Company: KNRX
Filing Date: 2025-09-22
Form Type: F-1/A
Source: 0001493152-25-014499
Chunk: 212

Company: KNOREX LTD.
Filing Date: 2025-09-22
Form: F-1/A
Chunk 212
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 (126,440 | ) |     |     |          (357,059 | ) |
| Ending balance                                           |     | $   |            45,235 |   |     | $   |           126,440 |   |

As of December 31, 2024 and 2023, the Company had deferred revenue of US$45,235 and US$126,440, respectively, among which, US$45,235 is expected to be recognized as revenue during the year ended December 31, 2025 and US$126,440 was recognized as revenue during the year ended December 31, 2024.

Cost of revenues

Cost of revenues consist primarily of costs to run the advertisement serving services. These costs include cost to acquire advertisement media sources, advertisement data sources and advertisement related technology features.

| F-14 |

Operating expenses

The Company classifies its operating expenses into four categories and allocates overhead such as information technology infrastructure, rent and occupancy charges based on headcount for all these categories:

Platform operations

Platform operations expenses consist primarily of expenses related to hosting the Company’s XPO platform, which include hosting costs, data-related costs, data and privacy certifications and audits, and personnel costs of salaries and other compensation-related expenses attributable to personnel who support the platform and provide clients with platform support.

Sales and marketing

Sales and marketing expenses consist primarily of personnel costs of salaries and other compensation-related expenses for the Company’s sale and marketing personnel, professional services costs and facility related costs related to advertising, product management, promotional materials, public relations, other sales and marketing programs.

Technology and development

Technology and development expenses consist primarily of personnel costs of salaries and other compensation-related expenses for the Company’s technology and development personnel with the ongoing development and maintenance of the Company’s platform, professional services costs and facility related costs as well as costs related to research and product development. Technology and development costs are expensed as incurred, except to the extent that such costs are associated with software development that qualifies for capitalization in accordance with ASC 350-40, Internal-Use Software (“ASC 350-40”), which requires the capitalization of certain costs incurred only during the application development stage. The Company evaluates periodically research and development costs that may be eligible for capitalization. During the years ended December 31, 2024 and 2023, amortization expense of capitalized software development costs amounted to US$744,993 and US$592,458, respectively.

General and administrative

General and administrative expenses consist primarily