Page 22 - One report AUCT2024_Eng

Part 1
Business Operation and Operating Results
Properties for auction by the Company can be classified into three major groups: 1) Automobiles
Auction on automobiles creates major revenue to the Company, accounting for 70 - 80% of its total revenues. The company provides auction service for every type, make and model of automobile in all conditions: drivable, undrivable or ruins from accident. There are 2 groups of automobile owners.
Juristic entities: Including financial institutions and leasing companies with seized automobiles from the auto financing services, car rental companies with vehicles that have reached the end of their economic useful life, and general companies with executive cars or company cars for employees, cars for goods transportation including vehicles in a group of personal loan with vehicle registration manual as collateral which has been additional auction increased by the Company.
Individuals: Including house holding car owners and used car traders (garages) wishing to dispose of their cars for a stock turnover.
Most bidders both used car dealers and individual customers are in used car business who buy cars from the Company to resell to their customers.
2) Motorcycles
The Company has motorcycle auction service accounts for 5 - 10% of total revenues. The Company provides auction service in every type, make and model of motorcycles. Most property owners are financial institutions with seized motorcycles from their motorcycles financing services and vehicles in a group of personal loan with vehicle registration manual as collateral. Major bidders are used motorcycle dealers, new and used motorcycle shops, including end users which tends to increase. Thus, the company has focused in expanding end user customers.
3) Other types of property
Other types of property auction by customer’s request accounts for less than 1% of total revenues. The purpose of these additional services is to create corporate’s image to comply with the term Union Auction which means a variety of property to be auctioned. The purpose is also to expand the bidder customer base to create business opportunity growth in the future.
The Company’s other auctions, i.e., 5G spectrum, phone number auction, obsolete office equipment, Brand-name products, electrical appliances, a golfer's precious thing, and real estate, etc.
22
Annual Registration Statement / Annual Report 2024
(Form 56-1 One Report)