Company: PAVS
Filing Date: 2025-08-04
Form Type: 20-F
Source: 0001929980-25-000590
Chunk: 10

Company: Paranovus Entertainment Technology Ltd.
Filing Date: 2025-08-04
Form: 20-F
Item: Item 3
Chunk 10
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, including potentially significant amortization costs and possible write-dow...  
  general economic conditions in either domestic or international markets, including geopolitical uncertainty and instability.                                                                          

Any one or more of the factors above may result in significant fluctuations in BW’s quarterly results of operations. You should not rely on BW’s past results as an indicator of its future performance. The variability and unpredictability of its quarterly results of operations or other operating metrics could result in its failure to meet its expectations or those of analysts that cover BW or investors with respect to revenue or other key metrics for a particular period. If BW fails to meet or exceed such expectations for these or any other reasons, the market price of shares could fall, and BW could face costly lawsuits, including securities class action suits.

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BW depends on the performance and reputation of key opinion leaders (KOLs) and influencers, and its inability to attract, retain or effectively manage these individuals could materially and adversely affect its business, financial condition and results of operations.

BW relies on the ability of KOLs and influencers to engage audiences and drive sales through short-form videos and livestreaming on platforms such as TikTok. BW collaborates with KOLs in both our self-operated TikTok shops and our e-commerce enablement services for third-party merchants. The effectiveness of these collaborations directly affects consumer traffic, brand visibility, and gross merchandise value (GMV), which in turn impacts the service fees and commission income BW earns.

BW’s continued success depends on its ability to identify, attract and retain KOLs with strong content creation capabilities and established followings. However, there is intense competition for high-performing influencers, and we may not be able to retain them on commercially reasonable terms or at all. In addition, shifts in consumer preferences, platform algorithm changes, or reputational issues involving individual KOLs, such as public controversies, breaches of contract, or failure to comply with platform policies, which could result in the underperformance of influencer-driven campaigns, negatively affecting BW’s financial performance.

If BW is unable to maintain strong relationships with a network of high-performing KOLs or fail to effectively manage influencer-led campaigns, its ability to deliver value to both its own e-commerce stores and its merchant clients may be materially and adversely affected.

BW operates in highly competitive and rapidly evolving markets, and intense competition in the social commerce and e-commerce enablement sectors could adversely affect its business, financial condition, and results of operations.

BW faces intense competition across multiple