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Segment Reporting
 12 Months Ended
Dec. 31, 2019
Segment Reporting [Abstract]  
SEGMENT REPORTING

13. SEGMENT REPORTING

 

In its operation of the business, management, including our chief operating decision maker, who is also our Chief Executive Officer, reviews certain financial information, including segmented internal profit and loss statements prepared on a basis not consistent with GAAP. The Company operates in four segments starting from fiscal 2019: shared shopping mall membership fee, fruit related products, sales of goods and others. Our concentrated juice and juice beverages are primarily produced by the Company's Jingyang factory. The operation of fruit related products is classified as discontinued operation as disclosed in Note 12.

 

In compliance with the Company's business transformation strategy, membership fees from the shared shopping mall and sales of goods through the shared shopping mall platform started to generate the main revenues for the Company and became more and more important business sections of the Company since fiscal year 2019, while its traditional business section of seasonal fruit related products continued to shrink in fiscal year 2019.

 

Some of our operation might not individually meet the quantitative thresholds for determining reportable segments and we determine the reportable segments based on the discrete financial information provided to the chief operating decision maker. The chief operating decision maker evaluates the results of each segment in assessing performance and allocating resources among the segments. Since there is an overlap of services provided and products manufactured between different subsidiaries of the Company, the Company does not allocate operating expenses and assets based on the product segments. Therefore, operating expenses and asset information by segment are not presented. Segment profit represents the gross profit of each reportable segment.

 

For fiscal year 2019 (in thousands):

 

   CCM Shopping
Mall Membership		   Sales of Goods   Others   Total 
Reportable segment revenue  $542   $378   $412   $1,332 
Inter-segment loss   -    -    (377)   (377)
Revenue from external customers   542    378    35    955 
Segment gross profit  $401   $72   $18   $491 

 

 

For fiscal year 2018 (in thousands):

 

   CCM Shopping
Mall Membership		   Sales of Goods   Others   Total 
Reportable segment revenue  $          -   $-   $132   $132 
Inter-segment loss   -    -   -    - 
Revenue from external customers   -    -    132    132 
Segment gross profit  $-   $-   $48   $48