Company: SEAH
Filing Date: 2025-11-24
Form Type: F-1/A
Source: 0001213900-25-113788
Chunk: 68

Company: Seahawk Recycling Holdings, Inc.
Filing Date: 2025-11-24
Form: F-1/A
Chunk 68
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 scrap metal and paper pulp, increased from approximately US$49.40 million for the year ended March 31, 2024 to approximately US$62.11 million for the year ended March 31, 2025, which was in line with the increase sales from recycling products. Freight -in costs.Our freight -incosts, which mainly represent the freight cost incurred for the purchase of recyclables, totaled approximately US$0.58 million for both the years ended March 31, 2025 and 2024. Freight -incosts remained relatively stable due to a greater number of purchasing orders placed with suppliers that included logistics arrangements. Technology licensing cost.Our technology licensing cost primarily consists of amortization expenses related to the patent purchased, totaling approximately US$0.02 million and nil for the years ended March 31, 2025 and 2024, respectively. Others.Our other miscellaneous costs mainly consist of payroll cost, depreciation and amortization costs and tariffs, which were approximately US$0.06 million and approximately US$0.07 million for the years ended March 31, 2025 and 2024, respectively, which remained relatively stable. Gross profit and gross profit margin Our gross profits were approximately US$2.63 million and approximately US$0.96 million for the years ended March 31, 2025 and 2024, respectively, representing a gross profit margin of 4.0% and 1.9%, respectively. This represents an improvement in our gross profit margin of 2.1%, primarily attributable to our revenue growth, which outpaced the increase in our cost of revenue, which was mainly driven by (i) a 36.9% increase in the average selling price of waste paper and scrap metal in recycling sales, compared to a 34.0% increase in the average purchase price, and (ii) contribution from our technology licensing revenue, which also added approximately 0.3% to the gross profit margin. We also continued our effort in expanding our market reach and further optimization in standardized operations processes, which led to improvement in overall cost control. Operating expenses Selling and marketing expenses Our selling and marketing expenses increased by 83.9%, from approximately US$0.67 million for the year ended March 31, 2024 to approximately US$1.24 million for the year ended March 31, 2025, which was mainly attributable to: (i) an increase in logistics expenses from approximately US$0.45 million for the