Company: CCHH
Filing Date: 2025-08-27
Form Type: F-1
Source: 0001213900-25-081009
Chunk: 20

Company: CCH Holdings Ltd
Filing Date: 2025-08-27
Form: F-1
Chunk 20
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ality. We experience certain levels of seasonal fluctuations. For instance, we normally record higher customer traffic and revenues during Chinese New Year and other public holidays due to customs of the Chinese community of family gathering. As we expand our network of restaurant outlets to various other regions, our financial condition and results of operations may fluctuate due to seasonality in accordance with local cultures and practice and our historical results may not be indicative for further performance. As we expand our geographic reach in the future, our multi-jurisdictional operations may lead to increasing risks and uncertainties and our management system may not be effective to address such risks and uncertainties. Our restaurant outlets, including both company -ownedand franchised outlets, are current located in four different jurisdictions. We also plan to further extend our company -ownedand franchised restaurant network to additional jurisdictions. However, operation in those jurisdictions and expanding to new regions may expose us to various risks, which may include, among others: •failure to anticipate changes to the competitive landscape in the new market due to lack of familiarity with the local business environment; •different consumer preferences and discretionary spending patterns; •difficulty in finding reliable suppliers of food ingredients meeting our quality standards at acceptable prices and quantities; •the infringement of our intellectual property rights in foreign jurisdictions; •economic, financial and market instability and credit risks; •material tariffs imposed on our food ingredients imported from other countries; •difficulties and costs associated with complying with, and enforcing remedies under, a wide variety of complex local and international laws, treaties and regulations; •difficulties with localized management and training of licensees or employees of licensees; •exposure to litigation or third -partyclaims in different jurisdictions; •foreign currency exchange controls and fluctuations; •uncertainties in the interpretation and application of tax laws and regulations, more onerous tax obligations and unfavorable tax conditions; and •cultural differences and language difficulties. As a result of the above factors, our ability to operation in jurisdictions other than Malaysia may be restricted, or our restaurants in those jurisdictions may take longer than expected to be established and reach, or may never reach, expected sales and profit levels, thereby affecting our overall profitability. Our brand image and reputation may also be adversely and materially affected as a result. We may not be able to collect all of our accounts receivable and thus are exposed to credit risk. Our accounts receivable are primarily receivables from local distributors to whom we sell food ingredients and condiments, credit card networks, food delivery platforms and payment platforms and others.