Masonglory (MSGY) investor relations material

Company overview and business model

• Operates as a Cayman Islands holding company with primary operations in Hong Kong through its subsidiary Masontech Limited, providing wet trades subcontracting services such as plastering, tile laying, brick laying, floor screeding, and marble works for property development and civil engineering projects.

• Major customers are leading property developers and main contractors in Hong Kong, with three customers accounting for 99% of revenue for the six months ended September 30, 2024, and 93% for the years ended March 31, 2024 and 2023.

• Recognized as a Group 2 Registered Specialist Trade Contractor under the Construction Industry Council, allowing participation in larger-scale projects without tender limits.

• Competitive strengths include an established track record, long-term customer relationships, a strong supplier network, stringent quality assurance, and an experienced management team.

Financial performance and metrics

• Revenue increased 159.4% year-over-year to $20.6M for the year ended March 31, 2024, and 22% to $11.6M for the six months ended September 30, 2024.

• Gross profit rose to $1.7M (8.3% margin) for the year ended March 31, 2024, and $968K (8.3% margin) for the six months ended September 30, 2024.

• Net income was $1.3M for the year ended March 31, 2024, up from $332K in the prior year; net income for the six months ended September 30, 2024 was $744K.

• Backlog decreased from $15.5M as of March 31, 2023 to $5.9M as of September 30, 2024, reflecting project completions.

• Cash at banks was $526K as of September 30, 2024, with net current assets of $2.3M.

Use of proceeds and capital allocation

• Net proceeds of approximately $5.3M (assuming $5.00/share IPO price) will be allocated: 15% to workforce expansion, 15% to machinery acquisition, 15% to project portfolio diversification, 15% to marketing, and 40% to working capital and general corporate purposes.