XML 89 R41.htm IDEA: XBRL DOCUMENT
v3.26.1

Financial instruments | 12 Months Ended
--- | ---
Dec. 31, 2025
Notes and other explanatory information [abstract] |
Financial instruments | 34. Financial instruments a) Financial instruments by category Schedule of Financial Instruments
|  | As of |  |  | As of |
|  | December 31, 2025 |  |  | December 31, 2024 |
Financial assets |  |  |  |  |  |  |  |
Financial assets at amortized cost |  |  |  |  |  |  |  |
Cash and cash equivalents |  | $ | 97,669 |  |  | $ | 649,106 |
Financial assets at amortized cost |  |  | 455,133 |  |  |  | 574,391 |
Accounts receivable |  |  | 3,578,974 |  |  |  | 1,277,928 |
Accounts receivable due from related parties |  |  | - |  |  |  | 5,029,583 |
Other receivables |  |  | 2,638 |  |  |  | 1,952,834 |
Other receivables due from related parties |  |  | - |  |  |  | 526,882 |
Long-term receivables due from related parties |  |  | - |  |  |  | 8,300,723 |
Guarantee deposits |  |  | 142,364 |  |  |  | 133,390 |
Total Financial Assets |  | $ | 4,276,778 |  |  | $ | 18,444,837 |
Financial liabilities |  |  |  |  |  |  |  |
Financial liabilities at amortized cost |  |  |  |  |  |  |  |
Short-term bank loans |  | $ | 2,741,552 |  |  | $ | 8,999,751 |
Short-term loans from a related party |  |  | 8,249,052 |  |  |  | - |
Accounts payable |  |  | 180,954 |  |  |  | 209,567 |
Other payables |  |  | 941,159 |  |  |  | 802,840 |
Long-term loans (including current portion) |  |  | 1,652,258 |  |  |  | 1,037,768 |
Total Financial Liability |  | $ | 13,764,975 |  |  | $ | 11,049,926 |
Lease liabilities |  | $ | 82,078 |  |  | $ | 163,775 |
b) Financial risk management policies (a) The Group’s activities expose it to a variety of financial risks: market risk (including foreign exchange risk, interest rate risk and price risk), credit risk and liquidity risk. (b) Risk management is carried out by a central treasury department (Group treasury) under policies approved by the Board of Directors. Group treasury identifies, evaluates, and hedges financial risks in close co-operation with the Group’s operating units. The Board provides written principles for overall risk management, as well as written policies covering specific areas and matters, such as foreign exchange risk, interest rate risk, credit risk, use of derivative financial instruments and non-derivative financial instruments, and investment of excess liquidity. c) Significant financial risks and degrees of financial risks (a) Market risk i) Foreign exchange risk (i) The Group operates internationally and is exposed to foreign exchange risk arising from the transactions of the Company and its subsidiaries used in various functional currency, primarily with respect to the USD. Foreign exchange risk arises from future commercial transactions and recognized assets and liabilities. (ii) Management has set up a policy to require group companies to manage their foreign exchange risk against their functional currency. Exchange rate risk arising from the difference between various functional currencies and the reporting currency in the consolidated financial statements is centrally managed by the Group’s finance department. (iii) The Group’s businesses involve some non-functional currency operations (the Company’s and certain subsidiaries’ functional currency: USD; other certain subsidiaries’ functional currency: NTD, RMB and HKD). The information on assets and liabilities denominated in foreign currencies whose values would be materially affected by the exchange rate fluctuations is as follows:
|  | December 31, 2025 |
|  | Foreign currency (USD equivalent) |  |  | Exchange rate |  |  | Book value (USD) |
Foreign currency: functional currency |  |  |  |  |  |  |  |  |  |  |  |
Financial assets |  |  |  |  |  |  |  |  |  |  |  |
Monetary items |  |  |  |  |  |  |  |  |  |  |  |
USD:NTD |  | $ | 545,656 |  |  |  | 31.37 |  |  | $ | 545,656 |
USD:HKD |  |  | 443,595 |  |  |  | 7.78 |  |  |  | 443,595 |
Financial liabilities |  |  |  |  |  |  |  |  |  |  |  |
Monetary items |  |  |  |  |  |  |  |  |  |  |  |
USD:NTD |  | $ | 90,767 |  |  |  | 31.37 |  |  | $ | 90,767 |
USD:HKD |  |  | 777,530 |  |  |  | 7.78 |  |  |  | 777,530 |
|  | December 31, 2024 |
|  | Foreign currency (USD equivalent) |  |  | Exchange rate |  |  | Book value (USD) |
Foreign currency: functional currency |  |  |  |  |  |  |  |  |  |  |  |
Financial assets |  |  |  |  |  |  |  |  |  |  |  |
Monetary items |  |  |  |  |  |  |  |  |  |  |  |
USD:NTD |  | $ | 6,176,385 |  |  |  | 32.79 |  |  | $ | 6,176,385 |
USD:HKD |  |  | 8,387,829 |  |  |  | 7.77 |  |  |  | 8,387,829 |
Financial liabilities |  |  |  |  |  |  |  |  |  |  |  |
Monetary items |  |  |  |  |  |  |  |  |  |  |  |
USD:NTD |  | $ | 3,430,664 |  |  |  | 32.79 |  |  | $ | 3,430,664 |
USD:HKD |  |  | 2,237,392 |  |  |  | 7.77 |  |  |  | 2,237,392 |
(iv) Analysis of foreign currency market risk arising from significant foreign exchange variation:
|  | Year ended December 31, 2025 |  |  | Year ended December 31, 2024 |  |  | Year ended December 31, 2023 |
Foreign exchange gains (losses) |  | $ | 727,618 |  |  | $ | (71,960 | ) |  | $ | 363,269 |
(v) Analysis of foreign currency market risk arising from significant foreign exchange variation:
|  | Sensitivity analysis |
|  | December 31, 2025 |
|  | Degree of variation |  |  | Effect on profit or loss |  |  | Effect on other comprehensive income |
Foreign currency: functional currency |  |  |  |  |  |  |  |  |  |  |  |
Financial assets |  |  |  |  |  |  |  |  |  |  |  |
Monetary items |  |  |  |  |  |  |  |  |  |  |  |
USD:NTD |  |  | 5 | % |  | $ | 27,283 |  |  | $ | - |
USD:HKD |  |  | 5 | % |  |  | 22,180 |  |  |  | - |
Financial liabilities |  |  |  |  |  |  |  |  |  |  |  |
Monetary items |  |  |  |  |  |  |  |  |  |  |  |
USD:NTD |  |  | 5 | % |  | $ | 4,538 |  |  | $ | - |
USD:HKD |  |  | 5 | % |  |  | 38,877 |  |  |  | - |
|  | Sensitivity analysis |
|  | December 31, 2024 |
|  | Degree of variation |  |  | Effect on profit or loss |  |  | Effect on other comprehensive income |
Foreign currency: functional currency |  |  |  |  |  |  |  |  |  |  |  |
Financial assets |  |  |  |  |  |  |  |  |  |  |  |
Monetary items |  |  |  |  |  |  |  |  |  |  |  |
USD:NTD |  |  | 5 | % |  | $ | 308,819 |  |  | $ | - |
USD:HKD |  |  | 5 | % |  |  | 419,391 |  |  |  | - |
Financial liabilities |  |  |  |  |  |  |  |  |  |  |  |
Monetary items |  |  |  |  |  |  |  |  |  |  |  |
USD:NTD |  |  | 5 | % |  | $ | 171,533 |  |  | $ | - |
USD:HKD |  |  | 5 | % |  |  | 111,870 |  |  |  | - |
ii) Cash flow interest rate risk (i) The Group’s main interest rate risk arises from short-term loans and long-term loans with variable rates, which expose the Group to cash flow interest rate risk. For the years ended December 31, 2025 and 2024, the Group’s loans at variable rate were mainly denominated in NTD and USD. (ii) The Group’s loans are measured at amortized cost. The loans are periodically contractually repriced and to that extent are also exposed to the risk of future changes in market interest rates. (iii) If the borrowing interest rate had increased/decreased by 1% with all other variables held constant, profit would have increased/decreased as follows:
|  | Year ended December 31, 2025 |  |  | Year ended December 31, 2024 |  |  | Year ended December 31, 2023 |
Profit increased/decreased |  | $ | 126,429 |  |  | $ | 100,728 |  |  | $ | 79,451 |
The main factor is that changes in interest expense result in floating-rate loans. (b) Credit risk i) Credit risk refers to the risk of financial loss to the Group arising from default by the clients or counterparties of financial instruments on the contract obligations. The main factor is that counterparties could not repay in full the accounts receivable based on the agreed terms, and the contract cash flows of debt instruments stated at amortized cost. ii) The Group manages their credit risk, taking into consideration the entire group’s concern. According to the Group’s credit policy, each local entity in the Group is responsible for managing and analyzing the credit risk for each of their new clients before standard payment and delivery terms and conditions are offered. Internal risk control assesses the credit quality of the customers, taking into account their financial position, past experience and other factors. Individual risk limits are set based on internal or external ratings in accordance with limits set by the Board of Directors. The utilization of credit limits is regularly monitored. iii) In line with credit risk management procedure, when the contract payments of the counterparty were past due over 360 days iv) The Group adopts the following assumptions under IFRS 9 to assess whether there has been a significant increase in credit risk on that instrument since initial recognition: If the contract payments were past due over 30 days based on the terms, there has been a significant increase in credit risk on that instrument since initial recognition. v) The Group classifies customer’s accounts receivable in accordance with credit risk on trade and customer type. The Group applies the modified approach using a provision matrix based on the loss rate methodology to estimate expected credit loss under the provision matrix basis. vi) The Group wrote-off the financial assets, which cannot be reasonably expected to be recovered, after initiating recourse procedures. However, the Group will continue executing the recourse procedures to secure their rights. vii) The Group used the forecast ability to adjust historical and timely information to assess the default possibility of accounts receivable. The loss rate methodology is as follows: Schedule of loss rate methodology
|  | Not past due |  |  | Up to 30 days past due |  |  | 31 to 90 days past due |  |  | 91 to 180 days past due |  |  | Over 180 days past due |  |  | Total |
At December 31, 2025 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Expected loss rate |  |  | 0.01 | % |  |  | 0.08 | % |  |  | 14.2 | % |  |  | 92.93 | % |  |  | 92.63 | % |  |  | - |
Total book value |  | $ | 1,764,589 |  |  | $ | 249,410 |  |  | $ | 1,558,011 |  |  | $ | 5,499 |  |  | $ | 1,465 |  |  | $ | 3,578,974 |
Expected credit loss |  | $ | 122 |  |  | $ | 203 |  |  | $ | 257,810 |  |  | $ | 72,269 |  |  | $ | 1,357 |  |  | $ | 331,761 |
At December 31, 2024 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Expected loss rate |  |  | 0.00 | % |  |  | 0.00 | % |  |  | 0.00 | % |  |  | 0.61 | % |  |  | 99.72 | % |  |  | - |
Total book value |  | $ | 1,210,294 |  |  | $ | 49,695 |  |  | $ | 17,939 |  |  | $ | - |  |  | $ | - |  |  | $ | 1,277,928 |
Expected credit loss |  | $ | - |  |  | $ | - |  |  | $ | - |  |  | $ | - |  |  | $ | - |  |  | $ | - |
viii) Movements in relation to the Group applying the modified approach to provide loss allowance for accounts receivable and lease payments receivable are as follows: Schedule of loss allowance for accounts receivable
|  | As of December 31, 2025 |  |  | As of December 31, 2024 |
|  | Expected credit loss |  |  | Expected credit loss |
At January 1 |  | $ | - |  |  | $ | 97,332 |
Provision for impairment |  |  | (19,247,269 | ) |  |  | (8,365 | )
Write-offs |  |  | 18,915,508 |  |  |  | (88,967 | )
At December 31 |  | $ | (331,761 | ) |  | $ | - |
The allowance for credit losses is reduced when the Group determined that the receivables are uncollectible. During the year ended December 31, 2025, the Group wrote off $18,915,508 of accounts receivable. These balances, which were previously fully provided for, primarily related to outstanding amounts from YMA DG, and Forwell. The write-offs were executed as these balances were deemed uncollectible after exhaustive recovery efforts. ix) For investments in debt instruments at amortized cost, the credit rating levels are presented below:
|  | 12 months |  |  | Significant increase in credit risk |  |  | Impairment of credit |  |  | Total |
|  | 2025 |
|  |  |  |  | Lifetime |  |  |  |
|  | 12 months |  |  | Significant increase in credit risk |  |  | Impairment of credit |  |  | Total |
Financial assets at amortized cost |  | $ | 455,133 |  |  | $ | - |  |  | $ | - |  |  | $ | 455,133 |
Other receivables (including Long-term receivables) |  | $ | 2,638 |  |  | $ | - |  |  | $ | - |  |  | $ | 2,638 |
Other receivables from related parties |  | $ | - |  |  | $ | - |  |  | $ | - |  |  | $ | - |
Guarantee deposits |  | $ | 142,364 |  |  | $ | - |  |  | $ | - |  |  | $ | 142,364 |
|  | 12 months |  |  | Significant increase in credit risk |  |  | Impairment of credit |  |  | Total |
|  | 2024 |
|  |  |  |  | Lifetime |  |  |  |
|  | 12 months |  |  | Significant increase in credit risk |  |  | Impairment of credit |  |  | Total |
Financial assets at amortized cost |  | $ | 574,391 |  |  | $ | - |  |  | $ | - |  |  | $ | 574,391 |
Other receivables |  | $ | 1,952,834 |  |  | $ | - |  |  | $ | - |  |  | $ | 1,952,834 |
Other receivables from related parties |  | $ | 526,882 |  |  |  | - |  |  |  | - |  |  | $ | 526,882 |
Guarantee deposits paid |  | $ | 133,390 |  |  | $ | - |  |  | $ | - |  |  | $ | 133,390 |
(c) Liquidity risk i) Cash flow forecasting is performed in the operating entities of the Group and aggregated by Group treasury. Group treasury monitors rolling forecasts of the Group’s liquidity requirements to ensure it has sufficient cash to meet operational needs. ii) Surplus cash held by the operating entities over and above balance required for working capital management are transferred to the Group treasury. Group treasury invests surplus cash in interest bearing current accounts, time deposits, money market deposits, choosing instruments with appropriate maturities or sufficient liquidity to provide sufficient head-room as determined by the above-mentioned forecasts. iii) The unused credit lines from bank loans of the Group as of December 31, 2025 and 2024 are $10,332,185 and $1,734,866, respectively.
|  | As of |  |  | As of |
|  | December 31, 2025 |  |  | December 31, 2024 |
Floating rate: |  |  |  |  |  |  |  |
Expiring within one year |  | $ | 6,610,518 |  |  | $ | 1,645,813 |
Expiring beyond one year |  |  | 3,721,667 |  |  |  | 89,053 |
|  | $ | 10,332,185 |  |  | $ | 1,734,866 |
To acquire building and land as headquarter, the Group has obtained credit lines of mortgage loans amounted to $5,323,557 (NT$167,000,000) and $2,226,289 as of December 31, 2025 and 2024, respectively, which are not included in the aforementioned unused credit lines. If the credit lines are used, the maturity of the mortgage loans is 20 years. iv) The table below analyses the Group’s non-derivative financial liabilities into relevant maturity groupings based on the remaining period at the balance sheet date to the contractual maturity date for non-derivative financial liabilities. The amounts disclosed in the table are the contractual undiscounted cash flows.
As of December 31, 2025 |  | Less than 1 year |  |  | Between 1 year and 3 years |  |  | Total |
Non-derivative financial liabilities |  |  |  |  |  |  |  |  |  |  |  |
Short-term bank loans |  | $ | 2,741,552 |  |  | $ | - |  |  | $ | 2,741,552 |
Short-term loans from a related party |  |  | 8,249,052 |  |  |  | - |  |  |  | 8,249,052 |
Accounts payable |  |  | 180,954 |  |  |  | - |  |  |  | 180,954 |
Other payables |  |  | 941,159 |  |  |  | - |  |  |  | 941,159 |
Lease liabilities |  |  | 82,078 |  |  |  | - |  |  |  | 82,078 |
Long-term loans (including current portion) |  |  | 624,620 |  |  |  | 1,027,638 |  |  |  | 1,652,258 |
As of December 31, 2024 |  | Less than 1 year |  |  | Between 1 year and 3 years |  |  | Total |
Non-derivative financial liabilities |  |  |  |  |  |  |  |  |  |  |  |
Short-term loans |  | $ | 8,999,751 |  |  | $ | - |  |  | $ | 8,999,751 |
Accounts payable |  |  | 209,567 |  |  |  | - |  |  |  | 209,567 |
Other payables |  |  | 802,840 |  |  |  | - |  |  |  | 802,840 |
Lease liabilities |  |  | 163,775 |  |  |  | - |  |  |  | 163,775 |
Long-term loans (including current portion) |  |  | 42,478 |  |  |  | 995,290 |  |  |  | 1,037,768 |

X
- Definition The entire disclosure for financial instruments. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Name IFRS -Number 7 -IssueDate 2024-01-01 -Section Scope -URI https://taxonomy.ifrs.org/xifrs-link?type=IFRS&num=7&code=ifrs-tx-2024-en-r&doctype=Standard&dita_xref=IFRS07_g3-5A_TI -URIDate 2024-03-27 + Details
Name: | ifrs-full_DisclosureOfFinancialInstrumentsExplanatory
Namespace Prefix: | ifrs-full_
Data Type: | dtr-2022:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- References No definition available. + Details
Name: | ifrs-full_NotesAndOtherExplanatoryInformationAbstract
Namespace Prefix: | ifrs-full_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration