Company: ILAG
Filing Date: 2025-04-28
Form Type: 20-F
Source: 0001641172-25-006445
Chunk: 100

Company: Intelligent Living Application Group Inc.
Filing Date: 2025-04-28
Form: 20-F
Item: Item 3
Chunk 100
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 to our products, or the imposition of taxes, import duties or other charges on exports to the U. S. could increase      
  our costs and affect our operating results negatively. Starting in January 2021, we stopped absorbing tariffs cost                           
  from 2018 for our U. S. customers and U. S.. Since February 1, 2025, President Trump has increased tariff levied on products from China      
  to 145% which has made export of our products to the United State impossible. We must develop markets in Asia and other regions to mitigate  
  the natively impact caused by this tariff war.                                                                                               
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  Competition: To continue to compete effectively, we must maintain our reputation for innovation and high-quality products and be flexible and innovative in responding to rapidly changing market...  
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Key Operating Metrics

Our management regularly reviews a number of metrics
to evaluate our business, measure our performance, identify trends, formulate financial projections and make strategic decisions. The
main metrics we consider are the results for the years ended December 31, 2024, 2023 and 2022, as set forth in the table below.

                                              For the years ended December 31,                                                                      
                                              2024                                                  2023                      2022                  
 ────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────
  Revenues                                    $                                      7,506,551      $          6,443,357      $         12,158,102  
  Profit margin                                                                           17.5                       9.8                      18.1  
  Net loss                                    $                                     (3,690,287      $         (3,501,518      $         (1,655,903  
  Inventory turnover (in days)                                                             292                       294                       174  
  Accounts receivable turnover (in days)                                                    14                        58                        41  

We project our revenue based on purchase orders from
our customers, the current principal driver of our business. Then, we will estimate the expected gross profit based on our in-house standard
material and cost table to determine what our profit margin should be. If there will be a downtrend of revenue,
we try to