Company: JXG
Filing Date: 2025-05-15
Form Type: 20-F
Source: 0001213900-25-043744
Chunk: 125

Company: JX Luxventure Group Inc.
Filing Date: 2025-05-15
Form: 20-F
Item: Item 5
Chunk 125
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 million in 2024 as compared to a profit of
$3.0 million in 2023, representing an increase of 1%. Net margin was 6% for the year ended December 31, 2023, compared to 10% for the
year ended December 31, 2023.

We had a profit of $3.0 million in 2023 as compared to a loss of $55.3
million in 2022, representing an increase of profit of $58.3 million. Net margin was 10% for the year ended December 31, 2023, compared
to -92% for the year ended December 31, 2022.

Profit for the year increased 1% from 2023 to 2024 mainly due to the
gross profit increased by $2.9 million and other losses decreased by $0.2 million, offset by the increased operating expenses of $2.3
million and income tax expense of $0.7 million.

Profit for the year increased from 2022 to 2023 mainly due to the following
reasons: (1) no expenses for share-based compensations to employees, Directors and managements of $53.3 million; (2) No loss on discontinued
operations of $18.1 million; (3) increasing gross profit of $4.0 million generated by higher gross margin business in 2023.

B. Liquidity and Capital Resources

As of December 31, 2024, we had cash and cash equivalents of $1,184,456.
Our cash and cash equivalents consist of cash on hand and cash in the banks. As of December 31, 2024, the Company had a net working capital
(defined as total current assets deducted by total current liabilities) of $2,833,778, accumulated deficit of $71,333,904, net profit
of $3,073,807, and net cash inflows from operating activities of $7,708,626.

The Company’s current business remains an early-stage growth
company. The management of the company believes that its operating income, combined with the CEO’s commitment to cover operating
expenses through loans, will enable the business to continue its operations. In parallel, the Company’s management continually monitors
its capital structure and operating plans and evaluates various potential funding alternatives that may be needed in order to finance
the Company research and development activities, general and administrative expenses and growth strategy. These alternatives