Company: KMRK
Filing Date: 2025-08-15
Form Type: 20-F
Source: 0001213900-25-077494
Chunk: 81

Company: K-TECH SOLUTIONS CO LTD
Filing Date: 2025-08-15
Form: 20-F
Item: Item 5
Chunk 81
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 compared from US$15,327 for the year ended March
31, 2023, due to the higher pre-tax profit base in 2024. The effective tax rate for the years ended March 31, 2025, 2024 and 2023 was
4.9%, 13.5% and 5.8%, respectively.

The change in our effective
income tax rate was driven by assessable profit that the tax rate is 16.5% under the two-tiered profits tax regime in which income tax
was charged at the rate of 8.25% on the first US$256,410 (equivalent to HKD2 million) profit and at the rate of 16.5% thereafter.

Net Income

As a result of the foregoing,
we reported net income of approximately US$0.49 million for the year ended March 31, 2025, representing a decrease of approximately US$0.44
million from net income of approximately US$0.93 million for the year ended March 31, 2024.

As a result of the foregoing,
we reported net income of approximately US$0.93 million for the year ended March 31, 2024, representing an increase of approximately US$0.68
million from net income of approximately US$0.25 million for the year ended March 31, 2023.

B. Liquidity and capital resources

Our use of cash was
primarily related to operating activities and payment for offering cost in the years ended March 31, 2025, 2024 and 2023. We have
historically financed our operations primarily through our cash flow generated from our operations and bank borrowings.

The table below sets forth
our cash flows for the years ended March 31, 2025, 2024 and 2023.

                                                              For the year ended March 31,                                
                                                                                      2025                                
 ──────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────
  Net cash (used in)/generated from operating activities                        (1,296,977       5,440,648      (229,783  
  Net cash generated from/(used in) investing activities                            91,214          66,403       (89,799  
  Net cash generated from/(used in) financing activities                           183,081      (2,466,070      (520,085  
  Effect of foreign exchange rate