Society Pass Inc. Files 2023 Annual Report on Form 10-K

TL;DR

<b>Society Pass Incorporated filed its 2023 10-K, reporting on its operations and financial status.</b>

AI Summary

SOCIETY PASS INCORPORATED. (SOPA) filed a Annual Report (10-K) with the SEC on April 15, 2024. Society Pass Incorporated filed its annual report on Form 10-K for the fiscal year ended December 31, 2023. The company is incorporated in Nevada and its principal executive offices are located in Newport Coast, CA. Common stock of Society Pass Incorporated trades on The Nasdaq Stock Market LLC under the symbol SOPA. The company has elected not to use the extended transition period for complying with new or revised financial accounting standards. Society Pass Incorporated is classified as a smaller reporting company and an emerging growth company.

Why It Matters

For investors and stakeholders tracking SOCIETY PASS INCORPORATED., this filing contains several important signals. This filing provides a comprehensive overview of Society Pass's financial performance and operational status for the fiscal year 2023, crucial for investors to assess the company's health and future prospects. As a smaller reporting and emerging growth company, this 10-K is essential for understanding its regulatory compliance and financial disclosures, which may differ from larger, more established corporations.

Risk Assessment

Risk Level: medium — SOCIETY PASS INCORPORATED. shows moderate risk based on this filing. The company is a smaller reporting and emerging growth company, which often implies higher risk due to less established operations and potentially less stringent disclosure requirements compared to larger filers.

Analyst Insight

Investors should review the full 10-K filing to understand Society Pass's financial performance, operational risks, and strategic direction for 2024.

Key Numbers

• 2023-12-31 — Fiscal Year End (Reported period)
• 2024-04-15 — Filing Date (Date of submission)
• 001-41037 — Commission File Number (SEC identifier)

Key Players & Entities

• SOCIETY PASS INCORPORATED (company) — Filer name
• SOPA (company) — Trading symbol
• The Nasdaq Stock Market LLC (company) — Exchange where SOPA is traded
• Nevada (company) — State of incorporation
• 2023-12-31 (date) — Fiscal year end
• 2024-04-15 (date) — Filing date

FAQ

Risk Factors

• Emerging Growth Company Status [medium — regulatory]: The company has elected to be treated as an emerging growth company and has not opted out of the extended transition period for new accounting standards, which may affect comparability with other companies.

Industry Context

Society Pass Incorporated operates in the business services sector, focusing on digital platforms and services. As a smaller reporting and emerging growth company, its market position and growth trajectory are key areas of interest.

Regulatory Implications

The filing adheres to the requirements of the Securities Exchange Act of 1934, specifically Section 13 or 15(d), for annual reporting.

What Investors Should Do

1. Review the financial statements and Management's Discussion and Analysis for detailed performance metrics.
2. Analyze the risk factors section for potential challenges and uncertainties facing the company.
3. Compare the company's performance and disclosures against industry peers and previous filings.

Key Dates

• 2023-12-31: Fiscal Year End — End of the reporting period for the 10-K.
• 2024-04-15: Filing Date — Date the 10-K was officially submitted to the SEC.

Year-Over-Year Comparison

This is the annual report for the fiscal year ended December 31, 2023. Specific comparisons to the prior year's financial performance will be detailed within the filing itself.

Key Financial Figures

• $0.0001 — ich registered Common Stock, par value $0.0001 per share SOPA The Nasdaq Stock Market
• $3.30 — t option) at a public offering price of $3.30 per share and warrant to purchase one s
• $11.5 million — te proceeds from the public offering of $11.5 million before deducting underwriting fees and
• $40,000,000 — , to offer and sell to Strattners up to $40,000,000 shares of common stock, at the Company'
• $3.9 — gross domestic product ("GDP") totaled $3.9 trillion. In comparison, the respective
• $25.4 — ") and the United States ("US") totaled $25.4 trillion and $27.0 trillion in 2023. SE
• $27.0 — tates ("US") totaled $25.4 trillion and $27.0 trillion in 2023. SEA has experienced r
• $100 billion — "), in SEA, expected to reach more than $100 billion by year end 2020 according to Google, T
• $300 billion — sector GMV is forecast to grow to over $300 billion by 2025. We believe that these ongoing
• $18,098,918 — ur Platform. We incurred net losses of $18,098,918 and $34,015,022 in fiscal years ended D
• $34,015,022 — incurred net losses of $18,098,918 and $34,015,022 in fiscal years ended December 31, 2023

Filing Documents

• ea0203419-10k_society.htm (10-K) — 2477KB
• ea020341901ex4-6_society.htm (EX-4.6) — 6KB
• ea020341901ex21-1_society.htm (EX-21.1) — 13KB
• ea020341901ex31-1_society.htm (EX-31.1) — 10KB
• ea020341901ex31-2_society.htm (EX-31.2) — 10KB
• ea020341901ex32-1_society.htm (EX-32.1) — 4KB
• ea020341901ex32-2_society.htm (EX-32.2) — 4KB
• ea020341901ex97-1_society.htm (EX-97.01) — 23KB
• 0001213900-24-032944.txt (&nbsp;) — 13275KB
• sopa-20231231.xsd (EX-101.SCH) — 136KB
• sopa-20231231_cal.xml (EX-101.CAL) — 77KB
• sopa-20231231_def.xml (EX-101.DEF) — 615KB
• sopa-20231231_lab.xml (EX-101.LAB) — 989KB
• sopa-20231231_pre.xml (EX-101.PRE) — 613KB
• ea0203419-10k_society_htm.xml (XML) — 2012KB

Business

Business 1 Item 1A.

Risk Factors

Risk Factors 6 Item 1B. Unresolved Staff Comments 21 Item 1C. Cybersecurity 21 Item 2.

Properties

Properties 22 Item 3.

Legal Proceedings

Legal Proceedings 22 Item 4. Mine Safety Disclosures 23 PART II 24 Item 5. Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities 24 Item 6. [Reserved] 24 Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations 24 Item 7A. Quantitative and Qualitative Disclosures About Market Risk 44 Item 8.

Financial Statements and

Financial Statements and Supplementary Data F-1 Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure 45 Item 9A.

Controls and Procedures

Controls and Procedures 45 Item 9B. Other Information 45 Item 9C. Disclosure Regarding Foreign Jurisdictions that Prevent Inspections 45 PART III 46 Item 10. Directors, Executive Officers and Corporate Governance 46 Item 11.

Executive Compensation

Executive Compensation 51 Item 12.

Security Ownership of Certain

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters 53 Item 13. Certain Relationships and Related Transactions, and Director Independence 54 Item 14. Principal Accountant Fees and Services 55 PART IV 56 Item 15. Exhibits, Financial Statement Schedules 56 Item 16. Form 10-K Summary 58 i SPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTS of historical fact, including statements about our beliefs and expectations, are forward-looking statements, and should be evaluated as such. Forward-looking statements include information concerning possible or assumed future results of operations, including descriptions of our business plan and strategies. These statements often include words such as "anticipate," "expect," "suggest," "plan," "believe," intend," "project," "forecast," "estimates," "targets," "projections," "should," "could," "would," "may," "might," "will," and other similar expressions. These forward-looking statements are contained throughout this Annual Report, including the sections entitled " Risk Factors ," " Management's Discussion and Analysis of Financial Condition and Results of Operations " and " Business ." We base these forward-looking statements or projections on our current expectations, plans, and assumptions, which we have made in light of our experience in the industry, as well as our perceptions of historical trends, current conditions, expected future developments, and other factors we believe, are appropriate under the circumstances and at this time. As you read and consider this Annual Report, you should understand that these statements are not guarantees of performance or results. The forward-looking statements and projections contained herein are subject to and involve risks, uncertainties, and assumptions, and therefore you should not place undue reliance on these forward-looking statements or projections. Although we b

Business

Item 1. Business Overview We are, through the operation and acquisition of fintech and e-commerce platforms and mobile applications through our direct and indirect wholly or majority-owned subsidiaries, building the next generation digital ecosystem and loyalty platform in the Southeast Asian ("SEA") countries of Singapore, Vietnam, Indonesia, Philippines and Thailand. We currently market to both consumers and merchants in SEA while maintaining an administrative headquarters in Singapore and a software development center in Philippines. We continue to expand our fintech and e-commerce ecosystem throughout the rest of SEA by making selective acquisitions of leading e-commerce companies and applications and through strategic partnerships with technology providers in SEA. Material acquisitions to date include: In February 2021, we acquired an online lifestyle platform of Leflair branded assets (the "Leflair Assets"). In February 2022, we acquired New Retail Experience Incorporated ("NREI") and Dream Space Company Limited ("Dream Space") to operate food delivery companies, Pushkart in the Philippines and Handycart in Vietnam, respectively. In May 2022, we acquired Gorilla Networks Pte Ltd and subsidiaries in May 2022 to operate a mobile telecommunications company in Singapore. In July 2022, through our wholly-owned subsidiary, Thoughtful Media Group Incorporated ("TMG"), a Nevada corporation, we acquired a digital marketing company with significant operations in Thailand and the United States. In July 2022, through our wholly-owned subsidiary, NREI, we acquired the assets of Mangan PH Food Delivery Services Corp., a corporation registered in Philippines, (the "Mangan Assets"). In August 2022, we acquired majority control of Singapore-incorporated Nusatrip International Pte Ltd and 100% of the outstanding shares of Indonesia-incorporated PT Tunas Sukses Mandiri, together the "Nusatrip Group", that give us ownership and operational control of the online an

View Full Filing

View this 10-K filing on SEC EDGAR