5 CRITICAL ACCOUNTING ESTIMATES AND JUDGMENTS (CONTINUED) The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are discussed below (continued): (iv) Deferred tax assets Deferred tax assets are recognised to the extent that it is probable that future taxable profit will be available against which the temporary differences can be utilised. This involves judgment regarding the future financial performance of the particular entity in which the deferred tax asset has been recognised. As at 31 December 2024, the Group has deferred tax assets of RM458,332,000 (2023: RM388,322,000) in respect of unused tax losses and deductible temporary differences of certain loss making subsidiaries of the Group. In evaluating whether it is probable that future taxable profits will be available in future periods, all available evidence was considered, including approved budgets, business plans, and analysis of historical operating results. These forecasts are consistent with those prepared and used internally for business planning and impairment testing purposes. (v) Lease term of contracts with extension options The Group applies judgment in evaluating whether it is reasonably certain whether or not to exercise the option to renew or terminate the lease. In determining the lease term, the Group considers all relevant factors and circumstances that create an economic incentive to exercise an extension option, or not to exercise a termination option. Extension options (or periods of termination options) are only included in the lease term if the lease is reasonably certain to be extended (or not to be terminated). During the financial year 2024, the Group has exercised its legal and contractual rights to extend the lease term for one of its leasehold lands in Prai by another 30 years. Refer to Note 20 to the financial statements for the details of the remeasurement of lease liability after taking into consideration the extended lease term. 6 REVENUE The Group and Company derive the following types of revenue: Group 2024 2023 RM’000 RM’000 Revenue from contracts with customers 21,619,694 19,081,375 Revenue from other sources 537,834 277,811 22,157,528 19,359,186 Notes to the Financial Statements For the financial year ended 31 December 2024 71
RkJQdWJsaXNoZXIy NDgzMzc=