NOTES TO THE FINANCIAL STATEMENTS
31 December 2014
1.
Corporate information
Hock Lian Seng Holdings Limited (the “Company”) is a limited liability company, which is incorporated and domiciled in Singapore
and is listed on the Singapore Exchange Securities Trading Limited (“SGX-ST”).
The registered office and the principal place of business of the Company is located at 80 Marine Parade Road, #21-08 Parkway
Parade, Singapore 449269.
The principal activity of the Company is that of investment holding. The principal activities of the subsidiary companies, joint
operation and joint ventures are disclosed in Notes 11, 12 and 13 respectively.
2.
Summary of significant accounting policies
2.1 Basis of preparation
The consolidated financial 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 financial statements have been prepared on a historical cost basis except as disclosed in the accounting policies below.
The financial statements are presented in Singapore Dollars (“SGD” or “S$”) and all values are rounded to the nearest thousand
(“S$’000”) as indicated.
2.2 Changes in accounting policies
The accounting policies adopted are consistent with those of the previous financial year except in the current financial year,
the Group has adopted all the new and revised standards which are effective for annual financial periods beginning on or after
1 January 2014. The adoption of these standards did not have any effect on the financial performance or position of the Group
and the Company except as discussed below.
FRS 111 Joint Arrangements and Revised FRS 28 Investments in Associates and Joint Ventures
The adoption of FRS 111 has resulted in the Group having to revise its method of accounting for certain joint arrangements.
Investments in two jointly controlled entities, namely HLE Management Pte Ltd and Bukit Timah Green Development Pte Ltd had
been previously consolidated proportionately. Under FRS 111, these arrangements are classified as joint ventures and are to be
equity accounted.
The change in accounting policy has been applied in accordance with the transitional provision in FRS 111. The initial investments
were measured as the aggregate of the carrying amounts of the assets and liabilities that the Group previously proportionately
consolidated.
Hock Lian Seng Holdings Limited
Annual report 2014
43
