Long-Term Investments |
12 Months Ended | ||||||||||||||||||||||||||||||||||||
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| Long-Term Investments [Abstract] | |||||||||||||||||||||||||||||||||||||
| Long-term Investments | 9. Long-term Investments
As of March 31, 2026 and 2025, long-term investments consisted of the following:
During the year ended 2026, the Company did not make additional investments. During the year ended 2025, the Company made additional investments of $1,900,000 in two investees.
The Company accounted for the investment in these privately held companies using the measurement alternative at cost, less impairment, with subsequent adjustments for observable price changes resulting from orderly transactions for identical or similar investments of the same issuers. These privately held companies just commenced their operations in the year of 2024 and incurred losses through March 31, 2026. For the years ended March 31, 2026 and 2025, the Company did not record upward adjustments or downward adjustments on the investment. For the year ended March 31, 2026, the Company’s impairment analysis considers both qualitative and quantitative factors that may have a significant effect on the fair value of the equity investment, and fully provided impairment of $500,000 against investment in one investee.
In April 2025 and August 2024, the Company made investment in two installments of $100,000 and $500,000 as deposits in one existing cost-method investee with intension to increase its equity interest in the investee. As of March 31, 2026 and 2025, the Company recorded the $600,000 and $500,000 in the account of “Deposit for long-term investment” on the consolidated balance sheet, respectively.
On June 24, 2022, the Company entered into a partnership agreement to invest $256,420 (HKD 2,000,000), for 20% partnership interest in the limited partnership. The funds raised by the limited partnership are invested in biological entities. During the year ended March 31, 2025, the limited partnership make investment in an investee which incurred significant loss for the year of 2025 and presented accumulated loss as of March 31, 2025. The Company assessed that the decline in fair value of long-term investment to be other-than-temporary and provided full impairment of $256,420. |
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