Akso Health (AHG) - 2021 Q4 - Annual Report

Foreign Exchange and Currency Risk - The company experienced a foreign exchange translation loss of US$6.1 million for the fiscal year ended March 31, 2019, and a loss of US$5.6 million for the fiscal year ended March 31, 2020, but reported a gain of US$3.9 million for the fiscal year ended March 31, 2021[613]. - The RMB depreciated by approximately 6.89% against the U.S. dollar from April 2018 to March 2019, while it appreciated by approximately 1.1% against the U.S. dollar from April 2019 to March 2020[615]. - The company’s exposure to foreign exchange risk primarily relates to cash denominated in U.S. dollars from the initial public offering and a senior unsecured note issued[613]. - The company cannot predict how market forces or government policy may impact the exchange rate between the RMB and the U.S. dollar in the future[616]. Initial Public Offering - The company raised approximately US$43.3 million in net proceeds from its initial public offering of 5,036,950 ADSs at an initial offering price of US$10.00 per ADS, which closed on November 3, 2017[626]. - As of the date of the annual report, the company had used all the net proceeds received from its initial public offering[626]. Internal Control and Financial Reporting - Management concluded that the internal control over financial reporting was effective as of March 31 for the years 2019, 2020, and 2021[630]. - There were no changes in the internal control over financial reporting during the fiscal year ended March 31, 2021, that materially affected the internal control[633]. - The company’s management evaluated the effectiveness of disclosure controls and procedures and concluded they were effective as of March 31, 2021[629]. Interest Rate Risk - The company has not been exposed to material risks due to changes in market interest rates and has not used any derivative financial instruments to manage interest risk exposure[617].