Company: CHOW
Filing Date: 2025-01-13
Form Type: DRS/A
Source: 0001493152-25-001833
Chunk: 99

Company: ChowChow Cloud International Holdings Ltd
Filing Date: 2025-01-13
Form: DRS/A
Chunk 99
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  91.4 |     |   |   74.7 |   |
| Cost of Services:                             |     |                         |            |     |   |       |     |     |             |     |     |            |     |   |       |     |   |        |   |
| - Subcontracting fees                         |     |                         | 14,412,820 |     |   |  14.8 |     |     |  10,415,042 |     |     |  1,335,262 |     |   |   8.6 |     |   |  (27.7 | ) |
|                                               |     |                         | 14,412,820 |     |   |  14.8 |     |     |  10,415,042 |     |     |  1,335,262 |     |   |   8.6 |     |   |  (27.7 | ) |
| Total cost of revenues                        |     |                         | 97,227,521 |     |   | 100.0 |     |     | 121,462,858 |     |     | 15,572,161 |     |   | 100.0 |     |   |   24.9 |   |

Cost of revenues consists primarily of subcontracting fees, cost of hardware, software license and IT application license directly attributable to services provided. For the year ended December 31, 2023, cost of revenues was HK$121.5 million (US$ 15.6million), increased by HK 24.3million or 24.9% from HK$ 97.2million in the same period in 2022. The increase was mainly attributable to the increase in cost of hardware, software license and IT application license for the IT solution projects performed during the year ended December 31, 2023.

Gross profit

As a result of the foregoing, gross profit for the year ended December 31, 2023 was HK$ 19.9million (US$ 2.6million), an increase of HK$ 9.5million from HK$ 10.4million for the same period in 2022. The gross profit margin increased from 9.7% for the year ended December 31, 2022 to 14.1% for the year ended December 31, 2023, which