Company: GCL
Filing Date: 2025-07-31
Form Type: 20-F
Source: 0001213900-25-069672
Chunk: 103

Company: GCL Global Holdings Ltd
Filing Date: 2025-07-31
Form: 20-F
Item: Item 4A
Chunk 103
---
able related to 2Game acquisition from prior period.

Income taxes expense

Our income tax expense increased
by approximately $1.1 million, or 2017.9%, to approximately $1.1 million for the year ended March 31, 2025, compared to approximately
$53,000 for the same period in 2024. This increase was primarily attributable to (i) an increase of approximately $0.6 million in current
income tax expense resulting from higher taxable income in the current period, and (ii) a decrease of approximately $0.4 million in deferred
income tax benefit due to the utilization of previously recognized deferred tax assets against current taxable income.

Net Income (Loss)

We incurred a net income
of approximately $5.0 million for the year ended March 31, 2025, while we have a net loss of approximately $2.0 million for the same period
in 2024, representing a change of approximately $7.0 million, or 357.5%. Such change mainly was a direct outcome of the reasons discussed
above.

Results of Operations

Comparison of The Years Ended March 31, 2024
and 2023

                                     For the Years Ended March 31,                                                           
                                                              2024             2023      Change                              
 ─────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────
  Revenues                                             $97,534,701      $77,444,155      $           20,090,546        25.9  
  Cost of revenues                                     $84,216,243      $63,598,608      $           20,617,635        32.4  
  Gross profit                                         $13,318,458      $13,845,547      $             (527,089        (3.8  
  Selling and marketing                                 $2,602,892       $2,689,213      $              (86,321        (3.2  
  General and administrative                           $13,109,638       $7,555,613      $            5,554,025        73.5  
  (Loss) income from operations                        $(2,394,072       $3,600,721      $           (5,994,793      (166.5  
  Other expense, net                                      $486,407        $(839,909      $            1,326,316      (157.9