Company: MAGH
Filing Date: 2025-01-02
Form Type: DRS
Source: 0001493152-25-000010
Chunk: 70

Company: Magnitude International Ltd
Filing Date: 2025-01-02
Form: DRS
Chunk 70
---
                      - |
| >120 days           |     |      33,447 |     | (23,739 | ) |     |                  9,708 |     |                  7,119 |
|                     |     |   1,484,757 |     | (59,582 | ) |     |              1,425,175 |     |              1,045,155 |

We have a policy for determining the allowance for impairment based on the evaluation of collectability and aging analysis of trade receivable and on management’s judgement, including the change in credit quality, the past collection history of each customer and the current market condition.

The loss allowance for trade receivable related to a general provision for accounts receivable applying the simplified approach to providing for expected credit loss(es) (the “ECL(s)”). Credit risk grades are defined using qualitative and quantitative factors that are indicative of the risk of default. An ECL rate is calculated based on historical loss rates of the industry in which our customers operate and ageing of the trade receivable.

| 57 |

Trade payables

The general credit terms from our major suppliers are payment within 45 days or more. Our trade payables decreased from S$2,847,790 as of April 30, 2023 to S$2,614,237 as of April 30, 2024. We generally pay our trade payables within 45 to 90 days of receipt of invoices or by due date stated on the invoices.

We did not have any material default in payment of trade payables during the financial year ended April 30, 2023 and financial year ended April 30, 2024.

Material Cash Requirements

Our cash requirements consist primarily of day-to-day operating expenses, capital expenditures and contractual obligations with respect to facility leases and other operating leases. We lease some of our office facilities. We expect to make future payments on existing leases from cash generated from operations. We have credit available extended from our major vendors and we can pay the majority of our inventory purchases before or on the due date stated on the invoices, which further help us to manage our cash flow more efficiently.

We have the following contractual obligation and lease commitments as of April 30, 2024:

The table below summarizes the maturity
profile of the Group’s financial liabilities as of the date indicated based on contractual undiscounted repayments obligations:

| April 30, 2024           |     | Carrying value 
 SGD            |           |     |