Company: MAGH
Filing Date: 2025-06-25
Form Type: F-1/A
Source: 0001641172-25-016431
Chunk: 284

Company: Magnitude International Ltd
Filing Date: 2025-06-25
Form: F-1/A
Chunk 284
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675,837 |     |             573,506 |     |       760,846 |
| April 30, 2024           |     |                |     |                        |     |               |     |                     |     |               |
| Trade and other payables 
 (excluded GST payables)  |     |      3,794,636 |     |              3,794,636 |     |     3,794,636 |     |                   - |     |             - |
| Borrowings               |     |      1,648,029 |     |              1,949,132 |     |       499,592 |     |             652,574 |     |       796,966 |
| Total                    |     |      5,442,665 |     |              5,743,768 |     |     4,294,228 |     |             652,574 |     |       796,966 |

Market risk

Market risk is the risk that changes in market prices, such as interest rates and foreign exchange rates will affect the Group’s profit or loss. The objective of market risk management is to manage and control market risk exposures within acceptable parameters, while optimizing the return on risk.

Interest rate risk

Interest rate risk is the risk that the fair value or future cash flows of the Group’s financial instruments will fluctuate because of changes in market interest rates. The Group’s exposure to interest rate risk arises primarily from their borrowing.

The Group does not expect any significant effect on the Group’s profit or loss arising from the effects of reasonably possible changes to interest rates on interest-bearing financial instruments at the end of the year/period.

As at the end of the reporting period/year, if the interest rates had been 1% (April 30, 2024: 1%) higher/lower with all other variables held constant, the Group’s profit before income tax would have been approximately SGD16,000 (April 30, 2024: SGD16,000) lower/higher, arising mainly as a result of higher/lower interest expenses on floating rate borrowing. The assumed movement in basis points for interest rate sensitivity analysis is based on the currently observable market environment.

Foreign currency risk

The Group’s foreign exchange risk results mainly from cash flows from transactions denominated in foreign currencies. At present, the Group does not have any formal policy for hedging against currency risk. The Group ensures that the net exposure is kept to an