Linkage Global Inc Announces Fiscal Year 2024 Financial Results

TOKYO, Jan. 24, 2025 (GLOBE NEWSWIRE) — Linkage International Inc (“Linkage Cayman”, or the “Firm”), a cross-border e-commerce built-in providers supplier headquartered in Japan, in the present day introduced its monetary outcomes for the fiscal 12 months ended September 30, 2024.

Fiscal 12 months 2024 Monetary Highlights

• Whole revenues decreased by roughly 19.19% from USD12.73 million for the fiscal 12 months ended September 30, 2023 to USD10.29 million for the fiscal 12 months ended September 30, 2024.
• Our new absolutely managed e-commerce operation providers that was launched in April 2024, generated USD3.28 million in income.
• Gross revenue elevated by roughly USD2.31 million, or 123.91%, from USD1.86 million for the fiscal 12 months ended September 30, 2023 to USD4.17 million for the fiscal 12 months ended September 30, 2024.
• Web loss decreased by USD0.21 million, or 32.69%, from USD0.65 million for the fiscal 12 months ended September 30, 2023 to USD0.44 million for the fiscal 12 months ended September 30, 2024.

Mr. Zhihua Wu, Chairman and CEO of the Firm, commented: “For the fiscal 12 months ended September 30, 2024, whole revenues decreased by about 19.19% from USD12.73 million in 2023 to USD10.29 million, primarily attributable to the lower of cross-border gross sales. Particularly, cross-border revenues fell by USD4.11 million, with our Japanese subsidiary experiencing a 53.12% decline. This was largely pushed by yen depreciation, which raised costs in Japan and resulted in a decline in customers’ buying energy. It was additionally exacerbated by the depreciation of the Japanese yen towards U.S. {dollars}.”

“Our built-in e-commerce providers noticed an increase of USD1.67 million, because of our new absolutely managed e-commerce operation providers, which generated USD3.28 million in income. Nonetheless, digital advertising and marketing revenues plummeted from USD1.53 million to USD0.31 million as a result of Google up to date agreements with extra stringent standards for incentives. With the intention to address the change of insurance policies from Google, we actively engaged in direct and oblique cooperations with different social platforms, akin to TikTok and Fb.”

“Our gross revenue elevated by USD2.31 million or 123.91% to USD 4.17 million, largely as a result of new enterprise absolutely managed e-commerce operation providers with gross revenue of USD2.94 million and gross revenue margin of 89.62%.”

“Trying forward, whereas we confronted challenges in fiscal 12 months of 2024, our enlargement in built-in e-commerce positions us for future development. We stay dedicated to enhancing partnerships, optimizing operations, and exploring new market alternatives. These methods will assist us navigate market fluctuations and obtain sustainable development within the coming years.”

Fiscal 12 months 2024 Monetary Outcomes

Revenues

Whole revenues decreased by roughly USD2.44million, or 19.19%, from roughly USD12.73 million for the 12 months ended September 30, 2023 to roughly USD10.29 million for the 12 months ended September 30, 2024, primarily attributable to the lower of cross-border gross sales.

Our breakdown of revenues by income streams for the years ended September 30, 2024 and 2023 is summarized under:

Our breakdown of revenues by geographic areas for the years ended September 30, 2024, and 2023 is summarized under:

Revenues from cross-border gross sales fell by USD 4.11 million, or 38.82%, from USD10.59 million in 2023 to USD6.48 million in 2024. Our Japanese subsidiary, EXTEND, accounted for USD 4.10 million or 39.86% of whole revenues, however noticed a 53.12% decline. This drop was primarily as a result of yen’s depreciation, which elevated costs and lowered client buying energy for non-essential 3C digital merchandise. The lower was additionally exacerbated by the depreciation of the Japanese yen towards U.S. {dollars}. The typical alternate charge additionally worsened, dropping from $1=¥138.93 in 2023 to $1=¥150.33 in 2024, respectively, leading to a lower of 8.20%.

Revenues from built-in e-commerce providers rose by USD1.67 million or 77.64%, from USD2.15 million to USD3.81 million, pushed by a brand new absolutely managed e-commerce operation producing USD3.28 million.

Revenues from digital advertising and marketing providers dropped to USD0.31 million resulting from stricter Google incentive insurance policies and a 40.76% decline in service provider numbers. To adapt, we’re partnering with platforms like TikTok and Fb whereas increasing our e-commerce providers.

Revenues from coaching, consulting, and TikTok agent providers decreased by USD0.40 million or 64.37%, from USD 0.62 million to USD 0.22 million.

Value of Revenues

Value of revenues decreased by 43.68% from roughly USD10.87 million for the 12 months ended September 30, 2023 to roughly USD6.12 million for the 12 months ended September 30, 2024.

Gross Revenue

Gross revenue elevated by roughly USD2.31 million, or 123.91%, from USD1.86 million for the 12 months ended September 30, 2023 to USD4.17 million for the 12 months ended September 30, 2024. The rise was primarily attributable by the brand new enterprise absolutely managed e-commerce operation providers with gross revenue of USD2.94 million and gross revenue margin of 89.62%. The excessive gross revenue margin is principally as a result of low price, which was primarily composed of the salaries of the operation personnel.

Gross revenue margin of cross-border gross sales elevated from 7.82% for the 12 months ended September 30, 2023 to 13.99% for the 12 months ended September 30, 2024. The lower was primarily resulting from that the depreciation of the Japanese yen has led to an increase in costs of products in Japan.

Gross revenue margin of built-in e-commerce associated providers elevated from 48.10% for the 12 months ended September 30, 2023 to 85.52% for the 12 months ended September 30, 2024. The rise was primarily attributable by the brand new enterprise absolutely managed e-commerce operation providers with gross revenue of USD2.94 million and gross revenue margin of 89.62%.

Working Bills

Working bills elevated from USD2.43 million for the 12 months ended September 30, 2023 to USD4.24 million for the 12 months ended September 30, 2024, representing a year-on-year improve of 74.49%. This improve was primarily attributable to the will increase in our basic and administrative bills, offsetting the decreases in promoting and advertising and marketing bills and analysis and improvement bills.

Different revenue/(bills), internet

Different non-operating revenue elevated from USD0.01 million for the 12 months ended September 30, 2023 to USD0.02 million for the 12 months ended September 30, 2024. Funding revenue elevated by 2003.35% from USD2,119 for the 12 months ended September 30, 2023 to roughly USD44,570 for the 12 months ended September 30, 2024.

Revenue taxes

Revenue tax (bills) /advantages decreased by USD0.65 million, from USD0.06 million of tax profit for the 12 months ended September 30, 2023 to USD0.59 million of tax bills for the 12 months ended September 30, 2024. This lower was primarily attributable to internet revenue for the 12 months ended September 30, 2024, and the valuation allowance for deferred tax belongings.

Web (loss)

Because of the foregoing, internet loss decreased by USD0.21 million, or 32.69%, from USD0.65 million for the 12 months ended September 30, 2023 to USD0.44 million for the 12 months ended September 30, 2024.

About Linkage International Inc

Linkage International Inc is a holding firm included within the Cayman Islands with no operations of its personal. Linkage Cayman conducts its operations by its working subsidiaries in Japan, Hong Kong, and mainland China. As a cross-border e-commerce built-in providers supplier headquartered in Japan, by its working subsidiaries, the Firm has developed a complete service system comprised of two traces of enterprise complementary to one another, together with (i) cross-border gross sales and (ii) built-in e-commerce providers. For extra info, please go to http://www.linkagecc.com.

Secure Harbor Assertion

Sure statements on this announcement are forward-looking statements. These forward-looking statements contain recognized and unknown dangers and uncertainties and are based mostly on the Firm’s present expectations and projections about future occasions that the Firm believes might have an effect on its monetary situation, outcomes of operations, enterprise technique and monetary wants. Buyers can determine these forward-looking statements by phrases or phrases akin to “approximates,” “assesses,” “believes,” “hopes,” “expects,” “anticipates,” “estimates,” “initiatives,” “intends,” “plans,” “will,” “would,” “ought to,” “may,” “might” or related expressions. The Firm undertakes no obligation to replace or revise publicly any forward-looking statements to replicate subsequent occurring occasions or circumstances, or adjustments in its expectations, besides as could also be required by regulation. Though the Firm believes that the expectations expressed in these forward-looking statements are cheap, it can’t guarantee you that such expectations will turn into appropriate, and the Firm cautions traders that precise outcomes might differ materially from the anticipated outcomes and encourages traders to evaluate different elements that will have an effect on its future ends in the Firm’s annual experiences on Kind 20-F and different filings with the U.S. Securities and Change Fee.

For extra info, please contact:

Investor Relations
WFS Investor Relations Inc.
Connie Kang, Accomplice
E-mail: ckang@wealthfsllc.com