Leases |
7. Leases
Amounts recognized in the consolidated statements of financial position:
| |
As of December 31, 2023 | | |
As of December 31, 2024 | |
| |
MYR | | |
MYR | | |
USD | |
Right-of-use assets | |
| | | |
| | | |
| | |
- Non-current | |
| 2,141,293 | | |
| 2,277,208 | | |
| 509,498 | |
| |
| | | |
| | | |
| | |
Lease liabilities | |
| | | |
| | | |
| | |
- Non-current | |
| 1,757,179 | | |
| 2,095,605 | | |
| 468,868 | |
- Current | |
| 459,849 | | |
| 397,705 | | |
| 88,982 | |
| |
| 2,217,028 | | |
| 2,493,310 | | |
| 557,850 | |
The analysis of the net book value of right-of-use assets by class
of underlying assets are as follows:
| |
Property | | |
Farm | | |
Total | |
| |
MYR | | |
MYR | | |
MYR | |
| |
(note (i)) | | |
(note (ii)) | | |
| |
Cost | |
| | | |
| | | |
| | |
As of January 1, 2023 | |
| – | | |
| 136,880 | | |
| 136,880 | |
Additions | |
| 2,352,677 | | |
| – | | |
| 2,352,677 | |
Derecognition | |
| – | | |
| (136,880 | ) | |
| (136,880 | ) |
As of December 31, 2023 and January 1, 2024 | |
| 2,352,677 | | |
| – | | |
| 2,352,677 | |
Additions | |
| 616,029 | | |
| – | | |
| 616,029 | |
As of December 31, 2024 | |
| 2,968,706 | | |
| – | | |
| 2,968,706 | |
As of December 31, 2024 (USD) | |
| 664,213 | | |
| – | | |
| 664,213 | |
| |
| | | |
| | | |
| | |
Accumulated depreciation | |
| | | |
| | | |
| | |
As of January 1, 2023 | |
| – | | |
| 111,992 | | |
| 111,992 | |
Charge for the year | |
| 211,384 | | |
| 24,888 | | |
| 236,272 | |
Derecognition | |
| – | | |
| (136,880 | ) | |
| (136,880 | ) |
As of December 31, 2023 and January 1, 2024 | |
| 211,384 | | |
| – | | |
| 211,384 | |
Charge for the year | |
| 480,114 | | |
| – | | |
| 480,114 | |
As of December 31, 2024 | |
| 691,498 | | |
| – | | |
| 691,498 | |
As of December 31, 2024 (USD) | |
| 154,715 | | |
| – | | |
| 154,715 | |
| |
| | | |
| | | |
| | |
Net book value | |
| | | |
| | | |
| | |
As of January 1, 2023 | |
| – | | |
| 24,888 | | |
| 24,888 | |
As of December 31, 2023 and January 1, 2024 | |
| 2,141,293 | | |
| – | | |
| 2,141,293 | |
As of December 31, 2024 | |
| 2,277,208 | | |
| – | | |
| 2,277,208 | |
As of December 31, 2024 (USD) | |
| 509,498 | | |
| – | | |
| 509,498 | |
Notes:
(i) | Property - right-of-use assets |
The Group leases three properties (2023:
two) to place CEA vertical farms and office with two of the leases with lease term of three years and a lease with a lease term of two
years (2023: three years). For all three leases, the Company has the option to renew the lease for another three years.
(ii) | Farm - right-of-use assets |
In 2021, the Group sold a CEA vertical
farm to a customer and later leased back the farm from the customer with a lease term of 2 years. The transactions are accounted as a
sale-and-leaseback transaction under IFRS 16. There is no option to renew and the lease ended in April 30, 2023. The analysis of expense items in relation to leases recognized in profit
or loss is as follows:
|
|
For the year ended December 31, | |
|
|
2023 | | |
2024 | |
|
|
MYR | | |
MYR | | |
USD | |
Depreciation charge on property right-of-use assets |
|
| 211,384 | | |
| 480,114 | | |
| 107,420 | |
Depreciation charge on farm right-of-use assets |
|
| 24,888 | | |
| – | | |
| – | |
|
|
| 236,272 | | |
| 480,114 | | |
| 107,420 | |
Interest on lease liabilities (note 21) |
|
| 124,157 | | |
| 253,389 | | |
| 56,693 | |
The following tables show the remaining contractual
maturities of the Group’s lease liabilities at the end of the reporting periods:
| |
As of December 31, 2023 | |
| |
Present value of the minimum lease payment | | |
Total minimum lease payments | |
| |
MYR | | |
MYR | |
Within 1 year | |
| 459,849 | | |
| 485,136 | |
More than 1 year but within 2 years | |
| 416,261 | | |
| 485,136 | |
More than 2 years but within 5 years | |
| 1,186,110 | | |
| 1,686,256 | |
More than 5 years | |
| 154,808 | | |
| 261,768 | |
| |
| 2,217,028 | | |
| 2,918,296 | |
Less: total future interest expenses | |
| | | |
| (701,268 | ) |
Present value of lease liabilities | |
| | | |
| 2,217,028 | |
| |
As of December 31, 2024 | |
| |
Present value of the minimum lease payments | | |
Present value of the minimum lease payments | | |
Total minimum lease payments | | |
Total minimum lease payments | |
| |
MYR | | |
USD | | |
MYR | | |
USD | |
Within 1 year | |
| 397,705 | | |
| 88,982 | | |
| 629,136 | | |
| 140,762 | |
More than 1 year but within 2 years | |
| 501,018 | | |
| 112,097 | | |
| 689,248 | | |
| 154,211 | |
More than 2 years but within 5 years | |
| 1,594,587 | | |
| 356,771 | | |
| 1,805,975 | | |
| 404,067 | |
| |
| 2,493,310 | | |
| 557,850 | | |
| 3,124,359 | | |
| 699,040 | |
Less: total future interest expenses | |
| | | |
| | | |
| (631,049 | ) | |
| (141,190 | ) |
Present value of lease liabilities | |
| | | |
| | | |
| 2,493,310 | | |
| 557,850 | |
Details of total cash outflow for leases and the
future cash outflows arising from leases are set out in note 11(b) and note 15(c) respectively.
|