Company: ARBB
Filing Date: 2025-10-31
Form Type: 20-F
Source: 0001213900-25-104705
Chunk: 126

Company: ARB IOT Group Ltd
Filing Date: 2025-10-31
Form: 20-F
Item: Item 19
Chunk 126
---
 reseller of mobile gadget and the relevant accessories.

Revenue from sale of goods is recognized at a point in time when the
Group satisfies a performance obligation by transferring a promised good (i. e. an asset) to a customer. An asset is transferred as and
when a customer obtains control of that asset which coincides with the delivery of goods and acceptance by the customer.

There is no material right of return and warranty
provided to the customers on the sale of goods and there is no significant financing component in the revenue arising from sale of goods
as the sales are made on the normal credit terms not exceeding twelve months.

Project management and rendering of information
technology system

Revenue from project management fees and rendering of information technology
system are recognized at a point in time when control of the goods is passed to the customer, which is point in time when the significant
risks and rewards are transferred to the customer and the transaction has met the probability of inflows and measurement reliability requirements
of IFRS 15.

F-16

2. MATERIAL ACCOUNTING POLICY INFORMATION (CONT’ D)

Employee benefits

Short-term employee benefits

Wages, salaries, bonuses and social security contributions are recognized
as an expense in the year in which the associated services are rendered by employees of the Group and the Company. Short-term accumulating
compensated absence such as paid annual leave is recognized when services are rendered by employees and short term non-accumulating compensated
absences such as sick leave are recognized when the absences occur.

Defined contribution plan

As required by law, companies in Malaysia make contributions to the
Employees’ Provident Fund (“ EPF”). The contributions are recognized as a liability after deducting any contribution
already paid and as an expense in profit or loss in the period in which the employee render their services. Once the contributions have
been paid, the Group and the Company has no further payment obligations. No employees in Singapore subsidiary for the years ended June
30, 2025 and 2024.

Income tax

Income tax expense comprises current and deferred tax. Current tax
and deferred tax are recognized in profit or loss except to the extent that it relates to a business combination or items recognized directly
in equity or other comprehensive loss.

Current tax is the expected tax payable or receivable
on the taxable income or loss for the period, using tax rates enacted or substantively enacted by the end of the reporting period, and
any adjustment to tax payable in respect of previous financial year.

Deferred tax is recognized