Company: OTSA
Filing Date: 2025-01-28
Form Type: DRS
Source: 0001213900-25-007614
Chunk: 128

Company: OTSAW Ltd
Filing Date: 2025-01-28
Form: DRS
Chunk 128
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 million for the year ended April 30, 2024. Liquidity and Capital Resources Prior to this offering, our principal sources of liquidity to finance our day -to -dayoperations are from the financing provided by our major shareholder and related parties. We recorded net cash outflow in operating activities of US$2.3 million and US$4.6 million for the years ended April 30, 2024 and 2023, respectively. 80

As of April 30, 2024, we had working capital deficit of US$10.0 million, US$30,331 in cash and cash equivalents, out of which US$28,610 was held in Singapore dollar (“SGD”), and the rest was held in U.S. dollar (“US$”) and Euro Dollar (“EUR”). As of April 30, 2023, we had working capital deficit of US$12.7 million, US$34,982 in cash and cash equivalents, out of which US$15,945 was held in SGD, and the rest was held in US$ and EUR. Our cash and cash equivalents primarily consist of petty cash and balances maintained with banks in Singapore, United States and Germany. We also incurred a net loss before tax of USD 6,458,189 and net operating cash outflow of USD 2,304,590 for the year ended April 30, 2024. We have incurred recurring losses and have accumulated losses of $21,868,746 as of April 30, 2024. These factors indicate the existence of a material uncertainty which may cast significant doubt over our ability to continue as going concerns. In assessing our liquidity, we monitor and analyze our cash on -handand our operating and capital expenditure commitments. Our liquidity needs are to meet our working capital requirements, operating expenses and capital expenditure obligations. The availability of cash flow from operating activities and loans from our directors and related parties together provide us with sufficient liquidity to meet our ongoing working capital requirements. Considering all facts and information on hand, we expect our cash on hand is sufficient to finance our working capital requirements within the normal operating cycle of a twelve -monthsperiod from the date of our consolidated financial statements are issued. If we are unable to have sufficient fund to finance our working capital requirements within the normal operating cycle of a twelve -monthsperiod from the date of these consolidated financial statements are issued, we may consider supplementing our available sources of funds through the following sources: •additional equity financing from shareholders or third -party