2018 UEM Edgenta Annual Report

44. SEGMENT INFORMATION (CONT’D.) (a) Business unit segments (cont’d.) (ii) The services segment provide integrated facilities management and engineering contracting services for a range of assets and building types specialising in expressways and roads to urban transit, institutional to retail, offices to hospitals, educational institutions as well as residential properties and townships. The services cover operations, maintenance (hard and soft services), rehabilitation and upgrading works at different phases of the asset life cycle. This segment also offer solutions that are Green, Smart and Connected for the built environment, such as energy savings solutions, pavement solutions, geotechnical solutions, structural solutions and environmental solutions, through advanced and innovative technology offerings to achieve energy savings via efficient energy management and optimisation of the asset’s energy performance while lowering carbon footprint. The services segment is further focused into main sectors as follows: - Healthcare services - Infrastructure services - Property and facility solutions (iii) The property segment is in the business of developing residential properties. (iv) Other segment is largely Group-level corporate services and investment holdings. Except as indicated above, no operating segments have been aggregated to form the above reportable operating segments. Management monitors the operating results of its business units separately for the purpose of making decisions about resource allocation and performance assessment. Segment performance is evaluated based on operating profit or loss which, in certain respects as explained in the table below, is measured differently from operating profit or loss in the consolidated financial statements. (b) Geographical segments The Group’s geographical segments are based on the location of the Group’s assets. Sales to external customers disclosed in geographical segments are based on the geographical location of its customers. The Group’s business segments operate in ten geographical areas: (i) Malaysia - the operations in this area are principally integrated facilities management, consultancy services, infrastructure maintenance, geotechnical investigation, instrumentation, pavement condition assessment works, township management, property development and investment holding. (ii) Indonesia - the operations in this area are principally consultancy services and road infrastructure. (iii) Middle East - the operations in this area are principally integrated facilities management and asset management consultancy services. (iv) Singapore - the operations in this area are principally integrated facilities management. (v) Taiwan - the operations in this area are principally integrated facilities management. (vi) India - the operations in this area are principally integrated facilities management. NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 December 2018 Management Discussion & Analysis UEM Edgenta Berhad Annual Report 2018 About UEM Edgenta Chairman’s Statement 246