v3.26.1
Liquidity and Capital Resources
12 Months Ended
Mar. 31, 2026
Liquidity and Capital Resources [Abstract]  
LIQUIDITY AND CAPITAL RESOURCES

2. LIQUIDITY AND CAPITAL RESOURCES

 

In assessing the Company’s liquidity, the Company monitors and analyzes its cash on-hand and its operating and capital expenditure commitments. The Company’s liquidity needs are to meet its working capital requirements, operating expenses and capital expenditure obligations. Debt financing from financial institutions and equity financings have been utilized to finance the working capital requirements of the Company.

 

The Company’s business is capital intensive, and certain factors show negative trends in its liquidity position, including (1) the net loss of approximately $5.4 million for the year ended March 31, 2026; (2) accumulated deficit of approximately $50.4 million as of March 31, 2026, (3) $1.1 million of net cash outflows in operating activities from continuing operations for the year ended March 31,2026, and (4) the working capital deficit of approximately $3.7 million as of March 31, 2026.

 

However, recent financing arrangements have materially strengthened the Company’s cash position. Management evaluated and concluded that the factors aforementioned did not raise substantial doubt as to the Company’s ability to continue as a going concern.

 

Management believes that the Company’s cash balance of approximately $3.6 million as of March 31, 2026, together with the additional gross proceeds of approximately $11.0 million collected from the April 2026 Units Private Placement (refer to note 20), will be sufficient to meet the Company’s working capital needs in the next 12 months from the date the audited consolidated financial statements are issued. If the Company experienced an adverse operating environment or incurred unanticipated capital expenditure requirements, or if the Company’s determined to accelerate its growth, then additional financing may be required.