Company: OTSA
Filing Date: 2025-05-23
Form Type: DRS/A
Source: 0001213900-25-047247
Chunk: 313

Company: OTSAW Ltd
Filing Date: 2025-05-23
Form: DRS/A
Chunk 313
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 and the Company do not intend to early adopt any of the above new/revised standards, interpretations and amendments to the existing standards. Management anticipates that the adoption of the aforementioned revised/new standards will not have a material impact on the unaudited condensed consolidated financial statements of the Group in the period of their initial adoption. 2.2 Going concern The six months unaudited condensed consolidated financial statements of the Group and Company have been prepared on a going concern basis notwithstanding the net current liabilities of USD 12,399,036 and USD 10,012,865 respectively as of October 31, 2024 and April 30, 2024. The Group also incurred a net loss before tax of USD 3,289,473 and net operating cash outflow of USD 1,545,967 and USD 757,476 for the six months then ended October 31, 2024 and 2023. The Group has incurred recurring losses and has accumulated losses of $25,108,914 as of October 31, 2024. These factors indicate the existence of material uncertainty which may cast significant doubt over the Group’s ability to continue as going concerns. The ability of the Group to continue as going concern is dependent on the undertaking of its shareholder and CEO, Mr Ting Ling Ming, to provide continuing financial support to enable the Group to meet their liabilities as and when they fall due. 2.3 Basis of consolidation The unaudited condensed consolidated financial statements of the Group comprise the financial statements of the Company and its subsidiaries. Subsidiaries are entities (including structured entities) (i) over which the Group has power and the Group is (ii) able to use such power to (iii) affect its exposure, or rights, to variable returns from then through its involvement with them. The Group reassesses whether it controls the subsidiaries if facts and circumstance indicate that there are changes to the one or more of the three elements of control. When the Group has less than a majority of the voting rights of an investee, it still has power over the investee when the voting rights are sufficient, after considering all relevant facts and circumstances, to give it the practical ability to direct the relevant activities of the investee unilaterally. The Group considers, among others, the extent of its voting rights relative to the size and dispersion of holdings of the other vote holders, currently exercisable substantive potential voting rights held by all parties, rights arising from contractual arrangements and voting patterns at previous shareholders’ meetings. Subs