Company: GLXG
Filing Date: 2025-10-24
Form Type: 20-F
Source: 0001213900-25-102144
Chunk: 139

Company: Galaxy Payroll Group Ltd
Filing Date: 2025-10-24
Form: 20-F
Item: Item 4A
Chunk 139
---
, including voting and dividend rights.
The plan is administered by the Compensation Committee, and all grants are subject to vesting conditions and other terms set forth in
the 2025 Stock Incentive Plan. During the year ended June 30, 2025, no Class A Ordinary Shares were
granted, vested, or exercised by employees, directors, or consultants under 2025 Stock Incentive Plan.

REVERSE SHARE SPLIT

On September 8, 2025, the
Group has been unanimously approved a consolidation of all issued and unissued ordinary shares at a ratio of ten (10) shares to one (1)
share of the same class (the “ Share Consolidation”) and the Share Consolidation was effective. The Share Consolidation applied
to both Class A and Class B ordinary shares, with the par value per share increasing from US$0.000625 to US$0.00625 following the consolidation.
The Share Consolidation reduced the number of outstanding ordinary shares of the Group from 21,615,000 to approximately 2,161,500. No
fractional shares were issued in connection with the Share Consolidation. Instead, the Group issued one full post-Share Consolidation
ordinary share to any shareholder at a participant level who would have been entitled to receive a fractional share as a result of the
process. The Group issued an aggregate of 15 full post-Share Consolidation ordinary shares pursuant to this arrangement.

Critical Accounting Estimates

Our consolidated financial
statements are prepared in accordance with U. S. GAAP. The preparation of our consolidated financial statements requires us to make estimates,
assumptions and judgments that affect the reported amounts of assets, liabilities, costs and expenses. We base our estimates and assumptions
on historical experience and other factors that we believe to be reasonable under the circumstances. We evaluate our estimates and assumptions
on an ongoing basis. Our actual results may differ from these estimates. Some of our accounting policies require a higher degree of judgment
than others in their application.

When reading our consolidated financial statements, you should consider our selection of critical accounting policies, the judgment and
other uncertainties affecting the application of such policies and the sensitivity of reported results to changes in conditions and assumptions.
The SEC has defined a company’s critical accounting policies as the ones that are most important to the portrayal of the Group’s
financial condition and results of operations, and which require the company to make its most difficult and subjective judgments, often
as a result of the need to make estimates