current wording

The Company’s accounts receivable, loan receivables and certain other financial assets measured at amortized cost are within the scope of ASC Topic 326. As the Company has a limited number of customers and debtors, the Company evaluates expected credit losses based on the specific facts and circumstances of each receivable, including historical experience, the creditworthiness of customers and debtors, current economic conditions, reasonable and supportable forecasts of future economic conditions, and other factors that may affect collectibility. The Company records specific allowances when facts and circumstances indicate that a receivable is unlikely to be collected.

Previous wording

Accounts receivable represent the amounts that the Company has an unconditional right to consideration, which are stated at the historical carrying amount net of allowance for credit losses. The Company maintains allowances for credit losses for estimated losses. The Company reviews the accounts receivable on a periodic basis and makes allowances when there is doubt as to the collectability of individual balances. In evaluating the collectability of individual receivable balances, the Company considers many factors, including historical losses, the age of the receivable balance, the customer’s historical payment patterns and creditworthiness, current economic conditions, and reasonable and supportable forecasts of future economic conditions. Accounts are written off against the allowance after all means of collection have been exhausted and the potential for recovery is considered remote. As of March 31, 2026 and December 31, 2025, the Company had no allowances for credit losses.

Current wording

Accounts receivable represent amounts for which the Company has an unconditional right to consideration and are stated at their historical carrying amounts, net of the allowance for credit losses. The Company maintains an allowance for credit losses for estimated losses. The Company reviews accounts receivable periodically and records allowances when there is doubt as to the collectibility of individual balances. In evaluating the collectibility of individual receivable balances, the Company considers many factors, including historical losses, the age of the receivable balance, the customer’s historical payment patterns and creditworthiness, current economic conditions, and reasonable and supportable forecasts of future economic conditions. Accounts are written off against the allowance after all means of collection have been exhausted and the potential for recovery is considered remote. As of June 30, 2026 and December 31, 2025, the Company had no allowance for credit losses.