Company: LHI
Filing Date: 2025-09-29
Form Type: F-1/A
Source: 0001213900-25-092499
Chunk: 111

Company: Living Homeopathy International Ltd.
Filing Date: 2025-09-29
Form: F-1/A
Chunk 111
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 cost of healthcare products decreased by $0.1 per unit or 1.4% from $4.5 per unit in fiscal year
2024 to $4.4 per unit in fiscal year 2024. Decrease in quantity sold was the result of decrease in demand for healthcare products in connection
with the relief of severe pandemic. In addition, the demand for low-cost homeopathic remedies was higher than the demand for high-cost
homeopathic remedies, leading to the overall decrease in average unit cost.

Our cost of personal care products increased by $2,550 or 5.0% from
$51,508 for the year ended March 31, 2024 to $54,058 for the year ended March 31, 2025. The increase in cost of revenue was mainly driven
by increase in quantity sold, partially offset by decrease in average unit cost. The increase in quantity sold resulted in higher costs,
which was in line with increase in our revenue. Moreover, the new established personal care products had higher average purchase costs,
leading to the overall increase in average unit cost in fiscal year 2024.

Our cost for water filters and related products decreased by $39,347
or 58.2% from $67,640 for the year ended March 31, 2024 to $28,293 for the year ended March 31, 2025, which was mainly due to decrease
in quantity sold, which was partially offset by decrease in average unit cost.

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Gross profit

The following table sets forth the breakdown
of our gross profit and gross margin by category for the years ended March 31, 2025 and 2024, respectively.

| Gross profit of                    |     | For the years ended March 31, 
 2025                          
 Gross                         
 Profit                        |           |     | Gross  
 Margin |      |   |     | 2024   
 Gross  
 Profit |           |     | Gross  
 Margin |      |   |     | Variance 
 Gross    
 Profit   |          |   |     | Gross  
 Margin 
 (pp)   |     |
|:-----------------------------------|:----|:------------------------------|----------:|:----|:-------|-----:|:--|:----|:-------|----------:|:----|:-------|-----:|:--|:----|:---------|---------:|:--|:----|:-------|----:|
| Sales