Company: TOP
Filing Date: 2025-08-13
Form Type: 20-F
Source: 0001213900-25-075728
Chunk: 32

Company: TOP Financial Group Ltd
Filing Date: 2025-08-13
Form: 20-F
Item: Item 4A
Chunk 32
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 of approximately $2.8 million and impairment of approximately $0.3 million against
long-term investment, and changes in operating assets and liabilities including (i) a decrease of US$1.6 million in receivables due from
related party customers as a result of collection of our related party customers, (ii) an increase of US$8.0 million in receivables from
broker-dealers and clearing organizations, (iii) a decrease of US$6.1 million in payables to customers because we terminated OTC derivative
business in the year of 2025.

Net cash provided by operating activities in the
year ended March 31, 2024 was US$17.9 million, as compared to the net profit of US$1.1 million. The difference was primarily attributable
to (i) a decrease of US$3.3 million in loans receivable due from customers as a result of collection of loans from customers, (ii) a decrease
of US$1.7 million in securities owned, at fair value as we redeemed investments, (iii) an increase of US$6.7 million in payables to customers,
and (iv) an increase of US$6.1 million in payables to holders of structured notes because we launched OTC derivative business in the year
of 2024.

Net cash used in operating activities in the year
ended March 31, 2023 was US$6.0 million, as compared to the net profit of US$3.4 million. The difference was primarily attributable to
(i) an increase of US$2.6 million in accounts receivable due from customers as a result of increase in revenues from trading solution
services and receivables due from customers who held US stocks under the Company’s custodian, (ii) an increase of US$1.5 million
in accounts receivable due from a related party who held US stocks under the Company’s custodian, (iii) an increase of US$3.9 million
in loans receivable from customers, (iv) an increase of US$1.5 million in securities owned, at fair value as we increased investments,
and (v) an increase of US$0.9 million in other assets.

Investing activities

Net cash used in investing activities in year
ended March 31, 2025 was US$9.4 million, which was comprised of investments of US$2.4 million in three privately held companies