Company: AGCC
Filing Date: 2025-10-22
Form Type: 424B4
Source: 0001213900-25-101076
Chunk: 84

Company: Agencia Comercial Spirits Ltd.
Filing Date: 2025-10-22
Form: 424B4
Chunk 84
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 conditions. Our bottled whisky sales segment, which has been a strategic focus for us since 2024, demonstrated remarkable growth and profitability improvements. In 2024, this segment generated a gross profit of US$756,024, with a gross profit margin of 46%, a significant increase from 24% in 2023. This improvement can be attributed to our efforts to expand our premium whisky offerings, command higher selling prices, and capitalize on the growing demand for luxury whisky products. The growing demand for premium and luxury whisky products enabled us to command higher selling prices, particularly for our high -endofferings, without significantly impacting sales volumes. General and administrative expenses General and administrative expenses consist primarily of staff costs (including salaries, messing, etc.), expenses related to trademark, lease expenses, and professional fee.

|                                     |     |   2023 |     |    2024 |
|                                     |     |    US$ |     |     US$ |
| General and administrative expenses |     |        |     |         |
| – Professional fees                 |     |      — |     |  85,687 |
| – Staff costs                       |     | 32,600 |     |  40,367 |
| – Trademark                         |     |      — |     |  30,365 |
| – Lease expenses                    |     |  9,636 |     |  15,268 |
| – Others                            |     |  8,426 |     |  33,654 |
|                                     |     | 50,662 |     | 205,341 |

In 2023, our general and administrative expenses accounted for 6% of total revenue. This relatively low percentage reflects our efforts to maintain a lean and efficient cost structure while focusing on our core operations. However, in 2024, our general and administrative expenses increased to 8% of total revenue. The increase in general and administrative expenses in 2024 was primarily driven by higher staff costs, professional fees and trademark expenses, reflecting our efforts to strengthen our workforce and enhance our brand recognition, respectively. Sales and distribution expenses Sales and distribution expenses consist primarily of basic salaries and employee benefits of sales personnel directly attributable to the generation of revenue and expenses incurred to various warehouses. In both 2023 and 2024, our sales and distribution expenses accounted for 2% of total revenue. This relatively low percentage reflects our strategic approach to sales and marketing, which emphasizes targeted efforts and efficient utilization of resources. Our sales