Company: CHOW
Filing Date: 2025-01-13
Form Type: DRS/A
Source: 0001493152-25-001833
Chunk: 105

Company: ChowChow Cloud International Holdings Ltd
Filing Date: 2025-01-13
Form: DRS/A
Chunk 105
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| Net cash used in investing activities     |     |      |              (1,300,150 | ) |     |      |   (980,807 | ) |     |      |  (125,745 | ) |     |                 |         (976,930 | ) |     |                 | (1,197,896 | ) |     |                  | (153,576 | ) |
| Net cash used in financing activities     |     |      |              (4,633,636 | ) |     |      | (6,406,852 | ) |     |      |  (821,391 | ) |     |                 |       (4,221,610 | ) |     |                 |   (464,530 | ) |     |                  |  (59,554 | ) |

Cash Flow Activities for the Six Months Ended June 30, 2023 and 2024

Cash Provided by Operating Activities:

For the six months ended June
30, 2023, net cash provided by operating activities was HK$1.3 million, primarily resulted
from the net income of HK$6.5 million as adjusted for non-cash items and changes in operating
assets and liabilities. Adjustments for non-cash items primarily consisted of (i) amortization of intangible asset of HK$0.2 million
and (ii) deferred income tax of HK$0.1 million. Changes in operating assets and liabilities primarily driven by a decrease in deferred
revenue (contract liabilities) of HK$3.4 million and decrease in accounts payable of HK$1.8 million, partially offset by increase in
taxable payable of HK$0.9million.

For the six months ended June 30, 2024, net cash provided by operating activities was HK$ 3.2million (US$ 0.4million), primarily resulted from the net income of HK$ 6.9million (US$ 0.9million) as adjusted for non-cash items and changes in operating assets and liabilities. Adjustments for non-cash items primarily consisted of (i) amortization of intangible asset of HK$0.3 million (US$33,412); (ii) allowance for the current expected credit losses on accounts receivable of HK$0.2 million (US$29,427) and (iii) deferred income tax of HK$0.1 million (US$14,544). Changes in operating assets and