NOTES TO FINANCIAL STATEMENTS 31 December 2025 35 INCOME TAX EXPENSE (cont’d) Income tax for Singapore-incorporated companies is calculated at 17% (2024 : 17%) of the estimated assessable income for the year. Taxation for other jurisdictions is calculated at the rates prevailing in the relevant jurisdictions. The majority of the Company’s subsidiaries operate in Indonesia and hence, they are subject to the Indonesian tax law. The corporate income tax rate for the Company’s subsidiaries that operate in Indonesia is 22% (2024 : 22%). The total charge for the year can be reconciled to the accounting profit as follows: * Statutory income tax is calculated at a rate in which the Company’s significant subsidiaries are domiciled, i.e. Indonesian income tax rate. ** The Government Regulation Number 15 of year 2022 (“GR15”) issued by the Indonesian Government stipulated the method of determining the coal selling price for the purpose of calculating income tax, which considered the reference coal price and coal price index. On 11 April 2025, the Indonesian Government issued the Government Regulation Number 18 of year 2025 (“GR18”) to replace GR15, effective from 26 April 2025. GR18 excludes the reference to the coal price index in determining the coal selling price for the purpose of income tax calculation. The effects of GR18 and GR15 (2024 : GR15) amounted to US$6,032,248 (2024 : US$1,191,976) in income tax expense for the year ended 31 December 2025. Group 2025 2024 US$ US$ Profit before income tax 49,145,773 43,150,022 Tax at statutory rate of 22% (2024 : 22%) * 10,812,070 9,493,005 Tax effect of expenses that are not deductible in determining taxable profit 5,901,378 4,802,662 Tax effect of income that are not taxable in determining taxable profit (2,785,457) (8,331,313) Effects of changes in regulations ** 6,032,248 1,191,976 Effect of different tax rates of companies operating in other jurisdictions 684,566 (634,218) Adjustments recognised in the current year in relation to current and deferred tax of prior years 979,836 (631,871) Income tax expense 21,624,641 5,890,241 (B) Income tax relating to each component of other comprehensive income 36 PROFIT FOR THE YEAR Profit for the year has been arrived at after charging (crediting): Group 2025 2024 US$ US$ Deferred tax (Note 30): - Remeasurement of defined benefit obligations (154) 17,447 - Other adjustments recognised in current year relating to deferred tax on components of other comprehensive income in prior years (15,672) 94,925 Total deferred tax on components of other comprehensive income (15,826) 112,372 Group 2025 2024 US$ US$ Directors’ remuneration 5,933,005 5,908,634 Employee benefits expense (including directors’ remuneration) 20,644,832 19,683,423 Costs of defined contribution plans (included in employee benefits expense) 583,088 520,158 Costs of defined benefit plans (included in employee benefits expense) [Note 24(A)] 320,361 402,369 Cost of inventories recognised as expense 331,547,826 274,532,667 Depreciation of property, plant and equipment (Note 15) 21,874,220 14,065,055 Depreciation of right-of-use assets (Note 16) 11,821,417 11,765,353 Amortisation of deferred stripping costs (Note 13) 7,466,376 4,380,329 Reversal of allowance for inventory written-down (Note 10) (676,502) - Share-based payment expense - 113,337 Audit fees paid/payable to: - Auditors of the Company 324,352 294,756 - Member firm of the Auditors of the Company 358,809 370,130 Non-audit fees paid/payable to: - Auditors of the Company 50,697 11,800 - Member firm of the Auditors of the Company 2,181 21,863 107 GEO ENERGY | ANNUAL REPORT 2025
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