Company: KPEA
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001641172-25-010699
Chunk: 86

Company: Kun Peng International Ltd.
Filing Date: 2025-05-15
Form: 10-Q
Item: Item 2
Chunk 86
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Overview of the Business

Due to global health issues and
the COVID-19 pandemic, people have increased their health and nutrition consciousness. We believe preventive care is the most effective
investment in health.

To promote awareness of preventive
care among the people in the PRC, we developed and launched our mobile platform, King Eagle Mall, in July 2020, an online platform, Kun
Zhi Jian, in October 2022, and Kun Zhi Jian Mini Program in November 2023.

King Eagle Mall

King Eagle Mall is a mobile social
e-commerce platform launched in July 2020 that promotes preventive health care products and services. It adopts the S2B2C business model
and integrates many major health care products and services. King Eagle Mall is designed to enable health-related products to be sold
by us and by third parties. King Eagle Mall’s products are divided into two sectors: self-operated products and selected products
which promote preventive health care. Our team screens and examines products that are and will be offered both by us and by affiliated
merchants. Our major products include health care products such as dietary supplements, nutritional health foods, beauty cosmeceuticals,
and other categories of health foods (for instance, milk powder, dried fruits) for supporting the cardiovascular system and bone joint
health. We also offer collagen peptides, probiotics, and health foods for improving blood circulation and vein health, as well as household
products that can promote and improve a healthier lifestyle for our members. We receive customer orders and may arrange fulfillment through
our merchants who are responsible for delivery or we may fill customer orders through our outsourced networks. As of March 31, 2025, King
Eagle Mall had approximately 5,669 members.

We also operate customer service
centers with which our members can communicate directly for any assistance related to product purchases, suggestions for health care products
and services, and delivery logistics.

Kun Zhi Jian and Kun Zhi Jian Mini Program

In October 2022, we introduced
and implemented a new online platform, Kun Zhi Jian. In its initial phase of operation, we focused on selling a thermal therapy cabin
to wholesalers. Currently, we promote and sell physiotherapy equipment products and our own brand, as well as other popular brands, of
preventive health care related products. In November 2023 we also launched the Kun Zhi Jian Mini Program, which is composed of three main
areas: physiotherapy cabin, a