Group Overview Operation and Financial Review Financials Other Information Sustainability and Governance 107 Annual Report 2025 Notes to the financial statements For the financial year ended 31 December 2025 15. Leases Group as a lessee The Group has lease contracts for various assets, including land, buildings and office equipment used in its operations. The Group is restricted from assigning and subleasing the leased assets. • Lease of buildings generally have lease terms of between 1 to 17 years. • Office equipment generally have lease terms of 3 years. • Land use rights are in the form of HGB, HGU, HP, HPL and generally have lease terms from 4 to 40 years, and can be renewed and/or extended upon their expiration. The Group’s bearer plants are planted and managed on the area which have obtained Rights to Cultivate (“Hak Guna Usaha” or “HGU”), or have obtained location permits and in the process of obtaining HGU. Extension and termination options The Group has several lease contracts that contain extension and termination options exercisable by the Group. Where practicable, the Group seeks to include extension and termination options in new leases to provide operational flexibility. The extension options held are exercisable only by the Group before the end of the non-cancellable contract period and not by the lessors. The termination options can be exercised by serving the required notice periods in the lease contract. Short-term leases and leases of low-value assets The Group also has certain leases of office equipment with lease terms of less than 12 months or with low value. The Group applies the ‘short-term lease’ and ‘lease of low-value assets’ recognition exemptions for these leases and recognise lease expenses on a straight-line basis in the profit or loss. Set out below are the carrying amounts of right-of-use assets recognised on the Group’s consolidated balance sheet and the movements during the period: Right-of-use assets Land use rights Buildings Office equipment Group Total Rp million Rp million Rp million Rp million At 1 January 2024 1,979,519 9,060 5,896 1,994,475 Additions 66,455 – 13,708 80,163 Write-off (3,737) – – (3,737) Depreciation expense (64,284) (5,358) (5,896) (75,538) Reclassification (1) (3,615) – – (3,615) At 31 December 2024 and 1 January 2025 1,974,338 3,702 13,708 1,991,748 Additions 413,471 8,027 3,521 425,019 Write-off (6,815) – (3,116) (9,931) Depreciation expense (66,982) (6,190) (4,654) (77,826) Reclassification (2) 37,805 – – 37,805 As at 31 December 2025 2,351,817 5,539 9,459 2,366,815 (1) Reclassified to other non-current receivables. (2) Reclassified from asset held for sale as disclosed in Note 14.
RkJQdWJsaXNoZXIy NTkwNzg=