Page 55 - JTC-Annual Report-2025-Eng

JTC Logistics Transportation & Stevedoring Company K.S.C.P
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
As at December 31, 2025
(All amounts are in Kuwaiti Dinars)

▶ the size of the Group’s holding of voting rights relative to the size and dispersion of
holdings of the other vote holders;

▶ potential voting rights held by the Company, other vote holders or other parties;
▶ rights arising from other contractual arrangements;

▶ any additional facts and circumstances that indicate that the Company has, or does not
have, the current ability to direct the relevant activities at the time that decisions need to
be made, including voting patterns at previous shareholder’s meetings.

The financial statements of subsidiaries are included in the consolidated financial statements
from the date that control effectively commences until the date that control effectively ceases.
Specifically, income and expenses of a subsidiary acquired or disposed of during the year are
included in the consolidated statement of profit or loss and other comprehensive income
from the date the Parent Company gains control until the date when the Parent Company
ceases to control the subsidiary. All inter-company balances and transactions, including inter-
company profits and unrealized profits and losses are eliminated in full on consolidation.
Consolidated financial statements are prepared using uniform accounting policies for like
transactions and other events in similar circumstances.
Non-controlling interests in the net assets of consolidated subsidiaries are identified separately
from the Group’s equity therein. Consolidated statement of profit or loss and each component
of other comprehensive income are attributed to the owners of the Parent Company and
to the non-controlling interests, even if this results in the non-controlling interests having a
deficit balance.

A change in the ownership interest of a subsidiary, without a change of control, is accounted
for as an equity transaction under “other reserve”. The carrying amounts of the group’s
ownership interests and non-controlling interests are adjusted to reflect changes in their
relative interests in the subsidiaries. Any difference between the amount by which non-
controlling interests are adjusted and fair value of the consideration paid or received is
recognized directly in equity and attributable to owners of the Parent Company. If the Group
loses control over a subsidiary, it:

▶ Derecognizes the assets (including goodwill) and liabilities of the subsidiary;
▶ Derecognizes the carrying amount of any non-controlling interest;
▶ Derecognizes the cumulative translation differences, recorded in equity;
▶ Recognizes the fair value of the consideration received;
▶ Recognizes the fair value of any investment retained;
▶ Recognizes any surplus or deficit in profit or loss;
▶ Reclassifies the Parent Company’s share of components previously recognied in other
comprehensive income to consolidated statement of profit or loss or retained earnings
as appropriate.

d) Financial instruments
The Group classifies its financial instruments as “Financial assets” and “Financial liabilities.
Financial assets and financial liabilities are recognized when the Group becomes a party to
the contractual provisions of the instruments.

53 JTC LogisTiCs TransporTaTion & sTevedoring Company K.s.C.p.