Financial Position - As of September 30, 2025, cash balance maintained at financial institutions in Hong Kong was US$1 million, with approximately US$0.3 million insured by the Hong Kong Deposit Protection Board[472]. Revenue Concentration - For the year ended September 30, 2025, two customers accounted for 12.86% and 11.63% of total revenue, compared to one customer accounting for 26.46% in 2024[475]. - As of September 30, 2025, a customer accounted for 42.46% of the total balance of accounts receivable, down from 52.39% in 2024[476]. Cost Structure - For the year ended September 30, 2025, two vendors accounted for 20.63% and 17.91% of total cost of services, compared to one vendor accounting for 18.3% in 2024[477]. - As of September 30, 2025, two vendors accounted for 17.48% and 11.10% of the total balance of accounts payable, down from 24.30% and 13.39% in 2024[478]. Risk Exposure - The company is exposed to foreign currency risk primarily through service income or expenses denominated in currencies other than the functional currency, with minimal exposure due to the peg of HK$ to US$[479]. - Interest rate risk is primarily related to variable-rate bank loans and overdrafts, concentrated on fluctuations of the Hong Kong Prime Rate, with no derivative instruments used to mitigate this risk[480]. Credit Losses and Revenue Recognition - The allowance for credit losses is estimated using a combination of models and management judgment, based on historical loss performance and evaluated quarterly[474]. - Revenue recognition is based on the transfer of control of services over the requisite transit period, with judgments affecting the timing of revenue recognition[490].
New Century Logistics (BVI)(NCEW) - 2025 Q4 - Annual Report