Company: GLXG
Filing Date: 2025-10-24
Form Type: 20-F
Source: 0001213900-25-102144
Chunk: 29

Company: Galaxy Payroll Group Ltd
Filing Date: 2025-10-24
Form: 20-F
Item: Item 3
Chunk 29
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 with respect to the payroll outsourcing service market and employment service market or the general economic conditions
in the PRC, Hong Kong, Japan, Taiwan, Macau, Australia or other Asian countries. Therefore, historical figures for our financial performance
are reflective of our past performance only and may not necessarily be indicative of our financial performance in the future. We cannot
assure you that there is a positive trend for our business prospects. We may not achieve comparable or higher level of financial performance
in the future as we achieved during June 30, 2025, 2024 and 2023.

Our revenue and profit sustainability depend
on our ability to maintain our competitiveness through providing high quality services.

We have been conducting business
in the payroll outsourcing service industry and the employment service industry for more than nine years. We recorded revenue of approximately
HKD27.4 million, HKD30.1 million and HKD31.5 million (approximately US$3.5 million, US$3.9 million and US$4.0 million), respectively,
and net (loss) income of approximately HKD(27.6) million, HKD5.5 million and HKD9.0 million (approximately US$(3.5) million, US$0.7 million,
and US$1.1 million), respectively, for the years ended June 30, 2025, 2024 and 2023, respectively. The sustainability of our revenue and
profit will depend on the ability to maintain our competitiveness in the payroll outsourcing service industry and employment service industry
through providing high quality services.

The competition within the
payroll outsourcing service industry and the employment service industry is intense. Our competitors and new market entrants may increase
in the future resulting in intensified price competition, which could in turn adversely affect our bargaining power in terms of fees charged
and consequently our results of operations and prospects. Our market position may be hampered by intensified competition in the form of
better services and/or price reductions by our competitors. The failure of us to maintain our high quality services at competitive pricing
could have a material adverse effect on our business, operating results and financial conditions.

We may be vicariously liable for the acts
or omissions of our seconded employees and may be exposed to employment-related claims.

As of June 30, 2025, 2024
and 2023, we had 13, 6 and 7 seconded employees in Hong Kong, 40,