Company: CHOW
Filing Date: 2025-02-28
Form Type: DRS/A
Source: 0001493152-25-008591
Chunk: 244

Company: ChowChow Cloud International Holdings Ltd
Filing Date: 2025-02-28
Form: DRS/A
Chunk 244
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 time as the Company satisfies its obligation to provide updates and technical support.

IT Professional Services

IT professional services relate to IT system setup, development, customization or integration services. These services represent stand-alone performance obligations, and revenue is recognized upon the completion of the services, when the customer gains the ability to use the system and benefit from the services provided by the Company.

Revenue from IT professional services is recognized at a point in time upon the completion of services. This determination is based on the following considerations under ASC 606-10-25-27:

| 1. | Simultaneous                                                                                                                              
 Receipt and Consumption: The customer does not simultaneously receive and consume the                                                     
 benefits of the IT professional services as they are performed. The services are delivered                                                
 as a complete solution, and the customer derives value only upon full completion.                                                         |
| 2. | Creation                                                                                                                                  
 or Enhancement of Customer-Controlled Asset: The services provided do not create or enhance an asset that the customer controls           
 as the services are performed. The customer does not gain control until the services are completed.                                       |
| 3. | No                                                                                                                                        
 Alternative Use and Enforceable Right to Payment: While the deliverables are tailored                                                     
 to customer-specific requirements, they do not meet the “no alternative use” criterion                                                    
 because, in practice, the Company can reconfigure partially completed deliverables for other                                              
 projects, albeit with additional effort.                                                                                                  
 More importantly, the Company does not have an enforceable right to                                                                       
 payment for performance completed to date. Engagement letters typically permit termination at any time without penalty, and payment terms 
 do not obligate the customer to pay for partially completed work.                                                                         |

Accordingly, control is transferred to the customer at a point in time, and revenue is recognized at that time.

| F-50 |

Contracts with Multiple Promises

The Company frequently enters into contracts with customers that contain multiple promises, including hardware, software, IT application licenses, and IT professional services. To determine whether these promises are distinct within the context of the contract, the Company applies the guidance in ASC 606-10-25-19 through 25-22, which requires an assessment of whether:

| 1. | The                                                                                       
 customer can benefit from the good or service on its own or with other readily available  
 resources; and                                                                            |
| 2. | The                                                                                       
 promise to transfer the good or service is separately identifiable from other promises in 
 the contract.                                                                             |

A promised good or service is not