v3.26.1
Right-of-use assets
12 Months Ended
Dec. 31, 2025
Right-of-use assets

 

13. Right-of-use assets

 

   Leased 
   properties 
   HK$ 
     
Cost     
      
January 1, 2024   195,013,742 
      
Additions   26,786,998 
Modification   16,222,827 
Written-off   (15,023,753)
Exchange adjustments   (1,964)
      
December 31, 2024   222,997,850 
      
Additions   29,572,601 
Modification   (1,012,044)
Written-off   (53,686,786)
      
December 31, 2025   197,871,621 
      
Accumulated amortisation     
      
January 1, 2024   126,893,389 
      
Charge for the year   44,562,079 
Written-off   (15,023,753)
Exchange adjustments   (1,663)
      
December 31, 2024   156,430,052 
      
Charge for the year   38,968,788 
Written-off   (53,686,786)
      
December 31, 2025   141,712,054 
      
Impairment     
      
January 1, 2024   - 
         
Provision     5,013,080  
         
December 31, 2024     5,013,080   
      
Provision   4,102,040 
      
December 31, 2025   9,115,120 
      
Net carrying amount     
      
December 31, 2025   47,044,447 
      
December 31, 2024   61,554,718 
      
Net carrying amount (US$)     
December 31, 2025   6,044,280 

 

During the year, an impairment loss of HK$4,102,040 (2024: HK$5,013,080) was recognised. The Group has identified that its right-of-use assets constitutes a cash-generating unit that has been reporting persistent operating losses over 2 consecutive reporting periods. This sustained underperformance triggered a formal impairment assessment and a partially or fully impairment loss has been made on the net carrying amount of assets.

 

 

MasterBeef Group and its subsidiaries

 

 

 

Notes to the Consolidated Financial Statements (Continued)

December 31, 2025, 2024 and 2023

 

 

 

13. Right-of-use assets (continued)

Schedule of detailed information about lease liabilities and short term leases

   2025   2025   2024 
   US$   HK$   HK$ 
             
Expenses relating to short-term leases   373,687    2,908,520    1,499,771 
                
Variable lease payments not included in the measurement of lease liabilities   31,799    247,502    271,808 
                
Expenses relating to leases of low-value assets, excluding short-term leases of low value assets   1,931    15,026    7,295 
                
Total cash outflow for leases #   6,427,709    50,028,785    56,257,499 

 

#Amount includes payments of principal and interest portion of lease liabilities, short-term leases, variable lease payments and expenses related to leases of low-value assets.

 

For both years, the Group leases various offices and warehouses for its operations. Lease contracts are entered into for fixed term of 2 to 5 years. Lease terms are negotiated on an individual basis.