Company: SEAH
Filing Date: 2025-11-24
Form Type: F-1/A
Source: 0001213900-25-113788
Chunk: 77

Company: Seahawk Recycling Holdings, Inc.
Filing Date: 2025-11-24
Form: F-1/A
Chunk 77
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 historical roll rate. In each year of the simulation, losses on the receivables are captured, and the ending delinquency stratification serves as the beginning point of the next iteration. The loss rate calculated for each delinquency stage is then adjusted for both current and forecasts of economic conditions. The management then applied the adjusted loss rate to respective receivables balance. For receivables from a third party, other receivables and other non -currentassets, we would consider factors such as the customer’s financial condition and liquidity, the customer’s willingness and ability to settle payment and historical and subsequent collections data on an individual basis. We also provide specific provisions for allowance when facts and circumstances indicate that the receivable is unlikely to be collected. Expected credit losses are included in general and administrative expenses in the consolidated statements of comprehensive income. After all attempts to collect a receivable have failed, the receivable is written off against the allowance. For the years ended March 31, 2025 and 2024, we recovered credit losses of US$11,333 and recognized expected credit losses of US$325,785, respectively. Estimated useful lives of long-lived assets Our long -livedassets primarily comprise assets utilized in our operations, including buildings, automobiles, patents, and other equipment. The long -livedassets, except land, have a finite useful life, which is based on the management’s best estimation. The estimated useful lives are as follows:

| Category                 |     | Estimated useful lives |
| Buildings                |     | 3 – 46 years           |
| Automobiles              |     | 2 – 6 years            |
| Land                     |     | Infinite               |
| Tools                    |     | 5 – 8 years            |
| Patent                   |     | 10 years               |
| Trademark license rights |     | 10 years               |
| Software                 |     | 5 years                |

50

Fair value measurement Accounting guidance defines fair value as the price that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. When determining the fair value measurements for assets and liabilities required or permitted to be recorded at fair value, we consider the principal or most advantageous market in which it would transact and it considers assumptions that market participants would use when pricing the asset or liability. Accounting guidance establishes a fair value hierarchy that requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value