Climate Change Data

Environmental Metrics

Climate Goals & Targets

Environmental Challenges

• limited internal compliance, financial reporting and accounting functions
• preparing analyses and providing documentation requested by its auditors

Mitigation Strategies

• filing the Form 10-K within the 15-day extension period provided by Rule 12b-25

Supply Chain Management

Climate-Related Risks & Opportunities

Environmental Metrics

Governance Achievements

• Adopted a new Audit Committee Charter (December 15, 2021) compliant with Nasdaq Listing Rule 5605(c)(1).
• Adopted a new Nominating and Corporate Governance Committee Charter (December 15, 2021) compliant with Nasdaq Listing Rule 5605(e)(2).
• Adopted a new Compensation Committee Charter (December 15, 2021) compliant with Nasdaq Listing Rule 5605(d)(1).
• Adopted a new Risk and Information Security Committee Charter (May 22, 2024).
• Adopted Securities Trading and Reporting Guidelines (December 15, 2021) to promote compliance with insider trading laws.
• Adopted an Anti-Hedging and Pledging Policy (December 15, 2021).
• Adopted the FingerMotion, Inc. Policy for the Recovery of Erroneously Awarded Incentive-Based Compensation (November 17, 2023) to comply with Section 10D of the Exchange Act and Rule 10D-1.

Climate Goals & Targets

Environmental Challenges

• Recurring losses from operations raising substantial doubt about the ability to continue as a going concern.
• Limited operating history making it difficult to forecast future results.
• Concentration of earnings from two telecommunications companies.
• Potential for security or privacy breaches.
• Dependence on key personnel.
• Potential for systems failures.
• Dependence on internet and mobile infrastructure.
• Potential for legal proceedings.
• Need for additional funding.
• Potential for intellectual property infringement claims.
• Limited stock liquidity and price volatility.
• Lack of cash dividend payments.
• Potential for unfavorable analyst reports.
• Dilution from equity sales.
• Potential for ineffective disclosure controls and internal control over financial reporting.
• Risks related to VIE agreements (enforceability, tax implications, conflicts of interest).
• Risks related to doing business in China (political and economic instability, legal uncertainties, regulatory changes, currency exchange restrictions, data security laws).
• Potential for delisting due to PCAOB inspection requirements under the HFCAA.

Mitigation Strategies

• Seeking additional financing (equity and debt).
• Developing new products and platform features.
• Expanding into new markets.
• Increasing sales and marketing efforts.
• Investing in platform improvements.
• Developing systems and processes to protect user data and prevent security breaches.
• Implementing measures to attract, retain, and integrate personnel.
• Developing redundant systems and disaster recovery planning.
• Investing in new products to mitigate interruptions to mobile communications.
• Implementing safeguards to discourage unauthorized payments.
• Developing and refining disclosure controls and internal control over financial reporting.
• Implementing remediation actions to address material weaknesses in internal controls (documented controls, segregation of duties, proper authorization).
• Implementing corporate governance policies and charters.
• Monitoring and managing cash flows.
• Seeking additional capital through equity or debt securities sales or financing arrangements.

Supply Chain Management

Climate-Related Risks & Opportunities