HONG KONG, June 20, 2025 /PRNewswire/ -- QMMM Holdings Limited (NASDAQ: QMMM) (the "Company" or "QMMM"), a digital media advertising, virtual avatar & virtual apparel technology service provider in Hong Kong, today announced the pricing of its best efforts public offering of 40,000,000 ordinary shares at a public offering price of $0.20 per ordinary share.Gross proceeds, before deducting placement agent fees and other offering expenses, are expected to be $8 million. The offering is expected to close on Jun ...

HONG KONG, Feb. 28, 2025 /PRNewswire/ -- QMMM Holdings Limited (Nasdaq: QMMM) (the "Company" or "QMMM Holdings"), a digital media advertising, virtual avatar & virtual apparel technology service provider in Hong Kong, today announced that on February 26, 2025, the Company received a letter from the Listing Qualifications staff of The Nasdaq Stock Market ("Nasdaq") notifying the Company that based on the closing bid price of the Company for the period from January 8, 2025 to February 25, 2025, the Company no ...

Financial Performance - For the fiscal years ended September 30, 2024 and 2023, total revenue was $2,698,229 and $2,807,909, respectively, with a net loss of $1,580,198 for 2024 and $1,291,229 for 2023[191]. - Revenue from advertising services decreased from $2,807,909 in 2023 to $2,698,229 in 2024, a decline of $109,680 or 3.9%[210]. - The number of advertisers served decreased from 21 in 2023 to 20 in 2024, indicating a slight contraction in the client base[210]. Customer Concentration - Approximately 25.7% of total revenues in 2024 and 21.1% in 2023 were generated from the largest customer, while the top five largest customers contributed approximately 64.8% in 2024 and 68.5% in 2023[196]. Innovation and Technology - Quantum Matrix has created over 30,000 digital avatars since its inception in 2014, showcasing its leading position in automated avatar technology[194]. - The company owns two patents in Hong Kong related to automated avatar creation and real-time auto-fitting for virtual fashion and apparel, with a protection term of 8 years starting from July 4, 2018[204]. - The company is engaged in ongoing R&D focusing on AI technologies, metaverse applications, and advanced consumer hardware integration to maintain competitive advantage[206]. - The company recognizes the importance of continuous R&D to innovate new services and features, which presents ongoing challenges and expenses[214]. Business Strategy and Expansion - The company intends to expand its services to include social media, virtual self-expression, and sharable digital assets, with new fee structures such as subscriptions and pay-per-use[195]. - The company plans to source skilled technicians and programmers from countries like Poland, where employment costs are lower, to address the shortage of skilled labor in Hong Kong[212]. - The company is developing online services through cloud computing to expand its market from enterprises to mass consumers, aiming to introduce subscription-based services and B2B2C as well as B2C models[214]. - The company plans to expand its business overseas, targeting major world centers such as New York, London, and Dubai, with plans to establish sales and marketing offices or partnerships within the next 12-24 months[216]. - The company aims to recruit technology specialists and skilled technicians from countries like Poland and Israel, where highly skilled workers are available at lower costs[217]. Awards and Recognition - The company has received multiple awards, including the Tech Company of the Year (eCommerce & MarTech) in 2023 and the DFA Gold Award in 2022[203]. Market Conditions and Risks - The impact of COVID-19 has led to a decline in demand for services in Hong Kong, adversely affecting business operations[223]. - The company has experienced a gradual recovery in client orders since the vaccination campaign launched in February 2021, generating profits for the fiscal year ended September 30, 2021[221]. - The company is exposed to liquidity risk and may seek short-term funding from financial institutions to cover any liquidity shortages[418]. - Credit risk is managed through in-house research and analysis of the Hong Kong economy, focusing on the probability of default by customers[417]. - The company faces inflation risk, which could impact gross margins and operating expenses if revenues do not increase alongside rising costs[419]. - Interest rate risk is present due to variable interest rates on existing bank borrowings, which could increase the cost of debt[420]. - Foreign exchange risk exists as the company's revenues and expenses are primarily denominated in Hong Kong dollars, while reporting is in U.S. dollars[421]. Initial Public Offering - The company closed its initial public offering (IPO) on July 22, 2024, selling 2,150,000 ordinary shares at a price of $4.00 per share, resulting in gross proceeds of $8.6 million[248]. - Following the IPO, the underwriters partially exercised their option to purchase an additional 56,342 ordinary shares, bringing total gross proceeds to approximately $8.83 million[249]. - The company has granted underwriters a 45-day option to purchase up to an additional 322,500 ordinary shares to cover over-allotments[247]. Office and Operations - The company has a principal executive office in Tin Hau, Hong Kong, leasing approximately 6,000 square feet of office space with an annual rent of US$190,461, expiring on July 31, 2025[250]. - The company is a foreign private issuer, exempt from certain provisions applicable to U.S. domestic public companies[250].