| To | The Board of Directors and Shareholders of Apex Global Holdings Inc. | Reporting Standard | PCAOB Auditing Standards & US GAAP |
| Audited Entity | Apex Global Holdings Inc. (CIK: 0001849204) | Audit Period | Fiscal Year Ended December 31, 2024 |
| Opinion Form | Unqualified (Clean Opinion) | Planning Materiality | $1,400,000 USD (Tolerable Error: $700K) |
OPINION ON THE FINANCIAL STATEMENTS: We have audited the accompanying consolidated balance sheets of Apex Global Holdings Inc. and its subsidiaries (the "Company") as of December 31, 2024 and 2023, the related consolidated statements of operations, comprehensive income, stockholders' equity, and cash flows for each of the three years in the period ended December 31, 2024, and the related notes.
AUDITED CONSOLIDATED FINANCIAL HIGHLIGHTS (FY2024 vs FY2023):
| FINANCIAL LINE ITEM | FY2024 AUDITED (USD) | FY2023 AUDITED (USD) | VARIANCE ($) | AUDIT STATUS |
|---|---|---|---|---|
| Total Consolidated Revenues (ASC 606) | $128,450,000.00 | $104,200,000.00 | +$24,250,000.00 (+23.3%) | ✓ Fully Substantiated |
| Gross Operating Profit | $56,518,000.00 | $43,764,000.00 | +$12,754,000.00 (+29.1%) | ✓ Tested & Recalculated |
| Cash & Cash Equivalents (Confirmed) | $34,820,000.00 | $28,150,000.00 | +$6,670,000.00 (+23.7%) | ✓ 100% Direct Bank Confirmed |
| Total Consolidated Assets | $214,800,000.00 | $182,400,000.00 | +$32,400,000.00 (+17.8%) | ✓ Verified |
| NET OPERATING INCOME AFTER TAX | $24,180,000.00 | $18,450,000.00 | +$5,730,000.00 (+31.1%) | CLEAN AUDIT |
CRITICAL AUDIT MATTERS (CAMs): Revenue recognition under ASC 606 involving complex multi-element enterprise software contracts and maintenance services was identified as a critical audit matter. Our audit procedures included evaluating contract terms against ASC 606 criteria, independent recalculation of performance obligations, and direct positive confirmation of accounts receivable with institutional customers.