NOTES TO THE FINANCIAL STATEMENTS For the financial year ended 31 December 2025 30. RELATED PARTY TRANSACTIONS (a) Related party transactions In addition to the related party information disclosed elsewhere in the financial statements, the following significant transactions between the Company and related companies took place at terms agreed between the parties during the financial year: Company 2025 2024 $’000 $’000 Management fee received 10,124 9,933 Royalties/licensing/agency fees received 35 42 Interest received 5,007 4,655 Rental income received 834 824 Sales commission received 1,364 1,456 Dividend received 16,764 20,044 Interest paid (1,531) (1,438) Related companies: These are subsidiaries of CSE Global Limited. (b) Compensation of directors and key management personnel Group 2025 2024 $’000 $’000 Short-term employee benefits 9,308 7,977 Shared based compensation 2,750 2,427 Central Provident Fund contributions 58 58 Directors fees 477 513 12,593 10,975 Comprise amounts paid to: Directors of the Company 3,971 3,250 Other key management personnel 8,622 7,725 12,593 10,975 31. FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES The Group’s principal financial instruments comprise bank loans, cash and bank balances. The main purpose of these financial instruments is to finance the Group’s operations. All financial transactions with the banks are governed by banking facilities duly accepted with Board of Directors resolutions and banking mandates which define the permitted financial instruments and facilities limits, approved by the Board of Directors. All financial transactions require dual signatories. The Group has various other financial assets and liabilities such as trade receivables, trade payables, and lease liabilities which arise directly from its operations. The Group is exposed to changes in market interest rate as the Group has floating interest rate borrowings. In order to minimise the adverse effects on the financial performance of the Group, derivative financial instruments, such as interest rate swap are used to hedge the interest rate risk. The following sections provide details regarding the Group’s and Company’s exposure to the above-mentioned financial risks and the objectives, policies and processes for the management of these risks. 176 CSE GLOBAL LIMITED
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