80
SUNMOON FOOD COMPANY LIMITED
ANNUAL REPORT 2015
NOTES TO THE
FINANCIAL STATEMENTS
FOR THE FINANCIAL YEAR ENDED 31 DECEMBER 2015
22.
OPERATING LEASE COMMITMENTS
(CONTINUED)
(b)
Group as lessor
(Continued)
Future minimum rental receivable under the non-cancellable operating leases in subsequent accounting
periods are as follows:
Group
2015
2014
$’000
$’000
Within one financial year
414
–
After one financial year but within five financial years
1,448
–
1,862
–
23.
SEGMENT INFORMATION
Management has determined the operating segments based on the reports reviewed by the chief operating
decision maker. A segment is a distinguishable component of the Group that is engaged either in providing products
or services (business segment), or in providing products or services within a particular economic environment
(geographical segment), which is subject to risks and rewards that are different from those of other segments.
The Group has two reportable segments namely:
(i)
The agricultural products division distributes fresh garlic and manufactures dehydrated garlic and onion
products. The production facilities are located in China while the products are distributed globally.
(ii)
The fruits division procures and distributes fresh fruits and processed fruits globally.
The agricultural products division was discontinued and accounted for as that of discontinued operations during
the year as disclosed in Note 8.
Management monitors the operating results of the segments separately for the purposes of making decisions about
resources to be allocated and of assessing performance. Segment performance is evaluated based on operating
profit or loss which is similar to the accounting profit or loss.
Income taxes are managed on a Group basis.
The accounting policies of the operating segments are the same of those described in the summary of significant
accounting policies. There is no asymmetrical allocation to reportable segments. Management evaluates
performance on the basis of profit or loss from operation before tax expense not including non-recurring gains
and losses.
There is no change from prior periods in the measurement methods used to determine reported segment profit
or loss.
The Group accounts for intersegment sales and transfer as if the sales or transfers were to third parties, which
approximate market prices. These intersegment transactions are eliminated on consolidation.
