ANNUAL REPORT 2016
78
Techno
Dex
Berhad
(627634-A)
31. OPERATING SEGMENTS (continued)
Major Customers
Revenue from one major customer, with revenue equal to or more than 10% of the Group’s revenue, amounted to
RM 1,472,829 (RM 6,701,486 in 2015) arising from the information technology services.
32. OPERATING LEASE COMMITMENTS
The future minimum lease payments under the non-cancellable operating leases are as follows:-
The Group The Company
2016
2015
2016
2015
RM
RM
RM
RM
Not more than one year
183,200
260,318
87,600
87,600
Later than one year and not later than five years 10,800
219,580
-
87,600
194,000
479,898
87,600
175,200
33. CONTINGENT LIABILITY
The Company
2016
2015
RM
RM
Unsecured
Corporate guarantees given to licensed
banks for credit facilities granted to subsidiaries
2,000,000
2,000,000
34. FINANCIAL INSTRUMENTS
The Group’s activities are exposed to a variety of market risk (including foreign currency risk, interest rate risk and
equity price risk), credit risk and liquidity risk. The Group’s overall financial risk management policy focuses on
the unpredictability of financial markets and seeks to minimise potential adverse effects on the Group’s financial
performance.
34.1 FINANCIAL RISK MANAGEMENT POLICIES
The Group’s policies in respect of the major areas of treasury activity are as follows:-
(a) Market Risk
(i) Foreign Currency Risk
Foreign currency risk is the risk that the fair value or future cash flows of a financial instrument
will fluctuate because of changes in foreign exchange rates. The Group incurs foreign currency
risk on transactions that are denominated in a currency other than the functional currency of the
operations to which they relate. Exposure to foreign currency risks are monitored on an on-going
basis. The currencies giving rise to this risk are primarily the United States Dollar (“USD”) and Euro
(“EUR”).
The Company’s policy is to minimise the exposure of overseas operating activities to transaction
risks by matching local currency income against local currency cost.
NOTES TO THE
FINANCIAL STATEMENTS
(continued)
