Company: GINT
Filing Date: 2025-05-16
Form Type: DRS/A
Source: 0001213900-25-044839
Chunk: 119

Company: Gifts International Holdings Ltd
Filing Date: 2025-05-16
Form: DRS/A
Chunk 119
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 financial statements, when it is the primary beneficiary under ASC 810. For the years ended March 31, 2023 and 2024, and six months ended September30, 2023 and 2024, MGGB contributed less than 1% of the Company’s total revenues, whose operation is considered not material. Use of Estimates and Assumptions The preparation of combined financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities as of the date of the combined financial statements and the reported amounts of revenues and expenses during the years presented. Significant accounting estimates reflected in the Company’s combined financial statements include the useful lives of plant and equipment, impairment of long -livedassets, allowance for expected credit losses, provision for long service payments, revenue recognition, income tax provision, deferred taxes and uncertain tax position. The inputs into the management’s judgments and estimates consider the geopolitical tension, inflationary and high -interestrate environment and other macroeconomic factors on the Company’s critical and significant accounting estimates. Actual results could differ from these estimates. 67 Foreign Currency Transaction Transactions denominated in currencies other than the functional currency are recorded based on exchange rates at the time such transactions arise with the impact of subsequent changes in such rates reflected in the income statement. The functional currency of a significant portion of our international operations is Hong Kong Dollar (“HK$” or “HKD”). Convenience Translation Translations of amounts in the combined balance sheets, combined statements of operations, and combined statements of cash flows from HK$ into US$ as of and for the year ended March 31, 2024 and six months ended September30, 2024 are solely for the convenience of the readers and were calculated at the rate of US$ = HK$7.80. No representation is made that the HK$ amounts could have been, or could be, converted, realized, or settled into US$ at such rate or at any other rate. Cash and Cash Equivalents Cash and cash equivalents consist primarily of cash in readily available checking and saving accounts. They consist of highly liquid investments that are readily convertible to cash and that mature within three months or less from the date of purchase. The carrying amounts approximate fair value due to the short maturities of these instruments. The Company mainly maintains its bank accounts in Hong Kong. Accounts Receivable Certain accounts receivables due from payment gateway providers and credit card processors, as the cash proceeds from accounts receiv