<div id="readability-page-1"><div>Graphjet Technology, a company specializing in the production of artificial graphene and graphite using a patented process that converts palm kernel shells into high-quality materials, has released its annual 10-K report. The report provides a comprehensive overview of the company's financial performance, business operations, strategic initiatives, and the challenges it faces in the competitive graphite and graphene industry. Financial Highlights <ul><li>Revenues: $0.0928 million, an increase resulting from selling side products since June 2025.</li><li>Gross Loss: $0.1002 million, primarily due to low productivity levels and discounted sales of deteriorated side products.</li><li>Loss from Operations: $22.522 million, a 29.2% increase from the previous year, mainly due to share compensation expenses.</li><li>Net Loss: $16.411 million, reduced by approximately $1.4 million or 8% from the previous year, mainly due to the reversal of bonus provision.</li><li>Loss per Share: $(6.49), reflecting the company's financial performance and the impact of share compensation expenses.</li></ul> Business Highlights <ul><li>Graphjet Technology Overview: Specializes in producing artificial graphene and graphite from palm kernel shells, offering a cost-effective production method compared to traditional processes.</li><li>Market Opportunity: The global graphite market is expected to grow significantly, driven by demand from the lithium-ion battery industry. Graphjet aims to fill the supply gap for graphite and graphene, critical for EV batteries.</li><li>Supply of Raw Materials: Relies on abundant palm kernel shells in Malaysia, with plans to construct its first main production facility in the country.</li><li>New Production Launches: Working towards completing a production facility in Malaysia and planning a commercial artificial graphite production facility in Nevada, expected to produce up to 10,000 metric tons of battery-grade graphite annually.</li><li>Strategic Partnerships: Entered into a supply agreement with Toyoda to provide $30 million worth of graphite and graphene annually for their carbon-neutral mobility products.</li><li>Research and Development: Collaborates with prestigious institutions like the National University of Malaysia and University Teknikal Malaysia Melaka to advance its technology and applications in graphite and graphene.</li><li>Future Outlook: Plans to expand manufacturing capabilities in Malaysia and North America, aiming to become a leading supplier of high-quality, cost-effective artificial graphite and graphene. Exploring strategic partnerships and government incentives to support growth and market entry.</li></ul> Strategic Initiatives <ul><li>Transition to Commercialization: Focused on completing system integration, process stability validation, and establishing production protocols. Strengthening engineering, production, and quality assurance teams to support long-term operational reliability and regulatory compliance.</li><li>Capital Management: Engaged in several capital management activities, including issuing ordinary shares and warrants to raise funds and settle debts. Completed a reverse recapitalization and received a $2.5 million PIPE investment. Executed debt settlement agreements and issued shares to settle amounts due to shareholders and creditors. Pursuing a diversified funding approach, including strategic partnerships, asset-based financing, and potential access to capital market instruments. Class A ordinary shares were delisted from Nasdaq and are now quoted on the OTC Pink Limited marketplace, impacting liquidity and marketability.</li><li>Future Outlook: Plans to leverage government incentive programs to support sustainable manufacturing and technology commercialization. Aiming to execute a structured capacity-expansion program following successful commissioning and initial product delivery. Committed to securing necessary capital to finalize commissioning activities and support growth plans, focusing on maintaining financial flexibility and aligning financing resources with strategic priorities.</li></ul> Challenges and Risks <ul><li>Limited Operating History: The company has a very limited operating history, making it difficult to evaluate its success and future viability.</li><li>Going Concern Doubts: The independent registered public accounting firm’s report contains an explanatory paragraph expressing substantial doubt about the company's ability to continue as a going concern due to net losses and liabilities exceeding assets.</li><li>Graphene/Graphite Manufacturing Risks: The proposed manufacturing business carries risks such as unanticipated liabilities, the need for additional capital, and competition from better-funded companies.</li><li>Competitive Industry: The graphene and graphite industry is highly competitive, with competition based on price, performance, and innovation.</li><li>Intellectual Property Risks: The company may face challenges in protecting its intellectual property, which could undermine its competitive position.</li><li>Dependence on Palm Oil Industry: The availability of raw materials like palm kernel shells is contingent on the palm oil industry, which is subject to price volatility and other external factors.</li><li>International Operations Risks: The company’s international operations expose it to risks such as political instability, regulatory changes, and currency fluctuations.</li><li>Regulatory Compliance: Compliance with health, safety, and environmental regulations is complex and costly. Non-compliance could result in significant liabilities and affect operations.</li><li>Cybersecurity Threats: The company is vulnerable to cyber-attacks and IT system failures, which could result in data breaches and operational disruptions.</li><li>Nasdaq Listing Compliance: The company has received multiple notices from Nasdaq regarding non-compliance with listing rules, including minimum bid price and market value requirements. Failure to regain compliance could result in delisting, affecting liquidity and stock price.</li></ul>SEC Filing: GRAPHJET TECHNOLOGY [ GTIJF ] - 10-K - Dec. 23, 2025</div></div>

GTIJF

Graphjet Technology's 10-K report highlights its financial performance, strategic initiatives, and challenges. The company reported revenues of $0.0928 million and a net loss of $16.411 million. It specializes in producing artificial graphene and graphite from palm kernel shells. Strategic plans include expanding production facilities in Malaysia and Nevada, and partnerships with Toyoda. Challenges include limited operating history, going concern doubts, and competitive industry risks. The company aims to leverage government incentives and secure capital for growth.

GRAPHJET TECHNOLOGY SEC 10-K Report