Company: MAGH
Filing Date: 2025-09-15
Form Type: 20-F
Source: 0001493152-25-013424
Chunk: 155

Company: Magnitude International Ltd
Filing Date: 2025-09-15
Form: 20-F
Item: Item 19
Chunk 155
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──────────────────────────────────────────────────────────────────────
  Contract assets                                                     3,422,121                          4,210,736                          3,225,629  
  Less: Allowance for expected credit losses                            ( 3,303                           ( 18,117                           ( 13,879  
  Contract assets                                                     3,418,818                          4,192,619                          3,211,750  
  Contract liabilities                                                  581,767                            153,113                            117,292  

Contract
assets

Amounts
of contract assets represent the Group’s rights to considerations from customers for the provision of construction services, which
arise when: (i) the Group completed the relevant services under such contracts; and (ii) the customers withhold certain amounts payable
to the Group as retention money to secure the due performance of the contracts for a period of generally 12 months (defect liability
period) after completion of the relevant works. Any amount previously recognized as a contract asset is reclassified to trade receivables
at the point at which it becomes unconditional and is invoiced to the customer.

The
Group’s contract assets are analyzed as follows:

Schedule
of contract assets

                             April 30, 2024                     April 30, 2025                     April 30, 2025                 
                             SGD                                SGD                                USD                            
 ──────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────
  Retention receivables                          1,839,910                          1,204,920                            923,027  
  Others *                                       1,578,908                          2,987,699                          2,288,723  
  Contract assets                                3,418,818                          4,192,619                          3,211,750  

  It represents the                                                                                                                      

MAGNITUDE
INTERNATIONAL LTD AND ITS SUBSIDIARIES

NOTES
TO THE CONSOLIDATED FINANCIAL STATEMENTS

  Contract                        
  assets/liabilities (Continued)  
 ──────────────────────────────────

Contract
assets

The
Group’s contract assets include retention receivables to be settled, based on the expiry of the defect liability period of the
relevant contracts or in accordance with the terms specified in the relevant contracts, at the end of the reporting period. The balances
are classified as current as they are expected to be received within the Group’s normal operating cycle.

The increase