v3.26.1
Right-of-use assets and operating lease liabilities
 6 Months Ended
Mar. 31, 2026
Right-of-use Assets And Operating Lease Liabilities  
Right-of-use assets and operating lease liabilities

 

6 Right-of-use assets and operating lease liabilities

 

The Company determines if a contract contains a lease at inception. US GAAP requires that the Company’s leases be evaluated and classified as operating or finance leases for financial reporting purposes. The classification evaluation begins at the commencement date and the lease term used in the evaluation includes the non-cancellable period for which the Company has the right to use the underlying asset, together with renewal option periods when the exercise of the renewal option is reasonably certain and failure to exercise such option which results in an economic penalty.

 

As of March 31, 2026, the Company had six office premise lease agreements with lease terms ranging from one to five years, respectively. The Company’s lease agreements do not contain any material residual value guarantees or material restrictive covenants. Upon adoption of ASU 2016-02, no right-of-use (“ROU”) assets nor lease liability was recorded for the lease with a lease term with one year.

 

 

As of March 31, 2026, the Company had the following non-cancellable lease contracts.

 

Description of lease   Lease term
Office premise, Unit 1002B2-22, 10/F, Sunbeam Centre, 27 Shing Yip Street, Kwun Tong, Kowloon, Hong Kong.   2 years (expired in August 2025)
Office premise, Room 1903 ( Part ), No.1701, West Beijing Road, Jing ‘an District, Shanghai   3 years
Office premise, 3 Shenton Way, #23-01, Shenton House, Singapore 068805.   1 year 3 months (expired in November 2024)
Office premise, 3 Shenton Way, #09-05, Shenton House, Singapore 068805.   2 years 6 months
Office premise, 16 Raffles Quay, #30-01/02, Hong Leong Building, Singapore 048581.   3 years 4 months
Office premise, 23B, 2-8 Scrutton Street, London EC2A 4RJ.   5 years
Office premise, 23A, 2-8 Scrutton Street, London EC2A 4RJ.   5 years
Office premise, Room No.901, 9/F Nan Fung Tower, 88 Connaught Road, Central, Hong Kong.   3 years

 

  (a) Amount recognized in the consolidated balance sheet:

 

  

As of
March 31, 2026

  

As of
September 30, 2025

 
   US$   US$ 
Right-of-use assets   838,354    721,176 
Lease liabilities          
Current   359,899    300,824 
Non-current  465,132    407,622 
Lease liabilities   825,031    708,446 

 

  (b) A summary of operating lease expenses recognized in the Company’s consolidated statements of operations is as follows:

 

   2026   2025 
   Six months ended March 31, 
   2026   2025 
   US$   US$ 
Amortization of right-of-use assets   172,178    36,424 
Interest of lease liabilities   19,615    2,238 
Total operating lease expenses   191,793    38,662 

 

Cash flow information related to leases consists of the following:

 

   2026   2025 
   Six months ended March 31, 
   2026   2025 
   US$   US$ 
Cash paid for amounts included in the measurement of lease liabilities:        
Operating cash flows from operating leases   192,002    34,337 

 

 

Lease commitment

 

Future minimum lease payments under non-cancellable operating lease agreements as of March 31, 2026 were as follows:

 

    Minimum lease payment  
    US$  
Twelve months ending March 31,        
2027     390,675  
2028     362,638  
2029     69,325  
2030     41,378  
2031     20,691  
Total future minimum lease payments     884,707  
Less imputed interest     (59,676 )
Present value of operating lease liabilities     825,031  
Less: current portion     (359,899 )
Long-term portion     465,132  

 

The following summarizes other supplemental information about the Company’s lease as of March 31, 2026 and September 30, 2025:

 

  

As of
March 31, 2026

  

As of
September 30, 2025

 
Weighted average discount rate   4.53%   3.33%
Weighted average remaining lease term   2.51 years    2.43 years