Company: KMRK
Filing Date: 2025-06-25
Form Type: F-1/A
Source: 0001213900-25-057444
Chunk: 115

Company: K-TECH SOLUTIONS CO LTD
Filing Date: 2025-06-25
Form: F-1/A
Chunk 115
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 our products are mostly manufactured and supplied by Fully Starise which represents approximately 85% of our cost of goods sold. Fully Starise is an independent third party supplier that operates a factory in the PRC. We consider Fully Starise a reliable partner and strong back up of production capability to us whereby we have entered into long term supply agreement with Fully Starise to secure stable and quality supply of toy products. Meanwhile, we are also currently exploring Vietnam and/or other Southeast Asian countries for potential locations for manufacturing operations. We plan to set up our own factory and manufacturing operations primarily to assemble components that we purchase from other companies. Although we plan to commence manufacturing operations, we cannot assure you that we will be able to materialize such plan and operations. OUR COMPETITIVE STRENGTHS Strong capability in product innovation and design Our management has accumulated over 40 years of experience and knowledge in the toy industry. We have a product design and development team comprising 2 designers and 4 product engineers who keep abreast of latest toy design concepts obtained from market intelligence and customer feedback. We endeavor to improve customers’ satisfaction by adding additional features and functions to our toy products within the budget and target production cost set by our customers. We design and test our prototypes and manage the production process to ensure final products adhere to original design and satisfy customers’ requirements in terms of safety and quality. We believe our strong capability in product innovation and design enables us to address the rapidly evolving toys market. Solid customer base and established reputation We have a solid customer base of international toy brands. We served 17 and 18 customers for the six months ended September30, 2024 and 2023. We served 20 and 15 customers for the year ended March 31, 2024 and 2023, respectively. Our customers are well -establishedtoy brands that specialize in kid educational toys and learning kits. We often undertake projects to develop toy products which involve advanced designs and integration of hardware and software to achieve the desired outcome. Our Directors believe that we have built reputation through consistently meeting the high standards of our customers which enables us to maintain stable business relationships with them. Strong back up of production facilities to ensure stable supply of quality products Our products are mostly manufactured and supplied by Fully Starise which represents approximately 85% of our cost of goods sold. Fully Starise is an independent third party supplier that operates a factory in the PRC. Pursuant to supply agreement dated January1, 2025, between the Company and Full Starise, we are