Company: BGHL
Filing Date: 2025-09-22
Form Type: F-1/A
Source: 0001213900-25-089787
Chunk: 94

Company: BILLION GROUP HOLDINGS Ltd
Filing Date: 2025-09-22
Form: F-1/A
Chunk 94
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 luxury seafood was 32.7% for the year ended December 31, 2024, compared to that of 28.6% for the same period of 2023. The increase in gross profit was due to the increase in sales. However, the purchase cost of luxury seafood was higher in early 2023 right after the end of pandemic and then back to normal in the second half of 2023; whereas the purchase cost of luxury seafood was relatively stable throughout the year 2024. Thus, the cost of sales from luxury seafood increased in a lower portion than the increase in sales so that a higher gross profit margin was reached for the year ended December 31, 2024. Gross profit from sales of other products decreased by HK$132,185 or 81.9% for the year ended December 31, 2024, as compared to that of the same period of 2023. The gross profit margin of sales of other products was 5.2% for the year ended December 31, 2024, compared to that of 4.8% for the same period of 2023. The decrease in gross profit was due to the decrease in sales. The management decided to focus more on the sales of frozen food, fine wine and spirit and luxury seafood which have higher gross profit margin. The gross profit margin on sales of other products had remained stable throughout the years. Operating Expenses Operating expenses comprise management fee, transportation, rent, travelling and entertainment. For the year ended December 31, 2024, operating expenses were HK$1,833,642, representing a decrease of HK$764,259 or 29.4%, as compared to HK$2,597,901 for the year ended December 31, 2023. The decrease was contributed by the drop in entertainment expenses as the new management team brought by the current shareholders tightened the budget on such expenses during the year ended December 31, 2024. Administrative Expenses Administrative expenses comprise professional fee, bank charges and other miscellaneous expenses. For the year ended December 31, 2024, administrative expenses were HK$18,248, representing an increase of HK$8,369 or 84.7%, as compared to HK$9,879 for the year ended December 31, 2023. The increase was caused by the higher provision for audit fee for the year ended December 31, 2024.

51

Other Income Other income comprises net exchange gain and sundry income.