Company: KMRK
Filing Date: 2025-08-15
Form Type: 20-F
Source: 0001213900-25-077494
Chunk: 6

Company: K-TECH SOLUTIONS CO LTD
Filing Date: 2025-08-15
Form: 20-F
Item: Item 3
Chunk 6
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 maintain our position in the toy
market, we must stay abreast of constantly changing consumer preferences and anticipate product trends that will appeal to existing and
potential customers, and any failure to identify and respond to such trends could result in decreased number of customers and reduced
attractiveness of our design solutions and products. This may in turn lead to significant adverse effects on our business, financial condition
and results of operations.

We are specialized in the design, development
and sale of high quality infant and pre-school educational toys and learning kits. If the demand for educational toys does not achieve
anticipated growth or even decrease, our business and results of operation would be materially and adversely affected.

We principally design, develop,
manufacture and sell high quality infant and pre-school educational toys and learning kits. As a result, the sustainable growth of our
business and our success depend on the overall demand for educational toys in general. We have historically benefited from the demand
in this market. However, we cannot assure that the educational toy market and our customer demand will achieve the expected growth, or
even sustain. If the industry does not grow as fast as we anticipate or even shrinks, or our customer demand otherwise decreases, our
business and results of operation could be materially and adversely affected.

We generally do not enter into long-term contracts
with our customers and purchase order we receive may fluctuate from period to period

As our sales are normally made
on purchase orders, we do not have long-term contracts with our customers. Accordingly, we may have limited visibility as to our future
revenue streams and there is no assurance that we will maintain or increase the level of our business with existing or potential customers.
Our customers may cancel or defer purchase orders. Our customers’ purchase orders may vary from period to period, and it is difficult
to forecast future order quantities. Should our customers decide to reallocate their budgets and choose our competitors due to the market
conditions or we fail to provide attractive toy products to attract or retain customers or any other factors, the demand for our products
may not grow or even decline and our business, results of operations and financial condition may be materially and adversely affected.
As a result, our results of operations may vary from period to period and may fluctuate significantly in the future.

Developments adverse to our major customers
could have an adverse effect on us

We expect that future sales
will continue to depend on the success of our customers. In turn, the success of our customers depends on several factors, including but