Company: MAGH
Filing Date: 2025-01-02
Form Type: DRS
Source: 0001493152-25-000010
Chunk: 66

Company: Magnitude International Ltd
Filing Date: 2025-01-02
Form: DRS
Chunk 66
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43.9% from S$47,363 for the financial year ended April 30, 2023 to S$68,167 for the financial year ended April 30, 2024. The increase was mainly attributable to a rise in interest rate and additional bank loans of S$400,000 that were taken during the financial year ended April 30, 2024.

Income Tax Expenses

The provisions for income taxes were S$116,373 and S$87,888 for the financial years ended April 30, 2023 and April 30, 2024, respectively. The effective tax rate, calculated as income tax divided by profit before income tax was approximately 4.6% for the financial year ended April 30, 2023 and approximately 0.8% for the financial year ended April 30, 2024 which were low compared to the statutory tax rate of 17%, mainly due to the utilization of prior years’ unutilized capital allowance and trade losses.

Net Income

As a result of the foregoing, our net income amounted to S$783,735 and S$2,007,469 for the twelve months ended April 30, 2023 and 2024, respectively.

Liquidity and Capital Resources

As of April 30, 2023, our cash balances amounted to approximately S$1,613,282, our current assets were S$8,166,597, and our current liabilities were S$7,812,982. For the financial year ended April 30, 2023, we generated profit for the financial year of S$783,735 with net operating cash inflows of S$996,128.

As of April 30, 2024, our cash balances amounted to approximately S$1,868,461, our current assets were S$7,077,663, and our current liabilities were S$4,956,233. For the financial year ended April 30, 2024, we generated profit for the financial year of S$2,007,469 with net operating cash inflows of S$609,817.

In assessing our liquidity, we believe that our current cash and cash flows provided by operating activities and guaranteed loans from banks, will be sufficient to meet our working capital requirements and debt obligations in the 12 months following the date on which our audited financial statements are issued. However, if we experience an adverse operating environment or incur unanticipated capital expenditures, or if we decided