Company: WCT
Filing Date: 2025-05-16
Form Type: 20-F
Source: 0001213900-25-044576
Chunk: 153

Company: Wellchange Holdings Co Ltd
Filing Date: 2025-05-16
Form: 20-F
Item: Item 19
Chunk 153
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 year ended December 31, 2024, two
customers accounted for32.4% and15.3% of our total revenues. The two customers signed Wching HK’s standard software development
agreement, including provisions regarding deliverables, payment, confidentiality, intellectual property, warranties, indemnification,
assignment, and governing law. The non-breaching party may terminate the agreement for a material breach of any terms and conditions within
such agreement, and either party may terminate the agreement if the other party receives convictions of criminal offenses or files for
bankruptcy during the term of the agreement. We usually provide a 90-day continuing support service from the application delivery, including
repairs of bugs, glitches, and other issues related to the delivered application, and we do not charge separately for these support services.
For the year ended December 31, 2023 one customer accounted for20.7% of our total revenues. For the year ended December 31, 2022, two
customers accounted for45.9% and12.2% of our total revenues. No other customer accounts for more than 10% of our revenues for the years
ended December 31, 2022, 2023 and 2024, respectively.

As of December 31, 2023, one customer accounted
for10.5% of the total balance of accounts receivable. As of December 31, 2024, five customers accounted for21.0%,14.5%,13.2%,12.8%
and11.9% of the total balance of accounts receivable. No other customer accounts for more than 10% of our accounts receivable as of December 31,
2023 and 2024, respectively.

Subcontractor concentration risk

For the year ended December 31, 2023, one
subcontractor accounted for24.7% of our total cost of revenues. No other subcontractor accounts for more than 10% of our cost of revenues
for the years ended December 31, 2023 and 2024, respectively.

Interest rate risk

The Company is exposed to cash flow interest rate
risk through the changes in interest rates related mainly to the Company’s bank borrowings and cash and cash equivalents. The Company
currently does not have any interest rate hedging policy in relation to fair value interest rate risk and cash flow interest rate risk.
The directors monitor the Company’s exposures on an ongoing basis and will consider hedging the interest rate should