5.	SEGMENT INFORMATION

For management purposes, the Company organizes its business segments along regional lines and has three operating segments, consisting of the North Asia region, the Thailand region and the Rest of the World (“ROW”) region. The Company considers the economic characteristics similarity in determining the reportable segments.

Each segment engages in business activities generating revenues and incurring expenses. Each segment generates a management report which contains its own financial information and submits to the Company’s chief operating decision maker (“CODM”) for review on a monthly basis. The Company’s Chief Executive Officer (“CEO”) and Chief Operating Officer (“COO”) are the ones who review all the management reports provided by each segment, makes the decisions on how the resources are to be allocated and assesses the operating performances based on the reports. Each reporting segment has a segment manager who is in charge of the business operations in such region and regularly contacts the Company’s CEO and COO to discuss operational-related matters.

As the three operating segments exceed the quantitative thresholds, they are also reportable segments.

Segment’s profit or loss is measured consistently with profit or loss in the consolidated financial statements. The accounting policies for segment information, including transactions entered between segments are generally the same as those described in the summary of significant accounting policies.

Inter-segment revenues are eliminated upon consolidation and reflected in the “adjustments and eliminations” column. All other adjustments and eliminations are part of detailed reconciliations presented further below.

Year ended December 31, 2017	North Asia			Thailand			ROW			Total segments			Corporate expense adjustments and eliminations			Consolidated
	US$’000			US$’000			US$’000			US$’000			US$’000			US$’000
Sales of goods / services
External customers		101,533			206,485			117,197			425,215		—				425,215
Gross profit		7,471			20,174			12,043			39,688		—				39,688
Inter-segment		890			1,044		—				1,934			(1,934	)		—
Depreciation and amortization		(979	)		(2,760	)		(1,314	)		(5,053	)		(3	)		(5,056	)
Impairment of property, plant and equipment		(213	)		(10	)	—				(223	)	—				(223	)
Interest income		51			845			61			957			(81	)		876
Interest expense		(428	)		(553	)		(52	)		(1,033	)		67			(966	)
Income tax (expense)/benefit		(1,395	)		(2,727	)		(342	)		(4,464	)		(676	)		(5,140	)

Other disclosures
Capital expenditure		991			3,332			590			4,913		—				4,913

5.	SEGMENT INFORMATION (continued)

													Corporate
													expense
													adjustments
Year ended December 31, 2016	North Asia			Thailand			ROW			Total segments			and eliminations			Consolidated
	US$’000			US$’000			US$’000			US$’000			US$’000			US$’000
Sales of goods / services
External customers		93,931			152,935			137,699			384,565			—			384,565
Gross profit		5,033			13,421			13,154			31,608			—			31,608
Inter-segment		2,522			(41	)		—			2,481			(2,481	)		—
Depreciation and amortization		(1,423	)		(2,689	)		(1,439	)		(5,551	)		(3	)		(5,554	)
Impairment of property, plant and equipment		(1,132	)		(1,392	)		—			(2,524	)		—			(2,524	)
Interest income		34			1,022			97			1,153			(108	)		1,045
Interest expense		(692	)		(282	)		(86	)		(1,060	)		98			(962	)
Income tax (expense)/benefit		2,844			(2,059	)		(538	)		247			(757	)		(510	)

Other disclosures
Capital expenditure		697			4,198			275			5,170			—			5,170

													Corporate
													expense
													adjustments
Year ended December 31, 2015	North Asia			Thailand			ROW			Total segments			and eliminations			Consolidated
	US$’000			US$’000			US$’000			US$’000			US$’000			US$’000
Sales of goods / services
External customers		90,237			165,354			134,041			389,632			—			389,632
Gross profit		1,888			9,488			12,113			23,489			—			23,489
Inter-segment		2,381			1,502			—			3,883			(3,883	)		—
Depreciation and amortization		(1,511	)		(2,699	)		(1,480	)		(5,690	)		(3	)		(5,693	)
Interest income		15			621			77			713			(16	)		697
Interest expense		(804	)		(467	)		(40	)		(1,311	)		7			(1,304	)
Income tax (expense)/benefit		614			(655	)		(223	)		(264	)		(202	)		(466	)

Other disclosures
Capital expenditure		594			6,409			427			7,430			14			7,444

Adjustments and eliminations

Corporate expenses, gain on disposal of investment, and share of gain (loss) of associates are not allocated to individual segments as the underlying instruments are managed on a group basis.

Capital expenditure consists of additions of property, plant and equipment, and intangible assets.

5.	SEGMENT INFORMATION (continued)

Reconciliation of segment gross profit

	For the year ended December 31,
	2017			2016			2015
	US$’000			US$’000			US$’000
Gross profit		39,688			31,608			23,489

Other operating income		5,084			5,441			1,140
Selling, general and administrative expenses		(27,248	)		(26,325	)		(27,007	)
Other operating expenses		(909	)		(3,386	)		(332	)
Operating profit/(loss)		16,615			7,338			(2,710	)

Finance costs		(1,221	)		(1,147	)		(1,547	)
Finance income		876			1,045			697
Share of loss of associates		(3	)		(710	)		(801	)
Impairment of investment in associates		—			(126	)		—
Loss on liquidation of subsidiary		(261	)		—			—
Exchange gain / (loss)		2,784			(38	)		(4,223	)
Other income		214			267			119
Other expense		(336	)		(94	)		(180	)
Profit/(loss) before tax		18,668			6,535			(8,645	)

									Corporate
									adjustments
	North Asia		Thailand		ROW		Total segments		and eliminations		Consolidated
	US$’000		US$’000		US$’000		US$’000		US$’000		US$’000
As of December 31, 2017
Total assets		63,853		181,232		85,838		330,923		3,920		334,843
Total liabilities		28,928		55,877		21,647		106,452		5,565		112,017
As of December 31, 2016
Total assets		59,120		145,549		86,325		290,994		2,602		293,596
Total liabilities		31,406		36,929		24,435		92,770		3,651		96,421

Reconciliation of assets:

	As of December 31,
	2017			2016
	US$’000			US$’000
Segment operating assets		330,923			290,994

Corporate and other assets		2,916			2,928
Investment in associates		861			786
Deferred tax assets		3,022			3,114
Inter-segment elimination		(2,879	)		(4,226	)
Total assets		334,843			293,596

5.	SEGMENT INFORMATION (continued)

Reconciliation of liabilities:

	As of December 31,
	2017			2016
	US$’000			US$’000
Segment operating liabilities		106,452			92,770

Corporate liabilities		5,287			5,257
Deferred tax liabilities		3,154			2,588
Inter-segment elimination		(2,876	)		(4,194	)
Total liabilities		112,017			96,421

Revenue from external customers is attributed to individual countries based on the customer’s country of domicile and is summarized as follows:

	For the year ended December 31,
	2017		2016		2015
	US$’000		US$’000		US$’000
Revenues from external customers

Thailand		158,565		110,569		128,213
Singapore		76,453		105,431		90,960
Australia		34,901		27,918		36,731
PRC		108,561		96,956		93,718
Southeast Asia		46,685		43,677		40,001
Northeast Asia		50		14		9
		425,215		384,565		389,632

Countries in the Southeast Asia region include Cambodia, Vietnam, Indonesia, India, Laos, Malaysia and Myanmar.

Countries in the Northeast Asia region include Japan and South Korea.

Major customer information

Revenue from one customer amounted to $36,518 (2016: $53,465; 2015: $42,279) represent 8.59% (2016: 13.9%; 2015: 10.9%), arising from sales in the ROW segment.

Long-lived assets by the country of domicile are summarized as follow:

	As of December 31,
	2017		2016
	US$’000		US$’000
Long-lived assets by area:
Thailand		28,140		25,011
Singapore		6,831		6,821
China		6,333		6,757
Australia		2,984		2,935
Corporate		6		9
Total long-lived assets		44,294		41,533