Huang Chao
About Huang Chao
Huang Chao is Chief Financial Officer and Treasurer of Addentax Group Corp. (ATXG). Age 32 as of March 9, 2025, he holds two bachelor’s degrees (Marketing, Shaoguan University, 2014; International Logistics & Trade Finance, University of Northampton, 2015) and a master’s in Finance & Investment Management from the University of Liverpool (2016). He joined Addentax in 2016 as Secretary to the Chairman focused on regulatory filings and corporate governance, and has served as CFO under an employment agreement dated April 15, 2019. He is the Company’s principal financial and accounting officer and signs SOX 302/906 certifications, indicating direct responsibility for disclosure controls and internal control over financial reporting. Company performance during his tenure shows declining revenues and persistent net losses; the Company adopted a 2024 Equity Incentive Plan but disclosed no executive grants to date. His personal equity ownership is minimal (2,572 shares; 0.04%).
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| Addentax Group Corp. | Secretary to Chairman | 2016 onward | Managed SEC filings, compliance, and governance liaison with directors, auditors, attorneys, and regulators. |
External Roles
- No external public-company directorships or committee roles are disclosed in ATXG’s DEF 14A filings reviewed.
Fixed Compensation
| Metric | FY 2021 | FY 2022 | FY 2023 | FY 2024 |
|---|---|---|---|---|
| Base Salary ($) | 22,187 | 22,187 | 29,143 | 29,143 |
| Bonus ($) | 0 | 0 | 0 | 0 |
| Stock Awards ($) | 0 | 0 | 0 | 0 |
| Option Awards ($) | 0 | 0 | 0 | 0 |
| Non-Equity Incentive ($) | 0 | 0 | 0 | 0 |
| All Other Comp ($) | 0 | 0 | 0 | 0 |
| Total ($) | 22,187 | 22,187 | 29,143 | 29,143 |
- Current compensation: $2,631 per month under the employment agreement (CFO may be entitled to options from time to time as authorized).
Performance Compensation
- No performance-based payouts or equity awards have been granted to the named executive officers to date; no options exercised; no outstanding equity awards disclosed.
| Incentive Element | Metric | Target | Actual | Payout | Vesting |
|---|---|---|---|---|---|
| Annual Bonus | Not disclosed | — | — | 0 | — |
| RSUs/PSUs | Not disclosed | — | — | — | No grants outstanding |
| Stock Options/SARs | Not disclosed | — | — | — | No grants outstanding; no exercises |
Equity Ownership & Alignment
| Holder | FY 2023 Shares | FY 2023 % | FY 2024 Shares | FY 2024 % | FY 2025 Shares | FY 2025 % |
|---|---|---|---|---|---|---|
| Huang Chao (CFO) | 25,720 | 0.07% | 2,572 | 0.04% | 2,572 | 0.04% |
- Vested vs unvested shares: No outstanding equity awards disclosed (all zero).
- Options: None exercisable/unexercisable disclosed; no options exercised.
- Hedging/pledging: Insider trading policy prohibits hedging/monetization transactions (e.g., collars, swaps, exchange funds). No pledging disclosures found.
Employment Terms
| Term | Details |
|---|---|
| Employment Agreement | Date: April 15, 2019; Initial term: 1 year; Auto-renewal annually until cancelled. |
| Current Compensation | $2,631 per month; may be entitled to options as authorized by Compensation Committee/Board. |
| Severance | Not disclosed. |
| Change-of-Control (Plan-Level) | 2024 Equity Incentive Plan: unvested portions of Awards vest immediately upon change in control unless otherwise set; Committee may continue/assume/cancel awards or cash-out. |
| Clawback | Board-adopted Clawback Policy (Oct 25, 2023) requiring recovery of excess incentive compensation for covered executives in event of material accounting restatement over prior 3 fiscal years; includes equity-based awards; no indemnification. |
| Insider Policy | Prohibits hedging/monetization transactions for officers, directors, designated insiders and immediate family members. |
| Non-Compete/Non-Solicit | Not disclosed. |
Company Performance Context (for pay-for-performance framing)
| Metric | FY 2022 | FY 2023 | FY 2024 | FY 2025 |
|---|---|---|---|---|
| Revenues ($) | 12,690,633 | 7,944,171 | 5,153,753 | 4,180,914 |
| EBITDA ($) | 100,599* | -118,019* | -179,550* | -145,813* |
| Net Income (Loss) ($) | (77,998) | (1,319,657) | (3,109,418) | — |
- Values marked with * retrieved from S&P Global.
- Pay-versus-performance (as disclosed): Compensation Actually Paid to CFO remained flat while net losses widened across FY 2022–FY 2024.
Compensation Committee Analysis
- Compensation Committee: Chair Li Weilin; members Alex P. Hamilton and Xiao Jiangping (Gary); all independent under Nasdaq rules; charter available on company website. Responsibilities include approving executive compensation, administering incentive/equity plans, and employment agreements.
Track Record, Governance, and Execution
- CFO responsibilities and certifications: Huang Chao signs SOX 302 and 906 certifications, attesting to controls and fair presentation of financials (Q1 and Q2 FY 2026).
- Code of Ethics and recovery policy adopted; governance charters publicly available.
- No related-party transactions disclosed involving Huang Chao in proxy related-party sections reviewed.
Investment Implications
- Alignment: Compensation is predominantly fixed cash with no disclosed equity grants, minimal personal share ownership (0.04%), and hedging prohibited—limiting incentive misalignment but providing limited upside alignment through equity.
- Retention and leverage: One-year auto-renewing employment agreement with modest monthly pay and eligibility for options suggests flexibility for the board to adjust incentives; absence of disclosed severance/change-of-control terms for the employment agreement reduces golden parachute risk.
- Pay-for-performance: Pay remained flat while net losses widened; adoption of the 2024 Equity Incentive Plan with change-in-control acceleration provisions could introduce future equity-based incentives—monitor for any grants that might shift risk profile or create selling pressure upon vest.
- Controls and execution: Regular SOX certifications by the CFO and presence of clawback policy support governance quality; watch whether future incentive awards tie to concrete performance metrics (revenue, EBITDA, TSR), as the policy allows recovery of erroneously awarded compensation tied to financial measures.