Item 5. Market for Registrant’s Common Equity
Item
5. Market for Registrant’s Common Equity, Related Stockholder Matters, and Issuer Purchases of Equity Securities
Market
Information
Our
common stock trades on the Nasdaq Capital Market under the symbol “AIHS.”
Holders
Based upon information furnished
by our transfer agent, as of July 7, 2025, the Company had approximately 33 stockholders of record. Because some of our common stock is
held by brokers and other institutions on behalf of stockholders, we are unable to estimate the total number of stockholders represented
by these record holders.
Dividends
We
have never declared or paid cash dividends on our shares. Nor do we have any present plan to pay any cash dividends on our common stock
in the foreseeable future. We currently intend to retain most, if not all, of our available funds and any future earnings to operate
and grow our business.
Our
board of directors has the discretion to declare and pay dividends in the future as we are a holding company and we rely on dividends
and other distributions on equity paid by our PRC subsidiaries for our cash and financing requirements, including the funds necessary
to pay dividends and other cash distributions to our stockholders and service any debt we may incur. The Foreign Investment Law, and
the Company Law of the PRC (2006), as amended, contain the principal regulations governing dividend distributions by wholly foreign owned
enterprises. Under these regulations, wholly foreign owned enterprises may pay dividends only out of their accumulated profits, if any,
determined in accordance with PRC accounting standards and regulations. Additionally, such companies are required to set aside 10% of
their after-tax profits of the year, if any, to statutory reserve funds until such time as the accumulated reserve funds reach and remain
above 50% of the registered capital amount. These reserves are not distributable as cash dividends except in the event of liquidation
and cannot be used for working capital purposes. A PRC company is not permitted to distribute any profits until any losses from prior
fiscal years have been offset. Profits retained from prior fiscal years may be distributed together with distributable profits from the
current fiscal year. As of March 31, 2025, the total respective registered capital of all the Company’s direct subsidiaries was
approximately RMB515 million (approximately $71.0 million). And as of March 31, 2025, most of the Company’s subsidiaries incorporated
in the PRC have suffered accumulated loss and the Company concluded none of subsidiaries has ability to transfer a portion of their net
assets to the Company either in the form of dividends, loans or advances.
Furthermore,
if our subsidiaries and affiliates in China incur debt on their own in the future, the instruments governing the debt may restrict its
ability to pay dividends or make other payments. If we or our subsidiary and affiliates are unable to receive all of the revenues from
our operations through the current contractual arrangements, we may be unable to pay dividends on our common stock.
70
Purchases
of Our Equity Securities
None.
Recent
Sales of Unregistered Securities
None.
Use
of Proceeds
Not
applicable.
Item
6. [Reserved]