The board of directors of PAX Global Technology Limited informed the shareholders of the Company and potential investors that based on the preliminary assessment by the Board of the unaudited consolidated management accounts of the Group and the information currently available to the Board, the Group is expected to record a decrease of approximately 30% to 40% in net profit for the six months ending 30 June 2024 (the "Reporting Period") as compared to a net profit of approximately HKD 660 million for the six months ended 30 June 2023. The Board considers that the expected decrease in net profit is primarily due to the decline in revenue recorded in the Latin America and the Commonwealth of Independent States (LACIS) region and the United States of America and Canada (USCA) region during the first half of the year. This decline is attributed to the global economic uncertainty, leading to (i) a fluctuation of payment terminal demands; (ii) certain customers experiencing longer-than-expected sales cycles and postponing the deployment of payment terminals; and (iii) the Group's implementation of a more stringent credit control strategy for shipments.