Kidztech Holdings Limited Announces Further Delay in Publication of 2023 Annual Result Sand Further Delay in Publication of 2023 Annual Report
to (a) cut-off tests on sales and purchase transactions; (b) subsequent settlements for trade and other receivables; (c) verification of completeness of accrued expenses; (d) assessment
of the going concern assumption; and (e) review of events after the reporting date (i.e., 31 December 2023); and (v) updated status of the outstanding litigations of certain PRC subsidiaries with supporting documents. Despite the Company's continuous efforts and the progress made in the auditing process, based on the latest developments and recent discussions with the Auditors, the Board wishes to announce that the publication of the 2023 Annual Results will be further delayed due to the following reasons: (i) regarding item (i), further replies to audit confirmations from banks, suppliers, and customers have been obtained since the 29 April Announcement. Alternative audit procedures are being carried out for the balances with no replies received, which are expected to be completed by 31 May 2024; (ii) regarding item (ii), the Company has provided most of the further requested information to the external valuers. The relevant valuation report is expected to be obtained soon, and the audit procedures for this item are expected to be completed by 10 June 2024; (iii) regarding item (iii), the relevant valuation report has been obtained, and the Auditors are currently reviewing and assessing, among others, the fairness of the valuation model. The audit procedures for this item are expected to be completed by 31 May 2024; (iv) regarding item (iv), the Company has been providing the requested information on an ongoing basis, and the audit procedures for this item are expected to be completed by 7 June 2024; and (v) regarding item (v), the Company has provided the requested information by the end of April 2024, and the audit procedures for this item are expected to be completed by 7 June 2024. Such delay is primarily attributable to internal personnel changes of the Company's subsidiaries, as further particularised in the 29 April Announcement. As such, additional time is required for the Company to complete the auditing process and finalise the 2023 Annual Results.