Page 43 - ar2012

Annual Report 2012
Financial Report / 41
NOTES TO THE
FINANCIAL STATEMENTS
31 MARCH 2012
1. Corporate information
MTQ Corporation Limited (the “Company”) is a limited liability company incorporated and domiciled in Singapore and is listed
on the Singapore Exchange Securities Trading Limited (SGX-ST).
The registered offce and principal place of business of the Company is located at 182 Pandan Loop, Singapore 128373.
The principal activities of the Company relate to those of an investment holding and management company.
The principal activities of the subsidiaries relate to oilfeld engineering; rental and sale of oilfeld equipment and spare parts;
provision of oilfeld equipment manufacturing and fabrication services; sales and servicing of turbochargers and fuel injection
parts and investment holding. There have been no signifcant changes in the nature of these activities during the fnancial year.
2. Summary of significant accounting policies
2.1 Basis of preparation
The consolidated fnancial statements of the Group and the balance sheet and statement of changes in equity of the Company
have been prepared in accordance with Singapore Financial Reporting Standards (FRS).
The fnancial statements have been prepared on the historical cost basis except as disclosed in the accounting policies below.
The fnancial statements are presented in Singapore dollars ($) and all values in the tables are rounded to the nearest thousand
($’000) as indicated.
2.2 Changes in accounting policies
The accounting policies adopted are consistent with those of the previous fnancial year except in the current fnancial year, the
Group has adopted all the new and revised standards and Interpretations of FRS (INT FRS) that are effective for annual periods
beginning on or after 1 April 2011. The adoption of these standards and interpretations did not have any effect on the fnancial
performance or position of the Group and the Company with the exception of FRS 24 as described below.
The revised FRS 24 clarifes the defnition of a related party to simplify the identifcation of such relationships and to eliminate
inconsistencies in its application. The revised FRS 24 expands the defnition of a related party and would treat two entities as
related to each other whenever a person (or a close member of that person’s family) or a third party has control or joint control
over the entity, or has signifcant infuence over the entity. The revised standard also introduces a partial exemption of disclosure
requirements for government-related entities.
From 1 April 2011, the Group has applied the revised FRS 24 Related Party Disclosures to identify parties that are related to
the Group and to determine the disclosures to be made on transactions and outstanding balances, including commitments,
between the Group and its related parties.
The adoption of revised FRS 24 affects only the disclosures made in the fnancial statements. There is no fnancial effect on the
results and the fnancial position of the Group for the current and previous fnancial years.
(In Singapore dollars)