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Page 1
                    PT REMALA ABADI Tbk AND SUBSIDIARIES


                            Interim Financial Report
          June 30, 2024 (Unaudited) and December 31, 2023 (Audited)
         And For the Six-Month Period Ended June 30, 2024 (Unaudited)
(With Comparative Figures for the Six-Month Period Ended June 30, 2023 (Audited))
Page 2
                                       TABLE OF CONTENTS




                                                           Page

Board of directors' statement

Consolidated statements of financial position              1-2

Consolidated statements of profit or loss and
   other comprehensive income                                3

Consolidated statements of changes in equity                 4

Consolidated statements of cash flow                         5

Notes to the consolidated financial statements             6 - 48
Page 3

          
Page 4
PT REMALA ABADI Tbk AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF FINANCIAL POSITION
June 30, 2024 and December 31, 2023
(Expressed in Rupiah, unless otherwise stated)

                                       Notes        June 30, 2024     December 31, 2023

ASSETS

CURRENT ASSETS
Cash                                2c,2l,2m,4,34    15.455.919.461       9.440.496.783
Account receivable
  Third parties                        2m,5,34       12.002.392.807       3.494.778.325
  Related parties                   2i,2m,5,33,34       850.724.653       1.437.366.657
Other receivables
  Third parties                       2m,6,34           380.009.835       1.370.009.835
Prepaid expenses                       2k,20a            64.980.388                   -
Inventory                               2d,7         29.191.451.594      12.124.390.559
Advances                                2e,8         14.227.129.728       8.069.424.398

Total Current Assets                                 72.172.608.466      35.936.466.557

NON-CURRENT ASSETS
Deferred tax assets                    2k,20d         1.225.295.691       1.225.295.691
Other receivables
  Third parties                         2m,6,34          79.108.834                   -
  Related parties                   2i,2m,6,33,34     1.970.688.130       3.707.674.348
Investment advance                        9a         20.950.000.000         100.000.000
Investment in associated entities        2f,9b          456.891.917         456.891.917
Fixed assets                             2g,11      103.380.433.335      92.628.290.579
Right-of-use assets                      2p,12       11.967.581.433      12.710.736.093
Other non-current assets               2m,10,34         311.062.930         241.043.430

Total Non-Current Assets                            140.341.062.270     111.069.932.058

TOTAL ASSETS                                        212.513.670.736     147.006.398.615




                                            1
Page 5
PT REMALA ABADI Tbk AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF FINANCIAL POSITION
June 30, 2024 and December 31, 2023
(Expressed in Rupiah, unless otherwise stated)

                                            Notes        June 30, 2024      December 31, 2023

LIABILITY AND EQUITY
SHORT-TERM LIABILITIES
Short-term bank loan                      2m, 13,34           18.030.000       12.602.714.636
Accounts payable - third parties          2m,14,34        10.438.663.552       15.449.371.731
Accrued expenses                          2m,15,34         6.143.426.506        4.414.848.193
Tax payables                               2k,20b          8.475.542.413        7.592.339.670
Long term liabilities
  due in one year:
  Consumer financing payables            2m,2p,18,34       2.329.174.401        3.339.189.887
  Lease liabilities                      2m,2p,17,34       1.486.131.720          692.476.700
Total Short Term Liabilities                              28.890.968.592       44.090.940.817
LONG TERM LIABILITIES
Other debts
  Third parties                             2m,16                      -                    -
  Related parties                       2i,2m,16,33,34     5.474.940.713        2.350.000.000
Long - term liabilities - after minus
  the portion due in one year:
  Consumer financing payables            2m,2p,18,34       1.957.952.181        2.223.014.297
  Lease liabilities                      2m,2p,17,34       2.497.740.063        4.148.632.393
Employee benefits liabilites                2o,19          2.612.829.682        2.612.829.682
Total Long Term Liabilities                               12.543.462.639       11.334.476.372
Total Liabilities                                         41.434.431.231       55.425.417.188
EQUITY
Equity attributable
to the owners of the parent entity
Share capital                                21           68.750.000.000       55.000.000.000
Additional paid-in capital                   22           44.419.722.576        7.271.363.600
Retained earning
  Appropriated                               23            2.000.000.000        1.000.000.000
  Unappropriated                             23           55.383.434.066       27.996.189.195
Other comprehensive income
  Remeasurement of employee benefits        2o,24            (62.121.168)         (62.121.168)
Subtotal                                                 170.491.035.474       91.205.431.628
Non-controlling interests                    25              588.204.031          375.549.799
Total Equity                                             171.079.239.505       91.580.981.427
TOTAL LIABILITIES AND EQUITY                             212.513.670.736      147.006.398.615


                                                  2
Page 6
PT REMALA ABADI Tbk AND SUBSIDIARIES
STATEMENTS OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME
For the Six-Month Periods Ended June 30, 2024 and 2023
(Expressed in Rupiah, unless otherwise stated)

                                          Notes     June 30, 2024       June 30, 2023
REVENUES                                   2j,26    127.478.519.246     105.222.795.785

COST OF GOODS SOLD                         2j,27     43.047.378.920      49.885.841.839

GROSS PROFIT                                         84.431.140.326      55.336.953.946

Sales expenses                             2j,28    (13.985.865.791)     (8.673.827.619)
General and administrative expenses        2j,29    (30.856.437.368)    (21.946.408.336)
Financing charges                          2j,30       (825.638.210)       (151.258.094)
Other income                               2j,31        314.603.978         709.853.016
Other expenses                             2j,31       (302.517.775)     (1.628.738.046)

PROFIT BEFORE EXPENSES
 INCOME TAX                                          38.775.285.160      23.646.574.867

INCOME TAX BENEFITS (EXPENSE)
Current                                   2k, 20c     (9.580.440.100)     (5.578.686.740)
Deferred                                    2k                     -         148.791.376
Income Tax Expense - Net                              (9.580.440.100)     (5.429.895.364)

NET PROFIT                                           29.194.845.060      18.216.679.503

OTHER COMPREHENSIVE INCOME
Item that will not reclassified to
   profit and loss:
   Remeasurement of employee benefits                               -      (179.852.168)
   Related income taxes                                             -        39.567.477
Other Comprehensive Income (Loss) - Net                             -      (140.284.691)
NET COMPREHENSIVE PROFIT                             29.194.845.060      18.076.394.812
EARNINGS PER SHARE                         2r,32              21,71           36.415,29
Attributable net profit to:
  Owner of the parent entity                         29.178.190.827      18.207.642.659
  Non-controlling interests                              16.654.233           9.036.844
Total                                                29.194.845.060      18.216.679.503

Net comprehensive income
  attributable to:
  Owner of the parent entity                         29.178.190.827      18.067.689.265
  Non-controlling interests                              16.654.233           8.705.547
Total                                                29.194.845.060      18.076.394.812


                                               3
Page 7
PT REMALA ABADI Tbk AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY
For the Six-Month Periods Ended June 30, 2024 and 2023
(Expressed in Rupiah, unless otherwise stated)

                                                                                       Equity Attributable to Owners of the Parent Entity
                                                                                 Retained Earnings                     Other
                                 Issued Capital        Additional                                                 Comprehensive                                Non-Controlling
                                    and Paid         Paid-in Capital      Appropriated      Unappropriated            Income                  Subtotal            Interest         Total Equity

Balance January 1,
     2023                             25.000.000          7.271.363.600              -         59.529.141.611            (9.993.078)         66.815.512.133        224.718.085     67.040.230.218

Investment in subsidiaries by
     non-controlling interests               -                      -                -                    -                     -                        -         125.000.000       125.000.000

Net profit for the
     period/year                             -                      -                -         18.207.642.659                   -            18.207.642.659          9.036.844     18.216.679.503

Comprehensive income
    others- net                              -                      -                -                    -            (139.953.394)           (139.953.394)          (331.297)      (140.284.691)

Balance June 30,
     2023                             25.000.000          7.271.363.600              -         77.736.784.270          (149.946.472)         84.883.201.398        358.423.632     85.241.625.030

Balance January 1,
     2024                         55.000.000.000          7.271.363.600    1.000.000.000       27.996.189.195           (62.121.168)         91.205.431.628        375.549.799     91.580.981.427

Net profit for the
     period/year                             -                      -                -         29.178.190.827                   -            29.178.190.827         16.654.233     29.194.845.060

Paid-up capital                              -           50.898.358.976              -                    -                     -            50.898.358.976                -       50.898.358.976

Other equity transactions                    -                                       -          (790.945.956)                   -             (790.945.956)       195.999.999       (594.945.957)

Reserve                                      -                            1.000.000.000       (1.000.000.000)                   -                        -                 -                  -

Comprehensive income
    others- net                              -                      -                -                    -                     -                        -                 -                  -

Balance June 30, 2024             55.000.000.000         58.169.722.576    2.000.000.000       55.383.434.066           (62.121.168)        170.491.035.474        588.204.031    171.079.239.505




                                                                                               4
Page 8
PT REMALA ABADI Tbk AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
For the Six-Month Periods Ended June 30, 2024 and 2023
(Expressed in Rupiah, unless otherwise stated)

                                                         June 30, 2024       June 30, 2023
CASH FLOWS FROM OPERATING ACTIVITIES
Cash receipts from customers                             119.557.546.768     107.992.107.866
Payment to suppliers                                     (48.936.279.052)    (55.989.040.354)
Payments to employees                                    (35.508.428.479)    (21.221.572.524)
Payment of other operating expenses                      (12.345.050.424)    (12.058.150.474)
Payment of financing charges                                (825.638.210)       (151.258.094)
Payment of corporate income tax                           (8.475.542.413)     (7.251.387.067)

Net Cash Flows Obtained from Operating Activities          13.466.608.190      11.320.699.353
CASH FLOWS FROM INVESTMENT ACTIVITIES
Cash receipts (used) to other receivables                   1.736.986.218         734.352.577
Acquisition of fixed assets                               (18.387.841.832)    (17.735.783.181)
Advance payment                                            (6.157.705.330)                  -
Addition of right-of-use assets                                         -                   -
Additional down payment for investment                    (20.850.000.000)                  -

Net Cash Flows Obtained from Investment Activities        (43.658.560.944)    (17.001.430.604)
CASH FLOWS FROM FUNDING ACTIVITIES
Received from:
  Non-controlling capital                                               -        125.000.000
  Other payables - related parties                          3.124.940.713          4.484.000
  Paid-up capital                                          51.700.000.000                  -
Payment for:
  Long term bank loan                                     (12.584.684.636)                  -
  Consumer financing debt                                  (1.275.077.602)       (523.882.902)
  Lease liabilities                                        (1.650.892.330)                  -
  Other payables                                           (3.124.940.713)        (59.644.444)

Net Cash Flows Obtained from Funding Activities            36.189.345.432        (454.043.346)
NET INCREASE (DECREASE) IN CASH                             5.997.392.678      (6.134.774.597)

CASH AT THE BEGINNING OF THE PERIOD                         9.440.496.783      12.989.637.242

CASH AT THE END OF THE PERIOD                              15.437.889.461       6.854.862.645

Cash consist of:
  Cash                                                     15.455.919.461       6.919.835.401
  Overdraft                                                   (18.030.000)        (64.972.756)

Total                                                      15.437.889.461       6.854.862.645



                                                     5
Page 9
PT REMALA ABADI Tbk AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Six-Month Periods Ended June 30, 2024 and 2023
(Dinyatakan Dalam Rupiah, Kecuali Dinyatakan Lain)

1.   GENERAL

     a.   Establishment of the Company's and General Information

          PT Remala Abadi (“Company”) was established in the Republic of Indonesia based on
          Notarial Deed No. 5 of Fajra Rizqi Nasution, SH., dated March 15 2004 and has been ratified
          by the Minister of Justice and Human Rights of the Republic of Indonesia in Decree No. C-
          12023 HT.01.01.TH.2004 dated 13 May 2004 and announced in State Gazette No. 081
          Supplement to the Republic of Indonesia State Gazette No. 031462 dated 10 October 2023.
          The Company's Articles of Association have undergone several changes, most recently
          based on Deed No. 45 dated 15 November 2023 by Notary Elizabeth Karina Leonita, SH.,
          M.Kn., Notary in South Jakarta, which has received approval from the Minister of Law and
          Human Rights of the Republic of Indonesia in Decree No. AHU-0071258.AH.01.02.TAHUN
          2023 dated November 17, 2023 and has been received by the Minister of Law and Human
          Rights based on letter No. AHU-AH.01.09-0186388 and letter No. AHU-AH.01.03-0143300
          dated November 17, 2023 .

          According to Article 3 of the Company's Articles of Association, the Company operates in the
          trade and services sector, namely trading computers and computer equipment, software and
          internet service providers. Currently, the Company operates in the internet service provider
          sector. The Company started its commercial business activities in 2004. The Company's
          domicile is at Graha Mustika Ratu Fl. GF, Jl. Gatot Subroto No.74 - 75, South Jakarta, while
          the operational locations or marketing offices are in 3 (three) locations spread across Central
          Jakarta, East Jakarta and Bekasi.

          The controlling shareholder of the Company is Verah Wahyudi Singgih Wong.

     b.   Boards of Commissioners and Directors, Audit Committee, and Employees

          The composition of the Company's Board of Commissioners and Directors as of June 30,
          2024 is as follows:

                                                    June 30, 2024

          Board Commissioners
          The Main Commissioner    :        Verah Wahyudi Singgih Wong
          Independent Commissioner :        Ahmad Alamsyah Saragih, SE

          Directors
          President Director          :          Richard Kartawijaya
          Director of Finance         :           Samuel Adi Mulia

          The composition of the Company's Audit Committee as of June 30, 2024 is as follows:

                                                    June 30, 2024

          Chairman                    :     Ahmad Alamsyah Saragih, SE
          Member                      :            Sudarmana
          Member                      :          Sundara Ichsan

          On November 18 2023 , the Company's Board of Directors appointed Hong Chintia as
          Corporate Secretary based on Decree No. 002/SK/RA/DIR/XI/2023.


                                                    6
Page 10
PT REMALA ABADI Tbk AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Six-Month Periods Ended June 30, 2024 and 2023
(Dinyatakan Dalam Rupiah, Kecuali Dinyatakan Lain)

1.   GENERAL (contined)

     b.   Boards of Commissioners and Directors, Audit Committee, and Employees (continued)

          The Company's key management personnel consist of the Board of Commissioners and
          Directors.

          As of June 30, 2024, the Company and Subsidiaries (hereinafter collectively referred to as the
          (“Group”) had 385 permanent employees.

     c.   Subsidiary Entity Structure

          As of March 31, 2024 the Company has Subsidiaries with direct ownership as follows:

                                                                                                         Total Assets Before
                                                                                                             Elimination
                                                                                          Ownership
                                                      Date           Position and         Percentage     (In million Rupiah)
                                     Business     Establishme       Business Year          June 30             June 30
               Subsidiaries           fields           nt            Commercial         2024      2023   2024          2023

          PT PC 24 Cyber             Internet      January 6,        Bekasi, Jawa       99%      99%     27.556        24.256
            Indonesia (PC 24)         Service        2006            Barat / 2006
                                     Provider

          PT Solusi Aplikasi         Trade and     August 19,       Jakarta Timur /     88%      88%        545           495
            Andalan Semesta         Programming      2021               Not yet
            (SAAS)                    computer                        operational



          PT Akselerasi Informasi     Trading     January 27,       Jakarta Selatan /   50%      50%        209           233
            Indonesia (AII)                          2023               Not yet
                                                                      operational


          PT Fiber Kerumah            Trading     September 1,      Jakarta Selatan /   97%       0%      6.908           -
            Indonesia (FKI)                          2023               Not yet
                                                                      operational


          PT PC 24 Cyber Indonesia

          The Company established PT PC 24 Cyber Indonesia (“PC 24”) based on Notarial Deed No.
          2 by Anita Munaf, SH., dated January 6 2006 and has been ratified by the Minister of Law
          and Human Rights of the Republic of Indonesia in Decree No. C-02103 HT.01.01.TH.2006
          dated 24 January 2006. The Articles of Association of PC 24 have undergone several
          changes, most recently based on Notarial Deed No. 4 dated 10 June 2020 by Rpiansyah
          Rizal, SH, M.Kn., regarding additions to the aims and objectives of business activities. This
          change has been approved by the Minister of Law and Human Rights in Decree No. AHU-
          0040319.AH.01. 02. TAHUN 2020 dated June 13 2020.

          PC 24 is engaged in cable telecommunications, computer programming activities, electrical
          and other telecommunications network construction, as well as wholesale and retail trade,
          namely trade in computers and computer equipment, as well as software. PC 24's domicile is
          in Bekasi City , West Java. Currently, PC 24 operates in the internet service provider sector
          and started its commercial business activities in 2006.
          The Company share ownership in PC 24 is 99%. PC 24's total assets before elimination on
          June 30, 2024 amounted to Rp27.554.537.374.
                                                                7
Page 11
PT REMALA ABADI Tbk AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Six-Month Periods Ended June 30, 2024 and 2023
(Dinyatakan Dalam Rupiah, Kecuali Dinyatakan Lain)

1.   GENERAL (contined)

     c.   Subsidiary Entity Structure

          PT Solusi Aplikasi Andalan Semesta

          The Company established PT Solusi Aplikasi Andalan Semesta (“SAAS”) based on Notarial
          Deed No. 8 by Rpiansyah Rizal, SH, M.Kn., dated 29 August 2021 and has been ratified by
          the Minister of Law and Human Rights of the Republic of Indonesia in Decree No. AHU-
          0052254.AH.01. 01.TAHUN 2021 dated 24 August 2021 with the following composition of
          shareholders:

          a)   Company amounting to Rp400,000,000 or 400 shares.
          b)   Tri Sefti Adi amounting to Rp50,000,000 or 50 shares.
          c)   Nur Rakhmad Setiawan amounting to Rp50,000,000 or 50 shares.

          Furthermore, based on Notarial Deed No. 8 dated 20 May 2022 by Novita Sari Sianturi, SH,
          M.Kn., and has been accepted by the Minister of Law and Human Rights in the Letter of
          Acceptance of Notification of SAAS Data Changes No. AHU-AH.01.09-0016330 dated 28
          May 2022. SAAS shareholders approved the sale/transfer of all shares owned by Nur
          Rakhmad Setiawan, totaling 30 shares to Moh Reza Pahlevi and 20 shares to the Company,
          as well as the sale/ transfer of 20 shares belonging to Tri Sefti Adi to the Company, so that
          the composition of SAAS shareholders is as follows:

          a)   Company amounting to Rp440,000,000 or 440 shares.
          b)   Tri Sefti Adi amounting to Rp30,000,000 or 30 shares.
          c)   Moh Reza Palevi amounting to Rp30,000,000 or 30 shares.

          SAAS is engaged in wholesale trading and computer programming activities. SAAS domicile
          is in East Jakarta. SAAS has not yet started its commercial business activities.

          The Company capital deposit in SAAS was made on December 13, 2022 amounting to Rp
          1,000,000 and in March - June 2023 amounting to Rp 439,000,000. Based on Notarial Deed
          No. 11 dated 7 November 2023, the shareholders decided to provide dispensation and
          ratification for the delay in fulfilling capital deposit obligations by SAAS shareholders. In
          connection with this, SAAS was consolidated into the Company starting November 7, 2023.

          PT Akselerasi Informasi Indonesia

          The Company established PT Akselerasi Informasi Indonesia (“AII”) based on Notarial Deed
          No. 18 by Kumala Tjahjani Widodo, SH, MH., M.Kn., dated January 27 2023 and has been
          ratified by the Minister of Law and Human Rights of the Republic of Indonesia in Decree No.
          AHU-0007657.AH.01. 01.TAHUN 2023 dated January 31, 2023 with the Company's
          ownership in SAAS amounting to 50% (equivalent to Rp125,000,000 or 125 shares).




                                                   8
Page 12
PT REMALA ABADI Tbk AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Six-Month Periods Ended June 30, 2024 and 2023
(Dinyatakan Dalam Rupiah, Kecuali Dinyatakan Lain)

1.   UMUM (lanjutan)

     c.   Subsidiary Entity Structure (continued)

          PT Akselerasi Informasi Indonesia (continued)

          AII operates in the fields of wholesale trade and information and communication. AII's
          domicile is in South Jakarta. AII has not yet started its commercial business activities. The
          Company's capital contribution to AII was made on March 14 2023 amounting to Rp
          16,390,000 and on July 28 2023 amounting to Rp108,610,000. Based on Notarial Deed No.
          60 dated November 17 2023, the shareholders decided to provide dispensation and
          ratification for the delay in fulfilling capital deposit obligations by AII shareholders. In
          connection with this, AII was consolidated into the Company starting November 17 2023.

          PT Fiber Kerumah Indonesia

          FKI is engaged in wholesale trade and information and communication. FKI's domicile is in
          West Jakarta. FKI has not yet commenced its commercial business activities. Based on
          Notarial Deed of Elizabeth Karina Leonita, S.H., M.Kn., No. 5 dated June 3, 2024, an
          increase in share capital from Rp200,000,000 (two hundred million Rupiah) to
          Rp6,200,000,000 (six billion two hundred million Rupiah) was approved. So that the
          composition of FKI's shareholders becomes as follows:
          a) Company amounting to Rp6,004,000,000 or 6.004 shares.
          b) Iman Taufik amounting to Rp196,000,000 or 196 shares.


2.   MATERIAL ACCOUNTING POLICY INFORMATION

     a.   Basis of Preparation of the Consolidated Financial Statements

          The consolidated financial statements have been prepared and presented in accordance with
          Financial Accounting Standards (“SAK”), which comprise the Statements (“PSAK”) and
          Interpretations (“ISAK”) issued by the Board of Financial Accounting Standards of the
          Indonesian Institute of Accountants and the Board of Syariah Accounting Standards of the
          Indonesian Institute of Accountants, and regulations of capital market regulator.

          The accounting policies applied in the preparation of these consolidated financial statements
          are consistent with the accounting policies applied in the preparation of the Group’
          consolidated financial statements for the year ended December 31, 2023.

          The consolidated financial statements, except for the consolidated statements of cash flows,
          have been prepared on an accrual basis of accounting using the historical cost concept,
          except for certain accounts that are measured on the other bases as described in the related
          accounting policies.

          The consolidated statements of cash flows are prepared using the direct method, and
          classified into operating, investing and financing activities.

          The presentation currency used in the preparation of the consolidated financial statements is
          Rupiah (Rp), which is also the functional currency of the Company and Subsidiaries.


                                                    9
Page 13
PT REMALA ABADI Tbk AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Six-Month Periods Ended June 30, 2024 and 2023
(Dinyatakan Dalam Rupiah, Kecuali Dinyatakan Lain)

2.   MATERIAL ACCOUNTING POLICY INFORMATION (continued)

     b.   Principles of Consolidation

          The Group applies PSAK No. 110 “Consolidated Financial Statements”. The consolidated
          financial statements combine all Subsidiaries controlled by the Company. Control is obtained
          when the Company (investor) is exposed to or has rights to variable returns from its
          involvement with the investee and has the ability to influence those returns through its power
          over the investee .

          Thus, an investor controls an investee if, and only if, the investor owns all of the following:

          (a)   power over the investee;
          (b)   exposure or rights to variable returns from its involvement with the investee ; and
          (c)   the ability to use its power over the investee to influence the amount of the investor's
                returns.

          Consolidation of an investee begins on the date the investor obtains control of the investee
          and ends when the investor loses control of the investee.

          Non-controlling interest represents the portion of profit or loss and net assets that is not
          attributable to the parent entity and is presented separately in the consolidated statement of
          profit or loss and other comprehensive income and equity in the consolidated statement of
          financial position, separated from equity attributable to the parent entity.

          All comprehensive income is attributable to the owners of the parent entity and to non-
          controlling interests even if this results in non-controlling interests having a deficit balance.

          Changes in the parent entity's ownership interest in a subsidiary that do not result in a loss of
          control are recorded as equity transactions, where the carrying amounts of controlling and
          non-controlling interests are adjusted to reflect changes in their relative shares of the
          subsidiary. The difference between the amount of non-controlling interest adjusted and the
          fair value of the consideration given or received is recognized directly in equity and attributed
          to the owners of the parent entity.

          All material account balances and transactions between consolidated entities have been
          eliminated.

          If a parent entity loses control of a subsidiary, then the parent entity:
          (a) derecognize the assets (including any goodwill ) and liabilities of the former subsidiary
                from the consolidated statement of financial position.
          (b) recognize the remaining investment in the former subsidiary at its fair value at the date
                of loss of control, and then record the remaining investment and any amounts owed by
                or to the former subsidiary. The fair value is considered to be the fair value on initial
                recognition of the financial asset or, if appropriate, the cost on initial recognition of the
                investment in the associate.
          (c) recognize a gain or loss related to the loss of control that is attributable to the former
                controlling interest.



                                                      10
Page 14
PT REMALA ABADI Tbk AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Six-Month Periods Ended June 30, 2024 and 2023
(Dinyatakan Dalam Rupiah, Kecuali Dinyatakan Lain)

2.   MATERIAL ACCOUNTING POLICY INFORMATION (continued)

     c.   Cash and bank

          Cash consists of cash and bank balances, and is not used as collateral or restricted in use.

     d.   Inventories

          The Group applies PSAK No. 202 “Inventory”. Inventories are stated at the lower of cost or
          net realizable value. Net realizable value is the estimated selling price in normal business
          activities minus estimated completion costs and estimated costs required for the sale.

          Cost is determined using the First In, First Out method. Provision for obsolete inventory is
          determined based on the results of a review of the condition of inventories at the end of the
          reporting period.

     e.   Prepaid expenses

          Prepaid expenses are amortized over their useful lives using the straight-line method.

     f.   Investment in Associated Entities

          The Group applies PSAK No. 228 “Investment in associates and joint ventures”. An
          associated entity is an entity over which the Group has significant influence and is not a
          subsidiary or participating part in a joint venture. Ownership, directly or indirectly, of 20% or
          more of an investee's voting rights is considered ownership of significant influence, unless it
          can be clearly proven to the contrary.

          Investments in associates are accounted for using the equity method, where they are initially
          recognized at cost. Furthermore, the Group's share of the profit or loss of the associate, after
          any necessary adjustments for the effects of uniform accounting policies and elimination of
          profits or losses resulting from transactions between the Group and the associate, will
          increase or decrease the carrying amount of the investment and be recognized as profit or
          loss of the Group. Receipt of distributions from associates reduces the carrying amount of the
          investment.

          Adjustments to the carrying amount are also required if there is a change in the proportion of
          the Group's share of the associated entity arising from other comprehensive income of the
          associated entity. The Group's share of such changes is recognized in other comprehensive
          income of the Group.

          Goodwill related to the acquisition of an associate is included in the carrying amount of the
          investment. If there is negative goodwill , then the amount is recognized in profit or loss.
          Goodwill is not amortized and is tested for impairment annually.

          If the carrying value of an investment has reached zero, further losses will be recognized only
          if the Group has a commitment to provide funding assistance or guarantee the obligations of
          the associated entity concerned.



                                                     11
Page 15
PT REMALA ABADI Tbk AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Six-Month Periods Ended June 30, 2024 and 2023
(Dinyatakan Dalam Rupiah, Kecuali Dinyatakan Lain)

2.   MATERIAL ACCOUNTING POLICY INFORMATION (continued)

     f.   Investment in Associated Entities (continued)


          If an investment in an associate becomes an investment in a joint venture or vice versa, then
          the entity continued to apply the equity method and did not remeasure the remaining interest.

          Changes in investment value caused by changes in the value of equity in the associated
          entity arising from capital transactions in the associated entity with third parties are
          recognized as other comprehensive income and will be recognized as income or expense
          when the investment in question is disposed of.

     g.   Fixed assets

          The Group applies PSAK No. 216 “Fixed Assets”. The Group has chosen to use the cost
          model as its fixed asset measurement accounting policy. Depreciation is calculated using the
          straight-line method over the useful life of the asset. The estimated useful life of fixed assets
          is as follows:

                                                           Estimated Useful Life          Percentage

          Building                                                20 years                   5%
          Vehicle                                                 8 years                  12,5%
          Office equipment                                     4 and 8 years            25% and 12,5%
          Network infrastructure                                  8 years                  12,5%

          The useful lives of fixed assets and depreciation methods are reviewed and adjusted, as
          appropriate, at the end of each reporting period.

          Land is stated at cost and is not depreciated.

          ISAK No. 25, “Land Rights”, stipulates that the costs of legal processing of land rights in the
          form of Business Use Rights (“HGU”), Building Use Rights (“HGB”) and Use Rights (“HP”)
          when land is first acquired are recognized as part of the land acquisition cost in the “Fixed
          Assets” account and is not amortized. Meanwhile, processing costs for the extension or legal
          renewal of land rights in the form of HGU, HGB and HP are recognized as part of the
          "Deferred Expenses - Net" account in the consolidated statement of financial position and are
          amortized over the shorter of the legal life and economic life of the land.

          Repair and maintenance expenses are charged to profit or loss when incurred; Significant
          replacement or inspection costs are capitalized when incurred and when it is probable that
          future economic benefits relating to the asset will flow to the Group, and the cost of the asset
          can be measured reliably. Fixed assets are derecognized when they are disposed of or when
          no future economic benefits are expected from their use or disposal. Gains or losses arising
          from derecognition of an asset are included in profit or loss in the period the asset is
          derecognised.




                                                     12
Page 16
PT REMALA ABADI Tbk AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Six-Month Periods Ended June 30, 2024 and 2023
(Dinyatakan Dalam Rupiah, Kecuali Dinyatakan Lain)

2.   MATERIAL ACCOUNTING POLICY INFORMATION (continued)

     h.   Decrease in the Value of Non-Financial Assets

          The Group applies PSAK No. 236 “Impairment of Asset Value”. At the end of each reporting
          period, the Group assesses whether there are indications that assets are impaired. If there is
          such an indication, the Group estimates the recoverable amount of the asset. The
          recoverable amount of an asset or cash- generating unit is the higher of its fair value less
          costs of disposal and its value in use. If the recoverable amount of an asset is less than its
          carrying amount, then the carrying amount of the asset is reduced in value to its recoverable
          amount. An impairment loss is recognized immediately in profit or loss.

          A reversal of an impairment loss for a non-financial asset is recognized if, and only if, there
          has been a change in the estimates used in determining the asset's recoverable amount
          since the last impairment test was recognized. Reversal of an impairment loss is recognized
          immediately in profit or loss, unless the asset is presented at a revalued amount.

     i.   Transactions with Related Parties

          The Group discloses transactions with related parties based on PSAK No. 224 “Related Party
          Disclosures”. A party is considered related to the Group if:
          1) The person or immediate family member has a relationship with the reporting entity if the
               person:
               (i) has control or joint control over the reporting entity;
               (ii) has significant influence over the reporting entity; or
               (iii) key management personnel of the reporting entity or the reporting entity's parent
                      entity.
          2) An entity is related to the reporting entity if it fulfills one of the following:
               (i) The entity and the reporting entity are members of the same business group
                      (meaning the parent entity, subsidiary entity and subsequent subsidiaries are
                      related to another entity).
               (ii) One entity is an associated entity or joint venture of another entity (or an
                      associated entity or joint venture that is a member of a business group, of which
                      the other entity is a member).
               (iii) Both entities are joint ventures of the same third party.
               (iv) One entity is a joint venture of a third entity and the other entity is an associate
                      entity of the third entity.
               (v) The entity is a post-employment benefits program for employee benefits from one
                      of the reporting entities or an entity related to the reporting entity. If the reporting
                      entity is the entity that organizes the program, then the sponsoring entity is also
                      related to the reporting entity.
               (vi) Entities controlled or jointly controlled by the person identified in number (1).
               (vii) The person identified in item (1)(i) has significant influence over the entity or key
                      management personnel of the entity (or the parent entity of the entity).
               (viii) The entity, or a member of a group of which the entity is part, provides key
                      personal management services to the reporting entity or to the parent entity of the
                      reporting entity.

          All significant transactions with related parties are disclosed in the notes to the consolidated
          financial statements.

                                                      13
Page 17
PT REMALA ABADI Tbk AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Six-Month Periods Ended June 30, 2024 and 2023
(Dinyatakan Dalam Rupiah, Kecuali Dinyatakan Lain)

2.   MATERIAL ACCOUNTING POLICY INFORMATION (continued)

     j.   Revenues and Expenses Recognition

          The Group recognizes revenues in accordance with PSAK No. 115, “Revenue from Contracts
          with Customers”, by performing transaction analysis through the five steps of revenue
          recognition model as follows:

          1)   Identifying contracts with customers, where the Group records contracts with customers
               only if all of the following criteria are met:
               •     The contract has been agreed to by the parties to the contract.
               •     The Group can identify the rights of the parties and payment terms for the goods to
                     be transferred.
               •     The contract has commercial substance.
               •     It is likely that the Group will receive compensation for the goods transferred.
          2)   Identify performance obligations in the contract.
          3)   Determine the transaction price.
          4)   Allocate the transaction price to each performance obligation.
          5)   Recognize revenue when performance obligations have been fulfilled (at a certain time
               or over time).

          Expenses are recognized when they occur ( accrual basis ).

     k.   Income tax

          The Group applies PSAK No. 212 “Income Tax”. Current tax expense is determined based on
          the estimated

          Income tax in the current period's profit and loss consists of current and deferred taxes.
          Income tax is recognized in profit or loss, except for transactions related to transactions
          recognized directly in equity or other comprehensive income, in which case it is recognized in
          equity or other comprehensive income.

          Current tax assets and current tax liabilities are offset if, and only if, the entity has a legally
          enforceable right to offset the recognized amounts; and has the intention to settle on a net
          basis, or realize the asset and settle the liability simultaneously.

          Deferred tax assets and liabilities are recognized for temporary differences between assets
          and liabilities for commercial purposes and for tax purposes at each reporting date. Deferred
          tax assets are recognized for all deductible temporary differences to the extent that it is
          probable that the deductible temporary differences can be utilized to reduce fiscal profit in the
          future. Future tax benefits, such as unused fiscal loss balances, are recognized to the extent
          that it is probable that the tax benefits will be realized.

          Deferred tax assets and liabilities are measured at the tax rates that are expected to be used
          in the period when the asset is realized or when the liability is settled based on the tax rates
          (and tax regulations) that are in effect or substantially enacted at the end of the reporting
          period.



                                                      14
Page 18
PT REMALA ABADI Tbk AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Six-Month Periods Ended June 30, 2024 and 2023
(Dinyatakan Dalam Rupiah, Kecuali Dinyatakan Lain)

2.   MATERIAL ACCOUNTING POLICY INFORMATION (continued)

     k.   Income tax (continued)


          Deferred tax assets and deferred tax liabilities are offset if, and only if, the entity has the legal
          right to offset current tax assets against current tax liabilities, and deferred tax assets and
          deferred tax liabilities relate to income taxes imposed by tax authorities on taxable entity, the
          same or a different taxable entity that intends to recover current tax assets and liabilities on a
          net basis, or realize assets and settle liabilities simultaneously, in any future period in which a
          significant amount of deferred tax assets or liabilities is expected to be settled or restored.

          Changes to tax obligations are recognized when the tax assessment is received and/or, if the
          Group submits an objection and/or appeal, when the decision on the objection and/or appeal
          has been determined.

     l.   Transactions and Balances in Foreign Currency

          The Group applies PSAK No. 221 "Effect of Changes in Foreign Exchange Rates".
          Transactions in foreign currency are translated into functional currency at the exchange rate
          in effect at the time the transaction is made. At the end of the reporting period, monetary
          assets and liabilities denominated in foreign currency are adjusted into the functional currency
          using the middle rate determined by Bank Indonesia on the last date of banking transactions
          in that period. Gains or losses arising from exchange rate adjustments or settlement of
          monetary assets and liabilities in foreign currencies are credited or charged to profit or loss
          for the current period.

          The closing exchange rate used on June 30, 2024 against 1USD is amounted Rp16.421.

     m.   Financial instruments

          The Group applies PSAK No. 109 “Financial Instruments”. The Group recognizes financial
          assets and liabilities in the consolidated statement of financial position if, and only if, the
          Group is a party to the contractual provisions of the financial instrument.

          1.   Financial assets

               The Group classifies its financial assets in the following categories:
               •   measured at amortized cost; and
               •   measured at fair value through other comprehensive income or measured through
                   profit or loss.

               This classification depends on the Group's business model and cash flow contractual
               requirements.




                                                      15
Page 19
PT REMALA ABADI Tbk AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Six-Month Periods Ended June 30, 2024 and 2023
(Dinyatakan Dalam Rupiah, Kecuali Dinyatakan Lain)

2.   MATERIAL ACCOUNTING POLICY INFORMATION (continued)

     m.   Financial instruments (continued)

          1.   Financial assets (continued)

               a)   Financial assets are measured at amortized cost

                    This classification applies to debt instruments that are managed in a business
                    model held for cash flow and have cash flows that meet the criteria “solely from
                    principal and interest payments”.

                    At initial recognition, trade receivables that do not have a significant funding
                    component are recognized at the transaction price. Other financial assets are
                    initially recognized at fair value less related transaction costs. These financial
                    assets are then measured at amortized cost using the effective interest rate
                    method. Gains or losses on retirement or modification of financial assets carried at
                    amortized cost are recognized in profit or loss.

               b)   Financial assets are measured at fair value through other comprehensive income

                    This classification applies to the following financial assets:

                    (i)    Debt instruments managed with a business model that aims to own financial
                           assets in order to obtain contractual cash flows and sell and where the cash
                           flows meet the criteria "solely from principal and interest payments".


                           Changes in the fair value of these financial assets are recorded in other
                           comprehensive income, except for the recognition of impairment gains or
                           losses, interest income (including transaction costs using the effective interest
                           rate method), gains or losses arising from derecognition, and gains or losses
                           from foreign exchange differences are recognized on profit and loss.

                           When a financial asset is derecognised, the cumulative fair value gain or loss
                           previously recognized in other comprehensive income is reclassified to profit
                           or loss.

                    (ii)   Equity investments for which the Group has irrevocably elected to present fair
                           value gains and losses from revaluation in other comprehensive income..

                           Options may be based on individual investments, however, they do not apply
                           to equity investments held for trading. Fair value gains or losses from
                           revaluation of equity investments, including the foreign exchange component,
                           are recognized in other comprehensive income. When an equity investment is
                           derecognised, fair value gains or losses previously recognized in other
                           comprehensive income are not reclassified to profit or loss. Dividends are
                           recognized in profit or loss when the right to receive payment has been
                           established.


                                                      16
Page 20
PT REMALA ABADI Tbk AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Six-Month Periods Ended June 30, 2024 and 2023
(Dinyatakan Dalam Rupiah, Kecuali Dinyatakan Lain)

2.   MATERIAL ACCOUNTING POLICY INFORMATION (continued)

     m.   Financial instruments (continued)

          1.   Financial assets (continued)

               c)   Financial assets are measured at fair value through profit or loss

                    This classification applies to the following financial assets, where in all cases
                    transaction costs are charged to profit or loss:
                    (i) Debt instruments that do not have amortized cost or fair value through other
                         comprehensive income criteria. Fair value gains or losses will then be
                         recorded in profit or loss.
                    (ii) Equity investments held for trading or for which other comprehensive income
                         options do not apply. Fair value gains or losses and related dividend income
                         are recognized in profit or loss.

               A financial asset is derecognized when the contractual rights to cash flows from the
               financial asset have expired or have been transferred and the Group has transferred
               substantially all the risks and rewards of ownership of the asset. Upon derecognition of a
               financial asset, the difference between the carrying amount and the consideration
               received is recognized in profit or loss.

               Decrease in the Value of Financial Assets

               A review of expected future credit losses is required for: debt instruments measured at
               amortized cost or measured at fair value through other comprehensive income and trade
               receivables that do not provide an unconditional right to receive consideration.

               The Group recognizes a provision for impairment losses for expected credit losses on
               financial assets measured at amortized cost. Provision for impairment losses on trade
               receivables is measured at an amount equal to the expected credit loss over its life.
               Lifetime expected credit loss is the expected credit loss resulting from all possible
               default events over the expected life of a financial instrument.

               When determining whether the credit risk of a financial asset has increased significantly
               since initial recognition and when estimating expected credit losses, the Group considers
               relevant information that is reasonable and verifiable and available without undue
               expense or effort. It includes quantitative and qualitative information and analysis, based
               on the Group's historical experience and credit assessments and includes forward-
               looking information.

               The Group considers a financial asset to be in default when a customer is unable to pay
               its credit obligations to the Group in full. The maximum period considered when
               estimating expected credit losses is the maximum contractual period over which the
               Group is exposed to credit risk.




                                                    17
Page 21
PT REMALA ABADI Tbk AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Six-Month Periods Ended June 30, 2024 and 2023
(Dinyatakan Dalam Rupiah, Kecuali Dinyatakan Lain)

2.   MATERIAL ACCOUNTING POLICY INFORMATION (continued)

     m.   Financial instruments (continued)

          1.   Financial assets (continued)

               Decrease in the Value of Financial Assets (continued)

               Expected credit loss is a probability-weighted estimate of credit loss. Credit losses are
               measured as the present value of all cash receipt shortfalls (i.e. the difference between
               the cash flows owed from an entity under the contract and the cash flows it is expected
               to receive). Expected credit losses are discounted at the effective interest rate of the
               financial asset.

          2.   Financial Liabilities

               At initial recognition, the Group measures financial liabilities at fair value plus or minus
               transaction costs directly related to the acquisition or issuance of the financial liability.
               The Group classifies all its financial liabilities into the category of financial liabilities
               measured at amortized cost.

               After initial recognition, financial liabilities are subsequently measured at amortized cost
               using the effective interest rate method. Gains or losses are recognized in profit or loss
               when the financial liability is derecognized or impaired, and through the amortization
               process.

               The Group excludes financial liabilities from its consolidated statement of financial
               position if, and only if, the obligations specified in the contract are discharged or
               canceled or expire. The difference between the carrying amount of financial liabilities
               that expire or are transferred to another party, and the consideration paid, including non-
               cash assets transferred or liabilities assumed is recognized in profit or loss.

          3.   Offsetting of Financial Instruments

               Financial assets and financial liabilities are offset and the net amount is reported in the
               consolidated statement of financial position if, and only if, they currently have a legally
               enforceable right to set off the recognized amount and there is an intention to settle it on
               a net basis, or to realize the asset and settle its obligations simultaneously.

     n.   Fair Value Measurement

          The Group applies PSAK No. 113 “Fair Value Measurement”. The fair value of financial
          instruments traded in an active market at each reporting date is determined by reference to
          market price quotations or securities dealer price quotations (bid price for buy positions and
          ask price for sell positions), excluding any deductions for transaction costs.

          For financial instruments that do not have an active market, fair value is determined using
          valuation techniques. Valuation techniques include the use of recent market transactions
          carried out fairly by willing and understanding parties ( recent arm's length market
          transactions ), the use of recent fair values of other instruments that are substantially the
          same, discounted cash flow analysis, or other valuation models.

                                                     18
Page 22
PT REMALA ABADI Tbk AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Six-Month Periods Ended June 30, 2024 and 2023
(Dinyatakan Dalam Rupiah, Kecuali Dinyatakan Lain)

2.   MATERIAL ACCOUNTING POLICY INFORMATION (continued)

     o.   Employee Benefits

          Short term employee benefits

          Short-term employee benefits are compensation provided by the Group such as salaries,
          allowances, bonuses and pension benefit payments, which are recognized when they are
          owed to employees.

          Post-employment benefits


          On February 2 2021, the Government promulgated and enforced Government Regulation no.
          35 of 2021 (PP 35/2021) to implement the provisions of Article 81 and Article 185(b) of
          Law no. 11/2020 concerning Job Creation, which aims to create as many job opportunities as
          possible for the Indonesian people equally, in order to fulfill a decent life. PP 35/2021
          regulates outsourcing agreements, working time, rest time and termination of employment,
          which can affect the minimum compensation benefits that must be paid to employees. PSAK
          No. 219 requires entities to use the “ Projected Unit Credit ” method to determine the present
          value of defined benefit obligations, related current service costs and past service costs.
          When the Group has a surplus under its defined benefit plan, the Group measures its defined
          benefit assets at the lower of the defined benefit plan surplus and the asset ceiling
          determined using a discount rate.
          The Group recognizes the cost component of defined benefits, unless SAK requires or
          permits such costs as asset acquisition costs, as follows:
          (a) service costs in profit and loss;
          (b) net interest on net defined benefit liabilities (assets) in profit or loss; and
          (c) remeasurement of the net defined benefit liability (asset) in other comprehensive
              income.


          Remeasurement of the net defined benefit liability (asset) recognized in other comprehensive
          income is not reclassified to profit or loss in the following period. However, the Group may
          transfer the amount recognized as other comprehensive income to other items in equity.
          Net interest is calculated by applying the discount rate to the net defined benefit liability or
          asset. Service costs consist of current service costs and past service costs, curtailment gains
          and losses and non-routine settlements, if any. Net interest expense or income, and service
          costs are recognized in profit or loss.
          The Group recognizes past service costs as an expense at the earlier of the date when the
          plan amendment or curtailment occurs and when the Group recognizes the related
          restructuring costs or severance pay. The Group recognizes gains or losses on settlement of
          defined benefit plans when settlement occurs.
          A curtailment occurs when the Group significantly reduces the number of employees covered
          by a plan, or changes the terms of a defined benefit plan so that a significant element of the
          future service of current employees will no longer be eligible for benefits, or will be eligible
          only for reduced benefits.

                                                    19
Page 23
PT REMALA ABADI Tbk AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Six-Month Periods Ended June 30, 2024 and 2023
(Dinyatakan Dalam Rupiah, Kecuali Dinyatakan Lain)

2.   MATERIAL ACCOUNTING POLICY INFORMATION (continued)

     p.   Lease

          The Group applies PSAK No. 116, “Lease”.

          Group as tenant

          The Group applies a single recognition and measurement approach for all leases, except for
          short-term leases and leases of low-value assets. The Group recognizes a lease liability to
          make lease payments and a right-of-use asset representing the right to use the underlying
          asset.

          Right-of-use assets

          Right-of-use assets are measured at cost, less accumulated depreciation and impairment.
          The cost of a right-of-use asset includes the measured amount of the lease liability, initial
          direct costs incurred by the lessee, and lease payments made on or before the
          commencement date, less any rental incentives received. Right-of-use assets are
          depreciated over the shorter of the useful life of the right-of-use asset or the lease term.

          Lease liabilities

          Lease liabilities are measured at the present value of outstanding rental payments. Each
          rental payment is allocated between the portion of the liability settlement and the finance
          costs. Lease liabilities are presented as long-term liabilities except for the portion due in 12
          months or less which is presented as short-term liabilities. The interest element in finance
          costs is charged to profit or loss over the lease term resulting in a constant interest rate on
          the balance of the liability.

          The Group does not recognize right-of-use assets and lease liabilities for:
          • short-term rentals that have a lease term of 12 months or less; or
          • leases whose assets are of low value. Payments made for the lease are charged to profit
            or loss on a straight-line basis over the lease term.

          Group as lessor

          If the Group has assets that are leased under a finance lease, the present value of the lease
          payments is recognized as a receivable. The difference between the gross receivables value
          and the present value of the receivables is recognized as deferred finance lease income.
          Rental income is recognized over the lease term using the net investment method which
          reflects a constant periodic rate of return.

          If an asset is leased under an operating lease, the asset is presented in the statement of
          financial position according to the nature of the asset. Rental income is recognized as income
          on a straight-line basis over the lease term.




                                                    20
Page 24
PT REMALA ABADI Tbk AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Six-Month Periods Ended June 30, 2024 and 2023
(Dinyatakan Dalam Rupiah, Kecuali Dinyatakan Lain)

2.   MATERIAL ACCOUNTING POLICY INFORMATION (continued)

     q.   Segment Information

          The Group applies PSAK No. 108 “Operating Segments”. The Group discloses information
          that enables users of financial statements to evaluate the nature and financial impact of
          business activities and uses a “management approach” in presenting segment information
          using the same basis as internal reporting. Operating segments are reported in a manner
          consistent with internal reporting submitted to operational decision makers. In this case, the
          operational decision maker who makes strategic decisions is the Board of Directors.

     r.   Profit or Loss per Share

          The Group applies PSAK No. 233 “Earnings per Share”. Basic earnings or loss per share is
          calculated by dividing the profit or loss attributable to ordinary shareholders of the parent
          entity, by the weighted average number of ordinary shares outstanding, in a period.


3.   IMPORTANT ACCOUNTING ESTIMATES AND JUDGMENTS

     The preparation of consolidated financial statements, in accordance with Indonesian Financial
     Accounting Standards, requires management to make estimates and judgments that affect the
     amounts reported in the consolidated financial statements. Due to the inherent uncertainty in
     making estimates, actual results reported in the future may differ from the amounts estimated.

     The Group bases its estimates and judgments on the parameters available at the time the
     consolidated financial statements were prepared. The situation regarding future developments
     may change due to market changes or circumstances beyond the Group's control. Such changes
     are reflected in the relevant considerations at the time they occur.

     The following estimates and judgments made by management in the context of applying the
     Group's accounting policies have the most significant influence on the amounts recognized in the
     consolidated financial statements:

     Classification of financial assets and financial liabilities

     The Group determines the classification of certain assets and liabilities as financial assets and
     financial liabilities by considering whether the definitions set out in PSAK No. 109 fulfilled. Thus,
     financial assets and financial liabilities are recognized in accordance with the Group's accounting
     policies as disclosed in Note 2.

     Determining the fair value and calculation of financial instruments

     The Group records certain financial assets and liabilities at fair value through profit or loss and at
     amortized cost, which requires the use of accounting estimates. While the significant components
     of fair value measurements and assumptions used in the calculation of amortized cost are
     determined using verifiable objective evidence, the fair value or amortization amounts may differ if
     the Group uses different valuation methodologies or assumptions. These changes may directly
     affect the Group's profit and loss.


                                                        21
Page 25
PT REMALA ABADI Tbk AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Six-Month Periods Ended June 30, 2024 and 2023
(Dinyatakan Dalam Rupiah, Kecuali Dinyatakan Lain)

3.   IMPORTANT ACCOUNTING ESTIMATES AND JUDGMENTS (continued)

     Assess the recoverable amount of non-financial assets

     Allowance for decline in market value and obsolescence of inventory is estimated based on
     available facts and situations, including but not limited to, physical condition of inventory held,
     market selling price, estimated completion costs and estimated costs incurred for sales. The
     allowance is re-evaluated and adjusted if additional information becomes available that affects the
     estimated amount.

     The recoverable amount of fixed assets is based on estimates and assumptions specifically
     regarding market prospects and cash flows related to the assets. Estimates of future cash flows
     include estimates regarding future income. Any changes in these estimates may have a material
     impact on the measurement of the recoverable amount and could result in adjustments to the
     recorded allowance for impairment.

     Provision for impairment losses on receivables

     The Group evaluates certain receivable accounts for which it is aware that certain customers are
     unable to meet their financial obligations. In such cases, the Group uses judgment, based on
     available facts and circumstances, including but not limited to, the length of the relationship with
     the customer and the credit status of the customer based on available third party credit records
     and known market factors, to record specific provisions. on customers towards the amount owed in
     order to reduce the amount of receivables that the Group is expected to receive. This specific
     allowance is re-evaluated and adjusted if additional information received affects the amount of the
     allowance for impairment of receivables.

     Determine the depreciation method and estimate the useful life of fixed assets

     The cost of fixed assets is depreciated using the straight-line method based on their estimated
     useful lives. Management estimates the useful life of fixed assets of 4 years to 20 years. These
     are the age expectations generally applied in the industries in which the Group conducts business.
     Changes in usage levels and technological developments may affect the useful life and residual
     value of assets, and therefore future depreciation charges may be revised.

     Estimated employee benefits expenses and liabilities

     Determining the liability and expense for Group employee benefits depends on the selection of
     assumptions used in calculating such amounts. These assumptions include, among others,
     discount rates, salary increase rates, resignation rates, disability rates, retirement age and
     mortality rates. Actual results that differ from the Group's assumptions are immediately recognized
     in profit or loss when they occur. While the Group believes that these assumptions are reasonable
     and appropriate, significant differences in actual results or significant changes in the Group's
     assumptions could materially affect employee benefits liabilities and expenses.




                                                      22
Page 26
PT REMALA ABADI Tbk AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Six-Month Periods Ended June 30, 2024 and 2023
(Dinyatakan Dalam Rupiah, Kecuali Dinyatakan Lain)

3.   IMPORTANT ACCOUNTING ESTIMATES AND JUDGMENTS (continued)

     Determining income tax

     Significant considerations are made in determining the provision for corporate income tax. There
     are certain transactions and calculations where the final tax determination is uncertain during
     normal business activities. In certain situations, the Group cannot determine the exact amount of
     its current or future tax liabilities due to audit processes by tax authorities. The Group recognizes a
     liability for expected corporate income tax based on its estimate of whether additional corporate
     income tax will be due.

     Deferred tax assets are recognized when it is probable that taxable profit will be available.
     Significant estimates by management are required in determining the amount of deferred tax
     assets that can be recognized, based on the timing of use and level of taxable profit and future tax
     planning strategies. However, there is no certainty that the Group will generate sufficient taxable
     profit to allow the use of part or all of the deferred tax assets.


4.   CASH

     This account consists of:

                                                               June 30, 2024            December 31, 2023

     Cash
       Rupiah                                                         19.276.718                   25.152.325

     Cash in bank
     Rupiah
       PT Bank Central Asia Tbk                                  13.670.424.431                  3.830.354.965
       PT Bank Mandiri (Persero) Tbk                                958.752.088                  4.975.468.882
       PT Bank Rakyat Indonesia (Persero) Tbk                       712.414.666                    511.860.186
       PT Bank DKI                                                   55.685.711                            -
       PT Bank Permata Tbk                                              677.500                      1.067.500

     US Dollar
       PT Bank Central Asia Tbk                                       38.688.347                   96.592.925

     Subtotal                                                    15.436.642.743                  9.415.344.458

     Total                                                       15.455.919.461                  9.440.496.783

     All cash is placed with third parties and is not used as collateral or restricted in use.




                                                       23
Page 27
PT REMALA ABADI Tbk AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Six-Month Periods Ended June 30, 2024 and 2023
(Dinyatakan Dalam Rupiah, Kecuali Dinyatakan Lain)

5.   ACCOUNT RECEIVABLE

                                                            June 30, 2024          December 31, 2023

     Third parties
       Dinas Komunikasi, Informatika dan
          Statistik Provinsi DKI Jakarta                       9.611.633.654                       -
       PT Comtronics Systems                                   1.094.281.146               461.626.710
       BPKAD Maluku Utara                                        445.790.323                       -
       PT Sumber Data Indonesia                                  357.689.935                       -
       Others (under Rp200 million)                            1.619.163.264             4.159.317.130
     Total Third Parties                                      13.128.558.322             4.620.943.840
     Allowance for losses on
        impairment                                            (1.126.165.515)           (1.126.165.515)
     Third Parties - Net                                      12.002.392.807             3.494.778.325
     Related parties                                           2.218.280.138             2.804.922.142
     Allowance for losses on
        impairment                                            (1.367.555.485)           (1.367.555.485)
     Related Parties - Net                                       850.724.653             1.437.366.657
     Total                                                    12.853.117.460             4.932.144.982

     Based on the results of management's evaluation, the allowance for losses from impairment of
     trade receivables is sufficient to cover losses from uncollectible trade receivables.

     All trade receivables are denominated in Rupiah and are not used as collateral for debts.


6.   OTHER RECEIVABLES

     a. Current assets

                                                            June 30, 2024          December 31, 2023

       Third parties
         PT Jangkar Putra Indonesia                              217.000.000               307.000.000
         PT Netco Trans Nusa                                             -                 900.000.000
         Others (under Rp100 million)                            163.009.835               163.009.835
       Total                                                     380.009.835             1.370.009.835

       Other receivables from PT Netco Trans Nusa represent a loan for working capital amounting to
       Rp 900,000,000 with a term of 6 months with a return of 25%.

       Other receivables from PT Jangkar Putra Indonesia are loans provided without collateral with a
       total of Rp 307,000,000 and bear interest of 11% with a repayment period of 17 months starting
       from 17 January 2024 - 17 May 2025.



                                                    24
Page 28
PT REMALA ABADI Tbk AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Six-Month Periods Ended June 30, 2024 and 2023
(Dinyatakan Dalam Rupiah, Kecuali Dinyatakan Lain)

6.   OTHER RECEIVABLES (continued)

     b. Non-current assets

                                                          June 30, 2024         December 31, 2023

       Third parties

         PT Fajar Mitra Krida                                  250.000.000             250.000.000
         PT Fiber Teknologi Inovasi                             73.492.261              73.492.261
         Lain-lain (dibawah Rp100 juta)                        218.591.758             139.482.924
         Total third parties                                   542.084.019             462.975.185
         Allowance for losses on
            impairment                                        (462.975.185)            (462.975.185)

       Third parties - Net                                      79.108.834                      -

       Related parties

         Mr. Iman Taufik                                       195.000.000                      -
         PT Fiber Media Indonesia                            1.775.688.130            3.707.674.348

       Total Related Parties                                 1.970.688.130            3.707.674.348

       Total                                                 2.049.796.964            3.707.674.348

       PT Fajar Mitra Krida receivables are loans provided without interest, collateral and payment
       terms.

       Receivables from PT Fiber Media Indonesia (FMI) are loans provided without collateral and bear
       interest of 10.5% with a loan repayment period of up to October 2024. On June 30, 2024, the
       balance of FMI's receivables is presented as current assets.

       Other receivables Mr. Iman Taufik is a receivable for unpaid capital deposit to PT Fiber
       Kerumah Indonesia.


7.   INVENTORY

                                                          June 30, 2024         December 31, 2023

     Cables and pole                                        29.191.451.594          12.124.390.559
     Total                                                  29.191.451.594          12.124.390.559

     Based on management's evaluation, an allowance for losses on decline in inventory value is not
     necessary because there is no obsolete inventory.

     The Group has insured inventory in one package with fixed assets.


                                                  25
Page 29
PT REMALA ABADI Tbk AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Six-Month Periods Ended June 30, 2024 and 2023
(Dinyatakan Dalam Rupiah, Kecuali Dinyatakan Lain)

8.   PREPAID EXPENSES AND ADVANCES

                                                         June 30, 2024         December 31, 2023

     Prepaid expenses
       Rent                                                   401.255.410              192.617.270
       Insurance                                              343.671.501              150.491.104
       Others                                                 128.256.053                      -
     Total                                                    873.182.964              343.108.374


     Advances
       Professional services                                          -                801.641.024
       Purchase                                            13.353.946.764            6.924.675.000
     Total                                                 13.353.946.764            7.726.316.024

     Total                                                 14.227.129.728            8.069.424.398

     Prepaid rent represents the rental of buildings and land for the placement of the Company's
     telecommunications network equipment.

     Advances for professional services represent advances for supporting professional services paid
     by the Company in connection with the Company planned Initial Public Offering of Shares.


9.   INVESTMENT IN ASSOCIATED ENTITIES

     a.     Investment Advances

                                                         June 30, 2024         December 31, 2023

          PT Fiber Media Indonesia                         20.150.000.000                      -
          PT Sentra Inovasi Prima                             800.000.000              100.000.000
          Total                                            20.950.000.000              100.000.000

     On June 30, 2024, the Company has purchased shares of PT Fiber Media Indonesia amounting to
     Rp20,150,000,000 using IPO proceeds of Rp19,975,000,000 and the Company's money of
     Rp175,000,000.

     On June 30, 2024, the Company has purchased shares of PT Sentra Inovasi Prima amounting to
     Rp800,000,000 using the Company's money.

     Investments into PT Fiber Media Indonesia and PT Sentra Inovasi Prima are still advances
     because as of June 30, 2024 the Deed of Amendment is still in process.




                                                 26
Page 30
PT REMALA ABADI Tbk AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Six-Month Periods Ended June 30, 2024 and 2023
(Dinyatakan Dalam Rupiah, Kecuali Dinyatakan Lain)

9.   INVESTMENT IN ASSOCIATED ENTITIES (continued)

     b.   Investment in Associated Entities

                                Percentage                   Reclassification      Profit      Upper loss
                                Ownership     January 1      Down Payment        and (loss)      Release
                                    (%)         2024           Investment       Investment     Investment         June 30, 2024

          PT Jaringan Fiber
            Indonesia Via:
               Company           15,00%      274.135.150                 -              -              -            274.135.150
               Subsidiaries      10,00%      182.756.767                 -              -              -            182.756.767

          Total                              456.891.917                 -      456.891.917    456.891.917          456.891.917


                                Percentage                   Reclassification      Profit      Upper loss
                                Ownership     January 1      Down Payment        and (loss)      Release          December 31
                                    (%)         2023           Investment       Investment     Investment            2023

          PT Jaringan Fiber
            Indonesia Via:
               Company           15,00%              -          300.000.000     (25.864.850)           -            274.135.150
               Subsidiaries      10,00%              -          200.000.000     (17.243.233)           -            182.756.767
          PT Broadband
            Network Indonesia    47,50%       47.500.000                 -              -      (47.500.000)                 -

          Total                              456.891.917        500.000.000     456.891.917    456.891.917          456.891.917




10. OTHER NON-CURRENT ASSETS

     This account represents security deposit for office space rental at Graha Mustika Ratu based on
     lease contract with PT Mustika Ratu Center. As of June 30, 2024 and December 31, 2023, the
     security deposit amounted to Rp311,062,930 and Rp241,043,430, respectively.

11. FIXED ASSETS

                                 Balance as of                                                                Balance as of
                                Januari 1, 2024              Addition               Deduction                 June 30, 2024

     Acquisition Costs
     Direct
        ownership
        Land                      1.712.570.000                      -                         -               1.712.570.000
        Building                  9.132.671.642              254.000.000                       -               9.386.671.642
        Vehicle                  16.909.971.632                      -                         -              16.909.971.632
        Office equipment          6.082.877.290              714.078.819                       -               6.796.956.109
        Network
           infrastructure       115.098.348.971            15.184.542.322                      -           130.282.891.293
     Subtotal                   148.936.439.535            16.152.621.141                      -           165.089.060.676
     Assets in
       progress
       Building                      647.500.000            2.235.220.691                      -               2.882.720.691
     Total acquisition
       cost                     149.583.939.535            18.387.841.832                      -           167.971.781.367


                                                              27
Page 31
PT REMALA ABADI Tbk AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Six-Month Periods Ended June 30, 2024 and 2023
(Dinyatakan Dalam Rupiah, Kecuali Dinyatakan Lain)

11. FIXED ASSETS (continued)

                            Balance as of                                   Balance as of
                           Januari 1, 2024     Addition       Deduction     June 30, 2024

    Accumulated
       depreciation
    Direct
       ownership
       Building              1.427.684.651     241.274.811            -      1.668.959.462
       Vehicle               5.808.457.197     956.455.210            -      6.764.912.407
       Office equipment      3.453.949.624     625.785.773            -      4.079.735.397
       Network
          infrastructure   46.265.557.484     5.812.183.282           -     52.077.740.766
    Total accumulated
      depreciation         56.955.648.956     7.635.699.076           -     64.591.348.032
    Carrying Amount        92.628.290.579                                  103.380.433.335

                            Balance as of                                   Balance as of
                           Januari 1, 2023     Addition       Deduction   December 31, 2023

    Acquisition Costs
    Direct
       ownership
       Land                    358.520.000    1.354.050.000           -      1.712.570.000
       Building              2.504.064.000    6.628.607.642           -      9.132.671.642
       Vehicle               9.031.666.775    7.878.304.857           -     16.909.971.632
       Office equipment      3.568.236.849    2.514.640.441           -      6.082.877.290
       Network
          infrastructure   84.438.417.976    30.659.930.995           -    115.098.348.971
    Subtotal               99.900.905.600    49.035.533.935           -    148.936.439.535
    Assets in
      progress
      Building                         -       647.500.000            -        647.500.000
    Total acquisition
      cost                 99.900.905.600    49.683.033.935           -    149.583.939.535
    Accumulated
       depreciation
    Direct
       ownership
       Building              1.084.423.267      343.261.384           -      1.427.684.651
       Vehicle               4.347.373.446    1.461.083.751           -      5.808.457.197
       Office equipment      2.531.730.303      922.219.321           -      3.453.949.624
       Network
          infrastructure   35.270.947.048    10.994.610.436           -     46.265.557.484
    Total accumulated
      depreciation         43.234.474.064    13.721.174.892           -     56.955.648.956

    Carrying Amount        56.666.431.536                                   92.628.290.579

                                                28
Page 32
PT REMALA ABADI Tbk AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Six-Month Periods Ended June 30, 2024 and 2023
(Dinyatakan Dalam Rupiah, Kecuali Dinyatakan Lain)

11. FIXED ASSETS (continued)

    As of June 30, 2024 and December 31, 2023, there are no fixed assets that are not in temporary
    use and that have been retired from active use.

    On December 31, 2023, the addition of fixed assets in the form of land and buildings, with a total
    of Rp 8,167,657,642, is an addition to (i) the purchase of land and buildings by the Company from
    Christian Nugroho, a third party, worth Rp 1,800,000,000 based on Sale and Purchase Deed No.
    33 dated 31 March 2023 with a land and building area of 235 m 2 located in Cikopo Village,
    Bungursari District, Purwakarta Regency, West Java Province, with Building Use Rights Certificate
    (SHGB) No. 0336/Cikopo; (ii) purchase of land and buildings by the Company from Anton Bingah
    Kuntarjo, a third party, worth Rp 2,850,000,000 based on Deed of Sale and Purchase No. 33 dated
    10 August 2023 with a land area of 95 m 2 located on Jalan Howitzer No. 9B RT 008 RW 006
    Sumur Batu Village, Kemayoran District, DKI Jakarta Province, with SHGB No. 3201/Stone Wells;
    (iii) purchase of land by the Company from Sudiro, a third party, worth Rp 550,000,000 based on
    Deed of Sale and Purchase Agreement No. 2 dated 29 August 2023 with a land area of 910 m 2
    located in Galala Village, North Oba District, Tidore Islands City, North Maluku Province, with
    Certificate of Ownership (SHM) No. 162/Galala in the name of Sudiro; (iv) purchase of land and
    buildings by PC 24 from PT Alindatama Saktib Rother, a third party, worth Rp 850,000,000 based
    on Sale and Purchase Deed No. 19 dated 21 February 2023 with a land and building area of 135
    m 2 located in Sukasari Village, Serang Baru District, Bekasi Regency, West Java Province, with
    SHGB No. 5878/Sukasari; and (v) costs related to the acquisition of the land and buildings
    mentioned above and office renovations amounting to Rp 2,117,657,642. The additional land and
    building assets are intended for the Group's operational offices.

    On September 21 2023, the Group insured inventory and fixed assets, in the form of wifi network
    infrastructure and buildings, on an all-risk basis with PT Asuransi Bina Dana Arta Tbk, a third
    party, with a total insurance value of Rp38,226,433,824 with the insurance period starting
    September 18, 2023 to September 18, 2024.

    Management believes that the insurance amount is sufficient to cover possible losses on the
    insured assets.

    Based on management's evaluation, there are no events or changes in circumstances that indicate
    an impairment in the value of fixed assets.


12. RIGHT-OF-USE ASSETS

                          Balance as of                                               Balance as of
                         Januari 1, 2024        Addition            Deduction         June 30, 2024

    Acquisition Costs
      Office room          5.188.365.567                   -                  -         5.188.365.567
      Network cable        5.419.201.000                   -                  -         5.419.201.000
      land and
         building          4.960.728.888                   -                  -         4.960.728.888

    Total acquisition
      cost                15.568.295.455                   -                  -        15.568.295.455

                                                  29
Page 33
PT REMALA ABADI Tbk AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Six-Month Periods Ended June 30, 2024 and 2023
(Dinyatakan Dalam Rupiah, Kecuali Dinyatakan Lain)

12. RIGHT-OF-USE ASSETS (continued)

                          Balance as of                                               Balance as of
                         Januari 1, 2024        Addition           Deduction          June 30, 2024

    Accumulated
      depreciation
      Office room           347.256.474                    -                 -           347.256.474
      land and
         building          2.510.302.888        743.154.660                  -         3.253.457.548

    Total accumulated
      depreciation         2.857.559.362        743.154.660                  -         3.600.714.022

    Carrying Amount       12.710.736.093                                              11.967.581.433

                          Balance as of                                              Balance as of
                         Januari 1, 2023        Addition           Deduction       December 31, 2023

    Acquisition Costs
      Office room                    -        5.188.365.567                  -         5.188.365.567
      Network cable                  -        5.419.201.000                  -         5.419.201.000
      land and
         building          3.075.558.888      1.885.170.000                  -         4.960.728.888

    Total acquisition
      cost                 3.075.558.888     12.492.736.567                  -        15.568.295.455

    Accumulated
      depreciation
      Office room                    -          347.256.474                  -           347.256.474
      land and
         building          1.039.445.277      1.470.857.611                  -         2.510.302.888

    Total accumulated
      depreciation         1.039.445.277      1.818.114.085                  -         2.857.559.362

    Carrying Amount        2.036.113.611                                              12.710.736.093

    Right-of-use assets in the form of office space based on a rental agreement with PT Mustika Ratu
    Center.


13. BANK LOAN

                                                           June 30, 2024         December 31, 2023

    PT Bank OCBC NISP Tbk                                       18.030.000           2.059.663.413
    PT Bank Central Asia Tbk                                           -            10.543.051.223

    Total                                                       18.030.000          12.602.714.636

                                                 30
Page 34
PT REMALA ABADI Tbk AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Six-Month Periods Ended June 30, 2024 and 2023
(Dinyatakan Dalam Rupiah, Kecuali Dinyatakan Lain)

13. BANK LOAN (continued)

    PT Bank OCBC NISP Tbk

    On June 27 2023, PT PC 24 Cyber Indonesia (“PC 24”) signed a Loan Agreement with PT Bank
    OCBC NISP Tbk (“OCBC”) as stated in Loan Agreement Deed No. 158 where OCBC approved
    the provision of a Current Account Credit Facility (“KRK”) to PC 24 with a maximum credit amount
    of Rp6,000,000,000 to be used for working capital needs. The term of the agreement is one year
    from the date of signing the loan agreement with a credit interest rate of 8.25%.

    Collateral for credit facilities from OCBC is as follows:
    a. A plot of land measuring 63 m 2 located on Jalan Petojo VIY I No. 22 RT.002/006, Cideng
         Village, Gambir District, Central Jakarta with SHM No. 1512/Cideng in the name of Budi
         Aditya Erna Mulyanto.
    b. A plot of land measuring 66 m 2 located in Sukasari Village, Tangerang District, Banten with
         SHM No. 4330/Sukasari in the name of Budi Aditya Erna Mulyanto.
    c. A plot of land measuring 54 m 2 located at RT.017/06, Pasirsari Village, South Cikarang
         District, Bekasi, West Java with SHM No. 4482/Pasirsari in the name of Budi Aditya Erna
         Mulyanto.
    d. A plot of land measuring 135 m 2 located in Kav. A.1-1, Sukasari Village, Serang Baru
         District, Bekasi, West Java with SHM No. 05878/Sukasari in the name of Budi Aditya Erna
         Mulyanto.

    Based on the agreement, PC 24 is not permitted to carry out the following activities without prior
    written approval from OCBC, among others, as follows:
    a. Make changes to the composition of shareholders and controlling parties (directly or
          indirectly), as well as the composition of the board of directors and board of commissioners.
    b. Liquidate or dissolve the Company or be involved in a merger, acquisition, consolidation
          and/or joint venture with another company.
    c. Reduce the Company's paid-in capital.
    d. Pay dividends in any way to shareholders.
    e. Make payments on subordinated shareholder or guarantor loans.

    PC24 has received a waiver from OCBC regarding points a to d above in Letter No.
    02/EXT/EMB/I/2024 dated 18 January 2024 with the provisions for points a to c with written
    approval from OCBC, while for point d, prior notification is required to be submitted to OCBC.

    PT Bank Central Asia Tbk

    On November 15, 2019, the Company signed a Credit Agreement with PT Bank Central Asia Tbk
    (“BCA”) as stated in Credit Agreement No. 03496/PK/SLK/2019 where BCA approved the
    provision of a Local Credit Facility (Current Account) to the Company with a maximum credit
    amount of Rp10,000,000,000 to be used for working capital needs with an agreement term of one
    year starting from November 19, 2019 – November 19, 2020 and the credit interest rate is 10.50%.
    This agreement has been extended and amended several times, most recently based on
    Amendment to Credit Agreement No. 00231/PPK/KML/2022 dated December 16, 2022 where the
    maximum credit amount is Rp11,000,000,000 and matures on November 19, 2023 with an interest
    rate on the credit facility of 11.00% per year.



                                                  31
Page 35
PT REMALA ABADI Tbk AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Six-Month Periods Ended June 30, 2024 and 2023
(Dinyatakan Dalam Rupiah, Kecuali Dinyatakan Lain)

13. BANK LOAN (continued)

    PT Bank Central Asia Tbk (continued)

    On November 15, 2023, the Company obtained an extension of the term for using the credit facility
    from PT Bank Central Asia Tbk which matures until November 19, 2024.

    Guarantees for credit facilities from BCA are as follows:
    a. A plot of land measuring 68 m 2 located in Ruko Canadian Kota Wisata Blok CB.D No. 22,
        Limusnunggal Village, Cileungsi District, Bogor Regency, West Java with Certificate of
        Ownership (SHM) No. 3733/Limusnunggal in the name of Verah Wahyudi S Wong.
    b. A plot of land measuring 50 m 2 located in Ruko Boston Kota Wisata Blok RK 2 No. 25,
        Ciangsana Village, Gunung Putri District, Bogor Regency, West Java with Building Use
        Rights Certificate (SHGB) No. 10369/Ciangsana in the name of Verah Wahyudi S Wong.
    c. A plot of land measuring 58 m 2 located on Jalan Raya Tapos No. 50 RT.02 RW.12, Tapos
        Village, Tapos District, Depok City, West Java with SHM No. 3209/Tapos in the name of Budi
        Aditya Erna Mulyanto.
    d. A plot of land measuring 56 m 2 located on Jalan KH Mansyur, Gondrong Village, Cipondoh
        District, Tangerang City, Banten with SHM No. 1842/Gondrong in the name of Budi Aditya
        Erna Mulyanto.
    e. 2 plots of land located on Jalan Raden Fattah, West Sudimara Village, Ciledug District,
        Tangerang City, Banten with SHM No. 3403/West Sudimara covering an area of 32 m 2 and
        SHM No. 3408/West Sudimara covering an area of 5 m 2 , both of which are in the name of
        Budi Aditya Erna Mulyanto.
    f.  A plot of land measuring 175 m 2 located at Ruko Jalan Raya Cinere Blok M No. 26, Cinere
        Village, Limo District, Depok City, West Java with SHM No. 4050/Cinere in the name of Budi
        Aditya Erna Mulyanto.
    g. A plot of land measuring 128 m 2 located in the Ottawa Cluster Tourism City Housing Block
        UC 2 No. 3, Limusnunggal Village, Cileungsi District, Bogor City, West Java with SHM No.
        4553/Limusnunggal in the name of Budi Aditya Erna Mulyanto.
    h. A plot of land measuring 2,095 m 2 located on Jalan Purnawarman, Kp. Lebak Sirna RT.001
        RW.07, Ciampea Village, Ciampea District, Bogor City, West Java with SHM No.
        442/Ciampea in the name of Budi Aditya Erna Mulyanto.
    i.  A plot of land measuring 150 m 2 located at Ruko Jln. Wibawa Mukti II No. 3C RT.01 RW.07,
        Jatiasih Village, Jatiasih District, Bekasi City, West Java with SHM No. 8215/Jatiasih in the
        name of Budi Aditya Erna Mulyanto.
    j.  A plot of land measuring 180 m 2 located in the Coastesville Cluster Tourism City Housing
        Block SC 5 No. 35, Ciangsana Village, Gunung Putri District, Bogor Regency, West Java with
        SHM No. 7377/Ciangsana in the name of Budi Aditya Erna Mulyanto.

    Based on the agreement, the Company is not permitted to carry out the following activities without
    prior written approval from BCA, namely:
    a. obtain new loans/credit from other parties and/or commit themselves as guarantors in any
          form and under any name and/or pledge assets to other parties.
    b. lend money, including but not limited to affiliated companies, except for carrying out daily
          business.




                                                  32
Page 36
PT REMALA ABADI Tbk AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Six-Month Periods Ended June 30, 2024 and 2023
(Dinyatakan Dalam Rupiah, Kecuali Dinyatakan Lain)

13. BANK LOAN (continued)

    PT Bank Central Asia Tbk (continued)

    Based on the agreement, the Company is not permitted to carry out the following activities without
    prior written approval from BCA, namely: (continued)
    c. make investments, investments or open new businesses outside the Company core business.
    d. carrying out consolidation, merger, takeover, dissolution/liquidation, as well as changing
          institutional status, articles of association, composition of directors and board of
          commissioners and shareholders and distributing dividends.
    The company has received a waiver from BCA regarding the above matter in Letter No.
    00479/SLK/2023 dated May 8, 2023 and Letter No. 00793/SLK/2023 dated July 21, 2023.


14. ACCOUNT PAYABLES

                                                          June 30, 2024         December 31, 2023

    PT Aplikasinusa Lintasarta                                 940.170.861                      -
    PT Multidata Rancana Prima                                 355.210.000                      -
    PT Lintas Telematika Nusantara                             305.250.000                      -
    Others (under Rp300 milion)                              8.838.032.691           15.449.371.731
    Total                                                   10.438.663.552           15.449.371.731
    All business debts are denominated in Rupiah. The Group does not provide guarantees for its
    debts to suppliers.


15. ACCRUAL EXPENSES

                                                          June 30, 2024         December 31, 2023

    Wages                                                    3.638.676.388              960.197.812
    Operational Right Fee (BHP)
       and Universal Service Obligations (USO)               2.106.689.653            3.454.650.381
    Insurance                                                  398.060.465                      -
    Total                                                    6.143.426.506            4.414.848.193


16. OTHER PAYABLES

                                                          June 30, 2024         December 31, 2023

    Related parties
      Shareholders                                           4.649.940.713              700.000.000
      PT Sumber Data Indonesia                                 825.000.000                      -
      PT Jaringan Fiber Indonesia                                      -              1.650.000.000

    Total                                                    5.474.940.713            2.350.000.000

                                                  33
Page 37
PT REMALA ABADI Tbk AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Six-Month Periods Ended June 30, 2024 and 2023
(Dinyatakan Dalam Rupiah, Kecuali Dinyatakan Lain)

16. OTHER PAYABLES (continued)

    All other debts are denominated in Rupiah.

    The debt to PT Sumber Data Indonesia (SDI) is an interest-free loan received by the Company
    from SDI with a loan repayment period starting from August 15, 2023 – November 15, 2023 with
    total installments of Rp 550,000,000 per month. On November 16, 2023, the loan repayment
    period has been extended until December 10, 2024 with total installments of Rp137,500,000 per
    month starting January 10, 2024.

    Shareholders' payable represents payable to Mr. Budi Aditya Erna Mulyanto for loan funds as
    stated in Loan Agreement No. 005/RA-BUDI/PKS/V/2024 and No. 006/RA-BUDI/PKS/V/2024
    dated respectively. Budi Aditya Erna Mulyanto for the loan of funds as stipulated in Loan
    Agreement No. 005/RA-BUDI/PKS/V/2024 and No. 006/RA-BUDI/PKS/V/2024 dated May 14, 2024
    and May 18, 2024 respectively with a total loan of Rp3,949,940,713 and Rp1,000,000,000
    respectively.


17. LEASE LIABILITIES

    The Group entered into several lease agreements relating to the rental of office space. The rental
    agreement has a fixed term from 3 months to 56 months, but can have an extension option. The
    lease agreement does not provide any conditions, but the leased asset cannot be used as
    collateral for a loan. The Group entered into an office space rental agreement with PT Mustika
    Ratu Center as follows:
    a. On May 13, 2022, the Company signed a Lease Agreement with PT Mustika Ratu Center for
          office space. This agreement has been amended several times, most recently on July 24,
          2023 where the Company rented office space on the Ground Floor covering an area of
          388.18 m 2 with a rental period of 4 years 8 months from September 15, 2023 to June 12,
          2028.
    b. On November 7, 2022, the Company signed a Lease Agreement with PT Mustika Ratu
          Center for office space. This agreement has been amended several times, most recently on
          August 31, 2023 where the Company rented office space on the Annex Floor covering an
          area of 147.5 m 2 with a rental period of 3 months from October 1, 2023 to January 1, 2024.
    c. On February 21, 2011 and June 8, 2015, the Company signed a Lease Agreement with PT
          Mustika Ratu Center for office space. This agreement has been amended several times, most
          recently on January 27, 2023 and June 12, 2023 where the Company rented office space on
          the Annex Floor with a total area of 171.36 m 2 with a rental period of 3 months from June 15,
          2023 to September 14, 2023. Furthermore, on September 22 2023, the Company signed an
          addendum to the rental agreement whereby the area of the office space rented was reduced
          to 59.23 m 2 effective from September 15, 2023 until December 31, 2023.
    d. On November 7, 2022, PT PC 24 Cyber Indonesia signed a Lease Agreement with PT
          Mustika Ratu Center for office space. This agreement has been amended several times, most
          recently on August 31, 2023 where PT PC 24 Cyber Indonesia rented office space on the
          Annex Floor with an area of 73.28 m 2 with a rental period of 3 months from October 1, 2023
          to January 1, 2024 .




                                                   34
Page 38
PT REMALA ABADI Tbk AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Six-Month Periods Ended June 30, 2024 and 2023
(Dinyatakan Dalam Rupiah, Kecuali Dinyatakan Lain)

17. LEASE LIABILITIES (continued)

    Future minimum rental payments are as follows:

                                                              June 30, 2024       December 31, 2023

    Present value of minimum payment                            3.983.871.783         4.841.109.093
    The due part is in
      one year's time                                           (1.486.131.720)        (692.476.700)

    Long Term Section                                           2.497.740.063         4.148.632.393

    The amount of implicit incremental interest used is 6%.


18. CONSUMER FINANCING PAYABLE

    The present value of the minimum lease payments is as follows:

                                                              June 30, 2024       December 31, 2023

    Present value of minimum payment                            4.287.126.582         5.562.204.184
    The due part is in
      one year's time                                           (2.329.174.401)       (3.339.189.887)

    Long Term Section                                           1.957.952.181         2.223.014.297




                                                  35
Page 39
PT REMALA ABADI Tbk AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Six-Month Periods Ended June 30, 2024 and 2023
(Dinyatakan Dalam Rupiah, Kecuali Dinyatakan Lain)

18. CONSUMER FINANCING PAYABLE (continued)




19. EMPLOYEE BENEFITS LIABILITIES

    The calculation of employee benefits liabilities uses the "Projected Unit Credit" method by
    considering the following assumptions:

                                                      June 30, 2024        December 31, 2023

    Doscount rate                                         7,22%                   7,22%
    Salary increase rate                                  6,00%                   6,00%
    Mortality table                                      TMI IV                  TMI IV
    Retirement age                                     55 years old            55 years old




                                               36
Page 40
PT REMALA ABADI Tbk AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Six-Month Periods Ended June 30, 2024 and 2023
(Dinyatakan Dalam Rupiah, Kecuali Dinyatakan Lain)

19. EMPLOYEE BENEFITS LIABILITIES (continued)

    Movements in employee benefits liabilities are as follows:

                                                           June 30, 2024            December 31, 2023

    Beginning of the period/year                                 2.612.829.682          2.019.863.286
    Expenses recognized on the report:
      Profit and loss                                                           -         526.066.294
      Other comprehensive income                                                -          66.900.102
    End of Period/Year Balance                                   2.612.829.682          2.612.829.682


20. TAXATION

    a.   Pajak Dibayar Dimuka

                                                            30 Juni 2024            31 Desember 2023
         Pajak Pertambahan Nilai                                    64.980.388                     -
         Jumlah                                                     64.980.388                     -

    b.   Utang Pajak

                                                           June 30, 2024            December 31, 2023
         Value added tax                                         2.967.463.545            939.415.389
         Income tax:
            Article 4 (2)                                           94.507.392             44.972.907
            Article 21                                             222.910.645            641.621.953
            Article 23                                              62.109.621             75.727.470
            Article 25                                             754.769.747            480.235.004
            Article 29                                           4.373.781.463          5.410.366.947
         Total                                                   8.475.542.413          7.592.339.670

    c.   Benefits (expenses) of income tax

                                                           June 30, 2024              June 30, 2023
         Current
           Company                                               (8.689.417.440)        (5.009.899.180)
           Subsidiaries                                            (891.022.660)          (568.787.560)
         Subtotal                                                (9.580.440.100)        (5.578.686.740)
         Deferred
           Company                                                          -              88.969.460
           Subsidiaries                                                     -              59.821.916
         Subtotal                                                               -         148.791.376
         Income tax Enpense - Net                                (9.580.440.100)        (5.429.895.364)

                                                   37
Page 41
PT REMALA ABADI Tbk AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Six-Month Periods Ended June 30, 2024 and 2023
(Dinyatakan Dalam Rupiah, Kecuali Dinyatakan Lain)

20. TAXATION (continued)

    c.   Benefits (expenses) of income tax (continued)

         The reconciliation between profit before income tax as stated in the consolidated statement of
         profit or loss and other comprehensive income and the Company estimated taxable profit for
         the six month period ending June 30, 2024 and 2023 is as follows:

                                                          June 30, 2024             June 30, 2023

         Profit before income tax expense
           according to the income statement
           and consolidated other
           comprehensive income                             38.775.285.160            23.646.574.867
         profit before tax of of subsidiaries
           and eliminations                                    (142.641.618)          (2.279.927.047)

         Profit before income tax -                         38.632.643.542            21.366.647.820
           Company

         Permanent difference                                  864.708.817             1.001.215.313
         Temporary difference                                          -                 404.406.635

         Taxable Profits - Company                          39.497.352.359            22.772.269.768

         Taxable Profits - Company
           (rounded)                                        39.497.352.000            22.772.269.000

         Income tax expense - current                         8.689.417.440            5.009.899.180
         Prepaid income tax:
            Article 22                                             (500.000)                     -
            Article 23                                       (1.208.721.597)            (540.920.153)
            Article 25                                       (4.047.629.081)          (1.976.484.243)

         Income tax Debt Article 29 -
           Company                                            3.432.566.762            2.492.494.784




                                                  38
Page 42
PT REMALA ABADI Tbk AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Six-Month Periods Ended June 30, 2024 and 2023
(Dinyatakan Dalam Rupiah, Kecuali Dinyatakan Lain)

20. TAXATION (continued)

    d.   Defereed Tax

                                                                                 Credited to Other
                                       Balance as of          Charged to          Comprehensive        Balance as of
                                      Januari 1, 2024        Profit or Loss          Income            June 30, 2024

         Company
           Employee benefits             396.472.843                      -                     -        396.472.843
           Provision for impairment
              of value receivables       323.631.476                      -                     -        323.631.476
         Subsidiaries
           Employee benefits             178.349.687                      -                     -        178.349.687
           Provision for impairment
              of value receivables       326.841.685                      -                     -        326.841.685
         Total Deferred Tax Assets     1.225.295.691                      -                     -       1.225.295.691


                                                                                 Credited to Other
                                       Balance as of          Charged to          Comprehensive        Balance as of
                                      Januari 1, 2023        Profit or Loss          Income          December 31, 2023

         Company
           Employee benefits             300.040.091            83.237.525             13.195.227        396.472.843
           Provision for impairment
              of value receivables       137.163.309           186.468.167                      -        323.631.476
         Subsidiaries
           Employee benefits             144.329.832            32.497.059              1.522.796        178.349.687
           Provision for impairment
              of value receivables       428.430.776          (101.589.091)                     -        326.841.685
         Total Deferred Tax Assets     1.009.964.008           200.613.660             14.718.023       1.225.295.691



21. CAPITAL STOCK

    The composition of the Company's shareholders as of June 30, 2024 is as follows:

                                            Number of
                                         Issued and Paid                Percentage
                                             Shares                     Ownership                       Total

    Verah Wahyudi Singgih Wong               1.056.000.000                    76,80%                 52.800.000.000
    Jimmi Anka                                  44.000.000                     3,20%                  2.200.000.000
    PT Dinamika Cipta Solusi                    66.489.400                     4,84%                  3.324.470.000
    Budi Aditya Erna Mulyanto                   59.604.800                     4,33%                  2.980.240.000
    PT Maxindo Mitra Solusi                     26.595.700                     1,93%                  1.329.785.000
    Dr. Kishore Kumar                           17.191.500                     1,25%                    859.575.000
    Public                                     105.118.600                     7,64%                  5.255.930.000
    Total                                    1.375.000.000                100,00%                    68.750.000.000
    The composition of the Shareholders as of June 30, 2024 is in accordance with the data of “List of
    Securities Ownership Account Holders” as of June 28, 2024 sourced from the KSEI website.

                                                        39
Page 43
PT REMALA ABADI Tbk AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Six-Month Periods Ended June 30, 2024 and 2023
(Dinyatakan Dalam Rupiah, Kecuali Dinyatakan Lain)

21. CAPITAL STOCK (continued)

    The composition of the Company's shareholders as of December 31, 2023 is as follows:

                                         Number of
                                      Issued and Paid           Percentage
                                          Shares                Ownership                  Total

    Verah Wahyudi Singgih Wong            1.056.000.000             96%                52.800.000.000
    Jimmi Anka                               44.000.000             4%                  2.200.000.000

    Total                                 1.100.000.000            100%                55.000.000.000

    Based on Deed no. 132 dated August 30, 2023 by Elizabeth Karina Leonita, SH., M.Kn., Notary in
    South Jakarta, which has received approval from the Minister of Law and Human Rights of the
    Republic of Indonesia in Decree No. AHU-0051661.AH.01. 02.TAHUN 2023 dated August 31,
    2023, the shareholders approved an increase in authorized capital from Rp50,000,000 to
    Rp220,000,000,000 and an increase in the Company's issued and paid-up capital from
    Rp25,000,000 to Rp55,000,000,000. an increase in the Company issued and paid-up capital
    amounting to Rp54,975,000,000 through the distribution of share dividends and shares and paid-
    up in full by the shareholders in accordance with their portion of ownership so that the composition
    of the Company share ownership is as follows:
    (a) Verah Wahyudi Singgih Wong amounting to Rp52,800,000,000 or 528,000 shares.
    (b) Jimmi Anka amounting to Rp2,200,000,000 or 22,000 shares.

    Based on Deed no. 45 dated November 15, 2023 by Notary Elizabeth Karina Leonita, SH., M.Kn.,
    Notary in South Jakarta, which has received approval from the Minister of Law and Human
    Rights of the Republic of Indonesia in Decree No. AHU-0071258.AH.01.02.TAHUN 2023 dated
    November 17, 2023 and has been received by the Minister of Law and Human Rights based on
    letter No. AHU-AH.01.09-0186388 and letter No. AHU-AH.01.03-0143300 on November 17, 2023
    respectively, the shareholders took decisions, including the following:
    •     Approved the change in the Company status from a closed company to a public company.
    •     Approve the Company plan to conduct an Initial Public Offering (IPO) by issuing shares in the
          Company's savings/portfolio and offering/selling new shares to be issued from the portfolio
          through an IPO to the public, in a maximum amount of 275,000,000 or a maximum of 20% of
          the issued and paid-up capital after the IPO with a nominal value of Rp50 per share.
    •     Approve to list all of the Company shares, after holding the IPO, for shares offered and sold
          to the public through the Capital Market, as well as shares owned by shareholders (other than
          public shareholders) of the Company, on the Indonesian Stock Exchange, and agree to
          register Company shares are in Collective Custody which is carried out in accordance with
          applicable laws and regulations in the Indonesian Capital Market sector.
    •     Approved the determination of the controlling shareholder of the Company in order to comply
          with the provisions of Article 85 of the Financial Services Authority Regulation Number
          3/POJK.04/2021 concerning the Implementation of Capital Market Activities, namely Verah
          Wahyudi Singgih Wong as the party controlling the Company based on the applicable laws
          and regulations in the field Capital market.
          •     Approved the change in nominal value per share from previously Rp 100,000 to Rp 50
                per share.



                                                   40
Page 44
PT REMALA ABADI Tbk AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Six-Month Periods Ended June 30, 2024 and 2023
(Dinyatakan Dalam Rupiah, Kecuali Dinyatakan Lain)

22. ADDITIONAL PAID-IN CAPITAL

    In 2016, the Company participated in the tax amnesty program. The company received a Tax
    Amnesty Certificate (SKPP) on October 12, 2016. The reported tax amnesty assets amounted to
    Rp 7,271,363,600. and no tax liabilities were reported. The difference between tax amnesty assets
    and tax amnesty liabilities is recorded as part of the "Additional Paid-in Capital" account amounting
    to Rp7,271,363,600. The amount of ransom paid by the Company under the tax amnesty program
    was Rp145,427,272.
    On May 8, 2024, the Company received proceeds from the Public Offering of Shareholders
    amounting to Rp37,950,000,000.


23. RETAINED EARNINGS

                                                            June 30, 2024           December 31, 2023

    Appropriated
      Balance at beginning of the period/year                  1.000.000.000                        -
      Reserve                                                  1.000.000.000              1.000.000.000
      Balance at the end of the period/year                    2.000.000.000              1.000.000.000

    Unappropriated
      Balance at beginning of the period/year                 27.996.189.195             57.838.171.482
      Subsidiary loss                                           (790.945.956)                       -
      Dividend distribution                                              -              (54.975.000.000)
      Reserve                                                 (1.000.000.000)            (1.000.000.000)
      Profit for the period/year                              29.178.190.827             26.133.017.713
      Balance at the end of the period/year                   55.383.434.066            27.996.189.195
    Total                                                     57.383.434.066            28.996.189.195

    Based on Deed of General Meeting of Shareholders No. 47 dated June 26, 2024 by Notary
    Kumala Tjahjani Widodo, S.H., M.Kn. in Jakarta, it was stated that the Company approved the
    addition of general reserve allocation of Rp1,000,000,000 (one billion Rupiah).


24. OTHER COMPREHENSIVE INCOME

    This account consists of:
                                                            June 30, 2024           December 31, 2023

    Balance at beginning of the period/year                       (62.121.168)               (9.993.078)
    Other comprehensive profit (loss)
      current period/year                                                     -             (52.128.090)
    Balance at the end of the period/year                         (62.121.168)              (62.121.168)


    Addition to other comprehensive income consists of actuarial gains (losses) on the remeasurement
    of employee benefits liabilities and related income taxes attributable to owners of the parent entity.

                                                    41
Page 45
PT REMALA ABADI Tbk AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Six-Month Periods Ended June 30, 2024 and 2023
(Dinyatakan Dalam Rupiah, Kecuali Dinyatakan Lain)

25. NON-CONTROLLING INTERESTS

    This account consists of:

                                                          June 30, 2024          December 31, 2023

    Balance at beginning of the period/year                    375.549.799               165.160.955
    Acquisition of subsidiaries                                        -                 185.000.000
    Share of net profit from subsidiaries                      212.654.232                25.442.834
    Other comprehensive income sectiion
      from subsidiary entities                                             -                 (53.990)

    Balance at the end of the period/year                      588.204.031               375.549.799


26. REVENUE

    This Account consists of:

                                                          June 30, 2024            June 30, 2023

    Telecommunications revenue                             123.448.185.812           98.532.135.124
    Non-telecommunications income                            4.030.333.434            6.690.660.661

    Total                                                  127.478.519.246          105.222.795.785

    Details of customers that exceed 10% of total consolidated revenue are as follows:

                                                          June 30, 2024            June 30, 2023

    Third parties
      Dinas Komunikasi, Informatika
         dan Statistik                                      24.001.079.037           10.330.766.767


27. COST OF GOODS SOLD

    This Account consists of:

                                                          June 30, 2024            June 30, 2023

    Repair and maintenance                                  11.285.542.907           23.724.921.143
    Material load                                           10.472.274.843           20.639.234.770
    Depreciation                                             5.803.231.536            4.612.509.572
    Unloading fee                                            4.364.748.646                      -
    Rent equipment                                           4.319.751.135               34.000.000
    Supervision and monitoring                               2.243.290.685                      -




                                                  42
Page 46
PT REMALA ABADI Tbk AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Six-Month Periods Ended June 30, 2024 and 2023
(Dinyatakan Dalam Rupiah, Kecuali Dinyatakan Lain)

27. BEBAN POKOK PENDAPATAN (continued)

                                                         June 30, 2024            June 30, 2023

    BHP Universal Service Obligation (USO) and
      BHP Radio Station License (ISR)                       2.044.508.143             379.559.944
    Electricity and telephone expenses                      1.558.776.874                     -
    Operational expenses                                      955.254.151             495.616.410
    Total                                                  43.047.378.920          49.885.841.839
    There are no purchases from one supplier that exceed 10% of total consolidated revenue.


28. SALES EXPENSES

    This Account consists of:

                                                         June 30, 2024            June 30, 2023

    Commission                                             13.268.008.771            8.211.346.639
    Marketing                                                 543.757.536              427.762.696
    Advertisement                                             174.099.484               34.718.284
    Total                                                  13.985.865.791            8.673.827.619


29. GENERAL AND ADMINISTRATIVE EXPENSES

    This Account consists of:

                                                         June 30, 2024            June 30, 2023

    Salary, wages, bonuses and benefits                    18.441.367.444          13.010.225.885
    Depreciation of fixed and right-of-use assets           2.563.391.947           1.013.553.516
    Professional service                                    2.117.823.492             974.152.211
    Safety and hygiene                                      1.295.511.550                     -
    IPO expenses                                            1.236.149.930                     -
    Insurance                                               1.199.819.947                     -
    Office operations                                         831.697.402             694.389.160
    Utility                                                   753.081.486           2.222.331.242
    Legality and licensing                                    563.417.014             143.524.979
    Repair and maintenance                                    488.342.019             781.602.132
    Fuel, tolls and parking                                   432.793.414             712.821.980
    Expedition                                                231.440.852              38.536.500
    Retribution                                               107.674.700              83.581.500
    Rent                                                       43.865.040           1.864.193.468
    Tax expenses                                               43.234.874              31.292.552
    Employee benefit                                                  -               266.151.525
    Others                                                    506.826.257             110.051.686
    Total                                                  30.856.437.368          21.946.408.336
                                                    43
Page 47
PT REMALA ABADI Tbk AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Six-Month Periods Ended June 30, 2024 and 2023
(Dinyatakan Dalam Rupiah, Kecuali Dinyatakan Lain)

30. FINANCIAL CHARGES

    This Account consists of:

                                                   June 30, 2024         June 30, 2023

    Interest on bank loan                                476.348.173          14.826.137
    Affiliate loan interest                              178.552.574                   -
    Interest on consumer financing
       debt                                              140.052.599         115.431.957
    Privisions and administration                         30.684.864          21.000.000
    Total                                                825.638.210         151.258.094


31. OTHER INCOME (EXPENSES)

    This Account consists of:

                                                   June 30, 2024         June 30, 2023

    Other Income
      Bank interest                                      158.340.069          40.609.915
      exchange rate difference                             1.329.137                   -
      Affiliate interest income                                  -           241.267.794
      Others (under Rp100 million)                       154.934.772         427.975.307

    Subtotal                                             314.603.978         709.853.016

    Other expense
      Tax penalties and fines                            (242.899.678)      (933.743.663)
      Bank administration                                 (53.649.701)      (218.874.197)
      Loss on foreign exchange                             (3.821.730)        (9.810.322)
      Allowance for impairment
         of receivables                                             -       (410.172.913)
      Others (under Rp100 million)                         (2.146.666)       (56.136.951)

    Subtotal                                             (302.517.775)     (1.628.738.046)

    Total                                                 12.086.203        (918.885.030)


32. EARNINGS PER SHARES

                                                   June 30, 2024         June 30, 2023

    Attributable net profit
       to the owners of the parent entity           29.178.190.827        18.207.642.659
    Weighted average sum
       outstanding shares                            1.344.243.421               500.000

    Net Earnings per Share                                      21,71          36.415,29
                                            44
Page 48
PT REMALA ABADI Tbk AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Six-Month Periods Ended June 30, 2024 and 2023
(Dinyatakan Dalam Rupiah, Kecuali Dinyatakan Lain)

33. BALANCE AND TRANSACTIONS WITH RELATED PARTIES

    In normal business activities, the Group carries out transactions with related parties. These
    transactions are as follows:

    a.   Nature of Relationships and Transactions with Related Parties

         Entity                                          Relationship              Nature of Transaction

         Mr. Budi Aditya Erna Mulyanto                   Shareholder                  Other payables
         PT Jaringan Fiber Indonesia            Entities with common control          Other payables
         PT Fiber Media Indonesia               Entities with common control         Other receivables
         PT Sumber Data Indonesia               Entities with common control          Other payables

         Entities under common control are entities that have shareholders and/or members of the
         board of directors and board of commissioners or have family relationships with the

         Transactions with related parties are carried out with conditions equivalent to those applicable
         in normal transactions.

    b.   Other Receivables

         Details of other receivables from related parties are as follows:

                                                             June 30, 2024           December 31, 2023

         PT Fiber Media Indonesia                               1.775.688.130             3.707.674.348
         Percentage of total
           consolidated assets                                            0,84%                    2,52%

         Other receivables from PT Fiber Media Indonesia (FMI) are unsecured loans bearing interest
         at 10.5% with repayment period until October 2024. As of June 30, 2024, the balance of
         receivables from FMI is presented as current assets.

    c.   Other Payables

         Details of other payables from related parties are as follows:

                                                             June 30, 2024           December 31, 2023

         Mr. Budi Aditya Erna Mulyanto                          4.649.940.713               700.000.000
         PT Sumber Data Indonesia                                 825.000.000                       -
         PT Jaringan Fiber Indonesia                                      -               1.650.000.000
         Total                                                  5.474.940.713             2.350.000.000
         Percentage of total
           consolidated liabilities                                       13,21%                   4,24%




                                                    45
Page 49
PT REMALA ABADI Tbk AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Six-Month Periods Ended June 30, 2024 and 2023
(Dinyatakan Dalam Rupiah, Kecuali Dinyatakan Lain)

33. BALANCE AND TRANSACTIONS WITH RELATED PARTIES (continued)

    c.    Other Payables (continued)

          Payable to PT Sumber Data Indonesia (SDI) is an interest-free loan received by the Company
          from SDI with a loan repayment period starting from August 15, 2023 - November 15, 2023
          with monthly installments of Rp550,000,000. On November 16, 2023, the loan repayment
          period has been extended until December 10, 2024 with an installment amount of
          Rp137,500,000 per month starting January 10, 2024.

          Other payables to Mr. Budi Aditya Erna Mulyanto Budi Aditya Erna Mulyanto for the loan of
          funds as stipulated in the Loan Agreement No. 005/RA-BUDI/PKS/V/2024 and No. 006/RA-
          BUDI/PKS/V/2024 dated May 14, 2024 and May 18, 2024 respectively with a total loan of
          Rp3,949,940,713 and Rp1,000,000,000 respectively.


34. FINANCIAL INSTRUMENTS

    The following table presents the carrying amounts and estimated fair values of financial
    instruments recorded in the consolidated statements of financial position as of June 30, 2024 and
    December 31, 2023:

                                               June 30, 2024                       December 31, 2023
                                        Carrying              Fair            Carrying             Fair
                                        Amount               Value            Amount              Value

    Financial Assets
       Cash                          15.455.919.461        15.455.919.461    9.440.496.783    9.440.496.783
       Account receivables           12.853.117.460        12.853.117.460    4.932.144.982    4.932.144.982
       Other receivables              2.508.915.633         2.508.915.633    5.077.684.183    5.077.684.183
       Other non-current assets -
          Deposit                       311.062.930          311.062.930      241.043.430       241.043.430

    Total Financial Assets           31.129.015.484        31.129.015.484   19.691.369.378   19.691.369.378

    Financial Liabilities
       Bank loan                         18.030.000            18.030.000   12.602.714.636   12.602.714.636
       Account payables              10.438.663.552        10.438.663.552   15.449.371.731   15.449.371.731
       Accued expenses                6.143.426.506         6.143.426.506    4.414.848.193    4.414.848.193
       Other payables                 5.474.940.713         5.474.940.713    2.350.000.000    2.350.000.000
       Consumer financing debt        4.287.126.582         4.287.126.582    5.562.204.184    5.562.204.184
       Lease liabilities              3.983.871.783         3.983.871.783    4.841.109.093    4.841.109.093

    Total Financial Liabilities      30.346.059.136        30.346.059.136   45.220.247.837   45.220.247.837



35. FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES

    Financial Risks

    The Group is affected by various financial risks, including credit risk, liquidity risk and market risk.
    The Group's overall risk management objective is to effectively control these risks and minimize
    the adverse impact they may have on their financial performance.

                                                      46
Page 50
PT REMALA ABADI Tbk AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Six-Month Periods Ended June 30, 2024 and 2023
(Dinyatakan Dalam Rupiah, Kecuali Dinyatakan Lain)

35. FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES (continued)

    Financial Risks (continued)

    Financial risk management is under direct supervision by the Board of Directors who are tasked
    with identifying and evaluating financial risks in close collaboration with the Group's operating
    units. The Board of Directors determines overall financial risk management principles, as well as
    policies in certain areas, such as credit risk and liquidity risk, as well as the use of derivative and
    non-derivative financial instruments, and investment in excess liquidity.

    a.   Credit Risk

         Credit risk is the risk that one party to a financial instrument will fail to fulfill its obligations and
         cause the other party to experience financial losses. The credit risk faced by the Group
         originates from operating activities (mainly from trade receivables from third parties) and from
         funding activities, including bank accounts.

         The Group's credit risk exposure is primarily in managing trade receivables. The Group
         monitors the collectibility of receivables so that collections can be received in a timely manner
         and also reviews each customer's receivables periodically to assess the potential for
         collection failures and establish reserves based on the results of this review.

         The Group's exposure to credit risk arises from negligence of other parties, with a maximum
         exposure equal to the carrying amount of the Group's financial assets, as follows:

                                                                June 30, 2024             December 31, 2023

         Cash                                                     15.455.919.461                9.440.496.783
         Account receivables                                      12.853.117.460                4.932.144.982
         Other receivables                                         2.508.915.633                5.077.684.183
         Other non-current assest -
           Deposit                                                    311.062.930                  241.043.430

         Total                                                    31.129.015.484               19.691.369.378

    a.   Liquidity Risk

         Liquidity risk is defined as the risk when the Group's cash flow position indicates that short-
         term receipts are not sufficient to cover short-term expenditure. The Group's liquidity needs
         have historically arisen from the need to finance investments and capital expenditures related
         to business expansion programs. The Group requires substantial working capital to undertake
         new projects and to fund operations.

         In managing liquidity risk, the Group monitors and maintains cash levels that are considered
         adequate to finance the Group's operations and to overcome the impact of cash flow
         fluctuations. The Group also regularly evaluates cash flow projections and actual cash flows,
         including loan maturity schedules, and continues to review financial market conditions to
         maintain funding flexibility by maintaining the availability of committed credit facilities.



                                                       47
Page 51
PT REMALA ABADI Tbk AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the Six-Month Periods Ended June 30, 2024 and 2023
(Dinyatakan Dalam Rupiah, Kecuali Dinyatakan Lain)

35. FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES (continued)

    Capital Management

    The main objective of the Company's capital management is to ensure that it maintains a strong
    credit rating and healthy capital ratios in order to support the smooth running of its business and
    maximize shareholder value. The Company manages its capital structure and makes adjustments
    in connection with changes in economic conditions and the characteristics of its business risks. In
    order to maintain and adjust its capital structure, the Company will adjust the amount of dividend
    payments to shareholders or the rate of return on capital or issue share certificates. There are no
    changes in objectives, policies and processes and are the same as in previous years.

    The company monitors its capital structure using the debt to capital ratio, where total debt is
    divided by total capital.

    The calculation of the debt to equity ratio is as follows:

                                                                 June 30, 2024     December 31, 2023

    Interest-bearing loans                                        13.763.969.078      25.356.027.913
    Total equity                                                 171.079.239.505      91.580.981.427

    Debt to Equity Ratio                                                    0,08                 0,28




                                                      48

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Names mentioned 57 people and organisations named in the text · linked when the evidence is strong

linked org Mustika Ratu p.9 ×9
linked person Verah Wahyudi Singgih Wong. p.9 ×6
linked person Ahmad Alamsyah Saragih p.9 ×3
linked person Richard Kartawijaya p.9
linked person Samuel Adi Mulia p.9
linked person Moh Reza Pahlevi p.11
linked org Bank Central Asia Tbk p.26 ×23
linked org Bank Mandiri (Persero) Tbk p.26 ×2
linked org Bank Permata Tbk p.26 ×2
linked org Asuransi Bina Dana Arta Tbk p.32 ×2
linked org Bank OCBC NISP Tbk p.33 ×8
linked person Verah Wahyudi S Wong. p.35 ×2
possible org Bank Rakyat Indonesia (Persero) Tbk p.26 ×2
possible person Budi Aditya Erna Mulyanto Budi Aditya Erna p.49 ×22
unresolved org REMALA ABADI Tbk p.1 ×99
unresolved person Fajra Rizqi Nasution p.9
unresolved org Minister of Justice and Human Rights p.9
unresolved person Notary Elizabeth Karina Leonita · Notaris p.9 ×5
unresolved org Minister of Law p.9
unresolved org Minister of Law and Human Rights p.9 ×9
unresolved — Hong Chintia · Corporate Secretary p.9
unresolved org PT PC p.10 ×6
unresolved org PT Akselerasi Informasi p.10
unresolved org PT Fiber Kerumah p.10
unresolved person Anita Munaf p.10
unresolved person Rpiansyah Rizal p.10 ×2
unresolved org PT Solusi Aplikasi Andalan Semesta p.11 ×2
unresolved person Novita Sari Sianturi p.11
unresolved org PT Akselerasi Informasi Indonesia p.11 ×3
unresolved org PT Fiber Kerumah Indonesia FKI p.12
unresolved org Bank Indonesia p.18
unresolved org PT Bank DKI p.26
unresolved org PT Comtronics Systems p.27
unresolved org PT Jangkar Putra Indonesia p.27 ×2
unresolved org PT Netco Trans Nusa p.27 ×2
unresolved org PT Fajar Mitra Krida p.28 ×2
unresolved org PT Fiber Teknologi Inovasi p.28
unresolved person Iman Taufik p.28 ×2
unresolved org PT Fiber Media Indonesia p.28 ×8
unresolved org PT Fiber Kerumah Indonesia. p.28
unresolved org PT Sentra Inovasi Prima p.29 ×3
unresolved org PT Jaringan Fiber Indonesia Via p.30 ×2
unresolved org PT Broadband Network Indonesia p.30
unresolved org PT Mustika Ratu Center. As p.30
unresolved org PT Alindatama Saktib Rother p.32
unresolved org PT Mustika Ratu Center. p.33 ×6
unresolved person KH Mansyur p.35
unresolved org PT Aplikasinusa Lintasarta p.36
unresolved org PT Multidata Rancana Prima p.36
unresolved org PT Lintas Telematika Nusantara p.36
unresolved org PT Jaringan Fiber p.36
unresolved org PT Jaringan Fiber Indonesia p.36 ×3
unresolved org PT Dinamika Cipta Solusi p.42
unresolved org PT Maxindo Mitra Solusi p.42
unresolved person Dr. Kishore Kumar p.42
unresolved org Financial Services Authority p.43
unresolved person Notary Kumala Tjahjani Widodo p.44 ×2

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