Annual Report 2022

208 Transport International Holdings Limited 2022 Annual Report NOTES TO THE FINANCIAL STATEMENTS (Expressed in Hong Kong dollars unless otherwise indicated) 13 Investment properties, investment property under development, interest in leasehold land and other property, plant and equipment (continued) (d) The Group leased out investment properties under operating leases. The leases typically run for an initial period from two to three years, with an option to renew the leases after that date, at which time all terms are renegotiated. Certain leases include contingent rentals, being the excess of a percentage of the monthly revenue generated by the lessees over the monthly minimum lease rentals. Undiscounted lease payments under non-cancellable operating leases in place at the reporting date will be receivable by the Group in future periods as follows: 2022 2021 $’000 $’000 Within 1 year 30,305 42,238 After 1 year but within 2 years 21,036 22,248 After 2 years but within 3 years 17,394 14,148 After 3 years but within 4 years 6,265 3,813 After 4 years but within 5 years 3,090 450 After 5 years 1,759 – 79,849 82,897 (e) In 2022, subsidies totalling $96,846,000 (2021: $97,863,000) were received or receivable from the HKSAR Government for purchase of diesel-electric hybrid buses and electric buses (“the Buses”) and for installation of facilities at bus stops and termini. The purposes of the subsidies are to encourage the use of the Buses by granting financial assistance to franchised public bus operators to purchase the Buses for trial and to expedite the installation of facilities for the convenience of passengers. The Group has to use the Buses for trial on certain routes agreed with the HKSAR Government for two years. The subsidies received or receivable have been deducted from the carrying amount of the assets directly in accordance with the accounting policy set out in note 1(k). 14 Intangible assets Passenger service licences and transport operating rights $’000 Cost: At 1 January 2021 364,964 Additions 54,765 At 31 December 2021 and 1 January 2022 419,729 Additions 109,361 At 31 December 2022 529,090 Accumulated amortisation: At 1 January 2021, 31 December 2021, 1 January 2022 and 31 December 2022 – Net book value: At 31 December 2022 529,090 At 31 December 2021 419,729