| Right-of-use assets and operating lease liabilities |
Note
7 Right-of-use assets and operating lease liabilities
As
of June 30, 2026, the Company had the following non-cancellable lease contracts:
Schedule of non-cancellable lease contracts
| Description of lease | |
Term | |
Imputed interest rate |
| | |
| |
|
| Director’s quarters, Kowloon, Hong Kong | |
24 months from May 1, 2025 to April 30, 2027 | |
| 5.6 | % |
| Office, Kowloon, Hong Kong | |
24 months from January 1, 2025 to December 31, 2026 | |
| 5.6 | % |
| Production plant and administration facility, Shenzhen, PRC | |
3 years from July 16, 2024 to July 15, 2027 | |
| 3.45 | % |
The
following amounts were recognized in the consolidated balance sheets:
Schedule of condensed balance sheet
| | |
December 31, 2025 | |
June 30, 2026 | |
June 30, 2026 |
| | |
HK$’000 | |
HK$’000 | |
US$’000 |
| Right-of-use assets | |
| 11,297 | | |
| 7,925 | | |
| 1,011 | |
| | |
| | | |
| | | |
| | |
| Operating lease liabilities | |
| | | |
| | | |
| | |
| Current | |
| 4,203 | | |
| 7,951 | | |
| 1,014 | |
| Non-current | |
| 7,093 | | |
| - | | |
| - | |
| Total | |
| 11,296 | | |
| 7,951 | | |
| 1,014 | |
Future
undiscounted lease payments as of June 30, 2026 are as follows:
Schedule of future undiscounted lease payments
| Year ending December 31, | |
HK$’000 | |
US$’000 |
| 2026 | |
| 3,987 | | |
| 508 | |
| 2027 | |
| 3,994 | | |
| 509 | |
| | |
| | | |
| | |
| Future minimum operating lease payments | |
| 7,981 | | |
| 1,017 | |
| Less: Imputed interest | |
| (30 | ) | |
| (3 | ) |
| | |
| | | |
| | |
| Total operating lease liabilities | |
| 7,951 | | |
| 1,014 | |
|