OUR BUSINESS AND STRATEGY MATTERS IMPACTING VALUE CREATION (cont’d) GLOBAL AND DOMESTIC MACROECONOMIC CONDITIONS In 2025, global economic growth remained at 3.4%, according to International Monetary Fund estimates, with businesses resiliently navigating rising prices and interest rates, as well as escalating trade tensions and policy uncertainties especially those stemming from the U.S. trade tariffs enacted worldwide. Persistent inflationary pressures in certain markets, shifts in political leadership and protracted geopolitical conflicts also impact many economies. Malaysia’s economy remained on its resilient path despite these headwinds, with the country’s overall GDP growth for 2025 recorded at 5.2%. Zetrix AI during this reporting year continued its track record of strong financial performance, driven by the continued robust demand for its existing products and services, and supported by resilient household spending, an improving labour market as well as the essential nature of the Group’s offerings, which cater to all segments of society. Additionally, the launch of new digital services, particularly decentralised applications, further boosted Zetrix AI’s overall performance. RISK OPPORTUNITY Weaker economic conditions may affect consumer and business confidence as well as investor appetite. Notably, it can reduce the spending power of customers, cross-border trade activity as well as business growth and expansion plans, which could impact the demand for and pricing of Zetrix AI’s services. Market sentiment may influence the price of publicly-traded digital assets like Zetrix tokens. In general, any slowdown in business and consumer activity may have a bearing on demand and hence service revenues. Reduced demand of the Group’s services impacts various targets set for business performance. While Zetrix AI remains confident in realising those targets, in the event that targets are not achieved, there may be implications for financial and non-financial results for stakeholders. As businesses and consumers choose to downscale expenditure and consumption, there are still opportunities for the provision of economical, cost-effective solutions. Competitively priced products and services that meet customer expectations while providing savings and budget optimisation will be able to thrive amidst a challenging, costdriven market environment. In addition, businesses and consumers would seek alternatives, including leveraging technology and expanding into new markets, which dovetails with Zetrix AI’s strategic push into the Web3 space through the introduction of decentralised services on the Zetrix blockchain as well as other technologically-driven services such as AI. Much focus continues to be placed on technological innovation, including AI and blockchain, as the key to unlocking greater productivity and efficiency. Thus, this provides a conducive backdrop for businesses involved in these emerging segments, Zetrix AI included. STAKEHOLDERS LIKELY IMPACTED LINKAGE TO MATERIALITY CAPITALS INVOLVED Investors Customers Employees Economic Values Generated Competitive Marketplace Product / Service Quality STRATEGIC RESPONSE Macroeconomic conditions are beyond the Group’s control. However, Zetrix AI’s strategic response is to continue its pursuit of product and market diversification to diversify its revenue streams and to reduce its exposure to socio-economic upheavals in any single geographic market. Refer to the Strategies to Sustain Value Creation section for more information. 51
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