Company: FOXX
Filing Date: 2025-10-15
Form Type: 10-K
Source: 0001213900-25-098953
Chunk: 582

Company: Foxx Development Holdings Inc.
Filing Date: 2025-10-15
Form: 10-K
Item: Item 2
Chunk 582
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 be allocated to cost of revenue. We did
not have this kind of service for the year ended June 30, 2024.

For
the year ended June 30, 2025, our gross profit percentage of other services was 52.9%. We did not have the other logistic and warehouse
management services for the year ended June 30, 2024. 

24

Operating
Expenses

Total
operating expenses increased by approximately $11.3 million, or 346.1%, to approximately $14.5 million for the year ended June 30, 2025
from approximately $3.2 million for the year ended June 30, 2024.

Our
operating expenses are summarized as follows:

    For
    the Years ended June 30, 

    2025  
    2024  
    Change
    ($)  
    Change
    (%) 

    Operating
    expenses 

    Selling
    expenses 
    $5,183,464  
    $1,076,761  
    $4,106,703  
     381.4%
  
    General
    and administrative expense 
     7,068,426  
     2,076,484  
     4,991,942  
     240.4%
  
    Research
    and development – related party 
     136,752  
     91,168  
     45,584  
     50.0%
  
    Research
    and development 
     2,083,897  
     -  
     2,083,897  
     100.0%
  
    Total
    operating expense 
    $14,472,539  
    $3,244,413  
    $11,228,126  
     346.1%

The
increase in operating expense was mainly attributed to the following:

Selling
Expenses

Selling expenses increased approximately $4.1 million, or 381.4%,
to approximately $5.2 million for the year ended June 30, 2025, from approximately $1.1 million for the year ended June 30, 2024.
The increased selling expenses was mainly attributable to (i) approximately $2.0 million increase in commission, payroll and payroll related
expense as we recruited and hired more salespersons