Company: GCL
Filing Date: 2025-07-31
Form Type: 424B3
Source: 0001213900-25-070094
Chunk: 122

Company: GCL Global Holdings Ltd
Filing Date: 2025-07-31
Form: 424B3
Chunk 122
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 timely
payment in accordance with lease contract during the period, (v) approximately $1.0 million increase in inventories, as we maintained
more inventories for resale due to demand of our products, (vi) approximately $3.6 million increase in prepayment to our vendors and related
party as we made more advance payments to vendors to secure our purchases approximately, (vii) approximately $11.9 million decrease in
other payables and accrued liabilities as make timely payments for accrued expense, (viii) approximately $2.0 million decrease in account
payable, a related party, as we made timely payment to related party for purchasing, and (ix) approximately $4.7 million non-cash item
of recovery from credit loss, deferred tax benefit, and change in fair value of convertible notes and derivative liabilities, offset by
(A) net income of approximately $5.0 million, (B) approximately $2.9 million of non-cash items such as deprecation of property and equipment,
amortization of intangible assets, amortization of right of use assets, and change in fair value of acquisition payable, (C) approximately
$21.0 million increase in accounts payable, as our third party granted us credit terms to allow us additional liquidity and flexibility
in managing short-term cash flow needs

Net cash provided by operating
activities was approximately $1.3 million for the year ended March 31, 2024. The net cash provided by operating activities was primarily
attributable to (i) approximately $3.2 million in non-cash items which included depreciation expense, amortization expense, provision
for credit loss, loss from disposal of properties and equipment, and change in fair value of contingent consideration for acquisition,
(ii) approximately $3.7 million decrease in indefinite-lived intangible assets as a result of increased revenue from sales for console
game code, (iii) approximately $1.0 million increase in accounts payable including related party as we increase our purchase on account
to meet with the demand of our product, (iv) approximately $2.5 million increase in other payable and accrued liabilities as we incurred
more accrued expense related to our operations, and (v) approximately $0.3 million decrease in other receivable to other current asset
as more prepaid expense and prepaid income tax were utilized in current period, and we collect more balance due from vendor for marketing
expense paid on behalf from prior period, offset by (A) approximately $2