| LEASES |
NOTE 11 — LEASES
The Group’s leasing
activities primarily consist of operating leases for its offices with terms ranging from 1 to 6 years. There were no material changes
to the Group’s lease accounting policy during the six months ended January 31, 2026. The Group’s right-of-use assets and lease
liabilities as of January 31, 2026 and July 31, 2025 are as follows:
| | |
As of | |
| | |
January 31,
2026
(Unaudited) | | |
July 31,
2025 | |
| Operating lease right-of-use assets | |
$ | 7,415,273 | | |
$ | 6,782,354 | |
| | |
| | | |
| | |
| Operating lease liabilities - current | |
$ | 4,343,563 | | |
$ | 2,728,326 | |
| Operating lease liabilities - noncurrent | |
| 3,142,682 | | |
| 4,222,089 | |
| Total lease liabilities | |
$ | 7,486,245 | | |
$ | 6,950,415 | |
The weighted-average remaining
lease term and the weighted-average discount rate of leases are as follows:
| | | As of | | | | | January 31,
2026 (Unaudited) | | | July 31,
2025 | | | Remaining lease term and discount rate: | | | | | | | | Weighted average remaining lease term (years) | | | 3.39 | | | | 3.84 | | | Weighted average discount rate | | | 3.40 | % | | | 2.55 | % |
During the six months ended
January 31, 2026 and 2025, the Company incurred total operating lease expenses of $2,208,699 and $1,056,633, respectively.
The following table summarizes
the maturity of operating lease liabilities as of July 31, 2025:
| | |
Amount | |
| For the twelve months ending January 31, | |
| |
| 2027 | |
$ | 1,605,030 | |
| 2028 | |
| 2,338,523 | |
| 2029 | |
| 1,656,150 | |
| 2030 | |
| 1,353,880 | |
| 2031 | |
| 795,077 | |
| After 2031 | |
| 216,839 | |
| Total lease payments | |
| 7,965,499 | |
| Less: imputed interest | |
| (479,254 | ) |
| Total lease liabilities | |
$ | 7,486,245 | |
Supplemental cash flow information
related to leases for the six months ended January 31, 2026 and 2025 is as follows:
| | |
For the Six Months Ended January 31, | |
| | |
2026 (Unaudited) | | |
2025 (Unaudited) | |
| Cash paid for amounts included in the measurement of lease liabilities: | |
| | |
| |
| Payments for operating leases included in cash from operating activities | |
$ | 1,450,936 | | |
$ | 1,174,328 | |
| Supplemental disclosures of non-cash activities: | |
| | | |
| | |
| Obtaining right-of-use assets in exchange for operating lease liabilities | |
$ | 2,282,775 | | |
$ | 1,126,466 | |
|