Company: GLXG
Filing Date: 2025-10-24
Form Type: 20-F
Source: 0001213900-25-102144
Chunk: 159

Company: Galaxy Payroll Group Ltd
Filing Date: 2025-10-24
Form: 20-F
Item: Item 4A
Chunk 159
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 expenses have decreased due to our management's focus on business development
in previous years, which has led to reduced travel costs for operations in other Asian countries.

Staff Costs

Staff costs consisted of
staff salaries, employer’s contribution to pension scheme, staff training, staff allowance, remuneration to independent executive
directors, seconded employee costs and recruitment fee. For the year ended June 30, 2025, staff costs were HKD11,192,966 (US$1,425,874),
increased by HKD7,489,818 or 202% from HKD3,703,148 in the year ended June 30, 2024. Such increase was mainly driven by discretionary
bonuses to the senior management of USD250,000 each, remuneration to independent executive directors, additional year-end bonus to employees
and yearly salary increments.

Legal and professional fees

Legal and professional fees
included service fees paid to solicitors and any other third-party service providers for professional services. The Group incurred legal
and professional fees in an amount of HKD5,748,312 (US$732,279) in the year ended June 30, 2025 compared to HKD2,066,956 in the year ended
June 30, 2024 with an increase by HKD3,681,356 or 178%. During the year ended June 30, 2025, the Group reclassified and redesignated the
ordinary shares into ordinary share Class A and B, filed Form S-8 for the ESOP program, and changed our external auditor. As a result,
these activities incurred additional charges for the Group compared to the year ended June 30, 2024.

Others

Other expenses included commission paid to independent third parties,
donation to charities and sundry expenses. For the year ended June 30, 2025, the Group incurred other expenses in an amount of HKD708,626
(US$90,273) which consisted of donation, HKD12,000 (US$1,529), advertising, HKD145,668 (US$18,557) and sundry expense, HKD331,407 (US$42,218).
For the same period in 2024, the Group incurred other expenses in an amount of HKD655,290 which consisted of donation, HKD12,000, advertising,
HKD107,238 and sundry expense, HKD197,565.

Research and development expenses