OFA Group (OFAL) investor relations material

Executive summary

• Revenue increased 255% year-over-year to $716,885, driven by a major commercial project and expansion of design and fit-out services.

• Net loss widened to $8,022,816 from $714,680, reflecting higher operating expenses due to U.S. expansion, professional services, and investment in technology.

• Gross profit rose 85% to $163,845, but gross margin declined to 22.9% from 43.9% due to a shift toward lower-margin, high-volume projects.

• The company completed its IPO in May 2025, raising $15.3 million, and implemented a dual-class share structure.

• Strategic initiatives include AI-driven design tools (QikBIM), blockchain-based real estate tokenization, and geographic expansion into the U.S. and Japan.

Financial highlights

• Revenue: $716,885 (up 255% year-over-year); gross profit: $163,845 (up 85%).

• Operating expenses: $8,182,363 (up 955%), mainly from depreciation, professional services, and U.S. expansion.

• Net loss: $8,022,816 (vs. $714,680 prior year); working capital deficit: $4,111,677.

• Cash and restricted cash: $2,713,466 as of March 31, 2026.

• Major customers accounted for 94.7% of revenue; two projects (Dior Hong Kong Bespoke Lounge and Hong Kong Tramways) made up 82% and 12% of revenue, respectively.

Outlook and guidance

• Management expects revenue growth to continue, supported by a backlog of $548,692 and new contracts in residential and commercial segments.

• Ongoing investments in AI, digital asset strategies, and U.S./Asia expansion are expected to drive long-term growth, though near-term profitability remains challenged.

• The company is transitioning toward a subscription-based model for AI tools and expanding into real estate tokenization.