Company: JXG
Filing Date: 2025-05-15
Form Type: 20-F
Source: 0001213900-25-043744
Chunk: 134

Company: JX Luxventure Group Inc.
Filing Date: 2025-05-15
Form: 20-F
Item: Item 5
Chunk 134
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When the consideration in a contract includes
a variable amount, the amount of consideration is estimated to which the Company 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. Currently, the Company’s contracts do not include such variable amount.

When the contract contains a financing component
which provides the customer a significant benefit of financing the transfer of goods or services to the customer for more than one year,
revenue is measured at the present value of the amount receivable, discounted using the discount rate that would be reflected in a separate
financing transaction between the Company and the customer at contract inception. When the contract contains a financing component which
provides the Company a significant financial benefit for more than one year, revenue recognized under the contract includes the interest
expense accreted on the contract liability under the effective interest method. For a contract where the period between the payment by
the customer and the transfer of the promised goods or services is one year or less, the transaction price is not adjusted for the effects
of a significant financing component, using the practical expedient in IFRS 15. Currently, the Company’s contract with its customers
do not include financial benefit for more than one year.

Nature and timing of satisfaction of performance
obligations for each of the revenue streams are as follows:

Revenue from the sale of goods

Performance obligation is satisfied at the point
in time when control of the asset is transferred to the customer, generally on delivery and acceptance of the goods. The Company presents
revenues from such transactions on a gross basis in the consolidated statements of comprehensive loss, as the Company acts as a principal
to take inventory risks of these goods.

Revenue from the sale of Tourism Package

Performance obligation is satisfied when the tourism
package is completed, generally when the tour group successfully returned from the tour destination to the place of origination. The Company
presents revenues from such transactions on a gross basis in the consolidated statements of comprehensive loss, as the Company acts as
a principal to provide a package of tourism services and take a full obligation to provide such services even if the suppliers are not
able to deliver service.

Revenue from reselling of airline tickets

The Company is a reseller of airline tickets,
it provides value-added services to its customers including guaranteed flight replacement and