Company: JL
Filing Date: 2025-07-28
Form Type: 20-F
Source: 0001213900-25-068049
Chunk: 112

Company: J-Long Group Ltd
Filing Date: 2025-07-28
Form: 20-F
Item: Item 5
Chunk 112
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411 for the
fiscal year ended March 31, 2024 in line with our increase in revenues.

Gross Profit

Our gross profit increased to $11,257,239 for the fiscal year ended
March 31, 2025 compared to $6,797,258 for the fiscal year ended March 31, 2024. Our gross profit margin increased to 29% for the
fiscal year ended March 31, 2025 as compared to 24% for 2024, essentially remaining stable.

Selling and Marketing Expenses

Selling and marketing expenses
are mainly comprised of marketing and promotion fees paid to consultants for overseas sales, commission expenses, wages, salaries and
share-based compensation for our sales and marketing personnel and outbound transportation expenses. Our selling and marketing expenses
increased by 60% to $3,318,418 as compared to $2,068,502 for the fiscal year ended March 31, 2024. We paid commissions to our overseas
consultants who are mainly stationed in non-Asian countries with respect to non-Asia sales. As non-Asia sales increased, we incurred higher
commissions in fiscal year 2025 compared to fiscal year 2024. Payroll expenses and transportation expenses increased in line with the
sales increase. In addition, we paid share-based compensation for 5 members with total selling and marketing expenses of $654,595.

General and Administrative Expenses

General and administrative
expenses are mainly comprised of staff costs and directors’ remuneration, travel and transportation expenses, depreciation expenses,
CECL provision, inventory impairment provision, lease expenses, office expenses, bank charges, professional fees, audit fees and other
miscellaneous expenses. Our general and administrative expenses increased by 27% to $5,540,564 from $4,348,458 for the fiscal year ended
March 31, 2024 primarily due to increases in officers’ and directors’ remuneration, which together account for approximately
64% of general and administrative expenses, and professional fees which account for approximately 9% of general and administrative expenses.

Other Income/expenses and currency exchange
gain/loss

We recorded other income
and exchange gain of $897,845 for the fiscal year ended March 31, 2025, as compared to other income and exchange gain of $676,154
for the fiscal year ended March 31, 2024. Other income and exchange gain for the fiscal year ended March 31,