BIMB Integrated Annual Report 2017

NOTES TO THE FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED 31 DECEMBER 2017 51. OPERATING SEGMENT INFORMATION Performance is measured based on segment profit/(loss) before zakat and taxation, as included in the internal management reports that are reviewed by the Chief Executive Officer of the Group’s holding company. Segment profit/(loss) before zakat and taxation is used to measure performance as management believes that such information is the most relevant in evaluating segmental results relative to other entities that operate within these industries. In the preceding year, performance was measured based on segmental results from operating activities and included items directly attributable to a segment as well as those that could be allocated on a reasonable basis. The Group operates predominantly in Malaysia and accordingly, information by geographical location on the Group’s operation is not presented. Segment information is presented in respect of the Group’s main business segment. Business segments The Group comprises of the following main business segments: Banking Islamic banking and provision of related services. Takaful Underwriting of family and general Islamic insurance (“Takaful”). Others Investment holding, currency trading, ijarah financing, stockbroking and unit trust. CONSOLI- BANKING TAKAFUL OTHERS ELIMINATION DATED 2017 RM’000 RM’000 RM’000 RM’000 RM’000 Business segments Segment result Revenue from external customers 2,982,331 720,195 19,072 – 3,721,598 Inter-segment revenue 25,850 16,136 335,921 (377,907) – Total revenue 3,008,181 736,331 354,993 (377,907) 3,721,598 Net income from operations (before allowances for Impairment on financing and other assets) 1,799,844 736,331 354,993 (359,450) 2,531,718 Operating overheads (1,006,865) (479,950) (27,785) 31,237 (1,483,363) Operating results 792,979 256,381 327,208 (328,213) 1,048,355 Allowances for impairment 15,370 – – – 15,370 Finance cost (41,296) – (76,849) 2,750 (115,395) Profit before zakat and taxation 767,053 256,381 250,359 (325,463) 948,330 Segment assets 57,742,914 8,122,540 5,802,249 (5,883,069) 65,784,634 Segment liabilities 52,783,210 7,310,309 1,562,078 (789,316) 60,866,281 Note 45.4 (a)(i), 45.5(a) 293 Overview Value Creation Accountability Financial Statements Sustainability Performance Data Shareholders Information 21 st AGM Information Management Discussion & Analysis