Company: KNRX
Filing Date: 2025-06-12
Form Type: F-1/A
Source: 0001641172-25-014801
Chunk: 87

Company: KNOREX LTD.
Filing Date: 2025-06-12
Form: F-1/A
Chunk 87
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CP-matching customers, leading to a more targeted customer base. Customer count was 29 as of December 31, 2023 and this has increased to 37 by December 31, 2024. Average revenue per customer was US$300,890 and US$292,187 for the years ended December 31, 2023 and 2024, respectively. This initiative has enabled us to better utilize our resources while bolstering our interaction with customers. We have also expanded our range of customers across diversified industry sectors, including automotive, healthcare, e-commerce, business-to-business, retail, consumer packaged goods, travel, and hospitality.

We expect our revenue to be impacted in 2025 as compared to 2024 due to one of our major customers’ customer being affected by the uncertainty of the U.S. import tariffs. It has significantly impacted their business in the first half of 2025, causing their shrinkage in their marketing spend with us.

Cost of revenue.Our cost of revenue increased by 14.6% from US$5.5 million for the year ended December 31, 2023 to US$6.3 million for the year ended December 31, 2024, primarily due to the increase in purchase and usage of advertisement media sources, advertisement data sources and advertisement related technology features. The increase is consistent with the revenue increase of our platform services.

Gross profit. As a result of the foregoing, we recorded a gross profit of US$4.5 million for the year ended December 31, 2024, as compared to US$3.2 million for the year ended December 31, 2023.

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Operating expenses.Our total operating expenses decreased by 10.3% from US$11.2 million for the year ended December 31, 2023 to US$10.0 million for the year ended December 31, 2024, primarily due to the decrease of US$0.8 million in platform operations expenses, the decrease of US$0.3 million in sales and marketing expenses and the decrease of approximately US$0.5 million in general and administrative expenses, offset by the increase of approximately US$0.6 million in technology and development expenses as we optimize our spending.

| ● | Platform                                                                                                                             
 operations expenses. Our platform operations expenses decreased by 23.3% from US$3.6 million for the year ended December 31,         
 2023 to US$2.8 million for