IONIX TECHNOLOGY, INC. (Form: 10-K, Received: 10/13/2017 16:45:57)

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form 10-K

Amendment No.__

☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934

For the fiscal year ended June 30, 2017

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

For the Transition Period from to .

Commission File Number 000-54485

IONIX TECHNOLOGY, INC.

(Exact name of registrant as specified in its charter)

Nevada		45-0713638
(State or other jurisdiction of incorporation or organization)		(I.R.S. Employer Identification No.)

4F, Tea Tree B Building, Guwu Sanwei Industrial Park, Xixiang Street, Baoan District, Shenzhen,
Guangdong Province, China 518000

(Address of principal executive offices) (Zip Code)

Chengdong Industrial Park, Fenyi County, Xinyu City, Jiangxi Province, China 338000

(Former Address)

+86-138 8954 0873

(Registrant’s telephone number, including area code)

Securities registered pursuant to Section 12(b) of the Act:

None

Securities registered pursuant to Section 12(g) of the Act:

Common Stock, par value $0.0001

Indicate by check mark if the Registrant is a well-known seasoned issuer as defined in Rule 405 of the Securities Act. Yes ☐ No ☒

Indicate by check mark if the Registrant is not required to file reports pursuant to Section 13 or Section 15(d) of the Act. Yes ☐ No ☒

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 Website, 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 if disclosure of delinquent filers pursuant to Item 405 of Regulation S-K is not contained herein, and will not be contained, to the best of the Registrant’s knowledge, in definitive proxy or information statements incorporated by reference in Part III of this Form 10-K or any amendment to this Form 10-K. ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company or, an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer”, “smaller reporting company”, and “emerging growth company”, in Rule 12b-2 of the Exchange Act.

Large accelerated filer ☐		Accelerated filer ☐
Non-accelerated filer ☐		Smaller reporting company ☒
(Do not check if 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 13(a) of the Exchange Act. ☐

Indicate by check mark whether the Registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ☒

The aggregate market value of the voting and non-voting common equity held by non-affiliates of the registrant was $273,270,800 based upon the price ($4.40) at which the common stock was last sold as of December 31, 2016, the last business day of the registrant’s most recently completed second fiscal quarter, multiplied by the approximate number of shares of common stock held by persons other than executive officers, directors and five percent stockholders of the registrant without conceding that any such person is an “affiliate” of the registrant for purposes of the federal securities laws.

As of October 11, 2017, there were 99,003,000 shares of common stock issued and outstanding, par value $0.0001 per share.

As of October 11, 2017, there were 5,000,000 shares of preferred stock issued and outstanding, par value $0.0001 per share.

Documents Incorporated By Reference: None

TABLE OF CONTENTS

		Page No.
	PART I
Item 1.	Business	5
Item 1A.	Risk Factors	14
Item 1B.	Unresolved Staff Comments	14
Item 2.	Properties	14
Item 3.	Legal Proceedings	15
Item 4.	Mine Safety Disclosures	15
	PART II
Item 5.	Market for Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities	16
Item 6.	Selected Financial Data	18
Item 7.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	18
Item 7A.	Quantitative and Qualitative Disclosures About Market Risk	23
Item 8.	Financial Statements and Supplementary Data	24
Item 9.	Changes in and Disagreements with Accountants on Accounting and Financial Disclosure	25
Item 9A.	Controls and Procedures	25
Item 9B.	Other Information	26
	PART III
Item 10.	Directors, Executive Officers and Corporate Governance	27
Item 11.	Executive Compensation	31
Item 12.	Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters	33
Item 13.	Certain Relationships and Related Transactions, and Director Independence	34
Item 14.	Principal Accounting Fees and Services	36
	PART IV
Item 15.	Exhibits and Financial Statement Schedules	37
	Signatures

PART I

SPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTS

This Annual Report on Form 10-K contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (the “Securities Act”) and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”). These forward-looking statements are not historical facts but rather are based on current expectations, estimates and projections. We may use words such as “anticipate,” “expect,” “intend,” “plan,” “believe,” “foresee,” “estimate” and variations of these words and similar expressions to identify forward-looking statements. These statements are not guarantees of future performance and are subject to certain risks, uncertainties and other factors, some of which are beyond our control, are difficult to predict and could cause actual results to differ materially from those expressed or forecasted. These risks and uncertainties include the following:

	·	The availability and adequacy of our cash flow to meet our requirements;
	·	Economic, competitive, demographic, business and other conditions in our local and regional markets;
	·	Changes or developments in laws, regulations or taxes in our industry;
	·	Actions taken or omitted to be taken by third parties including our suppliers and competitors, as well as legislative, regulatory, judicial and other governmental authorities;
	·	Competition in our industry;
	·	The loss of or failure to obtain any license or permit necessary or desirable in the operation of our business;
	·	Changes in our business strategy, capital improvements or development plans;
	·	The availability of additional capital to support capital improvements and development; and
	·	Other risks identified in this report and in our other filings with the Securities and Exchange Commission or the SEC.

This report should be read completely and with the understanding that actual future results may be materially different from what we expect. The forward looking statements included in this report are made as of the date of this report and should be evaluated with consideration of any changes occurring after the date of this Report. We will not update forward-looking statements even though our situation may change in the future and we assume no obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise.

Use of Term

Except as otherwise indicated by the context, references in this Annual Report to the words "we," "our," "us," the "Company," "IINX," or “Ionix” refers to Ionix Technology, Inc . All references to “USD” or United States Dollars refer to the legal currency of the United States of America.

Item 1.

Business

Corporate Background

Ionix Technology, Inc. (the “Company”), formerly known as Cambridge Projects Inc., is a Nevada corporation that was formed on March 11, 2011, and maintains its principal executive office at 3773 Howard Hughes Pkwy, Suite 500S, Las Vegas, Nevada, 89169. The Company was originally formed to pursue a business combination through the acquisition of, or merger with, an operating business. The Company filed a registration statement on Form 10 with the U.S. Securities and Exchange Commission (the “SEC”) on August 23, 2011, and focused its efforts to identify a possible business combination.

On November 20, 2015, the Company’s former majority shareholder and chief executive offer, Locksley Samuels (“Seller”), completed a private common stock purchase agreement (the “SPA”) to sell his entire 21,600,000 shares of the Company’s common stock to Shining Glory Investments Limited (“Purchaser”). In connection with the SPA, the Board appointed Ms. Doris Zhou as the Company’s Chief Executive Officer, Chief Financial Officer, Secretary, Treasurer, and director on November 20, 2015, and Seller concurrently resigned from all positions with the Company. As a result of the SPA, a change in control occurred as (i) Purchaser acquired approximately 65.45% of the Company’s common stock, and (ii) the Company’s sole officer and director after the SPA is Ms. Zhou.

On November 30, 2015, the Company’s board of directors (the “Board”) and the majority of its shareholders approved that (i) the Company change its name from “Cambridge Projects Inc.” to “Ionix Technology, Inc.”, (ii) the Company voluntarily changed its ticker symbol in connection with the name change, and (iii) the Company execute a 3:1 forward stock split, which will increase the Company’s issued and outstanding shares of common stock from 33,001,000 to 99,003,000 (the “Corporate Actions). The Company filed an application with the Financial Industry Regulatory Authority (“FINRA”) to effectuate the Corporate Actions and filed a Form 8-K on December 10, 2015, in regards to the Corporate Actions. On February 3, 2016, FINRA approved the Corporate Actions, which took effect on the market on February 4, 2016. As a result, (i) the Company’s name is now “Ionix Technology, Inc.”, (ii) its new trading symbol is “IINX”, (iii) the 3:1 forward stock split is effective, payable upon surrender, and (iv) the Company’s new CUSIP number is 46222Q107.

On February 17, 2016, the Board ratified, approved, and authorized the Company’s acquisition of a wholly-owned subsidiary, Well Best International Investment Limited, a limited liability company formed under the laws of Hong Kong Special Administrative Region (“Well Best”)on September 14, 2015. Well Best was acquired by Qingchun Yang, its current director, on November 10, 2015. One hundred percent interest in Well Best was transferred to Ionix Technology on February 15, 2016.Well Best’s purpose is to (i) act as an investment holding company and hold the assets of Taizhou Ionix Technology Company Limited (as explained below), and (ii) pursue new business ventures conducted in the Asia Pacific region excluding China. Well Best has had no activities since inception.

On August 19, 2016, the Board ratified, approved, and authorized the Company, as the sole member of Well Best, on the formation of XinyuIonix Technology Company Limited (“XinyuIonix”), a company formed under the laws of China on May 19, 2016. As a result XinyuIonix is a wholly-owned subsidiary of Well Best and an indirect wholly-owned subsidiary of the Company. Between May 19, 2016 and the date the Board ratified the incorporation, XinyuIonix conducted no business. XinyuIonix will focus on developing and designing lithium batteries as well as to act as an investment company that may acquire other businesses located in China.

On August 19, 2016, XinyuIonix, the Company’s indirect, wholly-owned subsidiary, entered into a manufacturing agreement with Jiangxi Huanming Technology Limited Company (“Jiangxi”) whereby Jiangxi would manufacture and produce lithium batteries for Xinyu on an as-needed basis, pursuant to XinyuIonix’s instructions and specifications, for 0.9 Renminbi (approximately $0.14 USD) per unit (the “Jiangxi Agreement”). The Jiangxi Agreement was filed as exhibit 10.2 to the Company’s current report on Form 8-K filed with the Commission on August 24, 2016.

On November 7, 2016, the Company’s Board of Directors approved and ratified the incorporation of Lisite Science Technology (Shenzhen) Co., Ltd (“Lisite Science”), a limited liability company formed under the laws of China on June 20, 2016. Well Best is the sole shareholder of Lisite Science. As a result, Lisite Science is an indirect, wholly-owned subsidiary of the Company. Lisite Science acts as a manufacturing base for the Company and shall focus on developing and producing high-end intelligent electronic equipment, specifically a power bank which is a 5 volt 2 amp, 20000mAh lithium ion battery powered portable device offering charging time of 12-18 hours that is intended to be utilized as a power source for electronic devices such as the iphone, ipad, mp3/mp4 players, PSP gaming systems, and cameras. Lisite Science commenced operations in September of 2016.

On November 7, 2016, the Company’s Board of Directors approved and ratified the incorporation of Shenzhen Baileqi Electronic Technology Co., Ltd. (“Baileqi Electronic”), a limited liability company formed under the laws of China on August 8, 2016. Well Best is the sole shareholder of Baileqi Electronic. As a result, Baileqi Electronic is an indirect, wholly-owned subsidiary of the Company. Baileqi Electronic acts as a manufacturing base for the Company and shall focus on development and production of the LCD and module for civil electronic products. The module of new energy power system refers to an LCD screen that is manufactured for small devices such as video capable baby monitors, electronic devices such as tablets and cell phones, and for use in televisions or computer monitors. Baileqi Electronics commenced operations in September of 2016.On September 1, 2016, Baileqi Electronics entered into a manufacturing agreement with Shenzhen Baileqi Science and Technology Co., Ltd. (“Shenzhen Baileqi S&T”) to manufacture products for Baileqi Electronics.

On December 29, 2016, the Company’s Board of Directors approved and ratified the acquisition of 99.9% of the issued and outstanding stock of Welly Surplus International Limited, a limited company formed under the laws of Hong Kong on January 18, 2016, in exchange for 99,999 HK dollars (the “Acquisition”). As a result of the Acquisition, the Company became the majority shareholder of Welly Surplus, owning 99.99% of the issued and outstanding stock of Welly Surplus, and Welly Surplus is now a majority owned subsidiary of the Company. As the closing of the Acquisition, Ms. Zhou was appointed as a member of the board of directors of Welly Surplus. Welly Surplus will act as the accounting and financial base for the Company and shall focus on assisting the Company with all of the Company’s financial affairs. Welly surplus had no activities since inception.

On April 7, 2017, Ben William Wong (“Wong”) and Yubao Liu, an individual (“Liu”) entered into a Stock Purchase Agreement (the “Agreement”) whereby Wong agreed to sell and Liu agreed to purchase 5,000,000 shares of the Company’s restricted preferred stock, representing 100% of the total issued and outstanding preferred stock (“Company Preferred Stock”). In consideration for the Company Preferred Stock, Liu agreed to pay to Wong a total of 5,000,000 RMB on or before April 30, 2017. The Agreement closed on April 20, 2017 (the “Closing”). Additionally, on April 5, 2017, Liu and Shining Glory Investments Limited, a British Virgin Islands company (“Shining Glory”), of which Wong is the sole officer and director, entered into a purchase agreement whereby Liu acquired 1 ordinary common stock share (the “Shining Glory Share”) representing approximately 100% of Shining Glory’s outstanding shares of common stock. In consideration for the Shining Glory Share, Liu paid to Wong a total of $1 USD and Wong resigned as a Director of Shining Glory. Concurrently, Liu was appointed as the sole director of Shining Glory. The agreement between Shining Glory and Liu closed on April 20, 2017.

On April 30, 2017, Well Best International Investment Limited (“Well Best”), a wholly-owned subsidiary of the Company, transferred all of its rights, title and interest to all 100% of the issued and outstanding common stock of XinyuIonix Technology Company Limited (“XinyuIonix”) to Zhengfu Nan for RMB 100($14.49 USD) pursuant to a Share Transfer Agreement dated April 30, 2017 (the “Agreement”). Pursuant to the Agreement the consideration shall be paid to Well Best within 15 working days after execution of the Agreement. Following the execution of the Agreement, Mr. Nan owns 100% of XinyuIonix and assumes all liabilities of XinyuIonix. As a result XinyuIonix is no longer a wholly-owned subsidiary of Well Best or an indirect wholly-owned subsidiary of the Company.

Prior Operations and Agreements

Taizhou Ionix

On February 17, 2016, the Board ratified, approved, and authorized the Company, as the sole member of Well Best, on the formation of Taizhou Ionix Technology Company Limited (“Taizhou Ionix”), a company formed under the laws of China on December 17, 2015, and a wholly-owned subsidiary of Well Best. Taizhou Ionix conducted no business between its date of incorporation and date approved by the Board. As a result, Taizhou Ionix is an indirect wholly-owned subsidiary of the Company. Taizhou Ionix was formed to (i) develop, design, and manufacture lithium-ion batteries for electric vehicles, and (ii) act as an investment holding company that may acquire other businesses located in China.

On August 19, 2016, Well Best, a wholly-owned subsidiary of the Company entered into a share transfer agreement (the “Share Transfer Agreement”) whereby Well Best sold 100% of its equity interest in Taizhou Ionix, to Mr. GuoEn Li, the sole director and officer of Taizhou for approximately RMB 30,000 ($5,000USD)(the “Sale”). Well Best was the sole shareholder of Taizhou. The Board approved and authorized the Sale, and instructed Well Best to enter into and execute the Share Transfer Agreement due to the fact that the Company believed that Taizhou’s manufacturing contract with Taizhou Jiunuojie Electronic Technology Limited to produce lithium batteries was not beneficial to the Company. As a result of the Sale, (i) Taizhou is no longer an indirect, wholly-owned subsidiary of the Company, and (ii) Mr. Li is no longer affiliated with the Company. The Share Transfer Agreement was filed as exhibit 10.2 to the Company’s current report on Form 8-K filed with the Commission on August 24, 2016. Well Best recorded a loss of $18,890 on disposal of Taizhou Ionix which was included in the loss from disposal of discontinued operations on statements of comprehensive income (loss).

Business Summary

Since January 2016, the Company has shifted its focus to becoming an aggregator of energy cooperatives to achieve optimum price and efficiency in creating and producing technology and products that emphasize long life, high output, high energy density, and high reliability. By and through its wholly owned subsidiary, Well Best and the indirect subsidiaries, Baileqi Electronics, Lisite Science, and Welly Surplus, the Company has commenced its operation of high-end intelligent electronic equipment, such as portable power banks and LCD monitors in China.

The Company believes that owning and operating its own manufacturing plant would be too costly. Also by outsourcing manufacturing, the Company can devote its resources to research and development, design, and marketing of electronic control technologies, automotive battery technologies, and material and component technologies, including lithium-ion battery products for use in electric cars.

The Company, Well Best, Welly Surplus, Baileqi Electronics, and Lisite Science are actively seeking additional new prospects for technology enhancements, design, manufacturing and production of the Company’s operation of high-end intelligent electronic equipment, such as portable power banks and LCD products and future product development.

Products

Civil Electronics-

With the high-speed development in the new energy industry, the high-tech and relevant key accessories are today still playing an essential role in the energy industry chain. LCD displays are widely used in the end products of the new energy industry.

Since late 2016, the Company has expanded its focus to development and production of the LCD and module for civil electronic products and portable power packs. By and through its wholly owned subsidiary, Well Best and the indirect wholly owned subsidiary, Baileqi Electronics, the Company has commenced its operations in China. Baileqi is working on an upgrade to traditional LCD screens with display modules that use the crystal method (“TCM”) and control muddle system integration for professional manufacturing. Today, TCM is widely used in many areas, including electronic operation data displays for renewable energy vehicles, BMS information feedback, HD projectors, communication equipment, and particularly in intelligent robots.

The LCD screens are manufactured for small devices such as video capable baby monitors, electronic devices such as tablets and cell phones, and for use in televisions or computer monitors.

The Company is also manufacturing “new energy power systems” or power banks a through the Company’s indirect wholly-owned subsidiaries. The power banks range in size and capacity and are lithium ion battery powered, portable devices offering charging time of 12-18 hours that is intended to be utilized as a power source for electronic devices such as the iphone, ipad, mp3/mp4 players, PSP gaming systems, and cameras. The module of new energy power system refers to an LCD screen that is manufactured for small devices such as video capable baby monitors, electronic devices such as tablets and cell phones, and for use in televisions or computer monitors.

BAILEQI PRODUCTS
Module No ： Y50029N00T Size: 5.0” Resolution: 800(H)3(RGB)480(V) TFT LCD LCD Active Area: 108.00*64.80mm Quline Dimensions: 120.70(H) x 75.80(V) x 4.25(T) Interface Type: 24 BIT RGB Interface Display Colors: 16.7M Brightness: 300 cd/mm Viewing Direction: 12 O’CLOCK
Module No:Y43001N04N Size:4.3” Resolution:480RGB×272 LCD Active Area:95.04(H)×53.86(V) Qutline Dimensions: 105.4(H)× 67.10(V)×2.95(D) Interface Type: RGB 24 BIT Display Colors:16.7M Brightness:480cd/mm(7S) Viewing Direction:12 O’CLOCK

Module No:Y10108M00N Size:10.1” Resolution:1280RGB×800 LCD Active Area:216.96(H)×135.60(V) Qutline Dimensions: 229.46(H)× 149.10(V)×3.00(D) Interface Type: LVDS Display Colors:16.7M Brightness:300cd/mm(3S-13P) Viewing Direction:6 O’CLOCK
LISITE SCIENCE PRODUCTS
K20000 Capacity: 20000mah capacity Size: 167.28523.5mm Type: 18650 2500mah*8 Input: MICRO 5/2A Output: USB 5/2A Color: White Materials: ABS+PC
QC01 Capacity ： 10000mah Size ： 102x61x21.5mm Type ： LG18650 3350mah*3 Input ： MICRO 9/1.8A 5/2A Output ： USB 9V/1.8A 5/2A Color: Orange and Black Materials: Aluminum Alloy +PC Weight ： 350g

T3 Capacity ： 10000mah Size ： 100x62x21.5mm Type ： 805573 Input ： MICRO 5/2A Output ： USB 5/2A Color: White Materials: ABS + PC Weight: 195g
T100CY Capacity ： 10000mah Size ： 139 * 59.8 * 23.4mm Type ： 18650 2000mah*5 Input ： MICRO 5/2A Output ： USB 5/2A Color: White Materials ： ABS+PC Weight ： 274.8g

Lithium Ion Battery-

The Company’s products include 18650-2000mAh lithium ion batteries for use in lithium cell electronic bicycles, balance cars, scooters, electric vehicles, special vehicles at low speed, energy storage, and other products. The 18650 -200mAh battery cell is a commodity format cell based on standardized specifications for product dimensions, however, the Company is able to and provides custom solutions based on the needs of customers regarding capacity and performance. During the year ended June 30, 2017, the Company decided to focus its energies on the civil electronics portion of its business.

The product specifications for our 18650-2000mAH battery, pictured to the right, are set forth in the table below:

Items	Rated Performance	Remarks
Rated Capacity	2000mAh	1 C ₅ Astandard charging 1 C ₅ Astandard discharging
Minimum Capacity	2000mAh	1 C ₅ Astandard charging 1 C ₅ Astandard discharging
Nominal Voltage	3.7V	working voltage
Discharge cut-off voltage	2.75V

Charge voltage	4.2V
AC Impedance	≤26mΩ
Standard Charging method	0.5 C ₅ A CC(constant current) charge to 4.2V, then CV (constant voltage 4.2V) charge till charge current decline to 0.01 C ₅ A	Charging time ： Approximately 3.5h
Standard Discharge method	0.5 C ₅ A. electric constant exile to 2.25V
Fast charging	Continuous ChargeCurrent ： 1 C5A Continuous Chargevoltage ： 4.2V Decline Charge voltage ： 0.01 C ₅ A	Charging time ： Approximately 90min
Maximum Continuous DischargeCurrent	3C ₅ A
Max. Discharge Current	5C ₅ A
Operation Temperature Range	Charge ： 0 ~45 ℃	60±25%R.H Single cell storage humidity range
Operation Temperature Range	Discharge: -20~55 ℃	60±25%R.H Single cell storage humidity range
Storage T/H Range	Less than one year ： -20~25 ℃	60±25%R.H Shipment status humidity range for
Storage T/H Range	Less than 3 month ： -20~35 ℃	60±25%R.H Shipment status humidity range for
Weigh	Approximately ： 44g
Product Dimension	Height(Max) ： 65.5mm	Initial dimension

What is a Lithium-Ion Battery?

A lithium-ion battery (“LIB”) is a rechargeable electric device within which lithium moves from a negative electrode to a positive electrode during the discharge and back charging. The four main materials typically used in LIB’s are cathode materials, anode materials, operators, and electrolytic solution. The performance and safety of an LIB depends heavily on the materials from which they are made as their operation is based on chemical reactions which can be directly affected by the materials used in production.

LIB’s are one of the most common types of rechargeable batteries as they are frequently used as the power supply for most consumer devices that people use every day such as mobile phones, digital cameras, and power tools. Additionally, LIB’s are also utilized in aerospace applications and automotive products such as electric and hybrid vehicles. The lithium-ion battery has become the more sought-after alternative to nickel-metal batteries for electric vehicles , partially due to its lighter weight and smaller size, and LIB’s have become a common replacement for the lead acid batteries used in golf carts and utility vehicles.

Industry Overview

The first lithium-ion battery was commercialized by Japan’s Sony in 1991. Since then, the LIB has become the most popular and advanced battery with its reach expanding more and more every day. Lithium-ion batteries are used in and influence nearly every aspect of our lives daily, both at home and at work, and innovation is sprinting forward at a rapid pace. The push for clean and renewable energy, from wind power to solar power, is a driving force in business today and a major reason why Lithium-batteries are and have been a major contender in storing renewable energy.

The global market for lithium-ion batteries has grown significantly and is expected to continue to grow as the need for high power and high capacity battery cells increase its penetration into broader forms of use. The power density, safety, recharge time, cost, and other aspects of its technology are expected to continue to improve with future developments in technology.

According to a report published by Allied Market Research titled, "Lithium-Ion Battery Market" the global lithium-ion battery market is expected to generate revenue of $46.21 billion by 2022, with a CAGR of 10.8% during the forecast period (2016-2022). ¹ As reported by Allied, the market for these batteries is expected to experience significant growth because of their increasing application in the automotive sector. Other key factors that may affect the growth of this market are the growing demand for smartphones, tablets, and other electronic devices; stringent government regulations aimed at reducing the increasing pollution levels; and enhanced efficiency of lithium-ion batteries.

Currently, the electronics industry has the highest demand for lithium-ion batteries, however, the automotive sector is forecast to have the highest rising demand for LIB for use in electric and plug-in hybrid vehicles. The number of electric/hybrid vehicles is expected to increase at an exponential rate in the coming years, which would further increase the demand for lithium ion batteries. For instance, in 2014, Tesla announced its plans to manufacture around 500,000 electric cars every year by around 2018, which would require a huge supply of lithium ion batteries.

The Asia-Pacific geographical region is currently the largest in LIB use and production due to burgeoning demand in China, Japan and India. North America and Europe are the second and third leading regions respectively, for lithium-ion battery market. ² Currently, the global market is highly concentrated as about 5 to 6 major players occupy around 50% market share in the overall lithium-ion battery market. ³

The following figure shows the market size of lithium based batteries for the 2008-2013 period and expected market size for 2014-2020 forecast.

Figure: Revenues of the Global Lithium-based Battery Market (in USD Billion), 2008-2020 ⁴

_________________________________

¹ Lithium-Ion Battery Market by Material Type.Allied Market Research, March 2016. https://www.alliedmarketresearch.com/lithium-ion-battery-market

² Id.

³ Id.

⁴ Global Market for Lithium-Ion batteries- Forecast, Trends, & Opportunies 2014-2020. Taiyou Research

Competition

Our competitors include large consumer electronic and manufacturing companies that offer products similar to ours such as Panasonic Sanyo, Samsung, Hitachi, Mitsubishi Chemical, and LG Chem Ltd., among others. Many of our competitors have substantially greater financial, technical, and human resources than we do, as well as greater experience in the discovery and development of products and the commercialization of those products. Our competitors’ products may be more effective, or more effectively marketed and sold, than any products we may commercialize and may render our products obsolete or non-competitive before we can recover the expenses of their development and commercialization. We anticipate that we will face intense and increasing competition as new products enter the market and advanced technologies become available. However, we believe that our products will offer key potential advantages over competitive products that could enable our products to capture meaningful market share from our competitors . We believe the principal methods of competition and primary competitive factors in our business include:

customer service,

product pricing, and

product performance, reliability and safety.

Distribution Methods of Products

The Company’s products are currently directly shipped from the manufacturers to the distributors and retailers. Marketing and sales departments were established in through the Company’s indirect subsidiaries during the year ended June 30, 2017 to cope with the growth of the Company. We explore potential customer bases using internal resources. Currently, we do not have any long term contracts with our customers and will manufacture according to the purchase orders received. In the future, we will continue to seek additional channels of distribution for our products to include wholesale stores and mass retailers. The Company plans to focus primarily on distributing its products regionally, starting in Greater China, and will then seek to expand its distribution channels across the U.S. and internationally.

Manufacturing

The Company outsources the manufacturing and packaging of our products to a third party located in China on an order-by-order basis. Baileqi Electronics entered into a manufacturing contract with Shenzhen Baileqi S&T to manufacture products for Baileqi Electronics.

The Company and Lisite Science are actively seeking new prospects for the manufacturing and production of the Company’s products. Further, when we do identify and engage a manufacturer we expect that that manufacturer would not work exclusively for the Company and may be limited in their ability to meet our production needs, however, we are considering this a top priority while trying to identify prospects.

Suppliers of Materials

The elements necessary for our products are and will be sourced from several different suppliers located primarily in China on an order-by-order basis. These materials include lithium manganite (Li-Mn) and lithium nickel manganese cobalt (Li-NiCoMn). Some of the materials in our products are not readily available in large quantities or are available on a limited basis only. Further, the limited availability of some of these materials could cause significant fluctuations in their costs.

The Company, Baileqi Electronics, and Lisite Science acquire materials from the following list of principal suppliers, dependent on availability and price points:


lithium manganate （ Li-Mn)*	lithium nickel manganese cobalt （ Li-NiCoMn ） *
Anhui Aland New Energy Materials Co. ,Ltd.	Xinxiang Zhongtian Luminous Materials Co., Ltd.
Guangzhou Guanggang New Energy Technology Co., Ltd.	Xinxiang Jinrun Science and Technology Co., Ltd.
Zhejiang New Era Haichuang Lithium Battery Technology Co., Ltd.	Jiaozuo Banlv Na-No Material Engineering Company Limited
Long Power Systems (Suzhou) Co., Ltd.

*This list of suppliers is subject to change at any time.

Our management researches and develops our sources of materials used in the manufacturing of our products. The materials that we source are and will be sent to our manufacturer in China to create our products. The Company does not have any long-term contracts with our suppliers and we cannot be assured that they will be able to meet our demands.

Intellectual Property

As part of our business, we will seek to protect our intellectual property rights in various ways, including through trademarks, copyrights, trade secrets, including know-how, patents, patent applications, employee and third party nondisclosure agreements, intellectual property licenses and other contractual rights. We currently hold no intellectual property rights.

Government Regulations Affecting Our Business

At this stage in our business, we are unaware of any government regulations that are directly affecting our business, however, as we grow our business activities may become subject to various governmental regulations in different countries in which we operates, including regulations relating to: various business/investment approvals; trade affairs, including customs, import and export control; competition and antitrust; anti-bribery; advertising and promotion; intellectual property; broadcasting, consumer and business taxation; foreign exchange controls; personal information protection; product safety; labor; human rights; conflict; occupational health and safety; environmental; and recycling requirements.

Employees of the Company

The Company has no significant employees other than our officers and directors. As of June 30, 2017, the Company has no employees, however, our indirect subsidiary Baileqi has fifteen employees and Lisite Science has three employees. We intend to increase the size of our management team and hire additional employees in the future to manage the continued growth of our company and to increase our sales force and marketing efforts.

WHERE YOU CAN GET ADDITIONAL INFORMATION

We file annual, quarterly and current reports, proxy statements and other information with the SEC. You may read and copy our reports or other filings made with the SEC at the SEC’s Public Reference Room, located at 100 F Street, N.E., Washington, DC 20549. You can obtain information on the operations of the Public Reference Room by calling the SEC at 1-800-SEC-0330. You can also access these reports and other filings electronically on the SEC’s web site, www.sec.gov .

Item 1A.

Risk Factors

We are a smaller reporting company as defined by Rule 12b-2 of the Securities Exchange Act of 1934 and are not required to provide the information under this item.

Item 1B.

Unresolved Staff Comments

None.

Item 2.

Properties

Our mailing address in the US is that of our registered agent, at 3773 Howard Hughes Pkwy, Suite 500S, Las Vegas, NV 89169. Our principal office in China consists of 2,298 square feet (701 square meters) of office and warehouse space located at 4F, Tea Tree B Building, Guwu Sanwei Industrial Park, Xixiang Street, Baoan District, Shenzhen, Guangdong Province, China 518000. This office is leased by Baileqi, our indirect subsidiary, for $2,510 (16,824RMB) per month. This lease expires on September 30, 2018. We believe that this space is adequate for our current and immediately foreseeable operating needs.

We previously maintained an office at Chengdong Industrial Park in Fenyi County, Jiangxi Province,China, however, on April 30, 2017, Well Best our wholly-owned subsidiary transferred all of its rights, title and interest to XinyuIonix. As such the Company no longer responsible for the lease at Chengdong Industrial Park

Item 3.

Legal Proceedings

We know of no material, existing or pending legal proceedings against our company, nor are we involved as a plaintiff in any material proceeding or pending litigation. There are no proceedings in which any of our directors, officers or affiliates, or any registered or beneficial stockholder, is an adverse party or has a material interest adverse to our interest.

Item 4.

Mine Safety Disclosure

Not applicable.

PART II

Item 5.

Market for Registrant’s Common Equity, Related Stockholder Matters and Small Business Issuer Purchases of Equity Securities

Market Information

Our common stock is currently quoted on OTCQB. Our common stock commenced quotation on the OTCQB under the trading symbol “CPJT”. On February 4, 2016, our symbol was changed to “IINX” to reflect the Company’s name change to Ionix Technology, Inc. Our common stock began trading in April 2015. Because we are quoted on the OTCQB, our common stock may be less liquid, receive less coverage by security analysts and news media, and generate lower prices than might otherwise be obtained if it were listed on a national securities exchange.

The following table sets forth the high and low bid prices for our Common Stock per quarter as reported by the OTCQB for the quarterly periods indicated below based on our fiscal year end June 30. These prices represent quotations between dealers without adjustment for retail mark-up, markdown or commission and may not represent actual transactions.

Fiscal Quarter	High		Low
First Quarter (Jul. 1, 2015 – Sept. 30, 2015)	$	0.55	$	0.25
Second Quarter (Oct. 1, 2015 – Dec. 31, 2015)	$	0.55	$	0.55
Third Quarter (Jan. 1, 2016 – Mar. 31, 2016)	$	6.00	$	0.10
Fourth Quarter (Apr. 1, 2016 – Jun. 30, 2016)	$	5.00	$	5.00

First Quarter (Jul. 1, 2016 – Sept. 30, 2016)	$	5.00	$	3.60
Second Quarter (Oct. 1, 2016 – Dec. 31, 2016)	$	4.40	$	3.60
Third Quarter (Jan. 1, 2017 – Mar. 31, 2017)	$	4.40	$	4.00
Fourth Quarter (Apr. 1, 2017– Jun. 30, 2017)	$	4.40	$	2.00

Record Holders

As of June 30, 2017, the approximate number of registered holders of our common stock was 94. As of June 30, 2017, there were 99,003,000 shares of common stock issued and outstanding and there were 5,000,000 shares of preferred stock issued and outstanding. There were no shares of common stock subject to outstanding warrants, and there were no shares of common stock subject to outstanding stock options.

Dividends

On November 30, 2015, the Company’s board of directors and majority of its shareholders approved a 3:1forward stock split which increased the Company’s issued and outstanding shares of common stock from 33,001,000 to 99,003,000 (the “Forward Split”). The Forward Split was approved by FINRA and took effect on the market on February 4, 2016. The Forward Split shares are payable upon surrender of certificates to the Company’s transfer agent.

We have not declared or paid any cash dividends on our common stock nor do we anticipate paying any in the foreseeable future. Furthermore, we expect to retain any future earnings to finance our operations and expansion. The payment of cash dividends in the future will be at the discretion of our Board of Directors and will depend upon our earnings levels, capital requirements, any restrictive loan covenants and other factors the Board considers relevant.

Securities Authorized for Issuance under Equity Compensation Plans

None.

Recent Sales of Unregistered Securities; Use of Proceeds from Registered Securities

The following sets forth certain information concerning securities which were sold or issued by us without the registration of the securities under the Securities Act of 1933 in reliance on exemptions from such registration requirements within the past three years:

On February 17, 2016, the Company entered into a subscription agreement to sell 5,000,000 preferred shares (the “Preferred Shares”) for $50,000 in cash ($0.01 per share). No commissions were paid to any broker or third party for this transaction.

Exemption From Registration. The shares of Common Stock and Preferred Stock referenced herein were issued in reliance upon one of the following exemptions:

(a)The shares of Common Stock referenced herein were issued in reliance upon the exemption from securities registration afforded by the provisions of Section 4(2) of the Securities Act of 1933, as amended, ("Securities Act"), based upon the following: (a) each of the persons to whom the shares of Common Stock were issued (each such person, an "Investor") confirmed to the Company that it or he is an "accredited investor," as defined in Rule 501 of Regulation D promulgated under the Securities Act and has such background, education and experience in financial and business matters as to be able to evaluate the merits and risks of an investment in the securities, (b) there was no public offering or general solicitation with respect to the offering of such shares, (c) each Investor was provided with certain disclosure materials and all other information requested with respect to the Company, (d) each Investor acknowledged that all securities being purchased were being purchased for investment intent and were "restricted securities" for purposes of the Securities Act, and agreed to transfer such securities only in a transaction registered under the Securities Act or exempt from registration under the Securities Act and (e) a legend has been, or will be, placed on the certificates representing each such security stating that it was restricted and could only be transferred if subsequently registered under the Securities Act or transferred in a transaction exempt from registration under the Securities Act.

(b)The shares of common stock referenced herein were issued pursuant to and in accordance with Rule 506 of Regulation D and Section 4(2) of the Securities Act. We made this determination in part based on the representations of the Investor(s), which included, in pertinent part, that such Investor(s) was an “accredited investor” as defined in Rule 501(a) under the Securities Act, and upon such further representations from the Investor(s) that (a) the Investor is acquiring the securities for his, her or its own account for investment and not for the account of any other person and not with a view to or for distribution, assignment or resale in connection with any distribution within the meaning of the Securities Act, (b) the Investor agrees not to sell or otherwise transfer the purchased securities unless they are registered under the Securities Act and any applicable state securities laws, or an exemption or exemptions from such registration are available, (c) the Investor either alone or together with its representatives has knowledge and experience in financial and business matters such that he, she or it is capable of evaluating the merits and risks of an investment in us, and (d) the Investor has no need for the liquidity in its investment in us and could afford the complete loss of such investment. Our determination is made based further upon our action of (a) making written disclosure to each Investor prior to the closing of sale that the securities have not been registered under the Securities Act and therefore cannot be resold unless they are registered or unless an exemption from registration is available, (b) making written descriptions of the securities being offered, the use of the proceeds from the offering and any material changes in the Company’s affairs that are not disclosed in the documents furnished, and (c) placement of a legend on the certificate that evidences the securities stating that the securities have not been registered under the Securities Act and setting forth the restrictions on transferability and sale of the securities, and upon such inaction of the Company of any general solicitation or advertising for securities herein issued in reliance upon Rule 506 of Regulation D and Section 4(2) of the Securities Act.

(c) The shares of Common Stock referenced herein were issued pursuant to and in accordance with Rule 903 of Regulation S of the Act. We completed the offering of the shares pursuant to Rule 903 of Regulation S of the Act on the basis that the sale of the shares was completed in an "offshore transaction", as defined in Rule 902(h) of Regulation S. We did not engage in any directed selling efforts, as defined in Regulation S, in the United States in connection with the sale of the shares. Each investor represented to us that the investor was not a "U.S. person", as defined in Regulation S, and was not acquiring the shares for the account or benefit of a U.S. person. The agreement executed between us and each investor included statements that the securities had not been registered pursuant to the Act and that the securities may not be offered or sold in the United States unless the securities are registered under the Act or pursuant to an exemption from the Act. Each investor agreed by execution of the agreement for the shares: (i) to resell the securities purchased only in accordance with the provisions of Regulation S, pursuant to registration under the Act or pursuant to an exemption from registration under the Act; (ii) that we are required to refuse to register any sale of the securities purchased unless the transfer is in accordance with the provisions of Regulation S, pursuant to registration under the Act or pursuant to an exemption from registration under the Act; and (iii) not to engage in hedging transactions with regards to the securities purchased unless in compliance with the Act. All certificates representing the shares were or upon issuance will be endorsed with a restrictive legend confirming that the securities had been issued pursuant to Regulation S of the Act and could not be resold without registration under the Act or an applicable exemption from the registration requirements of the Act.

Purchases of Equity Securities by the Small Business Issuer and Affiliated Purchasers

None.

Item 6

Selected Financial Data

We are a smaller reporting company as defined by Rule 12b-2 of the Securities Exchange Act of 1934 and are not required to provide the information under this item.

Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operation

The following discussion should be read in conjunction with our audited financial statements and notes thereto included herein. We caution readers regarding certain forward looking statements in the following discussion and elsewhere in this report and in any other statement made by, or on our behalf, whether or not in future filings with the Securities and Exchange Commission. Forward-looking statements are statements not based on historical information and which relate to future operations, strategies, financial results or other developments. Forward looking statements are necessarily based upon estimates and assumptions that are inherently subject to significant business, economic and competitive uncertainties and contingencies, many of which are beyond our control and many of which, with respect to future business decisions, are subject to change. These uncertainties and contingencies can affect actual results and could cause actual results to differ materially from those expressed in any forward looking statements made by, or our behalf. We disclaim any obligation to update forward-looking statements.

Results of Operations for the Years Ended June 30, 2017 and 2016

Revenue

During the year ended June 30, 2017 and 2016, revenue was $6,816,908 and zero respectively. The difference can be attributed to the commencement of our business and generating revenue from the sale of portable power banks and LCD screens in the PRC.

In comparison, total revenue during the year ended June 30, 2016 was zero because the results of operations of Taizhou Ionix for the years ended June 3 0 , 2017 and 2016 are included in the income from discontinued operations .

Cost of Revenue

During the year ended June 30, 2017, cost of revenue was $2,720,295 for non-related parties, and $3,762,550 for related parties. In the year ended June 30, 2017, cost of revenue included the cost of raw materials and finished products purchased and the sub- contracting processing fee paid to the processing factories which were owned by our shareholders, pursuant to the manufacturing agreement between the Company’s subsidiaries in PRC and processing factories.

Cost of revenue was zero for the year ended June 30, 2016, because the results of operations of Taizhou Ionix for the years ended June 3 0 , 2017 and 2016 are included in the income from discontinued operations .

Gross Profit

During the years ended June 30, 2017 and 2016, gross profit was $334,063 and zero, respectively. Our gross profit margin maintained at 5% during the year ended June 30, 2017.

Selling, General and Administrative Expenses

During the years ended June 30, 2017, and 2016, general and administrative expenses were $312,792, and $53,364, respectively. Our general and administrative expenses mainly comprised of payroll expenses, transportation, office expense, professional fees, freight and shipping costs, rent, and other miscellaneous expenses. The expenses were significantly more in 2017 as we have expanded the operation in the PRC during this period and the operating expenses from Taizhou Ionix and Xinyu Ionix were included in the income from discontinued operation.

Income (Loss) from Discontinued Operations

QI system business was terminated on November 15, 2015. The Company disposed of the ownership in Taizhou Ionix and Xinyu Ionix in August 2016 and April 2017 respectively.

Hence the Company has presented results of QI system, Taizhou Ionix and Xinyu Ionix operations as the discontinued operations in the consolidated statements of comprehensive income (loss).

During the years ended June 30, 2017 and 2016, income from discontinued operation was $39,847 and $8,933, respectively, all of which were revenue offset by cost of revenue and general and administrative expenses.

Net Income (Loss )

During the years ended June 30, 2017 and 2016, net income (loss) was $51,462 and $(44,431), respectively, which included net income (loss) from continuing operation of $61,620 and $(53,364), respectively, and net income (loss) from discontinued operation of $(10,158) and $8,933, respectively. The difference can be attributed to the commencement of our business in the field of portable power banks and LCD screens and generating revenue from the sale of portable power banks and LCD screens in the PRC during the year ended June 30, 2017.

Liquidity and Capital Resources

Cash Flow from Operating Activities

During the years ended June 30, 2017 and 2016, the Company received cash of $445 from operating activities compared with cash used in operating activities of $985,191, respectively. The change was mainly due to an increase in n et income from continuing operation and an increase in accounts payable which were partially offset by an increase in accounts receivables.

Cash Flow from Investing Activities

During the years ended June 30, 2017 and 2016, the Company used $144,191 and $NIL in cash for investing activities, respectively. The Company’s subsidiary, Baileqi Electronic, made short-term advance to a third party for $149,191, which was repaid in full in September 2017. The advance was non-interest bearing and due on demand.

Cash Flow from Financing Activities

During the year ended June 30, 2017, the Company received $271,936 in cash from financing activities, which was all due to proceeds received from related party loans. In comparison, during the year ended June 30, 2016, the Company received $1,044,949 in cash from financing activities, including proceeds from related party loans of $53,510 and cash collected from issuance of preferred shares of $50,000.

As of June 30, 2017, we have a working capital of $62,054.

Our total current liabilities for the year ended June 30, 2017 was $747,158 and consists primarily of accounts and other payables of $351,083 and amount due to related parties of $323,599. Our Company’s President is committed to providing for our minimum working capital needs for the next 12 months, and we do not expect previous loan amounts to be payable for the next 12 months. However, we do not have a formal agreement that states any of these facts. The remaining balance of our current liabilities relates to audit and consulting fees and such payments are due on demand and we expect to settle such amounts on a timely basis based upon shareholder loans to be granted to us in the next 12 months.

We will require approximately $150,000 to fund our working capital needs as follows:

Audit and accounting		30,000
Legal Consulting fees		50,000
Salary and wages		30,000
Edgar/XBRL filing, transfer agent and miscellaneous		40,000
Total	$	150,000

Future Financings

We will not consider taking on any long-term or short-term debt from financial institutions in the immediate future. We are dependent upon our director and the major shareholder to provide continued funding and capital resources. If continued funding and capital resources are unavailable at reasonable terms, we may not be able to implement our plan of operations. The financial statements do not include any adjustments related to the recoverability of assets and classification of liabilities that might be necessary should the Company be unable to continue in operation.

Off-Balance Sheet Arrangements

We do not have any off-balance sheet arrangements that have or are reasonably likely to have a current or future effect on the Company’s financial condition, changes in financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources that is material to investors.

Critical Accounting Policies

While our significant accounting policies are more fully described in Note 3 to our financial statements, we believe the following accounting policies are the most critical to aid you in fully understanding and evaluating this management discussion and analysis

Revenue recognition

In accordance with the ASC Topic 605, “Revenue Recognition”, the Company recognizes revenue when persuasive evidence of an arrangement exists, transfer of title has occurred or services have been rendered, the selling price is fixed or determinable and collectability is reasonably assured.

The Company recognizes revenue from the sale of finished products upon delivery to the customer, whereas the title and risk of loss are fully transferred to the customers. The Company records its revenues, net of value added taxes (“VAT”). The Company is subject to VAT which is levied on the majority of the products at the rate of 17% on the invoiced value of sales.

Comprehensive income

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 consolidated statement of stockholders’ equity, consists of changes in unrealized gains and losses on foreign currency translation. This comprehensive income is not included in the computation of income tax expense or benefit.

Accounts receivable

Accounts receivable are recorded at the invoiced amount and do not bear interest, which are due within contractual payment terms, generally 30 to 90 days from shipment. Credit is extended based on evaluation of a customer's financial condition, the customer’s credit-worthiness and their 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. At the end of each period, the Company specifically evaluates individual customer’s financial condition, credit history, and the current economic conditions to monitor the progress of the collection of accounts receivables. The Company will consider the allowance for doubtful accounts for any estimated losses resulting from the inability of its customers to make required payments. For the receivables that are past due or not being paid according to payment terms, the appropriate actions are taken to exhaust all means of collection, including seeking legal resolution in a court of law. Account balances are charged off against the allowance after all 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. Based on the evaluation, the Company has determined that $ NIL and $71,31 8 allowance for doubtful accounts is required as of June 30, 2017 and 2016 respectively. The $71,318 allowance for doubtful accounts was included in the current assets from discontinued operations.

Use of Estimates

The Company’s consolidated financial statements have been prepared in accordance with US GAAP. This requires 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 consolidated financial statements and reported amounts of revenue and expenses during the reporting period. The significant areas requiring the use of management estimates include, but are not limited to, the allowance for doubtful accounts receivable, estimated useful life of intangible assets, provision for staff benefits, recognition and measurement of deferred income taxes and valuation allowance for deferred tax assets. Although these estimates are based on management’s knowledge of current events and actions management may undertake in the future, actual results may ultimately differ from those estimates and such differences may be material to our consolidated financial statements.

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 statement of operations.

The reporting currency of the Company is the United States Dollar ("US$"). The Company's subsidiaries in the People’s Republic of China (“PRC”) maintain their books and records in their local currency, the Renminbi Yuan ("RMB"), which is the functional currency as being the primary currency of the economic environment in which these entities operate.

In general, for consolidation purposes, assets and liabilities of its subsidiaries whose functional currency is not the 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 period. Stockholders’ equity is translated at historical rates. 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 statement of stockholders’ equity.

The exchange rates used to translate amounts in RMB into U.S. Dollars for the purposes of preparing the consolidated financial statements are as follows:

	2016		2017
Balance sheet items, except for equity accounts		6.6312		6.7744
Items in statements of income and cash flows		6.3120		6.7028

Recently Issued Accounting Pronouncements

In May 2014, the Financial Accounting Standards Board (“FASB”) issued, ASU 2014-09, “Revenue from Contracts with Customers (Topic 606).” The guidance substantially converges final standards on revenue recognition between the FASB and the International Accounting Standards Board providing a framework on addressing revenue recognition issues and, upon its effective date, replaces almost all exiting revenue recognition guidance, including industry-specific guidance, in current U.S. generally accepted accounting principles. In April 2015, the FASB proposed a one-year delay in the effective date and companies will be allowed to early adopt as of the original effective date. Accordingly, this guidance will be effective for the Company beginning the first quarter of fiscal year 2018. The Company plans to adopt the new revenue guidance in the fiscal year of 2018 and is currently in the process of evaluating the impact on the Company’s consolidated financial statements.

In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments . The amendments in this ASU clarify and include specific guidance to address diversity in how certain cash receipts and cash payments are presented and classified in the statement of cash flows. The amendments will be effective beginning the first quarter of fiscal year 2018. Early adoption of the amendments is permitted. The amendments in this ASU should be applied using a retrospective transition method to each period presented. The Company will adopt the amendments in the fiscal year of 2018. No significant impacts on the consolidated financial statements from the amendments were expected.

In November 2016, the FASB issued ASU No. 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash . The amendments in this ASU require that a statement of cash flows explain the change during the period in the total of cash, cash equivalents and amounts generally described as restricted cash. Therefore, amounts generally described as restricted cash should be included with cash and cash equivalents when reconciling the beginning-of-period and end-of-period total amounts shown on the statement of cash flows. The amendments will be effective beginning the first quarter of fiscal year 2018. Early adoption of the amendments is permitted. The amendments should be applied using a retrospective transition method to each period presented. The Company plans to adopt the amendments in the first quarter of fiscal year 2018. Since then, the changes in restricted cash in the consolidated cash flow are no longer presented within investing activities and will be retrospectively included in the changes of cash, cash equivalents and restricted cash as required.

In January 2017, the FASB issued ASU No. 2017-01, Business Combinations (Topic 805): Clarifying the Definition of a Business . The amendments in this ASU clarify the definition of a business with the objective of adding guidance to assist entities with evaluating whether transactions should be accounted for as acquisitions or disposals of assets or businesses. The amendments will be effective beginning the first quarter of fiscal year 2018. Early application is permitted. The amendments should be applied prospectively on or after the effective date. No disclosures are required at transition. The Company is currently evaluating the impact the amendments will have on the consolidated financial statements.

In January 2017, the FASB issued ASU No. 2017-04, Intangibles—Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment . The amendments in this ASU simplify the subsequent measurement of goodwill by eliminating Step 2 from the goodwill impairment test. Under the amendments, an entity should perform its annual, or interim, goodwill impairment test by comparing the fair value of a reporting unit with its carrying value, which eliminates the current requirement to calculate a goodwill impairment charge by comparing the implied fair value of goodwill with its carrying amount. The amendments will be effective beginning the first quarter of fiscal year 2020. Early adoption is permitted for interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. The amendments should be applied on a prospective basis. The Company is currently evaluating the impact the amendments will have on the consolidated financial statements.

In February 2017, the FASB issued ASU No. 2017-05, Derecognition and Partial Sales of Nonfinancial Assets . The amendments in this ASU clarify the scope of guidance on nonfinancial asset derecognition (ASC 610-20) as well as the accounting for partial sales of nonfinancial assets. The amendments will be effective beginning the first quarter of fiscal year 2018. Early adoption is permitted but is conditioned upon the early adoption of the new revenue standard (ASC 606). The amendments should be applied on a full or modified retrospective basis. The Company is currently evaluating the impact the amendments will have on the consolidated financial statements.

Contractual Obligations

We are a smaller reporting company as defined by Rule 12b-2 of the Securities Exchange Act of 1934 and are not required to provide the information under this item.

Item 7A.

Quantitative and Qualitative Disclosure About Market Risk

We are a smaller reporting company as defined by Rule 12b-2 of the Securities Exchange Act of 1934 and are not required to provide the information under this item.

Item 8.

Financial Statements and Supplementary Data

IONIX TECHNOLOGY, INC.

INDEX TO CONSOLIDATED FINANCIAL STATEMENTS

Financial Statements		Page
Reports of Independent Registered Public Accounting Firm		F-1
Consolidated Balance Sheets as of June 30, 2017 and 2016		F-2
Consolidated Statements of Comprehensive Income (Loss) for the years ended June 30, 2017 and 2016		F-3
Consolidated Statements of Stockholders’ Equity for the years ended June 30, 2017 and 2016		F-4
Consolidated Statements of Cash Flows for the years ended June 30, 2017 and 2016		F-5
Notes to Consolidated Financial Statements		F-6

IONIX TECHNOLOGY, INC.

CONSOLIDATED BALANCE SHEETS

	June 30, 2017			June 30, 2016
ASSETS
Current Assets:
Cash	$	186,767		$	59,758
Accounts receivable		292,265			-
Inventory		53,163			-
Advances to suppliers		118,647			-
Other receivables		147,615			-
Prepaid expenses and other current assets		10,755			103
Current asset of discontinued operation		-			2,129,360
Total Current Assets		809,212			2,189,221
Total Assets	$	809,212		$	2,189,221

LIABILITIES AND STOCKHOLDERS’ EQUITY
Current Liabilities:
Accounts payable-- non-related parties	$	96,378		$	-
- related parties		159,861			-
Advance from customers		72,476			-
Due to related parties		323,599			53,510
Accrued expenses and other current liabilities		94,844			9,080
Current liability of discontinued operation		-			2,113,533
Total Current Liabilities		747,158			2,176,123

COMMITMENT AND CONTINGENCIES

Stockholders’ Equity :
Preferred stock,5,000,000 shares authorized, $.0001 par value; 5,000,000 shares issued and outstanding		500			500
Common stock, 195,000,000 shares authorized, $.0001 par value; 99,003,000 shares issued and outstanding		9,900			9,900
Additional paid in capital		237,246			237,246
Accumulated deficit		(183,441	)		(234,903	)
Accumulated other comprehensive income ( loss)		(2,151	)		355
Total Stockholders’ Equity		62,054			13,098
Total Liabilities and Stockholders’ Equity	$	809,212		$	2,189,221

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

F-2

IONIX TECHNOLOGY, INC.

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)

	For the years ended June 30,

	2017			2016

Revenues	$	6,816,908		$	-

Cost of revenues- Non-related parties		(2,720,295	)		-
- Related parties		(3,762,550	)		-
Total Cost of Revenues		(6,482,845	)

Gross profit		334,063			-

Expenses:
Selling, general and administrative		(312,792	)		(53,364	)

Total operating expenses		(312,792	)		(53,364	)

Income (loss) from operations		21,271			(53,364	)

Other income-consulting service		69,967			-

Income (loss) from continuing operations before income tax		91,238			(53,364	)

Income tax		29,618			-

Net income (loss) from continuing operations		61,620			(53,364	)

Discontinued operations

Income from discontinued operations, net of tax		39,847			8,933
Loss from disposal of discontinued operations		(50,005	)		-

Total income (loss) from discontinued operations		(10,158	)		8,933

Net income (loss)		51,462			(44,431	)

Other comprehensive income ( loss)

Foreign currency translation adjustment		(2,506	)		355

Comprehensive income (loss)	$	48,956		$	(44,076	)

Income/ loss Per Share -
Basic and Diluted-continuing operation	$	-		$	-
-discontinued operation	$	-		$	-
Total	$	-		$	-
Weighted average number of common shares outstanding-Basic and Diluted		99,003,000			99,003,000

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

F-3

IONIX TECHNOLOGY, INC.

CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY

	Preferred Stock				Common Stock				Additional Paid in		Accumulated other comprehensive			Accumulated
	Shares		Amount		Shares		Amount		capital		income (loss)			Deficit			Total

Balance June 30, 2015		-	$	-		99,003,000	$	9,900	$	3,661	$	-		$	(190,472	)	$	(176,911	)

Shares issued for cash		5,000,000		500		-		-		49,500		-			-			50,000

Forgiveness of stockholder loan		-		-		-		-		184,085		-			-			184,085

Net loss		-		-		-		-		-		-			(44,431	)		(44,431	)

Foreign currency translation adjustment		-		-		-		-		-		355			-			355

Balance June 30, 2016		5,000,000		500		99,003,000		9,900		237,246		355			(234,903	)		13,098

Net income		-		-		-		-		-		-			51,462			51,462

Foreign currency translation adjustment		-		-		-		-		-		(2,506	)		-			(2,506	)

Balance June 30, 2017		5,000,000	$	500		99,003,000	$	9,900	$	237,246	$	(2,151	)	$	(183,441	)	$	62,054

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

F-4

IONIX TECHNOLOGY, INC.

CONSOLIDATED STATEMENTS OF CASH FLOWS

	For the years ended June 30,
	2017			2 016
CASH FLOWS FROM OPERATIONS:
Net income (loss)	$	51,462		$	(44,431	)
Net income (loss) from discontinued operation		(10,158	)		8,933
Net income (loss) from continuing operation		61,620			(53,364	)
Adjustments required to reconcile net income (loss) to net cash provided by (used in) operating activities:
Changes in assets and liabilities:
Advance to suppliers		(119,914	)		-
Accounts receivable		(295,387	)		-
Inventory		(53,731	)		-
Prepaid expenses		(10,750	)		(103	)
Accounts payable-non-related parties		97,408			-
Accounts payable-related parties		161,569			-
Advance from customers		73,250			-
Accrued expenses		86,380			9,080
Net cash provided by (used in) continuing operation		445			(44,387	)
Net cash used in discontinued operation		-			(940,804	)
Net cash provided by (used in) operating activities		445			(985,191	)

CASH FLOWS FROM INVESTING ACTIVITIES
Other receivables		(149,191	)		-
Proceeds from disposal of subsidiary		5,000			-
Net cash used in continuing operation		(144,191	)		-
Net cash used in discontinued operation		-			-
Net cash used in investing activities		(144,191	)		-

CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from loans from related parties		271,936			53,510
Proceeds from issuance of preferred shares		-			50,000
Net cash provided by continuing operation		271,936			103,510
Net cash provided by discontinued operation		-			941,439
Net cash provided by financing activities		271,936			1,044,949

Effect of exchange rate changes on cash and cash equivalents		(1,181	)		-

Net increase in cash		127,009			59,758

Cash, beginning of year		59,758			-

Cash, end of year	$	186,767		$	59,758

Supplemental disclosure of cash flow information:

Cash paid for income tax	$	7,534		$	2,390

Cash paid for interests	$	-		$	-

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

F-5

IONIX TECHNOLOGY, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

NOTE 1- NATURE OF OPERATIONS

Ionix Technology, Inc. (the “Company” or “Ionix”), formerly known as Cambridge Projects Inc., is a Nevada corporation that was formed on March 11, 2011. By and through its wholly owned subsidiaries in China, the Company sells the high-end intelligent electronic equipment, which includes portable power banks for electronic devices and LCD screens in China.

On February 17, 2016, the Board ratified, approved, and authorized the Company, as the sole member of Well Best International Investment Limited (“Well Best”), on the formation of Taizhou Ionix Technology Company Limited (“Taizhou Ionix”), a company formed under the laws of China on December 17, 2015, and a wholly-owned subsidiary of Well Best. As a result, Taizhou Ionix is an indirect wholly-owned subsidiary of the Company. Taizhou Ionix conducted no business between its date of incorporation and date approved by the Board. Taizhou Ionix was formed to (i) develop, design, and manufacture lithium-ion batteries for electric vehicles, and (ii) act as an investment holding company that may acquire other businesses located in China. On August 19, 2016, Well Best sold 100% ownership of Taizhou Ionix to one of its directors. (See Note 4)

On May 19, 2016, the Company, as the sole member of Well Best, formed Xinyu Ionix Technology Company Limited (“Xinyu Ionix”), a company formed under the laws of China. As a result Xinyu Ionix is a wholly-owned subsidiary of Well Best and an indirect wholly-owned subsidiary of the Company. Xinyu Ionix started operation in August 2016 and focused on developing and designing lithium batteries as well as to act as an investment company that may acquire other businesses located in China. On April 30, 2017, Well Best sold 100% ownership of Xinyu Ionix to one of its directors. ( See Note 4)

On December 29, 2016, the Company’s Board of Directors approved and ratified to invest 99,999 HK dollars for 99.999% of the issued and outstanding stock of Welly Surplus International Limited (“Welly Surplus”), a limited company formed under the laws of Hong Kong on January 18, 2016. As a result of the investment, the Company became the majority shareholder of Welly Surplus, owning 99.999% of the outstanding stock of Welly Surplus, Mr Xin Sui, a director, owns 0.001% of the outstanding stock of Welly Surplus. Welly Surplus will act as the accounting and financial base for the Company and shall focus on assisting the Company with all of the Company’s financial affairs. Welly Surplus had no operating activities from inception until the date of acquisition.

F-6

NOTE 2 –GOING CONCERN

The accompanying consolidated financial statements have been prepared assuming that the Company will continue as a going concern. The Company had an accumulated deficit of $183,441 at June 30, 2017 and has not generated sufficient cash flow from its operations for the past two years. These circumstances, among others, raise substantial doubt about the Company’s ability to continue as a going concern. The consolidated financial statements do not include any adjustments that might result from the outcome of this uncertainty.

The Company may need to raise additional capital from external sources or obtain loans from officers and shareholders in order to continue the long-term efforts contemplated under its business plan. The Company is pursuing other revenue streams which could include strategic acquisitions or possible joint ventures of other business segments.

NOTE 3 –SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Basis of presentation

The Company’s consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”).

Certain amounts have been reclassified to conform to current year presentation

Basis of consolidation

The consolidated financial statements include the accounts of Ionix Technology Inc. and its subsidiaries. All significant inter-company balances and transactions have been eliminated upon consolidation.

Use of Estimates

The Company’s consolidated financial statements have been prepared in accordance with US GAAP and this requires 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 consolidated financial statements and reported amounts of revenue and expenses during the reporting period. The significant areas requiring the use of management estimates include, but are not limited to, the allowance for doubtful accounts receivable, estimated useful life and residual value of property, plant and equipment, provision for staff benefit, recognition and measurement of deferred income taxes and valuation allowance for deferred tax assets. Although these estimates are based on management’s knowledge of current events and actions management may undertake in the future, actual results may ultimately differ from those estimates and such differences may be material to our consolidated financial statements.

Cash and cash equivalents

Cash consists of cash on hand and cash in bank. Cash equivalents represent investment securities that are short-term, have high credit quality and are highly liquid.

F-7

Accounts Receivable

Accounts receivable are recorded at the invoiced amount and do not bear interest, which are due within contractual payment terms, generally 30 to 90 days from shipment. Credit is extended based on evaluation of a customer's financial condition, the customer’s credit-worthiness and their 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. At the end of each period, the Company specifically evaluates individual customer’s financial condition, credit history, and the current economic conditions to monitor the progress of the collection of accounts receivables. The Company will consider the allowance for doubtful accounts for any estimated losses resulting from the inability of its customers to make required payments. For the receivables that are past due or not being paid according to payment terms, the appropriate actions are taken to exhaust all means of collection, including seeking legal resolution in a court of law. Account balances are charged off against the allowance after all 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. Based on the evaluation, the Company has determined that no allowance for doubtful accounts is required as of June 30, 2017 and 2016, respectively for the continuing operation. The allowance of $71,318 for doubtful accounts was recorded as of June 30, 2016 which was included in the current assets from discontinued operation.

Advances to suppliers

Advances to suppliers represent prepayments for merchandise, which were purchased but had not been received. The balance of the advances to suppliers is reduced and reclassified to inventories when the raw materials are received and pass quality inspection.

Impairment of long-lived assets

In accordance with the provisions of ASC Topic 360, “Impairment or Disposal of Long-Lived Assets”, all long-lived assets such as property, plant and equipment held and used by the Company are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability of assets to be held and used is evaluated by a comparison of the carrying amount of an asset to its estimated future undiscounted cash flows expected to be generated by the asset. If such assets are considered to be impaired, the impairment to be recognized is measured by the amount by which the carrying amounts of the assets exceed the fair value of the assets.

Revenue recognition

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 discloses 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.

F-8

As of June 30, 2017 and 2016, the Company did not have any significant unrecognized uncertain tax positions.

Comprehensive income (loss)

Comprehensive income (loss) is defined as the change in equity of a company during a period from transactions and other events and circumstances excluding transactions resulting from investments from owners and distributions to owners. Comprehensive income (loss) for the periods presented includes net income (loss), change in unrealized gains (losses) on marketable securities classified as available-for-sale (net of tax), foreign currency translation adjustments, and share of change in other comprehensive income of equity investments one quarter in arrears.

Earnings (losses) per share

Basic earnings (losses) per ordinary share is based on the weighted effect of ordinary shares issued and outstanding, and is calculated by dividing net profit by the weighted average shares outstanding during period. Diluted earnings per ordinary share is calculated by dividing net profit by the weighted average number of ordinary shares used in the basic earnings per share calculation plus the number ordinary shares that would be issued assuming exercise or conversion of all potentially dilutive ordinary shares outstanding.

Foreign currencies translation

The reporting currency of the Company is the United States Dollar (“US$”). The Company’s subsidiaries in the People’s Republic of China (“PRC”) maintain their books and records in their local currency, the Renminbi Yuan (“RMB”), which is the functional currency as being the primary currency of the economic environment in which these entities operate.

In general, for consolidation purposes, assets and liabilities of its subsidiaries whose functional currency is not the 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 period. Stockholders’ equity is translated at historical rates. 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 statement of stockholders’ equity.

The exchange rates used to translate amounts in RMB into U.S. Dollars for the purposes of preparing the consolidated financial statements are as follows:

	June 30, 2017		June 30, 2016

Balance sheet items, except for equity accounts		6.7744		6.6312

Items in statements of comprehensive income (loss) and cash flows		6.7028		6.3120

F-9

Fair Value of Financial Instruments

The carrying value of the Company’s financial instruments: cash and cash equivalents, accounts and retention receivable, inventory, prepayments and other receivables, accounts payable, income tax payable, 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 note payable approximate 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 model-based valuation techniques (e.g. Black-Scholes Option-Pricing model) for which all significant inputs are observable in the market or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Where applicable, these models project future cash flows and discount the future amounts to a present value using market-based observable inputs; 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.

The Company has no financial assets or liabilities measured at fair value on a recurring basis.

Recent accounting pronouncements

F-10

F-11

NOTE 4– DISCONTINUED OPERATIONS

QI System

On February 8, 2012, the Company obtained exclusive licensing rights of the QI System from Quadra International Inc. (“Quadra”), the manufacturer of the QI System, to sub-license, establish joint ventures to commercialize, use and process organic waste, and sell related by-products in the states of Johore and Selangor, Malaysia for a period of 25 years. The QI System processes organic waste to marketable by-products and is proprietary technology. This business was terminated on November 15, 2015.The Company has excluded results of QI system operations from its continuing operations to present this business in discontinued operations.

The following table shows the results of operations for years ended June 30, 2017 and 2016 which are included in the loss from discontinued operations for the termination of QI System:

	For the years ended June 30,
	2017		2016
Revenue	$	-	$	-
Cost of revenue		-		-
Gross profit		-		-

Selling, general and administrative expenses		-		6,539

Loss before income taxes		-		(6,539	)
Provision for income taxes		-		-
Net loss	$	-	$	(6,539	)

Taizhou Ionix

On August 19, 2016, Well Best entered into a share transfer agreement whereby Well Best sold 100% of its equity interest in Taizhou Ionix to Mr. GuoEn Li, the sole director and officer of Taizhou Ionix for approximately RMB 30,000 (approximately $5,000USD). Well Best was the sole shareholder of Taizhou Ionix. The Company believed that the manufacturing contract between Taizhou Ionix and Taizhou Jiunuojie Electronic Technology Limited regarding the production of lithium batteries was not beneficial to the Company. As a result, (i) Taizhou Ionix is no longer an indirect, wholly-owned subsidiary of the Company, and (ii) Mr. Li is no longer affiliated with the Company. Well Best recorded a loss of $18,890 on disposal of Taizhou Ionix which was included in the loss from disposal of discontinued operations on statements of comprehensive income (loss) .

The following table shows the results of operations of Taizhou Ionix for the years ended June 30, 2017 and 2016 which are included in the income from discontinued operations:

	For the period from July 1 to August 19, 2016			For the year ended June 30,2016
Revenue	$	173,005		$	1,972,473
Cost of revenue		(152,465	)		(1,846,598	)
Gross profit		20,540			125,875

Selling, general and administrative expenses		8,917			105,245

Income before income taxes		11,623			20,630
Provision for income taxes		(2,906	)		(5,158	)
Net income		8,717			15,472

F-12

Xinyu Ionix

On April 30, 2017, Well Best, a wholly-owned subsidiary of the Company, sold 100% of its equity interest in Xinyu Ionix to Zhengfu Nan for RMB 100 ( approximately $14USD) pursuant to a Share Transfer Agreement dated April 30, 2017 (the “Agreement”). The Company believed that the manufacturing contract between Xinyu Ionix and Jiangxi Huanming Technology Co., Ltd. regarding the production of lithium batteries was not beneficial to the Company. As a result, (i) Xinyu Ionix is no longer an indirect, wholly-owned subsidiary of the Company, and (ii) Mr. Nan is no longer affiliated with the Company. Well Best recorded a loss of $31,115 on disposal of Xinyu Ionix which was included in the loss from disposal of discontinued operations on statements of comprehensive income (loss).

The following table shows the results of operations of Xinyu Ionix for the years ended June 30, 2017 and 2016 which are included in the income from discontinued operations:

	For the period from July 1,2016 to April 30, 2017			For the year ended June 30,2016
Revenue	$	858,357		$	-
Cost of revenue		(769,418	)		-
Gross profit		88,939			-

Selling, general and administrative expenses		34,427			-

Income before income taxes		54,512			-
Provision for income taxes		(23,382	)		-
Net income	$	31,130		$	-

NOTE 5-INVENTORIES

Inventories are stated at the lower of cost (determined using the weighted average cost) or market value and are composed of the raw materials of $53,163 and $0 for the years ended June 30, 2017 and 2016, respectively.

F-13

NOTE6- OTHER RECEIVABLES

Other receivables represent short term advances to third parties. They are interest free, unsecured and repayable on demand. The balance of the other receivables as of June 30, 2017 was repaid in full in September 2017.

NOTE 7 -DUE FROM/TO RELATED PARTIES

Manufacture – related party

On September 1, 2016, Baileqi entered into a manufacturing agreement with Shenzhen Baileqi Science and Technology Co., Ltd. (“Shenzhen Baileqi S&T”) to manufacture products for Baileqi. The owner of Shenzhen Baileqi S&T is also a shareholder of the Company who owns approximately 1.5% of the Company’s outstanding common stock as of June 30, 2017. Baileqi made payments to Shenzhen Baileqi S&T for manufacturing cost. The manufacturing costs incurred with Shenzhen Baileqi S&T was $153,718 for the year ended June 30, 2017 and was included in cost of revenue.

Purchase from related party

During the year ended June 30, 2017, the Company purchased $3,303,081 and $305,750 from Keenest and Shenzhen Baileqi S&T which were owned by the Company’s shareholders who own approximately 2% and 1.5% respectively of the Company’s outstanding common stock as of June 30, 2017. The amount of $3,303,081 and $305,750 were included in the cost of revenue. The balance payable to these two related parties were zero and $159,861 respectively as of June 30, 2017.

Due to related parties

Due to related parties represents certain advances to the company or its subsidiaries by related parties. The amounts are non-interest bearing, unsecured and due on demand.

Due to related parties consists of the following:

	June 30, 2017		June 30, 2016

Ben Wong	$	143,792	$	53,510

Changyong Yang		122,820		-

Xin Sui		6,992		-

Shenzhen Baileqi S&T		41,405		-

Baozhen Deng		8,590		-

	$	323,599	$	53,510

During the year ended June 30, 2016, Ben Wong, the controlling shareholder of Shinning Glory until April 20, 2017, which holds majority shares in Ionix Technology, Inc., advanced $15,770 to the Company, and $37,740 to Well Best.

F-14

During the year ended June 30, 2017, Ben Wong advanced $90,282 to Well Best. Changyong Yang, a shareholder of the Company, advanced $122,820 to Lisite Science. Baozhen Deng, a shareholder of the Company and the owner of Shenzhen Baileqi S&T, advanced $8,590 to Baileqi Electronic. Shenzhen Baileqi S&T, a company 100% owned by Baozhen Deng, advanced $41,405 to Baileqi Electronic. Xin Sui, a member of the board of directors of Welly Surplus, advanced $6,992 to Welly Surplus.

NOTE 8– CONCENTRATION

Major customers

Customers who accounted for 10% or more of the Company’s revenues for the years ended June 30, 2017 and 2016 and its outstanding balance of accounts receivable as of June 30, 2017 and 2016 are presented as follows:

	For the year ended June 30, 2017					As of June 30, 2017
	Revenue		Percentage of revenue			Accounts receivable		Percentage of accounts receivable
Customer A	$	3,084,370		45	%	$	-		-	%
Customer B- related party		1,493,090		22	%		-		-	%
Total	$	4,577,460		67	%	$	-		-	%

	For the year ended June 30, 2016					As of June 30, 2016
	Revenue		Percentage of revenue			Accounts receivable		Percentage of accounts receivable

Customer A	$	1,480,073		75	%	$	1,267,274		86	%
Customer B		368,162		19	%		214,221		14	%
Total	$	1,848,235	$	94	%	$	1,481,495		100	%

All customers are located in the PRC.

Major suppliers

The supplier who accounted for 10% or more of the Company’s total purchases (materials and services) for the years ended June 30, 2017 and 2016 and its outstanding balance of accounts payable as of June 30, 2017 and 2016 are presented as follows:

	For the year ended June 30, 2017					As of June 30, 2017
	Total Purchase		Percentage of total purchase			Accounts payable		Percentage of accounts payable
Supplier A- related party	$	3,303,081		51	%	$	-		-	%
Total	$	3,303,081		51	%	$	-		-	%

F-15

	For the year ended June 30, 2016					As of June 30, 2016
	Total Purchase		Percentage of total purchase			Accounts payable/Due to related parties		Percentage of accounts payable

Supplier A-related party	$	720,078		34	%	$	528,720		N/A
Supplier B		452,807		22	%		416,810		54	%
Total	$	1,172,885		56	%	$	945,530		54	%

All suppliers of the Company are located in the PRC.

NOTE 9- INCOME TAXES

The effective tax rate in the years presented is the result of the mix of income earned in various tax jurisdictions that apply a broad range of income tax rate. The Company operates in various countries: United States of America , Hong Kong and the PRC that are subject to taxes in the jurisdictions in which they operate, as follows:

United States of America

The Company is registered in the State of Nevada and is subject to the tax laws of United States of America.

The Company has shown losses since inception. As a result it has incurred no income tax. Under normal circumstances, the Internal Revenue Service is authorized to audit income tax returns during a three year period after the returns are filed. In unusual circumstances, the period may be longer. Tax returns for the years ended June 30, 2011 and after were still open to audit as of June 30, 2017.

The Company received a penalty assessment from the IRS in the amount of $10,000 for failure to provide information with respect to certain foreign owned US Corporations on Form 5472 - Information Return of a 25% Foreign Owned US Corporation for the tax period ended June 30, 2013. The Company disputed this claim and is working to reverse the penalty. The Company believes that the payment of this penalty is remote and did not accrue this liability as of June 30, 2017.

Hong Kong

The Well Best and Welly Surplus are registered in Hong Kong . For the years ended June 3 0 , 2017, there is no assessable income chargeable to profit tax in Hong Kong.

The PRC

Lisite Science and Baileqi Electronic are operating in the PRC and is subject to the Corporate Income Tax Law of the People’s Republic of China at a unified income tax rate of 25%.

F-16

The reconciliation of income tax expense at the U.S. statutory rate of 35% to the Company’s effective tax rate is as follows:

	For the years ended June 30
	2017			2016

U.S. Statutory rate	$	31,933		$	(18,677	)
Tax rate difference between foreign operation and U.S.		(18,474	)		6,108
Change in valuation allowance		34,977			12,569
Permanent difference		(18,818	)		-

Effective tax rate	$	29,618		$	-

The provisions for income taxes are summarized as follows:	For the years ended June 30,
	2017		2016
Current	$	29,618	$	-
Deferred		-		-

Total	$	29,618	$	-

The tax effects of temporary differences that give rise to the Company’s net deferred tax assets are as follows:

	As of June 30,
	2017			2016
Net operating loss carryforward	$	42,830		$	12,569
Others		4,716			-
		47,546			12,569
Less valuation allowance		(47,546	)		(12,569	)
Deferred tax assets	$	-		$	-

As of June 30, 2017, the Company has approximately $240,000 net operating loss carryforwards available in the U.S. and Hong Kong to reduce future taxable income which will begin to expire from 2035. It is more likely than not that the deferred tax assets cannot be utilized in the future because there will not be significant future earnings from the entity which generated the net operating loss. Therefore, the Company recorded a full valuation allowance on its deferred tax assets for the years ended June 30, 2017 and 2016.

F-17

The Company has not provided deferred taxes on unremitted earnings attributable to international companies that have been considered to be reinvested indefinitely. Because of the availability of U.S. foreign tax credits, it is not practicable to determine the income tax liability that would be payable if such earnings were not indefinitely reinvested. In accordance with ASC Topic 740, interest associated with unrecognized tax benefits is classified as income tax and penalties are classified in selling, general and administrative expenses in the statements of operations.

The extent of the Company’s operations involves dealing with uncertainties and judgments in the application of complex tax regulations in a multitude of jurisdictions. The final taxes paid are dependent upon many factors, including negotiations with taxing authorities in various jurisdictions and resolution of disputes arising from federal, state and international tax audits. The Company recognizes potential liabilities and records tax liabilities for anticipated tax audit issues in the United States and other tax jurisdictions based on its estimate of whether, and the extent to which, additional taxes will be due.

NOTE 10- SUBSEQUENT EVENTS

The Company has evaluated the existence of significant events subsequent to the balance sheet date through the date the financial statements were issued and has determined that there were no subsequent events or transactions which would require recognition or disclosure in the financial statements.

F-18

Item 9. Changes In and Disagreements With Accountants on Accounting and Financial Disclosure

On July 18, 2016, the Company (“Registrant”) dismissed Michael F. Albanese, CPA (“Albanese”) as its independent registered public accounting firm. The decision was approved by the Company’s Board of Directors.

The reports of Albanese on the Registrant’s financial statements for the fiscal years ended June 30, 2015, and 2014, did not contain an adverse opinion or disclaimer of opinion and were not modified as to uncertainty, audit scope, or accounting principles. During the Registrant’s fiscal years ended June 30, 2015, and 2014, and the subsequent period through the date of this report, there were (i) no disagreements with Albanese on any matter of accounting principles or practices, financial statement disclosure, or auditing scope or procedure, which disagreements, if not resolved to the satisfaction of Albanese would have caused Albanese to make reference to the subject matter of the disagreements in connection with its report, and (ii) no “reportable events” as that term is defined in Item 304(a)(1)(v) of Regulation S-K.

On July 18, 2016, the Registrant engaged Paritz& Company, P.A. (“P&C”) as the Registrant’s new independent registered public accounting firm. The appointment of P&C was approved by the Registrant’s Board of Directors effective July 18, 2016.

During the fiscal years ended June 30, 2015, and 2014, and the subsequent interim period through July 18, 2016, neither the Registrant nor anyone acting on its behalf consulted with P&C regarding either (1) the application of accounting principles to any specific completed or proposed transaction, or the type of audit opinion that might be rendered on the Registrant’s financial statements, nor did P&C provide written or oral advice to the Registrant that P&C concluded was an important factor considered by the Registrant in reaching a decision as to the accounting, auditing or financial reporting issue; or (2) any matter that was either the subject of a disagreement (as defined in Item 304(a)(1)(iv) of Regulation S-K and the instructions thereto) or a reportable event (as defined in Item 304(a)(1)(v) of Regulation S-K).

The Registrant provided Albanese with a copy of the disclosures made in the Current Report on Form 8-K filed with the SEC on July 18, 2016 and requested that Albanese furnish it with a letter addressed to the Securities and Exchange Commission stating whether or not he agrees with the Registrant’s statements contained therein. Albanese reviewed the disclosures made in the Current Report on Form 8-K filed on July 18, 2016, and a copy of the letter furnished by Albanese was furnished as Exhibit 16.1 to the 8-K, and is incorporated by reference herein.

Item 9A. Controls and Procedures

As of June 30, 2017, our Chief Executive Officer and Chief Financial Officer, conducted an evaluation of the effectiveness of the design and operation of our disclosure controls and procedures, as required by Exchange Act Rule 13a-15.Based on that evaluation, our Chief Executive Officer and Chief Financial Officer concluded that our disclosure controls and procedures were not effective as of the end of the period covered by this report. Disclosure controls and procedures are controls and other procedures that are designed to ensure that information required to be disclosed in our reports filed or submitted under the Exchange Act is recorded, processed, summarized and reported, within the time periods specified in the SEC’s rules and forms. Disclosure controls and procedures include, without limitation, controls and procedures designed to ensure that information required to be disclosed in our reports filed under the Exchange Act is accumulated and communicated to management, including our Chief Executive Officer and our Chief Financial Officer, to allow timely decisions regarding required disclosure.

Management’s Report on Internal Control over Financial Reporting

Our management is responsible for establishing and maintaining adequate internal control over financial reporting as defined in Rules 13a-15(f) and 15d-15(f) under the Securities Exchange Act of 1934. Our internal control over financial reporting is a process designed by, or under the supervision of, our chief executive officer and chief financial officer, or persons performing similar functions, and effected by our board of directors, management and other personnel, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with accounting principles generally accepted in the United States of America (GAAP). Our internal control over financial reporting includes those policies and procedures that: (i) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and disposition of the assets of the Company; (ii) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with GAAP and that receipts and expenditures of the Company are being made only in accordance with authorization of management and directors of the Company; and (iii) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the Company’s assets that could have a material effect on the financial statements.

Management assessed the effectiveness of the Company’s internal control over financial reporting as of June 30, 2017. In making this assessment, management used the criteria set forth by the Committee of Sponsoring Organizations of the Treadway Commission in the 2013 Internal Control-Integrated Framework . Based on its evaluation, management has concluded that the Company’s internal control over financial reporting was not effective as of June 30, 2017.

During the year ended June 30, 2017, management identified the following weaknesses, which were deemed to be material weaknesses in internal controls:

1. Due to the size of the Company and available resources, there are limited personnel to assist with the accounting and financial reporting function, which results in a lack of segregation of duties.

2. Audit Committee – As of June 30, 2017, our Board of Directors has not established an Audit Committee or adopted an Audit Committee Charter.

3. We did not implement appropriate information technology controls – As at June 30, 2017, the Company retains copies of all financial data and material agreements; however there is no formal procedure or evidence of normal backup of the Company's data or off-site storage of data in the event of theft, misplacement, or loss due to unmitigated factors.

Pursuant to Regulation S-K Item 308(b), this Annual Report on Form 10-K does not include an attestation report of our company’s registered public accounting firm regarding internal control over financial reporting.

Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. Also, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions or that the degree of compliance with the policies or procedures may deteriorate. A control system, no matter how well designed and operated can provide only reasonable, but not absolute, assurance that the control system’s objectives will be met. The design of a control system must reflect the fact that there are resource constraints, and the benefits of controls must be considered relative to their cost.

Changes in Internal Control and Financial Reporting

There have been no changes in our internal control over financial reporting in the fiscal year ended June 30, 2017, which were identified in connection with our management’s evaluation required by paragraph (d) of rules 13a-15 and 15d-15 under the Exchange Act, that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

Item 9B. Other Information

None.

PART III

Item 10. Directors, Executive Officers and Corporate Governance

I dentification of Directors and Executive Officers and Term of Office

The following table sets forth the names and ages of our current directors and executive officers and those of our wholly owned direct subsidiary and indirect wholly owned subsidiaries. Our Board of Directors appoints our executive officers. Each director of the Company serves for a term of one year or until the successor is elected at the Company's annual shareholders' meeting and is qualified, subject to removal by the Company's shareholders. Each officer serves, at the pleasure of the Board of Directors, for a term of one year and until the successor is elected at the annual meeting of the Board of Directors and is qualified. There are no family relationships among our directors or executive officers. None of our directors or officers has been affiliated with any company that has filed for bankruptcy within the last five years. The Company is not aware of any proceedings to which any of the Company’s officers or directors, or any associate of any such officer or director, is a party adverse to the Company or any of the Company’s subsidiaries or has a material interest adverse to it or any of its subsidiaries.

Ionix Technology, Inc.

Name	Age	Position	Date of Appointment
Doris Zhou	35	Chief Executive Officer, Secretary, Treasurer, and Director.	November 20, 2015
Yue Kou	43	Chief Financial Officer	May 27, 2016

Subsidiaries:

Welly Surplus International Limited

The following table sets forth the names and ages of Welly Surplus’s directors and executive officers as of June 30, 2017.

Name	Age	Position	Date of Appointment
Xin Sui	37	President and Director	December 29, 2016
Doris Zhou	35	Director	December 29, 2016

Well Best International Investment Limited

The following table sets forth the names and ages of Well Best’s directors and executive officers as of June 30, 2017.

Name	Age		Position	Date of Appointment
Qingchun Yang	54		President and Director	February 17, 2016

Lisite Science Technology (Shenzhen) Co., Ltd.

The following table sets forth the names and ages of Lisite Science’s directors and executive officers as of June 30, 2017.

Name	Age		Position	Date of Appointment
Yun Yang	35		President and Director	November 7, 2016

Shenzhen Baileqi Electronic Technology Co., Ltd

The following table sets forth the names and ages of BaileqiElectronic’s directors and executive officers as of June 30, 2017.

Name	Age		Position	Date of Appointment
Youqian Deng	27		President and Director	November 7, 2016

Background and Business Experience

The business experience during the past five years of the person presently listed above as an Officer or Director of the Company is as follows:

Doris Zhou - Ms. Zhou earned a Bachelor’s degree in International Finance from Shenyang University in 2005. She has worked as an assistant and served as deputy general manager to the general manager of Dalian Great Wall Trade Co., Ltd. from 2007 – 2010, gaining experience with investor inquiries, investment contracts, and investor relations. Since 2010, Ms. Zhou has been an investment advisor and private equity investor in several private companies located in China, as well as managing other private equity funds. As of November 20, 2015, Ms. Zhou has worked as the Chief Executive Officer of Ionix Technology Inc., which is focused on becoming an aggregator of energy cooperatives in the industry. Additionally, beginning on December 29, 2016, Ms. Zhou has been a director of Welly Surplus International Limited.

Yue Kou- Ms. Kou is a member of the Hong Kong Institute of Certified Public Accountants, the Association of Chartered Certified Accountants, and the Chinese Institute of Certified Public Accountants. Ms. Kou has 20 years of solid experience in statutory auditing, international accounting, and publicly listed companies. Ms. Kou started her career as Chief Accountant (1996-1999) with Xinmao Tech Holding Limited, a company in China. From 1999-2002, she was employed as a staff accountant in the Ernst & Young, Beijing Branch focusing on external audit and international accounting conversions. From 2002-2006, she worked as an account manager with China Data Broadcasting Holding Ltd, a publicly listed company on the Hong Kong Stock Exchange. From 2006 to present, Ms. Kou worked as an auditor and financial controller for three different audit firms: (i) Zhongyi （ HK ） CPA Limited, (ii) Thomas Lee and Partners, and (iii) GDT CPA Limited. Since May 27, 2016, Ms. Kou has worked for Ionix Technology Inc., as the Chief Financial Officer.

Qingchun Yang - Qingchun Yang was born in Dalian, Liaoning Province. Mr. Yang majored in Economic Management and graduated as an Economist in 1987. From 2007 to 2011, Mr. Yang worked as the senior executive in Dalian Huanyu Venture Capital Co. where he was involved in wealth management experiences and high ability of resources integration. In 2012, Mr. Yang co-founded Jiamusi Huanqiu New Energy Company Limited, where he was in charge of drafting strategic plans and operating plan of the company, including the overall human recourse strategy plan, which is suitable for the short-term and long-term development of companies. Since February 17, 2016, Mr. Yang has worked as the president and director of Well Best.

Xin Sui- Mr. Sui was born in Jiamusi, Heilongjiang Province. He received a bachelor degree in Finance from Jiamusi University in 2002. Mr. Sui worked as assistant to the Chairman for Dalian Great Wall Economic and Trade Company from 2007 to 2015 where he assisted in the drafting of regulations and laws of the company, ensured the Company was achieving its business goals, and attended business negotiations on behalf of the Chairman. Mr. Sui incorporated Welly Surplus in 2016 to serve as an investment holding company. Mr. Sui is dedicated to seeking financial resources for Welly Surplus.

Yun Yang - Mr. Yang served as the Chief Technology Officer of Shenzhen Jinlisite Science and Technology Corporation Ltd. from July 2007 until May of 2016. Mr. Yang was employed as an assistant to the Chief Engineer of the Shenzhen Jinsiwei Technology Co., Ltd. from 2004 to 2007.From 2016 to present, Mr. Yang has worked as the president and director of Lisite Science Technology (Shenzhen) Co. Ltd. Mr. Yang graduated from Hebei University of Science and Technology wheree majored in Electronic Information Science and Technology and received a bachelor of science degree upon graduation.

Youqian Deng - Mr. Deng served as the Workshop Director of Shenzhen Baileqi Science Technology Company from May 2013 to September 2016. Prior to this, Mr. Deng served as the Production Manager of Shenzhen Shuangyingweiye Science and Technology Incorporated Corporation from August 2008 until May 2013. Mr. Deng graduated from the Jiangxi College of Vocational and Technical in 2010. From November 7, 2016, he served as the president and director of Shenzhen Baileqi.

Committees

Identification of Significant Employees

We have no significant employees other than our officers and directors.

Family Relationship

We currently do not have any officers or directors of our Company who are related to each other.

Potential Conflicts of Interest

The Board of Directors has not established a nominating committee. The Board is of the opinion that such committee is not necessary since the Company has only two directors, and to date, such directors have been performing the functions of such committee. Thus, there is a potential conflict of interest in that our directors and officers have the authority to determine issues concerning management compensation and nominations. We are not aware of any other conflicts of interest with any of our executive officers or directors.

Involvement in Certain Legal Proceedings

During the past ten years no director, executive officer, promoter or control person of the Company has been involved in the following:

(1)

A petition under the Federal bankruptcy laws or any state insolvency law which was filed by or against, or a receiver, fiscal agent or similar officer was appointed by a court for the business or property of such person, or any partnership in which he was a general partner at or within two years before the time of such filing, or any corporation or business association of which he was an executive officer at or within two years before the time of such filing;

(2)

Such person was convicted in a criminal proceeding or is a named subject of a pending criminal proceeding (excluding traffic violations and other minor offenses);

(3)

Such person was the subject of any order, judgment, or decree, not subsequently reversed, suspended or vacated, of any court of competent jurisdiction, permanently or temporarily enjoining him from, or otherwise limiting, the following activities:

i. Acting as a futures commission merchant, introducing broker, commodity trading advisor, commodity pool operator, floor broker, leverage transaction merchant, any other person regulated by the Commodity Futures Trading Commission, or an associated person of any of the foregoing, or as an investment adviser, underwriter, broker or dealer in securities, or as an affiliated person, director or employee of any investment company, bank, savings and loan association or insurance company, or engaging in or continuing any conduct or practice in connection with such activity;

ii. Engaging in any type of business practice; or

iii. Engaging in any activity in connection with the purchase or sale of any security or commodity or in connection with any violation of Federal or State securities laws or Federal commodities laws;

(4)

Such person was the subject of any order, judgment or decree, not subsequently reversed, suspended or vacated, of any Federal or State authority barring, suspending or otherwise limiting for more than 60 days the right of such person to engage in any activity described in paragraph (f)(3)(i) of this section, or to be associated with persons engaged in any such activity;

(5)

Such person was found by a court of competent jurisdiction in a civil action or by the Commission to have violated any Federal or State securities law, and the judgment in such civil action or finding by the Commission has not been subsequently reversed, suspended, or vacated;

(6)

Such person was found by a court of competent jurisdiction in a civil action or by the Commodity Futures Trading Commission to have violated any Federal commodities law, and the judgment in such civil action or finding by the Commodity Futures Trading Commission has not been subsequently reversed, suspended or vacated;

(7)

Such person was the subject of, or a party to, any Federal or State judicial or administrative order, judgment, decree, or finding, not subsequently reversed, suspended or vacated, relating to an alleged violation of:

i. Any Federal or State securities or commodities law or regulation; or

ii. Any law or regulation respecting financial institutions or insurance companies including, but not limited to, a temporary or permanent injunction, order of disgorgement or restitution, civil money penalty or temporary or permanent cease-and-desist order, or removal or prohibition order; or

iii. Any law or regulation prohibiting mail or wire fraud or fraud in connection with any business entity; or

(8)

Such person was the subject of, or a party to, any sanction or order, not subsequently reversed, suspended or vacated, of any self-regulatory organization (as defined in Section 3(a)(26) of the Exchange Act (15 U.S.C. 78c(a)(26))), any registered entity (as defined in Section 1(a)(29) of the Commodity Exchange Act (7 U.S.C. 1(a)(29))), or any equivalent exchange, association, entity or organization that has disciplinary authority over its members or persons associated with a member.

Code of Ethics

The Company has not adopted a code of ethics that applies to its principal executive officers, principal financial officers, principal accounting officers or controller, or persons performing similar functions. We anticipate that we will adopt a code of ethics when we increase the number of our directors and officers, or the number of employees.

Section 16(a) Beneficial Ownership Reporting Compliance

Section 16(a) of the Securities Exchange Act of 1934 requires our directors and executive officers and persons who beneficially own more than ten percent of a registered class of our equity securities to file with the SEC initial reports of ownership and reports of change in ownership of Common Stock and other equity securities of the Company. Officers, directors and greater than ten percent stockholders are required by SEC regulations to furnish us with copies of all Section 16(a) forms they file. Based solely upon a review of Forms 3 and 4 and amendments thereto furnished to us under Rule 16a-3(e) during the year ended June 30, 2017, Forms 5 and any amendments thereto furnished to us with respect to the year ended June 30, 2017, and the representations made by the reporting persons to us, we believe that during the year ended June 30, 2017, our executive officers and directors and all persons who own more than ten percent of a registered class of our equity securities have complied with all Section 16(a) filing requirements, except as follows:

Person	Filing Type	Transaction Date	Required File Date	Actual File Date
Yubao Liu	4 ⁽¹⁾	April 22, 2017	April 24, 2017	September 22, 2017

(1) On April 22, 2017, the reporting person sold shares in a private transaction which should have been reported on Form 4 on or before April 24, 2017. The reporting person filed a corrective Form 5 reporting the Form 4 reportable event on September 22, 2017.

Item 11. Executive Compensation

Summary Compensation Table

The following table sets forth the compensation paid to our executive officers, and those of Well Best and its subsidiaries, and Welly Surplus for the fiscal years ended June 30, 2017 and 2016. Unless otherwise specified, the term of each executive officer is that as set forth under that section entitled, “Directors, Executive Officers, Promoters and Control Persons -- Term of Office”.

Name and Principal Position	Year Ended June 30,	Salary ($)	Bonus ($)	Stock Awards ($)	Option Awards ($)	Non-Equity Incentive Plan Compensation ($)	Nonqualified Deferred Compensation Earnings ($)	All Other Compensati on ($)	Total ($)
Doris Zhou(1) Chief Executive Officer, Secretary, Treasurer, and Director; Director of Welly Surplus	2017	Nil	Nil	Nil	Nil	Nil	Nil	Nil	Nil
	2016	Nil	Nil	Nil	Nil	Nil	Nil	Nil	Nil
Yue Kou(2) Chief Financial Officer	2017	30,736	Nil	Nil	Nil	Nil	Nil	Nil	30,736
Yue Kou(2) Chief Financial Officer	2016	14 , 400	Nil	Nil	Nil	Nil	Nil	Nil	14,400
Xin Sui (3) President andDirector of Welly Surplus	2017	Nil	Nil	Nil	Nil	Nil	Nil	Nil	Nil
Xin Sui (3) President andDirector of Welly Surplus	2016	Nil	Nil	Nil	Nil	Nil	Nil	Nil	Nil
Qingchun Yang(4) President and Directorof Well Best	2017	Nil	Nil	Nil	Nil	Nil	Nil	Nil	Nil
Qingchun Yang(4) President and Directorof Well Best	2016	Nil	Nil	Nil	Nil	Nil	Nil	Nil	Nil
Yun Yang (5) President and Director of Lisite Science	2017	Nil	Nil	Nil	Nil	Nil	Nil	Nil	Nil
Yun Yang (5) President and Director of Lisite Science	2016	Nil	Nil	Nil	Nil	Nil	Nil	Nil	Nil
Youqian Deng(6) President and Director of Baileqi Electronics	2017	Nil	Nil	Nil	Nil	Nil	Nil	Nil	Nil
	2016	Nil	Nil	Nil	Nil	Nil	Nil	Nil	Nil
Guo-En Li(7) Director of Taizhou Ionix, former subsidiary of Well Best	2017	Nil	Nil	Nil	Nil	Nil	Nil	Nil	Nil
	2016	9,000	Nil	Nil	Nil	Nil	Nil	Nil	9,000
Zhengfu Nan(8) President and Director of XinyuIonix, former subsidiary of Well Best	2017	9,000	Nil	Nil	Nil	Nil	Nil	Nil	9,000
	2016	5,400	Nil	Nil	Nil	Nil	Nil	Nil	5,400

Notes to Summary Compensation Table:

(1) Ms. Zhou was appointed as Chief Executive Officer and a Director on November 20, 2015. Ms. Zhou’s salary is Nil at this time. Ms. Zhou was appointed as director of Welly Surplus on December 29, 2016. Ms. Zhou’s salary as director of Welly Surplus is $0 USD (equal to 0 RMB).

(2) Ms. Kou was appointed as Chief Financial Officer of the Company on May 27, 2016. Ms. Kou’s salary is $30,736 USD (equals to 203,388RMB).

(3)Mr. Xui was appointed as President of Welly Surplus on December 29, 2016. Mr. Xui’s salary is $ 0 USD (equal to 0 RMB).

(4) Mr. Q. Yang was appointed as a director of Well Best, a wholly owned subsidiary of the Company, on February 17, 2016. His annual salary package is $0.

(5) Mr. Yun Yang was appointed as President and a director of Lisite Science on November 7, 2016.His annual salary package is $5,287(equal to 35,000 RMB) .

(6)Mr. Deng was appointed as President and a director of Baileqi Electronics on November 7, 2016. On August 19, 2016.His annual salary package is $3,487(equal to 23,086RMB) .

(7) GuoEn Li was appointed as a director of Taizhou Ionix on May 27, 2016. On August 19, 2016, Well Best and majority shareholder authorized and effected the sale of Taizhou Ionix to Guo’En Li. As of the date of this annual report, Taizhou is no longer a wholly owned subsidiary of Well Best and thus Guo-En Li is also no longer affiliated with the Company.

(8) Zhengfu Nan is the President and Director of XinyuIonix, a former subsidiary of Well Best. On April 30, 2017, Well Best transferred all rights and title to the Common Stock of XinyuIonix to Mr. Nan pursuant to a Share Transfer Agreement. Mr. Nan is no long associated with the Company.

Narrative Disclosure to Summary Compensation Table

As of June 30, 2017 and 2016, none of Ionix Technology, Welly Surplus, and Well Best or its subsidiaries, had any compensatory plans or arrangements, including payments to be received from Ionix, Welly Surplus, Well Best or its subsidiaries with respect to any executive officer, that would result in payments to such person because of his or her resignation, retirement or other termination of employment with the Company, Well Best, or its subsidiaries, any change in control, or a change in the person’s responsibilities following a change in control of the Company, Well Best, or its subsidiaries.

Outstanding Equity Awards

There are no equity awards outstanding as of the year ended June 30, 2017 for Ionix Technology, Welly Surplus, Well Best or its subsidiaries .

Stock Options/SAR Grants

During our fiscal year ended June 30, 2017 there were no options granted to our named officers or directors.

Option Exercises

During our Fiscal year ended June 30, 2017there were no options exercised by our named officers .

Compensation of Directors

As of June 30, 2017, there is no cash compensation paid to directors for their service on our board of directors. We do not have any agreements for compensating our directors for their services in their capacity as directors, although such directors are expected in the future to receive stock options to purchase shares of our common stock as awarded by our board of directors.

We have determined that none of our directors are independent directors, as that term is used in Item 7(d)(3)(iv)(B) of Schedule 14A under the Securities Exchange Act of 1934 , as amended, and as defined by Rule 4200(a)(15) of the NASDAQ Marketplace Rules.

Pension, Retirement or Similar Benefit Plans

There are no arrangements or plans in which we provide pension, retirement or similar benefits for directors or executive officers. We have no material bonus or profit sharing plans pursuant to which cash or non-cash compensation is or may be paid to our directors or executive officers, except that stock options may be granted at the discretion of the board of directors or a committee thereof.

Indebtedness of Directors, Senior Officers, Executive Officers and Other Management

None of our directors or executive officers or any associate or affiliate of our company during the last two fiscal years, is or has been indebted to our company by way of guarantee, support agreement, letter of credit or other similar agreement or understanding currently outstanding.

Employment Agreements

The Company has no agreement that provides for payment to executive officers at, following, or in connection with the resignation, retirement or other termination, or a change in control of Company or a change in any executive officer's responsibilities following a change in control.

Item 12. SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDER MATTERS

Security Ownership of Certain Beneficial Owners and Management

The following table lists, as of June 30, 2017, the number of shares of common stock that are beneficially owned by (i) each person or entity known to the Company to be the beneficial owner of more than 5% of the outstanding common stock; (ii) each officer and director of the Company; and (iii) all officers and directors as a group. Information relating to beneficial ownership of common stock by principal shareholders and management is based upon information furnished by each person using “beneficial ownership” concepts under the rules of the Securities and Exchange Commission. Under these rules, a person is deemed to be a beneficial owner of a security if that person has or shares voting power, which includes the power to vote or direct the voting of the security, or investment power, which includes the power to vote or direct the voting of the security. The person is also deemed to be a beneficial owner of any security of which that person has a right to acquire beneficial ownership within 60 days. Under the Securities and Exchange Commission rules, more than one person may be deemed to be a beneficial owner of the same securities, and a person may be deemed to be a beneficial owner of securities as to which he or she may not have any pecuniary beneficial interest. Except as noted below, each person has sole voting and investment power.

Name and Address of Beneficial Owner, Directors and Officers:	Amount and Nature of Beneficial Ownership	Percentage of Beneficial Ownership (1)
Doris Zhou (2)	0	0%
Yue Kou(3)	0	0.0%
Qingchun Yang(4)	0	0.0%
Zhengfu Nan(5)	0	0.0%
Yun Yang(6)	0	0.0%
Youqian Deng(7)	0	0.0%
Xin Sui(8)	0	0.0%
All executive officers and directors as a group (7people)	0	0.0%

Beneficial Shareholders of Common Stock greater than 5%
Shining Glory Investments Limited(9)	29,296,000	29.59%
Yang Kan (10)	7,600,000	7.67%
Beneficial Owners of Preferred Stock(1):	Amount and Nature of Beneficial Ownership	Percentage of Beneficial Ownership (1)
Yubao Liu(9)	5,000,000	100%

(1) Applicable percentage of ownership is based on 99,003,000 shares of common stock outstanding on June 30, 2017 and 5,000,000 shares of Preferred Stock issued and outstanding on June 30, 2017. Percentage totals are calculated separately based on each class of capital stock. Each share of Preferred Stock entitles the holder to vote 100 shares of common stock; the Preferred Stock is not convertible into common stock. Percentage ownership is determined based on shares owned together with securities exercisable or convertible into shares of common stock within 60 days of June 30, 2017, for each stockholder. Beneficial ownership is determined in accordance with the rules of the SEC and generally includes voting or investment power with respect to securities. Shares of common stock subject to securities exercisable or convertible into shares of common stock that are currently exercisable or exercisable within 60 days of June 30, 2017, are deemed to be beneficially owned by the person holding such securities for the purpose of computing the percentage of ownership of such person, but are not treated as outstanding for the purpose of computing the percentage ownership of any other person. .

(2) Doris Zhou is the CEO, Secretary, Treasurer, and Director of Ionix Technology. Ms. Zhou’s beneficial ownership includes 0 shares of common stock and 0 shares issuable upon the exercise of stock options. Ms. Zhou is also the Director of Welly Surplus, a majority owned subsidiary of Ionix Technology. Ms. Zhou’s beneficial ownership includes 0 shares of common stock and 0 shares issuable upon the exercise of stock options.

(3) Yue Kou is the CFO of Ionix Technology. Ms. Kou’s beneficial ownership includes 0 shares of common stock and 0 shares issuable upon the exercise of stock options.

(4) Qingchun Yang is the President and Director of Well Best, a wholly owned subsidiary of Ionix Technology. Mr. Yang’s beneficial ownership includes 0 shares of common stock of the Company and 0 shares issuable upon the exercise of stock options.

(5) Zhengfu Nan is the President and Director of XinyuIonix, an indirect wholly owned subsidiary of Ionix Technology. Mr. Nan’s beneficial ownership includes 0 shares of common stock of the Company and 0 shares issuable upon the exercise of stock options.

(6) Yun Yang is the President and Director of Lisite Science Technology, an indirect wholly owned subsidiary of Ionix Technology. Mr. Yang’s beneficial ownership includes 0 shares of common stock of the Company and 0 shares issuable upon the exercise of stock options.

(7) Youqian Deng is the President and Director of Shenzhen Baileqi Electronic Technology Co., Ltd, an indirect wholly owned subsidiary of Ionix Technology. Mr. Deng’s beneficial ownership includes 0 shares of common stock of the Company and 0 shares issuable upon the exercise of stock options.

(8) Xin Sui is President and Director of Welly Surplus International Limited, a wholly owned subsidiary of IonixTechnoloy. Mr. Sui’s beneficial ownership includes 0 shares of common stock of the Company and 0 shares issuable upon the exercise of stock options.

(9) Shining Glory Investments Limited is the beneficial owner of 29,296,000 shares of common stock of the Company and Yubao Liu is the beneficial owner of 5,000,000 shares of preferred stock which has the authority to vote a total of 500,000,000 common stock votes. As of April 20, 2017, Yubao Liu is the sole officer and director of Shining Glory Investments Limited and has dispositive voting and investment control over the shares held by Shining Glory. Thus, in total, Shining Glory and its sole officer and director collectively owns an aggregate 88.36% of the total outstanding voting securities of the Company. Mr. Liu maintains a mailing address at No. 122, Zu 9, Hongguang Community, Xiangyang District, Jiamusi, Heilongjiang, China.

(10) Mr. Yang Kan’s beneficial ownership includes 7,600,000 shares of common stock of the Company and 0 shares issuable upon the exercise of stock options

Changes in Control

There are no present arrangements or pledges of the Company’s securities which may result in a change in control of the Company.

Item 13. Certain Relationships and Related Transactions and Director Independence

Director Independence

For purposes of determining director independence, we have applied the definitions set out in NASDAQ Rule 5605(a)(2). The OTCBB on which our shares of common stock are quoted does not have any director independence requirements. The NASDAQ definition of “Independent Director” means a person other than an Executive Officer or employee of the Company or any other individual having a relationship which, in the opinion of the Company's Board of Directors, would interfere with the exercise of independent judgment in carrying out the responsibilities of a director.

According to the NASDAQ definition, Doris Zhou is not independent director because she is also an executive officer of the Company. According to the NASDAQ the Company does not have any independent directors.

We do not have a standing audit, compensation or nominating committee, but our entire board of directors acts in such capacities. We believe that our members of our board of directors are capable of analyzing and evaluating our financial statements and understanding internal controls and procedures for financial reporting. The board of directors of our company does not believe that it is necessary to have an audit committee because we believe that the functions of an audit committee can be adequately performed by the board of directors. In addition, we believe that retaining an independent director who would qualify as an “audit committee financial expert” would be overly costly and burdensome and is not warranted in our circumstances given the early stages of our development.

Related Party Transactions

Due to related parties represents certain advances to the Company or its subsidiaries by related parties . The amounts are non-interest bearing, unsecured and due on demand.

Manufacture – related party

Purchase from related party

Due to related parties

Due to related parties represents certain advances to the company or its subsidiaries by related parties. The amounts are non-interest bearing, unsecured and due on demand.

Due to related parties consists of the following:

	June 30, 2017		June 30, 2016

Ben Wong	$	143,792	$	53,510
Changyong Yang		122,820		-
Xin Sui		6,992		-
Shenzhen Baileqi S&T		41,405		-
Baozhen Deng		8,590		-
	$	323,599	$	53,510

During the year ended June 30, 2016, Ben Wong, the controlling shareholder of Shinning Glory until April 20, 2017 which holds majority shares in Ionix Technology, Inc., advanced $15,770 to the Company, and $37,740 to Well Best.

Other than the foregoing, none of the directors or executive officers of the Company, nor any person who owned of record or was known to own beneficially more than 5% of the Company’s outstanding shares of its Common Stock, nor any associate or affiliate of such persons or companies, has any material interest, direct or indirect, in any transaction that has occurred during the past fiscal year, or in any proposed transaction, which has materially affected or will affect the Company.

With regard to any future related party transaction, we plan to fully disclose any and all related party transactions in the following manner:

Disclosing such transactions in reports where required;

Disclosing in any and all filings with the SEC, where required;

Obtaining disinterested directors consent; and

Obtaining shareholder consent where required.

Review, Approval or Ratification of Transactions with Related Persons

We are a smaller reporting company as defined by Rule 12b-2 of the Securities Exchange Act of 1934 and are not required to provide the information under this item.

Item 14. Principal Accounting Fees and Services.

On July 18, 2016, the Company appointed Paritz& Company, P.A. as the Company’s registered independent public accounting firm. Our principal independent accountant during the year ended June 30, 2015 was Michael F. Albanese, CPA. Their pre-approved fees billed to the Company are set forth below:

	For Fiscal Year Ended June 30, 2016		For Fiscal Year Ended June 30, 2017
Audit Fees	$	17,500	$	64,500
Audit-related fees	$	-	$
Tax Fees	$	-	$
All other Fees	$	-	$
Total	$	17,500	$	64,500

Audit Fees

During the fiscal year ended June 30, 2016, we incurred approximately $17,500 in fees to our principal independent accountants for professional services rendered in connection with the audit and review of our financial statements for fiscal year ended June 30, 2016.

During the fiscal year ended June 30, 2017, we incurred approximately $64,500 in fees to our principal independent accountants for professional services rendered in connection with the audit and review of our financial statements for fiscal year ended June 30, 2017.

Audit-Related Fees

The aggregate fees billed during the fiscal years ended June 30, 2017 and 2016 for assurance and related services by our principal independent accountants that are reasonably related to the performance of the audit or review of our financial statements (and are not reported under Item 9(e)(1) of Schedule 14A) was $NIL and $ NIL , respectively.

Tax Fees

The aggregate fees billed during the fiscal years ended June 30, 2017 and 2016 for professional services rendered by our principal accountant tax compliance, tax advice and tax planning were $NIL and $NIL, respectively.

All Other Fees

The aggregate fees billed during the fiscal years ended June 30, 2017 and 2016 for products and services provided by our principal independent accountants (other than the services reported in Items 9(e)(1) through 9(e)(3) of Schedule 14A) was $NIL and $ NIL , respectively.

Item 15. Exhibits and Financial Statement Schedules.

Exhibit
Number	Description of Exhibit
3.01a	Articles of Incorporation, dated March 11, 2011	Filed herewith, to correct an incomplete copy as filed with the SEC on August 23, 2011 as an exhibit to our Registration Statement on Form 10.
3.01b	Certificate of Amendment to Articles of Incorporation, dated August 7, 2014	Filed with the SEC on September 3, 2014 as part of our Current Report on Form 8-K
3.01c	Certificate of Amendment to Articles of Incorporation, dated December 3, 2015	Filed with the SEC on December 10, 2015 as part of our Current Report on Form 8-K
3.02a	Bylaws	Filed with the SEC on August 23, 2011 as an exhibit to our Registration Statement on Form 10.
3.02b	Amended Bylaws, dated August 7, 2014	Filed with the SEC on September 3, 2014 as part of our Current Report on Form 8-K
10.01	Stock Purchase Agreement between Locksley Samuels and Shining Glory Investments Limited, dated November 20, 2015	Filed with the SEC on November 23, 2015 as part of our Current Report on Form 8-K
10.02	Manufacturing Agreement, dated as of August 19, 2016, by and between Jiangxi Huanming Technology Limited Company and XinyuIonix Technology Company Limited.	Filed with the SEC on August 24, 2016 as part of our Current Report on Form 8-K
10.03	Share Transfer Agreement, dated as of August 19, 2016, by and between GuoEn Li and Well Best International Investment Limited	Filed with the SEC on August 24, 2016 as part of our Current Report on Form 8-K
21.1	List of Subsidiaries	Filed with the SEC on May 22, 2017 as Exhibit 21.1 to Form 10-Q.
31.01	Certification of Principal Executive Officer Pursuant to Rule 13a-14	Filed herewith.
31.02	Certification of Principal Financial Officer Pursuant to Rule 13a-14	Filed herewith.
32.01	CEO Certification Pursuant to Section 906 of the Sarbanes-Oxley Act	Filed herewith.
32.02	CFO Certification Pursuant to Section 906 of the Sarbanes-Oxley Act	Filed herewith.
101.INS*	XBRL Instance Document	Filed herewith.
101.SCH*	XBRL Taxonomy Extension Schema Document	Filed herewith.
101.CAL*	XBRL Taxonomy Extension Calculation Linkbase Document	Filed herewith.
101.LAB*	XBRL Taxonomy Extension Labels Linkbase Document	Filed herewith.
101.PRE*	XBRL Taxonomy Extension Presentation Linkbase Document	Filed herewith.
101.DEF*	XBRL Taxonomy Extension Definition Linkbase Document	Filed herewith.

*Pursuant to Regulation S-T, this interactive data file is deemed not filed or part of a registration statement or prospectus for purposes of Sections 11 or 12 of the Securities Act of 1933, is deemed not filed for purposes of Section 18 of the Securities Exchange Act of 1934, and otherwise is not subject to liability under these sections.

SIGNATURES

In accordance with Section 13 or 15(d) of the Exchange Act, the registrant caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

	Ionix Technology, Inc.

Date: October 13, 2017	By:	/s/ Doris Zhou
	Name: Doris Zhou Title: Chief (Principal) Executive Officer

Date: October 13, 2017	By:	/s/ Yue Kou
	Name: Yue Kou Title: Chief Financial Officer (Principal Accounting Officer)

In accordance with the Exchange Act, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

	Ionix Technology, Inc.

Date: October 13, 2017	By:	/s/ Doris Zhou
	Name: Doris Zhou Title: Chief Executive Officer, Secretary, Treasurer and sole Director

Date: October 13, 2017	By:	/ s/ Yue Kou
	Name: Yue Kou Title: Chief Financial Officer

	Ionix Technology, Inc .
Date: October 13, 2017
	By:	/s/ Doris Zhou
	Name: Doris Zhou Title: Chief (Principal) Executive Officer