CHINA SXT PHARMACEUTICALS, INC. CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS (UNAUDITED) FOR THE SIX MONTHS ENDED SEPTEMBER 30, 2019 AND 2018 TABLE OF CONTENTS Condensed Consolidated Interim Financial Statements C

CHINA SXT PHARMACEUTICALS, INC.

CONDENSED CONSOLIDATED INTERIM FINANCIAL

FOR THE SIX MONTHS ENDED SEPTEMBER 30,

CHINA SXT PHARMACEUTICALS,

INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED BALANCE SHEETS

(In US$, except for number of shares

CHINA SXT PHARMACEUTICALS, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF OPERATION AND COMPREHENSIVE INCOME

(In US$, except for number of shares

CHINA SXT PHARMACEUTICALS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF

CHANGES IN SHAREHOLDERS' EQUITY

FOR THE SIX MONTHS ENDED SEPTEMBER 30,

(In US$, except for number of shares

CHINA SXT PHARMACEUTICALS, INC. AND SUBSIDIARIES

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS

(In US$, except for number of shares

Note 1 - Organization and description of business

History and Development of the Company

We were incorporated in the British Virgin

Islands on July 4, 2017. Our wholly owned subsidiary China SXT Group Limited ("SXT HK") was incorporated in Hong Kong

on July 21, 2017. China SXT Group Limited in turn holds all the capital stocks of Taizhou Suxuantang Biotechnology Co. Ltd. ("WFOE"),

a wholly foreign owned enterprise incorporated in China on October 13, 2017. WFOE controls Jiangsu Suxuantang Pharmaceutical Co.,

Ltd. ("Taizhou Suxuantang" or the "VIE") through a series of agreements (the "VIE Agreements").

Pursuant to PRC laws, each entity formed

under PRC law shall have certain business scope approved by the Administration of Industry and Commerce or its local counterpart.

As such, WFOE's business scope is to primarily engage in technology development, provision of technology service, technology

consulting; development of computer software and hardware, computer network technology, game software; provision of enterprise

management and related consulting service, human resource consulting service and intellectual property consulting service. Since

the sole business of WFOE is to provide Taizhou Suxuantang with technical support, consulting services and other management services

relating to its day-to-day business operations and management in exchange for a service fee approximately equal to the net income

of Taizhou Suxuantang, such business scope is necessary and appropriate under PRC laws.

China SXT Pharmaceutical is a holding company

with no business operation other than holding the shares in SXT HK; SXT HK is a pass-through entity with no business operation.

WFOE is exclusively engaged in the business of managing the operation of Taizhou Suxuantang. Taizhou Suxuantang principally engaged

in offering Advanced, Regular and Fine TCMP products, and 4 solid beverage products, TCM Homologous Supplements ("TCMHS")

Note 2 - Summary of significant

The accompany unaudited condensed consolidated interim financial

statements of the Company has been prepared in accordance with accounting principles generally accepted in the United States of

America ("U.S. GAAP") and pursuant to the rules and regulations of the U.S. Securities and Exchange Commission ("SEC"). In

the opinion of management, these unaudited condensed consolidated interim financial statements reflect all adjustments, consisting

of normal recurring adjustments, which are necessary to present fairly, in all material respects, the Company's consolidated

financial position, results of operations, cash flows and changes in equity for the interim periods presented. These unaudited

condensed interim financial statements do not include certain information and footnote disclosures as required by the U.S. GAAP

for complete annual financial statements. Therefore, these unaudited condensed consolidated interim financial statements should

be read in conjunction with the financial statements and related notes included in the Company's 20-F for the year ended

consolidated interim financial statements include the accounts of the Company and include the assets, liabilities, revenues and

expenses of all majority-owned subsidiaries and VIE over which the Company exercises control and, when applicable, entities for

which the Company has a controlling financial interest or is the primary beneficiary. All inter-company accounts and transactions

have been eliminated in consolidation.

Suxuantang is controlled by the Company through a series of contractual arrangements. For the consolidated VIEs, the Company's

management made evaluations of the relationships between the Company and the VIE and the economic benefit flow of contractual arrangements

with Taizhou Suxuantang. In connection with such evaluation, management also took into account the fact that, as a result of such

contractual arrangements, the Company control the shareholders' voting interests in these VIEs. As a result of such evaluation,

management concluded that the Company is the primary beneficiary of the consolidated VIEs. The Company does not have any VIEs that

are not consolidated in the financial statements.

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 and functional currencies

of the Company and SXT HK are the United States Dollars ("US$") and the accompanying financial statements have been

expressed in US$. In addition, the WFOE and the VIE maintain their books and records in their respective local currency, Renminbi

("RMB"), which is also the respective functional currency for each subsidiary as they are the primary currency of the

economic environment in which each subsidiary operates.

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. The gains and losses resulting from translation of financial

statements of a foreign subsidiary are recorded as a separate component of accumulated other comprehensive income within the statement

of stockholders' equity. Other equity items are translated using the exchange rates on the transaction date.

The preparation of condensed consolidated

interim financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the

reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements,

and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates.

On an ongoing basis, management reviews these estimates and assumptions using the currently available information.

Changes in facts and circumstances may

cause the Company to revise its estimates. The Company bases its estimates on historical experience and on various other assumptions

that are believed to be reasonable, the results of which form the basis for making judgments about the carrying values of assets

and liabilities. The following are some of the areas requiring significant judgments and estimates as of September 30, 2019 and

2018: determinations of the useful lives of long-lived assets, estimates of allowances for doubtful accounts, sales return rate,

valuation assumptions in performing asset impairment tests of long-lived assets, valuation assumptions in measuring the value of

convertible notes debt component, equity component, and warrants.

ASC Topic 825, Financial Instruments ("Topic

825") requires disclosure of fair value information of financial instruments, whether or not recognized in the balance sheets,

for which it is practicable to estimate that value. In cases where quoted market prices are not available, fair values are based

on estimates using present value or other valuation techniques. Those techniques are significantly affected by the assumptions

used, including the discount rate and estimates of future cash flows. In that regard, the derived fair value estimates cannot be

substantiated by comparison to independent markets and, in many cases, could not be realized in immediate settlement of the instruments.

Topic 825 excludes certain financial instruments and all nonfinancial assets and liabilities from its disclosure requirements.

Accordingly, the aggregate fair value amounts do not represent the underlying value of the Company. The carrying values of cash,

cash equivalents, restricted cash, accounts receivables, note receivable, advance to suppliers, loan receivable, other current

assets, prepaid expenses, bank loan - current portion, accounts payables, note payable, advance from customers, refund liabilities,