Company: GINT
Filing Date: 2025-05-16
Form Type: DRS/A
Source: 0001213900-25-044839
Chunk: 131

Company: Gifts International Holdings Ltd
Filing Date: 2025-05-16
Form: DRS/A
Chunk 131
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 the amendments are effective for fiscal years beginning after December 15, 2025. Early adoption is permitted for both interim and annual financial statements that have not yet been issued or made available for issuance. The Company is currently evaluating the potential impact of the adoption of ASU 2024 -02on its combined financial statements. In November 2024, the FASB issued ASU No. 2024 -03, Income Statement — Reporting Comprehensive Income — Expense Disaggregation Disclosures (Subtopic 220 -40): Disaggregation of Income Statement Expenses, which requires that an entity disclose, in the notes to financial statements, specified information about certain costs and expenses. The amendment in the ASU is intended to enhance the transparency and decision usefulness to better understand the major components of an entity’s income statement. The amendments in this Update are effective for annual reporting periods beginning after December15, 2026, and interim reporting periods beginning after December15, 2027. The Company is currently evaluating the impact of the new standard on its unaudited condensed consolidated and combined financial statements which is expected to result in enhanced disclosures. Except for the above -mentionedpronouncements, there are no new recently issued accounting standards that will have a material impact on the combined balance sheets, statements of operations and cash flows. Quantitative and Qualitative Disclosures about Market Risk Liquidity risk We are exposed to liquidity risk, which is the risk that we will be unable to provide sufficient capital resources and liquidity to meet our commitments and business needs. Our approach to managing liquidity is to ensure, as far as possible, that it will always have sufficient liquidity to meet its liabilities when due, under both normal and stressed conditions, without incurring unacceptable losses or risking damage to our Company’s reputation. When necessary, we will turn to other financial institutions to obtain short -termfunding to meet the liquidity shortage. Interest rate risk As of March 31, 2024 and September30, 2024, we had outstanding bank borrowings of approximately HK$7.3 million (US$0.9 million) and HK$6.6million (US$0.8million), respectively, which will be payable within one to five years. The bank borrowings bore an annual effective interest rate ranging from 2.76% to 3.63% per annum. We are exposed to cash flow interest rate risk through the changes in interest rates related mainly to our variable -ratesline of credit, short -termbank loans and bank balances.