HONG
KONG, Feb. 1, 2024 /PRNewswire/ -- Alpha Technology Group Limited (the "Company"
or "Alpha")(NASDAQ: ATGL), a holding company incorporated in
the British Virgin Islands that
currently provides cloud-based IT solution services through its
operating subsidiaries, Techlution Service Limited and Neural Sense
Limited (collectively, "Operating Subsidiaries"), today reported
its financial results for the fiscal year ended September 30, 2023.
Fiscal Year 2023 Financial Highlights:
- Revenues increased by HK$4.27
million (approximately US$0.55
million), or 96.55%, from HK$4.42
million for the year ended September
30, 2022 to HK$8.69 million
(approximately US$1.11 million) for
the year ended September 30,
2023.
- Gross profit increased by HK$1.85
million (approximately US$0.24
million), or approximately 183.99%, from HK$1.00 million for the year ended September 30, 2022 to HK$2.85 (approximately US$0.36 million) for the year ended September 30, 2023.
- Gross profit margin increased from 22.67% for the year
ended September 30, 2022 to 32.75%
for the year ended September 30,
2023.
|
|
For the Years Ended
September 30
|
|
(in HK$
millions; differences due
to
rounding)
|
|
2023
|
|
|
2022
|
|
|
%
Change
(differences
due
to
rounding,
and %
were
extracted
from
annual
report)
|
|
Revenues
|
|
$
|
8.69
|
|
|
$
|
4.42
|
|
|
96.55 %
|
|
Cost of
revenue
|
|
|
5.84
|
|
|
|
3.42
|
|
|
70.92 %
|
|
Gross profit
|
|
|
2.85
|
|
|
|
1.00
|
|
|
183.99 %
|
|
Gross profit
margin
|
|
|
32.75 %
|
|
|
|
22.67 %
|
|
|
10.08
percentage
point
|
|
Selling, general, and
administrative
expenses
|
|
|
7.23
|
|
|
|
3.72
|
|
|
94.47 %
|
|
Loss from
operations
|
|
|
(6.75)
|
|
|
|
(2.71)
|
|
|
148.86 %
|
|
Net loss
|
|
|
(6.99)
|
|
|
|
(2.66)
|
|
|
162.33 %
|
Mr. Tsang Chun Ho Anthony, our
executive director and president, and Mr. Leung Tsz Him, our Chief
Executive Officer, commented, "Alpha recorded a significant
increase in revenue of 96.55% to HK$8.69
million (approximately US$1.11
million) for the year ended September
30, 2023. This impressive growth was driven by (i) the
increase in our revenue generated from system development services
as a result of the completion of several projects for two carpark
management companies in Hong Kong;
(ii) the increase in revenue from NFT-related services resulting
from our engagement of two NFT projects in 2023; and (iii) the
increase in revenue from our technological support and maintenance
service and other services resulting from provision of the
maintenance services to a local non-government
organization."
"Alpha's cost of revenue saw a significant annual increase of
70.92% to HK$5.84 million
(approximately US$0.75 million) for
the year ended September 30, 2023.
This increase was primarily stemmed from higher staff costs and the
increase in consultancy fee, which was in line with our business
growth."
"Despite the increased costs, Alpha still demonstrated it
recorded an increased gross profit margin of 32.75% for the year
ended September 30, 2023, compared to
22.67% in the previous year. This positive trend was primarily
attributed to the higher gross profit margins associated with
revenue from NFT-related services, which typically entailed higher
profit margins compared to those of system development services and
web and mobile application development services."
"Alpha's selling, general, and administrative expenses increased
by 94.47% to HK$7.23 million
(approximately US$0.92 million) for
the year ended September 30, 2023,
mainly attributable to (i) the increase in our staff costs and our
Director's remuneration of our Operating Subsidiaries and our
Company; (ii) the increase in the audit fee; and (iii) the increase
in amortization of our intangible assets. Consequently, Alpha
incurred a net loss of HK$6.99
million (approximately US$0.89
million) for the year, reflecting the Company's continued
expansion on its operations and capturing growth opportunities.
"Looking ahead, Alpha remains committed to optimizing its cost
structure while exploring avenues for revenue growth. With our
solid foundation and a focus on strategic execution, we believe
Alpha is well-positioned to enhance its financial performance in
the future."
Fiscal Year 2023 Financial Results:
Revenues
Our revenue significantly increased by HK$4.27 million (approximately US$0.55 million), or 96.55%, from HK$4.42 million for the year ended
September 30, 2022 to HK$8.69
million (approximately US$1.11
million) for the year ended September 30, 2023,
primarily due to (i) the increase in our revenue generated from
system development services, attributed to the completion of
several projects including the development of parking management
solution, pre-booking systems and other internal systems for two
carpark management companies in Hong
Kong in 2023; (ii) the increase in revenue from NFT-related
services resulting from our engagement of two NFT projects in 2023,
which involved creating an NFT marketplace, developing NFT-related
artworks, building an NFT minting site, and preparing a proposal in
relation to an NFT-related game; and (iii) the increase in revenue
from our technological support and maintenance service and other
services, primarily attributable to the provision of the
maintenance services on the enrollment and payment system of a
local non-government organization which is dedicated to the welfare
services of children and youth in Hong
Kong.
The following table set forth the breakdown of our revenue by
services types for the years indicated:
|
|
For the Years Ended
September 30,
|
|
(In HK$
millions; difference due
to
rounding)
|
|
2023
|
|
2022
|
|
Variance
|
|
|
Amount
|
|
|
Amount
|
|
|
Amount
|
|
%
|
|
System
development
|
|
$
|
5.97
|
|
|
$
|
3.60
|
|
|
$
|
2.37
|
|
|
65.83
|
%
|
|
Web and mobile
application
development
|
|
|
-
|
|
|
|
0.39
|
|
|
|
(0.39)
|
|
|
(100)
|
%
|
|
AI-OCR
services
|
|
|
0.08
|
|
|
|
0.07
|
|
|
|
0.01
|
|
|
14.29
|
%
|
|
Technological support
and
maintenance service and
other
services
|
|
|
1.05
|
|
|
|
0.36
|
|
|
|
0.69
|
|
|
191.67
|
%
|
|
NFT
|
|
|
1.59
|
|
|
|
-
|
|
|
|
1.59
|
|
|
100
|
%
|
|
Total
|
|
$
|
8.69
|
|
|
$
|
4.42
|
|
|
$
|
4.27
|
|
|
96.55
|
%
|
Cost of revenue
Our cost of revenue saw a significant increase of HK$2.42 million (approximately US$0.31 million), or 70.92%, from HK$3.42 million for the year ended
September 30, 2022 to HK$5.84
million (approximately US$0.75
million) for the year ended September 30, 2023. This
increase primarily stemmed from (i) the increase in staff costs as
a result of our business growth, which required us to increase the
headcount to support our business; and (ii) the increase in the
consultancy fee which was charged by our Operating Subsidiaries'
independent suppliers for providing cloud architecture services to
support our cloud-based IT solution services. Our management fee
mainly represented the fee charged by Simplus IO Limited and
ProAlgories Limited, which provided ad-hoc technical support
services and staff to assist us on project execution. Since
February 8, 2023, following our
team's expansion, our Operating Subsidiaries have ceased to procure
the ad-hoc technical support services and human resources from
these two related companies, resulting in a 56.01% decrease in our
management fee for the year ended September
30, 2023. We anticipate that our management fee will
continue to decrease in the future.
Gross profit and margin
Our gross profit for the years ended September 30, 2022 and 2023, amounted to
HK$1.00 million and HK$2.85 million (approximately US$0.36 million), respectively, which was in line
with our revenue growth as mentioned above. Our gross profit margin
has also increased from 22.67% for the year ended September 30, 2022 to 32.75% for the year ended
September 30, 2023, which was mainly
attributable to the increase in our revenue from NFT-related
services which generally entailed higher gross profit margins as
compared to those of system development services and web and mobile
application development services.
Selling, general and administrative expenses
Our selling, general and administrative expenses increased by
HK$3.51 million (approximately
US$0.45 million), or 94.47%, from
HK$3.72 million for the year ended
September 30, 2022 to HK$7.23
million (approximately US$0.92
million) for the year ended September 30, 2023 for the
year ended September 30, 2023. The increase was primarily due
to (i) the increase in staff costs as a result of the increase in
number of our administrative and marketing staff to support our
business expansion; (ii) an increase in director's remuneration of
our Operating Subsidiaries and our Company, primarily attributable
to our appointments of two executive directors in February 2023 and an independent non-executive
director in January 2023; (iii) the
increase in audit fee due to an audit fee for a listed corporation
charged by our auditor; and (iv) the increase in amortization of
our intangible assets (i.e. our technical know-how and coding for
our system development services and our AI-OCR services). However,
such increase was partially offset by the decrease in consultancy
fees, mainly attributable to the service fee for composing the
codes and developing programs to facilitate our web and mobile
application development services during the year ended September 30, 2022, which was not replicated
during the year ended September 30,
2023. Additionally, we purchased a data scraper software for
preliminary works for the system development projects in the fiscal
year ended September 30, 2022, while
no such cost was incurred during this year.
Net loss
As a result of the foregoing, net loss increased by HK$4.32 million (approximately US$0.55 million), or 162.33% from HK$2.66 million for the year ended September 30, 2022 to HK$6.99 million (approximately US$0.89 million) for the year ended September 30, 2023.
Recent developments
Initial public offering:
On November 2, 2023, Alpha
completed its initial public offering and raised approximately
US$7.00 million from the sale of
1,750,000 Ordinary Shares at a price of US$4 per share. Additionally, the underwriters
exercised the over-allotment option to purchase an additional
262,500 Ordinary Shares at the public offering price of
$4.00 per share. After deducting
underwriting discounts and all offering expenses paid or payable by
us, the net proceeds totaled around US$5.32
million.
About Alpha Technology Group Limited
Alpha is a holding company incorporated in the British Virgin Islands and currently conducts
its business through its Operating Subsidiaries, Techlution Service
Limited and Neural Sense Limited. Our Operating Subsidiaries are
cloud-based IT solution service providers in Hong Kong that utilize analytic skills,
programming skills, artificial intelligence technologies, and
technological know-how to provide comprehensive solutions designed
to optimize business performance, meet various industry-specific
operational challenges and create new business opportunities.
Though its Operating Subsidiaries, Alpha provides (i) system
development services; (ii) web and mobile application development
services; and (iii) artificial intelligence-powered optical
character recognition ("AI-OCR") services with a view to achieving
digitalization of customers' business and operations. Alpha also
provides technological support, maintenance and NFT-related
services such as creation of NFT artwork, marketplace and
development of NFT-related games to customers. Our Operating
Subsidiaries have a diversified customer base and our customers
come from a variety of industries with different scales of
operations, including consulting, real estate planning, carpark
management and social services, etc. For more information, please
visit https://alphatechnologys.com and https://techlution.io.
Forward-Looking Statement
This press release contains forward-looking statements that
involve substantial risks and uncertainties. All statements
contained in this press release other than statements of historical
fact, including statements regarding our future results of
operations and financial position, our business strategy and plans,
and our objectives for future operations, are forward-looking
statements. The words "may," "might," "will," "could," "would,"
"should," "expect," "intend," "plan," "goal," "objective,"
"anticipate," "believe," "estimate," "predict," "potential,"
"continue" and "ongoing," or the negative of these terms, similar
expressions or other comparable terminology intended to identify
statements about the future. These statements are subject to
uncertainties and risks including, but not limited to, the
following: the Company's goals and strategies; the future business
development, financial condition and results of operation, the
expectations regarding demand for and market acceptance of our
services; the ability to continue to develop new technologies
and/or upgrade our existing technologies; and changes in general
economic, business and industry conditions and other risks
contained in the annual reports for the year ended September 30, 2023 filed by our Company with the
SEC. For these reasons, among others, investors are cautioned not
to place undue reliance upon any forward-looking statements in this
press release. Additional factors are discussed in the Company's
filings with the SEC, which are available for review at
www.sec.gov. Our Company undertakes no obligation to publicly
revise these forward-looking statements to reflect events or
circumstances that arise after the date hereof.
For more information, please contact:
Company
Alpha Technology Group Limited
Investor Relations Department
Email: ir@rainbowcaphk.com
Investor Relations
WFS Investor Relations Inc.
Janice Wang, Managing Partner
Email: services@wealthfsllc.com
Phone: +86 13811768599
+1 628 283 9214
|
ALPHA TECHNOLOGY
GROUP LIMITED
CONSOLIDATED BALANCE SHEETS
|
|
|
|
(Predecessor)
|
|
|
(Successor)
|
|
|
As of September
30,
|
|
|
2022
|
|
|
2023
|
|
|
HK$
|
|
|
HK$
|
|
|
US$
(Note)
|
|
Assets
|
|
|
|
|
|
|
|
|
|
Current
assets:
|
|
|
|
|
|
|
|
|
|
Cash and cash
equivalent
|
|
|
2,801,810
|
|
|
|
3,629,347
|
|
|
|
463,471
|
|
Accounts receivable,
net
|
|
|
4,500
|
|
|
|
247,655
|
|
|
|
31,626
|
|
Rental
deposit
|
|
|
119,548
|
|
|
|
119,548
|
|
|
|
15,266
|
|
Deferred cost of
revenue
|
|
|
1,838,776
|
|
|
|
2,088,175
|
|
|
|
266,662
|
|
Deferred offering
costs
|
|
|
—
|
|
|
|
18,758,367
|
|
|
|
2,395,460
|
|
Due from
shareholders
|
|
|
—
|
|
|
|
100
|
|
|
|
13
|
|
Due from a related
party
|
|
|
1,343,240
|
|
|
|
683,438
|
|
|
|
87,275
|
|
Total current
assets
|
|
|
6,107,874
|
|
|
|
25,526,630
|
|
|
|
3,259,773
|
|
Property and equipment,
net
|
|
|
33,511
|
|
|
|
55,117
|
|
|
|
7,038
|
|
Intangible
assets
|
|
|
—
|
|
|
|
4,605,133
|
|
|
|
588,080
|
|
Goodwill
|
|
|
—
|
|
|
|
10,176,959
|
|
|
|
1,299,607
|
|
Right of use
asset-finance lease
|
|
|
415,336
|
|
|
|
166,716
|
|
|
|
21,290
|
|
Total non-current
assets
|
|
|
448,847
|
|
|
|
15,003,925
|
|
|
|
1,916,015
|
|
TOTAL
ASSETS
|
|
|
6,556,721
|
|
|
|
40,530,555
|
|
|
|
5,175,788
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities
|
|
|
|
|
|
|
|
|
|
|
|
|
Current
liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
Bank
loans – current
|
|
|
681,046
|
|
|
|
562,331
|
|
|
|
71,810
|
|
Accrued expenses and
other liabilities
|
|
|
657,704
|
|
|
|
11,886,957
|
|
|
|
1,517,975
|
|
Lease liability-finance
lease
|
|
|
111,738
|
|
|
|
116,834
|
|
|
|
14,920
|
|
Deferred
revenue
|
|
|
6,209,827
|
|
|
|
5,168,876
|
|
|
|
660,070
|
|
Advance from
customers
|
|
|
325,000
|
|
|
|
842,433
|
|
|
|
107,579
|
|
Deferred tax
liabilities
|
|
|
—
|
|
|
|
844,274
|
|
|
|
107,815
|
|
Tax payables
|
|
|
—
|
|
|
|
233,259
|
|
|
|
29,787
|
|
Due to
directors
|
|
|
—
|
|
|
|
444,379
|
|
|
|
56,748
|
|
Due to related
parties
|
|
|
1,065,569
|
|
|
|
—
|
|
|
|
—
|
|
Total current
liabilities
|
|
|
9,050,884
|
|
|
|
20,099,343
|
|
|
|
2,566,704
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-current
liabilities
|
|
|
|
|
|
|
|
|
|
|
|
|
Bank
loans – non-current
|
|
|
1,469,529
|
|
|
|
911,272
|
|
|
|
116,370
|
|
Lease liability-finance
lease-non-current
|
|
|
259,897
|
|
|
|
143,057
|
|
|
|
18,268
|
|
Total non-current
liabilities
|
|
|
1,729,426
|
|
|
|
1,054,329
|
|
|
|
134,638
|
|
TOTAL
LIABILITIES
|
|
|
10,780,310
|
|
|
|
21,153,672
|
|
|
|
2,701,342
|
|
ALPHA TECHNOLOGY
GROUP LIMITED
CONSOLIDATED BALANCE SHEETS — (Continued)
|
|
|
|
(Predecessor)
|
|
|
(Successor)
|
|
|
As of September
30,
|
|
|
2022
|
|
|
2023
|
|
|
HK$
|
|
|
HK$
|
|
|
US$
(Note)
|
|
Shareholders' equity
(deficit)
|
|
|
|
|
|
|
|
|
|
Ordinary
shares
|
|
|
|
|
|
|
|
|
|
Alpha Technology Group
Limited, US$0.0001 par value;
1,500,000,000 shares authorized; 13,250,000 shares issued
as
of
September 30, 2023
|
|
|
—
|
|
|
|
10,000,100
|
|
|
|
1,273,914
|
|
Neural Sense Limited,
no par value; 10,000 shares authorized;
10,000
and 10,000 shares issued and outstanding as of
September
30, 2021 and 2022, respectively
|
|
|
10,000
|
|
|
|
—
|
|
|
|
—
|
|
Techlution Service
Limited, HK$1 par value; 10,000 shares
authorized; 10,000 and 10,000 shares issued and
outstanding
as of
September 30, 2021 and 2022, respectively
|
|
|
10,000
|
|
|
|
—
|
|
|
|
—
|
|
Capital
reserves
|
|
|
—
|
|
|
|
16,364,143
|
|
|
|
2,084,633
|
|
Accumulated other
comprehensive income
|
|
|
—
|
|
|
|
—
|
|
|
|
8,190
|
|
Accumulated
deficit
|
|
|
(4,243,589)
|
|
|
|
(6,987,360)
|
|
|
|
(892,291)
|
|
Total shareholders'
equity (deficit)
|
|
|
(4,223,589)
|
|
|
|
19,376,883
|
|
|
|
2,474,446
|
|
TOTAL LIABILITIES
AND SHAREHOLDERS' EQUITY (DEFICIT)
|
|
|
6,556,721
|
|
|
|
40,530,555
|
|
|
|
5,175,788
|
|
ALPHA TECHNOLOGY
GROUP LIMITED
CONSOLIDATED STATEMENTS OF OPERATION AND COMPREHENSIVE
LOSS
|
|
|
|
(Predecessor)
|
|
|
(Successor)
|
|
|
For the year
ended
September 30,
2021
|
|
|
For the year
ended
September 30,
2022
|
|
|
From
October 1,
2022 to
October 11,
2022
|
|
|
From
October 12,
2022 to
September 30,
2023
|
|
|
HK$
|
|
|
HK$
|
|
|
HK$
|
|
|
HK$
|
|
|
US$
(Note)
|
|
Revenues
|
|
|
4,055,406
|
|
|
|
4,421,208
|
|
|
|
—
|
|
|
|
8,689,749
|
|
|
|
1,109,689
|
|
Cost of
revenue
|
|
|
(2,598,293)
|
|
|
|
(3,419,035)
|
|
|
|
—
|
|
|
|
(5,843,677)
|
|
|
|
(746,243)
|
|
Gross profit
|
|
|
1,457,113
|
|
|
|
1,002,173
|
|
|
|
—
|
|
|
|
2,846,072
|
|
|
|
363,446
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
expenses:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Listing
expenses
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
(2,373,596)
|
|
|
|
(303,110)
|
|
Selling, general and
administrative
expenses
|
|
|
(2,382,351)
|
|
|
|
(3,716,233)
|
|
|
|
(173,188)
|
|
|
|
(7,053,591)
|
|
|
|
(900,749)
|
|
Total operating
expenses
|
|
|
(2,382,351)
|
|
|
|
(3,716,233)
|
|
|
|
(173,188)
|
|
|
|
(9,427,187)
|
|
|
|
(1,203,859)
|
|
Loss from
operations
|
|
|
(925,238)
|
|
|
|
(2,714,060)
|
|
|
|
(173,188)
|
|
|
|
(6,581,115)
|
|
|
|
(840,413)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other
income:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other income,
net
|
|
|
16,500
|
|
|
|
210,450
|
|
|
|
16,801
|
|
|
|
77,137
|
|
|
|
9,850
|
|
Interest expense,
net
|
|
|
(47,74))
|
|
|
|
(86,621)
|
|
|
|
—
|
|
|
|
(74,587)
|
|
|
|
(9,525)
|
|
Total other income
(loss), net
|
|
|
(31,243)
|
|
|
|
123,829
|
|
|
|
16,801
|
|
|
|
2,550
|
|
|
|
325
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loss before tax
expense
|
|
|
(956,481)
|
|
|
|
(2,590,231)
|
|
|
|
(156,387)
|
|
|
|
(6,578,565)
|
|
|
|
(840,088)
|
|
Income tax
expense
|
|
|
(24,554)
|
|
|
|
(73,323)
|
|
|
|
—
|
|
|
|
(252,408)
|
|
|
|
(32,233)
|
|
Net
loss
|
|
|
(981,035)
|
|
|
|
(2,663,554)
|
|
|
|
(156,387)
|
|
|
|
(6,830,973)
|
|
|
|
(872,321)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other comprehensive
loss
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Foreign currency
translation gain, net
of
taxes
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
8,190
|
|
Total comprehensive
loss
|
|
|
(981,035)
|
|
|
|
(2,663,554)
|
|
|
|
(156,387)
|
|
|
|
(6,830,973)
|
|
|
|
(864,131)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net loss per share
attributable to
ordinary shareholders of the
Company
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
— Basic
|
|
|
(49)
|
|
|
|
(133)
|
|
|
|
(8)
|
|
|
|
(1)
|
|
|
|
—
|
|
— Diluted
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
(6)
|
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average
number of
ordinary shares used in computing
net
loss per share
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
— Basic
|
|
|
20,000
|
|
|
|
20,000
|
|
|
|
20,000
|
|
|
|
13,250,000
|
|
|
|
—
|
|
— Diluted
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
1,169,808
|
|
|
|
—
|
|
ALPHA TECHNOLOGY
GROUP LIMITED
CONSOLIDATED STATEMENTS OF CASH FLOWS
|
|
|
|
(Predecessor)
|
|
|
(Successor)
|
|
|
For the
year
ended
September 30,
|
|
|
For the
year
ended
September 30,
|
|
|
From
October
1,
2022 to
October
11,
|
|
|
From
October 12,
2022 to
September 30,
|
|
|
2021
|
|
|
2022
|
|
|
2022
|
|
|
2023
|
|
|
HK$
|
|
|
HK$
|
|
|
HK$
|
|
|
HK$
|
|
|
US$
(Note)
|
|
Operating
activities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net loss
|
|
|
(981,035)
|
|
|
|
(2,663,554)
|
|
|
|
(156,387)
|
|
|
|
(6,830,973)
|
|
|
|
(872,321)
|
|
Adjustments to
reconcile net loss
to net
cash operating activities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation
|
|
|
450
|
|
|
|
6,429
|
|
|
|
—
|
|
|
|
9,904
|
|
|
|
1,265
|
|
Amortization of
intangible
assets
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
511,681
|
|
|
|
65,342
|
|
Amortization of
right-of-use
asset
|
|
|
43,720
|
|
|
|
131,159
|
|
|
|
—
|
|
|
|
248,620
|
|
|
|
31,749
|
|
Non cash lease
expense
|
|
|
353,128
|
|
|
|
150,640
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
Loss on disposal on
property
and
equipment
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
16,923
|
|
|
|
2,161
|
|
Allowance for
doubtful
account
|
|
|
—
|
|
|
|
313,362
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
Changes in operating
assets and
liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accounts
receivable
|
|
|
(76,924)
|
|
|
|
69,138
|
|
|
|
(32,828)
|
|
|
|
(210,327)
|
|
|
|
(26,859)
|
|
Rental
deposit
|
|
|
—
|
|
|
|
(119,548)
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
Accrued expenses and
other
liabilities
|
|
|
139,031
|
|
|
|
409,762
|
|
|
|
(452,715)
|
|
|
|
11,456,057
|
|
|
|
1,462,949
|
|
Advance from
customers
|
|
|
160,000
|
|
|
|
165,000
|
|
|
|
—
|
|
|
|
517,433
|
|
|
|
66,076
|
|
Lease
liability
|
|
|
(426,513)
|
|
|
|
(188,717)
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
Deferred
revenue
|
|
|
517,315
|
|
|
|
4,666,012
|
|
|
|
365,328
|
|
|
|
(1,406,279)
|
|
|
|
(179,583)
|
|
Income taxes
payable
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
233,259
|
|
|
|
29,787
|
|
Deferred cost of
revenue
|
|
|
(261,000)
|
|
|
|
(1,377,776)
|
|
|
|
—
|
|
|
|
(249,399)
|
|
|
|
(31,848)
|
|
Cash provided by
(used in)
operating activities
|
|
|
(531,828)
|
|
|
|
1,561,907
|
|
|
|
(276,602)
|
|
|
|
4,296,899
|
|
|
|
548,718
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investing
activities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Advance to a related
party
|
|
|
(809,170)
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
Purchase of property
and
equipment
|
|
|
(14,935)
|
|
|
|
(25,455)
|
|
|
|
—
|
|
|
|
(48,432)
|
|
|
|
(6,185)
|
|
Repayment from a
related party
|
|
|
—
|
|
|
|
404,182
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
Payment to acquire
right of use
assets-finance lease
|
|
|
(77,133)
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
Net cash used to
acquire
subsidiaries in business
combinations
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
(10,000,000)
|
|
|
|
(1,277,008)
|
|
Cash provided by
(used in)
investing activities
|
|
|
(901,238)
|
|
|
|
378,727
|
|
|
|
—
|
|
|
|
(10,048,432)
|
|
|
|
(1,283,193)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Financing
activities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Proceeds from issue of
shares
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
10,000,100
|
|
|
|
1,273,914
|
|
Capital reserves from
shareholders
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
16,364,143
|
|
|
|
2,084,633
|
|
Repayment to bank
loans
|
|
|
(38,679)
|
|
|
|
(431,746)
|
|
|
|
—
|
|
|
|
(676,972)
|
|
|
|
(86,450)
|
|
Proceeds from bank
loans
|
|
|
2,304,000
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
Deferred offering
costs
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
(18,758,367)
|
|
|
|
(2,395,459)
|
|
Advanced to related
parties
|
|
|
—
|
|
|
|
(38,000)
|
|
|
|
—
|
|
|
|
(1,749,007)
|
|
|
|
(223,350)
|
|
Borrowings from a
related party
|
|
|
492,700
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
Borrowings to
shareholders
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
(100)
|
|
|
|
(13)
|
|
Repayment from a
director
|
|
|
—
|
|
|
|
—
|
|
|
|
(18,966)
|
|
|
|
1,806,585
|
|
|
|
230,702
|
|
Principal payment for
obligation
under
finance leases
|
|
|
(34,578)
|
|
|
|
(106,869)
|
|
|
|
—
|
|
|
|
(111,744)
|
|
|
|
(14,270)
|
|
Cash (used in)
provided by
financing activities
|
|
|
2,723,443
|
|
|
|
(576,615)
|
|
|
|
(18,966)
|
|
|
|
6,874,638
|
|
|
|
869,707
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net increase
(decreased) in cash
|
|
|
1,290,377
|
|
|
|
1,364,019
|
|
|
|
(295,568)
|
|
|
|
1,123,105
|
|
|
|
135,232
|
|
Unrealized exchange
difference
separately from cash flows from
financing
activities
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
8,190
|
|
Cash as of beginning of
the year/
period
|
|
|
147,414
|
|
|
|
1,437,791
|
|
|
|
2,801,810
|
|
|
|
2,506,242
|
|
|
|
320,049
|
|
Cash as of the end
of the year/
period
|
|
|
1,437,791
|
|
|
|
2,801,810
|
|
|
|
2,506,242
|
|
|
|
3,629,347
|
|
|
|
463,471
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Supplementary Cash
Flows
Information
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash paid for
interest
|
|
|
55,189
|
|
|
|
105,854
|
|
|
|
—
|
|
|
|
74,587
|
|
|
|
9,525
|
|
Cash paid for
taxes
|
|
|
24,554
|
|
|
|
73,323
|
|
|
|
—
|
|
|
|
19,149
|
|
|
|
2,445
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-cash
transaction
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Lease liabilities
arising from
obtaining
right-of-use assets
|
|
|
513,082
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
Provision for income
tax
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
270,466
|
|
|
|
34,539
|
View original
content:https://www.prnewswire.com/news-releases/alpha-technology-group-limited-reports-2023-financial-year-results-302050113.html
SOURCE Alpha Technology Group Limited