Hong Kong IPO disclosure precedents · 46 companies, 46 items
Impairment of property, plant and equipment, such as production machinery or lines rendered obsolete by declining market demand, with disclosure of impairment charges and recoverable amounts.
Given our prolonged period of overall losses, there are indications of impairment.
Financial Information · p. 299
The company's explanation, the adviser's view and the page in the filing: see MattersAccording to the impairment test results, the recoverable amount of the CGU was larger than the carrying amount of the non-current assets at the end of each reporting period, thus no impairment was required.
Financial Information · p. 299
Given that we sustained losses throughout the Track Record Period as we were still at the stage of expanding our business and operations in the rapidly growing audiovisual PaaS market, and are continuously investing in research and development, indicating potential impairment of our non-financial assets (including property, plant and equipment, right-of-use assets and intangible assets), we carried out impairment testing at the end of each reporting period.
Financial Information · p. 385
In addition, we engaged an independent external valuer to assess the recoverable amount of the CGU and leveraged our experiences in the audiovisual PaaS industry and provided forecast based on past performance and their expectation of future business plans and market developments.
Financial Information · p. 385
The company's explanation, the adviser's view and the page in the filing: see MattersBased on the assessment result, value in use is greater than carrying amounts of property, plant and equipment, right-of-use assets and intangible assets, hence, no impairment was recognized.
Financial Information · p. 386
Changes in the key assumptions, including the pre-tax discount rate, terminal growth rate and expected changes in revenues and costs in the discounted cash flow projections, could materially affect the recoverable amounts.
Financial Information · p. 325
Our management considered there was indication (i.e. operating loss) for impairment for these property and equipment and right-of-use assets for the three years ended 31 March 2023 and the six months ended 30 September 2023 and prepared discounted cash flow projections for Trans World Austria based on the financial budget approved by the management of our Group and engaged an independent professional valuer to conduct impairment assessment on their recoverable amount of property and equipment and right-of-use assets.
Financial Information · p. 325
The company's explanation, the adviser's view and the page in the filing: see MattersThe carrying amounts of the property and equipment related to Trans World Austria as at 31 March 2021, 2022, 2023 and 30 September 2023 were approximately HK$32.8 million, HK$28.1 million, HK$24.4 million and HK$21.5 million respectively, after taking into account the accumulated impairment of HK$53.2 million, HK$54.7 million, HK$54.7 million and HK$51.7 million respectively.
Financial Information · p. 325
In December 2022, we entered into an agreement pursuant to which we planned to sell certain containers to an independent third-party buyer before December 2023.
Financial Information · p. 366
We recorded impairment losses on asset held for sale of RMB36.5 million in 2022 from writing down the carrying values of the underlying containers to their fair values less expected costs to sell.
Financial Information · p. 366
The company's explanation, the adviser's view and the page in the filing: see MattersThe decrease was primarily due to (i) an increase in administrative expenses in 2022, mainly as a result of the listing expenses incurred, and (ii) the impairment losses on assets held for sale recorded in 2022 relating to our containers to be disposed of.
Summary · p. 24
Given the continuous losses incurred in our business operations during the Track Record Period, we concluded that there was an indication for impairment and therefore performed impairment assessment on our property, plant and equipment, right-of-use assets and intangibles assets.
Financial Information · p. 266
The recoverable amount of cash-generating unit has been determined based on a value in use calculation. That calculation uses cash flow projections based on financial budgets approved by our management covering the next five years with pre-tax discount rates of 16%, 16% and 16% as of 31 December 2020, 2021 and 2022, respectively.
Financial Information · p. 266
The company's explanation, the adviser's view and the page in the filing: see MattersBased on the result of the assessment, we determined that the recoverable amounts of all cashgenerating units are higher than the corresponding carrying amounts as of 31 December 2020, 2021 and 2022. Therefore, no impairment loss was recognised in 2020, 2021 and 2022.
Financial Information · p. 267
Our loss on written-off of rental computer devices was RMB12.6 million, RMB6.8 million and RMB22.8 million, for the years ended December 31, 2020, 2021 and 2022, respectively, representing 1.0%, 0.4% and 1.6% of the total carrying amount of our self-owned rental computer devices as of December 31, 2020, 2021, and 2022, respectively.
Financial Information · p. 271
For example, we recorded an increased loss on written-off of rental computer devices in 2022 primarily because certain of our customers had operational difficulties with an increased amount of incidents such as lay-offs and closure, leading to an increase in the number of incidents of damage or loss of our devices during the same time.
Business · p. 227
The company's explanation, the adviser's view and the page in the filing: see MattersIn order to mitigate the risk, we have adopted strict asset management policies to monitor and control our devices throughout their life cycle, including conducting company search, litigation search and credit search against new customers, as well as on-site visits to verify customers' status and IT needs.
Business · p. 227