Company: GLXG
Filing Date: 2025-10-24
Form Type: 20-F
Source: 0001213900-25-102144
Chunk: 33

Company: Galaxy Payroll Group Ltd
Filing Date: 2025-10-24
Form: 20-F
Item: Item 3
Chunk 33
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 significant resources, and may be required to invest significant
additional resources, to modify and enhance our information security and controls and to investigate and remediate any security vulnerabilities.
In addition, while our operating environments are designed to safeguard and protect personal and business information, we may not have
the ability to monitor the implementation or effectiveness of any safeguards by our clients, vendors or partners and, in any event, third
parties may be able to circumvent those security measures. Information obtained by malevolent parties resulting from successful attacks
against our clients, vendors, partners or other third parties may, in turn, be used to attack our information technology systems.

Any cyberattack, unauthorized
intrusion, malicious software infiltration, network disruption, denial of service, corruption of data, theft of non-public or other sensitive
information, or similar act by a malevolent party (including our personnel), or inadvertent acts or inactions by our vendors, partners
or personnel, could result in the loss, disclosure or misuse of confidential personal or business information or the theft of client,
and could have a materially adverse effect on our business or results of operations or that of our clients, result in liability, litigation,
regulatory investigations and sanctions or a loss of confidence in our ability to serve clients, or cause current or potential clients
to choose another service provider. As the global environment continues to grow increasingly hostile, the security of our operating environment
is ever more important to our clients and potential clients. As a result, the breach or perceived breach of our security systems could
result in a loss of confidence by our clients or potential clients and cause them to choose another service provider, which could have
a materially adverse effect on our business.

Although we believe that
we maintain a robust program of information security and controls and none of the data or cyber security incidents that we have encountered
to date have materially impacted us, a data or cyber security incident could have a materially adverse effect on our business, results
of operations, financial condition and reputation. While we maintain insurance coverage that, subject to policy terms and conditions and
a significant self-insured retention, is designed to address losses or claims that may arise in connection with certain aspects of data
and cyber risks, such insurance coverage may be insufficient to cover all losses or all types of claims that may arise in the continually
evolving area of data and cyber risk.

Our systems, applications, solutions and
services may be subject to disruptions that could have a materially adverse effect on our business and reputation.

Many of