v3.26.1
CONTRACT LIABILITIES
 12 Months Ended
May 31, 2026
Revenue from Contract with Customer [Abstract]  
CONTRACT LIABILITIES

NOTE 11 CONTRACT LIABILITIES

  

   As of May 31,     
   2026   2025   Increase/ 
   (audited)   (audited)   (Decrease) 
   $   $   $ 
Contract Liabilities   1,070,405    595,108    475,297 

 

Contract liabilities balance $1,070,405 consists of advances from customer for brand name management fees and providing of goods and services.

 

As of May 31, 2026 and 2025, contract liabilities balances were $1,070,405 and $595,108 respectively, representing an increase of $475,297. The increase was primarily attributable to a $$609,599 increase in contract liabilities related to goods and services, mainly due to the introduction of a new product, fuel additive cleaner. In addition, increases in supplier purchase costs amid the recent geopolitical conflict in the Gulf region resulted in negotiations with suppliers regarding purchase prices, which extended the procurement process and delayed the delivery of certain goods, contributing to the increase in contract liabilities. The increase was partially offset by a $134,302 decrease in brand name management fees.

 

The breakdown as below:

 

Contract Liabilities  May 31, 2026   May 31, 2025 
   $   $ 
Opening balance   595,108    607,617 
Closing balance   1,070,405    595,108 

 

Revenue recognized during the years ended May 31, 2026 and 2025 that was included in the contract liability balance at the beginning of each respective year amounted to $299,976 and $379,147 respectively.