Company: VCIG
Filing Date: 2025-05-13
Form Type: 20-F
Source: 0001213900-25-042476
Chunk: 142

Company: VCI Global Ltd
Filing Date: 2025-05-13
Form: 20-F
Item: Item 19
Chunk 142
---
 consultancy. The revenues generated
from business strategy consultancy services are generally based on the fixed fee billing arrangements that require the clients to pay
a pre-established fee in exchange for a predetermined set of professional services. The clients agree to pay a fixed fee periodically
over the contract terms as specified in the service agreements.

Our contracts for listing advisory for IPO services are typically within
12 to 18 months in duration. Revenue is recognised over time. When contractual billings represent an amount that corresponds directly
with the value provided to the client, revenues are recognised as amount become billable in accordance with the contract terms. Revenues
from fixed-priced contracts are generally recognised using costs incurred to date relative to total estimated costs at completion to measure
progress toward satisfying the Company performance obligations. Incurred cost represents work performed, which corresponds with, and thereby
best depicts, the transfer of control to the client.

When the Company is acting as a principal,
the Company accounts for the revenue generated from IPO services on a gross basis as the Company is primarily responsible for fulfilling
the promise to provide the specified services to customer, which the Company has control over the services rendered and also obtain substantially
all the benefits. In making this determination, the Company assesses whether it is primarily obligated in these transactions, is subject
to credit risk, has latitude in establishing prices, or has met several but not all of these indicators in accordance with IFRS 15. The
Company determined that it is primarily responsible for fulfilling the promised service as the Company has contractual obligation to engage
various professional parties involved in the IPO, as well as settlement of professional fees to these professional parties.

For non-IPO services such as advisory
and solutions, investors relations and boardroom strategies consultancy, revenue is recognized at a point in time when services has been
rendered and accepted by customers, and there is no unfulfilled obligation from the Company.

No element of financing is deemed present
as typical payment term is 30 days from the date of issuance of invoice.

  Technology Development  

Technology development primarily included digital development, fintech
solutions and software solutions.

The contract is typically fixed priced
and does not provide any post-contract client support or upgrades. The Company designs system based on clients’ specific needs which
require the Company to perform services including design/redesign, development, and integration. These services also require significant
customization. Upon delivery of the services, client acceptance is generally required. The Company assesses that software development
services are considered as a