Infocept Pte LTD - 2021

Audited Financial Statements
And Other Financial Information
INFOCEPTS PTE. LTD.

(Incorporated in Singapore)
(Company Registration No.: 201129941D)
31ST MARCH 2021

Audited Financial Statements
And Other Financial Information
INFOCEPTS PTE. LTD.

(Company Registration No.: 201129941D)
31ST MARCH 2021
CONTENTS
PAGE
--------
Directors’ Statement 1-2
Independent Auditor’s Report 3-4
Statement of Profit or Loss and Other Comprehensive Income 5
Balance Sheet 6
Statement of Changes in Equity 7
Statement of Cash Flows 8
Notes to the Financial Statements 9 - 43

INFOCEPTS PTE. LTD.
DIRECTORS’ STATEMENT
The directors are pleased to present their statement to the members together with the audited
financial statements of InfoCepts Pte. Ltd. (the “Company”) for the financial year ended 31st
March 2020.
1. OPINION OF THE DIRECTORS
In the opinion of the directors,

(a) the accompanying financial statements of the Company, together with the notes
thereto, are drawn up so as to give a true and fair view of the balance sheet of the
Company as at 31st March 2021 and the financial performance, changes in
equity and cash flows of the Company for the financial year then ended, and
(b) at the date of this statement, on the basis that continuing financial support is
provided by its Holding Company, there are reasonable grounds to believe that
the Company will be able to pay its debts as and when they fall due.
2. DIRECTORS
The directors of the Company in office at the date of this statement are:
Rohit Bhayana
Shashank Garg
Dineshkumar Garg
Neo Lay Hiang Pamela
3. ARRANGEMENTS TO ENABLE DIRECTORS TO ACQUIRE SHARES AND

DEBENTURES
Neither at the end of nor at any time during the financial year was the Company a party
to any arrangement whose object is to enable the director of the Company to acquire
benefits by means of the acquisition of shares or debentures of the Company or any
other body corporate.
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INFOCEPTS PTE. LTD.
4. DIRECTORS’ INTERESTS IN SHARES AND DEBENTURES
According to the Register of Directors’ Shareholdings kept by the Company under

Section 164 of the Companies Act, chapter 50 (the “Act”), none of the directors holding
office at the end of the financial year had an interest in shares or debentures of the
Company and its related corporation except as stated below:
Direct interest Deemed interest

At the At the
beginning At end of beginning of
of financial financial financial At end of
Name of directors year year year financial year
Ordinary shares of the Company
Rohit Bhayana - -
Shashank Garg - - 51,000 51,000
Dineshkumar Garg - -
Ordinary shares of the Holding Company

InfoCepts Technologies Pvt. Ltd.
Rohit Bhayana 9,500 9,500 - -
Shashank Garg 5,720 5,720 - -
Dineshkumar Garg 3,780 3,780 - -
By virtue of Section 7 of the Singapore Companies Act, Cap. 50, Messrs Rohit Bhayana,
Shashank Garg and Dineshkumar Garg who by virtue of their interest of not less than
20% of the issued capital of the Holding Company, are deemed to have an interest in the
shares of the Company.
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INFOCEPTS PTE. LTD.
5. SHARE OPTIONS
There were no share options granted during the financial year to subscribe for unissued
shares of the Company.
There were no shares issued during the financial year by virtue of the exercise of
options to take up unissued shares of the Company.
There were no unissued shares of the Company under option at the end of financial year.
On behalf of the board of directors:
____________________________________ ____________________________________
DINESHKUMAR GARG SHASHANK GARG
Director Director
Singapore
3
INDEPENDENT AUDITOR’S REPORT
To the Shareholder of InfoCepts Pte. Ltd.
Report on Audit of the Financial Statements

Opinion
We have audited the financial statements of InfoCepts Pte. Ltd. (the “Company”), which comprise the balance
sheet of the Company as at 31st March 2021, the statement of profit or loss and other comprehensive income,
statement of changes in equity and statement of cash flows of the Company for the year then ended, and notes to
the financial statements, including a summary of significant accounting policies.
In our opinion, the accompanying financial statements are properly drawn up in accordance with the provisions
of the Companies Act, Chapter 50 (the Act) and Financial Reporting Standards in Singapore (FRSs) so as to
give a true and fair view of the balance sheet of the Company as at 31st March 2021 and of the financial
performance, changes in equity and cash flows of the Company for the year ended on that date.
Basis for Opinion

We conducted our audit in accordance with Singapore Standards on Auditing (SSAs). Our responsibilities under
those standards are further described in the Auditor’s Responsibilities for the Audit of the Financial Statements
section of our report. We are independent of the Company in accordance with the Accounting and Corporate
Regulatory Authority (ACRA) Code of Professional Conduct and Ethics for Public Accountants and Accounting
Entities (ACRA Code) together with the ethical requirements that are relevant to our audit of the financial
statements in Singapore, and we have fulfilled our other ethical responsibilities in accordance with these
requirements and the ACRA Code. We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our opinion.
Other Information
Management is responsible for the other information. The other information comprises the Directors’ Statement
included in pages 1 to 2 but does not include the financial statements and our auditor’s opinion thereon.
Our opinion on the financial statements does not cover the other information and we do not express any form of
assurance conclusion thereon.
In connection with our audit of the financial statements, our responsibility is to read the other information and,
in doing so, consider whether the other information is materially inconsistent with the financial statements or our
knowledge obtained in the audit, or otherwise appears to be materially misstated. If, based on the work we have
performed, we conclude that there is a material misstatement of this other information, we are required to report
that fact. We have nothing to report in this regard.
Responsibilities of Management and Directors for the Financial Statements

Management is responsible for the preparation of financial statements that give a true and fair view in
accordance with the provisions of the Act and FRSs, and for devising and maintaining a system of internal
accounting controls sufficient to provide a reasonable assurance that assets are safeguarded against loss from
unauthorised use or disposition; and transactions are properly authorised and that they are recorded as necessary
to permit the preparation of true and fair financial statements and to maintain accountability of assets.
In preparing the financial statements, management is responsible for assessing the Company’s ability to continue
as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis
of accounting unless management either intends to liquidate the Company or to cease operations, or has no
realistic alternative but to do so.
The directors’ responsibilities include overseeing the Company’s financial reporting process.
4
Auditor’s Responsibilities for the Audit of the Financial Statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free
from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our
opinion. Reasonable assurance is a high-level assurance, but is not a guarantee that an audit conducted in
accordance with SSAs will always detect a material misstatement when it exists. Misstatements can arise from
fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected
to influence the economic decisions of users taken on the basis of these financial statements.
As part of an audit in accordance with SSAs, we exercise professional judgement and maintain professional
scepticism throughout the audit. We also:
 Identify and assess the risks of material misstatement of the financial statements, whether due to fraud
or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that
is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material
misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve
collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
 Obtain an understanding of internal control relevant to the audit in order to design audit procedures that
are appropriate in the circumstances, but not for the purpose of expressing an opinion on the
effectiveness of the Company’s internal control.
 Evaluate the appropriateness of accounting policies used and the reasonableness of accounting
estimates and related disclosures made by management.
 Conclude on the appropriateness of management’s use of the going concern basis of accounting and,
based on the audit evidence obtained, whether a material uncertainty exists related to events or
conditions that may cast significant doubt on the Company’s ability to continue as a going concern. If
we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report
to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify
our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s
report. However, future events or conditions may cause the Company to cease to continue as a going
concern.
 Evaluate the overall presentation, structure and content of the financial statements, including the
disclosures, and whether the financial statements represent the underlying transactions and events in a
manner that achieves fair presentation.
We communicate with the directors regarding, among other matters, the planned scope and timing of the audit
and significant audit findings, including any significant deficiencies in internal control that we identify during
our audit.
Report on Other Legal and Regulatory Requirements

In our opinion, the accounting and other records required by the Act to be kept by the Company have been
properly kept in accordance with the provisions of the Act.
STRATEGIC AUDIT ALLIANCE PAC

Public Accountants and Chartered Accountants
Singapore
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INFOCEPTS PTE. LTD.
STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME FOR

THE FINANCIAL YEAR ENDED 31ST MARCH 2021
NOTE 2021 2020

$ $
Revenue 5 5,993,625 6,714,659
Cost of sales (6,542,941) (6,485,951)
Gross (loss)/profit (549,316) 228,708
Other operating income 5 535,533 376,983
Distribution costs (41,084) (161,880)
Administrative expenses (243,604) (241,482)
Other operating expenses 6 (466,912) (323,887)
(Loss) from operations 7 (765,383) (121,558)
Finance costs 8 (79,865) (43,871)
(Loss) from ordinary activities before income tax (845,248) (165,429)
Income tax 16 26,521 -
(Loss) from ordinary activities after income tax

and total comprehensive (loss) for the year (818,727) (165,429)
The accompanying notes form an integral part of these financial statements.

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INFOCEPTS PTE. LTD.
BALANCE SHEET AS AT 31ST MARCH 2021
NOTE 2021 2020

$ $
NON-CURRENT ASSETS
Property, plant and equipment 10 261,598 487,833
CURRENT ASSETS
Trade and other receivables 11 855,407 1,794,102
Contract assets 12 121,792 62,377
Cash and short-term deposit 13 607,032 882,036
1,584,231 2,738,515
CURRENT LIABILITIES
Trade and other payables 14 1,100,232 1,424,481
Borrowings 15 691,661 332,490
Provision for income tax - 44,935
1,791,893 1,801,906
NET CURRENT (LIABILITIES)/ASSETS (207,662) 936,609
NON-CURRENT (LIABILITIES)
Borrowings 15 (89,652) (641,431)
NET (LIABILITIES)/ASSETS (35,716) 783,011
EQUITY
Share capital 17 51,000 51,000
Accumulated (losses)/revenue reserve (86,716) 732,011
(35,716) 783,011

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INFOCEPTS PTE. LTD.
STATEMENT OF CHANGES IN EQUITY FOR THE FINANCIAL YEAR ENDED 31ST

MARCH 2021
Revenue
Reserve/
Share Accumulated
Capital (Losses) Total
$ $ $
Balance at 1st April 2019 51,000 897,440 948,440
Total comprehensive (loss) for the year - (165,429) (165,429)
Balance at 31st March 2020 51,000 732,011 783,011
Balance at 1st April 2020 51,000 732,011 783,011
Total comprehensive (loss) for the year - (818,727) (818,727)
Balance at 31st March 2021 51,000 (86,716) (35,716)

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INFOCEPTS PTE. LTD.
STATEMENT OF CASH FLOWS FOR THE FINANCIAL YEAR ENDED 31ST MARCH
2021
2021 2020
$ $
CASH FLOWS FROM OPERATING ACTIVITIES
(Loss) before income tax (845,248) (165,429)
Adjustments for:
Depreciation of property, plant and equipment 366,547 318,436
Deemed rental received (263,223) (221,400)
Gain on write-off right-of-use asset (4,894) -
Interest expense 79,656 43,871
Interest income (142) (61)
(667,304) (24,583)
Changes in working capital:

Receivables 601,360 (473,491)
Payables (383,080) 59,028
218,280 (414,463)
Cash (used in) operations (449,024) (439,046)

Income tax paid (18,414) (15,065)
Net cash (used in) operating activities (467,438) (454,111)
CASH FLOWS FROM INVESTING ACTIVITIES

Interest received 142 61
Purchase of property, plant and equipment (19,588) (24,513)
Net cash (used in) investing activities (19,446) (24,452)
CASH FLOWS FROM FINANCING ACTIVITIES

Receivables 277,920 (402,682)
Payables 58,831 94,171
Fixed deposit (142) (61)
Interest paid (79,656) (43,871)
Payment of principal portion of lease liabilities (73,201) (42,497)
Proceeds from borrowings 27,986 516,427
Net cash provided by financing activities 211,738 121,487
Net changes in cash and cash equivalents (275,146) (357,076)

Cash and cash equivalents at beginning of financial year 871,905 1,228,981
Cash and cash equivalents at end of financial year (Note 12) 596,759 871,905

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INFOCEPTS PTE. LTD.
NOTES TO THE FINANCIAL STATEMENTS
31ST MARCH 2021
These notes form an integral part of and should be read in conjunction with the accompanying
financial statements.
1. GENERAL CORPORATE INFORMATION

The Company is incorporated and domiciled in Singapore. The address of its registered
office and its principal place of business is as follows: 51 Changi Business Park Central 2,
#08-04, Singapore 079903.
The Holding Company is InfoCepts Technologies Pvt. Ltd., which incorporated in India.
The principal activities of the Company are to carry on the businesses of rendering
business intelligence, data warehousing, data integration, big data and other information
technology services.
2. GOING CONCERN
The financial statements of the Company have been prepared on a going concern basis
notwithstanding the net capital deficiency of approximately $35,716 (2020: $Nil) as at
31st March 2021.
The ability of the Company to continue as a going concern is dependent on the

undertaking of its Holding Company, to provide continuing financial support to enable
the Company to meet its liabilities as and when they fall due.
If the Company is unable to continue in operational existence for the foreseeable future,
the Company may be unable to discharge its liabilities in the normal course of business
and adjustments may have to be made to reflect the situation that assets may need to be
realised other than in the normal course of business and at amounts which could differ
significantly from the amounts at which they are currently recorded in the statement of
financial position. In addition, the Company may have to reclassify non-current assets and
liabilities as current assets and liabilities. No such adjustments have been made to these
financial statements.
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INFOCEPTS PTE. LTD.
3. SIGNIFICANT ACCOUNTING POLICIES

3.1 Basis of Preparation
These financial statements have been prepared in accordance with Singapore
Financial Reporting Standards (“FRS”) under the historical cost convention,
except as disclosed in the accounting policies below.
The preparation of financial statements in conformity with FRS requires

management to exercise its judgement in the process of applying the Company’s
accounting policies. It also requires the use of certain critical accounting estimates
and assumptions. The areas involving a higher degree of judgement or
complexity, or areas where assumptions and estimates are significant to the
financial statements are disclosed in Note 4.
The financial statements are presented in Singapore Dollars (SGD), which is the
Company’s functional currency.
3.2 Adoption of new and revised standards

The accounting policies adopted are consistent with those of the previous
financial year except in the current financial year, the Company has adopted all
the new and revised standards which are relevant to the Company and are
effective for annual financial periods beginning on or after 1st January 2020. The
adoption of these standards did not have any material effect on the financial
statements.
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INFOCEPTS PTE. LTD.
3. SIGNIFICANT ACCOUNTING POLICIES (CONT’D)

3.3 Standards issued but not yet effective
The Company has not adopted the following standards applicable to Company
that have been issued but not yet effective:
Effective for
annual periods
beginning on or
Description after
FRS 117 Insurance Contracts 1st January 2021
Amendments to FRS 103 Business Combinations (Reference 1st January 2022
to the Conceptual Framework)
Amendments to FRS 16 Property, Plant and Equipment 1st January 2022
(Proceeds before Intended Use)
Amendments to FRS 37 Provisions, Contingent Liabilities and 1st January 2022
Contingent Assets (Onerous Contracts – Cost of Fulfilling a
Contract)
Annual improvements to FRSs 2018-2020 1st January 2022
Amendments to FRS 1 Presentation of Financial Statements 1st January 2023
(Classification of Liabilities as Current or Non-current)
Amendments to FRS 110 and FRS 28: Sale or Contribution Date to be
Of Assets between an Investor and its Associate or Joint determined
Venture
The directors expect that the adoption of the other standards above will have no
material impact on the financial statements in the year of initial application.
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INFOCEPTS PTE. LTD.

3.4 Property, Plant and Equipment
Property, plant and equipment are initially recognised at cost and subsequently
carried at cost or valuation less accumulated depreciation and accumulated
impairment losses.
Subsequent expenditure relating to property, plant and equipment that has already
been recognised is added to the carrying amount of the asset only when it is
probable that future economic benefits associated with the item will flow to the
company and the cost of the item can be measured reliably. All other repairs and
maintenance expenses are recognised in profit or loss when incurred.
Depreciation is calculated on the straight-line method to write off the cost of the
property, plant and equipment over their estimated useful lives as follows:
No. of years
Leased assets 1-2
Office equipment 3
Furniture and fittings 3
The residual values, estimated useful lives and depreciation method of property,
plant and equipment are reviewed, and adjusted as appropriate, at each balance
sheet date. The effects of any revision are recognised in profit or loss when the
changes arise.
Fully depreciated assets are retained in the financial statements until they are no
longer in use and no further charge for depreciation is made in respect of these
assets.
On disposal of an item of property, plant and equipment, the difference between

the disposal proceeds and it carrying amount is recognised in profit or loss. Any
amount in revaluation reserve relating to that asset is transferred to revenue
reserve directly.
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INFOCEPTS PTE. LTD.

3.5 Financial Assets
(a) Classification and measurement
The Company classifies its financial assets in the following measurement
categories:
 Amortised cost;
 Fair value through other comprehensive income (FVOCI); and
 Fair value through profit or loss (FVPL).
The classification depends on the Company’s business model for

managing the financial assets as well as the contractual terms of the cash
flows of the financial asset.
Financial assets with embedded derivatives are considered in their entirety

when determining whether their cash flows are solely payment of
principal and interest.
The Company reclassifies debt instruments when and only when its
business model for managing those assets changes.
At initial recognition
At initial recognition, the Company measures a financial asset at its fair
value plus, in the case of a financial asset not at fair value through profit
or loss, transaction costs that are directly attributable to the acquisition of
the financial asset. Transaction costs of financial assets carried at fair
value through profit or loss are expensed in profit or loss.
At subsequent measurement
(i) Debt instruments
Debt instruments mainly comprise of cash and cash equivalents,
trade and other receivables, listed and unlisted debt securities.
There are three subsequent measurement categories, depending on

the Company’s business model for managing the asset and the
cash flow characteristics of the asset:
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INFOCEPTS PTE. LTD.

3.5 Financial Assets (Cont’d)
(a) Classification and measurement (Cont’d)
At subsequent measurement (Cont’d)
(i) Debt instruments (Cont’d)
 Amortised cost: Debt instruments that are held for
collection of contractual cash flows where those cash
flows represent solely payments of principal and interest
are measured at amortised cost. A gain or loss on a debt
instrument that is subsequently measured at amortised cost
and is not part of a hedging relationship is recognised in
profit or loss when the asset is derecognised or impaired.
Interest income from these financial assets is included in
interest income using the effective interest rate method.
 FVOCI: Debt instruments that are held for collection of

contractual cash flows and for sale, and where the assets’
cash flows represent solely payments of principal and
interest, are classified as FVOCI. Movements in fair
values are recognised in Other Comprehensive Income
(OCI) and accumulated in fair value reserve, except for
the recognition of impairment gains or losses, interest
income and foreign exchange gains and losses, which are
recognised in profit and loss. When the financial asset is
derecognised, the cumulative gain or loss previously
recognised in OCI is reclassified from equity to profit or
loss and presented in “other gains and losses”. Interest
income from these financial assets is recognised using the
effective interest rate method and presented in “interest
income”.
 FVPL: Debt instruments that are held for trading as well

as those that do not meet the criteria for classification as
amortised cost or FVOCI are classified as FVPL.
Movement in fair values and interest income is recognised
in profit or loss in the period in which it arises and
presented in “other gains and losses”.
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INFOCEPTS PTE. LTD.

(a) Classification and measurement (Cont’d)
At subsequent measurement (Cont’d)
(ii) Equity instruments
The company subsequently measures all its equity investments at
their fair values. Equity investments are classified as FVPL with
movements in their fair values recognised in profit or loss in the
period in which the changes arise and presented in “other gains
and losses”, except for those equity securities which are not held
for trading. The company has elected to recognise changes in fair
value of equity securities not held for trading in other
comprehensive income as these are strategic investments and the
company considers this to be more relevant. Movements in fair
values of investments classified as FVOCI are presented as “fair
value gains / losses” in Other Comprehensive Income. Dividends
from equity investments are recognised in profit or loss as
“dividend income”.
(b) Impairment
The company assesses on a forward-looking basis the expected credit loss
associated with its debt financial assets carried at amortised cost and
FVOCI. The impairment methodology applied depends on whether there
has been a significant increase in credit risk.
For trade receivables, lease receivables and contract assets, the company
applies the simplified approach permitted by the FRS109, which requires
expected lifetime losses to be recognised from initial recognition of the
receivables.
(c) Recognition and derecognition

Regular way purchases and sales of financial assets are recognised on
trade date – the date on which the company commits to purchase or sell
the asset.
Financial assets are derecognised when the rights to receive cash flows
from the financial assets have expired or have been transferred and the
company has transferred substantially all risks and rewards of ownership.
On disposal of a debt instrument, the difference between the carrying

amount and the sale proceeds is recognised in profit or loss. Any amount
previously recognised in other comprehensive income relating to that
asset is reclassified to profit or loss.
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INFOCEPTS PTE. LTD.

(c) Recognition and derecognition (Cont’d)
On disposal of an equity investment, the difference between the carrying
amount and sales proceed is recognised in profit or loss if there was no
election made to recognise fair value changes in other comprehensive
income. If there was an election made, any difference between the
carrying amount and sales proceed amount would be recognised in other
comprehensive income and transferred to retained profits along with the
amount previously recognised in other comprehensive income relating to
that asset.
Trade receivables that are factored out to banks and other financial
institutions with recourse to the company are not derecognised until the
recourse period has expired and the risks and rewards of the receivables
have been fully transferred. The corresponding cash received from the
financial institutions is recorded as borrowings.
3.6 Financial Liabilities

(a) Initial recognition and measurement
Financial liabilities are recognised when, and only when, the company
becomes a party to the contractual provisions of the financial instrument.
The company determines the classification of its financial liabilities at
initial recognition.
All financial liabilities are recognised initially at fair value plus in the case
of financial liabilities not at fair value through profit or loss, directly
attributable transaction costs.
(b) Subsequent measurement

After initial recognition, financial liabilities that are not carried at fair
value through profit or loss are subsequently measured at amortised cost
using the effective interest rate method. Gains and losses are recognised in
profit or loss when the liabilities are derecognised and through the
amortisation process.
(c) Derecognition
A financial liability is derecognised when the obligation under the liability
is discharged or cancelled or expires. On derecognition, the difference
between the carrying amounts and consideration paid is recognised in
profit or loss.
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INFOCEPTS PTE. LTD.

3.7 Impairment of Non-Financial Assets
Property, Plant and Equipment
Property, plant and equipment are reviewed for impairment whenever there is any
objective evidence or indication that these assets may be impaired.
For the purposes of impairment testing, the recoverable amount (i.e. the higher of
the fair value less cost to sell and the value-in-use) is determined on an individual
asset basis unless the asset does not generate cash flows that are largely
independent of those from other assets. If this is the case, the recoverable amount
is determined for the cash generating units (CGU) to which the asset belongs.
If the recoverable amount of the asset (or CGU) is estimated to be less than its
carrying amount, the carrying amount of the asset (or CGU) is reduced to its
recoverable amount.
The difference between the carrying amount and recoverable amount is

recognised as an impairment loss in profit or loss, unless the asset is carried at
revalued amount, in which case, such impairment loss is treated as a revaluation
decrease.
An impairment loss for an asset other than goodwill is reversed if, and only if,
there has been a change in the estimates used to determine the asset’s recoverable
amount since the last impairment loss was recognised. The carrying amount of
this asset is increased to its revised recoverable amount, provided that this amount
does not exceed the carrying amount that would have been determined (net of any
accumulated amortisation or depreciation) had no impairment loss been
recognised for the asset in prior years.
A reversal of impairment loss for an asset other than goodwill is recognised in

profit or loss, unless the asset is carried at revalued amount, in which case, such
reversal is treated as a revaluation increase. However, to the extent that an
impairment loss on the same revalued asset was previously recognised as an
expense, a reversal of that impairment is also credited to profit or loss.
3.8 Cash and Cash Equivalents

For the purpose of presentation in the statement of cash flows, cash and cash
equivalents include cash on hand, deposits with financial institutions which are
subject to an insignificant risk of change in value. For cash subjected to
restriction, assessment is made on the economic substance of the restriction and
whether they meet the definition of cash and cash equivalents.
3.9 Trade and Other Payables

Trade and other payables are initially recognised at fair value, and subsequently
carried at amortised cost using the effective interest method.
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INFOCEPTS PTE. LTD.

3.10 Borrowings
Borrowings are presented as current liabilities unless the company has an
unconditional right to defer settlement for at least 12 months after the balance
sheet date.
Borrowings are initially recognised at fair value (net of transaction costs) and
subsequently carried at amortised cost. Any difference between the proceeds (net
of transaction costs) and the redemption value is recognised in profit or loss over
the period of the borrowings using the effective interest method.
3.11 Leases
The Company assesses at contract inception whether a contract is, or contains, a
lease. That is, if the contract conveys the right to control the use of an identified
asset for a period of time in exchange for consideration.
As lessee
The Company applies a single recognition and measurement approach for all
leases, except for short-term leases and leases of low-value assets. The Company
recognises lease liabilities representing the obligations to make lease payments
and right-of-use assets representing the right to use the underlying leased assets.
Right-of-use assets
The Company recognises right-of-use assets at the commencement date of the
lease (i.e. the date the underlying asset is available for use). Right-of-use assets
are measured at cost, less any accumulated depreciation and impairment losses,
and adjusted for any remeasurement of lease liabilities. The cost of right-of-use
assets includes the amount of lease liabilities recognised, initial direct costs
incurred, and lease payments made at or before the commencement date less any
lease incentives received. Right-of-use assets are depreciated on a straight-line
basis over the shorter of the lease term and the estimated useful lives of the assets.
If ownership of the leased asset transfers to the Company at the end of the lease
term or the cost reflects the exercise of a purchase option, depreciation is
calculated using the estimated useful life of the asset. The right-of-use assets are
also subject to impairment. The accounting policy for impairment is disclosed in
Note 3.7.
The Company’s right-of-use assets are presented within property, plant and
equipment (Note 9).
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INFOCEPTS PTE. LTD.

3.11 Leases (Cont’d)
Lease liabilities
At the commencement date of the lease, the Company recognises lease liabilities
measured at the present value of lease payments to be made over the lease term.
The lease payments include fixed payments (including in-substance fixed
payments) less any lease incentives receivable, variable lease payments that
depend on an index or a rate, and amounts expected to be paid under residual
value guarantees. The lease payments also include the exercise price of a purchase
option reasonably certain to be exercised by the Company and payments of
penalties for terminating the lease, if the lease term reflects the Company
exercising the option to terminate. Variable lease payments that do not depend on
an index or a rate are recognised as expenses (unless they are incurred to produce
inventories) in the period in which the event or condition that triggers the
payment occurs.
In calculating the present value of lease payments, the Company uses its
incremental borrowing rate at the lease commencement date because the interest
rate implicit in the lease is not readily determinable. After the commencement
date, the amount of lease liabilities is increased to reflect the accretion of interest
and reduced for the lease payments made. In addition, the carrying amount of
lease liabilities is remeasured if there is a modification, a change in the lease term,
a change in the lease payments (e.g. changes to future payments resulting from a
change in an index or rate used to determine such lease payments) or a change in
the assessment of an option to purchase the underlying asset.
The Company’s lease liabilities are included in borrowings (Note 15).
20
INFOCEPTS PTE. LTD.

3.12 Income Tax
(a) Current income tax for current and prior periods is recognised at the
amount expected to be paid or recovered from the tax authorities, using
the tax rates and tax laws that have been enacted or substantively enacted
by the balance sheet date.
(b) Deferred income tax is recognised for all temporary differences arising
between the tax bases of assets and liabilities and their carrying amounts
in the financial statements except when the deferred income tax arises
from the initial recognition of goodwill or an asset or liability in a
transaction that is not a business combination and affects neither
accounting nor taxable profit or loss at the time of the transaction.
A deferred income tax asset is recognised to the extent that it is probable

that future taxable profit will be available against which the deductible
temporary differences and tax losses can be utilised.
Current and deferred income taxes are recognised as income or expense in profit
or loss, except to the extent that the tax arises from a business combination or a
transaction which is recognised directly in equity. Deferred tax arising from a
business combination is adjusted against goodwill on acquisition.
3.13 Revenue Recognition

Revenue is measured based on the consideration to which the Company expects
to be entitled in exchange for transferring promised goods or services to a
customer, excluding amounts collected on behalf of third parties.
Revenue is recognised when the Company satisfies a performance obligation by

transferring a promised good or service to the customer, which is when the
customer obtains control of the good or service. A performance obligation may be
satisfied at a point in time or over time. The amount of revenue recognised is the
amount allocated to the satisfied performance obligation.
(a) Rendering of Services

Revenue is recognised when the services are rendered as per the terms of
the contract.
21
INFOCEPTS PTE. LTD.

3.13 Revenue Recognition (Cont’d)
(b) Sales of Hardware
Revenue is recognised when the customer has accepted the goods and the
related risk and rewards of ownership.
(c) Sales of License

Revenue is recognised, on delivery and subsequent milestone schedule as
per the terms of the contract with the end user.
(d) Interest Income

Interest on deposits is recognised in the financial statements as and when
it is due on maturity date.
3.14 Government grant

Government grants are recognised as a receivable when there is reasonable
assurance that the grant will be received and all attached conditions will be
complied with.
When the grant relates to an expense item, it is recognised as income on a

systematic basis over the periods that the related costs, for which it is intended to
compensate, are expensed. When the grant relates to an asset, the fair value is
recognised as deferred income on the statement of financial position and is
recognised as income in equal amounts over the expected useful life of the related
asset.
When loans or similar assistance are provided by governments or related

institutions with an interest rate below the current applicable market rate, the
effect of this favourable interest is regarded as additional government grant.
Jobs Support Scheme

The Jobs Support Scheme provides wage support to employers to help them retain
their local employees during this period of economic uncertainty. Employers who
have made CPF contributions for their local employees will qualify for the
payouts under the scheme.
22
INFOCEPTS PTE. LTD.

3.15 Foreign Currency Translation
(a) Functional and Presentation Currency
Items included in the financial statements of the company are measured
using the currency of the primary economic environment in which the
entity operates (“functional currency”). The financial statements are
presented in Singapore Dollars (“SGD”), which is the functional currency
of the company.
(b) Transactions and Balances

Transactions in a currency other than the functional currency (“foreign
currency”) are translated into the functional currency using the exchange
rates at the dates of the transactions. Currency translation differences from
the settlement of such transactions and from the translation of monetary
assets and liabilities denominated in foreign currencies at the closing rates
at the reporting date are recognised in profit or loss, unless they arise from
borrowings in foreign currencies, other currency instruments designated
and qualifying as net investment hedges and net investment in foreign
operations. Those currency translation differences are recognised in the
currency translation reserve in the financial statements and transferred to
profit or loss as part of the gain or loss on disposal of the foreign
operation.
Non-monetary items measured at fair values in foreign currencies are

translated using the exchange rates at the date when the fair values are
determined.
3.16 Employee Benefits

Defined Contribution Plan
The company’s contributions to define contribution plans are recognised as
employee compensation expense when the contributions are due, unless they can
be capitalised as an asset.
3.17 Share Capital

Ordinary shares are classified as equity.
3.18 Fair Value Estimation of Financial Assets and Liabilities

The fair values of current financial assets and liabilities carried at amortised cost
approximate their carrying amounts.
23
INFOCEPTS PTE. LTD.
4. CRITICAL ACCOUNTING ESTIMATES, ASSUMPTIONS AND JUDGEMENTS

Estimates, assumptions and judgements are continually evaluated and are based on
historical experience and other factors, including expectations of future events that are
believed to be reasonable under the circumstances.
Impairment of Loans and Receivables

The company uses a provision matrix to calculate expected credit losses for trade
receivables. The provision rates are based on days past due.
The company will calibrate the matrix to adjust credit loss experience with forward-
looking information. Based on the company’s historical credit loss experience, trade
receivables exhibited significant different loss patterns. The management has determined
the expected credit loss by grouping the trade receivables.
Notwithstanding the above, the company evaluates the expected credit loss on customers
in financial difficulties separately. There are no customers in financial difficulties during
the financial year except as disclosed in the financial statements,
The company’s credit risk exposure for trade receivables are set out in Note 20.1.
5. REVENUE
2021 2020
$ $
Revenue from rendering of services 5,618,910 6,264,727

Sales of license 374,715 449,932
5,993,625 6,714,659
Other operating income:

Deemed rental received 263,223 221,400
Foreign exchange differences (net) - 7,970
Government grants 208,313 5,751
Interest received on fixed deposit 142 61
Referral fees 58,760 137,001
Sundry income 5,095 4,800
Total other operating income 535,533 376,983
6,529,158 7,091,642
Timing of revenue recognition

- At a point in time 374,715 449,932
- Over time 5,618,910 6,264,727
5,993,625 6,714,659
24
INFOCEPTS PTE. LTD.
5. REVENUE (CONT’D)
Government grants of $186,274 was recognised during the financial year under the Jobs
Support Scheme (the “JSS”). The JSS is a temporary scheme introduced in the Singapore
Budget 2020 to help enterprises retain local employees. Under the JSS, employers will
receive cash grants in relation to the gross monthly wages of eligible employees.
6. OTHER OPERATING EXPENSES

2021 2020
$ $
Bank charges 5,255 5,451

Foreign exchange differences (net) 95,110 -
466,912 323,887
7. (LOSS) FROM OPERATIONS

The following items have been included in arriving at (loss) from operations:
2021 2020
Note $ $
Depreciation of property, plant and

equipment 10 366,547 318,436
Foreign exchange differences (net) 95,110 (7,970)
Rental 58,026 28,516
Service rendered by a firm in which director
has interest 6,000 6,000
Staff costs 9 2,937,543 2,966,251
8. FINANCE COSTS
2021 2020
$ $
Interest expense on loan from its Holding Company 52,250 19,325

Interest expenses on lease liability 27,406 24,546
Late interest expense for payment Contribution
Employer Fund 209 -
79,865 43,871
25
INFOCEPTS PTE. LTD.
9. STAFF COSTS
2021 2020
$ $
Salaries and wages 2,634,872 2,669,079

Performance incentives 173,592 227,153
Employer’s contribution to defined contribution plan 129,079 70,019
2,937,543 2,966,251
10. PROPERTY, PLANT AND EQUIPMENT

Office Furniture and
Leased Assets Equipment Fittings Total
$ $ $ $
Cost
At 1st April 2020 721,391 75,826 79,227 876,444
Additions 254,439 19,588 - 274,027
Written off (442,724) - - (442,724)
At 31st March 2021 533,106 95,414 79,227 707,747
Accumulated Depreciation
At 1st April 2020 272,098 48,724 67,789 388,611
Charge for the year 339,783 15,341 11,423 366,547
Written off (309,009) - - (309,009)
At 31st March 2021 302,872 64,065 79,212 446,149
Net Book Value

As at 31st March 2021 230,234 31,349 15 261,598
Cost
At 1st April 2019 - 51,313 79,227 130,540
Effect on adopting FRS 116 244,959 - - 244,959
At 1st April 2019 (Restated) 244,959 51,313 79,227 375,499
Additions 476,432 24,513 - 500,945
At 31st March 2020 721,391 75,826 79,227 876,444
Accumulated Depreciation
At 1st April 2019 - 28,795 41,380 70,175
Charge for the year 272,098 19,929 26,409 318,436
At 31st March 2020 272,098 48,724 67,789 388,611
Net Book Value

As at 31st March 2020 449,293 27,102 11,438 487,833
Right-of-use assets acquired under leasing arrangements are presented under leased
assets. Details of such leased assets are disclosed in Note 19.
26
INFOCEPTS PTE. LTD.
11. TRADE AND OTHER RECEIVABLES

2021 2020
$ $
Trade receivables 695,563 1,296,923

Other receivables 3,068 31,458
Deposits 115,593 138,923
Prepaid operating expenses 41,183 326,798
855,407 1,794,102
The average credit period on sale of goods is 30 to 90 days (2020: 30 to 90 days). No

interest is charged on the trade receivables. Trade receivables more than 90 days past due
are provided for based on estimated irrecoverable amounts from the sale of goods
determined by reference to past default experience.
12. CONTRACT ASSETS

Contract assets relate to the Company’s rights to consideration for work completed but not
billed at the reporting date on the Company’s contract.
The followings table provides information about contract assets from contracts with
customers.
2021 2020
$ $
Contract assets 121,792 62,377
27
INFOCEPTS PTE. LTD.
13. CASH AND SHORT-TERM DEPOSIT

2021 2020
$ $
Bank balances 596,759 871,905

Fixed deposit with financial institution 10,273 10,131
607,032 882,036
The term of maturity of fixed deposit ranged of 1 year and bear interest rate of 1.15%
(2019: 0.35%) per annum.
Fixed deposit is used to secure the Company’s corporate credit card.
For the purposes of the statement of cash flows, the financial year end cash and cash
equivalents comprise the following:
2021 2020
$ $
Cash and bank balances (as above) 607,032 882,036

Fixed deposit pledged (10,273) (10,131)
Cash and cash equivalents per statement of cash flows 569,759 871,905
14. TRADE AND OTHER PAYABLES

2021 2020
$ $
Trade payables:
- third parties 61,081 177,045
- Holding Company 707,118 974,234
Other payables:
- third parties 45,138 122,177
- Holding Company - 60,111
Accrued operating expenses 286,895 90,914
1,100,232 1,424,481
The average credit period on purchases of goods is 30 to 60 days (2020: 30 to 60 days).

The Company has financial risk management policies in place to ensure that all payables
are within the credit time frame.
The amount owing to Holding Company is trade in nature, unsecured, interest-free and
is expected to be repayable within the next twelve months.
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INFOCEPTS PTE. LTD.
15. BORROWINGS
2021 2020
$ $
Current:
Amount owing to Holding Company 544,413 -
Lease liabilities 147,248 332,490
691,661 332,490
Non-current:
Amount owing to Holding Company - 516,427
Lease liabilities 89,652 125,004
89,652 641,431
15.1 The amount owing to its Holding Company is non-trade in nature, unsecured and
repayable on demand. Rate of interest for loan is 10.45% (2020: 10.45%) and the
interest shall accrue and become payable at the end of the financial year.
29
INFOCEPTS PTE. LTD.
15. BORROWINGS (CONT’D)

15.2 A reconciliation of liabilities arising from financing activities is as follows:
Non-cash changes
Deemed
1st April rental Accretion of 31st March
2020 Cash flows Acquisition received interest Other 2021
$ $ $ $ $ $ $
Liabilities
Amount owing to
Holding Company
- Current - (24,264) - - 52,250 516,427 544,413
- Non-current 516,427 - - - - (516,427) -
Lease liabilities
- Current 332,490 (100,607) 254,439 (263,223) 27,406 (103,257) 147,248
- Non-current 125,004 - - - - (35,352) 89,652
973,921 (124,871) 254,439 (263,223) 79,656 (138,609) 781,313
30
INFOCEPTS PTE. LTD.
15. BORROWINGS (CONT’D)

15.2 A reconciliation of liabilities arising from financing activities is as follows (Cont’d):
Non-cash changes
Deemed
1st April rental Accretion of 31st March
2019 Cash flows Acquisition received interest Other 2020
$ $ $ $ $ $ $
Liabilities
Amount owing to
Holding Company
- Non-current - 497,102 - - 19,325 - 516,427
Lease liabilities
- Current 150,555 (67,043) 113,342 (221,400) 24,546 332,490 332,490
- Non-current 94,404 - 363,090 - - (332,490) 125,004
244,959 430,059 476,432 (221,400) 43,871 - 973,921
31
INFOCEPTS PTE. LTD.
16. INCOME TAX

Major components of income tax expense for the years ended 31st March were:
2021 2020
$ $
(Over) provision of income tax in respect of previous

year (44,685) -
Foreign withholding tax 18,164 -
Income tax expense (26,521) -
A reconciliation between the income tax expense and the product of accounting (loss)
multiplied by the applicable tax rate for the years ended 31st March were as follows:
2021 2020
$ $
(Loss) before income tax (845,248) (165,429)
Tax at the statutory tax rate of 17% (143,692) (28,123)

Tax effect of expenses that are not deductible in
determining taxable income (24,801) 11,453
Tax effect of current year’s losses not recognised 168,653 16,670
Tax effect on S14Q (160) -
(Over) provision of income tax in previous of year (44,685) -
Foreign withholding tax 18,164 -
(26,521) -
Deferred income tax assets not recognised as at 31st March are as follows:
2021 2020
$ $
Unabsorbed tax losses 185,323 16,670
As at 31st March 2021, the Company has unabsorbed tax losses estimated at $1,090,134
(2019: $98,058) available for off-setting against future taxable income subject to the
compliance of certain provisions of the Singapore Income Tax Act and agreement with
the tax authorities.
32
INFOCEPTS PTE. LTD.
17. SHARE CAPITAL

2021 2020
$ $
5,100 ordinary shares issued and fully paid with no

par value 51,000 51,000
The holders of ordinary shares are entitled to receive dividends as declared from time to
time and are entitled to one vote per share at shareholders’ meetings.
18. RELATED PARTY TRANSACTIONS

The following transactions took place between company and related parties during the
financial year:
2021 2020
$ $
Advance from its Holding Company - 193

Interest expense on loan paid to its Holding Company 52,250 19,325
Loan from its Holding Company - 500,000
Reimbursement of expenses charged by its Holding
Company 21,645 142,952
Services rendered from its Holding Company 1,244,884 1,801,122
Services rendered to its related party - 29,498
Related parties comprise mainly companies which are controlled or significantly

influenced by the Company’s key management personnel.
Outstanding balances at 31st March 2021 are set out in Notes 14 and 15.
33
INFOCEPTS PTE. LTD.
19. LEASES
Company as a lessee
The Company has lease contracts for office and guesthouse.
(a) Carrying amounts of right-of-use assets classified within property, plant and
equipment.
Leased assets
$
At 1st April 2020 449,293

Additions 254,439
Depreciation (339,783)
Written off (133,715)
At 31st March 2021 230,234
(b) Lease liabilities

The carrying amounts of lease liabilities (included under borrowings) and the
movements during the year are disclosed in Note 15.2 and the maturity analysis of
lease liabilities is disclosed in Note 20.3.
(c) Amounts recognised in profit or loss
2021
$
Depreciation of right-of-use asset 339,783

Interest expense on lease liability 27,406
Total amount recognised in profit or loss 367,189
(d) Total cash outflow

The Company had total cash outflows for lease of $100,607 in 2021.
34
INFOCEPTS PTE. LTD.
20. FINANCIAL RISK MANAGEMENT

The Company’s activities expose it to a variety of financial risks from its operations.
The key financial risks include credit risk, liquidity risk, market risk (including currency
risk and interest rate risk).
The directors review and agree policies and procedures for the management of these
risks, which are executed by the management team. It is, and has been throughout the
current and previous financial year, the Company’s policy that no trading in derivatives
for speculative purposes shall be undertaken.
The following sections provide details regarding the Company’s exposure to the above-
mentioned financial risks and the objectives, policies and processes for the management
of these risks.
There has been no change to the Company’s exposure to these financial risks or the
manner in which it manages and measures the risks.
20.1 Credit Risk

Credit risk refers to the risk that the counterparty will default on its contractual
obligations resulting in a loss to the Company. The Company’s exposure to
credit risk arises primarily from trade and other receivables and loan to the
holding company. For other financial assets (including investment securities and
cash), the Company minimises credit risk by dealing exclusively with high credit
rating counterparties.
The Company has adopted a policy of only dealing with creditworthy

counterparties. The Company performs ongoing credit evaluation of its
counterparties’ financial condition and generally do not require a collateral.
The Company considers the probability of default upon initial recognition of

asset and whether there has been a significant increase in credit risk on an
ongoing basis throughout each reporting period.
The Company has determined the default event on a financial asset to be when
internal and/or external information indicates that the financial asset is unlikely
to be received, which could include default of contractual payments due for
more than 60 days, default of interest due for more than 30 days or there is
significant difficulty of the counterparty.
35
INFOCEPTS PTE. LTD.
20. FINANCIAL RISK MANAGEMENT (CONT’D)

Financial Risk Management Objectives and Policies (Cont’d)
20.1 Credit Risk (Cont’d)
To minimise credit risk, the Company has developed and maintained the
Company’s credit risk gradings to categorise exposures according to their degree
of risk of default. The credit rating information is supplied by publicly available
financial information and the Company’s own trading records to rate its other
debtors. The Company considers available reasonable and supportive forward-
looking information which includes the following indicators:
- External credit rating

- Actual or expected significant adverse changes in business, financial or
economic conditions that are expected to cause a significant change to the
debtor’s ability to meet its obligations
- Actual or expected significant changes in the operating results of the debtor
- Significant increases in credit risk on other financial instruments of the same
debtor
- Significant changes in the expected performance and behaviour of the
debtor, including changes in the payment status of debtors in the group and
changes in operating results of the debtor
Regardless of the analysis above, a significant increase in credit risk is presumed

if a debtor is more than 30 days past due in making contractual payment.
The Company determined that its financial assets are credit-impaired when:
- There is significant difficulty of the debtor

- A breach of contract, such as a default or past due event
- It is becoming probable that the debtor will enter bankruptcy or other
financial reorganisation
- There is a disappearance of an active market for that financial asset because
of financial difficulty
The Company categories a receivable for potential write-off when a debtor fails
to make contractual payments more than 120 days past due. Financial assets are
written off when there is evidence indicating that the debtor is in severe financial
difficulty and the debtor has no realistic prospect of recovery.
36
INFOCEPTS PTE. LTD.

The Company’s current credit risk grading framework comprises the following
categories:
Category Definition of category Basis for recognising

expected credit loss
(ECL)
I Counterparty has a low risk of default and 12-month ECL
does not have any past-due amounts.
II Amount is >30 days past due or there has Lifetime ECL – not credit-
been a significant increase in credit risk impaired
since initial recognition.
III Amount is >60 days past due or there is Lifetime ECL – credit-
evidence indicating the asset is credit- impaired
impaired (in default).
IV There is evidence indicating that the debtor Amount is written off
is in severe financial difficulty and the
debtor has no realistic prospect of recovery.
The table below details the credit quality of the Company’s financial assets, as well as
maximum exposure to credit risk by credit risk rating categories:
Note Category 12-month Gross Net

or lifetime carrying Loss carrying
ECL amount allowance amount
$ $ $
31st March 2021
Trade and 11 Note I Lifetime 936,016 - 936,016
other & ECL
receivables 12 (simplified)
(excluding
prepayment)
31st March 2020
Trade and 11 Note I Lifetime 1,529,681 - 1,529,681
other & ECL
receivables 12 (simplified)
(excluding
prepayment)
37
INFOCEPTS PTE. LTD.

For trade receivables, the Company has applied the simplified approach in FRS 109 to
measure the loss allowance at lifetime ECL. The Company determines the ECL by using a
provision matrix, estimated based on historical credit loss experience based on the past
due status of the debtors, adjusted as appropriate to reflect current conditions and
estimates of future economic conditions. Accordingly, the credit risk profile of trade
receivables is presented based on their past due status in terms of the provision matrix.
The company’s credit risk exposure in relation to trade receivables as at 31st March 2021
are set out as follows:
Past due
More than 3
1 to 30 days 31 to 60 days 61 to 90 days months Total
31st March
2021 $ $ $ $ $
ECL rate 0% 0% 0% 0%
Trade
receivables 695,563 - - - 695,563
ECL - - - - -
695,563
31st March
2020
ECL rate 0% 0% 0% 0%
Trade
receivables 1,296,923 - - - 1,296,923
ECL - - - - -
1,296,923
Excessive risk concentration

Concentrations arise when a number of counterparties are engaged in similar business
activities, or activities in the same geographical region, or have economic features that
would cause their ability to meet contractual obligations to be similarly affected by
changes in economic, political or other conditions. Concentrations indicate the relative
sensitivity of the Company’s performance to developments affecting a particular industry.
Exposure to credit risk

The Company has no significant concentration of credit risk. The Company has credit
policies and procedures in place to minimise and mitigate its credit risk exposure.
38
INFOCEPTS PTE. LTD.

Other receivable and deposits
The Company assessed the latest performance and financial position of the
counterparties, adjusted for the future outlook of the industry in which the
counterparties operate in, and concluded that there has been no significant
increase in the credit risk since the initial recognition of the financial assets.
Accordingly, the Company measured the impairment loss allowance using 12-
month ECL and determined that the ECL is insignificant.
20.2 Market risk

Market risk is the risk that changes in market prices, such as interest rates and
foreign exchange rates will affect the Company’s income. The objective of
market risk management is to manage and control market risk exposures within
acceptable parameters, while optimizing the return on risk.
(i) Interest rate risk

Interest rate risk is the risk that the fair value of future cash flows of the
Company’s financial instruments will fluctuate because of changes in
market interest rates. The Company’s exposure to the interest rate risk
arises primarily from their fixed deposit.
The Company does not expect any significant effect on the Company’s
profit or loss arising from the effects of reasonably possible changes to
interest rates on interest bearing financial instruments at the end of the
financial year.
At the reporting date, of the interest rates had been 50 (2019: 50) basis
points higher/lower with all other variable held constant, the Company’s
profit before tax would have been $272 (2019: $258) higher/lower,
arising mainly as a result of higher/lower interest income/expense on
floating rate cash at bank and floating rate bank borrowings. The
assumed movement in basis points for interest rate sensitivity analysis is
based on the currently observable market environment.
39
INFOCEPTS PTE. LTD.

20.2Market risk (Cont’d)
ii) Foreign currency risk

Currency risk is the risk that value of a financial instrument will
fluctuate due to changes in foreign exchange rates
The company has transactions in United States Dollars (“USD”) and as a

result, the company is exposed to movements in foreign currency
exchange rates. However, the company does not use any financial
derivatives such as foreign currency forward contracts and foreign
currency options for hedging purpose.
The company is exposed to currency risk arising primarily from USD as

significant purchases are denominated in USD.
USD TOTAL
$ $
At 31st March 2021

Financial assets
Cash and cash equivalents 10,472 10,472
Trade and other
receivables 395,966 395,966
406,438 406,438
Net currency exposure 406,438 406,438
At 31st March 2020

Financial assets
Cash and cash equivalents 2,605 2,605
Trade and other
receivables 1,191,098 1,191,098
1,193,703 1,193,703
Net currency exposure 1,193,703 1,193,703
Assuming that the USD had strengthened/weakened against the SGD by

1% (2020: 6%) with all other variables including tax rate being held
constant, the company’s profit after tax for the financial year would have
been $3,300 (2020: $59,500) higher/lower as a result of currency
translation gains/losses.
40
INFOCEPTS PTE. LTD.

20.3 Liquidity Risk
Analysis of financial instruments by remaining contractual maturities
The table below summarises the maturity profile of the Company’s financial assets and
liabilities at the reporting date based on contractual undiscounted repayment obligations.
2021
Carrying Contractual One year One to
Amount Cash flow Or less Five years
$ $ $ $
Financial Assets
Trade and other receivables 936,016 936,016 936,016 -
Cash and cash equivalents 607,032 607,032 607,032 -
Total undiscounted
financial assets 1,543,048 1,543,048 1,543,048 -
Financial Liabilities
Trade and other payables 1,058,626 1,058,626 1,058,626 -
Borrowing (excluding lease
liabilities) 544,413 544,413 544,413 -
Lease liabilities (Note 18) 236,900 250,889 157,124 93,765
Total undiscounted
financial liabilities 1,839,939 1,853,928 1,760,163 93,765
Total net undiscounted

financial (liabilities) (296,891) (310,880) (217,115) (93,765)
41
INFOCEPTS PTE. LTD.

20.3 Liquidity Risk
2020
Carrying Contractual One year One to
Amount Cash flow Or less five years
$ $ $ $
Financial Assets
Trade and other receivables 1,529,681 1,529,681 1,529,681 -
Cash and cash equivalents 882,036 882,036 882,036 -
Total undiscounted
financial assets 2,411,717 2,411,717 2,411,717 -
Financial Liabilities
Trade and other payables 1,331,787 1,331,787 1,331,787 -
Borrowing (excluding lease
liabilities) 516,427 516,427 516,427 -
Lease liabilities (Note 18) 457,494 479,147 351,447 127,700
2,305,708 2,327,361 2,199,661 127,700
Total net undiscounted

asset/(liabilities) 106,009 84,356 212,056 (127,700)
20.4 Fair Values

The carrying amounts of financial assets and liabilities are approximate to their fair
values.
21. CAPITAL MANAGEMENT

The company’s objectives when managing capital are:
a) To safeguard the company’s ability to continue as a going concern;
b) To support the company’s stability and growth; and
c) To provide capital for the purpose of strengthening the company’s risk management
capability.
The company actively and regularly reviews and manages its capital structure to ensure optimal
capital structure and shareholders returns, taking into consideration the future capital requirements
of the company and capital efficiency, prevailing and projected profitability, projected operating
cash flows, projected capital expenditure and projected strategic investment opportunities.
42
INFOCEPTS PTE. LTD.
21. CAPITAL MANAGEMENT (CONT’D)

The gearing ratio is calculated as net debt divided by total capital. Net debt is calculated as
borrowings plus trade and other payables less cash and cash equivalents. Total capital is
calculated as total equity plus net debt.
22. CONTINGENT LIABILITIES

At balance sheet date, the company has contingent liability of $56,232 in respect of letter of
guarantee issued in the normal course of business.
23. IMPACT OF COVID-19

The COVID-19 pandemic has affected almost all countries of the world, and resulted in
border closures, production stoppages, workplace closures, movement controls and other
measures imposed by the various governments. The Company’s significant operations
are in Singapore which have been affected by the spread of COVID-19 in 2020. Set out
below is the impact of COVID-19 on the Company’s financial performance reflected in
this set of financial statements for the year ended 31st March 2021:
i. In 2021, the Company received government grants. The effects of such

government grants received are disclosed in Note 5.
ii. The Company has considered the market conditions (including the impact of
COVID-19) as at the balance sheet date, in making estimates and judgements on
the recoverability of assets as at 31st March 2021. The Company has assessed no
impairment on financial assets or non-financial assets is required as at 31st
March 2021.
24. NEW ACCOUNTING STANDARDS AND FRS INTERPRETATIONS

Certain new accounting standards, amendments and interpretations to existing standards
have been published and they are mandatory for the company’s accounting periods
beginning on or after 1st April 2021 or later periods, which the company has not early
adopted. The company does not expect that adoption of these accounting standards or
interpretations will have a material impact on the company’s financial statements.
25. AUTHORISATION OF FINANCIAL STATEMENTS

The board of directors has authorised these financial statements for issue on the date of
the directors’ statement.
43
INFOCEPTS PTE. LTD.
DETAILED PROFIT OR LOSS ACCOUNT FOR THE FINANCIAL YEAR ENDED 31ST
MARCH 2021
2021 2020
$ $
REVENUE 5,993,625 6,714,659
LESS: COST OF SALES

Professional fees 3,008,890 3,121,127
Salaries and wages 2,634,872 2,669,079
Performance incentives 173,592 227,153
Employer’s contributions to defined contribution plan 129,079 70,019
Cost of license fees 596,508 398,573
6,542,941 6,485,951
GROSS (LOSS)/PROFIT (549,316) 228,708
ADD: OTHER OPERATING INCOME

Deemed rental received 263,223 221,400
Foreign exchange differences (net) - 7,970
Government grants 208,313 5,751
Interest received on fixed deposit 142 61
Referral fees 5,095 137,001
Sundry income 58,760 4,800
535,533 376,983
(13,783) 605,691
LESS: EXPENDITURE (as per schedule) 831,465 771,120
OPERATING (LOSS) FOR THE YEAR (845,248) (165,429)
This schedule does not form part of the audited statutory financial statements.
INFOCEPTS PTE. LTD.
2021 2020
$ $
EXPENDITURE
Auditor’s remuneration 10,000 10,000
Bank charges 5,255 5,451
Commission and brokerage - 24,891
Commission on bank guarantee - 2,110
Computer consumables 719 1,505
Donation 82 -
Entertainment 152 5,473
Foreign exchange differences (net) 95,110 -
Insurance 43,727 41,030
Interest expense on loan from Holding Company 52,250 19,325
Interest expense on lease liabilities 27,615 24,546
Legal and professional fees 7,323 11,184
Office expenses 8,933 13,291
Printing, postages and stationery 1,093 1,076
Recruitment expenses 74,261 4,870
Rental 58,026 28,516
Secretarial fee 1,200 1,200
Seminar and conference 124 9,000
Service rendered by a firm in which director has interest 6,000 6,000
Staff welfare 4,673 2,095
Subscriptions fees 4,369 7,992
Summit and meeting - 35,532
Team engagement 4,151 11,003
Telephone 16,252 22,972
Training fees 1,684 -
Travelling 41,084 161,880
Utilities 835 1,742
831,465 771,120
This schedule does not form part of the audited statutory financial statements.

Infocept Pte LTD - 2021

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Audited Financial Statements

And Other Financial Information

INFOCEPTS PTE. LTD.

31ST MARCH 2021

INFOCEPTS PTE. LTD.

31ST MARCH 2021

Directors’ Statement 1-2

Independent Auditor’s Report 3-4

Statement of Profit or Loss and Other Comprehensive Income 5

Statement of Changes in Equity 7

Statement of Cash Flows 8

Notes to the Financial Statements 9 - 43

1. OPINION OF THE DIRECTORS

In the opinion of the directors,

3. ARRANGEMENTS TO ENABLE DIRECTORS TO ACQUIRE SHARES AND

4. DIRECTORS’ INTERESTS IN SHARES AND DEBENTURES

According to the Register of Directors’ Shareholdings kept by the Company under

Direct interest Deemed interest

Ordinary shares of the Holding Company

On behalf of the board of directors:

To the Shareholder of InfoCepts Pte. Ltd.

Report on Audit of the Financial Statements

Basis for Opinion

Responsibilities of Management and Directors for the Financial Statements

Report on Other Legal and Regulatory Requirements

STRATEGIC AUDIT ALLIANCE PAC

STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME FOR

NOTE 2021 2020

Revenue 5 5,993,625 6,714,659

Cost of sales (6,542,941) (6,485,951)

Gross (loss)/profit (549,316) 228,708

Other operating income 5 535,533 376,983

Distribution costs (41,084) (161,880)

Administrative expenses (243,604) (241,482)

Other operating expenses 6 (466,912) (323,887)

(Loss) from operations 7 (765,383) (121,558)

Finance costs 8 (79,865) (43,871)

(Loss) from ordinary activities before income tax (845,248) (165,429)

Income tax 16 26,521 -

(Loss) from ordinary activities after income tax

The accompanying notes form an integral part of these financial statements.

BALANCE SHEET AS AT 31ST MARCH 2021

NOTE 2021 2020

NET CURRENT (LIABILITIES)/ASSETS (207,662) 936,609

The accompanying notes form an integral part of these financial statements.

STATEMENT OF CHANGES IN EQUITY FOR THE FINANCIAL YEAR ENDED 31ST

Balance at 1st April 2019 51,000 897,440 948,440

Total comprehensive (loss) for the year - (165,429) (165,429)

Balance at 31st March 2020 51,000 732,011 783,011

Balance at 1st April 2020 51,000 732,011 783,011

Total comprehensive (loss) for the year - (818,727) (818,727)

Balance at 31st March 2021 51,000 (86,716) (35,716)

The accompanying notes form an integral part of these financial statements.

Changes in working capital:

Cash (used in) operations (449,024) (439,046)

CASH FLOWS FROM INVESTING ACTIVITIES

CASH FLOWS FROM FINANCING ACTIVITIES

Net changes in cash and cash equivalents (275,146) (357,076)

The accompanying notes form an integral part of these financial statements.

NOTES TO THE FINANCIAL STATEMENTS

31ST MARCH 2021

1. GENERAL CORPORATE INFORMATION

The ability of the Company to continue as a going concern is dependent on the