Company: MASK
Filing Date: 2025-06-24
Form Type: F-1
Source: 0001185185-25-000685
Chunk: 155

Company: 3 E Network Technology Group Ltd
Filing Date: 2025-06-24
Form: F-1
Chunk 155
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, 2023. The net cash
used in financing activities for the six months ended on December 31, 2024 and 2023 was mainly amounts due to related parties and
deferred IPO costs.

<div align='center'>85

INDUSTRY</div>

The PRC software and information technology service
industry (“Software Industry”) displayed a steady development trend in 2023. Statistics from the MIIT shows that in 2023,
total revenue of the industry surpassed RMB12 trillion, profitability remain steady, and export continued to grow.

1. Overview

Revenue from Software Industry grew above RMB12 trillion
in 2023. According to number released by MIIT’s Report on Economic Operation of the Software Industry for 2023, more than
380,000 companies in the Software Industry have reached the milestone of receiving more than RMB5 million in revenue for their core
operations in 2023. Total revenue from the Software Industry was RMB12,325.8 billion, a year-on-year increase of 13.4%, the growth
rate went up by 2.2% when compared with that of 2022.

<div align='center'>Figure 1 Growth of software Industry revenue
in 2014 – 2023</div>

The total profit of the Software Industry
was RMB1,459.1 billion in 2023, a year-on-year increase of 13.6%. Compared against 2022, the rate of increase went up by 7.9% and
the profit ratio of the main business of surveyed companies in the industry increased by 0.1% to 9.2%.

<div align='center'>Figure 2 Growth of total profit in 2022
– 2023

86</div>

Export sales of Software Industry amounted to
USD 51.42 billion, a decrease of 3.6% year-on-year, but was 5.4% higher than the growth rate in 2022, according to the MIIT. Of
the total export revenue, export of software outsourcing services increased by 5.4%, year-on-year.

<div align='center'>Figure 3 Growth in export sales of Software
Industry in 2014 – 2023</div>

2. Sector analysis

In 2023, the domestic revenues from the sales of
software products, IT services, information security products and services, and embedded system software were RMB2,903 billion, R