GHL System Berhad Annual Report 2019

A N N U A L R E P O R T 2 0 1 9 113 NOTES TO THE FINANCIAL STATEMENTS 31 DECEMBER 2019 CONT’D 13. RIGHT-OF-USE ASSETS AND LEASE LIABILITIES (cont’d) (j) Reconciliation of liabilities arising from financing activities The table below details changes in lease liabilities of the Group and of the Company arising from financing activities, including both cash and non-cash changes. Lease liabilities arising from financing activities are those for which cash flows were, or future cash flows will be, classified in the statement of cash flows of the Group and of the Company as cash flows from financing activities. Group Company 2019 2019 RM RM Lease liabilities At beginning of financial year - - Effects of adoption of MFRS 16 14,240,112 354,186 As restated 14,240,112 354,186 Cash flows (8,222,455) (133,960) Non-cash flows: - Additions 7,825,974 37,238 - Unwinding of interest 1,180,222 12,801 - Exchange difference 285,047 - At end of financial year 15,308,900 270,265 The Group as lessor (k) The Group has entered into non-cancellable lease agreements on EDC equipment for terms of one (1) year to three (3) years and renewable at the end of the lease period. The monthly rental is fixed based on number of EDC equipment leased out. The Group has aggregated future minimum lease receivables as at the end of each reporting period as follows: Group 2019 2018 RM RM Not later than one (1) year 28,415,105 26,744,052 Later than one (1) year and not later than five (5) years 9,804,136 23,834,496 38,219,241 50,578,548