Company: JL
Filing Date: 2025-05-20
Form Type: 20-F/A
Source: 0001213900-25-045507
Chunk: 118

Company: J-Long Group Ltd
Filing Date: 2025-05-20
Form: 20-F/A
Chunk 118
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 March 31, 2023, as compared to other expenses and currency exchange loss of $94,488 for the fiscal year ended March 31, 2022. Other income for the fiscal year ended March 31, 2023 was mainly due to a foreign exchange gain of $443,831 due to the fluctuation of the Renminbi, an increase of sundry income of $177,356 derived mainly from a subsidy from the Employment Support Scheme launched by the Hong Kong government and a gain from disposal of property of $987,532. Other losses for the year ended March 31, 2022 was mainly due to a foreign exchange loss of approximately $156,000 as the US dollar appreciated, while such loss was partly offset by sundry income. Interest Expense Our interest expenses increased by 78.6% to $135,616 for the fiscal year ended March 31, 2023, from $75,919 for the fiscal year ended March 31, 2022. The increase was primarily due to the rise in interest rates. Income Tax Expense Our income tax expense increased by 25.3% to $1,097,726 for the fiscal year ended March 31, 2023, from $876,396 for the fiscal year ended March 31, 2022. The increase was due to our increase in profit before income tax. Our effective tax rate decreased to 14.2% for the fiscal year ended March 31, 2023 from 16.4% for the fiscal year ended March 31, 2022. For information on taxes imposed by the Cayman Islands and Hong Kong, please see Item 10. “Additional Information - Material Income Tax Considerations.” Net Income As a result of the foregoing, our net profit increased by 48.5% to $6,656,151 for the fiscal year ended March 31, 2023, from $4,483,642 for the fiscal year ended March 31, 2022. Due to the improved gross profit margin and increased other income, our net profit margin improved to 17.4% for the fiscal year ended March 31, 2023 from 11.7% for the fiscal year ended March 31, 2022. 73 LIQUIDITY AND CAPITAL RESOURCES Cash Flow Our use of cash is primarily related to operating activities and repayment of bank loans for normal business operation, we also use cash for payment of dividends and payment of costs for