Company: XTKG
Filing Date: 2025-04-25
Form Type: 20-F
Source: 0001213900-25-035626
Chunk: 113

Company: X3 Holdings Co., Ltd.
Filing Date: 2025-04-25
Form: 20-F
Item: Item 5
Chunk 113
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 in the Forbearance Agreement. In addition,
the Forbearance Agreement does not constitute a waiver of, or an amendment to, any rights, powers, or remedies of the Investor under the
related agreements in conjunction therewith as in effect prior to the date of the Forbearance Agreement.

Key Factors that Affect Operating Results

We currently derive a majority
of revenues from our application development services, consulting and technical support services, subscription services and trading. We
intend to continually enhance our services and cross-sell new services to our existing customers and acquire new customers by increasing
our market penetration with a deeper market coverage and a broader geographical reach. Our ability to maintain and expand our customer
base with our application development services significantly affects our operating results. We intend to expand the scope of our offerings
to service existing customers and acquire new customers by continually making significant investments in R& D as well as sales and
marketing activities to increase our subscription revenue and profit. Our ability to drive increased customer adoption and usage of our
SaaS services affects our operating results.

Our business of providing
digital solutions and technology services spans diverse industries. We harness cutting edge technologies to forge agile, innovative business
models by integrating pivotal resources in technology applications, financial prowess, and streamlined operations. We target accelerated
and transformative growth across digital technologies and cryptomining operations.

We intend to pursue strategic
acquisitions and investments in selective technologies and businesses that will enhance our technology capabilities, expand our offerings
and increase our market penetration. We believe our strategic acquisition and investment strategy is critical for us to accelerate our
growth and strengthen our competitive position. Our ability to identify and execute strategic acquisitions and investments will have
an effect on our operating results.

  Operating Results  
 ─────────────────────

For the years ended December 31, 2024 and
2023

The following table summarizes
the results of our operations for the years ended December 31, 2024 and 2023, respectively, and provides information regarding the dollar
and percentage increase or (decrease) during such periods.

                                                         For the Years Ended                                                                                          
                                                         December 31,                                                                                                 
                                                         2024                                      2023                        Change                                 
 ──────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────
  REVENUES:                                                                                                                                                           
  Application development services                       $                          5,348,816      $            9,780,115      $            (4,431,