Company: AOAO
Filing Date: 2025-01-10
Form Type: S-1/A
Source: 0001493152-25-001624
Chunk: 32

Company: Alpha One Inc.
Filing Date: 2025-01-10
Form: S-1/A
Chunk 32
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 affect our production, or competitors, suppliers or consumers may indirectly affect our business. Our business model may be suppressed if substitutes emerge in the market for our products, which are other products that can achieve the same function. The threat of alternatives is threefold:

1. The competitiveness of substitutes in price;

2. Satisfaction with the quality and performance of substitutes;

3. How easy it is for customers to switch to substitutes.

At present, there is no substitute for the product itself, unless it is an industry substitute or a new technology emerges. For example, the emergence of new energy vehicles or disruptive products. This will have a destructive effect on our sales

We have historically relied, and expect to continue to rely, a large portion of our revenue was generated from our two major customers, and we do not have long-term contract with them. The loss of any of two major customers could significantly harm our business, financial condition and results of operations.

Our sales to two major customers accounted for 57% and 56% for the years ended March 31, 2023 and 2024 respectively. Our sales to two major customers accounted for 67% and 92% for the six months ended September 30, 2023 and 2024 respectively. There is no assurance that we would be able to increase the number of customers to reduce our reliance on our two major customers. We do not have long-term sales agreements or other contractual assurances as to future sales to our twomajor customers. The sales are generally concluded on an order -by -order basis under business purchase order. The projects are generally concluded on the winning project.

There is no assurance that our customers will continue to place orders to us; or their future orders will be at a comparative level or on similar terms as in prior years. It is uncertain that we would be able to retain our two major customers or solicit new customers to offset the impact from any loss of such customers. Any reduction in revenue from our existing customers and/or any loss of our two major customers could have a material adverse effect on our profitability and financial performance. As a result, if we fail to successfully attract or retain new or existing two major customers or if existing two major customers run fewer products or services purchase with us, defer or cancel their insertion orders, or terminate their relationship with us altogether, whether through the actions of their agency representatives or otherwise, our business, financial condition and results of operations would be harmed.

An increase in the cost of energy or the cost of environmental regulatory compliance could affect our