Company: OTSA
Filing Date: 2025-07-16
Form Type: F-1/A
Source: 0001213900-25-064434
Chunk: 342

Company: OTSAW Ltd
Filing Date: 2025-07-16
Form: F-1/A
Chunk 342
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 the contract is, or contains, a lease. A contract is, or contains, a lease if the contract conveys the right to control the use of an identified asset for a period of time in exchange for consideration. Where a contract contains more than one lease component, the Group allocates the consideration in the contract to each lease component on the basis of the relative standalone price of the lease component. Where the contract contains non -leasecomponents, the Group applied the practical expedient to not to separate non -leasecomponents from lease components, and instead account for each lease component and any associated non -leasecomponents as a single lease component. F-59 OTSAW LIMITED AND ITS SUBSIDIARIES
NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
FOR THE SIX MONTHS ENDED OCTOBER 31, 2024 AND 2023 2.Summary of significant accounting policies (cont.) The Group recognises a right -of -useasset and lease liability at the lease commencement date for all lease arrangement for which the Group is the lessee, except for leases which have lease term of 12 months or less and leases of low value assets for which the Group applied the recognition exemption allowed under IFRS 16 Leases. For these leases, the Group recognises the lease payment as an operating expense on a straight -linebasis over the term of the lease. The right -of -useasset is initially measured at cost, which comprises the initial amount of the lease liability adjusted for any lease payments made at or before the commencement date, less any lease incentives received, plus any initial direct costs incurred and an estimate of costs to dismantle and remove the underlying asset or to restore the underlying asset or the site on which it is located. The right -of -useasset is subsequently depreciated using the straight -linemethod from the commencement date to the end of the lease term. When the lease transfers ownership of the underlying asset to the Group by the end of the lease term or the cost of the right -of -useasset reflects that the Group will exercise a purchase option, the right -of -useasset will be depreciated over the useful life of the underlying asset, which is determined on the same basis as those of property, plant and equipment. The right -of -useasset is also reduced by impairment losses, if any, and adjusted for certain remeasurements of the lease liability, where applicable. Right -of -useassets are presented within