Company: MAGH
Filing Date: 2025-09-15
Form Type: 20-F
Source: 0001493152-25-013424
Chunk: 80

Company: Magnitude International Ltd
Filing Date: 2025-09-15
Form: 20-F
Item: Item 5
Chunk 80
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 61 days to 90 days        47,718      (20,440       27,278      20,896                  
  91 days to 120 days            -            -            -      -                       
  >120 days                 15,103      (15,103            -      -                       
                           996,732      (49,855      946,877      725,353                 

  49  

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.

Trade
payables

The
general credit terms from our major suppliers are payment within 45 days or more. Our trade payables were S$2,847,790 as of April 30,
2023, S$2,614,237 as of April 30, 2024 and S$2,466,430 as of April 30, 2025. 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, 2024 and
2025.

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 and April 30, 2025:

The
table below summarizes the maturity profile of the Group’s