Company: GCL
Filing Date: 2025-07-31
Form Type: 20-F
Source: 0001213900-25-069672
Chunk: 107

Company: GCL Global Holdings Ltd
Filing Date: 2025-07-31
Form: 20-F
Item: Item 4A
Chunk 107
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 for the year ended March 31, 2024 from approximately
$4.1 million for the same period in 2023. This decrease was primarily driven by a reduction in development fees, which corresponded to
the overall decline in game publishing revenue of approximately $2.7 million, or 43.8%. As the Company remits a development fee based
on a percentage of revenue generated from the gaming platform, the reduction in revenue directly resulted in lower development fees owed
to the developer.

Cost of revenue from media
advertising decreased approximately $0.1 million or 9.6%, to approximately $1.4 million for the year ended March 31, 2024
from approximately $1.5 million for the same period in 2023. The decrease was attributable to decrease in the cost of revenue from
social media advertising service by $0.2 million as we incurred less video production cost related to creating video content published
on our YouTube Channel. The decrease in the cost of revenue from media advertising was offset by increased cost of revenue from video
marketing campaign production by approximately $0.1 million as we incurred higher labor cost.

Gross Profit

Our gross profit from our major revenue categories
are summarized as follows:

                               For the Years Ended March 31,                                                                                 
                               2024                                               2023                      Change                           
                                                                                                            (USD)                            
 ─────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────
  Console Game                                                                                                                               
  Gross profit margin          $                                  10,678,647      $         10,069,939      $            608,708             
  Gross profit percentage                                               11.7                      14.8                      (3.1        6.0  
  Game Publishing                                                                                                                            
  Gross profit margin          $                                   1,080,825      $          2,046,522      $           (965,697             
  Gross profit percentage                                               31.5                      33.5                      (2.0      (47.2  
  Advertising Service                                                                                                                        
  Gross profit margin          $                                   1,326,527      $          1,729,086      $           (402,559             
  Gross profit percentage                                               48.8                      52.9                      (4.1      (23.3  
  Others                                                                                                                                     
  Gross profit margin          $                                     232,459      $                  —      $            232