Company: GRAN
Filing Date: 2025-07-31
Form Type: 20-F
Source: 0001213900-25-069627
Chunk: 168

Company: Grande Group Ltd/HK
Filing Date: 2025-07-31
Form: 20-F
Item: Item 19
Chunk 168
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 not have reasonable certainty at lease inception that these options will be exercised. The Company generally considers
the economic life of its operating lease ROU asset to be comparable to the useful life of similarly owned assets. The Company has elected
the short-term lease exception, therefore operating lease ROU asset and liability do not include leases with a lease term of twelve months
or less. Its leases generally do not provide a residual guarantee. The operating lease ROU asset also excludes lease incentives. Lease
expense is recognized on a straight-line basis over the lease term. The Company also adopted the practical expedient that allows lessees
to treat the lease and non-lease components of a lease as a single lease component.

As of March 31, 2025 and 2024, there were
approximately $0.2million and $0.3million ROU assets and approximately $0.2million and $0.3million lease liability based
on the present value of the future minimum rental payments of leases, respectively. The Company’s management believes that using
the Hong Kong Dollar Prime Rate at5.88%,5.88% and5.25% during the years ended March 31, 2025, 2024 and 2023, was the most indicative rate of the
Company’s incremental borrowing cost for the calculation of the present value of the lease payments.

F-8

  GRANDE                                      
  GROUP LIMITED                               
  NOTES TO CONSOLIDATED FINANCIAL STATEMENTS  
  FOR THE YEARS ENDED MARCH                   
  31, 2025, 2024 and 2023                     
                                              
  (Stated                                     
  in US Dollars)                              
 ──────────────────────────────────────────────

NOTE
2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

The
Company evaluates the impairment of its ROU asset consistently with the approach applied for its other long-lived assets. The Company
reviews the recoverability of its long-lived assets when events or changes in circumstances indicate that the carrying value of the assets
may not be recoverable. The assessment of possible impairment is based on its ability to recover the carrying value of the assets from
the expected undiscounted future pre-tax cash flows of the related operations. As of March 31, 2025, 2024 and 2023, the Company
did not recognize any impairment loss against its ROU asset.

Commitments
and contingencies

From
time to time, the Company is a party