New Standards And Interpretations (Tables)

12 Months Ended

Dec. 31, 2018

Disclosure Of Initial Application Of Standards Or Interpretations [Line Items]

Schedule of Significant Effects of Adopting New Standards

The significant effects of adopting the new standards as of January 1, 2018 are summarized as below:

Affected items of consolidated balance sheet	As of December 31, 2017		Effect of adoption of new standards			As of January 1, 2018		Remarks
	US$’000		US$’000			US$’000
Assets
Contract assets - current		—		162			162	A
Gross amounts due from customers for contract work-in-progress		162		(162	)		—	A
Trade receivables		112,403		16			112,419	C
Financial assets – available for sale		2,747		(2,747	)		—	B
Financial assets at fair value through other comprehensive income		—		2,747			2,747	B
Deferred income tax assets		3,022		4			3,026	D
Total affected assets		118,334		20			118,354
Liabilities
Contract liabilities - current		—		113			113	E
Total affected liabilities		—		113			113
Equity
Retained earnings		53,350		(93	)		53,257	B, C, D, E
Total affected equity		53,350		(93	)		53,257
Total affected liabilities and equity		53,350		20			53,370

A. In accordance with IFRS 15, the Company reclassified gross amounts due from customers for contract work-in-progress in the amount of $162 to contract assets as of January 1, 2018.

B. Equity investments in non-listed equity investments previously classified as available-for-sale financial assets were reclassified and measured as financial assets at FVOCI because these investments are held as long-term strategic investments purpose. As a result, assets with fair value of $2,747 were reclassified from available-for-sale financial assets to financial assets at FVOCI and fair value gains of $1,717 were reclassified from the available-for-sale financial assets reserve to the FVOCI reserve on January 1, 2018, of which $843 was related to non-controlling interests.

C. The adoption of IFRS 9 has fundamentally changed the Company’s accounting for impairment losses for trade receivable by replacing IAS 39’s incurred loss approach with a forward looking ECL approach.  Upon adoption of IFRS 9, the Company reversed impairment on trade receivables by $16. As a result, trade receivables and retained earnings increased by $16.

D. The Company recognized deferred income tax assets for the temporary differences arising from the adjustments upon initial adoption of IFRS 9 and IFRS 15. Deferred income tax assets and retained earnings both increased by $4.

E. In accordance with IFRS 15, the Company’s performance obligation to provide custodial and transportation services are recognized as contract liabilities under bill-and-hold agreements. After adopting IFRS 15, the Company recognizes revenue from custodial services over time and transportation revenue upon delivery. As of January 1, 2018, the balance of contract liabilities increased by $113, and retained earnings decreased by $113.

IFRS 15 [Member]

Disclosure Of Initial Application Of Standards Or Interpretations [Line Items]

Schedule of Significant Effects of Adopting New Standards

The following tables summarized the impacts of adopting IFRS 15 on the consolidated income statement for the year ended December 31, 2018 and its consolidated balance sheet as of December 31, 2018 for each of the line items affected. There was no material impact on the consolidated statement of cash flows for the year ended December 31, 2018.

Affected items of consolidated income statement for the year ended December 31, 2018	As reported			Adjustments			Amounts without application of IFRS 15
	US$’000			US$’000			US$’000
Revenue		425,940			(26	)		425,914
Gross profit		36,248			(26	)		36,222
Operating profit		8,684			(26	)		8,658
Profit before tax		11,332			(26	)		11,306
Income tax expense		(3,886	)		5			(3,881	)
Profit for the year		7,446			(21	)		7,425

Affected items of consolidated balance sheet as of December 31, 2018	As reported			Adjustments			Amounts without application of IFRS 15
	US$’000			US$’000			US$’000
Assets
Contract assets - current		1,460			(1,460	)		—
Gross amounts due from customers for contract work-in-process		—			1,460			1,460
Deferred income tax assets		3,919			(18	)		3,901
Total affected assets		5,379			(18	)		5,361
Liabilities
Other current liabilities		3,272			(88	)		3,184
Total affected liabilities		3,272			(88	)		3,184
Equity
Retained earnings		55,016			34			55,050
Foreign currency translation reserve		(15,251	)		1			(15,250	)
Non-controlling interests		71,788			35			71,823
Total affected equity		111,553			70			111,623
Total affected liabilities and equity		114,825			(18	)		114,807

IFRS 16 [Member]

Disclosure Of Initial Application Of Standards Or Interpretations [Line Items]

Summary of Expected Impacts of IFRS 16 Adoption

Affected items of consolidated balance sheet	As of December 31, 2018		Effect of adoption of new standards			As of January 1, 2019		Remarks
	US$’000		US$’000			US$’000
Assets
Prepayments		1,140		(59	)		1,081	B
Lease assets*		66		(66	)		—	A
Right of use assets		—		3,801			3,801	A, B, C
Prepaid land lease payments		978		(978	)		—	B
Total affected assets		2,184		2,698			4,882
Liabilities
Financial lease liabilities - current		44		362			406	C
Financial lease liabilities - non-current		46		2,336			2,382	C
Total affected liabilities		90		2,698			2,788
* included in the line "Property, plant and equipment" in the balance sheet

A. The Company expects to reclassify “Lease assets” from “Property, plant and equipment” to “Right of use assets” reflect the terms used under IFRS 16.

B. Current and non-current prepaid land lease payments, which presented as “prepayment” and “prepaid land lease payments” in the balance sheet, are expected to be reclassified into “Right of use assets”.

C. On adoption of IFRS 16, the Company expects to recognize lease liabilities in relation to leases which had previously been classified as operating lease under the principle of IAS 17. The Company expects to measure its right-of-use assets at amounts equal to the lease liabilities. These liabilities were measured at the present value of the remaining lease payments, discounted using the lessee’s incremental borrowing rate as of January 1, 2019.