Turnover is measured at the fair value of the consideration received or receivable, net of discounts and value added taxes. Turnover includes revenue earned from the sale of software and the rendering of services. Turnover is reduced for estimated customer returns, rebates and other similar allowances.
Software Sales
Turnover from software sales is recognised at the point of delivery, which occurs when the customer successfully downloads and activates the software using a license key. The delivery of the license key, which allows the customer to unlock and use the software, signifies that the risks and rewards of ownership have transferred from the company to the customer. Revenue from the sale of software licenses is recognised in full at the time of sale, reflecting the customer's right to use the software for the duration of the license.
Consulting Services
Revenue from consulting services is recognised based on the percentage of completion method. This approach measures the services provided to date as a proportion of the total services to be provided under the terms of the consulting agreement. Progress toward completion is estimated based on the hours worked, milestones achieved, or other systematic measures of progress relative to the total estimated effort required to complete the services.