Company: AOAO
Filing Date: 2025-01-10
Form Type: S-1/A
Source: 0001493152-25-001624
Chunk: 26

Company: Alpha One Inc.
Filing Date: 2025-01-10
Form: S-1/A
Chunk 26
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 For the fiscal years ended March 31, 2024 and 2023, the supplier accounted for approximately 81% and nil of our total purchases respectively.

We have purchased, and expect to continue to purchase products from the supplier under our purchase agreements with it. Our agreement with the supplier is valid for two years after the products acceptance is qualified. These agreements may be terminated or rescinded earlier by mutual agreements to terminate, or occurrence of force majeure. In the event that we are unable to purchase products upon early termination or expiration of our agreement with the supplier, our business would be harmed.

The unavailability of certain products, delays in the delivery of certain products or the delivery of products that does not meet our specifications could impair our ability to meet customers’ orders. We are also subject to credit risk with respect to our suppliers. If any such suppliers become insolvent, an appointed trustee could potentially ignore the contracts we have in place with such party, resulting in increased charges or the termination of the supply contracts. We may not be able to replace a supplier within a reasonable period of time, on as favorable terms or without disruption to our operations. Any adverse changes to our relationships with suppliers could have a material adverse effect on our image, brand and reputation, as well as on our business, financial condition and results of operations.

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The Company had operating cash outflows for the years ended March 31, 2024 and 2023, and the Company’s cash flows may deteriorate due to potential mismatches in the time between receipt of payments from the Company’s customers, and payments to the Company’s suppliers, which may impact its operating cash flow position

The Company relies on its suppliers to provide the necessary labour and materials for its projects, and relies upon the cash inflow from its customers to meet the payment obligations towards its suppliers. The Company’s cash inflows are dependent upon a variety of factors including certification by its customers and the prompt settlement of its invoices. If such payment is delayed, the Company may be required to fund the cost of works for a lengthy period of time until the Company’s payment application is approved and paid for. As at March 31, 2024 and 2023, the Company’s accounts payable, accrued and other payables amounted to $5.66 million and $2.80 million respectively. Whereas for the corresponding dates, the Company’s account receivables amount to $9.75 million and $5.72 million respectively. Nevertheless, even if the Company’s