Company: GCL
Filing Date: 2025-03-17
Form Type: DRS
Source: 0001213900-25-024502
Chunk: 302

Company: GCL Global Holdings Ltd
Filing Date: 2025-03-17
Form: DRS
Chunk 302
---
 or omitted pursuant to such rules and
regulations. The results of operations for the six months ended September 30, 2024 and 2023 are not necessarily indicative of results
to be expected for the full year of 2025 and 2024, respectively. Accordingly, these unaudited condensed consolidated financial statements
should be read in conjunction with the Company’s audited consolidated financial statements as of and for the years ended March 31,
2024 and 2023.

The
unaudited condensed consolidated financial statements include the financial statements of the Company and its subsidiaries. All transactions
and balances among the Company and its subsidiaries have been eliminated upon consolidation.

A
subsidiary is an entity in which the Company, directly or indirectly, controls more than one half of the voting power; or has the power
to govern the financial and operating policies, to appoint or remove the majority of the members of the board of directors, or to cast
a majority of votes at the meeting of directors.

The
preparation of the unaudited condensed consolidated financial statements in conformity with U.S. GAAP requires management to make estimates
and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities as of
the date of the unaudited condensed consolidated financial statements and the reported amounts of revenues and expenses during the periods
presented. Significant accounting estimates reflected in the Company’s unaudited condensed consolidated financial statements include
estimates of allowances for doubtful accounts, reserve for excess and obsolete inventory, estimates of impairments of long-lived assets
and goodwill, valuation of deferred tax assets and contingent consideration for acquisition. Actual results could differ from these estimates,
and as such, differences may be material to the unaudited condensed consolidated financial statements.

Transactions
denominated in currencies other than the functional currency are translated into the functional currency at the exchange rates prevailing
at the dates of the transaction. Monetary assets and liabilities denominated in currencies other than the functional currency are translated
into the functional currency using the applicable exchange rates at the balance sheet dates. The resulting exchange differences are recorded
in the consolidated statements of operation and comprehensive loss.

The
reporting currency of the Company is United States Dollars (“US$”) and the accompanying financial statements have been expressed
in US$. The Company’s subsidiaries in Singapore, Hong Kong, Malaysia, China, Brazil, and Dubai conduct their businesses and maintain
their books and records in US$, or local currencies of Singapore Dollars (“SGD”), Hong Kong Dollar (“HK