Company: TGE
Filing Date: 2025-11-21
Form Type: POS AM
Source: 0001213900-25-113604
Chunk: 270

Company: Generation Essentials Group
Filing Date: 2025-11-21
Form: POS AM
Chunk 270
---
 be recovered.

Deferred tax assets and liabilities
are measured at the tax rates that are expected to apply to the period when the asset is realised or the liability is settled, based
on tax rates (and tax laws) that have been enacted or substantively enacted by the end of the reporting period.

Deferred tax assets and deferred tax
liabilities are offset if and only if the Group has a legally enforceable right to set off current tax assets and current tax liabilities
and the deferred tax assets and deferred tax liabilities relate to income taxes levied by the same taxable entity to the same taxation
authority.

For the purposes of measuring deferred
tax for leasing transactions in which the Group recognizes the right-of-use assets and the related lease liabilities, the Group first
determines whether the tax deductions are attributable to the right-of-use assets or the lease liabilities.

For leasing transactions in which the
tax deductions are attributable to the lease liabilities, the Group applies IAS 12 Income Taxes requirements to lease liabilities
and related assets separately. The Group recognizes a deferred tax asset related to lease liabilities to the extent that it is probable
that taxable profit will be available against which the deductible temporary difference can be utilized and a deferred tax liability
for all taxable temporary differences.

Revenue from contracts with customers

Revenue from contracts with customers
is recognized when control of goods or services is transferred to the customers at an amount that reflects the consideration to which
the Group expects to be entitled in exchange for those goods or services.

When the consideration in a contract
includes a variable amount, the amount of consideration is estimated to which the Group will be entitled in exchange for transferring
the goods or services to the customer. The variable consideration is estimated at contract inception and constrained until it is highly
probable that a significant revenue reversal in the amount of cumulative revenue recognized will not occur when the associated uncertainty
with the variable consideration is subsequently resolved.

<div align='center'>F-42

THE GENERATION ESSENTIALS GROUP
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
F OR THE YEARS ENDED DECEMBER 31, 2022, 2023 AND 2024</div>

| 2. | APPLICATION OF INTERNATIONAL FINANCIAL REPORTING 
 STANDARDS (cont.)                                |

Fashion, arts and luxury media advertising and marketing services

Fashion, arts and luxury media advertising
and marketing services income is composed of advertising service income and licensing, subscription and marketing services income. Revenue
is recognized at a point in time when