Press release·03/15/2025 05:13:55

Company Overview

Phoenix Plus Corp. is a Nevada-based company that operates through its wholly-owned subsidiaries, Phoenix Plus Corp. (Labuan, Malaysia), Phoenix Plus International Limited (Hong Kong), and Phoenix Green Energy Sdn. Bhd. (Malaysia). The company has a physical office in Malaysia that was renovated in 2019 and has since renewed the lease multiple times.

Phoenix Plus Corp., through its Hong Kong subsidiary, is engaged in providing technical consultancy on solar power systems and green energy solutions, with a focus on the commercialization of solar products and technologies. Phoenix Green Energy Sdn. Bhd. is also involved in providing renewable energy turnkey solutions, including engineering, procurement, construction, and commissioning (EPCC) services, as well as financing services to various customers.

The company’s business model includes:

• Providing end-to-end services from engineering design to planning, procurement, construction, and installation of solar PV facilities
• Construction and installation of solar PV facilities for residential, commercial, and industrial properties
• Providing associated services and products, such as solar PV consulting and engineering, operations and maintenance services, and the supply of solar PV equipment and ancillary systems

On August 21, 2024, Phoenix Plus Corp. closed a transaction with Radiance Holdings Corp., a Nevada-incorporated entity, where Radiance Holdings Corp. acquired approximately 83.05% of the company’s issued and outstanding common stock.

Results of Operation

For the three months ended January 31, 2025 and 2024

Revenues

• For the three months ended January 31, 2025 and 2024, the company generated revenue of $61,923 and $488,287, respectively. The revenue represented income from solar PV system installation services, consultancy services, and construction on solar plants.

Cost of Revenue and Gross Margin

• For the three months ended January 31, 2025 and 2024, the cost of providing consultancy services and installation services was $44,384 and $502,181, respectively.
• The company generated a gross profit of $17,539 and a gross loss of $13,894 for the three months ended January 31, 2025 and 2024, respectively.

General and Administrative Expenses

• For the three months ended January 31, 2025 and 2024, the company incurred general and administrative expenses of $77,145 and $101,504, respectively. These expenses include salaries, consultancy fees, professional fees, compliance fees, office and outlet operation expenses, and depreciation.

Other Income

• The company recorded other income of $(15,266) and $3,739 for the three months ended January 31, 2025 and 2024, respectively, which was derived from interest income and foreign exchange gains.

Net Loss

• The company’s net loss for the three months ended January 31, 2025 and 2024 was $135,479 and $112,927, respectively, primarily due to the general and administrative expenses incurred.

For the six months ended January 31, 2025 and 2024

Revenues

• For the six months ended January 31, 2025 and 2024, the company generated revenue of $92,630 and $932,358, respectively, from solar PV system installation services, consultancy services, and construction on solar plants.

Cost of Revenue and Gross Margin

• For the six months ended January 31, 2025 and 2024, the cost of providing consultancy services and installation services was $90,683 and $880,491, respectively.
• The company generated a gross profit of $1,947 and $51,867 for the six months ended January 31, 2025 and 2024, respectively, representing a gross margin of approximately 1.8% and 5.6%, respectively.

General and Administrative Expenses

• For the six months ended January 31, 2025 and 2024, the company incurred general and administrative expenses of $250,926 and $199,486, respectively, which include the same categories as the three-month period.

Other Income

• The company recorded other income of $20,386 and $18 for the six months ended January 31, 2025 and 2024, respectively, which was derived from interest income and foreign exchange gains.

Net Loss

• The company’s net loss for the six months ended January 31, 2025 and 2024 was $231,679 and $156,747, respectively, primarily due to the general and administrative expenses incurred.

Liquidity and Capital Resources

As of January 31, 2025 and 2024, the company had cash and cash equivalents of $277,841 and $740,522, respectively. The company expects increased levels of operations going forward will result in more significant cash flow and working capital.

Cash Used in Operating Activities

• For the six months ended January 31, 2025 and 2024, the net cash used in operating activities was $145,107 and $366,971, respectively, primarily for the payment of general and administrative expenses and selling and marketing expenses.

Cash Provided by Financing Activities

• For the six months ended January 31, 2025 and 2024, the net cash provided by financing activities was $0 and $0, respectively, as the company did not have any financing activities during these periods.

Cash Used in Investing Activities

• For the six months ended January 31, 2025 and 2024, the net cash used in investing activities was $1,732 and $1,647, respectively, primarily for the purchase of plant and equipment.

Credit Facilities

• The company does not have any credit facilities or other access to bank credit.

Off-balance Sheet Arrangements

• The company has no significant off-balance sheet arrangements as of January 31, 2025.

Recent Accounting Pronouncements

• The company has implemented all new accounting pronouncements that are in effect, and they did not have a material impact on the financial statements.