Company: EJH
Filing Date: 2025-10-30
Form Type: 20-F
Source: 0001213900-25-104179
Chunk: 29

Company: E-Home Household Service Holdings Ltd
Filing Date: 2025-10-30
Form: 20-F
Item: Item 3
Chunk 29
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 year ended June 30, 2025, our management evaluated the effectiveness of
our internal control over financial reporting as of June 30, 2025 and determined that they were not effective due to certain material
weaknesses as described in Part II. Item 15. “ Controls and Procedures” of this annual report. A material weakness is a deficiency,
or a combination of deficiencies, in internal control over financial reporting, such that there is a reasonable possibility that a material
misstatement of the Company’s annual or interim financial statements will not be prevented or detected on a timely basis.

There can be no assurance that any of our efforts
we are implementing, or our internal control over financial reporting generally, will remediate any material weakness or avoid future
weaknesses or deficiencies. Any failure to remediate the material weakness and any future weaknesses or deficiencies, or any failure to
implement required new or improved controls or difficulties encountered in their implementation, could cause us to fail to meet our reporting
obligations or result in material misstatements in our financial statements. If we are unable to remediate its material weaknesses, our
management may not be able to conclude that its disclosure controls and procedures or internal control over financial reporting are effective,
which could result in investors losing confidence in its reported financial information and may lead to a decline in the stock price.

We will incur increased costs relating to
being a public company after we cease to qualify as an “emerging growth company.”

The Sarbanes-Oxley Act of 2002, as well as rules
subsequently implemented by the SEC, impose various requirements on the corporate governance practices of public companies. We qualify
as an “emerging growth company” pursuant to the JOBS Act. An emerging growth company may take advantage of specified reduced
reporting and other requirements that are otherwise applicable generally to public companies. These provisions include exemption from
the auditor attestation requirement under SOX 404 in the assessment of the emerging growth company’s internal control over financial
reporting and permission to delay adopting new or revised accounting standards until such time as those standards apply to private companies.

We expect these rules and regulations to increase
our legal and financial compliance costs and to make some corporate activities more time-consuming and costly. After we are no longer
an “emerging growth company,” we expect to incur significant expenses and devote substantial management effort toward ensuring
compliance with the requirements of SOX 404 and the other rules and regulations of the SEC. It may also be more