Scientific Energy SCGY

Scientific Energy, Inc. operates primarily through three business segments: a food ordering and delivery platform in Macau, a graphite products trading business, and a physical gold trading platform via a joint venture in Hong Kong. The company's core activities include managing an online platform that connects merchants with consumers for food and grocery delivery, sourcing and selling natural graphite products, and facilitating physical gold trading services. Scientific Energy, Inc. is based in Macau for its food delivery operations and uses subsidiaries in Florida and Hong Kong for its graphite and gold businesses.

Scientific Energy, Inc. generates revenue mainly from commissions paid by merchants on its food ordering and delivery platform, from delivery fees charged to customers, and from mobile marketing services provided to restaurants and other clients. In 2024 the food delivery segment contributed approximately $43.5 million in revenue, while the graphite sales segment contributed approximately $24.8 million. The physical gold trading joint venture is not consolidated, so its revenue is not included in the company's consolidated totals.

The company operates through the following segments.

• Food ordering & delivery: This segment operates an online platform that connects merchants with consumers for food and grocery delivery in Macau, generating revenue from merchant commissions, delivery fees, and mobile marketing services.
• Sales of graphite products: This segment sources natural flake graphite from Madagascar and sells refined graphite powder to industrial customers, earning revenue from product sales and related logistics services.
• Physical gold trading platform: This segment operates the Goldeck App in Hong Kong, offering physical gold trading, deposits and withdrawals to customers, and generates revenue from transaction fees and service charges.

In the food delivery market of Macau, Scientific Energy, Inc. is the leading platform with approximately 70% market share and the largest citywide on demand network, competing against smaller platforms such as MFood and the merged entity Flash Bee as well as traditional offline ordering methods. Its competitive advantages stem from a large base of over 5,684 partnered merchants, a user base exceeding 1,820,000 registered customers, and proprietary technology that enables efficient order matching and real time tracking. In the graphite sector, the company supplies natural flake graphite from Madagascar, positioning itself against synthetic graphite producers and other natural graphite suppliers, notably benefiting from a stable supply agreement with Madagascar Graphite Limited and a focus on high purity products that meet battery industry standards. The physical gold trading joint venture offers a convenient one stop service for gold investment in Hong Kong, differentiating itself through the Goldeck App's integrated trading, deposit and withdrawal features.

The company's food delivery segment serves Macau residents including households, office workers, laborers and college students, with over 1,820,000 registered platform users, 65,130 daily active users and 345,936 monthly active users as of December 31, 2024, and partners with 5,684 merchants primarily restaurants. The graphite sales segment sells to industrial customers in sectors such as aerospace, steel, automotive, electric vehicle battery manufacturing and lubricants, though no individual customer accounts for 10% or more of total revenue. The physical gold trading joint venture serves retail investors and individuals seeking to buy, sell or hold physical gold through the Goldeck App in Hong Kong.