Goodwill

12 Months Ended

Apr. 30, 2023

17.

GOODWILL


	US$
COST
At May 1, 2021		7,557
Exchange realignment		(80	)

At April 30, 2022		7,477
Reclassified as held for sale (note 15)		(7,484	)
Exchange realignment		7

At April 30, 2023		—

For the purpose of impairment testing, goodwill has been allocated to a cash-generating unit providing digital solutions services—financial services. The recoverable amount of this cash-generating unit has been determined based on value in use calculation which uses cash flow projections based on financial budgets approved by management covering a

5-year

period, and pre-tax discount rate of 28.03% for the years ended April 30, 2022, respectively. Cash flows beyond the

5-year

period are extrapolated using a steady 1.5% growth rate for the years ended April 30, 2022, respectively. Other key assumptions for the value in use calculation relate to the estimation of cash inflows/outflows which include budgeted sales and gross margin and such estimation is based on this cash-generating unit’s past performance and management’s expectations for the market development. Based on the result of the assessment, management of the Group determined that the recoverable amount of the cash-generating unit is higher than the carrying amount. As at April 30, 2022, the Company determined that there is no impairment of goodwill.

Management believes that any reasonably possible changes in any of these assumptions would not cause the carrying amount of this c

ash-

generating unit to exceed its recoverable amount.